Comfort Systems USA, Inc. (FIX) — Fundamental Analysis & Key Financial Ratios

Kaplio's reading: Comfort Systems USA, Inc.

Updated on October 23, 2026 · accounts published on October 22, 2026

Reading of October 22, 2026: A fast-growing business with record margins and returns far above its sector

Comfort Systems USA trades at a P/E of 31.5, 25 % above its ten-year median, while earning a 42 % ROIC over the last 12 months.

• Is Comfort Systems USA expensive or cheap? Its P/E of 31.5 is 25 % above its ten-year median and 20 % above its sector; it traded lower 66 % of the past decade.
• How is the business doing? Operating margin reached 17 % over the last 12 months, more than double its 7 % average for fiscal 2014-2025.
• How strong is the balance sheet? Debt is just 0.11 times equity, net debt to EBITDA was −0.1× in fiscal 2025 and the Altman Z stands at 7.7.
• What to expect from the next earnings? Analysts expect EPS of $13.15 for the quarter reported on February 18, 2027, after 8 beats in the last 8 quarters.
• Does it turn its margin into cash, and what cycle multiple does it trade at? Free cash flow equalled 101 % of net income in fiscal 2025, but EV/EBITDA of 19.6 sits above its seven-year average of 14.8.

Is Comfort Systems USA expensive or cheap?

Over the last 12 months Comfort Systems USA trades at a P/E of 31.5, against a ten-year median of 25.2 and a sector median of 26.2 across 407 companies. The stock has traded at a lower P/E than today in 66 % of the last decade, within a wide range from 9.9 to 99.9. An earnings yield of 3.1 % and a free cash flow yield of 3.2 % leave little cushion. The share price is up 62 % over 12 months yet sits 38 % below its 52-week high of $2,066.51. The premium is paying for earnings that have grown far faster than the multiple.

How is the business doing?

Revenue grew 30 % and EPS 98 % over the last 12 months, so profits are expanding much faster than sales. The gap comes from margins: the operating margin of 17 % over the last 12 months more than doubles the 7 % average of fiscal 2014-2025, and fiscal 2025, at 14 %, was already the best of those 12 years. ROIC of 42 % sits 32.8 points above the sector median of 8.9 %, and it has stayed above 10 % in each of the last ten fiscal years. The business is at peak profitability, which also sets a high bar for the years ahead.

How strong is the balance sheet?

Comfort Systems USA carries little debt: debt to equity of 0.11 over the last 12 months and net cash of $5.29 per share in fiscal 2025, only 0.4 % of the share price. The Altman Z of 7.7 sits well inside the safe zone above 2.99, and a Piotroski score of 8 out of 9 points to improving fundamentals. The current ratio of 1.15 is adequate rather than generous. Shareholders receive little cash directly: the dividend yields 0.2 %, though it has risen for 11 consecutive fiscal years and took just 7 % of earnings in fiscal 2025, leaving ample room to grow.

What to expect from the next earnings?

On October 22, 2026, Comfort Systems USA reported EPS of $13.91 against $12.85 expected, an 8 % beat that extends a run of eight beats in eight quarters. The consensus for 2026 EPS barely moved over the last 30 days, from $49.01 to $49.06 across seven analysts, and the revenue forecast is just as stable, so analysts are not chasing the numbers higher after the beat. The $13.15 estimate for next quarter is below the figure just reported. Of the nine analysts covering the stock, five rate it a buy, four a hold and none a sell.

Does it turn its margin into cash, and what cycle multiple does it trade at?

Industrial companies are semi-cyclical, so the order book, the operating margin and cash conversion say more than a single year of earnings. On cash, Comfort Systems USA passes: free cash flow was 101 % of net income in fiscal 2025, above the healthy 85 % line, with capex of only 1.7 % of revenue, below the 4-8 % range typical of the sector. On the cycle multiple it does not: EV/EBITDA of 19.6 over the last 12 months is above 110 % of its seven-year average of 14.8. The P/E of 31.5 stays within the band around its ten-year average of 29.0.

How this was prepared: the data comes from companies' official filings, collected by a professional provider, and from Kaplio's analysis engine (trailing-12-month ratios, 10 years of history and sector medians computed across US-listed companies). The text is written from that data alone, every figure is checked against it before publication, and it is reviewed when the company reports results. This is not investment advice.