NasdaqGS:CMCO

Stock Analysis Report

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.

Snowflake

Fundamentals

Undervalued with proven track record.


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


Market Performance


7 Day Return

-1.5%

CMCO

-2.6%

US Machinery

-0.6%

US Market


1 Year Return

-11.1%

CMCO

-7.4%

US Machinery

0.7%

US Market

CMCO underperformed the Machinery industry which returned -7.5% over the past year.

CMCO underperformed the Market in United States of America which returned 0.7% over the past year.


Share holder returns

CMCOIndustryMarket
7 Day-1.5%-2.6%-0.6%
30 Day19.1%9.5%4.9%
90 Day-3.9%-1.8%1.7%
1 Year-10.6%-11.1%-5.4%-7.4%3.0%0.7%
3 Year124.9%121.1%48.1%38.5%44.8%35.4%
5 Year75.3%69.5%54.3%35.3%62.0%44.3%

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

1 week ago | Simply Wall St

These 4 Measures Indicate That Columbus McKinnon (NASDAQ:CMCO) Is Using Debt Reasonably Well

Valuation

Is Columbus McKinnon undervalued based on future cash flows and its price relative to the stock market?

32%

Discount to future cash flow value


Intrinsic Value Based on Future Cash Flows

Columbus McKinnon's share price is below the future cash flow value, and at a moderate discount (> 20%).

Columbus McKinnon's share price is below the future cash flow value, but not at a substantial discount (< 40%).


Price Based on Earnings

Columbus McKinnon is good value based on earnings compared to the US Machinery industry average.

Columbus McKinnon is good value based on earnings compared to the United States of America market.


Price Based on Expected Growth

Columbus McKinnon is good value based on expected growth next year.


Price Based on Value of Assets

Columbus McKinnon is good value based on assets compared to the US Machinery industry average.


Next Steps

Future Growth

How is Columbus McKinnon expected to perform in the next 1 to 3 years based on estimates from 5 analysts?

21.2%

Forecasted annual earnings growth


Earnings and Revenue Growth Estimates


Future Annual Growth Analysis

Columbus McKinnon's revenue is expected to grow by 1.5% yearly, however this is not considered high growth (20% yearly).

Columbus McKinnon's earnings are expected to grow significantly at over 20% yearly.

Columbus McKinnon's revenue growth is positive but not above the United States of America market average.

Columbus McKinnon's earnings growth is expected to exceed the United States of America market average.

Columbus McKinnon's earnings growth is expected to exceed the low risk savings rate of 2.7%.


Earnings per Share Growth Estimates


Future Return on Equity

Unable to establish if Columbus McKinnon will efficiently use shareholders’ funds in the future without estimates of Return on Equity.


Next Steps

Past Performance

How has Columbus McKinnon performed over the past 5 years?

3.5%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Columbus McKinnon's year on year earnings growth rate has been positive over the past 5 years.

Columbus McKinnon's 1-year earnings growth exceeds its 5-year average (195.1% vs 3.5%)

Columbus McKinnon's earnings growth has exceeded the US Machinery industry average in the past year (195.1% vs 18.7%).


Return on Equity

Columbus McKinnon has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).


Return on Assets

Columbus McKinnon used its assets less efficiently than the US Machinery industry average last year based on Return on Assets.


Return on Capital Employed

Columbus McKinnon has significantly improved its use of capital last year versus 3 years ago (Return on Capital Employed).


Next Steps

Financial Health

How is Columbus McKinnon's financial position?


Financial Position Analysis

Columbus McKinnon is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.

Columbus McKinnon's long term commitments exceed its cash and other short term assets.


Debt to Equity History and Analysis

Columbus McKinnon's level of debt (68.3%) compared to net worth is high (greater than 40%).

The level of debt compared to net worth has increased over the past 5 years (49.6% vs 68.3% today).

Debt is well covered by operating cash flow (22.4%, greater than 20% of total debt).

Interest payments on debt are well covered by earnings (EBIT is 6.3x coverage).


Balance Sheet

High level of physical assets or inventory.

Debt is covered by short term assets, assets are 1.2x debt.


Next Steps

Dividend

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

0.63%

Current Dividend Yield


Dividend Yield and Payments Analysis

Columbus McKinnon's pays a lower dividend yield than the bottom 25% of dividend payers in United States of America (1.44%).

Columbus McKinnon's dividend is below the markets top 25% of dividend payers in United States of America (3.71%).

Columbus McKinnon is not paying a notable dividend for United States of America, therefore no need to check if the payments are stable.

Columbus McKinnon is not paying a notable dividend for United States of America, therefore no need to check if the payments are increasing.


Current Payout to Shareholders

No need to calculate the sustainability of Columbus McKinnon's dividends as it is not paying a notable one for United States of America.


Future Payout to Shareholders

Insufficient estimate data to determine if a dividend will be paid in 3 years and that it will be sustainable.


Next Steps

Management

What is the CEO of Columbus McKinnon's salary, the management and board of directors tenure and is there insider trading?

2.7yrs

Average management tenure


CEO

Mark Morelli (55yo)

2.6yrs

Tenure

US$3,599,678

Compensation

Mr. Mark D. Morelli has been the Chief Executive Officer and President of Columbus McKinnon Corporation since February 28, 2017. Mr. Morelli served as an Executive in Residence at Battery Ventures. Mr. Mor ...


CEO Compensation Analysis

Mark's remuneration is higher than average for companies of similar size in United States of America.

Mark's compensation has been consistent with company performance over the past year, both up more than 20%.


Management Age and Tenure

2.7yrs

Average Tenure

58yo

Average Age

The tenure for the Columbus McKinnon management team is about average.


Board Age and Tenure

2.6yrs

Average Tenure

63yo

Average Age

The average tenure for the Columbus McKinnon board of directors is less than 3 years, this suggests a new board.


Insider Trading

No 3 month open market individual insider trading information.


Recent Insider Transactions

SellUS$801,27813 Jun 19
Peter McCormick
EntityIndividual
Role
Other Key Executive
Vice President of Crane Solutions
Shares20,609
Max PriceUS$38.88
SellUS$375,41311 Jun 19
Peter McCormick
EntityIndividual
Role
Other Key Executive
Vice President of Crane Solutions
Shares9,700
Max PriceUS$38.75
SellUS$219,39331 May 19
Peter McCormick
EntityIndividual
Role
Other Key Executive
Vice President of Crane Solutions
Shares5,990
Max PriceUS$36.76

Ownership Breakdown


Management Team

  • Peter McCormick (59yo)

    Vice President of Crane Solutions

    • Tenure: 2.7yrs
    • Compensation: US$1.08m
  • Mark Morelli (55yo)

    President

    • Tenure: 2.6yrs
    • Compensation: US$3.60m
  • Alan Korman (58yo)

    VP of Corporate Development

    • Tenure: 8.7yrs
    • Compensation: US$1.02m
  • Greg Rustowicz (59yo)

    VP of Finance

    • Tenure: 8.1yrs
    • Compensation: US$1.38m
  • Kurt Wozniak (55yo)

    Vice President of Industrial Products

    • Tenure: 9.2yrs
    • Compensation: US$1.04m
  • Bert Brant (58yo)

    Vice President of Global Manufacturing Operations

    • Tenure: 1.6yrs
  • Mark Paradowski (49yo)

    Vice President of Information Services

    • Tenure: 6.2yrs
  • Mario Ramos

    Vice President of Global Product Development

    • Tenure: 1.3yrs
  • Appal Chintapalli

    Vice President of Engineered Products

    • Tenure: 0.5yrs

Board Members

  • R. Trumbull (70yo)

    Director

    • Tenure: 5.7yrs
    • Compensation: US$196.53k
  • Rick Fleming (72yo)

    Chairman of the Board

    • Tenure: 1.2yrs
    • Compensation: US$236.53k
  • Ernie Verebelyi (71yo)

    Chairman Emeritus

    • Tenure: 1.2yrs
    • Compensation: US$176.53k
  • Nicholas Pinchuk (72yo)

    Director

    • Tenure: 12.7yrs
    • Compensation: US$176.53k
  • Kathy Roedel (58yo)

    Director

    • Tenure: 1.9yrs
    • Compensation: US$176.53k
  • Aziz Aghili (60yo)

    Independent Director

    • Tenure: 1.3yrs
    • Compensation: US$176.53k
  • Heath Mitts (48yo)

    Director

    • Tenure: 4.3yrs
    • Compensation: US$196.53k
  • Mark Morelli (55yo)

    President

    • Tenure: 2.6yrs
    • Compensation: US$3.60m
  • Liam McCarthy (63yo)

    Director

    • Tenure: 10.8yrs
    • Compensation: US$191.53k

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$900.919m
  • Shares outstanding: 23.62m
  • 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 Analysis2019/09/22 23:33
End of Day Share Price2019/09/20 00:00
Earnings2019/06/30
Annual Earnings2019/03/31


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.