Fuller H B Co (FUL) stock analysis

P/E below its 5-year median

Fuller H B's P/E of 14.1 is below its own 5-year median of 23.9.

P/E below the industry

Fuller H B's P/E of 14.1 is below the Chemicals and Allied Products median of 25.2.

EV/EBITDA below its 5-year median

Fuller H B's EV/EBITDA of 8.0 is below its 5-year median of 16.4.

P/B below the industry

Fuller H B's price-to-book of 1.26 is below the Chemicals and Allied Products median of 2.24.

Trading below fair value

The share price of $50.65 is below our fair value estimate of $103.58.

Margin of safety over 20%

The price is 51.1% below fair value, more than the 20% cushion we look for.

Revenue growing under 10% a year

Revenue grew -2.5% a year over the last three fiscal years, short of the 10% we look for.

EPS growing under 10% a year

Diluted EPS grew -5.5% a year over the last three fiscal years.

Earnings growth accelerating

Net income grew 72.2% over the last twelve months, against a 5-year average of 4.2% a year.

Growing slower than the industry

Revenue grew 1.5% over the last twelve months; the Chemicals and Allied Products median is 11.0%.

Guidance raised

Fuller H B raised its fiscal 2026 Cash flow from operations outlook on Sep 24, 2026.

Gross margin improving

Gross margin was 32.3% over the last twelve months, against 30.4% a year earlier.

Return on equity under 15%

Return on equity was 9.6% over the last twelve months and averaged 9.2% over five years; we look for 15% on both.

Return on invested capital

Needs operating income and invested capital.

Return on equity above the industry

Fuller H B's return on equity of 9.6% is above the Chemicals and Allied Products median of 7.4%.

Earnings grew over 5 years

Net income grew 4.2% a year on average over the last five fiscal years.

Net margin above its 5-year average

Net margin was 5.6% over the last twelve months, against a 5-year average of 4.4%.

Net margin below the industry

Fuller H B's net margin of 5.6% is below the Chemicals and Allied Products median of 5.6%.

High debt

Debt is 94.8% of shareholders' equity, above the 40% we consider low.

Debt falling against equity

Debt to equity fell from 127% five years ago to 94.8%.

Debt not well covered by cash flow

Operating cash flow over the last twelve months equals 14.1% of total debt; we look for at least 20%.

Interest coverage

Interest expense is not reported separately.

Short-term assets cover short-term debts

Current assets are 1.82 times current liabilities.

Bankruptcy risk in the grey zone

The Altman Z-score is 1.86; above 3 is the safe zone and below 1.8 the distress zone.

Pays a dividend

Fuller H B paid dividends worth 1.9% of the share price over the last twelve months.

Yield below Treasuries

The 1.9% yield is below the 4.4% on a 1-year Treasury.

Yield below the top quarter

The top quarter of US dividend payers yield 3.8% or more; Fuller H B yields 1.9%.

Dividend not cut

The dividend per share has not fallen by more than 10% in any of the last 10 fiscal years.

Covered by earnings

Dividends take 26.2% of net income.

Covered by free cash flow

Dividends take 51.8% of free cash flow.