Where PSIX sits among all investable US stocks
Cheapness against five-year return on assets, as percentiles. Upper left is cheaper with higher returns; larger dark dots are its industry (Electrical Equipment and Power Systems).
PSIX is a cheap, high-return engine maker whose controlling holder, Weichai, blocks most catalysts, so value depends on earnings holding up.
Power Solutions makes emission-certified engines and power systems. Over five years the shares rose 734.2%, against 150.9% for peers and 71.0% for the S&P 500, but they fell 65.3% between April and July 2026. They rose 12.2% on Friday, November 6, after record quarterly operating income. Is it a bargain or a trap? On returns it looks like a bargain, but Weichai's control leaves no clear way to close the gap.
The commentary was written on November 6, 2026, from that day's figures. Since then: Acquirer's Multiple 11.2×, now 10.7×; FCF yield 7.1%, now 7.5%; operating earnings yield 8.9%, now 9.3%. The figures and charts show today's.
The last five years on the numbers
Where PSIX has ranked among investable US stocks each quarter since 2021. Hollow dot: five years ago; solid dot: the latest quarter. The share price over the same years is in the five-year record below.
Cheap and high quality: 22nd-percentile multiple, 87th-percentile return on assets.
11.2× operating income, 22nd percentile of US stocks, 4th cheapest of 42 in industry. Earnings yield 8.9% beats the 4.8% Treasury; free cash flow yield 7.1% (67th percentile). Net debt $60M.
Against the market, its industry and sector
PSIX as a percentile of all 3,202 investable US stocks, against the 42 in Electrical Equipment and Power Systems and the 353 in the Industrials sector.
| Metric | PSIX | Position | In its industry | Industry median | Sector median |
|---|---|---|---|---|---|
| Acquirer's Multiple | 22nd | #4 of 42 | 64th | 50th | |
| Free cash flow yield | 67th | #7 of 42 | 34th | 45th | |
| Shareholder yield | 32nd | #16 of 42 | 30th | 45th | |
| Dividend yield | 26th | #13 of 42 | 26th | 53rd | |
| Return on assets, 5-yr avg | 87th | #4 of 42 | 26th | 66th | |
| Debt to book equity | 51st | #28 of 42 | 44th | 47th | |
| Market cap | 31st | #27 of 42 | 40th | 61st |
Percentiles of the number itself. For the Acquirer's Multiple and debt to equity, lower is better: the 5th percentile on the multiple is cheaper than 95% of investable US stocks. Green is the better end, red the worse. Orange dot: PSIX; bar: industry median; diamond: sector median. Data as of 2026-10-31.
Price v Return
What the shares and assets earn, against the 10-year Treasury.
Its industry against its own history
Electrical Equipment and Power Systems report →Industry multiple at 63rd percentile, cheaper than in 34% of quarters since 1999, though returns are weaker than usual (29th percentile). Free cash flow yield 35th percentile. PSIX is cheap in a fairly dear, low-return industry.
| Metric | Percentile now | Usual range | Against its history | Last 10 years |
|---|---|---|---|---|
| Acquirer's Multiple | 63rd | 33rd–81st | Usual range | |
| Free cash flow yield | 35th | 24th–61st | Usual range | |
| Shareholder yield | 31st | 28th–47th | Lower than usual | |
| Dividend yield | 26th | 24th–36th | Usual range | |
| Return on assets, 5-yr | 29th | 24th–60th | Weaker than usual | |
| Debt to equity | 45th | 34th–54th | Usual range | |
| Company size | 43rd | 27th–54th | Usual range |
The industry's median stock as a percentile of all investable US stocks on each number. For the Acquirer's Multiple and debt to equity, lower is better: the 10th percentile is cheaper than 90% of the market. For yields, returns and size, higher is bigger. Usual range covers the middle 80% of quarters since 1999; it's the shaded band in each chart. Each chart is zoomed to its own range (the numbers on the left): green shading marks the metric's better side and red its worse side, the dashed line is the 50th percentile, and the dot is today, coloured by where it sits.
No live catalyst; Weichai's control makes a bid or activism unlikely.
No buyback authorization, activist or bid found; the share count is flat at 23,066 thousand shares. Weichai holds 46.0%. A new CEO and a raised second-half outlook are the only other signals.
Catalyst check
Likelihood of a catalyst: LowNo live catalyst: no buyback, activist or bid, and Weichai's 46.0% stake and board majority make a takeover hard.
Weichai's control and lumpy earnings are the main risks.
Weichai has a board majority and over 50% of director votes. A securities class action covers purchases to March 2, 2026. The 20.2% Q3 operating margin includes a $3.8 million tariff refund.
Value-trap check
Grades miss Weichai's control and the lumpy, data-center-driven earnings that make today's high return on assets hard to trust.
The swings are the company's own, not its sector's or the market's.
Every turning point is attributed to the company, not sector or market. Shares rose 734.2% against peers' 150.9%, with big drops after earnings: Q3 2025 margins and the Q1 2026 miss.
Five years of moves
PSIX +734.2% since 2021-10-28, against the median of BE, CAT, CMI, GNRC +150.9%, Industrials (XLI) +67.6% and the S&P 500 (SPY) +71.0%. Numbered dots mark inflections (peaks and troughs); shaded bands mark divergences from the sector or market.
What drove each turning point
| # | Turning point | PSIX | Peers | Sector | S&P 500 | Driver |
|---|---|---|---|---|---|---|
| 1 | Divergence vs market · 2022-10-07 → 2022-12-16 | +126.0% | +15.8% | +15.2% | +6.1% | Company |
| Not among the most significant turning points; not researched. | ||||||
| 2 | Trough · 2024-01-05 → 2024-11-22 | +1545.7% | +60.5% | +29.3% | +28.5% | Company |
| Company-driven. Q3 2024 EPS was $0.75 against $0.34, with data center demand cited. Peers gained 60.5%, sector 29.3%, market 28.5%. GlobeNewswire (728 days ago); SEC filing | ||||||
| 3 | Divergence vs sector · 2024-03-22 → 2024-11-22 | +1537.5% | +46.8% | +14.7% | +15.0% | Company |
| Company-driven. Q4 2024 sales were $144.3 million, up 38%, led by power systems. Peers rose 46.8%, sector 14.7%, market 15.0%. SEC filing | ||||||
| 4 | Peak · 2024-11-22 → 2024-12-13 | −35.0% | −2.8% | −3.7% | +1.5% | Company |
| No news found; PSIX fell 35.0% while peers fell 2.8%, sector 3.7% and market rose 1.5%, so the drop was the company's own. | ||||||
| 5 | Trough · also +316.0% vs sector · 2025-04-04 → 2025-09-19 | +441.8% | +63.1% | +30.2% | +32.1% | Company |
| Company-driven rebound from the tariff sell-off: Q1 2025 sales rose 42%, Q2 2025 sales 74%. Peers rose 63.1%, sector 30.2%, market 32.1%. trefis.com (178 days ago); SEC filing; SEC filing | ||||||
| 6 | Peak · 2025-09-19 → 2025-11-21 | −52.6% | +9.0% | −1.9% | −0.7% | Company |
| Company-driven. Q3 2025 gross margin fell to 23.9% from 28.9% with a cautious outlook, after insider selling. Peers rose 9.0%, sector fell 1.9%. investors.psiengines.com; Seeking Alpha (360 days ago); tipranks.com | ||||||
| 7 | Peak · also −67.7% vs market · 2026-04-17 → 2026-07-31 | −65.3% | +0.2% | +3.9% | +5.5% | Company |
| Company-driven. Q1 2026 sales missed estimates by $32.21 million, with no full-year guidance; shares fell 39.15% on May 12. Peers gained 0.2%, market 5.5%. gurufocus.com (178 days ago); benzinga.com (178 days ago); stocktitan.net (178 days ago) | ||||||
| 8 | Trough · 2026-07-31 → 2026-10-09 | +81.3% | +6.1% | −5.6% | +4.5% | Company |
| Not among the most significant turning points; not researched. | ||||||
Prices: daily closes. Peers chosen by the AI analyst as the closest US-listed businesses. Moves are over each window: for a peak or trough, the move that followed it. Driver is Company, Sector or Market; see Definitions below.
Every report on PSIX
Each AI analyst report as it was published, with the share price that day and the move since (today $38.40). Past performance is not a guide to the future.
| Report | Price then | Since | What it said |
|---|---|---|---|
| Nov 6, 2026Latest | $40.25 | ▼ −4.6% | No catalyst yet: high-return engine maker at 11.2× operating income, controlled by Weichai. · Catalyst: Low |
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Definitions
- Acquirer's Multiple®
- Enterprise value ÷ operating income (trailing 12 months). What an acquirer would pay for the whole business against what it earns before interest and tax. Lower is cheaper.
- Enterprise value
- Market cap at today's price, plus debt, preferred stock and minority interests, less cash.
- Operating income
- Trailing 12 months, after depreciation and amortization.
- Operating earnings yield
- Operating income ÷ enterprise value: the Acquirer's Multiple turned upside down.
- Free cash flow yield
- Trailing 12-month free cash flow (cash from operations less capital spending) ÷ market cap.
- Shareholder yield
- Trailing 12-month dividends plus net buybacks (shares bought back less shares issued) ÷ market cap. Dividend yield and buyback yield are its two parts.
- Return on assets
- Trailing 12-month operating income ÷ total assets at the latest quarter.
- Net debt : market cap
- Debt less cash, as a share of market cap. Negative means net cash.
- E(r)
- Expected annual return if the Acquirer's Multiple doesn't change. It has three parts: return on assets (what the business earns on what it owns); incremental growth (return on assets × the reinvestment rate, where the reinvestment rate is five-year average capital spending ÷ five-year average total assets: what reinvested capital adds); and shareholder yield (what is paid out through dividends and buybacks). E(r) = return on assets × (1 + reinvestment rate) + shareholder yield.
- 10-year Treasury
- The latest monthly 10-year US Treasury yield, the risk-free rate the yields are compared with.
- Percentiles
- Where the stock sits among investable US stocks (price above $3, market cap above $75M, average daily trading above $850,000, no ADRs or MLPs), updated each week. Each is the percentile of the number itself: for the Acquirer's Multiple (here EBIT ÷ enterprise value) and debt (total debt ÷ book equity), lower is better; for yields, five-year average return on assets and market cap, higher is bigger. Stocks outside the investable set, such as ADRs, are placed against it.
- Industry and sector
- FactSet RBICS industry. Industry and sector medians are the middle investable stock's percentile. Industry history is that median each quarter since 1999; the usual range is the middle 80% of quarters.
- Turning points
- Inflection points are the peaks and troughs where the stock's trend reversed by about 25% or more on weekly closes; each is compared over the move that followed. Divergences are stretches where the stock pulled away from its sector fund or the S&P 500 by about 20% or more. Each is set against its peers' median, its sector fund and the S&P 500 over the same window. Driver: Market if the market moved with it (same way, at least half as far) and so did its peers or sector; Sector if only its peers or sector did; Company otherwise.
- Value-trap grades
- Return on assets: Strong at 10% or more, Mixed at 5% or more. Net debt : market cap: Strong at 30% or less, Mixed at 100% or less. Free cash flow yield: Strong at 10% or more, Mixed at 5% or more. Shareholder yield: Strong at 8% or more, Mixed at 3% or more.