OTCPK:PAOS

Stock Analysis Report

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Executive Summary

Amerinac Holding Corp., through its subsidiaries, manufactures, supplies, and sells ingots, electrode and, shot products, and master alloys in the United States.


Snowflake Analysis

Excellent balance sheet and good value.

Share Price & News

How has Amerinac Holding's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: PAOS has not had significant price volatility in the past 3 months.


Market Performance


7 Day Return

0%

PAOS

3.6%

US Metals and Mining

4.3%

US Market


1 Year Return

n/a

PAOS

8.5%

US Metals and Mining

10.3%

US Market

Return vs Industry: Insufficient data to determine how PAOS performed against the US Metals and Mining industry.

Return vs Market: Insufficient data to determine how PAOS performed against the US Market.


Shareholder returns

PAOSIndustryMarket
7 Day0%3.6%4.3%
30 Day0%6.0%11.5%
90 Dayn/a8.3%7.4%
1 Yearn/a11.2%8.5%12.7%10.3%
3 Yearn/a5.8%-1.0%37.1%28.0%
5 Year52.7%52.7%25.6%14.9%64.7%46.2%

Price Volatility Vs. Market

How volatile is Amerinac Holding's share price compared to the market and industry in the last 5 years?


Simply Wall St News

No news available

Valuation

Is Amerinac Holding 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: PAOS ($50) is trading below our estimate of fair value ($247.5)

Significantly Below Fair Value: PAOS is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: PAOS is good value based on its PE Ratio (3.8x) compared to the Metals and Mining industry average (8.3x).

PE vs Market: PAOS is good value based on its PE Ratio (3.8x) compared to the US market (15.7x).


Price to Earnings Growth Ratio

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


Price to Book Ratio

PB vs Industry: PAOS is overvalued based on its PB Ratio (1.4x) compared to the US Metals and Mining industry average (1.3x).


Next Steps

Future Growth

How is Amerinac Holding forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?

24.4%

Forecasted Materials 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 Amerinac Holding 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 Amerinac Holding 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.
  • While we do not consider unaudited financials to be a reliable enough to include in our analysis, you can access them on the OTC Markets Website. If you are looking for more of a qualitative research into the company, you can access Amerinac Holding's filings and announcements here.
  • Explore growth companies in the Materials industry.

Past Performance

How has Amerinac Holding performed over the past 5 years?

55.3%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: PAOS has a large one-off gain of $3.8M impacting its March 31 2020 financial results.

Growing Profit Margin: PAOS's current net profit margins (9.5%) are higher than last year (5%).


Past Earnings Growth Analysis

Earnings Trend: PAOS has become profitable over the past 5 years, growing earnings by 55.3% per year.

Accelerating Growth: PAOS's earnings growth over the past year (84.5%) exceeds its 5-year average (55.3% per year).

Earnings vs Industry: PAOS earnings growth over the past year (84.5%) exceeded the Metals and Mining industry -12.4%.


Return on Equity

High ROE: Whilst PAOS's Return on Equity (35.77%) is high, this metric is skewed due to their high level of debt.


Next Steps

Financial Health

How is Amerinac Holding's financial position?


Financial Position Analysis

Short Term Liabilities: PAOS's short term assets ($17.3M) exceed its short term liabilities ($10.2M).

Long Term Liabilities: PAOS's short term assets ($17.3M) exceed its long term liabilities ($11.2M).


Debt to Equity History and Analysis

Debt Level: PAOS's debt to equity ratio (110.8%) is considered high.

Reducing Debt: PAOS's debt to equity ratio has reduced from 18739.3% to 110.8% over the past 5 years.

Debt Coverage: PAOS's debt is well covered by operating cash flow (22%).

Interest Coverage: PAOS's interest payments on its debt are well covered by EBIT (4.7x coverage).


Balance Sheet


Next Steps

Dividend

What is Amerinac Holding's current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

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

High Dividend: Unable to evaluate PAOS'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 PAOS's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if PAOS'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 PAOS'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?

4.4yrs

Average board tenure


CEO

John Wachter (38yo)

2.58yrs

Tenure

US$196,500

Compensation

Mr. John F. Wachter has been the Chairman of the Board at Amerinac Holding Corp. (also known as Precision Aerospace Components, Inc.) since January 16, 2015 and has been its Chief Executive Officer since N ...


CEO Compensation Analysis

Compensation vs Market: John's total compensation ($USD196.50K) is below average for companies of similar size in the US market ($USD593.36K).

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


Board Members

NamePositionTenureCompensationOwnership
John Wachter
Chairman & CEO2.58yrsUS$196.50k18.97% $3.0m
William Golden
CFO, General Counsel5.42yrsUS$196.50k19.13% $3.0m
William Lamb
Independent Director3.42yrsno data0.20% $31.2k
Saverio Garruto
Independent Director3.42yrsno data0.20% $31.2k

4.4yrs

Average Tenure

49.5yo

Average Age

Experienced Board: PAOS's board of directors are considered experienced (4.4 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.


Ownership Breakdown

Dilution of Shares: Shareholders have been diluted in the past year, with total shares outstanding growing by 4.9%.


Top Shareholders

Company Information

Amerinac Holding Corp.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Amerinac Holding Corp.
  • Ticker: PAOS
  • Exchange: OTCPK
  • Founded: 1938
  • Industry: Diversified Metals and Mining
  • Sector: Materials
  • Market Cap: US$15.582m
  • Shares outstanding: 311.64k
  • Website: https://www.amerinac.com

Number of Employees


Location

  • Amerinac Holding Corp.
  • 5936 State Route 159
  • Chillicothe
  • Ohio
  • 45601
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
PAOSOTCPK (Pink Sheets LLC)YesCommon StockUSUSDJul 2006

Biography

Amerinac Holding Corp., through its subsidiaries, manufactures, supplies, and sells ingots, electrode and, shot products, and master alloys in the United States. It offers toll conversion melting services; and distributes nut and bolt products, and a proprietary locking washer product that is used primarily for industrial/commercial applications. The company also manufactures specialty stainless steel and related products for steel mills, steel forging operations, and various metal fabrication facilities. In addition, it engages in the distribution of fasteners primarily for the heavy truck, automotive, transportation, and infrastructure industries. Amerinac Holding Corp. offers its specialty ingots and electrode products for investment casting, forging, ring rolling, and plate production applications; shot products and master alloys to other melt shops; and manufacturing support services. The company was formerly known as Precision Aerospace Components, Inc. and changed its name to Amerinac Holding Corp. in June 2017. Amerinac Holding Corp. was founded in 1938 and is based in Chillicothe, Ohio. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/06/02 03:21
End of Day Share Price2020/03/05 00:00
Earnings2020/03/31
Annual Earnings2019/12/31


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.