One-glance verdict
Overvalued
$-10.78 our estimate vs market $39.45
Wall Street consensus: $43.50 (-503.5% lower than our fair-value estimate)
466% below our estimate, beyond the bull case
Fundamentals snapshot
Park-Ohio Holdings Corp.
PKOH · NMS · Industrials · Specialty Industrial Machinery
Current price
$39.45
52-week range
$15.52 - $39.84
Market cap
$568.01M
Balance sheet
Stretched
1.72x Concerning
Net debt $644.60M. Interest coverage shows how many times profit covers the interest bill.
What stands out
3 Rewards
1 Risk
3 rewards · 1 risks
- Reward Revenue grew 1.0% last year.
- Reward Returns 5.7% on equity, ahead of 16% of its peers.
- Reward Free cash flow was positive in 8/10 years.
- Risk Stock trades 1.3% above its 5-year average P/E.
What this company does
Park-Ohio Holdings Corp.
Park-Ohio is an industrial company that helps other manufacturers build their products by making essential parts and managing their supply chain (the complex process of getting materials and parts where they are needed). The company earns money by selling a wide range of goods, from simple nuts and bolts to complex fuel systems and large factory machinery. Because its customers are in major industries like automotive and aerospace, Park-Ohio's success is often tied to the overall health of the manufacturing world.
How the company got here
Park-Ohio started in 1967 when two Cleveland-based companies, Park Drop Forge (founded in 1907) and Ohio Crankshaft (founded in 1920), merged. Initially focused on making heavy-duty engine parts for vehicles like trucks and locomotives, the company expanded into plastics, rubber, and heating systems in the 1970s and 80s. After a difficult period, a major investor named Edward F. Crawford took charge in 1992 and refocused the company on growth. This new direction led to a strategy of acquiring other industrial businesses, which has shaped the diversified company it is today.
What it actually does
Think of Park-Ohio as a behind-the-scenes partner for giant manufacturing companies. It doesn't sell things you'd buy in a store; instead, it supplies the essential parts, custom-built equipment, and logistical services that other companies need to make their own products. For example, it might provide specialized fuel lines for a carmaker, high-tech heating systems for a steel mill, or manage the entire inventory of nuts and bolts for an aerospace company. The company's goal is to help its customers' production lines run more smoothly and efficiently.
Supply Technologies
This is Park-Ohio's largest business line, making up nearly half of its sales. This division acts like a super-specialized hardware store and logistics manager for other manufacturers. It provides countless small but critical parts like fasteners, bolts, and hoses, and manages the entire supply chain (the process of getting parts from a supplier to a factory floor) for its customers. Companies in the aerospace, defense, and powersports industries pay Park-Ohio to ensure they have the right components exactly when they need them, which saves them the headache of managing thousands of tiny parts themselves.
Engineered Products
This segment, the second largest part of the company, builds and sells heavy-duty, custom machinery and forged metal components. Its customers are other large industrial companies, such as those in the defense, steel, and aerospace industries. For example, this division might build a massive induction heating system to melt metal for a steel producer or forge super-strong metal parts for an airplane's landing gear. It's a business built on highly technical engineering and powerful equipment.
Assembly Components
This is the smallest of the three segments and primarily serves the automotive industry. It manufactures parts that are assembled into final products, like cars and trucks. Key products include things you'd find under the hood, such as rubber hoses for turbochargers, fuel filler pipes, and high-pressure fuel rails that are critical for modern engines. Carmakers and other vehicle manufacturers pay this division for these essential, custom-designed components to build into their vehicles.
What management is betting on now
Management is focusing on becoming a key supplier to industries they believe have strong futures, like data centers, aerospace and defense, and electrical infrastructure. They are investing in technology like automation and AI to make their supply chain services more efficient and valuable to clients. The company is also fine-tuning its collection of businesses by looking to sell less profitable parts to free up money for more promising areas. The long-term plan is to continue growing through strategic acquisitions while improving profitability (the ability to make a profit from its sales).
Price history
How the share price has moved
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Loading price history…
Earnings history
Last 8 quarters — what happened
Click any quarter to read the call summary and what the numbers say.
FY2024 Q2
$-10.10M
FY2024 Q3
$-100.00K
FY2024 Q4
$17.30M
FY2025 Q1
$-19.50M
FY2025 Q2
$-21.10M
FY2025 Q3
$6.60M
FY2025 Q4
$36.00M
FY2026 Q1
$-20.30M
Revenue
$421.00M
Net income
$8.10M
Diluted EPS
0.57
Operating cash flow
$-7.80M
Free cash flow
$-20.30M
Fetching…
Sources
Revenue
$395.00M
Net income
$1.00M
Diluted EPS
0.06
Operating cash flow
$48.70M
Free cash flow
$36.00M
Fetching…
Sources
Revenue
$398.60M
Net income
$5.30M
Diluted EPS
0.38
Operating cash flow
$17.30M
Free cash flow
$6.60M
Fetching…
Sources
Revenue
$400.10M
Net income
$9.20M
Diluted EPS
0.66
Operating cash flow
$-13.70M
Free cash flow
$-21.10M
Fetching…
Sources
Revenue
$405.40M
Net income
$8.30M
Diluted EPS
0.60
Operating cash flow
$-10.00M
Free cash flow
$-19.50M
Fetching…
Sources
Revenue
$388.40M
Net income
$500.00K
Diluted EPS
0.00
Operating cash flow
$26.40M
Free cash flow
$17.30M
Fetching…
Sources
Revenue
$417.60M
Net income
$9.80M
Diluted EPS
0.73
Operating cash flow
$9.00M
Free cash flow
$-100.00K
Fetching…
Sources
Revenue
$432.60M
Net income
$11.90M
Diluted EPS
0.92
Operating cash flow
$-2.70M
Free cash flow
$-10.10M
Fetching…
Sources
Is it cheap or expensive?
Fair value $-10.78 vs current price $39.45
Wall Street consensus is the average analyst price target: $43.50 (-503.5% lower than our fair-value estimate).
Our most-likely fair value is $-10.78 a share — about 127.3% below today's price of $39.45, so the stock currently looks expensive (overvalued).
Is it drowning in debt?
Stretched
Net debt $644.6M. Interest coverage 1.7x.
Net debt
$644.60M
Interest coverage
1.72x
Park-Ohio Holdings Corp.'s profit covers its interest bill about 1.7 times over. which is weaker than most peers shown here.
Stretched
Worse cushion
Baseline
Better cushion
PKOH
BASELINE
Park-Ohio Holdings Corp.
Total debt $691.30M Interest coverage 1.72x This is the baseline the peer rows are being compared against.
Total debt $82.94M Interest coverage 4.48x +161% vs PKOH Carries about 2.6x more debt cushion than PKOH.
Total debt $4.52M Interest coverage 8.51x +396% vs PKOH Carries about 5.0x more debt cushion than PKOH.
Total debt $368.30M Interest coverage 4.20x +144% vs PKOH Carries about 2.4x more debt cushion than PKOH.
Total debt $184.79M Interest coverage 14.06x +718% vs PKOH Carries about 8.2x more debt cushion than PKOH.
Total debt $617.80M Interest coverage 4.83x +181% vs PKOH Carries about 2.8x more debt cushion than PKOH.
What you should know
The case for and against PKOH
3 Rewards
1 Risk
Rewards
-
Revenue grew 1.0% last year.
-
Returns 5.7% on equity, ahead of 16% of its peers.
-
Free cash flow was positive in 8/10 years.
Risks
-
Stock trades 1.3% above its 5-year average P/E.
The numbers
All the key metrics, grouped by purpose
Tap any ? icon to learn what it means.
Valuation
How expensive the stock looks
P/E (TTM)
22.54x
Forward P/E
11.50x
P/B
1.43x
P/S
0.35x
EV/EBITDA
9.66x
PEG ratio
1.04x
Profitability
How much profit each dollar creates
Gross margin
17.1%
Operating margin
5.5%
Net margin
1.5%
ROE
5.7%
ROA
4.0%
Health
Liquidity and balance-sheet strength
Debt / equity
1.81x
Current ratio
2.40x
Quick ratio
1.04x
Total debt
$691.30M
Total cash
$46.70M
Growth
How the business has been compounding
Revenue TTM
$1.61B
Revenue 5Y CAGR
5.8%
EPS TTM
1.75
EPS 5Y CAGR
—
Cash flow
How much cash the business throws off
Operating CF TTM
$44.50M
Free CF TTM
$2.00M
FCF margin
0.1%
Dividend
Shareholder payout
Yield
1.3%
Payout ratio
28.6%
Last ex-div date
2026-07-31