ISCA  International Speedway Corpora...

Exchange

NASDAQ

Sector

Consumer Services

Industry

Services-Misc. Amusement & Recreation

Market Cap.

1.70B

Vuru Grade

45.71/100

Current Price

$38.40
-0.45 (-1.16%)

Growth Price

$39.32
Fairly valued

Company Metrics

  • P/E 25.69
  • P/S 2.57
  • P/B 1.23
  • EPS 1.5
  • Cash ROIC 2.39%
  • Cash Ratio 3.00
  • Dividend 0.43 / 1.11%
  • Avg. Vol. 129,689.00
  • Shares 44.27M
  • Market Cap. 1.70B

Company Description

International Speedway Corporation, together with its subsidiaries, promotes motorsports themed entertainment activities in the United States. It conducts racing events at its motorsports entertainment facilities. The company's motorsports entertainment facilities promote 100 stock car, open wheel, sports car, truck, motorcycle, and other racing events. It also uses its track facilities for testin... more


Download 10 Years of Financial Statements:
Income Statement   Balance Sheet   Cash Flow

News

There is no news available at this time.
Growth Rate Assumed by Market

We did a reverse valuation to calculate the growth rate the market is assuming for ISCA to be considered fairly valued at its current market price. It's useful to compare this to the growth rate we're assuming for the Growth Price.

Future Free Cash Flow Growth Rate

This is the annual growth rate we've applied to calculate ISCA's Free Cash Flow for the next 10 years. To calculate it, we looked at several time periods of the last 10 years. Feel free to adjust it, but we limit the initial growth rate to 20% and slow it down over the years. Otherwise, long-term sustainability issues come into play.

Discount Rate

The discount rate is the annual rate of return an investor requires to take the risk of investing in a single stock. To account for that risk, this should be above 8-10%, as this is the avg. annual rate of return for the S&P500 over the past 100 years.

$38.40 Current Price

$39.32 Growth Price (DCF)

Fairly valued


Growth Rate Assumed by Market: -5.62%


Future Free Cash Flow Growth Rate: -1.5%


Discount Rate: 15.0%


Show Free Cash Flow numbers

$36.72 Book Price

Fairly valued


Poor Cash Return on Invested Capital over the past 5 years

ISCA has been unable to consistently generate sufficient returns from its investments in buildings, projects and equipment. This could be due to poor management, lack of an economic moat or the capital intensive nature of the business.

ISCA has only created $2.39 of cash for every $100 invested.
Figures in USD. Fiscal year ends in November
20132014201520162017
Free Cash Flow 87.86M -21.09M -3.03M 105.10M 46.25M
divided by
Invested Capital 1.76B 1.82B 1.84B 1.81B 1.87B
Cash ROIC 4.98% -1.16% -0.16% 5.79% 2.48%

Poor Return on Equity over the past 5 years

ISCA has shown an inability to deliver strong results for shareholders. This could be due to poor management, ISCA operating in a highly competitive industry, or having a weak business in general.

ISCA has only generated $5.13 of Earnings for every $100 of Shareholders' Equity.
Figures in USD. Fiscal year ends in November
20132014201520162017
Net Income 45.29M 67.38M 56.63M 76.34M 110.82M
divided by
Stockholders' Equity 1.29B 1.35B 1.39B 1.40B 1.46B
Return on Equity 3.52% 5.00% 4.06% 5.45% 7.59%

Good Business Performance over the past 10 years

It's likely ISCA has been unable to maintain profitability in tough economic times, making it a somewhat cyclical business. The other possibility is ISCA has expended significant capital on items such as property, plant and equipment in specific years. Look for correlations.

ISCA has created positive free cash flow for 7 or 8 of the past 10 years.
Figures in USD. Fiscal year ends in November
2008200920102011201220132014201520162017
Free Cash Flow 113.86M 147.98M 6.46M 122.18M 68.05M 87.86M -21.09M -3.03M 105.10M 46.25M

Strong Balance Sheet

ISCA is financially strong with Current Assets covering Total Liabilities. It's in a fairly liquid position and dependent on the amount and saleability of any inventory; it may have the financial security to survive an economic downturn.
Figures in USD. Fiscal year ends in November
2008200920102011201220132014201520162017
Cash 219.12M 158.77M 84.17M 110.08M 78.38M 172.83M 158.85M 160.55M 263.73M 256.70M
Current Assets 281.88M 217.96M 150.01M 165.40M 127.62M 235.84M 207.57M 265.54M 313.12M 325.59M
Total Assets 2.18B 1.91B 1.88B 1.94B 1.94B 2.02B 2.08B 2.12B 2.17B 2.21B
Current Liabilities 309.64M 113.92M 91.74M 89.64M 76.75M 82.06M 96.78M 118.96M 95.32M 85.56M
Total Liabilities 1.04B 769.63M 691.57M 732.17M 692.93M 730.35M 731.22M 728.98M 772.30M 748.27M
Stockholder' Equity 1.14B 1.14B 1.19B 1.21B 1.25B 1.29B 1.35B 1.39B 1.40B 1.46B
Current Ratio 0.91 1.91 1.64 1.85 1.66 2.87 2.14 2.23 3.29 3.81
TL-to-TA 0.48 0.40 0.37 0.38 0.36 0.36 0.35 0.34 0.36 0.34

Consistent Reinvestment of Profits over the past 10 years

ISCA has consistently retained profits. This may put ISCA in a strong position to invest for the future, by buying new machinery, investing in R&D or a number of other options. By effectively using these earnings, ISCA can greatly improve their long-term economic picture.
Figures in USD. Fiscal year ends in November
2008200920102011201220132014201520162017
Retained Earnings 665.41M 665.27M 712.10M 772.94M 811.17M 846.24M 902.43M 946.94M 965.28M 1.03B
Retained Earnings Growth - -0.02% 7.04% 8.54% 4.95% 4.32% 6.64% 4.93% 1.94% 6.85%

Potential Competitive Advantage over the past 10 years

ISCA potentially has a competitive advantage. This could be strong branding, the ability to keep costs low, or some other characteristic that is hard to replicate. Look at its future prospects to determine sustainability and whether the economic moat will strengthen.

$10.10 of every $100 of Revenue have been pure profit, on average over the past 10 years.
Figures in USD. Fiscal year ends in November
2008200920102011201220132014201520162017
Net Income 134.60M 6.82M 54.53M 69.42M 54.58M 45.29M 67.38M 56.63M 76.34M 110.82M
divided by
Revenue 787.25M 693.16M 645.36M 629.69M 612.37M 612.64M 651.94M 645.37M 661.02M 671.43M
Net Profit Margin 17.10% 0.98% 8.45% 11.03% 8.91% 7.39% 10.34% 8.78% 11.55% 16.51%

Strong Pricing Power over the past 10 years

ISCA has maintained substantial gross margins, suggesting that they have been able to set prices without consideration of the cost of goods sold. This potentially leaves flexibility in inflationary environments to raise prices on consumers and maintain profitability.

$48.89 of every $100 worth of sales have been Gross Profit, on average over the past 10 years.
Figures in USD. Fiscal year ends in November
2008200920102011201220132014201520162017
Gross Profit 418.39M 341.32M 308.23M 313.52M 296.98M 294.21M 302.45M 307.94M 325.72M 329.30M
divided by
Revenue 787.25M 693.16M 645.36M 629.69M 612.37M 612.64M 651.94M 645.37M 661.02M 671.43M
Gross Margin 53.15% 49.24% 47.76% 49.79% 48.50% 48.02% 46.39% 47.71% 49.28% 49.04%

High Capital Intensity over the past 10 years

ISCA spends large amounts of capital buying new equipment or investing in new facilities to stay competitive. Over the long term, those costs may have to be fuelled by debt. Look at the growth of Shareholders' Equity to see if this strategy is having a positive or negative impact.

325.61% of Profits are being spent on Capital Expenditures, like Property, Plant, & Equipment, required to run the business.
Figures in USD. Fiscal year ends in November
2008200920102011201220132014201520162017
Capital Expenditure 107.04M 113.73M 105.93M 76.85M 82.87M 85.54M 183.94M 155.02M 140.79M 145.13M
divided by
Net Income 134.60M 6.82M 54.53M 69.42M 54.58M 45.29M 67.38M 56.63M 76.34M 110.82M
Capital Expenditure Ratio 79.52% 1,668.80% 194.26% 110.69% 151.84% 188.86% 272.99% 273.72% 184.43% 130.96%

Very Strong Dividend History over the past 10 years

ISCA has consistently distributed a dividend for at least the past 10 years. Such a long dividend history suggests ISCA is very established in its market and that its dividend distribution is likely to continue for a significant period of time.
Figures in USD. Fiscal year ends in November
2008200920102011201220132014201520162017
Dividend Paid 5.96M 6.82M 7.71M 8.59M 9.28M 10.23M 11.18M 12.13M 18.86M 19.24M
divided by
Shares Outstanding 49.69M 48.63M 48.19M 47.61M 46.40M 46.49M 46.57M 46.64M 46.00M 44.66M
Dividend Paid Per Share 0.12 0.14 0.16 0.18 0.20 0.22 0.24 0.26 0.41 0.43
Price at Year End 27.68 28.46 26.51 25.35 26.93 35.32 32.03 34.49 36.80 35.75
Dividend Yield 0.43% 0.49% 0.60% 0.71% 0.74% 0.62% 0.75% 0.75% 1.11% 1.21%

Strong History of Stock Buybacks over the past 10 years

ISCA has a strong history of delivering increased value for shareholders in the form of stock buybacks. These have helped improve financial metrics and increase each shareholders' relative ownership stake in the company, due to fewer shares outstanding and holding the same number of shares.
Figures in USD. Fiscal year ends in November
2008200920102011201220132014201520162017
Shares Outstanding 49.69M 48.63M 48.19M 47.61M 46.40M 46.49M 46.57M 46.64M 46.00M 44.66M
Stock Bought Back - 2.17% 0.91% 1.23% 2.62% -0.19% -0.19% -0.13% 1.39% 2.99%
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