CAIRO COMMUNICATIONS SPA (CAI.MI) Stock Fundamental Analysis
BIT:CAI - Euronext Milan - IT0004329733 - Common Stock - Currency: EUR
Taking everything into account, CAI scores 5 out of 10 in our fundamental rating. CAI was compared to 66 industry peers in the Media industry. Both the profitability and the financial health of CAI get a neutral evaluation. Nothing too spectacular is happening here. CAI is cheap, but on the other hand it scores bad on growth.
1. Profitability
1.1 Basic Checks
In the past year CAI was profitable.
In the past year CAI had a positive cash flow from operations.
Each year in the past 5 years CAI has been profitable.
In the past 5 years CAI always reported a positive cash flow from operatings.
1.2 Ratios
The Return On Assets of CAI (2.18%) is comparable to the rest of the industry.
Looking at the Return On Equity, with a value of 6.92%, CAI is in line with its industry, outperforming 51.52% of the companies in the same industry.
CAI has a Return On Invested Capital (6.04%) which is in line with its industry peers.
The Average Return On Invested Capital over the past 3 years for CAI is below the industry average of 8.67%.
The last Return On Invested Capital (6.04%) for CAI is above the 3 year average (5.40%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.18% | ||
| ROE | 6.92% | ||
| ROIC | 6.04% |
ROA(3y)2.14%
ROA(5y)2.03%
ROE(3y)7%
ROE(5y)6.89%
ROIC(3y)5.4%
ROIC(5y)5.14%
1.3 Margins
CAI's Profit Margin of 2.70% is in line compared to the rest of the industry. CAI outperforms 45.45% of its industry peers.
CAI's Profit Margin has improved in the last couple of years.
The Operating Margin of CAI (6.98%) is comparable to the rest of the industry.
CAI's Operating Margin has improved in the last couple of years.
With a decent Gross Margin value of 71.57%, CAI is doing good in the industry, outperforming 72.73% of the companies in the same industry.
In the last couple of years the Gross Margin of CAI has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 6.98% | ||
| PM (TTM) | 2.7% | ||
| GM | 71.57% |
OM growth 3Y1.56%
OM growth 5Y2.61%
PM growth 3Y-2.92%
PM growth 5Y3.71%
GM growth 3Y-0.01%
GM growth 5Y-0.93%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), CAI is destroying value.
Compared to 1 year ago, CAI has about the same amount of shares outstanding.
Compared to 5 years ago, CAI has about the same amount of shares outstanding.
The debt/assets ratio for CAI has been reduced compared to a year ago.
2.2 Solvency
Based on the Altman-Z score of 1.45, we must say that CAI is in the distress zone and has some risk of bankruptcy.
CAI has a Altman-Z score of 1.45. This is comparable to the rest of the industry: CAI outperforms 46.97% of its industry peers.
The Debt to FCF ratio of CAI is 2.53, which is a good value as it means it would take CAI, 2.53 years of fcf income to pay off all of its debts.
The Debt to FCF ratio of CAI (2.53) is better than 75.76% of its industry peers.
CAI has a Debt/Equity ratio of 0.30. This is a healthy value indicating a solid balance between debt and equity.
CAI's Debt to Equity ratio of 0.30 is fine compared to the rest of the industry. CAI outperforms 66.67% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.3 | ||
| Debt/FCF | 2.53 | ||
| Altman-Z | 1.45 |
ROIC/WACC0.87
WACC6.93%
2.3 Liquidity
A Current Ratio of 0.96 indicates that CAI may have some problems paying its short term obligations.
CAI has a Current ratio of 0.96. This is comparable to the rest of the industry: CAI outperforms 48.48% of its industry peers.
CAI has a Quick Ratio of 0.96. This is a bad value and indicates that CAI is not financially healthy enough and could expect problems in meeting its short term obligations.
CAI has a Quick ratio (0.93) which is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.96 | ||
| Quick Ratio | 0.93 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 30.64% over the past year.
CAI shows a small growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 1.43% yearly.
CAI shows a decrease in Revenue. In the last year, the revenue decreased by -1.67%.
Measured over the past years, CAI shows a decrease in Revenue. The Revenue has been decreasing by -2.20% on average per year.
EPS 1Y (TTM)30.64%
EPS 3Y-3.94%
EPS 5Y1.43%
EPS Q2Q%10.69%
Revenue 1Y (TTM)-1.67%
Revenue growth 3Y-1.05%
Revenue growth 5Y-2.2%
Sales Q2Q%-1.57%
3.2 Future
The Earnings Per Share is expected to decrease by -1.48% on average over the next years.
CAI is expected to show a decrease in Revenue. In the coming years, the Revenue will decrease by -1.55% yearly.
EPS Next Y-2.94%
EPS Next 2Y-1.48%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year-2.08%
Revenue Next 2Y-1.55%
Revenue Next 3YN/A
Revenue Next 5YN/A
3.3 Evolution
The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 10.76, which indicates a very decent valuation of CAI.
Based on the Price/Earnings ratio, CAI is valued a bit cheaper than 75.76% of the companies in the same industry.
CAI is valuated cheaply when we compare the Price/Earnings ratio to 26.25, which is the current average of the S&P500 Index.
With a Price/Forward Earnings ratio of 9.36, the valuation of CAI can be described as very reasonable.
Compared to the rest of the industry, the Price/Forward Earnings ratio of CAI indicates a somewhat cheap valuation: CAI is cheaper than 72.73% of the companies listed in the same industry.
When comparing the Price/Forward Earnings ratio of CAI to the average of the S&P500 Index (22.15), we can say CAI is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.76 | ||
| Fwd PE | 9.36 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, CAI is valued cheaper than 89.39% of the companies in the same industry.
83.33% of the companies in the same industry are more expensive than CAI, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 5 | ||
| EV/EBITDA | 3.08 |
4.3 Compensation for Growth
CAI has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)7.51
EPS Next 2Y-1.48%
EPS Next 3YN/A
5. Dividend
5.1 Amount
CAI has a Yearly Dividend Yield of 4.71%, which is a nice return.
Compared to an average industry Dividend Yield of 3.85, CAI pays a better dividend. On top of this CAI pays more dividend than 83.33% of the companies listed in the same industry.
Compared to an average S&P500 Dividend Yield of 2.40, CAI pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.71% |
5.2 History
The dividend of CAI is nicely growing with an annual growth rate of 21.85%!
Dividend Growth(5Y)21.85%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
CAI pays out 90.91% of its income as dividend. This is not a sustainable payout ratio.
CAI's earnings are declining while the Dividend Rate has been growing. This means the dividend growth is most likely not sustainable.
DP90.91%
EPS Next 2Y-1.48%
EPS Next 3YN/A
BIT:CAI (5/30/2025, 7:00:00 PM)
3.12
-0.02 (-0.79%)
Chartmill FA Rating
GICS SectorCommunication Services
GICS IndustryGroupMedia & Entertainment
GICS IndustryMedia
Earnings (Last)
Earnings (Next)
Inst Owners8.73%
Inst Owner ChangeN/A
Ins Owners51.48%
Ins Owner ChangeN/A
Market Cap419.39M
Analysts84
Price Target2.75 (-11.86%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.71% |
Yearly Dividend0.27
Dividend Growth(5Y)21.85%
DP90.91%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)N/A
Avg EPS beat(2)N/A
Min EPS beat(2)N/A
Max EPS beat(2)N/A
EPS beat(4)N/A
Avg EPS beat(4)N/A
Min EPS beat(4)N/A
Max EPS beat(4)N/A
EPS beat(8)N/A
Avg EPS beat(8)N/A
EPS beat(12)N/A
Avg EPS beat(12)N/A
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)N/A
Avg Revenue beat(2)N/A
Min Revenue beat(2)N/A
Max Revenue beat(2)N/A
Revenue beat(4)N/A
Avg Revenue beat(4)N/A
Min Revenue beat(4)N/A
Max Revenue beat(4)N/A
Revenue beat(8)N/A
Avg Revenue beat(8)N/A
Revenue beat(12)N/A
Avg Revenue beat(12)N/A
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)0%
PT rev (3m)0%
EPS NQ rev (1m)N/A
EPS NQ rev (3m)N/A
EPS NY rev (1m)0%
EPS NY rev (3m)0%
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)0%
Revenue NY rev (3m)0%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.76 | ||
| Fwd PE | 9.36 | ||
| P/S | 0.29 | ||
| P/FCF | 5 | ||
| P/OCF | 3.49 | ||
| P/B | 0.73 | ||
| P/tB | N/A | ||
| EV/EBITDA | 3.08 |
EPS(TTM)0.29
EY9.29%
EPS(NY)0.33
Fwd EY10.68%
FCF(TTM)0.62
FCFY20.01%
OCF(TTM)0.89
OCFY28.61%
SpS10.92
BVpS4.26
TBVpS-3.06
PEG (NY)N/A
PEG (5Y)7.51
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.18% | ||
| ROE | 6.92% | ||
| ROCE | 7.74% | ||
| ROIC | 6.04% | ||
| ROICexc | 6.45% | ||
| ROICexgc | 31.21% | ||
| OM | 6.98% | ||
| PM (TTM) | 2.7% | ||
| GM | 71.57% | ||
| FCFM | 5.72% |
ROA(3y)2.14%
ROA(5y)2.03%
ROE(3y)7%
ROE(5y)6.89%
ROIC(3y)5.4%
ROIC(5y)5.14%
ROICexc(3y)5.69%
ROICexc(5y)5.5%
ROICexgc(3y)28.8%
ROICexgc(5y)30.92%
ROCE(3y)6.92%
ROCE(5y)6.59%
ROICexcg growth 3Y-9.32%
ROICexcg growth 5Y-1.86%
ROICexc growth 3Y-1.33%
ROICexc growth 5Y0%
OM growth 3Y1.56%
OM growth 5Y2.61%
PM growth 3Y-2.92%
PM growth 5Y3.71%
GM growth 3Y-0.01%
GM growth 5Y-0.93%
F-Score6
Asset Turnover0.81
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.3 | ||
| Debt/FCF | 2.53 | ||
| Debt/EBITDA | 0.95 | ||
| Cap/Depr | 46.94% | ||
| Cap/Sales | 2.46% | ||
| Interest Coverage | 10.14 | ||
| Cash Conversion | 66.93% | ||
| Profit Quality | 211.87% | ||
| Current Ratio | 0.96 | ||
| Quick Ratio | 0.93 | ||
| Altman-Z | 1.45 |
F-Score6
WACC6.93%
ROIC/WACC0.87
Cap/Depr(3y)75.43%
Cap/Depr(5y)61.61%
Cap/Sales(3y)5.26%
Cap/Sales(5y)4.26%
Profit Quality(3y)132.72%
Profit Quality(5y)215.11%
High Growth Momentum
Growth
EPS 1Y (TTM)30.64%
EPS 3Y-3.94%
EPS 5Y1.43%
EPS Q2Q%10.69%
EPS Next Y-2.94%
EPS Next 2Y-1.48%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)-1.67%
Revenue growth 3Y-1.05%
Revenue growth 5Y-2.2%
Sales Q2Q%-1.57%
Revenue Next Year-2.08%
Revenue Next 2Y-1.55%
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y34.91%
EBIT growth 3Y0.5%
EBIT growth 5Y0.35%
EBIT Next Year87.25%
EBIT Next 3Y22.61%
EBIT Next 5YN/A
FCF growth 1Y23.2%
FCF growth 3Y-13.31%
FCF growth 5Y-4.15%
OCF growth 1Y12.46%
OCF growth 3Y-9.13%
OCF growth 5Y-1.93%