Fastenal Company [NASDAQ: FAST] shares went lower by -0.55% from its previous closing of $36.16, now trading at the price of $35.96, also adding -0.2 points. Is FAST stock a buy or should you stay away?
The stock had a rather active trading session with the latest closing, by far recording 4.49 million contracts. Compared to the average trading volume of FAST shares, the company saw a far better performance. Moreover, the stock has a 572.73M float and a -6.09% run over in the last seven days. FAST share price has been hovering between $39.31 and $28.38 lately, and is definitely worthy of attention.
Fastenal Company [NASDAQ:FAST]: Analyst Rating and Earnings
Its stock price has been found in the range of 28.38 to 39.31. This is compared to its latest closing price of $36.16.
Stay on the lookout for the next quarterly financial report – the company is expected to release the following results on 04/14/2020.
Fundamental Analysis of Fastenal Company [FAST]
Now let’s turn to look at profitability: with a current Operating Margin for Fastenal Company [FAST] sitting at +19.80 and its Gross Margin at +47.16, this company’s Net Margin is now 14.80%. These measurements indicate that Fastenal Company [FAST] is generating considerably more profit, after expenses are accounted for, compared to its market peers.
This company’s Return on Total Capital is 34.86, and its Return on Invested Capital has reached 26.70%. Its Return on Equity is 31.84, and its Return on Assets is 22.21. These metrics all suggest that Fastenal Company is doing well at using the money it earns to generate returns.
Turning to investigate this organization’s capital structure, Fastenal Company [FAST] has generated a Total Debt to Total Equity ratio of 22.16. Similarly, its Total Debt to Total Capital is 18.14, while its Total Debt to Total Assets stands at 15.54. Looking toward the future, this publicly-traded company’s Long-Term Debt to Equity is 75.97, and its Long-Term Debt to Total Capital is 18.39.
What about valuation? This company’s Enterprise Value to EBITDA is 18.61 and its Total Debt to EBITDA Value is 0.29. The Enterprise Value to Sales for this firm is now 4.20, and its Total Debt to Enterprise Value stands at 0.03. Fastenal Company [FAST] has a Price to Book Ratio of 7.96, a Price to Cash Flow Ratio of 25.19 and P/E Ratio of 26.11. These metrics suggest that this publicly-traded organization will not likely result in investment gains.
Shifting the focus to workforce efficiency, Fastenal Company [FAST] earns $243,015 for each employee under its payroll. Similarly, this company’s Receivables Turnover is 7.33 and its Total Asset Turnover is 1.50. This publicly-traded organization’s liquidity data is also interesting: its Quick Ratio is 2.00 and its Current Ratio is 4.51. This company, considering these metrics, has a healthy ratio between its short-term liquid assets and its short-term liabilities, making it a less risky investment.
Fastenal Company [FAST] has 576.59M shares outstanding, amounting to a total market cap of $20.73B. Its stock price has been found in the range of 28.38 to 39.31. At its current price, it has moved down by -8.51% from its 52-week high, and it has moved up 26.71% from its 52-week low.
This stock’s Beta value is currently 1.35, which indicates that it is 3.28% more volatile that the wider market. This stock’s Relative Strength Index (RSI) is at 39.86. This RSI score is good, suggesting this stock is neither overbought or oversold.
Conclusion: Is Fastenal Company [FAST] a Reliable Buy?
Shares of Fastenal Company [FAST], overall, appear to be a solid investment option, with Wall Street analysts expecting its price to rise considerably in the next 12 months. This company generates high value from the labor resources and other capital it has available, and while it has heavy Long-Term Debt to Equity, the majority of the metrics point to this investment being highly attractive.