📊 NPK Key Takeaways
Is National Presto Industries Inc. (NPK) a Good Investment?
While National Presto demonstrates strong revenue growth of 29.7% YoY and exceptional free cash flow generation (24.8% FCF margin), fundamental profitability metrics are severely depressed. The decline in EPS of 19.2% despite revenue growth signals margin compression and operational challenges. Most critically, the company generates only 1.7% ROE and 1.4% ROA on a $395M equity base, indicating significant inefficiency in capital deployment and returns well below acceptable thresholds.
NPK shows strong top-line growth and maintains a debt-free balance sheet with ample working capital, but profitability has compressed and earnings declined year over year. Negative operating and free cash flow, low cash on hand, and heavier investment point to working-capital strain and execution risk. Until margins and cash generation improve, fundamentals argue for patience.
Why Buy National Presto Industries Inc. Stock? NPK Key Strengths
- Strong top-line revenue growth of 29.7% YoY demonstrates market demand
- Exceptional free cash flow generation with 24.8% FCF margin and $29.4M FCF
- Conservative capital structure with zero long-term debt and 5.88x current ratio
- Debt-free balance sheet and zero interest burden
- Robust current ratio indicating strong near-term liquidity
- Solid revenue growth supported by defense-oriented demand
NPK Stock Risks: National Presto Industries Inc. Investment Risks
- EPS declining 19.2% YoY despite revenue growth indicates severe margin compression or operational cost inflation
- Critically low profitability metrics: 5.6% net margin, 6.8% operating margin, 1.7% ROE, 1.4% ROA suggest poor capital efficiency
- Quick ratio of 0.96x combined with low cash position ($6.5M) relative to $469.3M asset base raises liquidity concerns
- Ordnance sector concentration creates geopolitical and policy dependency risk
- Disconnect between strong FCF and weak earnings suggests underlying operational or structural issues
- Margin compression despite higher revenue
- Negative operating and free cash flow with low cash balance
- Execution and contract-mix risk amid elevated capex and inventory
Key Metrics to Watch
- EPS trend reversal relative to revenue growth
- Net and operating margin expansion or contraction
- Return on Equity trajectory toward acceptable cost of capital levels (>8-10%)
- Cash position replenishment and working capital efficiency
- Operating cash flow (and working-capital turns)
- Gross and operating margin trajectory
National Presto Industries Inc. (NPK) Financial Metrics & Key Ratios
💡 AI Analyst Insight
The 24.8% free cash flow margin provides substantial flexibility for dividends, buybacks, and strategic investments. Strong liquidity with a 5.88x current ratio provides a solid financial cushion.
NPK Profit Margin, ROE & Profitability Analysis
NPK vs Market Sector: How National Presto Industries Inc. Compares
How National Presto Industries Inc. compares to Market sector averages
Sector benchmarks are approximate industry averages. Actual sector performance may vary.
Is National Presto Industries Inc. Stock Overvalued? NPK Valuation Analysis 2026
Based on fundamental analysis, National Presto Industries Inc. has mixed fundamental signals relative to the Market sector in 2026.
Note: This is a fundamental analysis based on SEC filings. For P/E ratio, price targets, and market-based valuation, consult financial data providers. This is not investment advice.
National Presto Industries Inc. Balance Sheet: NPK Debt, Cash & Liquidity
NPK Revenue & Earnings Growth: 5-Year Financial Trend
5-Year Trend Summary: National Presto Industries Inc.'s revenue has grown significantly by 42% over the 5-year period, indicating strong business expansion. The most recent EPS of $4.86 reflects profitable operations.
NPK Revenue Growth, EPS Growth & YoY Performance
NPK Quarterly Earnings & Performance
| Quarter | Revenue | Net Income | EPS |
|---|---|---|---|
| Q1 2026 | $103.6M | $6.6M | $0.93 |
| Q3 2025 | $91.8M | $5.3M | $0.74 |
| Q2 2025 | $85.1M | $5.2M | $0.72 |
| Q1 2025 | $76.7M | $6.6M | $0.92 |
| Q3 2024 | $83.1M | $7.0M | $0.99 |
| Q2 2024 | $78.9M | $5.5M | $0.77 |
| Q1 2024 | $76.7M | $6.6M | $0.92 |
| Q3 2023 | $69.7M | $7.0M | $0.99 |
Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.
National Presto Industries Inc. Dividends, Buybacks & Capital Allocation
NPK SEC Filings: Latest 10-K & 10-Q Analysis
Access official SEC EDGAR filings for National Presto Industries Inc. (CIK: 0000080172)
📋 Recent SEC Filings
❓ Frequently Asked Questions about NPK
What is the AI rating for NPK?
National Presto Industries Inc. (NPK) has a Combined AI Rating of SELL from Claude (SELL) and ChatGPT (HOLD) with 68% combined confidence, based on fundamental analysis of SEC EDGAR filings.
What are NPK's key strengths?
Claude: Strong top-line revenue growth of 29.7% YoY demonstrates market demand. Exceptional free cash flow generation with 24.8% FCF margin and $29.4M FCF. ChatGPT: Debt-free balance sheet and zero interest burden. Robust current ratio indicating strong near-term liquidity.
What are the risks of investing in NPK?
Claude: EPS declining 19.2% YoY despite revenue growth indicates severe margin compression or operational cost inflation. Critically low profitability metrics: 5.6% net margin, 6.8% operating margin, 1.7% ROE, 1.4% ROA suggest poor capital efficiency. ChatGPT: Margin compression despite higher revenue. Negative operating and free cash flow with low cash balance.
What is NPK's revenue and growth?
National Presto Industries Inc. reported revenue of $118.6M.
Does NPK pay dividends?
National Presto Industries Inc. pays dividends, with $7.2M distributed to shareholders in the trailing twelve months.
Where can I find NPK SEC filings?
Official SEC filings for National Presto Industries Inc. (CIK: 0000080172) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.
What is NPK's EPS?
National Presto Industries Inc. has a diluted EPS of $0.99.
How is the AI analysis conducted?
Two independent AI systems — Claude (Anthropic) and ChatGPT (OpenAI) — analyze SEC EDGAR filings including 10-K annual reports and 10-Q quarterly reports. Each AI evaluates financial health, profitability ratios, balance sheet strength, and growth metrics. The combined rating reflects both perspectives for balanced insights.
Is NPK a good stock to buy right now?
Based on our AI fundamental analysis in May 2026, National Presto Industries Inc. has a SELL rating with 68% confidence. Review the strengths and risks sections above before making a decision. This is not investment advice.
Is NPK stock overvalued or undervalued?
Valuation metrics for NPK: ROE of 1.7% (sector avg: 15%), net margin of 5.6% (sector avg: 12%). Compare these metrics with sector averages to assess valuation.
Should I buy NPK stock in 2026?
Our dual AI analysis gives National Presto Industries Inc. a combined SELL rating for 2026. Revenue is data pending, with profitability at or below sector average. Always conduct your own research.
What is NPK's free cash flow?
National Presto Industries Inc.'s operating cash flow is $31.3M, with capital expenditures of $2.0M. FCF margin is 24.8%.
How does NPK compare to other Market stocks?
Vs Default sector averages: Net margin 5.6% (avg: 12%), ROE 1.7% (avg: 15%), current ratio 5.88 (avg: 1.8).