NasdaqCM:PDEX

Stock Analysis Report

Executive Summary

Pro-Dex, Inc. designs, develops, and manufactures powered surgical instruments for medical device original equipment manufacturers worldwide.

Snowflake

Fundamentals

Outstanding track record with flawless balance sheet.

Share Price & News

How has Pro-Dex's share price performed over time and what events caused price changes?


Latest Share Price and Events


Market Performance


7 Day Return

2.6%

PDEX

1.9%

US Medical Equipment

0.4%

US Market


1 Year Return

47.3%

PDEX

15.6%

US Medical Equipment

6.9%

US Market

Return vs Industry: PDEX exceeded the US Medical Equipment industry which returned 15.6% over the past year.

Return vs Market: PDEX exceeded the US Market which returned 6.9% over the past year.


Shareholder returns

PDEXIndustryMarket
7 Day2.6%1.9%0.4%
30 Day-7.0%-1.6%-1.2%
90 Day-0.8%0.01%-0.4%
1 Year47.3%47.3%16.5%15.6%9.3%6.9%
3 Year198.1%198.1%72.1%66.9%45.8%36.4%
5 Year509.1%509.1%125.8%100.8%62.9%45.1%

Price Volatility Vs. Market

How volatile is Pro-Dex's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Pro-Dex undervalued compared to its fair value and its price relative to the market?

14.16x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Undervalued: PDEX ($14.01) is trading above our estimate of fair value ($9.02)

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


Price To Earnings Ratio

PE vs Industry: PDEX is good value based on its PE Ratio (14.2x) compared to the Medical Equipment industry average (42.2x).

PE vs Market: PDEX is good value based on its PE Ratio (14.2x) compared to the US market (17.6x).


Price to Earnings Growth Ratio

Low PEG Ratio: PDEX is poor value based on its PEG Ratio (2x)


Price to Book Ratio

PB vs Industry: PDEX is good value based on its PB Ratio (3.3x) compared to the US Medical Equipment industry average (3.8x).


Next Steps

Future Growth

How is Pro-Dex forecast to perform in the next 1 to 3 years based on estimates from 1 analyst?

7.2%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: PDEX's forecast earnings growth (7.2% per year) is above the savings rate (2.7%).

Earnings vs Market: PDEX's earnings (7.2% per year) are forecast to grow slower than the US market (14.5% per year).

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

Revenue vs Market: PDEX's revenue (3.9% per year) is forecast to grow slower than the US market (7.2% per year).

High Growth Revenue: PDEX's revenue (3.9% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

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


Next Steps

Past Performance

How has Pro-Dex performed over the past 5 years?

46.6%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Earnings Trend: PDEX has become profitable over the past 5 years, growing earnings by 46.6% per year.

Accelerating Growth: PDEX's earnings growth over the past year (155.9%) exceeds its 5-year average (46.6% per year).

Earnings vs Industry: PDEX earnings growth over the past year (155.9%) exceeded the Medical Equipment industry 28.2%.


Return on Equity

High ROE: PDEX's Return on Equity (24.4%) is considered high.


Return on Assets

ROA vs Industry: PDEX has a higher Return on Assets than the Medical Equipment industry average last year.


Return on Capital Employed

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


Next Steps

Financial Health

How is Pro-Dex's financial position?


Financial Position Analysis

Short Term Liabilities: PDEX's short term assets ($21.8M) exceeds its short term liabilities ($4.3M)

Long Term Liabilities: PDEX's short term assets (21.8M) exceeds its long term liabilities (4.2M)


Debt to Equity History and Analysis

Debt Level: PDEX's debt to equity ratio (26.7%) is considered satisfactory

Reducing Debt: PDEX had negative shareholder equity 5 years ago, but is now positive and has therefore improved.

Debt Coverage: PDEX's debt is well covered by operating cash flow (73.2%).

Interest Coverage: PDEX earns more interest than it pays, so coverage of interest payments is not a concern.


Balance Sheet

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

Debt Coverage by Assets: PDEX's debt is covered by short term assets (assets are 4.796960x debt).


Next Steps

Dividend

What is Pro-Dex's current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

companyn/amarketbottom25%1.4%markettop25%3.7%industryaverage1.2%forecastin3Yearsn/a

Current dividend yield vs market & industry


Stability and Growth of Payments

Notable Dividend: Unable to evaluate PDEX's dividend yield against the bottom 25% of dividend payers, as the company has not reported any payouts.

High Dividend: Unable to evaluate PDEX's dividend yield against the top 25% of dividend payers, as the company has not reported any payouts.

Stable Dividend: Insufficient data to determine if PDEX's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if PDEX's dividend payments have been increasing.


Current Payout to Shareholders

Dividend Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of PDEX's dividend in 3 years as they are not forecast to pay a notable one for the US market.


Next Steps

Management

What is the CEO of Pro-Dex's salary, the management and board of directors tenure and is there insider trading?

6.8yrs

Average board tenure


CEO

Rick Van Kirk (58yo)

4.8yrs

Tenure

US$454,757

Compensation

Mr. Richard Lee Van Kirk, Jr., also known as Rick, has been the Chief Executive Officer and President of Pro-Dex Inc., since January 12, 2015 and has been its Chief Operating Officer since April 23, 2013.  ...


CEO Compensation Analysis

Compensation vs. Market: Rick's total compensation ($USD454.76K) is about average for companies of similar size in the US market ($USD491.38K).

Compensation vs Earnings: Rick's compensation has increased by more than 20% in the past year.


Board Age and Tenure

6.8yrs

Average Tenure

56yo

Average Age

Experienced Board: PDEX's board of directors are considered experienced (6.8 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$46,37514 May 19
Richard Van Kirk
EntityIndividual
Role
Chief Executive Officer
CEO, President
Shares3,500
Max PriceUS$13.25
SellUS$38,72026 Mar 19
David Hovda
EntityIndividual
Role
Member of the Board of Directors
Director
Shares2,700
Max PriceUS$14.34
SellUS$401,17114 Feb 19
AO Partners Llc
EntityCompany
Shares25,561
Max PriceUS$15.74
SellUS$33,41914 Feb 19
Alisha Charlton
EntityIndividual
Role
Chief Financial Officer
CFO & Corporate Secretary
Shares2,114
Max PriceUS$15.81
SellUS$91,61118 Dec 18
David Hovda
EntityIndividual
Role
Member of the Board of Directors
Director
Shares7,000
Max PriceUS$13.15
SellUS$75,59404 Dec 18
Farnam Street Capital, Inc.
EntityCompany
Shares5,160
Max PriceUS$14.65
SellUS$360,56103 Dec 18
Farnam Street Capital, Inc.
EntityCompany
Shares24,827
Max PriceUS$14.73
SellUS$21,43803 Dec 18
Richard Van Kirk
EntityIndividual
Role
Chief Executive Officer
CEO, President
Shares1,500
Max PriceUS$14.30
SellUS$174,70630 Nov 18
Farnam Street Capital, Inc.
EntityCompany
Shares12,091
Max PriceUS$14.74
SellUS$115,82329 Nov 18
Farnam Street Capital, Inc.
EntityCompany
Shares8,043
Max PriceUS$14.43
SellUS$140,23127 Nov 18
Farnam Street Capital, Inc.
EntityCompany
Shares9,691
Max PriceUS$14.80
SellUS$553,84127 Nov 18
AO Partners Llc
EntityCompany
Shares39,130
Max PriceUS$14.25
SellUS$371,86321 Nov 18
AO Partners Llc
EntityCompany
Shares26,116
Max PriceUS$14.25
SellUS$88,57920 Nov 18
Farnam Street Capital, Inc.
EntityCompany
Shares6,000
Max PriceUS$15.21

Ownership Breakdown


Management Team

  • Alisha Charlton (49yo)

    CFO & Corporate Secretary

    • Tenure: 4.8yrs
    • Compensation: US$275.56k
  • Rick Van Kirk (58yo)

    CEO, President

    • Tenure: 4.8yrs
    • Compensation: US$454.76k

Board Members

  • Ray Cabillot (56yo)

    Director

    • Tenure: 6.8yrs
    • Compensation: US$18.00k
  • David Hovda (56yo)

    Director

    • Tenure: 6.8yrs
    • Compensation: US$25.00k
  • Nick Swenson (50yo)

    Chairman of the Board

    • Tenure: 0yrs
    • Compensation: US$18.00k
  • Rick Van Kirk (58yo)

    CEO, President

    • Tenure: 4.8yrs
    • Compensation: US$454.76k
  • Bill Farrell (46yo)

    Director

    • Tenure: 6.8yrs
    • Compensation: US$18.00k

Company Information

Pro-Dex, Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Pro-Dex, Inc.
  • Ticker: PDEX
  • Exchange: NasdaqCM
  • Founded: 1978
  • Industry: Health Care Equipment
  • Sector: Healthcare
  • Market Cap: US$55.896m
  • Shares outstanding: 3.99m
  • Website: https://www.pro-dex.com

Number of Employees


Location

  • Pro-Dex, Inc.
  • 2361 McGaw Avenue
  • Irvine
  • California
  • 92614
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
PDEXNasdaqCM (Nasdaq Capital Market)YesCommon StockUSUSDAug 1986
PDXNDB (Deutsche Boerse AG)YesCommon StockDEEURAug 1986

Biography

Pro-Dex, Inc. designs, develops, and manufactures powered surgical instruments for medical device original equipment manufacturers worldwide. The company offers autoclavable, battery-powered and electric,  ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/10/18 23:40
End of Day Share Price2019/10/18 00:00
Earnings2019/06/30
Annual Earnings2019/06/30


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.