Art's-Way Manufacturing
Market Cap
US$9.7m
Last Updated
2020/02/23 23:31 UTC
Data Sources
Company Financials
Executive Summary
Art's-Way Manufacturing Co., Inc. manufactures and sells agricultural equipment, specialized modular science buildings, and steel cutting tools in the United States and internationally.
Risk Analysis
Earnings have declined by -58.52% per year over past 5 years
Currently unprofitable and not forecast to become profitable over the next 3 years
Snowflake Analysis
Excellent balance sheet and overvalued.
Share Price & News
How has Art's-Way Manufacturing's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: ARTW has not had significant price volatility in the past 3 months.
Market Performance
7 Day Return
-7.6%
ARTW
0.1%
US Machinery
-1.1%
US Market
1 Year Return
-0.2%
ARTW
9.3%
US Machinery
17.8%
US Market
Return vs Industry: ARTW underperformed the US Machinery industry which returned 9.3% over the past year.
Return vs Market: ARTW underperformed the US Market which returned 17.8% over the past year.
Shareholder returns
| ARTW | Industry | Market | |
|---|---|---|---|
| 7 Day | -7.6% | 0.1% | -1.1% |
| 30 Day | 22.2% | 1.2% | 1.5% |
| 90 Day | 17.1% | 0.8% | 6.6% |
| 1 Year | -0.2%-0.2% | 11.3%9.3% | 20.2%17.8% |
| 3 Year | -42.7%-42.7% | 37.9%29.2% | 47.5%38.1% |
| 5 Year | -51.1%-51.1% | 63.9%44.5% | 71.2%52.4% |
Price Volatility Vs. Market
How volatile is Art's-Way Manufacturing's share price compared to the market and industry in the last 5 years?
Simply Wall St News
1 week ago | Simply Wall St
We Think Art's-Way Manufacturing (NASDAQ:ARTW) Has A Fair Chunk Of Debt1 month ago | Simply Wall St
Should You Worry About Art's-Way Manufacturing Co., Inc.'s (NASDAQ:ARTW) CEO Pay Cheque?1 month ago | Simply Wall St
One Thing To Remember About The Art's-Way Manufacturing Co., Inc. (NASDAQ:ARTW) Share PriceValuation
Is Art's-Way Manufacturing undervalued compared to its fair value and its price relative to the market?
0.82x
Price to Book (PB) ratio
Share Price vs. Fair Value
Below Fair Value: ARTW ($2.24) is trading above our estimate of fair value ($0.51)
Significantly Below Fair Value: ARTW is trading above our estimate of fair value.
Price To Earnings Ratio
PE vs Industry: ARTW is unprofitable, so we can't compare its PE Ratio to the Machinery industry average.
PE vs Market: ARTW is unprofitable, so we can't compare its PE Ratio to the US market.
Price to Earnings Growth Ratio
PEG Ratio: Insufficient data to calculate ARTW's PEG Ratio to determine if it is good value.
Price to Book Ratio
PB vs Industry: ARTW is good value based on its PB Ratio (0.8x) compared to the US Machinery industry average (2.2x).
Next Steps
Future Growth
How is Art's-Way Manufacturing forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?
9.6%
Forecasted Capital Goods industry annual growth in earnings
In this section we usually present revenue and earnings growth projections based on the consensus estimates of professional analysts to help investors understand the company’s ability to generate profit. But as Art's-Way Manufacturing has not provided enough past data and has no analyst forecast, its future earnings cannot be reliably calculated by extrapolating past data or using analyst predictions.
This is quite a rare situation as 97% of companies covered by SimplyWall St do have past financial data.
Next Steps
- Examine Art's-Way Manufacturing's financial health to determine how well-positioned it is against times of financial stress by looking at its level of debt over time and how much cash it has left.
- Explore growth companies in the Capital Goods industry.
Past Performance
How has Art's-Way Manufacturing performed over the past 5 years?
-58.5%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: ARTW is currently unprofitable.
Growing Profit Margin: ARTW is currently unprofitable.
Past Earnings Growth Analysis
Earnings Trend: ARTW is unprofitable, and losses have increased over the past 5 years at a rate of -58.5% per year.
Accelerating Growth: Unable to compare ARTW's earnings growth over the past year to its 5-year average as it is currently unprofitable
Earnings vs Industry: ARTW is unprofitable, making it difficult to compare its past year earnings growth to the Machinery industry (0.8%).
Return on Equity
High ROE: ARTW has a negative Return on Equity (-12.04%), as it is currently unprofitable.
Return on Assets
Return on Capital Employed
Next Steps
Financial Health
How is Art's-Way Manufacturing's financial position?
Financial Position Analysis
Short Term Liabilities: ARTW's short term assets ($11.4M) exceed its short term liabilities ($5.2M).
Long Term Liabilities: ARTW's short term assets ($11.4M) exceed its long term liabilities ($2.4M).
Debt to Equity History and Analysis
Debt Level: ARTW's debt to equity ratio (42.5%) is considered high.
Reducing Debt: ARTW's debt to equity ratio has reduced from 51% to 42.5% over the past 5 years.
Balance Sheet
Inventory Level: ARTW has a high level of physical assets or inventory.
Debt Coverage by Assets: ARTW's debt is covered by short term assets (assets are 2.3x debt).
Cash Runway Analysis
For companies that have on average been loss making in the past we assess whether they have at least 1 year of cash runway.
Stable Cash Runway: Whilst unprofitable ARTW has sufficient cash runway for more than 3 years if it maintains its current positive free cash flow level.
Forecast Cash Runway: ARTW is unprofitable but has sufficient cash runway for more than 3 years, even with free cash flow being positive and shrinking by -8% per year.
Next Steps
Dividend
What is Art's-Way Manufacturing's current dividend yield, its reliability and sustainability?
Dividend Yield vs Market
Current dividend yield vs market & industry
Notable Dividend: Unable to evaluate ARTW's dividend yield against the bottom 25% of dividend payers, as the company has not reported any payouts.
High Dividend: Unable to evaluate ARTW's dividend yield against the top 25% of dividend payers, as the company has not reported any payouts.
Stability and Growth of Payments
Stable Dividend: Insufficient data to determine if ARTW's dividends per share have been stable in the past.
Growing Dividend: Insufficient data to determine if ARTW's dividend payments have been increasing.
Current Payout to Shareholders
Dividend Coverage: ARTW is not paying a notable dividend for the US market.
Future Payout to Shareholders
Future Dividend Coverage: No need to calculate the sustainability of ARTW's dividend in 3 years as they are not forecast to pay a notable one for the US market.
Next Steps
Management
How experienced are the management team and are they aligned to shareholders interests?
4.8yrs
Average board tenure
CEO
Carrie Gunnerson (43yo)
12.3yrs
Tenure
US$199,192
Compensation
Ms. Carrie L. Gunnerson serves as Chief Executive Officer, President of Art's-Way Manufacturing Co., Inc. since October 18, 2007 and serves as its Corporate Secretary. Ms. Gunnerson served as Interim Chief ...
CEO Compensation Analysis
Compensation vs Market: Carrie's total compensation ($USD199.19K) is below average for companies of similar size in the US market ($USD521.92K).
Compensation vs Earnings: Carrie's compensation has been consistent with company performance over the past year.
Board Members
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| Independent Director | 20.1yrs | US$41.24k | 0.55% $53.7k | |
| Chairman of the Board | 4.8yrs | US$310.27k | 2.28% $222.1k | |
| Vice Chairman of the Board | 4.8yrs | US$102.49k | 48.32% $4.7m | |
| Independent Director | 17.1yrs | US$41.24k | 0.62% $60.4k | |
| Independent Director | 3.2yrs | US$37.24k | 0.32% $31.3k |
4.8yrs
Average Tenure
66yo
Average Age
Experienced Board: ARTW's board of directors are considered experienced (4.8 years average tenure).
Ownership
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.
Ownership Breakdown
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
Top Shareholders
Company Information
Art's-Way Manufacturing Co., Inc.'s company bio, employee growth, exchange listings and data sources
Key Information
- Name: Art's-Way Manufacturing Co., Inc.
- Ticker: ARTW
- Exchange: NasdaqCM
- Founded: 1956
- Industry: Agricultural and Farm Machinery
- Sector: Capital Goods
- Market Cap: US$9.728m
- Shares outstanding: 4.35m
- Website: https://www.artsway-mfg.com
Number of Employees
Location
- Art's-Way Manufacturing Co., Inc.
- 5556 Highway 9
- PO Box 288
- Armstrong
- Iowa
- 50514
- United States
Listings
| Ticker | Exchange | Primary Security | Security Type | Country | Currency | Listed on |
|---|---|---|---|---|---|---|
| ARTW | NasdaqCM (Nasdaq Capital Market) | Yes | Common Shares | US | USD | Dec 1972 |
Biography
Art's-Way Manufacturing Co., Inc. manufactures and sells agricultural equipment, specialized modular science buildings, and steel cutting tools in the United States and internationally. The company operates through three segments: Agricultural Products, Modular Buildings, and Tools. The Agricultural Products segment offers specialized farm machinery, including portable and stationary animal feed processing equipment and related attachments; hay and forage equipment consisting of forage boxes, blowers, running gear, and dump boxes; portable grain augers; manure spreaders; sugar beet harvesting equipment; land maintenance equipment; moldboard plows; reels for combines and swathers; potato harvesters; grinder mixers; silage blowers and reels; land management equipment; and after-market service parts under the Art’s-Way, Miller Pro, Roda, M&W, Badger, and UHC by Art’s-Way brands. The Modular Buildings segment produces and sells swine buildings, complex containment research laboratories, and research facilities for academic research institutions, government research and diagnostic centers, public health institutions, and private research and pharmaceutical companies. This segment also provides services relating to the design, manufacturing, delivering, installation, and renting of the building units. The Tools segment offers standard single point brazed carbide tipped tools, and polycrystalline diamond and cubic boron nitride inserts and tools to the automotive, aerospace, oil and gas piping, and appliances industries. The company markets and sells its products through independent farm equipment dealers, manufacturers’ representatives, direct sales, and original equipment manufacturer sales channels. Art's-Way Manufacturing Co., Inc. was founded in 1956 and is based in Armstrong, Iowa.
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2020/02/23 23:31 |
| End of Day Share Price | 2020/02/21 00:00 |
| Earnings | 2019/11/30 |
| Annual Earnings | 2019/11/30 |
Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.