Fortive logged a 1.3% change during today's morning session, and is now trading at a price of $75.71 per share.
Over the last year, Fortive logged a 2.4% change, with its stock price reaching a high of $87.1 and a low of $63.05. Over the same period, the stock underperformed the S&P 500 index by -27.3%. AThe company's 50-day average price was $72.35. Fortive Corporation designs, develops, manufactures, and services professional and engineered products, software, and services in the United States, China, and internationally. Based in Everett, WA, the Large-Cap Industrials company has 18,000 full time employees. Fortive has offered a 0.4% dividend yield over the last 12 months.
Wider Gross Margins Than the Industry Average of 34.68%:
| 2018 | 2019 | 2020 | 2021 | 2022 | 2023 | |
|---|---|---|---|---|---|---|
| Revenue (M) | $3,800 | $4,564 | $4,634 | $5,255 | $5,826 | $6,065 |
| Gross Margins | 57% | 54% | 56% | 56% | 57% | 59% |
| Net Margins | 77% | 16% | 35% | 12% | 13% | 14% |
| Net Income (M) | $2,914 | $739 | $1,613 | $608 | $755 | $866 |
| Net Interest Expense (M) | $77 | $143 | $148 | $103 | $98 | $124 |
| Depreciation & Amort. (M) | $70 | $80 | $74 | $75 | $84 | $86 |
| Diluted Shares (M) | 351 | 340 | 359 | 352 | 361 | 356 |
| Earnings Per Share | $8.21 | $1.97 | $4.49 | $1.63 | $2.1 | $2.43 |
| EPS Growth | n/a | -76.0% | 127.92% | -63.7% | 28.83% | 15.71% |
| Avg. Price | $62.95 | $62.59 | $58.94 | $71.38 | $61.55 | $75.71 |
| P/E Ratio | 7.56 | 31.45 | 12.87 | 43.52 | 29.03 | 30.78 |
| Free Cash Flow (M) | $1,274 | $1,197 | $1,361 | $911 | $1,207 | $1,246 |
| CAPEX (M) | $70 | $74 | $76 | $50 | $96 | $108 |
| EV / EBITDA | 34.43 | 52.57 | 38.52 | 33.15 | 23.94 | 23.36 |
| Total Debt (M) | $3,886 | $7,826 | $5,630 | $6,111 | $4,251 | $3,646 |
| Net Debt / EBITDA | 3.79 | 12.63 | 6.2 | 5.96 | 3.31 | 1.44 |
| Current Ratio | 1.45 | 1.06 | 1.55 | 0.68 | 0.91 | 2.05 |
Fortive has growing revenues and increasing reinvestment in the business and an excellent current ratio of 2.05. Additionally, the company's financial statements display wider gross margins than its peer group and generally positive cash flows. However, the firm suffers from declining EPS growth and a highly leveraged balance sheet.
a Lower P/B Ratio Than Its Sector Average but Trading Above Its Fair Price:
Fortive has a trailing twelve month P/E ratio of 29.1, compared to an average of 25.19 for the Industrials sector. Based on its EPS guidance of $4.15, the company has a forward P/E ratio of 17.4. The -9.3% compound average growth rate of Fortive's historical and projected earnings per share yields a PEG ratio of -3.13. This indicates that its shares are overvalued.In contrast, the market is likely undervaluing Fortive in terms of its equity because its P/B ratio is 2.53 while the sector average is 3.17. The company's shares are currently trading 90.1% below their Graham number.
Analysts Give Fortive an Average Rating of Buy:
The 16 analysts following Fortive have set target prices ranging from $67.0 to $94.0 per share, for an average of $84.8 with a buy rating. The company is trading -10.7% away from its average target price, indicating that there is an analyst consensus of some upside potential.
Fortive has a very low short interest because 0.8% of the company's shares are sold short. Institutions own 97.9% of the company's shares, and the insider ownership rate stands at 0.33%, suggesting a small amount of insider investors. The largest shareholder is Vanguard Group Inc, whose 11% stake in the company is worth $2,960,336,749.
