Franklin Electric
Market Cap
US$2.3b
Last Updated
2020/05/30 09:24 UTC
Data Sources
Company Financials +
Executive Summary
Franklin Electric Co., Inc., together with its subsidiaries, designs, manufactures, and distributes water and fuel pumping systems worldwide.
Rewards
Risk Analysis
No risks detected for FELE from our risk checks.
Snowflake Analysis
Flawless balance sheet with proven track record.
Similar Companies
Share Price & News
How has Franklin Electric's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: FELE has not had significant price volatility in the past 3 months.
Market Performance
7 Day Return
5.5%
FELE
6.8%
US Machinery
2.7%
US Market
1 Year Return
15.7%
FELE
0.5%
US Machinery
9.1%
US Market
Return vs Industry: FELE exceeded the US Machinery industry which returned 0.5% over the past year.
Return vs Market: FELE exceeded the US Market which returned 9.1% over the past year.
Shareholder returns
| FELE | Industry | Market | |
|---|---|---|---|
| 7 Day | 5.5% | 6.8% | 2.7% |
| 30 Day | -0.2% | 4.6% | 4.5% |
| 90 Day | -1.9% | -4.2% | 2.3% |
| 1 Year | 17.1%15.7% | 2.4%0.5% | 11.5%9.1% |
| 3 Year | 30.9%26.6% | 9.7%2.7% | 30.6%22.0% |
| 5 Year | 54.9%46.5% | 40.6%23.8% | 57.2%39.5% |
Price Volatility Vs. Market
How volatile is Franklin Electric's share price compared to the market and industry in the last 5 years?
Simply Wall St News
2 days ago | Simply Wall St
Is Franklin Electric Co., Inc.'s (NASDAQ:FELE) Stock's Recent Performance Being Led By Its Attractive Financial Prospects?1 week ago | Simply Wall St
Has Franklin Electric Co., Inc. (NASDAQ:FELE) Improved Earnings Growth In Recent Times?Valuation
Is Franklin Electric undervalued compared to its fair value and its price relative to the market?
24.41x
Price to Earnings (PE) ratio
Share Price vs. Fair Value
Below Fair Value: FELE ($50.72) is trading above our estimate of fair value ($29.45)
Significantly Below Fair Value: FELE is trading above our estimate of fair value.
Price To Earnings Ratio
PE vs Industry: FELE is poor value based on its PE Ratio (24.4x) compared to the Machinery industry average (20x).
PE vs Market: FELE is poor value based on its PE Ratio (24.4x) compared to the US market (15.9x).
Price to Earnings Growth Ratio
PEG Ratio: Insufficient data to calculate FELE's PEG Ratio to determine if it is good value.
Price to Book Ratio
PB vs Industry: FELE is overvalued based on its PB Ratio (3.1x) compared to the US Machinery industry average (2x).
Next Steps
Future Growth
How is Franklin Electric forecast to perform in the next 1 to 3 years based on estimates from 4 analysts?
1.3%
Forecasted annual revenue growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: Insufficient data to determine if FELE's forecast earnings growth is above the savings rate (2.2%).
Earnings vs Market: Insufficient data to determine if FELE's earnings are forecast to grow faster than the US market
High Growth Earnings: Insufficient data to determine if earnings are expected to grow significantly over the next 3 years.
Revenue vs Market: FELE's revenue (1.3% per year) is forecast to grow slower than the US market (8.8% per year).
High Growth Revenue: FELE's revenue (1.3% 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 FELE's Return on Equity is forecast to be high in 3 years time
Next Steps
Past Performance
How has Franklin Electric performed over the past 5 years?
9.3%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: FELE has high quality earnings.
Growing Profit Margin: FELE's current net profit margins (7.5%) are higher than last year (7.2%).
Past Earnings Growth Analysis
Earnings Trend: FELE's earnings have grown by 9.3% per year over the past 5 years.
Accelerating Growth: FELE's earnings growth over the past year (3.6%) is below its 5-year average (9.3% per year).
Earnings vs Industry: FELE earnings growth over the past year (3.6%) exceeded the Machinery industry -5.7%.
Return on Equity
High ROE: FELE's Return on Equity (13%) is considered low.
Next Steps
Financial Health
How is Franklin Electric's financial position?
Financial Position Analysis
Short Term Liabilities: FELE's short term assets ($543.1M) exceed its short term liabilities ($191.4M).
Long Term Liabilities: FELE's short term assets ($543.1M) exceed its long term liabilities ($204.9M).
Debt to Equity History and Analysis
Debt Level: FELE's debt to equity ratio (17.8%) is considered satisfactory.
Reducing Debt: FELE's debt to equity ratio has reduced from 41% to 17.8% over the past 5 years.
Debt Coverage: FELE's debt is well covered by operating cash flow (131%).
Interest Coverage: FELE's interest payments on its debt are well covered by EBIT (18.5x coverage).
Balance Sheet
Next Steps
Dividend
What is Franklin Electric's current dividend yield, its reliability and sustainability?
1.22%
Current Dividend Yield
Dividend Yield vs Market
Notable Dividend: FELE's dividend (1.22%) isn’t notable compared to the bottom 25% of dividend payers in the US market (1.69%).
High Dividend: FELE's dividend (1.22%) is low compared to the top 25% of dividend payers in the US market (4.48%).
Stability and Growth of Payments
Stable Dividend: FELE's dividends per share have been stable in the past 10 years.
Growing Dividend: FELE's dividend payments have increased over the past 10 years.
Current Payout to Shareholders
Dividend Coverage: With its reasonably low payout ratio (28.4%), FELE's dividend payments are well covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: Insufficient data to determine if a dividend will be paid in 3 years and that it will be covered by earnings.
Next Steps
Management
How experienced are the management team and are they aligned to shareholders interests?
3.7yrs
Average management tenure
CEO
Gregg Sengstack (61yo)
6yrs
Tenure
US$6,371,348
Compensation
Mr. Gregg C. Sengstack has been the Chief Executive Officer of Franklin Electric Co., Inc. since May 2, 2014 and has been its Chairman since May 8, 2015. Mr. Sengstack served as President of Franklin Elect ...
CEO Compensation Analysis
Compensation vs Market: Gregg's total compensation ($USD6.37M) is above average for companies of similar size in the US market ($USD4.77M).
Compensation vs Earnings: Gregg's compensation has increased by more than 20% in the past year.
Leadership Team
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| Chairman & CEO | 6yrs | US$6.37m | 0.85% $19.9m | |
| VP & CFO | 12.08yrs | US$1.57m | 0.065% $1.5m | |
| VP & President of Headwater Companies | 3.08yrs | US$1.02m | 0.0071% $166.0k | |
| VP & President of Global Water | 3.08yrs | US$1.39m | 0.023% $530.1k | |
| VP & Chief Information Officer | 6.33yrs | no data | 0.021% $490.3k | |
| VP, Chief Administrative Officer | 3.67yrs | no data | 0.035% $814.4k | |
| VP & President of Franklin Fueling Systems | 1.33yrs | no data | 0.022% $510.2k |
3.7yrs
Average Tenure
53yo
Average Age
Experienced Management: FELE's management team is considered experienced (3.7 years average tenure).
Board Members
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| Chairman & CEO | 6yrs | US$6.37m | 0.85% $19.9m | |
| Lead Independent Director | no data | US$207.50k | 0.0055% $127.8k | |
| Independent Director | 12.33yrs | US$232.00k | no data | |
| Independent Director | 5.33yrs | US$216.00k | no data | |
| Independent Director | 9.83yrs | US$207.50k | no data | |
| Director | 0.33yr | no data | no data | |
| Independent Director | 4.67yrs | US$217.50k | no data |
5.2yrs
Average Tenure
61yo
Average Age
Experienced Board: FELE's board of directors are considered experienced (5.2 years average tenure).
Ownership
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: FELE 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
Franklin Electric Co., Inc.'s company bio, employee growth, exchange listings and data sources
Key Information
- Name: Franklin Electric Co., Inc.
- Ticker: FELE
- Exchange: NasdaqGS
- Founded: 1944
- Industry: Industrial Machinery
- Sector: Capital Goods
- Market Cap: US$2.341b
- Shares outstanding: 46.16m
- Website: https://www.franklin-electric.com
Number of Employees
Location
- Franklin Electric Co., Inc.
- 9255 Coverdale Road
- Fort Wayne
- Indiana
- 46809
- United States
Listings
| Ticker | Exchange | Primary Security | Security Type | Country | Currency | Listed on |
|---|---|---|---|---|---|---|
| FELE | NasdaqGS (Nasdaq Global Select) | Yes | Common Shares | US | USD | Jan 1980 |
| FE4 | DB (Deutsche Boerse AG) | Yes | Common Shares | DE | EUR | Jan 1980 |
Biography
Franklin Electric Co., Inc., together with its subsidiaries, designs, manufactures, and distributes water and fuel pumping systems worldwide. It operates in three segments: Water Systems, Fueling Systems, and Distribution. The Water Systems segment offers submersible motors, pumps, drives, electronic controls, monitoring devices, and related parts and equipment. Its motors and pumps are used principally for pumping clean water and wastewater in various residential, agricultural, and industrial applications; and manufactures electronic drives and controls that are used in motors for controlling functionality, as well as provides protection from various hazards, such as electrical surges, over-heating, and dry wells or tanks. The Fueling Systems segment provides pumps, pipes, sumps, fittings, vapor recovery components, electronic controls, monitoring devices, and related parts and equipment primarily for use in submersible fueling system applications. This segment serves other energy markets, such as power reliability systems, as well as includes intelligent electronic devices for online monitoring of the power utility, hydroelectric, and telecommunication and data center infrastructure. The Distribution segment sells to and provides presale support and specifications to the installing contractors. It sells products produced by the Water Systems segment and other brands. The company sells its products to wholesale and retail distributors, specialty distributors, original equipment manufacturers, industrial and petroleum equipment distributors, and oil and utility companies through its employee sales force and independent manufacturing representatives. Franklin Electric Co., Inc. was founded in 1944 and is headquartered in Fort Wayne, Indiana.
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2020/05/30 09:24 |
| End of Day Share Price | 2020/05/29 00:00 |
| Earnings | 2020/03/31 |
| Annual Earnings | 2019/12/31 |
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.