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 Analysis

Undervalued with solid 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

Stable Share Price: CMCO's share price has been volatile over the past 3 months.


Market Performance


7 Day Return

-0.08%

CMCO

7.2%

US Machinery

5.3%

US Market


1 Year Return

-31.4%

CMCO

-22.4%

US Machinery

-10.7%

US Market

Return vs Industry: CMCO underperformed the US Machinery industry which returned -22.4% over the past year.

Return vs Market: CMCO underperformed the US Market which returned -10.7% over the past year.


Shareholder returns

CMCOIndustryMarket
7 Day-0.08%7.2%5.3%
30 Day-23.6%-19.0%-13.6%
90 Day-36.6%-29.4%-19.8%
1 Year-31.0%-31.4%-20.1%-22.4%-8.9%-10.7%
3 Year0.7%-1.0%0.4%-6.9%15.5%8.0%
5 Year-5.2%-8.3%21.8%6.4%35.2%20.4%

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?

>50%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: CMCO ($24.97) is trading below our estimate of fair value ($68.93)

Significantly Below Fair Value: CMCO is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: CMCO is good value based on its PE Ratio (8.4x) compared to the Machinery industry average (15.5x).

PE vs Market: CMCO is good value based on its PE Ratio (8.4x) compared to the US market (13.1x).


Price to Earnings Growth Ratio

PEG Ratio: CMCO's earnings are forecast to decline next year, so we can't calculate its PEG ratio.


Price to Book Ratio

PB vs Industry: CMCO is good value based on its PB Ratio (1.2x) compared to the US Machinery industry average (1.6x).


Next Steps

Future Growth

How is Columbus McKinnon forecast to perform in the next 1 to 3 years based on estimates from 6 analysts?

-14.1%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: CMCO's earnings are forecast to decline over the next 3 years (-14.1% per year).

Earnings vs Market: CMCO's earnings are forecast to decline over the next 3 years (-14.1% per year).

High Growth Earnings: CMCO's earnings are forecast to decline over the next 3 years.

Revenue vs Market: CMCO's revenue is expected to decline over the next 3 years (-7.4% per year).

High Growth Revenue: CMCO's revenue is forecast to decline over the next 3 years (-7.4% 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?

20.3%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: CMCO has high quality earnings.

Growing Profit Margin: CMCO's current net profit margins (8.4%) are higher than last year (3.6%).


Past Earnings Growth Analysis

Earnings Trend: CMCO's earnings have grown significantly by 20.3% per year over the past 5 years.

Accelerating Growth: CMCO's earnings growth over the past year (124.2%) exceeds its 5-year average (20.3% per year).

Earnings vs Industry: CMCO earnings growth over the past year (124.2%) exceeded the Machinery industry -2%.


Return on Equity

High ROE: CMCO's Return on Equity (14.5%) 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 ($361.7M) exceed its short term liabilities ($205.5M).

Long Term Liabilities: CMCO's short term assets ($361.7M) do not cover its long term liabilities ($390.0M).


Debt to Equity History and Analysis

Debt Level: CMCO's debt to equity ratio (54.7%) is considered high.

Reducing Debt: CMCO's debt to equity ratio has increased from 50.8% to 54.7% over the past 5 years.

Debt Coverage: CMCO's debt is well covered by operating cash flow (36.2%).

Interest Coverage: CMCO's interest payments on its debt are well covered by EBIT (7.6x coverage).


Balance Sheet

Inventory Level: CMCO has a high level of physical assets or inventory.

Debt Coverage by Assets: CMCO's debt is covered by short term assets (assets are 1.4x debt).


Next Steps

Dividend

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

0.96%

Current Dividend Yield


Upcoming Dividend Payment


Dividend Yield vs Market

Notable Dividend: CMCO's dividend (0.96%) isn’t notable compared to the bottom 25% of dividend payers in the US market (1.95%).

High Dividend: CMCO's dividend (0.96%) is low compared to the top 25% of dividend payers in the US market (5.37%).


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?

3.2yrs

Average management tenure


CEO

Rick Fleming (72yo)

0.17

Tenure

US$236,525

Compensation

Mr. Richard H. Fleming, also known as Rick, serves as Interim Chief executive Officer at Columbus McKinnon Corporation since January 10, 2020. He has been an Independent Director of Columbus McKinnon Corp. ...


Leadership Team

NamePositionTenureCompensationOwnership
Richard Fleming
Independent Chairman of the Board & Interim CEO0.17yrUS$236.53k0.22% $1.3m
Gregory Rustowicz
VP of Finance8.58yrsUS$1.38m0.16% $952.9k
Alan Korman
VP of Corporate Development9.17yrsUS$1.02m0.058% $343.1k
Peter McCormick
Vice President of Crane Solutions3.17yrsUS$1.08m0.10% $600.6k
Lynn Bostrom
Director of Global Marketingno datano datano data
Appal Chintapalli
Vice President of Engineered Products1yrno data0.032% $190.1k

3.2yrs

Average Tenure

59yo

Average Age

Experienced Management: CMCO's management team is considered experienced (3.2 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Richard Fleming
Independent Chairman of the Board & Interim CEO0.17yrUS$236.53k0.22% $1.3m
R. Trumbull
Independent Director6.17yrsUS$196.53k0.084% $495.1k
Ernest Verebelyi
Chairman Emeritus1.67yrsUS$176.53k0.20% $1.2m
Nicholas Pinchuk
Independent Director13.17yrsUS$176.53k0.19% $1.1m
Kathryn Roedel
Independent Director2.42yrsUS$176.53k0.015% $91.4k
Aziz Aghili
Independent Director1.83yrsUS$176.53k0.015% $91.4k
Heath Mitts
Independent Director4.83yrsUS$196.53k0.068% $403.1k
Liam McCarthy
Independent Director11.33yrsUS$191.53k0.18% $1.0m
Jeanne Beliveau-Dunn
Independent Directorno datano datano data

3.6yrs

Average Tenure

63yo

Average Age

Experienced Board: CMCO's board of directors are considered experienced (3.6 years average tenure).


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$592.499m
  • Shares outstanding: 23.70m
  • 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 and industrial applications worldwide. It offers various electric chain hoists, electric wire rope hoists, hand-operated hoists, winches, lever tools, and air-powered hoists under the Budgit, Chester, CM, Coffing, Little Mule, Pfaff, Shaw-Box, Yale, STAHL, and other brands; below-the-hook tooling, clamps, and textile strappings; and explosion-protected hoists, as well as supplies hoist trolleys. The company also provides alloy and carbon steel chains; alloy chains under the Herc-Alloy brand; load chains and carbon steel welded-link chains; alloy and carbon steel closed-die forged chain attachments, including hooks, shackles, Hammerloks, and master links; and carbon steel forged and stamped products, such as load binders, logging tools, and other securing devices. In addition, it offers power and motion control systems, which comprise AC and DC drive systems, radio remote controls, push button pendant stations, brakes, collision avoidance, and power delivery subsystems, as well as AC and DC digital motion control systems for underground coal mining equipment; industrial components, including mechanical and electromechanical actuators and rotary unions; and DC high-performance elevator drives, AC drives, and regenerative controls. Further, the company offers automated workstation crane under the ProPath brand. The company sells its products through its sales force and independent distributors. Columbus McKinnon Corporation was founded in 1875 and is headquartered in Getzville, New York. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/04/01 00:04
End of Day Share Price2020/03/31 00:00
Earnings2019/12/31
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.