Twin Disc
Market Cap
US$198.3m
Last Updated
2021/07/24 01:54 UTC
Data Sources
Company Financials +
Executive Summary
Twin Disc, Incorporated designs, manufactures, and sells marine and heavy duty off-highway power transmission equipment worldwide. More Details
Rewards
Risk Analysis
Currently unprofitable and not forecast to become profitable over the next 3 years
Snowflake Analysis
Excellent balance sheet and fair value.
Similar Companies
Share Price & News
How has Twin Disc's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: TWIN is not significantly more volatile than the rest of US stocks over the past 3 months, typically moving +/- 7% a week.
Volatility Over Time: TWIN's weekly volatility (7%) has been stable over the past year.
Market Performance
7 Day Return
5.0%
TWIN
1.6%
US Machinery
2.0%
US Market
1 Year Return
144.6%
TWIN
47.2%
US Machinery
39.1%
US Market
Return vs Industry: TWIN exceeded the US Machinery industry which returned 45.3% over the past year.
Return vs Market: TWIN exceeded the US Market which returned 36.9% over the past year.
Shareholder returns
| TWIN | Industry | Market | |
|---|---|---|---|
| 7 Day | 5.0% | 1.6% | 2.0% |
| 30 Day | 0.6% | 1.1% | 2.3% |
| 90 Day | 44.0% | -3.3% | 3.5% |
| 1 Year | 144.6%144.6% | 50.3%47.2% | 41.3%39.1% |
| 3 Year | -44.6%-44.6% | 61.3%51.8% | 64.0%53.8% |
| 5 Year | 54.1%54.1% | 138.0%113.0% | 123.8%99.0% |
Long-Term Price Volatility Vs. Market
How volatile is Twin Disc's share price compared to the market and industry in the last 5 years?
Simply Wall St News
1 month ago | Simply Wall St
Is Twin Disc's (NASDAQ:TWIN) 138% Share Price Increase Well Justified?2 months ago | Simply Wall St
Have Insiders Been Buying Twin Disc, Incorporated (NASDAQ:TWIN) Shares This Year?3 months ago | Simply Wall St
What You Need To Know About Twin Disc, Incorporated's (NASDAQ:TWIN) Investor CompositionValuation
Is Twin Disc 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: TWIN ($14.53) is trading below our estimate of fair value ($52.04)
Significantly Below Fair Value: TWIN is trading below fair value by more than 20%.
Price To Earnings Ratio
PE vs Industry: TWIN is unprofitable, so we can't compare its PE Ratio to the US Machinery industry average.
PE vs Market: TWIN 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 TWIN's PEG Ratio to determine if it is good value.
Price to Book Ratio
PB vs Industry: TWIN is good value based on its PB Ratio (1.4x) compared to the US Machinery industry average (2.9x).
Future Growth
How is Twin Disc forecast to perform in the next 1 to 3 years based on estimates from 2 analysts?
134.5%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: TWIN is forecast to remain unprofitable over the next 3 years.
Earnings vs Market: TWIN is forecast to remain unprofitable over the next 3 years.
High Growth Earnings: TWIN is forecast to remain unprofitable over the next 3 years.
Revenue vs Market: TWIN's revenue (10.7% per year) is forecast to grow faster than the US market (9.3% per year).
High Growth Revenue: TWIN's revenue (10.7% 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 TWIN's Return on Equity is forecast to be high in 3 years time
Past Performance
How has Twin Disc performed over the past 5 years?
-26.0%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: TWIN is currently unprofitable.
Growing Profit Margin: TWIN is currently unprofitable.
Past Earnings Growth Analysis
Earnings Trend: TWIN is unprofitable, and losses have increased over the past 5 years at a rate of 26% per year.
Accelerating Growth: Unable to compare TWIN's earnings growth over the past year to its 5-year average as it is currently unprofitable
Earnings vs Industry: TWIN is unprofitable, making it difficult to compare its past year earnings growth to the Machinery industry (-6.2%).
Return on Equity
High ROE: TWIN has a negative Return on Equity (-6.88%), as it is currently unprofitable.
Financial Health
How is Twin Disc's financial position?
Financial Position Analysis
Short Term Liabilities: TWIN's short term assets ($172.9M) exceed its short term liabilities ($68.9M).
Long Term Liabilities: TWIN's short term assets ($172.9M) exceed its long term liabilities ($88.8M).
Debt to Equity History and Analysis
Debt Level: TWIN's debt to equity ratio (29.9%) is considered satisfactory.
Reducing Debt: TWIN's debt to equity ratio has increased from 9% to 29.9% 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: Whilst unprofitable TWIN has sufficient cash runway for more than 3 years if it maintains its current positive free cash flow level.
Forecast Cash Runway: TWIN is unprofitable but has sufficient cash runway for more than 3 years, even with free cash flow being positive and shrinking by 29.4% per year.
Dividend
What is Twin Disc current dividend yield, its reliability and sustainability?
Dividend Yield vs Market
Notable Dividend: Unable to evaluate TWIN's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.
High Dividend: Unable to evaluate TWIN'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 TWIN's dividends per share have been stable in the past.
Growing Dividend: Insufficient data to determine if TWIN's dividend payments have been increasing.
Current Payout to Shareholders
Dividend Coverage: TWIN is not paying a notable dividend for the US market.
Future Payout to Shareholders
Future Dividend Coverage: No need to calculate the sustainability of TWIN'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?
6.2yrs
Average management tenure
CEO
John Batten (56 yo)
8yrs
Tenure
US$1,815,807
Compensation
Mr. John H. Batten has been Chief Executive Officer of Twin Disc, Incorporated since July 2013 and served as its President July 2008 until May 1, 2019. Mr. Batten served as Chief Operating Officer of Twin ...
CEO Compensation Analysis
Compensation vs Market: John's total compensation ($USD1.82M) is above average for companies of similar size in the US market ($USD1.09M).
Compensation vs Earnings: John's compensation has been consistent with company performance over the past year.
Leadership Team
Experienced Management: TWIN's management team is seasoned and experienced (6.2 years average tenure).
Board Members
Experienced Board: TWIN's board of directors are considered experienced (6.2 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 not been meaningfully diluted in the past year.
Top Shareholders
Company Information
Twin Disc, Incorporated's company bio, employee growth, exchange listings and data sources
Key Information
- Name: Twin Disc, Incorporated
- Ticker: TWIN
- Exchange: NasdaqGS
- Founded: 1918
- Industry: Construction Machinery and Heavy Trucks
- Sector: Capital Goods
- Market Cap: US$198.293m
- Shares outstanding: 13.65m
- Website: https://www.twindisc.com
Number of Employees
Location
- Twin Disc, Incorporated
- 1328 Racine Street
- Racine
- Wisconsin
- 53403
- United States
Listings
Biography
Twin Disc, Incorporated designs, manufactures, and sells marine and heavy duty off-highway power transmission equipment worldwide. It operates through two segments, Manufacturing and Distribution. The comp...
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2021/07/24 01:54 |
| End of Day Share Price | 2021/07/23 00:00 |
| Earnings | 2021/03/26 |
| Annual Earnings | 2020/06/30 |
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.