NasdaqGS:PLPC

Stock Analysis Report

Executive Summary

Preformed Line Products Company, together with its subsidiaries, designs and manufactures products and systems used in the construction and maintenance of overhead and underground networks for the energy, telecommunication, cable operator, information, and other industries.

Snowflake

Fundamentals

Excellent balance sheet with proven track record.


Similar Companies

Share Price & News

How has Preformed Line Products's share price performed over time and what events caused price changes?


Latest Share Price and Events


Market Performance


7 Day Return

-0.04%

PLPC

2.8%

US Electrical

1.0%

US Market


1 Year Return

-27.9%

PLPC

-0.05%

US Electrical

6.7%

US Market

Return vs Industry: PLPC underperformed the US Electrical industry which returned -0% over the past year.

Return vs Market: PLPC underperformed the US Market which returned 6.7% over the past year.


Share holder returns

PLPCIndustryMarket
7 Day-0.04%2.8%1.0%
30 Day-10.4%-3.4%-1.8%
90 Day-10.5%-1.0%-1.8%
1 Year-26.8%-27.9%2.1%-0.05%9.1%6.7%
3 Year25.0%20.1%39.5%31.4%46.0%36.6%
5 Year6.2%-1.9%36.5%22.9%66.9%48.6%

Price Volatility Vs. Market

How volatile is Preformed Line Products's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Preformed Line Products undervalued based on future cash flows and its price relative to the stock market?

10.76x

Price to Earnings (PE) ratio


Intrinsic Value Based on Future Cash Flows

Undervalued: PLPC ($51.4) is trading above our estimate of fair value ($9.85)

Significantly Undervalued: PLPC is trading above our estimate of fair value.


Price Based on Earnings

PE vs Industry: PLPC is good value based on its PE Ratio (10.8x) compared to the Electrical industry average (15.3x).

PE vs Market: PLPC is good value based on its PE Ratio (10.8x) compared to the US market (17.5x).


Price Based on Expected Growth

Low PEG Ratio: Insufficient data to calculate PLPC's PEG Ratio to determine if it is good value.


Price Based on Value of Assets

PB vs Industry: PLPC is good value based on its PB Ratio (1x) compared to the US Electrical industry average (1.5x).


Next Steps

Future Growth

How is Preformed Line Products expected to perform in the next 1 to 3 years based on estimates from 0 analysts?

16.9%

Forecasted annual earnings growth


Earnings and Revenue Growth Estimates


Future Annual Growth Analysis

Earnings vs Savings Rate: PLPC's forecast earnings growth (16.9% per year) is above the savings rate (2.7%).

Earnings vs Market: PLPC's earnings (16.9% per year) are forecast to grow faster than the US market (14.5% per year).

High Growth Earnings: PLPC's earnings are forecast to grow, but not significantly.

Revenue vs Market: Insufficient data to determine if PLPC's revenue is forecast to grow faster than the US market.

High Growth Revenue: Insufficient data to determine if PLPC's revenue is forecast to grow faster than 20% per year.


Earnings per Share Growth Estimates


Future Return on Equity

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


Next Steps

Past Performance

How has Preformed Line Products performed over the past 5 years?

18.4%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Earnings Trend: PLPC's earnings have grown by 18.4% per year over the past 5 years.

Accelerating Growth: PLPC's earnings growth over the past year (25%) exceeds its 5-year average (18.4% per year).

Earnings vs Industry: PLPC earnings growth over the past year (25%) exceeded the Electrical industry 24%.


Return on Equity

High ROE: PLPC's Return on Equity (9.3%) is considered low.


Return on Assets

ROA vs Industry: PLPC's Return on Assets is below or equal to the Electrical industry average last year.


Return on Capital Employed

ROCE Improving: PLPC has significantly improved its Return on Capital Employed over the past 3 years.


Next Steps

Financial Health

How is Preformed Line Products's financial position?


Financial Position Analysis

Short Term Liabilities: PLPC's short term assets ($237.2M) exceeds its short term liabilities ($83.5M)

Long Term Liabilities: PLPC's short term assets ($237.2M) exceeds its long term liabilities ($83.8M)


Debt to Equity History and Analysis

Debt Level: PLPC's debt to equity ratio (26.1%) is considered satisfactory

Reducing Debt: PLPC's debt to equity ratio has increased from 13.2% to 26.1% over the past 5 years.

Debt Coverage: PLPC's debt is well covered by operating cash flow (31.4%).

Interest Coverage: PLPC's interest payments on its debt are well covered by EBIT (30.4x coverage).


Balance Sheet

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

Debt Coverage by Assets: PLPC's debt is covered by short term assets (assets are 3.522360x debt).


Next Steps

Dividend

What is Preformed Line Products's current dividend yield, its reliability and sustainability?

1.56%

Current Dividend Yield


Dividend Yield vs Market

company1.6%marketbottom25%1.5%markettop25%3.8%industryaverage2.1%forecastin3Yearsn/a

Current dividend yield vs market & industry


Dividend Yield and Payments Analysis

Notable Dividend: PLPC's dividend (1.56%) is higher than the bottom 25% of dividend payers in the US market (1.46%).

High Dividend: PLPC's dividend (1.56%) is low compared to the top 25% of dividend payers in the US market (3.77%).

Stable Dividend: PLPC's dividends per share have been stable in the past 10 years.

Growing Dividend: PLPC's dividend payments have not increased over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: With its low payout ratio (16.7%), PLPC'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

What is the CEO of Preformed Line Products's salary, the management and board of directors tenure and is there insider trading?

7.5yrs

Average management tenure


CEO

Rob Ruhlman (62yo)

19.3yrs

Tenure

US$4,266,967

Compensation

Mr. Robert G. Ruhlman, also known as Rob, is the Co-Owner at Barbara P Ruhlman Revocable Trust. He has been the Chairman, Chief Executive Officer and President of Preformed Line Products Company since July ...


CEO Compensation Analysis

Compensation vs. Market: Rob's total compensation ($USD4.27M) is about average for companies of similar size in the US market ($USD1.17M).

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


Management Age and Tenure

7.5yrs

Average Tenure

54yo

Average Age

Experienced Management: PLPC's management team is seasoned and experienced (7.5 years average tenure).


Board Age and Tenure

10.7yrs

Average Tenure

64yo

Average Age

Experienced Board: PLPC's board of directors are seasoned and experienced ( 10.7 years average tenure).


Insider Trading

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

BuyUS$93223 Jan 19
Michael Gibbons
EntityIndividual
Role
Member of the Board of Directors
Independent Director
Shares16
Max PriceUS$58.26
BuyUS$85323 Oct 18
Michael Gibbons
EntityIndividual
Role
Member of the Board of Directors
Independent Director
Shares12
Max PriceUS$71.08

Ownership Breakdown


Management Team

  • William Haag (55yo)

    Vice President of Asia Pacific Region

    • Tenure: 20.5yrs
    • Compensation: US$989.09k
  • Rob Ruhlman (62yo)

    Chairman

    • Tenure: 19.3yrs
    • Compensation: US$4.27m
  • Dennis McKenna (52yo)

    Chief Operating Officer

    • Tenure: 0.8yrs
    • Compensation: US$1.36m
  • Michael Weisbarth (54yo)

    VP of Finance & Treasurer

    • Tenure: 2.3yrs
    • Compensation: US$857.45k
  • Thomas Peterson

    • Tenure: 0yrs
  • David Sunkle (60yo)

    Vice President of Research & Engineering and Manufacturing

    • Tenure: 12.8yrs
    • Compensation: US$1.10m
  • Caroline Vaccariello (52yo)

    General Counsel & Corporate Secretary

    • Tenure: 12.8yrs
  • John Hofstetter (54yo)

    Vice President of Sales

    • Tenure: 7.5yrs
  • Jon Ruhlman (36yo)

    VP of Marketing & Business Development and Director

    • Tenure: 4.3yrs
  • Tim O’Shaughnessy (48yo)

    Vice President of Human Resources

    • Tenure: 0.8yrs

Board Members

  • R. Kestner (64yo)

    Independent Director

    • Tenure: 11.7yrs
    • Compensation: US$25.00k
  • Michael Gibbons (66yo)

    Independent Director

    • Tenure: 11.7yrs
    • Compensation: US$76.70k
  • Glenn Corlett (75yo)

    Independent Director

    • Tenure: 15yrs
    • Compensation: US$76.70k
  • Rob Ruhlman (62yo)

    Chairman

    • Tenure: 19.3yrs
    • Compensation: US$4.27m
  • Barbara Ruhlman (86yo)

    Director Emeritus

    • Tenure: 3.2yrs
    • Compensation: US$18.75k
  • Matthew Frymier (49yo)

    Director

    • Tenure: 3.2yrs
    • Compensation: US$66.70k
  • Richard Gascoigne (69yo)

    Independent Director

    • Tenure: 10.7yrs
    • Compensation: US$66.70k
  • Jon Ruhlman (36yo)

    VP of Marketing & Business Development and Director

    • Tenure: 4.3yrs
  • Maegan Ruhlman Cross (34yo)

    Director

    • Tenure: 3.2yrs
    • Compensation: US$49.23k

Company Information

Preformed Line Products Company's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Preformed Line Products Company
  • Ticker: PLPC
  • Exchange: NasdaqGS
  • Founded: 1947
  • Industry: Electrical Components and Equipment
  • Sector: Capital Goods
  • Market Cap: US$258.551m
  • Shares outstanding: 5.03m
  • Website: https://www.preformed.com

Number of Employees


Location

  • Preformed Line Products Company
  • 660 Beta Drive
  • Mayfield Village
  • Ohio
  • 44143
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
PLPCNasdaqGS (Nasdaq Global Select)YesCommon SharesUSUSDOct 1990

Biography

Preformed Line Products Company, together with its subsidiaries, designs and manufactures products and systems used in the construction and maintenance of overhead and underground networks for the energy,  ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/10/14 01:22
End of Day Share Price2019/10/11 00:00
Earnings2019/06/30
Annual Earnings2018/12/31


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.

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