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Added to YB: 2025-06-24

Pitch date: 2025-06-20

ESP [bullish]

Espey Mfg. & Electronics Corp.

+8.41%

current return

Author Info

The Rational Formula has 15+ years as a full time investor and is sharing a quantitative system built to find mispriced small/micro caps. Sign up for the newsletter.

Company Info

Espey Mfg. & Electronics Corp. manufactures and sells electronic equipment primarily for military and industrial applications in the United States and internationally.

Market Cap

$110.4M

Pitch Price

$40.08

Price Target

N/A

Dividend

N/A

EV/EBITDA

7.11

P/E

11.94

EV/Sales

1.49

Sector

Electrical Equipment

Category

value

Show full summary:
Top 50 Rational Formula Stocks 6/20/25 - This Week’s Highlighted Company: Espey Manufacturing ESP

ESP: Defense electronics mfr at 6.3x EV/EBIT, 7.7x EV/FCF. Builds mission-critical power systems for Navy, military aircraft. 80-90% defense-driven revenue with 1.75x backlog coverage. Under new CEO since 2022: 10-12pt margin expansion, 3x op income. $38.5M cash, no debt. Major upside from potential DDG-X destroyer program. Risk: customer concentration.

Read full article (6 min)