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Franklin Electric

Nasdaq:FELE
Snowflake Description

Flawless balance sheet with proven track record.

The Snowflake is generated from 30 checks in 5 different areas, read more below.
FELE
Nasdaq
$2B
Market Cap
  1. Home
  2. US
  3. Capital Goods
Company description

Franklin Electric Co., Inc., together with its subsidiaries, designs, manufactures, and distributes water and fuel pumping systems worldwide. The last earnings update was 48 days ago. More info.


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FELE Share Price and Events
7 Day Returns
-0.3%
NasdaqGS:FELE
0.2%
US Machinery
0.3%
US Market
1 Year Returns
-2.8%
NasdaqGS:FELE
-2%
US Machinery
0.7%
US Market
FELE Shareholder Return
  7 Day 30 Day 90 Day 1 Year 3 Year 5 Year
Franklin Electric (FELE) -0.3% 0.6% -11.8% -2.8% 32.8% 13.6%
US Machinery 0.2% 2.1% -1% -2% 42.1% 20.3%
US Market 0.3% 0.4% 0.6% 0.7% 37.2% 37.4%
1 Year Return vs Industry and Market
  • FELE underperformed the Market in United States of America which returned 0.7% over the past year.
Price Volatility
FELE
Industry
5yr Volatility vs Market
Related Companies

FELE Value

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

Value is all about what a company is worth versus what price it is available for. If you went into a grocery store and all the bananas were on sale at half price, they could be considered undervalued.
INTRINSIC VALUE BASED ON FUTURE CASH FLOWS
Here we compare the current share price of Franklin Electric to its discounted cash flow analysis.value.

The discounted cash flow value is simply looking at what the company is worth today, based on estimates of how much money it is expected to make in the future.
Raw Data

Below are the data sources, inputs and calculation used to determine the intrinsic value for Franklin Electric.

NasdaqGS:FELE Discounted Cash Flow Data Sources
Data Point Source Value
Valuation Model 2 Stage Free Cash Flow to Equity
Levered Free Cash Flow Average of 4 Analyst Estimates (S&P Global) See below
Discount Rate (Cost of Equity) See below 9.3%
Perpetual Growth Rate 10-Year US Government Bond Rate 2.7%

An important part of a discounted cash flow is the discount rate, below we explain how it has been calculated.

Calculation of Discount Rate/ Cost of Equity for NasdaqGS:FELE
Data Point Calculation/ Source Result
Risk-Free Rate 10-Year US Govt Bond Rate 2.7%
Equity Risk Premium S&P Global 6%
Machinery Unlevered Beta Simply Wall St/ S&P Global 1.06
Re-levered Beta = Unlevered beta (1 + (1- tax rate) (Debt/Equity))
= 1.063 (1 + (1- 21%) (11.86%))
1.109
Levered Beta Levered Beta limited to 0.8 to 2.0
(practical range for a stable firm)
1.11
Discount Rate/ Cost of Equity = Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= 2.73% + (1.109 * 5.96%)
9.34%

Discounted Cash Flow Calculation for NasdaqGS:FELE using 2 Stage Free Cash Flow to Equity Model

The calculations below outline how an intrinsic value for Franklin Electric is arrived at by discounting future cash flows to their present value using the 2 stage method. We try to start with analysts estimates of free cash flow, however if these are not available we use the most recent financial results. In the 1st stage we continue to grow the free cash flow over a 10 year period, with the growth rate trending towards the perpetual growth rate used in the 2nd stage. The 2nd stage assumes the company grows at a stable rate into perpetuity.

NasdaqGS:FELE DCF 1st Stage: Next 10 year cash flow forecast
Levered FCF (USD, Millions) Source Present Value
Discounted (@ 9.34%)
2019 105.74 Analyst x2 96.71
2020 120.97 Analyst x2 101.19
2021 133.32 Est @ 10.21% 101.99
2022 143.94 Est @ 7.96% 100.71
2023 153.14 Est @ 6.39% 97.99
2024 161.24 Est @ 5.29% 94.37
2025 168.54 Est @ 4.52% 90.21
2026 175.26 Est @ 3.99% 85.80
2027 181.59 Est @ 3.61% 81.30
2028 187.66 Est @ 3.35% 76.85
Present value of next 10 years cash flows $927.13
NasdaqGS:FELE DCF 2nd Stage: Terminal Value
Calculation Result
Terminal Value = FCF2028 × (1 + g) ÷ (Discount Rate – g)
= $187.66 × (1 + 2.73%) ÷ (9.34% – 2.73%)
$2,916.94
Present Value of Terminal Value = Terminal Value ÷ (1 + r)10
= $2,916.94 ÷ (1 + 9.34%)10
$1,194.46
NasdaqGS:FELE Total Equity Value
Calculation Result
Total Equity Value = Present value of next 10 years cash flows + Terminal Value
= $927.13 + $1,194.46
$2,121.59
Equity Value per Share
(USD)
= Total value / Shares Outstanding
= $2,121.59 / 46.41
$45.72
NasdaqGS:FELE Discount to Share Price
Calculation Result
Value per share (USD) From above. $45.72
Current discount Discount to share price of $45.62
= -1 x ($45.62 - $45.72) / $45.72
0.2%

Learn more about our DCF calculations in Simply Wall St’s analysis model .

Current Discount
Amount off the current price Franklin Electric is available for.
Intrinsic value
0%
Share price is $45.62 vs Future cash flow value of $45.72
Current Discount Checks
For Franklin Electric to be considered undervalued it must be available for at least 20% below the current price. Less than 40% is even better.
  • Franklin Electric's share price is below the future cash flow value, but not at a moderate discount (< 20%).
  • Franklin Electric's share price is below the future cash flow value, but not at a substantial discount (< 40%).
PRICE RELATIVE TO MARKET
We can also value a company based on what the stock market is willing to pay for it. This is similar to the price of fruit (e.g. Mangoes or Avocados) increasing when they are out of season, or how much your home is worth.

The amount the stock market is willing to pay for Franklin Electric's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are Franklin Electric's earnings available for a low price, and how does this compare to other companies in the same industry?
Raw Data
NasdaqGS:FELE PE (Price to Earnings) Ratio Data Sources
Data Point Source Value
Earnings Per Share * Company Filings (2019-03-31) in USD $2.00
NasdaqGS:FELE Share Price ** NasdaqGS (2019-06-17) in USD $45.62
United States of America Machinery Industry PE Ratio Median Figure of 99 Publicly-Listed Machinery Companies 20.41x
United States of America Market PE Ratio Median Figure of 3,093 Publicly-Listed Companies 17.68x

* Trailing twelve months (TTM) annual GAAP earnings per share excluding extraordinary items.

** Primary Listing of Franklin Electric.

NasdaqGS:FELE PE (Price to Earnings) Ratio Calculation
Calculation Outcome
PE Ratio

= NasdaqGS:FELE Share Price ÷ EPS (both in USD)

= 45.62 ÷ 2.00

22.81x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Franklin Electric is overvalued based on earnings compared to the US Machinery industry average.
  • Franklin Electric is overvalued based on earnings compared to the United States of America market.
Price based on expected Growth
Does Franklin Electric's expected growth come at a high price?
Raw Data
NasdaqGS:FELE PEG (Price to Earnings to Growth) Ratio Data Sources
Data Point Source Value
PE Ratio See PE Ratio Section 22.81x
Net Income Annual Growth Rate See Future Growth Section.
Line of Best Fit* through Consensus Estimate Earnings of 4 Analysts
15.4%per year
United States of America Machinery Industry PEG Ratio Median Figure of 80 Publicly-Listed Machinery Companies 1.45x
United States of America Market PEG Ratio Median Figure of 2,125 Publicly-Listed Companies 1.52x

*Line of best fit is calculated by linear regression .

NasdaqGS:FELE PEG (Price to Earnings to Growth) Ratio Calculation
Calculation Outcome
PEG Ratio

= PE Ratio ÷ Net Income Annual Growth Rate

= 22.81x ÷ 15.4%

1.48x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Franklin Electric is poor value based on expected growth next year.
Price based on value of assets
What value do investors place on Franklin Electric's assets?
Raw Data
NasdaqGS:FELE PB (Price to Book) Ratio Data Sources
Data Point Source Value
Book Value per Share Company Filings (2019-03-31) in USD $15.83
NasdaqGS:FELE Share Price * NasdaqGS (2019-06-17) in USD $45.62
United States of America Machinery Industry PB Ratio Median Figure of 127 Publicly-Listed Machinery Companies 2.23x
United States of America Market PB Ratio Median Figure of 5,245 Publicly-Listed Companies 1.79x
NasdaqGS:FELE PB (Price to Book) Ratio Calculation
Calculation Outcome
PB Ratio

= NasdaqGS:FELE Share Price ÷ Book Value per Share (both in USD)

= 45.62 ÷ 15.83

2.88x

* Primary Listing of Franklin Electric.

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Franklin Electric is overvalued based on assets compared to the US Machinery industry average.
X
Value checks
We assess Franklin Electric's value by looking at:
  1. Is the discounted cash flow value less than 20%, or 40% of the share price? (2 checks) ( Click here or on bar chart for details of DCF calculation. )
  2. Is the PE ratio less than the market average, and/ or less than the Machinery industry average (and greater than 0)? (2 checks)
  3. Is the PEG ratio within a reasonable range (0 to 1)? (1 check)
  4. Is the PB ratio less than the Machinery industry average (and greater than 0)? (1 check)
  5. Franklin Electric has a total score of 0/6, see the detailed checks below.

    Note: We use GAAP Earnings per Share in all our calculations including PE and PEG Ratio.

    Full details on the Value part of the Simply Wall St company analysis model.

FELE Future Performance

 How is Franklin Electric expected to perform in the next 1 to 3 years based on estimates from 4 analysts?

The future performance of a company is measured in the same way as past performance, by looking at estimated growth and how much profit it is expected to make.

Future estimates come from professional analysts. Just like forecasting the weather, they don’t always get it right!
Annual Growth Rate
15.4%
Expected annual growth in earnings.
Earnings growth vs Low Risk Savings
Is Franklin Electric expected to grow at an attractive rate?
  • Franklin Electric's earnings growth is expected to exceed the low risk savings rate of 2.7%.
Growth vs Market Checks
  • Franklin Electric's earnings growth is expected to exceed the United States of America market average.
  • Franklin Electric's revenue growth is positive but not above the United States of America market average.
Annual Growth Rates Comparison
Raw Data
NasdaqGS:FELE Future Growth Rates Data Sources
Data Point Source Value (per year)
NasdaqGS:FELE Future Earnings Growth Rate Line of Best Fit* through Consensus Estimate Earnings of 4 Analysts 15.4%
NasdaqGS:FELE Future Revenue Growth Rate Line of Best Fit* through Consensus Estimate Revenue of 4 Analysts 4.6%
United States of America Machinery Industry Earnings Growth Rate Market Cap Weighted Average 10.2%
United States of America Machinery Industry Revenue Growth Rate Market Cap Weighted Average 3.2%
United States of America Market Earnings Growth Rate Market Cap Weighted Average 13.8%
United States of America Market Revenue Growth Rate Market Cap Weighted Average 7.3%

*Line of best fit is calculated by linear regression .

Industry and Market average data is calculated daily.

Learn more about our growth rate calculations in Simply Wall St’s analysis model.

Analysts growth expectations
Raw Data
NasdaqGS:FELE Analysts Growth Expectations Data Sources
Data Point Source Value
Past Financials Company Filings (2 months ago) See Below
Future Estimates Average of up to 4 Analyst Estimates (S&P Global) See Below
All numbers in USD Millions and using Trailing twelve months (TTM) annual period rather than quarterly.
NasdaqGS:FELE Future Estimates Data
Date (Data in USD Millions) Revenue Cash Flow Net Income * Avg. No. Analysts
2020-12-31 1,403 138 120 4
2019-12-31 1,342 141 101 4
NasdaqGS:FELE Past Financials Data
Date (Data in USD Millions) Revenue Cash Flow Net Income *
2019-03-31 1,293 153 93
2018-12-31 1,298 128 105
2018-09-30 1,270 87 89
2018-06-30 1,239 84 84
2018-03-31 1,200 64 83
2017-12-31 1,125 67 78
2017-09-30 1,076 85 87
2017-06-30 1,005 74 86
2017-03-31 952 91 80
2016-12-31 950 115 77
2016-10-01 930 110 75
2016-07-02 922 122 72
2016-04-02 918 121 65

*GAAP earnings excluding extraordinary items.

Super high growth metrics
High Growth Checks
  • Franklin Electric's earnings are expected to grow by 15.4% yearly, however this is not considered high growth (20% yearly).
  • Franklin Electric's revenue is expected to grow by 4.6% yearly, however this is not considered high growth (20% yearly).
Past and Future Earnings per Share
The accuracy of the analysts who estimate the future performance data can be gauged below. We look back 3 years and see if they were any good at predicting what actually occurred. We also show the highest and lowest estimates looking forward to see if there is a wide range.
Raw Data
NasdaqGS:FELE Past and Future Earnings per Share
Data Point Source Value
Past Financials Company Filings (2 months ago) See Below
Future Estimates Average of up to 4 Analyst Estimates (S&P Global) See Below

All data from Franklin Electric Company Filings, last reported 2 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

NasdaqGS:FELE Future Estimates Data
Date (Data in USD Millions) EPS * EPS High Estimate EPS Low Estimate Avg. No. Analysts
2020-12-31 2.57 2.65 2.47 4.00
2019-12-31 2.27 2.37 2.09 3.00
NasdaqGS:FELE Past Financials Data
Date (Data in USD Millions) EPS *
2019-03-31 2.00
2018-12-31 2.25
2018-09-30 1.91
2018-06-30 1.79
2018-03-31 1.78
2017-12-31 1.67
2017-09-30 1.87
2017-06-30 1.86
2017-03-31 1.72
2016-12-31 1.67
2016-10-01 1.63
2016-07-02 1.56
2016-04-02 1.39

*GAAP earnings excluding extraordinary items.

Performance in 3 years
In the same way as past performance we look at the future estimated return (profit) compared to the available funds. We do this looking forward 3 years.
  • Unable to establish if Franklin Electric will efficiently use shareholders’ funds in the future without estimates of Return on Equity.
X
Future performance checks
We assess Franklin Electric's future performance by looking at:
  1. Is the annual earnings growth rate expected to beat the low risk savings rate, plus a premium to keep pace with inflation?
  2. Is the annual earnings growth rate expected to beat the average growth rate in earnings of the United States of America market? (1 check)
  3. Is the annual revenue growth rate expected to beat the average growth rate in revenue of the United States of America market? (1 check)
  4. Is the annual earnings growth rate expected to be above 20%? (1 check)
  5. Is the annual revenue growth rate expected to be above 20%? (1 check)
  6. Is the Return on Equity in 3 years expected to be over 20%? (1 check)
Some of the above checks will fail if the company is expected to be loss making in the relevant year.
Franklin Electric has a total score of 2/6, see the detailed checks below.

Note 1: We use GAAP Net Income Excluding Exceptional Items for our Earnings in all our calculations.

Full details on the Future part of the Simply Wall St company analysis model.

FELE Past Performance

  How has Franklin Electric performed over the past 5 years?

The past performance of a company can be measured by how much growth it has experienced and how much profit it makes relative to the funds and assets it has available.
Past earnings growth
Below we compare Franklin Electric's growth in the last year to its industry (Machinery).
Past Earnings growth analysis
We also check if the company has grown in the past 5 years, and whether it has maintained that growth in the year.
  • Franklin Electric's year on year earnings growth rate has been positive over the past 5 years.
  • Franklin Electric's 1-year earnings growth exceeds its 5-year average (12.1% vs 5.7%)
  • Franklin Electric's earnings growth has not exceeded the US Machinery industry average in the past year (12.1% vs 28.5%).
Earnings and Revenue History
Franklin Electric's revenue and profit over the past 5 years is shown below, any years where they have experienced a loss will show up in red.
Raw Data

All data from Franklin Electric Company Filings, last reported 2 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

NasdaqGS:FELE Past Revenue, Cash Flow and Net Income Data
Date (Data in USD Millions) Revenue Net Income * G+A Expenses R&D Expenses
2019-03-31 1,293.21 93.06 301.73
2018-12-31 1,298.13 105.08 298.71
2018-09-30 1,269.66 89.05 292.99
2018-06-30 1,238.91 83.51 291.06
2018-03-31 1,200.29 83.02 283.13
2017-12-31 1,124.91 77.58 265.05
2017-09-30 1,076.30 86.95 248.61
2017-06-30 1,004.95 86.05 235.04
2017-03-31 951.68 79.72 225.56
2016-12-31 949.86 77.05 221.13
2016-10-01 929.55 75.26 215.06
2016-07-02 922.28 72.33 206.21
2016-04-02 917.63 64.81 202.14
2016-01-02 924.92 71.45 204.05
2015-10-03 959.48 58.69 217.45
2015-07-04 1,005.05 60.33 222.86
2015-04-04 1,042.08 71.04 225.36
2015-01-03 1,047.78 68.21 225.31
2014-09-27 1,023.59 78.41 214.37
2014-06-28 995.38 81.00 209.05
2014-03-29 974.36 82.16 205.56
2013-12-28 965.46 80.76 203.91
2013-09-28 940.98 80.30 197.34
2013-06-29 928.69 77.50 197.92
2013-03-30 911.95 74.47 191.50
2012-12-29 891.35 82.26 186.79
2012-09-29 873.41 81.56 184.12
2012-06-30 860.25 78.72 180.26

*GAAP earnings excluding extraordinary items.

Performance last year
We want to ensure a company is making the most of what it has available. This is done by comparing the return (profit) to a company's available funds, assets and capital.
  • Franklin Electric has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).
  • Franklin Electric used its assets more efficiently than the US Machinery industry average last year based on Return on Assets.
  • Franklin Electric has improved its use of capital last year versus 3 years ago (Return on Capital Employed).
X
Past performance checks
We assess Franklin Electric's performance over the past 5 years by checking for:
  1. Has earnings increased in past 5 years? (1 check)
  2. Has the earnings growth in the last year exceeded that of the Machinery industry? (1 check)
  3. Is the recent earnings growth over the last year higher than the average annual growth over the past 5 years? (1 check)
  4. Is the Return on Equity (ROE) higher than 20%? (1 check)
  5. Is the Return on Assets (ROA) above industry average? (1 check)
  6. Has the Return on Capital Employed (ROCE) increased from 3 years ago? (1 check)
The above checks will fail if the company has reported a loss in the most recent earnings report. Some checks require at least 3 or 5 years worth of data.
Franklin Electric has a total score of 4/6, see the detailed checks below.

Note: We use GAAP Net Income excluding extraordinary items in all our calculations.

Full details on the Past part of the Simply Wall St company analysis model.

FELE Health

 How is Franklin Electric's financial health and their level of debt?

A company's financial position is much like your own financial position, it includes everything you own (assets) and owe (liabilities).

The boxes below represent the relative size of what makes up Franklin Electric's finances.

The net worth of a company is the difference between its assets and liabilities.
Net Worth
  • Franklin Electric is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.
  • Franklin Electric's cash and other short term assets cover its long term commitments.
Balance sheet
This treemap shows a more detailed breakdown of Franklin Electric's finances. If any of them are yellow this indicates they may be out of proportion and red means they relate to one of the checks below.
Assets
Liabilities and shares
The 'shares' portion represents any funds contributed by the owners (shareholders) and any profits.
  • High level of physical assets or inventory.
  • Debt is covered by short term assets, assets are 2.7x debt.
Historical Debt
Nearly all companies have debt. Debt in itself isn’t bad, however if the debt is too high, or the company can’t afford to pay the interest on its debts this may have impacts in the future.

The graphic below shows equity (available funds) and debt, we ideally want to see the red area (debt) decreasing.

If there is any debt we look at the companies capability to repay it, and whether the level has increased over the past 5 years.
Raw Data

All data from Franklin Electric Company Filings, last reported 2 months ago.

NasdaqGS:FELE Past Debt and Equity Data
Date (Data in USD Millions) Total Equity Total Debt Cash & Short Term Investments
2019-03-31 736.60 251.17 54.36
2018-12-31 736.35 206.35 59.17
2018-09-30 736.96 217.08 41.17
2018-06-30 715.79 262.72 70.04
2018-03-31 723.92 278.02 67.37
2017-12-31 704.12 226.05 67.23
2017-09-30 702.13 229.69 60.13
2017-06-30 673.38 271.41 55.10
2017-03-31 645.66 189.95 70.65
2016-12-31 622.74 190.26 104.33
2016-10-01 629.79 190.13 78.98
2016-07-02 609.18 212.88 71.58
2016-04-02 587.66 232.59 74.64
2016-01-02 566.32 220.75 81.56
2015-10-03 559.94 243.24 84.90
2015-07-04 604.31 225.35 63.03
2015-04-04 595.33 246.43 69.59
2015-01-03 605.40 177.79 59.14
2014-09-27 642.12 227.32 77.42
2014-06-28 643.48 245.17 87.68
2014-03-29 621.47 204.26 102.14
2013-12-28 603.39 189.53 134.55
2013-09-28 579.34 190.68 118.07
2013-06-29 552.17 192.29 77.09
2013-03-30 535.00 190.80 74.67
2012-12-29 522.25 165.91 103.34
2012-09-29 520.47 168.54 95.72
2012-06-30 489.44 172.01 86.25
  • Franklin Electric's level of debt (30.6%) compared to net worth is satisfactory (less than 40%).
  • The level of debt compared to net worth has been reduced over the past 5 years (33% vs 30.6% today).
  • Debt is well covered by operating cash flow (67.6%, greater than 20% of total debt).
  • Interest payments on debt are well covered by earnings (EBIT is 13.4x coverage).
X
Financial health checks
We assess Franklin Electric's financial health by checking for:
  1. Are short term assets greater than short term liabilities? (1 check)
  2. Are short term assets greater than long term liabilities? (1 check)
  3. Has the debt to equity ratio increased in the past 5 years? (1 check)
  4. Is the debt to equity ratio over 40%? (1 check)
  5. Is the debt covered by operating cash flow? (1 check)
  6. Are earnings greater than 5x the interest on debt (if company pays interest at all)? (1 check)
  7. Franklin Electric has a total score of 6/6, see the detailed checks below.
For companies that are loss making and have been so on average in the past we replace the last 2 checks with:
  1. Does cash and short term investments cover stable operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)
  2. Does cash and short term investments cover growing operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)


Full details on the Health part of the Simply Wall St company analysis model.

FELE Dividends

 What is Franklin Electric's current dividend yield, its reliability and sustainability?

Dividends are regular cash payments to you from the company, similar to a bank paying you interest on a savings account.
Annual Dividend Income
Dividend payments
1.27%
Current annual income from Franklin Electric dividends. Estimated to be 1.16% next year.
If you bought $2,000 of Franklin Electric shares you are expected to receive $25 in your first year as a dividend.
Dividend Amount
Here we look how much dividend is being paid, if any. Is it above what you can get in a savings account? It is up there with the best dividend paying companies?
  • Franklin Electric's pays a lower dividend yield than the bottom 25% of dividend payers in United States of America (1.46%).
  • Franklin Electric's dividend is below the markets top 25% of dividend payers in United States of America (3.71%).
Annualized Historical and Future Dividends
It is important to see if the dividend for a company is stable, and not wildly increasing/decreasing each year. This graph shows you the historical rate to count toward your assessment of the stock.

We also check to see if the dividend has increased in the past 10 years.
Raw Data
NasdaqGS:FELE Annualized Past and Future Dividends
Data Point Source Value
Past Annualized Dividend Yield S&P Global Market Data See Below
Past Dividends per Share Company Filings/ Annualized Dividend Payments See Below
Future Dividends per Share Estimates Average of up to 4 Analyst Estimates (S&P Global) See Below
United States of America Machinery Industry Average Dividend Yield Market Cap Weighted Average of 77 Stocks 2.1%
United States of America Market Average Dividend Yield Market Cap Weighted Average of 2011 Stocks 2.5%
United States of America Minimum Threshold Dividend Yield 10th Percentile 0.8%
United States of America Bottom 25% Dividend Yield 25th Percentile 1.5%
United States of America Top 25% Dividend Yield 75th Percentile 3.7%

Industry and Market average data is calculated daily.

Note all dividend per share amounts are annualized and not quarterly or other period.

NasdaqGS:FELE Future Dividends Estimate Data
Date (Data in $) Dividend per Share (annual) Avg. No. Analysts
2020-12-31 0.53 2.00
2019-12-31 0.53 2.00
NasdaqGS:FELE Past Annualized Dividends Data
Date (Data in $) Dividend per share (annual) Avg. Yield (%)
2019-04-22 0.580 1.257
2019-01-22 0.580 1.147
2018-10-22 0.480 1.110
2018-07-23 0.480 1.011
2018-04-23 0.480 1.053
2018-01-22 0.430 1.020
2017-10-23 0.430 0.954
2017-07-24 0.430 1.040
2017-04-24 0.430 1.074
2017-01-23 0.400 0.966
2016-10-24 0.400 1.021
2016-07-25 0.400 1.035
2016-04-21 0.400 1.192
2016-01-25 0.390 1.307
2015-10-30 0.390 1.343
2015-08-03 0.390 1.366
2015-05-08 0.390 1.216
2015-01-28 0.360 0.978
2014-10-24 0.360 0.984
2014-07-24 0.360 0.980
2014-05-02 0.360 0.925
2014-01-27 0.310 0.752
2013-10-25 0.310 0.736
2013-07-26 0.310 0.817
2013-05-03 0.310 0.892
2013-01-28 0.290 0.893
2012-10-26 0.290 0.957
2012-07-27 0.290 1.007
2012-05-04 0.290 1.150
2012-01-30 0.270 1.067
2011-10-28 0.270 1.172
2011-07-29 0.270 1.343
2011-05-06 0.270 1.213
2011-02-03 0.260 1.193
2010-11-01 0.260 1.313
2010-07-28 0.260 1.559
2010-02-05 0.250 1.662
2009-07-27 0.250 1.699

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Dividends per share have been stable in the past 10 years.
  • Dividends per share have increased over the past 10 years.
Current Payout to shareholders
What portion of Franklin Electric's earnings are paid to the shareholders as a dividend.
  • Dividends paid are well covered by earnings (4x coverage).
Future Payout to shareholders
  • Insufficient estimate data to determine if a dividend will be paid in 3 years and that it will be sustainable.
X
Income/ dividend checks
We assess Franklin Electric's dividend by checking for:
  1. Firstly is the company paying a notable dividend (greater than 0.8%) - if not then the rest of the checks are ignored.
  2. Is current dividend yield above the bottom 25% of dividend payers? (1 check)
  3. Is current dividend yield above the top 25% of dividend payers? (1 check)
  4. Have they paid a dividend for 10 years, and during this period has the dividend been volatile (drop of more than 25%)? (1 check)
  5. If they have paid a dividend for 10 years has it increased in this time? (1 check)
  6. How sustainable is the dividend, can Franklin Electric afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks)
  7. Franklin Electric has a total score of 3/6, see the detailed checks below.


Full details on the Dividends part of the Simply Wall St company analysis model.

FELE Management

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

Management is one of the most important areas of a company. We look at unreasonable CEO compensation, how long the team and board of directors have been around for and insider trading.
CEO
Gregg Sengstack
COMPENSATION $5,103,276
AGE 60
TENURE AS CEO 5.1 years
CEO Bio

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, and also serves as its President. Mr. Sengstack served as President of Franklin Electric Co., Inc since December 05, 2011 until 2015. Mr. Sengstack served as the Chief Operating Officer of Franklin Electric Co. Inc from December 05, 2011 to May 2, 2014. Mr. Sengstack joined Franklin Electric Co. in 1988 and has worked on numerous acquisitions in the U.S. and overseas during his career. Mr. Sengstack served as Senior Vice President of FE and President of International Water Systems & Fueling Group at Franklin Electric Co. Inc. from 2005 to 2011. Mr. Sengstack is responsible for Franklin Electric's Water Systems business in the Pacific Rim as well as its Fueling Systems business unit. He served as Senior Vice President of Franklin Electric Co. Inc. from 1999 to June 2005 and again served in the same position since June 2005. He served as the President of International and Fueling Group at Franklin Electric Co. Inc., since June 2005. Mr. Sengstack served as the Chief Financial Officer and Secretary at Franklin Electric Co. Inc. from 1999 to June 2005 and also served as the Principal Accounting Officer until June 2005. He has been an Independent Director of Woodward, Inc. since September 21, 2011 and Franklin Electric Co., Inc. since May 2, 2014. He serves as a Director of Indiana Tech and the Canterbury School. He is also a Certified Public Accountant and certified as an airline transport pilot and flight instructor. Mr. Sengstack bachelor's degree in math and economics from Bucknell University, Pennsylvania and received his MBA from the University of Chicago.

CEO Compensation
  • Gregg's compensation has been consistent with company performance over the past year, both up more than 20%.
  • Gregg's remuneration is about average for companies of similar size in United States of America.
Management Team Tenure

Average tenure and age of the Franklin Electric management team in years:

2.8
Average Tenure
53
Average Age
  • The tenure for the Franklin Electric management team is about average.
Management Team

Gregg Sengstack

TITLE
Chairman
COMPENSATION
$5M
AGE
60
TENURE
5.1 yrs

John Haines

TITLE
VP & CFO
COMPENSATION
$2M
AGE
54
TENURE
11.2 yrs

Don Kenney

TITLE
VP & President of North America Water Systems
COMPENSATION
$1M
AGE
57
TENURE
2.2 yrs

Julie Freigang

TITLE
VP & Chief Information Officer
AGE
50
TENURE
5.4 yrs

Jon Grandon

TITLE
VP, Chief Administrative Officer
AGE
42
TENURE
2.8 yrs

Dee Davis

TITLE
VP & President of Headwater Companies
COMPENSATION
$1M
AGE
52
TENURE
2.2 yrs

Jay Walsh

TITLE
VP & President of Franklin Fueling Systems
TENURE
0.4 yrs
Board of Directors Tenure

Average tenure and age of the Franklin Electric board of directors in years:

6.7
Average Tenure
65
Average Age
  • The tenure for the Franklin Electric board of directors is about average.
Board of Directors

David Brown

TITLE
Independent Director
COMPENSATION
$195K
AGE
70
TENURE
11.4 yrs

Gregg Sengstack

TITLE
Chairman
COMPENSATION
$5M
AGE
60
TENURE
4.1 yrs

Jennifer Sherman

TITLE
Independent Director
COMPENSATION
$195K
AGE
53
TENURE
4.4 yrs

Renee Peterson

TITLE
Director
COMPENSATION
$195K
AGE
56
TENURE
3.8 yrs

Dave Wathen

TITLE
Lead Independent Director
COMPENSATION
$205K
AGE
65

Dave Roberts

TITLE
Independent Director
COMPENSATION
$185K
AGE
70
TENURE
15.7 yrs

Thomas VerHage

TITLE
Independent Director
COMPENSATION
$185K
AGE
65
TENURE
8.9 yrs
Who owns this company?
Recent Insider Trading
  • Franklin Electric insiders have only sold shares in the past 3 months.
Recent Insider Transactions
Announced Type Name Entity Role Start End Shares Max Price ($) Value ($)
25. Apr 19 Sell Donald Kenney Individual 25. Apr 19 25. Apr 19 -1,335 $46.40 $-61,941
08. Mar 19 Sell Donald Kenney Individual 07. Mar 19 07. Mar 19 -1,500 $52.14 $-78,208
07. Mar 19 Sell DeLancey Davis Individual 06. Mar 19 06. Mar 19 -2,885 $52.65 $-151,895
28. Feb 19 Sell DeLancey Davis Individual 28. Feb 19 28. Feb 19 -2,705 $53.75 $-145,394
26. Feb 19 Sell Thomas VerHage Individual 25. Feb 19 25. Feb 19 -2,000 $55.21 $-110,420
22. Feb 19 Sell John Haines Individual 21. Feb 19 21. Feb 19 -4,000 $55.18 $-220,720
13. Nov 18 Sell John Haines Individual 09. Nov 18 09. Nov 18 -2,000 $45.25 $-90,500
08. Aug 18 Sell Donald Kenney Individual 07. Aug 18 07. Aug 18 -1,500 $49.00 $-73,500
X
Management checks
We assess Franklin Electric's management by checking for:
  1. Is the CEO's compensation unreasonable compared to market cap? (1 check)
  2. Has the CEO's compensation increased more than 20% whilst the EPS is down more then 20%? (1 check)
  3. Is the average tenure of the management team less than 2 years? (1 check)
  4. Is the average tenure of the board of directors team less than 3 years? (1 check)
  5. Franklin Electric has a total score of 0/6, this is not included on the snowflake, see the detailed checks below.


Note: We use the top 6 management executives and board members in our calculations.

Note 2: Insider trading include any internal stakeholders and these transactions .

Full details on the Management part of the Simply Wall St company analysis model.

FELE News

Simply Wall St News

Does Franklin Electric Co., Inc.'s (NASDAQ:FELE) 12% Earnings Growth Make It An Outperformer?

Check out our latest analysis for Franklin Electric Did FELE's recent earnings growth beat the long-term trend and the industry? … Well, let’s take a look at whether it is only attributable to industry tailwinds, or if Franklin Electric has experienced some company-specific growth. … You should continue to research Franklin Electric to get a better picture of the stock by looking at: Future Outlook: What are well-informed industry analysts predicting for FELE’s future growth?

Simply Wall St -

Is Franklin Electric Co., Inc. (NASDAQ:FELE) Overpaying Its CEO?

This analysis aims first to contrast CEO compensation with other companies that have similar market capitalization. … See our latest analysis for Franklin Electric How Does Gregg Sengstack's Compensation Compare With Similar Sized Companies? … The graphic below shows how CEO compensation at Franklin Electric has changed from year to year.

Simply Wall St -

Have Insiders Been Selling Franklin Electric Co., Inc. (NASDAQ:FELE) Shares?

Check out our latest analysis for Franklin Electric The Last 12 Months Of Insider Transactions At Franklin Electric Over the last year, we can see that the biggest insider sale was by the VP &amp; CFO, John Haines, for US$221k worth of shares, at about US$55.18 per share. … Insiders at Franklin Electric Have Sold Stock Recently The last quarter saw substantial insider selling of Franklin Electric shares. … Franklin Electric insiders own about US$348m worth of shares (which is 17% of the company).

Simply Wall St -

Is Franklin Electric Co., Inc. (NASDAQ:FELE) A Financially Strong Company?

See our latest analysis for Franklin Electric Does FELE Produce Much Cash Relative To Its Debt? … Moreover, FELE has generated US$153m in operating cash flow over the same time period, leading to an operating cash to total debt ratio of 61%, signalling that FELE’s operating cash is sufficient to cover its debt. … Next Steps: FELE has demonstrated its ability to generate sufficient levels of cash flow, while its debt hovers at an appropriate level.

Simply Wall St -

If You Like EPS Growth Then Check Out Franklin Electric (NASDAQ:FELE) Before It's Too Late

But as Peter Lynch said in One Up On Wall Street, 'Long shots almost never pay off.' So if you're like me, you might be more interested in profitable, growing companies, like Franklin Electric (NASDAQ:FELE). … See our latest analysis for Franklin Electric Franklin Electric's Earnings Per Share Are Growing. … I like to see top-line growth as an indication that growth is sustainable, and I look for a high earnings before interest and taxation (EBIT) margin to point to a competitive moat (though some companies with low margins also have moats).

Simply Wall St -

How Does Investing In Franklin Electric Co., Inc. (NASDAQ:FELE) Impact The Volatility Of Your Portfolio?

Some stocks mimic the volatility of the market quite closely, while others demonstrate muted, exagerrated or uncorrelated price movements. … Some investors use beta as a measure of how much a certain stock is impacted by market risk (volatility). … Any stock with a beta of greater than one is considered more volatile than the market, while those with a beta below one are either less volatile or poorly correlated with the market.

Simply Wall St -

Has Franklin Electric Co., Inc. (NASDAQ:FELE) Been Employing Capital Shrewdly?

Specifically, we'll consider its Return On Capital Employed (ROCE), since that will give us an insight into how efficiently the business can generate profits from the capital it requires. … Understanding Return On Capital Employed (ROCE). … ROCE measures the 'return' (pre-tax profit) a company generates from capital employed in its business.

Simply Wall St -

You Have To Love Franklin Electric Co., Inc.'s (NASDAQ:FELE) Dividend

Yet sometimes, investors buy a stock for its dividend and lose money because the share price falls by more than they earned in dividend payments. … While Franklin Electric's 1.1% dividend yield is not the highest, we think its lengthy payment history is quite interesting. … Some simple analysis can offer a lot of insight when buying a company for its dividend, and we'll go through these below.

Simply Wall St -

Franklin Electric Co., Inc. (NASDAQ:FELE): The Yield That Matters The Most

I will take you through Franklin Electric’s cash flow health and the risk-return concept based on the stock’s cash flow yield, using the most recent financial data. … Franklin Electric generates cash through its day-to-day business, which needs to be reinvested into the company in order for it to continue operating. … The two ways to assess whether Franklin Electric’s FCF is sufficient, is to compare the FCF yield to the market index yield, as well as determine whether the top-line operating cash flows will continue to grow

Simply Wall St -

Taking A Look At Franklin Electric Co., Inc.'s (NASDAQ:FELE) ROE

With that in mind, this article will work through how we can use Return On Equity (ROE) to better understand a business. … Our data shows Franklin Electric has a return on equity of 14% for the last year. … Return on Equity = Net Profit ÷ Shareholders' Equity

Simply Wall St -

FELE Company Info

Description

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 electronic drives and controls are used in motors for controlling functionality, as well as providing protection from various hazards, such as electrical surges, over-heating, and dry wells and 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. Its fuel pumping systems are used principally in total system solutions for underground gasoline, diesel, and biofuel systems. 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 industrial markets. The Distribution segment sells to and provides pre-sale 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.

Details
Name: Franklin Electric Co., Inc.
FELE
Exchange: NasdaqGS
Founded: 1944
$2,117,022,468
46,405,578
Website: http://www.franklin-electric.com
Address: Franklin Electric Co., Inc.
9255 Coverdale Road,
Fort Wayne,
Indiana, 46809,
United States
Listings
Exchange Symbol Ticker Symbol Security Exchange Country Currency Listed on
NasdaqGS FELE Common Shares Nasdaq Global Select US USD 02. Jan 1980
DB FE4 Common Shares Deutsche Boerse AG DE EUR 02. Jan 1980
Number of employees
Current staff
Staff numbers
5,600
Franklin Electric employees.
Industry
Industrial Machinery
Capital Goods
Company Analysis and Financial Data Status
Area Date (UTC time)
Company Analysis updated: 2019/06/17 23:38
End of day share price update: 2019/06/17 00:00
Last estimates confirmation: 2019/06/05
Last earnings filing: 2019/04/30
Last earnings reported: 2019/03/31
Last annual earnings reported: 2018/12/31


All dates and times in UTC. All financial data provided by Standard & Poor’s Capital IQ.

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.