POWL Valuation

Powell Industries Inc

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266.160

-5.11(-1.884%)1D

Overview
Forecast
Valuation
Earnings

POWL Relative Valuation

POWL's fair value is calculated using relative valuation, based on historical P/E and P/S ranges and their premiums/discounts relative to a competitor average, adjusted by weights. If the market price exceeds this fair value range, POWL is overvalued; if below, it's undervalued.

Historical Valuation

Powell Industries Inc (POWL) is now in the Fair zone, suggesting that its current forward PS ratio of 2.88 is considered Fairly compared with the five-year average of -56.73. The fair price of Powell Industries Inc (POWL) is between 230.19 to 343.98 according to relative valuation methord.

Relative Value

Fair Zone

230.19-343.98

Current Price：271.27

Fair

18.68

Trailing

Forward

12.85

EV/EBITDA

Powell Industries Inc. (POWL) has a current EV/EBITDA of 12.85. The 5-year average EV/EBITDA is 12.44. The thresholds are as follows: Strongly Undervalued below -2.24, Undervalued between -2.24 and 5.10, Fairly Valued between 19.77 and 5.10, Overvalued between 19.77 and 27.11, and Strongly Overvalued above 27.11. The current Forward EV/EBITDA of 12.85 falls within the Historic Trend Line -Fairly Valued range.

13.57

EV/EBIT

Powell Industries Inc. (POWL) has a current EV/EBIT of 13.57. The 5-year average EV/EBIT is -14.95. The thresholds are as follows: Strongly Undervalued below -175.03, Undervalued between -175.03 and -94.99, Fairly Valued between 65.10 and -94.99, Overvalued between 65.10 and 145.14, and Strongly Overvalued above 145.14. The current Forward EV/EBIT of 13.57 falls within the Historic Trend Line -Fairly Valued range.

2.88

Powell Industries Inc. (POWL) has a current PS of 2.88. The 5-year average PS is 1.21. The thresholds are as follows: Strongly Undervalued below -0.30, Undervalued between -0.30 and 0.45, Fairly Valued between 1.97 and 0.45, Overvalued between 1.97 and 2.72, and Strongly Overvalued above 2.72. The current Forward PS of 2.88 falls within the Strongly Overvalued range.

22.97

P/OCF

Powell Industries Inc. (POWL) has a current P/OCF of 22.97. The 5-year average P/OCF is 2.37. The thresholds are as follows: Strongly Undervalued below -83.80, Undervalued between -83.80 and -40.72, Fairly Valued between 45.45 and -40.72, Overvalued between 45.45 and 88.54, and Strongly Overvalued above 88.54. The current Forward P/OCF of 22.97 falls within the Historic Trend Line -Fairly Valued range.

28.38

P/FCF

Powell Industries Inc. (POWL) has a current P/FCF of 28.38. The 5-year average P/FCF is 32.23. The thresholds are as follows: Strongly Undervalued below -184.87, Undervalued between -184.87 and -76.32, Fairly Valued between 140.78 and -76.32, Overvalued between 140.78 and 249.33, and Strongly Overvalued above 249.33. The current Forward P/FCF of 28.38 falls within the Historic Trend Line -Fairly Valued range.

Powell Industries Inc (POWL) has a current Price-to-Book (P/B) ratio of 5.50. Compared to its 3-year average P/B ratio of 3.62 , the current P/B ratio is approximately 51.89% higher. Relative to its 5-year average P/B ratio of 2.59, the current P/B ratio is about 112.33% higher. Powell Industries Inc (POWL) has a Forward Free Cash Flow (FCF) yield of approximately 2.45%. Compared to its 3-year average FCF yield of 7.75%, the current FCF yield is approximately -68.42% lower. Relative to its 5-year average FCF yield of 5.01% , the current FCF yield is about -51.13% lower.

5.50

P/B

Median3y

3.62

Median5y

2.59

2.45

FCF Yield

Median3y

7.75

Median5y

5.01

Competitors Valuation Multiple

The average P/S ratio for POWL's competitors is 9.06, providing a benchmark for relative valuation. Powell Industries Inc Corp (POWL) exhibits a P/S ratio of 2.88, which is -68.17% above the industry average. Given its robust revenue growth of -0.66%, this premium appears unsustainable.

P/S

P/E

EV/EBITDA

EV/EBIT

P/S

Revenue Growth

Market Cap

POWL.O

Powell Industries Inc

American Superconductor Corp

Solaredge Technologies Inc

Performance Decomposition

Market capitalization of POWL increased by 62.01% over the past 1 year. The primary factor behind the change was an increase in P/E Change from 11.73 to 18.48.

The secondary factor is the Margin Expansion, contributed 5.05%to the performance.

Overall, the performance of POWL in the past 1 year is driven by P/E Change. Which is more unsustainable.

-0.66%

288.17M → 286.27M

Revenue Growth

5.05%

16.04 → 16.85

Margin Expansion

57.62%

11.73 → 18.48

P/E Change

62.01%