Twin Disc
Market Cap
US$91.4m
Last Updated
2020/11/28 00:16 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
Snowflake Analysis
Mediocre balance sheet and overvalued.
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 +/- 10% a week.
Volatility Over Time: TWIN's weekly volatility (10%) has been stable over the past year.
Market Performance
7 Day Return
7.5%
TWIN
2.2%
US Machinery
2.8%
US Market
1 Year Return
-38.0%
TWIN
19.4%
US Machinery
20.7%
US Market
Return vs Industry: TWIN underperformed the US Machinery industry which returned 19.4% over the past year.
Return vs Market: TWIN underperformed the US Market which returned 20.7% over the past year.
Shareholder returns
| TWIN | Industry | Market | |
|---|---|---|---|
| 7 Day | 7.5% | 2.2% | 2.8% |
| 30 Day | 20.2% | 17.7% | 12.3% |
| 90 Day | 1.1% | 15.2% | 6.4% |
| 1 Year | -38.0%-38.0% | 22.5%19.4% | 23.4%20.7% |
| 3 Year | -77.0%-77.0% | 32.6%23.1% | 47.2%37.4% |
| 5 Year | -40.4%-40.4% | 125.8%100.6% | 94.1%72.7% |
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
3 weeks ago | Simply Wall St
Estimating The Fair Value Of Twin Disc, Incorporated (NASDAQ:TWIN)1 month ago | Simply Wall St
How Much Does Twin Disc's (NASDAQ:TWIN) CEO Make?2 months ago | Simply Wall St
Twin Disc's (NASDAQ:TWIN) Shareholders Are Down 72% On Their SharesValuation
Is Twin Disc undervalued compared to its fair value and its price relative to the market?
0.61x
Price to Book (PB) ratio
Share Price vs. Fair Value
Below Fair Value: TWIN ($6.31) is trading above our estimate of fair value ($6.19)
Significantly Below Fair Value: TWIN is trading above our estimate of fair value.
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 (0.6x) compared to the US Machinery industry average (2.7x).
Next Steps
Future Growth
How is Twin Disc forecast to perform in the next 1 to 3 years based on estimates from 2 analysts?
117.0%
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 (5.4% per year) is forecast to grow slower than the US market (10.2% per year).
High Growth Revenue: TWIN's revenue (5.4% 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
Next Steps
Past Performance
How has Twin Disc performed over the past 5 years?
-22.6%
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 22.6% 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 (-15.4%).
Return on Equity
High ROE: TWIN has a negative Return on Equity (-26.48%), as it is currently unprofitable.
Next Steps
Financial Health
How is Twin Disc's financial position?
Financial Position Analysis
Short Term Liabilities: TWIN's short term assets ($172.6M) exceed its short term liabilities ($69.4M).
Long Term Liabilities: TWIN's short term assets ($172.6M) exceed its long term liabilities ($92.4M).
Debt to Equity History and Analysis
Debt Level: TWIN's debt to equity ratio (31.3%) is considered satisfactory.
Reducing Debt: TWIN's debt to equity ratio has increased from 10.7% to 31.3% 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: Insufficient data to determine if TWIN has enough cash runway based on its current free cash flow.
Forecast Cash Runway: Insufficient data to determine if TWIN has enough cash runway if its free cash flow continues to grow or shrink based on historical rates.
Next Steps
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?
5.8yrs
Average management tenure
CEO
John Batten (55 yo)
7.33yrs
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 ($USD561.31K).
Compensation vs Earnings: John's compensation has been consistent with company performance over the past year.
Leadership Team
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| CEO & Director | 7.33yrs | US$1.82m | 19.82% $ 18.1m | |
| President & COO | 1.5yrs | US$903.71k | 0.37% $ 334.5k | |
| VP of Finance | 5.75yrs | US$721.73k | 0.64% $ 584.6k | |
| Chief Accounting Officer & Corporate Controller | 5.25yrs | no data | 0.18% $ 160.3k | |
| Vice President of Human Resources | 16yrs | US$653.21k | 0.27% $ 246.5k |
5.8yrs
Average Tenure
62yo
Average Age
Experienced Management: TWIN's management team is seasoned and experienced (5.8 years average tenure).
Board Members
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| CEO & Director | 7.33yrs | US$1.82m | 19.82% $ 18.1m | |
| Independent Chairman of the Board | 5.5yrs | US$187.99k | 0.64% $ 587.0k | |
| Independent Director | 16.33yrs | US$144.99k | 0.44% $ 403.2k | |
| Independent Director | 12.08yrs | US$144.99k | 0.52% $ 472.6k | |
| Independent Director | 1.25yrs | US$150.19k | 0.33% $ 298.6k | |
| Independent Director | 4.33yrs | US$154.37k | 0.25% $ 228.0k | |
| Independent Director | 5.42yrs | US$149.37k | 0.24% $ 216.8k |
5.5yrs
Average Tenure
65yo
Average Age
Experienced Board: TWIN's board of directors are considered experienced (5.5 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 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$91.446m
- Shares outstanding: 13.57m
- Website: https://www.twindisc.com
Number of Employees
Location
- Twin Disc, Incorporated
- 1328 Racine Street
- Racine
- Wisconsin
- 53403
- United States
Listings
| Ticker | Exchange | Primary Security | Security Type | Country | Currency | Listed on |
|---|---|---|---|---|---|---|
| TWIN | NasdaqGS (Nasdaq Global Select) | Yes | Common Shares | US | USD | Mar 1977 |
| TWN | DB (Deutsche Boerse AG) | Yes | Common Shares | DE | EUR | Mar 1977 |
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 | 2020/11/28 00:16 |
| End of Day Share Price | 2020/11/27 00:00 |
| Earnings | 2020/09/25 |
| 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.