ARC Document Solutions
Market Cap
US$84.2m
Last Updated
2021/01/24 00:23 UTC
Data Sources
Company Financials
Executive Summary
ARC Document Solutions, Inc., a reprographics company, provides document solutions worldwide. More Details
Rewards
Risk Analysis
Snowflake Analysis
Undervalued with excellent balance sheet.
Similar Companies
Share Price & News
How has ARC Document Solutions's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: ARC is not significantly more volatile than the rest of US stocks over the past 3 months, typically moving +/- 8% a week.
Volatility Over Time: ARC's weekly volatility has decreased from 16% to 8% over the past year.
Market Performance
7 Day Return
-8.1%
ARC
0.9%
US Commercial Services
2.3%
US Market
1 Year Return
44.4%
ARC
6.6%
US Commercial Services
23.8%
US Market
Return vs Industry: ARC exceeded the US Commercial Services industry which returned 6.6% over the past year.
Return vs Market: ARC exceeded the US Market which returned 23.8% over the past year.
Shareholder returns
| ARC | Industry | Market | |
|---|---|---|---|
| 7 Day | -8.1% | 0.9% | 2.3% |
| 30 Day | 35.2% | 0.06% | 4.8% |
| 90 Day | 62.7% | 4.3% | 14.5% |
| 1 Year | 47.5%44.4% | 8.1%6.6% | 26.6%23.8% |
| 3 Year | -19.6%-21.3% | 39.5%29.8% | 45.0%35.4% |
| 5 Year | -46.8%-48.0% | 129.0%105.1% | 126.2%101.0% |
Long-Term Price Volatility Vs. Market
How volatile is ARC Document Solutions's share price compared to the market and industry in the last 5 years?
Simply Wall St News
1 day ago | Simply Wall St
Key Things To Watch Out For If You Are After ARC Document Solutions, Inc.'s (NYSE:ARC) 2.1% Dividend2 weeks ago | Simply Wall St
Here's What We Make Of ARC Document Solutions' (NYSE:ARC) Returns On Capital3 weeks ago | Simply Wall St
How Is ARC Document Solutions' (NYSE:ARC) CEO Compensated?Valuation
Is ARC Document Solutions 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: ARC ($1.92) is trading below our estimate of fair value ($18.48)
Significantly Below Fair Value: ARC is trading below fair value by more than 20%.
Price To Earnings Ratio
PE vs Industry: ARC is good value based on its PE Ratio (14.5x) compared to the US Commercial Services industry average (24.4x).
PE vs Market: ARC is good value based on its PE Ratio (14.5x) compared to the US market (21.3x).
Price to Earnings Growth Ratio
PEG Ratio: Insufficient data to calculate ARC's PEG Ratio to determine if it is good value.
Price to Book Ratio
PB vs Industry: ARC is good value based on its PB Ratio (0.6x) compared to the US Commercial Services industry average (2.3x).
Next Steps
Future Growth
How is ARC Document Solutions forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?
26.7%
Forecasted Commercial Services industry annual growth in earnings
In this section we usually present revenue and earnings growth projections based on the consensus estimates of professional analysts to help investors understand the company’s ability to generate profit. But as ARC Document Solutions has not provided enough past data and has no analyst forecast, its future earnings cannot be reliably calculated by extrapolating past data or using analyst predictions.
This is quite a rare situation as 97% of companies covered by SimplyWall St do have past financial data.
Next Steps
- Examine whether ARC Document Solutions is trading at an attractive price based on how much it is expected to earn in the future, and relative to its industry peers and the wider market.
- ARC Document Solutions competitive advantages and company strategy can generally be found in its financial reports archived here.
- Explore growth companies in the Commercial Services industry.
Past Performance
How has ARC Document Solutions performed over the past 5 years?
-33.7%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: ARC has high quality earnings.
Growing Profit Margin: ARC's current net profit margins (1.8%) are higher than last year (1%).
Past Earnings Growth Analysis
Earnings Trend: ARC's earnings have declined by 33.7% per year over the past 5 years.
Accelerating Growth: ARC's earnings growth over the past year (51.8%) exceeds its 5-year average (-33.7% per year).
Earnings vs Industry: ARC earnings growth over the past year (51.8%) exceeded the Commercial Services industry -9%.
Return on Equity
High ROE: ARC's Return on Equity (3.5%) is considered low.
Next Steps
Financial Health
How is ARC Document Solutions's financial position?
Financial Position Analysis
Short Term Liabilities: ARC's short term assets ($110.9M) exceed its short term liabilities ($77.8M).
Long Term Liabilities: ARC's short term assets ($110.9M) do not cover its long term liabilities ($122.0M).
Debt to Equity History and Analysis
Debt Level: ARC's debt to equity ratio (39.2%) is considered satisfactory.
Reducing Debt: ARC's debt to equity ratio has reduced from 87.6% to 39.2% over the past 5 years.
Debt Coverage: ARC's debt is well covered by operating cash flow (103.3%).
Interest Coverage: ARC's interest payments on its debt are well covered by EBIT (3.1x coverage).
Balance Sheet
Next Steps
Dividend
What is ARC Document Solutions's current dividend yield, its reliability and sustainability?
2.08%
Current Dividend Yield
Upcoming Dividend Payment
Dividend Yield vs Market
Notable Dividend: ARC's dividend (2.08%) is higher than the bottom 25% of dividend payers in the US market (1.38%).
High Dividend: ARC's dividend (2.08%) is low compared to the top 25% of dividend payers in the US market (3.86%).
Stability and Growth of Payments
Stable Dividend: Too early to tell whether ARC's dividend payments have been stable as they only just started paying a dividend.
Growing Dividend: Too early to tell if ARC's dividend payments are increasing as they only just started paying a dividend.
Current Payout to Shareholders
Dividend Coverage: With its low payout ratio (15.1%), ARC'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?
9.9yrs
Average management tenure
CEO
Suri Kumarakulasingam (67 yo)
13.58yrs
Tenure
US$1,741,996
Compensation
Mr. Kumarakulasingam Suriyakumar, also known as Suri, has been Chief Executive Officer of American Reprographics Company, L.L.C. since June 1, 2007 and its President since 1991. Mr. Suriyakumar served as a...
CEO Compensation Analysis
Compensation vs Market: Suri's total compensation ($USD1.74M) is above average for companies of similar size in the US market ($USD529.43K).
Compensation vs Earnings: Suri's compensation has been consistent with company performance over the past year.
Leadership Team
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| Chairman | 13.58yrs | US$1.74m | 8.25% $ 6.9m | |
| Chief Financial Officer | 5.92yrs | US$836.52k | 0.82% $ 690.3k | |
| Chief Operating officer | 9.92yrs | US$1.15m | 1.5% $ 1.3m | |
| Chief Technology Officer | 20.33yrs | US$1.19m | 0.82% $ 694.6k | |
| Senior Vice President of Corporate Administration | no data | no data | no data | |
| Vice President of Corporate Communications & Investor Relations | no data | no data | no data | |
| Corporate Counsel | 0.75yr | no data | 0.014% $ 11.6k | |
| Senior Vice President of Mergers & Acquisitions | no data | no data | no data | |
| Senior Vice President of Purchasing | no data | no data | no data | |
| Executive Vice President of Global Services | no data | no data | no data | |
| Executive Vice President of Operations - North America | no data | no data | no data |
9.9yrs
Average Tenure
59yo
Average Age
Experienced Management: ARC's management team is seasoned and experienced (9.9 years average tenure).
Board Members
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| Chairman | 13.58yrs | US$1.74m | 8.25% $ 6.9m | |
| Corporate Counsel | 0.75yr | no data | 0.014% $ 11.6k | |
| Independent Director | 15.83yrs | US$115.00k | 0.71% $ 594.0k | |
| Lead Independent Director | 13.5yrs | US$115.00k | 0.42% $ 357.7k | |
| Independent Director | 2.75yrs | US$115.00k | 0.32% $ 267.7k | |
| Independent Director | 2.08yrs | US$110.00k | 0.28% $ 239.2k |
7.6yrs
Average Tenure
62yo
Average Age
Experienced Board: ARC's board of directors are considered experienced (7.6 years average tenure).
Ownership
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: ARC 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
ARC Document Solutions, Inc.'s company bio, employee growth, exchange listings and data sources
Key Information
- Name: ARC Document Solutions, Inc.
- Ticker: ARC
- Exchange: NYSE
- Founded: 1960
- Industry: Office Services and Supplies
- Sector: Commercial Services
- Market Cap: US$84.217m
- Shares outstanding: 43.86m
- Website: https://www.e-arc.com
Number of Employees
Location
- ARC Document Solutions, Inc.
- 12657 Alcosta Boulevard
- Suite 200
- San Ramon
- California
- 94583
- United States
Listings
| Ticker | Exchange | Primary Security | Security Type | Country | Currency | Listed on |
|---|---|---|---|---|---|---|
| ARC | NYSE (New York Stock Exchange) | Yes | Common Stock | US | USD | Feb 2005 |
| BK1 | DB (Deutsche Boerse AG) | Yes | Common Stock | DE | EUR | Feb 2005 |
Biography
ARC Document Solutions, Inc., a reprographics company, provides document solutions worldwide. It offers managed print services, an onsite service that places, manages, and optimizes print and imaging equip...
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2021/01/24 00:23 |
| End of Day Share Price | 2021/01/22 00:00 |
| Earnings | 2020/09/30 |
| 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.