NasdaqCM:CPST

Stock Analysis Report

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Executive Summary

Capstone Turbine Corporation develops, manufactures, markets, and services microturbine technology solutions for use in stationary distributed power generation applications worldwide. More Details


Snowflake Analysis

Adequate balance sheet with limited growth.


Similar Companies

Share Price & News

How has Capstone Turbine's share price performed over time and what events caused price changes?


Latest Share Price and Events

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


Market Performance


7 Day Return

-6.8%

CPST

-4.8%

US Electrical

-4.6%

US Market


1 Year Return

79.5%

CPST

19.3%

US Electrical

11.5%

US Market

Return vs Industry: CPST exceeded the US Electrical industry which returned 19.3% over the past year.

Return vs Market: CPST exceeded the US Market which returned 11.5% over the past year.


Shareholder returns

CPSTIndustryMarket
7 Day-6.8%-4.8%-4.6%
30 Day-2.7%1.0%-0.9%
90 Day15.5%12.7%2.2%
1 Year79.5%79.5%21.5%19.3%14.0%11.5%
3 Year-53.7%-53.7%33.6%26.2%34.5%25.6%
5 Year-88.4%-88.4%79.0%63.0%73.0%53.6%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

Is Capstone Turbine undervalued compared to its fair value and its price relative to the market?

3.96x

Price to Book (PB) ratio


Share Price vs. Fair Value

Below Fair Value: Insufficient data to calculate CPST's fair value to establish if it is undervalued.

Significantly Below Fair Value: Insufficient data to calculate CPST's fair value to establish if it is undervalued.


Price To Earnings Ratio

PE vs Industry: CPST is unprofitable, so we can't compare its PE Ratio to the US Electrical industry average.

PE vs Market: CPST 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 CPST's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: CPST is overvalued based on its PB Ratio (3.9x) compared to the US Electrical industry average (3.3x).


Next Steps

Future Growth

How is Capstone Turbine forecast to perform in the next 1 to 3 years based on estimates from 5 analysts?

56.5%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: CPST is forecast to remain unprofitable over the next 3 years.

Earnings vs Market: CPST is forecast to remain unprofitable over the next 3 years.

High Growth Earnings: CPST is forecast to remain unprofitable over the next 3 years.

Revenue vs Market: CPST's revenue (24.4% per year) is forecast to grow faster than the US market (10% per year).

High Growth Revenue: CPST's revenue (24.4% per year) is forecast to grow faster than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

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


Next Steps

Past Performance

How has Capstone Turbine performed over the past 5 years?

14.6%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: CPST is currently unprofitable.

Growing Profit Margin: CPST is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: CPST is unprofitable, but has reduced losses over the past 5 years at a rate of 14.6% per year.

Accelerating Growth: Unable to compare CPST's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: CPST is unprofitable, making it difficult to compare its past year earnings growth to the Electrical industry (-19.2%).


Return on Equity

High ROE: CPST has a negative Return on Equity (-140.76%), as it is currently unprofitable.


Next Steps

Financial Health

How is Capstone Turbine's financial position?


Financial Position Analysis

Short Term Liabilities: CPST's short term assets ($53.2M) exceed its short term liabilities ($21.6M).

Long Term Liabilities: CPST's short term assets ($53.2M) exceed its long term liabilities ($36.0M).


Debt to Equity History and Analysis

Debt Level: CPST's debt to equity ratio (238%) is considered high.

Reducing Debt: CPST's debt to equity ratio has increased from 56.9% to 238% over the past 5 years.


Balance Sheet


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: CPST has sufficient cash runway for 10 months based on last reported free cash flow, but has since raised additional capital.

Forecast Cash Runway: CPST has sufficient cash runway for more than 3 years if free cash flow continues to grow at historical rates of 1.1% each year


Next Steps

Dividend

What is Capstone Turbine current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

Notable Dividend: Unable to evaluate CPST's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.

High Dividend: Unable to evaluate CPST's dividend yield against the top 25% of dividend payers, as the company has not reported any recent payouts.


Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if CPST's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if CPST's dividend payments have been increasing.


Current Payout to Shareholders

Dividend Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.


Future Payout to Shareholders

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

0.9yrs

Average management tenure


CEO

Darren Jamison (54 yo)

13.83yrs

Tenure

US$846,858

Compensation

Mr. Darren R. Jamison has been the President and Chief Executive Officer at Capstone Turbine Corp. since December 6, 2006. Mr. Jamison served as President of Northern Power Systems Inc., a subsidiary of Di ...


CEO Compensation Analysis

Compensation vs Market: Darren's total compensation ($USD846.86K) is above average for companies of similar size in the US market ($USD593.13K).

Compensation vs Earnings: Darren's compensation has been consistent with company performance over the past year.


Leadership Team

NamePositionTenureCompensationOwnership
Darren Jamison
President13.83yrsUS$846.86k1.12%
$ 575.4k
Frederick Hencken
Chief Financial Officer1yrUS$322.94k0.49%
$ 252.2k
James Crouse
Chief Revenue Officer0.83yrUS$443.54k0.50%
$ 254.4k
Kirk Petty
Senior Vice President of Operations0.58yrno datano data
Neshan Tavitian
Chief Accounting Officerno datano datano data
Colby Petersen
Secretary & Corporate Counselno datano datano data
Jennifer Derstine
Vice President of Marketing & Distribution0.83yrno datano data
Jeff Foster
Senior Vice President of Customer Service & Product Development3yrsno datano data

0.9yrs

Average Tenure

47.5yo

Average Age

Experienced Management: CPST's management team is not considered experienced ( 0.9 years average tenure), which suggests a new team.


Board Members

NamePositionTenureCompensationOwnership
Darren Jamison
President13.83yrsUS$846.86k1.12%
$ 575.4k
Robert Flexon
Independent Director2.5yrsUS$97.50k0.089%
$ 45.5k
Yon Jorden
Independent Director3.5yrsUS$105.00k0.22%
$ 114.6k
Denise Wilson
Independent Director0.92yrUS$55.42k0.21%
$ 106.0k
Holly Van Deursen
Independent Chairman of the Board4.17yrsUS$113.75k0.40%
$ 203.7k
Paul DeWeese
Independent Director4.17yrsUS$92.50k0.15%
$ 74.5k
Robert Powelson
Independent Director1.33yrsUS$80.00k0.014%
$ 7.3k

3.5yrs

Average Tenure

60yo

Average Age

Experienced Board: CPST's board of directors are considered experienced (3.5 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.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have been diluted in the past year, with total shares outstanding growing by 39.2%.


Top Shareholders

Company Information

Capstone Turbine Corporation's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Capstone Turbine Corporation
  • Ticker: CPST
  • Exchange: NasdaqCM
  • Founded: 1988
  • Industry: Heavy Electrical Equipment
  • Sector: Capital Goods
  • Market Cap: US$51.269m
  • Shares outstanding: 11.07m
  • Website: https://www.capstoneturbine.com

Number of Employees


Location

  • Capstone Turbine Corporation
  • 16640 Stagg Street
  • Van Nuys
  • California
  • 91406
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
CPSTNasdaqCM (Nasdaq Capital Market)YesCommon StockUSUSDJun 2000
TBN2DB (Deutsche Boerse AG)YesCommon StockDEEURJun 2000

Biography

Capstone Turbine Corporation develops, manufactures, markets, and services microturbine technology solutions for use in stationary distributed power generation applications worldwide. It offers microturbin ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/10/30 00:46
End of Day Share Price2020/10/29 00:00
Earnings2020/06/30
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.