CANAF INVESTMENTS INC (CAF.CA) Stock Fundamental Analysis
Canada - TSX Venture Exchange - TSX-V:CAF - CA13682P1027 - Common Stock
0.365 CAD
+0.01 (+1.39%)
Overall CAF gets a fundamental rating of 7 out of 10. We evaluated CAF against 820 industry peers in the Metals & Mining industry. CAF scores excellent points on both the profitability and health parts. This is a solid base for a good stock. CAF is not valued too expensively and it also shows a decent growth rate.
1. Profitability
1.1 Basic Checks
- CAF had positive earnings in the past year.
- CAF had a positive operating cash flow in the past year.
- CAF had positive earnings in each of the past 5 years.
- CAF had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
- CAF has a Return On Assets of 14.43%. This is amongst the best in the industry. CAF outperforms 95.49% of its industry peers.
- Looking at the Return On Equity, with a value of 18.41%, CAF belongs to the top of the industry, outperforming 95.00% of the companies in the same industry.
- The Return On Invested Capital of CAF (13.99%) is better than 95.98% of its industry peers.
- The Average Return On Invested Capital over the past 3 years for CAF is significantly above the industry average of 12.04%.
- The 3 year average ROIC (18.48%) for CAF is well above the current ROIC(13.99%). The reason for the recent decline needs to be investigated.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 14.43% | ||
| ROE | 18.41% | ||
| ROIC | 13.99% |
ROA(3y)13.28%
ROA(5y)12.49%
ROE(3y)19.25%
ROE(5y)17.56%
ROIC(3y)18.48%
ROIC(5y)17.95%
1.3 Margins
- CAF's Profit Margin of 8.74% is amongst the best of the industry. CAF outperforms 91.59% of its industry peers.
- CAF's Profit Margin has improved in the last couple of years.
- The Operating Margin of CAF (9.29%) is better than 89.51% of its industry peers.
- CAF's Operating Margin has improved in the last couple of years.
- With an excellent Gross Margin value of 12.78%, CAF belongs to the best of the industry, outperforming 86.71% of the companies in the same industry.
- In the last couple of years the Gross Margin of CAF has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 9.29% | ||
| PM (TTM) | 8.74% | ||
| GM | 12.78% |
OM growth 3Y2.43%
OM growth 5Y11.63%
PM growth 3Y9%
PM growth 5Y14.61%
GM growth 3Y-0.97%
GM growth 5Y4.44%
2. Health
2.1 Basic Checks
- With a Return on Invested Capital (ROIC) well above the Cost of Capital (WACC), CAF is creating value.
- The number of shares outstanding for CAF remains at a similar level compared to 1 year ago.
- The number of shares outstanding for CAF remains at a similar level compared to 5 years ago.
- The debt/assets ratio for CAF has been reduced compared to a year ago.
2.2 Solvency
- CAF has an Altman-Z score of 6.13. This indicates that CAF is financially healthy and has little risk of bankruptcy at the moment.
- The Altman-Z score of CAF (6.13) is comparable to the rest of the industry.
- The Debt to FCF ratio of CAF is 0.01, which is an excellent value as it means it would take CAF, only 0.01 years of fcf income to pay off all of its debts.
- Looking at the Debt to FCF ratio, with a value of 0.01, CAF belongs to the top of the industry, outperforming 97.44% of the companies in the same industry.
- CAF has a Debt/Equity ratio of 0.00. This is a healthy value indicating a solid balance between debt and equity.
- CAF has a Debt to Equity ratio (0.00) which is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0.01 | ||
| Altman-Z | 6.13 |
ROIC/WACC1.43
WACC9.76%
2.3 Liquidity
- CAF has a Current Ratio of 5.68. This indicates that CAF is financially healthy and has no problem in meeting its short term obligations.
- The Current ratio of CAF (5.68) is better than 75.24% of its industry peers.
- CAF has a Quick Ratio of 5.30. This indicates that CAF is financially healthy and has no problem in meeting its short term obligations.
- The Quick ratio of CAF (5.30) is better than 74.76% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 5.68 | ||
| Quick Ratio | 5.3 |
3. Growth
3.1 Past
- The Earnings Per Share has been growing slightly by 3.39% over the past year.
- CAF shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 40.60% yearly.
- CAF shows a very negative growth in Revenue. In the last year, the Revenue has decreased by -21.93%.
- Measured over the past years, CAF shows a very strong growth in Revenue. The Revenue has been growing by 22.73% on average per year.
EPS 1Y (TTM)3.39%
EPS 3Y27.5%
EPS 5Y40.6%
EPS Q2Q%-0.64%
Revenue 1Y (TTM)-21.93%
Revenue growth 3Y16.85%
Revenue growth 5Y22.73%
Sales Q2Q%-27.47%
3.2 Future
- No EPS estimates are available, so we could not analyze the future EPS growth and evolution.
- No Revenue estimates are available, so we could not analyze the future revenue growth and evolution.
EPS Next YN/A
EPS Next 2YN/A
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next YearN/A
Revenue Next 2YN/A
Revenue Next 3YN/A
Revenue Next 5YN/A
3.3 Evolution
- No EPS estimates are available, so we could not analyze the future EPS growth and evolution.
- No Revenue estimates are available, so we could not analyze the future revenue growth and evolution.
4. Valuation
4.1 Price/Earnings Ratio
- Based on the Price/Earnings ratio of 7.30, the valuation of CAF can be described as very cheap.
- Based on the Price/Earnings ratio, CAF is valued cheaper than 97.44% of the companies in the same industry.
- The average S&P500 Price/Earnings ratio is at 27.25. CAF is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 7.3 | ||
| Fwd PE | N/A |
4.2 Price Multiples
- Based on the Enterprise Value to EBITDA ratio, CAF is valued cheaply inside the industry as 99.39% of the companies are valued more expensively.
- 99.63% of the companies in the same industry are more expensive than CAF, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 5.51 | ||
| EV/EBITDA | 1.89 |
4.3 Compensation for Growth
- CAF has an outstanding profitability rating, which may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)0.18
EPS Next 2YN/A
EPS Next 3YN/A
5. Dividend
5.1 Amount
- No dividends for CAF!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
CANAF INVESTMENTS INC / CAF.CA FAQ
What is the ChartMill fundamental rating of CANAF INVESTMENTS INC (CAF.CA) stock?
ChartMill assigns a fundamental rating of 7 / 10 to CAF.CA.
Can you provide the valuation status for CANAF INVESTMENTS INC?
ChartMill assigns a valuation rating of 6 / 10 to CANAF INVESTMENTS INC (CAF.CA). This can be considered as Fairly Valued.
Can you provide the profitability details for CANAF INVESTMENTS INC?
CANAF INVESTMENTS INC (CAF.CA) has a profitability rating of 10 / 10.
Can you provide the financial health for CAF stock?
The financial health rating of CANAF INVESTMENTS INC (CAF.CA) is 8 / 10.