Powell Industries, Inc. (POWL) Valuation

Valuation

Model-based estimates, not advice. The DCF is the discounted-cash-flow value per share; compare it with the price, not as a target.

DCF fair value

-77.5%

$35.18

vs $156.70 price

Levered DCF

$99.20

After debt service

Piotroski score

4 / 9

Average

Altman Z-score

7.91

Safe zone

Rating

A-

Overall 4 / 5

Ratios by fiscal year

Margins and yields are shares of revenue, equity or price; multiples are ×.

Metric	FY2025	FY2024	FY2023	FY2022	FY2021	FY2020	FY2019	FY2018
P/E	20.35×	17.75×	18.06×	18.18×	455.84×	16.87×	46.06×	-56.27×
P/B	5.74×	5.51×	2.85×	0.84×	0.95×	0.91×	1.51×	1.33×
P/S	3.33×	2.63×	1.41×	0.47×	0.61×	0.54×	0.88×	0.89×
EV / EBITDA	13.4×	11.56×	9.54×	7.77×	15.26×	4.08×	13.64×	67.73×
Gross margin	29.4%	27.0%	21.1%	16.0%	16.0%	18.2%	16.8%	14.6%
Operating margin	19.7%	17.7%	8.9%	1.4%	0.2%	4.0%	2.2%	-2.0%
Net margin	16.4%	14.8%	7.8%	2.6%	0.1%	3.2%	1.9%	-1.6%
Current ratio	2.09×	1.81×	1.57×	1.99×	2.5×	2.19×	2.08×	2.35×
Debt / equity	0×	0×	0×	0.01×	0.01×	0.02×	0×	0.01×
Interest coverage	0×	0×	0×	0×	5×	90.22×	49.83×	-44.07×
Dividend yield	0.4%	0.5%	1.3%	4.9%	4.2%	4.3%	2.6%	3.0%
Payout ratio	7.1%	8.4%	22.8%	89.1%	1924.2%	72.4%	121.3%	-166.6%

Key metrics by fiscal year

Metric	FY2025	FY2024	FY2023	FY2022	FY2021	FY2020	FY2019	FY2018
Return on equity	28.2%	31.0%	15.8%	4.6%	0.2%	5.4%	3.3%	-2.4%
Return on invested capital	25.4%	27.3%	13.8%	2.3%	0.2%	5.2%	3.0%	-2.7%
Return on assets	16.3%	16.1%	7.2%	2.8%	0.1%	3.5%	2.1%	-1.7%
Free cash flow yield	4.2%	3.6%	17.7%	-2.4%	-11.6%	24.0%	14.2%	-8.2%
Earnings yield	4.9%	5.6%	5.5%	5.5%	0.2%	5.9%	2.2%	-1.8%
Enterprise value	$3.2B	$2.3B	$740.2M	$149.2M	$177.5M	$126.7M	$335.6M	$366.5M
Net debt / EBITDA	-1.86×	-1.55×	-3.15×	-5.19×	-9.46×	-4.94×	-4.77×	-6.47×
Cash conversion cycle (days)	125	120	144	123	89	80	100	130