Value
5.4/10data confidence 100%| Component | Sub-score |
|---|---|
| P/E | 4.4 |
| P/S | 9.0 |
| EV/EBITDA | 4.0 |
| Fwd P/E | 6.6 |
| PEG | 4.7 |
| Analyst target | 4.0 |
- ▸Forward P/E: 19.4x
- ▸PEG: 1.79
FELE · Why this verdict
Why Franklin Electric Co. (FELE) is rated SELL
Updated
Model-generated analysis — not investment advice. Not a registered investment advisor. Past performance does not guarantee future results.
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VerdictSELL
Overall score5.1/10
ConfidenceMEDIUM
MacroRISK_OFF
Per-dimension breakdown
Quality
5.6/10data confidence 100%| Component | Sub-score |
|---|---|
| ROE | 3.8 |
| ROA | 6.0 |
| Gross margin | 3.0 |
| Op margin | 4.1 |
| Net margin | 3.5 |
| Current ratio | 9.0 |
| FCF quality | 4.6 |
| Moat | 6.5 |
| Piotroski F | 10.0 |
- ▸Earnings quality warning: 59% FCF/NI
- ▸Strong Piotroski F-Score: 9/9
Growth
5.0/10data confidence 67%| Component | Sub-score |
|---|---|
| Rev growth | 5.0 |
| EPS growth | 5.0 |
Momentum
5.5/10data confidence 100%| Component | Sub-score |
|---|---|
| RSI | 5.5 |
| MACD | 8.6 |
| OBV | 4.5 |
| MA position | 9.0 |
| Volume | 0.0 |
- ▸Above 200-day MA
Sentiment
5.6/10data confidence 100%| Component | Sub-score |
|---|---|
| Analyst rating | 5.0 |
| Price target | 6.9 |
| erm sentiment | 5.0 |
Insider
3.9/10data confidence 75%| Component | Sub-score |
|---|---|
| materiality | 4.5 |
| insider conviction | 2.0 |
| holder change | 5.1 |
- ▸Modest insider selling — $1,121,237 (0.026% of mkt cap)
Peer rank
3.8/10data confidence 80%| Component | Sub-score |
|---|---|
| value rank | 6.9 |
| quality rank | 3.3 |
| growth rank | 5.1 |
Technical
4.2/10data confidence 100%| Component | Sub-score |
|---|---|
| bollinger | 1.9 |
| support resistance | 2.7 |
| 52w position | 8.0 |
Risk (lower is worse)
7.5/10data confidence 100%| Component | Sub-score |
|---|---|
| short interest | 9.1 |
| days to cover | 9.0 |
| volatility | 6.9 |
| put call | 10.0 |
| implied vol | 6.0 |
| max pain risk | 3.0 |
| beta | 6.8 |
| debt equity | 9.1 |
- ▸Above max pain $90
- ▸Concentration risks: 1 HIGH, 1 MED (10-K Item 1A — sized via position_sizing, validated via buy_confidence)
Catalyst
5.4/10data confidence 100%| Component | Sub-score |
|---|---|
| erm | 5.0 |
| earnings history | 6.7 |
| earnings timing | 5.0 |
| surprise avg | 3.5 |
| dividend safety | 7.0 |
- ▸Strong earnings: 3B/1M
- ▸Dividend: 114.0%
How the verdict was assembled
Engine trigger
Multiple concerning factors. Consider reducing position.
Engine technical detail
verdict_path:
L4:PATH_F_SELLPassed (7)
- MOMENTUM:5.5>=5.5
- INSIDER:OK
- 8K:CLEAN
- NEWS_EVENTS:NONE_RECENT
- EARNINGS_PROXIMITY:49d clear
- SEMI_CYCLE_PEAK:CLEAR
- MATERIALS_CYCLE_PEAK:CLEAR
Failed (1)
- ASYMMETRY:-0.8=NEGATIVE
Warning (0)
none
Reward-to-Risk
-0.75
Upside
-3.9%
Downside
5.2%
Sizing output
AVOID
SetupBREAKOUT — Golden cross, above all MAs, RSI 57, MACD bullish
EdgeNO_EDGE — No clear edge identified
SuitabilityAGGRESSIVE — MCap $4.4B<$5B
Investment implication
The F-path SELL output reflects an overall score of 4.4 below the 5.6 soft trigger — multiple weakening dimensions accumulated rather than a single hard-floor breach. The strongest dimension ( Risk (lower is worse) at 7.5) was not enough to lift the adjusted overall above the threshold. Co-occurring failed gates ( ASYMMETRY:-0.8=NEGATIVE) reinforce the read. Current asymmetry R:R is -0.75 — supplementary context, not the trigger for this path.
The strongest dimensions are Risk (lower is worse) at 7.5, Quality at 5.6, and Sentiment at 5.6; the weakest are Peer rank at 3.8, Insider at 3.9, and Technical at 4.2. The V9 engine flagged 1 failed gate, producing an asymmetric reward-to-risk of -0.75 and an engine sizing output of AVOID.