NasdaqGS:CMCO

Stock Analysis Report

NOT FOR DISTRIBUTION
Header cover image

Executive Summary

Columbus McKinnon Corporation designs, manufactures, and markets hoists, actuators, rigging tools, digital power control systems, motion control products, and other technologies and systems for commercial and industrial applications worldwide. More Details


Snowflake Analysis

Adequate balance sheet with moderate growth potential.


Similar Companies

Share Price & News

How has Columbus McKinnon's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: CMCO is not significantly more volatile than the rest of US stocks over the past 3 months, typically moving +/- 6% a week.

Volatility Over Time: CMCO's weekly volatility (6%) has been stable over the past year.


Market Performance


7 Day Return

1.4%

CMCO

-2.0%

US Machinery

0.7%

US Market


1 Year Return

-4.4%

CMCO

19.6%

US Machinery

22.2%

US Market

Return vs Industry: CMCO underperformed the US Machinery industry which returned 20.7% over the past year.

Return vs Market: CMCO underperformed the US Market which returned 22.7% over the past year.


Shareholder returns

CMCOIndustryMarket
7 Day1.4%-2.0%0.7%
30 Day12.2%10.1%11.8%
90 Day3.4%14.2%8.6%
1 Year-3.7%-4.4%22.8%19.6%25.0%22.2%
3 Year0.1%-1.7%31.1%21.6%49.4%39.5%
5 Year101.2%94.6%130.7%104.9%100.2%78.1%

Long-Term Price Volatility Vs. Market

How volatile is Columbus McKinnon's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Columbus McKinnon undervalued compared to its fair value and its price relative to the market?

52.92x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: CMCO ($38.78) is trading above our estimate of fair value ($18.01)

Significantly Below Fair Value: CMCO is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: CMCO is poor value based on its PE Ratio (52.9x) compared to the US Machinery industry average (29.2x).

PE vs Market: CMCO is poor value based on its PE Ratio (52.9x) compared to the US market (19.4x).


Price to Earnings Growth Ratio

PEG Ratio: CMCO is good value based on its PEG Ratio (0.4x)


Price to Book Ratio

PB vs Industry: CMCO is good value based on its PB Ratio (1.9x) compared to the US Machinery industry average (2.7x).


Next Steps

Future Growth

How is Columbus McKinnon forecast to perform in the next 1 to 3 years based on estimates from 7 analysts?

144.3%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: CMCO's forecast earnings growth (144.3% per year) is above the savings rate (2.2%).

Earnings vs Market: CMCO's earnings (144.3% per year) are forecast to grow faster than the US market (21.8% per year).

High Growth Earnings: earnings are expected to grow significantly over the next 3 years.

Revenue vs Market: CMCO's revenue (9.1% per year) is forecast to grow slower than the US market (10.2% per year).

High Growth Revenue: CMCO's revenue (9.1% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: Insufficient data to determine if CMCO's Return on Equity is forecast to be high in 3 years time


Next Steps

Past Performance

How has Columbus McKinnon performed over the past 5 years?

26.0%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: CMCO has a large one-off loss of $6.0M impacting its September 30 2020 financial results.

Growing Profit Margin: CMCO's current net profit margins (2.5%) are lower than last year (6.4%).


Past Earnings Growth Analysis

Earnings Trend: CMCO's earnings have grown significantly by 26% per year over the past 5 years.

Accelerating Growth: CMCO's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: CMCO had negative earnings growth (-67.9%) over the past year, making it difficult to compare to the Machinery industry average (-15.4%).


Return on Equity

High ROE: CMCO's Return on Equity (3.6%) is considered low.


Next Steps

Financial Health

How is Columbus McKinnon's financial position?


Financial Position Analysis

Short Term Liabilities: CMCO's short term assets ($409.3M) exceed its short term liabilities ($155.9M).

Long Term Liabilities: CMCO's short term assets ($409.3M) do not cover its long term liabilities ($496.1M).


Debt to Equity History and Analysis

Debt Level: CMCO's debt to equity ratio (60.9%) is considered high.

Reducing Debt: CMCO's debt to equity ratio has reduced from 107.6% to 60.9% over the past 5 years.

Debt Coverage: CMCO's debt is well covered by operating cash flow (39.6%).

Interest Coverage: CMCO's interest payments on its debt are well covered by EBIT (3.6x coverage).


Balance Sheet


Next Steps

Dividend

What is Columbus McKinnon current dividend yield, its reliability and sustainability?

0.62%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: CMCO's dividend (0.62%) isn’t notable compared to the bottom 25% of dividend payers in the US market (1.48%).

High Dividend: CMCO's dividend (0.62%) is low compared to the top 25% of dividend payers in the US market (4.14%).


Stability and Growth of Payments

Stable Dividend: CMCO is not paying a notable dividend for the US market, therefore no need to check if payments are stable.

Growing Dividend: CMCO is not paying a notable dividend for the US market, therefore no need to check if payments are increasing.


Current Payout to Shareholders

Dividend Coverage: CMCO is not paying a notable dividend for the US market.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of CMCO'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?

3.9yrs

Average management tenure


CEO

David Wilson (51 yo)

0.50

Tenure

Mr. David J. Wilson serves as President, Chief Executive Officer and Director at Columbus McKinnon Corporation since June 1, 2020. Mr. Wilson served as President of Flowserve Corporation Pumps Division fro...


Leadership Team

NamePositionTenureCompensationOwnership
Gregory Rustowicz
VP of Finance9.33yrsUS$1.46m0.17%
$ 1.6m
Alan Korman
VP of Corporate Development9.92yrsUS$1.12m0.048%
$ 442.8k
Peter McCormick
Vice President of Crane Solutions3.92yrsUS$1.11m0.11%
$ 979.6k
David Wilson
President0.50yrno data0.052%
$ 478.3k
Lynn Bostrom
Director of Global Marketingno datano datano data
Appal Chintapalli
Vice President of Engineered Products1.75yrsno data0.0061%
$ 56.3k

3.9yrs

Average Tenure

59.5yo

Average Age

Experienced Management: CMCO's management team is considered experienced (3.9 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
David Wilson
President0.50yrno data0.052%
$ 478.3k
Richard Fleming
Independent Chairman of the Board2.42yrsUS$307.76k0.26%
$ 2.4m
Nicholas Pinchuk
Independent Director13.92yrsUS$186.27k0.20%
$ 1.9m
Kathryn Roedel
Independent Director3.17yrsUS$186.20k0.028%
$ 255.7k
Aziz Aghili
Independent Director2.58yrsUS$186.20k0.028%
$ 255.7k
Heath Mitts
Independent Director5.58yrsUS$206.27k0.081%
$ 754.0k
Liam McCarthy
Independent Director12.08yrsUS$201.27k0.19%
$ 1.7m
Jeanne Beliveau-Dunn
Independent Director0.75yrno data0.0038%
$ 34.9k

2.9yrs

Average Tenure

60.5yo

Average Age

Experienced Board: CMCO's board of directors are not considered experienced ( 2.9 years average tenure), which suggests a new board.


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: CMCO insiders have only sold shares in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

Columbus McKinnon Corporation's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Columbus McKinnon Corporation
  • Ticker: CMCO
  • Exchange: NasdaqGS
  • Founded: 1875
  • Industry: Industrial Machinery
  • Sector: Capital Goods
  • Market Cap: US$926.798m
  • Shares outstanding: 23.90m
  • Website: https://www.cmworks.com

Number of Employees


Location

  • Columbus McKinnon Corporation
  • 205 Crosspoint Parkway
  • Getzville
  • New York
  • 14068
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
CMCONasdaqGS (Nasdaq Global Select)YesCommon StockUSUSDFeb 1996
VC3DB (Deutsche Boerse AG)YesCommon StockDEEURFeb 1996

Biography

Columbus McKinnon Corporation designs, manufactures, and markets hoists, actuators, rigging tools, digital power control systems, motion control products, and other technologies and systems for commercial ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/12/02 23:58
End of Day Share Price2020/12/02 00:00
Earnings2020/09/30
Annual Earnings2020/03/31


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.