Gencor Industries, Inc. (GENC)
Valuation Overview•Is Gencor Industries, Inc. Overvalued or Undervalued?
Commands a premium valuation multiple over its peers, likely pricing in superior execution.
Moderate quality score of 56/100, reflecting stable operating margins and manageable leverage.
Analysts remain bullish, forecasting further upside expansion with consensus targets suggesting solid gains.
Verdict: Average quality business weighed down by significant profitability concerns.
Wall Street is highly bullish, projecting significant upside. The company currently retains all capital for reinvestment and growth rather than returning it to shareholders.
GENC struggles with subpar profitability and pressured margins. This is backed by a fortress balance sheet, holding significant net cash ($26M) and minimal debt risk.
The company exhibits steady, low-single-digit revenue growth paired with stable bottom-line earnings. Operating efficiency remains adequate with margins around 12.8%.
| Financial Metric | Trend (12Q) | Latest Qtr | 1Y Growth | 3Y CAGR | 5Y CAGR | 10Y CAGR |
|---|---|---|---|---|---|---|
| Revenue | $33.8M | +2.0% | +3.7% | +8.3% | +11.4% | |
| EBITDA | $8.1M | — | +32.8% | — | — | |
| Net Income | $6.0M | +7.6% | — | — | — | |
| EPS (Diluted) | $0.41 | +8.1% | — | +23.0% | — | |
| Free Cash Flow | $6.7M | -86.9% | — | -46.5% | — |
| Metric | TTM | 3Y Avg | 5Y Avg | 10Y Avg |
|---|---|---|---|---|
| Gross Margin | 28.3% | 27.6% | 24.8% | 25.4% |
| Operating Margin | 12.8% | 12.3% | 8.4% | 9.8% |
| Net Margin | 14.7% | 13.5% | 9.4% | 10.0% |
| FCF Margin | -8.5% | 5.2% | 0.7% | 3.8% |
| Quarter | EPS Est. | EPS Act. | Surprise | EPS | Rev |
|---|---|---|---|---|---|
| Q2'26Latest | $0.41 | $0.41 | +0.0% | ||
| Q1'26 | — | $0.23 | — | ||
| Q4'25 | — | $0.13 | — | ||
| Q3'25 | — | $0.26 | — | ||
| Q3'25 | — | $0.26 | — | ||
| Q2'25 | — | $0.10 | — | ||
| Q3'24 | — | $0.17 | — | ||
| Q2'24 | — | $0.42 | — |
Total return is +3.0% (1Y), lagging the benchmark by -17.8%
| Period | Total Return | vs S&P 500 (Alpha) | Dividend Contribution |
|---|---|---|---|
| YTD | +13.0% | +5.7% | — |
| 1Y | +3.0% | -17.8% | — |
| 3YCAGR | +1.4% | -18.5% | — |
| 5YCAGR | +3.4% | -6.9% | — |
| 10YCAGR | +4.3% | -9.7% | — |
The S&P 500 is at 30.6x trailing P/E — Expensive relative to historical averages.
Quick answers to common questions about Gencor Industries, Inc. (GENC) valuation, health, and returns.
Based on peer relative multiples, Gencor Industries, Inc. appears Slightly expensive versus peers compared to industry peers.
Gencor Industries, Inc. has multiple valuation anchors: Peer Relative Fair Value: $14.01 | Wall Street Analyst Target: $17.60 (implying +15.9% upside). A convergence of these signals offers higher conviction.
Gencor Industries, Inc. displays fair financial health with a composite quality score of 56/100, supported by a Altman Z-Score of 15.3 (safe zone), Piotroski F-Score of 6/9, Return on Invested Capital (ROIC) of 5.9%.
Gencor Industries, Inc. does not return material capital to shareholders via dividends or share repurchases, electing to retain earnings to fund internal growth.
Gencor Industries, Inc.'s current growth trajectory is Stable. The company achieved +2.0% 1Y revenue growth and +8.1% 1Y EPS growth, compared to its 3Y revenue CAGR of +3.7%.
Wall Street consensus is Buy based on 1 analysts. The consensus price target represents a +15.9% change from current levels.
Investment risks for Gencor Industries, Inc. include: -25.7% 1-year max drawdown. Volatility risk is characterized by a beta of 1.16x.
No. These computations are purely quantitative model outputs for informational purposes. They do not account for qualitative management shifts or macro events. Always consult a licensed RIA before buying or selling shares.
Disclaimer: This page is for informational purposes only and does not constitute financial advice. All valuation models, scores, and target estimates are automated computations under stated assumptions and should not be relied upon as the sole basis for any investment decision.