CERIDIAN HCM HOLDING INC (CDAY) Stock Fundamental Analysis
USA - NYSE:CDAY - US15677J1088 - Common Stock
69.52 USD
+0.07 (+0.1%)
69.52 USD
0 (0%)
Overall CDAY gets a fundamental rating of 3 out of 10. We evaluated CDAY against 86 industry peers in the Professional Services industry. Both the profitability and financial health of CDAY have multiple concerns. CDAY is valued quite expensively, but it does show have an excellent growth rating.
1. Profitability
1.1 Basic Checks
In the past year CDAY was profitable.
In the past year CDAY had a positive cash flow from operations.
In the past 5 years CDAY reported 4 times negative net income.
Of the past 5 years CDAY 4 years had a positive operating cash flow.
1.2 Ratios
CDAY has a Return On Assets of 0.04%. This is in the lower half of the industry: CDAY underperforms 61.25% of its industry peers.
CDAY has a worse Return On Equity (0.18%) than 61.25% of its industry peers.
CDAY's Return On Invested Capital of 2.51% is on the low side compared to the rest of the industry. CDAY is outperformed by 63.75% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.04% | ||
| ROE | 0.18% | ||
| ROIC | 2.51% |
ROA(3y)-0.66%
ROA(5y)-0.4%
ROE(3y)-2.35%
ROE(5y)-1.42%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
CDAY has a Profit Margin of 0.28%. This is in the lower half of the industry: CDAY underperforms 61.25% of its industry peers.
CDAY has a Operating Margin (7.74%) which is comparable to the rest of the industry.
CDAY has a Gross Margin (42.19%) which is comparable to the rest of the industry.
In the last couple of years the Gross Margin of CDAY has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 7.74% | ||
| PM (TTM) | 0.28% | ||
| GM | 42.19% |
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-5.28%
GM growth 5Y-0.66%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), CDAY is destroying value.
CDAY has more shares outstanding than it did 1 year ago.
CDAY has a better debt/assets ratio than last year.
2.2 Solvency
Based on the Altman-Z score of 1.19, we must say that CDAY is in the distress zone and has some risk of bankruptcy.
With a Altman-Z score value of 1.19, CDAY is not doing good in the industry: 72.50% of the companies in the same industry are doing better.
The Debt to FCF ratio of CDAY is 22.77, which is on the high side as it means it would take CDAY, 22.77 years of fcf income to pay off all of its debts.
CDAY's Debt to FCF ratio of 22.77 is on the low side compared to the rest of the industry. CDAY is outperformed by 73.75% of its industry peers.
A Debt/Equity ratio of 0.53 indicates that CDAY is somewhat dependend on debt financing.
CDAY has a Debt to Equity ratio (0.53) which is in line with its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.53 | ||
| Debt/FCF | 22.77 | ||
| Altman-Z | 1.19 |
ROIC/WACC0.3
WACC8.28%
2.3 Liquidity
A Current Ratio of 1.09 indicates that CDAY should not have too much problems paying its short term obligations.
The Current ratio of CDAY (1.09) is worse than 68.75% of its industry peers.
CDAY has a Quick Ratio of 1.09. This is a normal value and indicates that CDAY is financially healthy and should not expect problems in meeting its short term obligations.
CDAY's Quick ratio of 1.09 is on the low side compared to the rest of the industry. CDAY is outperformed by 66.25% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.09 | ||
| Quick Ratio | 1.09 |
3. Growth
3.1 Past
CDAY shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 105.00%, which is quite impressive.
CDAY shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 19.61% yearly.
The Revenue has grown by 21.63% in the past year. This is a very strong growth!
The Revenue has been growing by 13.19% on average over the past years. This is quite good.
EPS 1Y (TTM)105%
EPS 3Y19.61%
EPS 5YN/A
EPS Q2Q%85%
Revenue 1Y (TTM)21.63%
Revenue growth 3Y14.78%
Revenue growth 5Y13.19%
Sales Q2Q%19.61%
3.2 Future
CDAY is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 42.72% yearly.
Based on estimates for the next years, CDAY will show a quite strong growth in Revenue. The Revenue will grow by 17.67% on average per year.
EPS Next Y76.11%
EPS Next 2Y49.35%
EPS Next 3Y40.92%
EPS Next 5Y42.72%
Revenue Next Year23.9%
Revenue Next 2Y19.31%
Revenue Next 3Y17.87%
Revenue Next 5Y17.67%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better 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 56.52, which means the current valuation is very expensive for CDAY.
Compared to the rest of the industry, the Price/Earnings ratio of CDAY indicates a slightly more expensive valuation: CDAY is more expensive than 75.00% of the companies listed in the same industry.
When comparing the Price/Earnings ratio of CDAY to the average of the S&P500 Index (25.89), we can say CDAY is valued expensively.
Based on the Price/Forward Earnings ratio of 40.47, the valuation of CDAY can be described as expensive.
Based on the Price/Forward Earnings ratio, CDAY is valued a bit more expensive than the industry average as 68.75% of the companies are valued more cheaply.
CDAY is valuated at similar levels of the S&P average when we compare the Price/Forward Earnings ratio to 34.59, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 56.52 | ||
| Fwd PE | 40.47 |
4.2 Price Multiples
73.75% of the companies in the same industry are cheaper than CDAY, based on the Enterprise Value to EBITDA ratio.
72.50% of the companies in the same industry are cheaper than CDAY, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 202.88 | ||
| EV/EBITDA | 52.32 |
4.3 Compensation for Growth
The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
A more expensive valuation may be justified as CDAY's earnings are expected to grow with 40.92% in the coming years.
PEG (NY)0.74
PEG (5Y)N/A
EPS Next 2Y49.35%
EPS Next 3Y40.92%
5. Dividend
5.1 Amount
No dividends for CDAY!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
69.52
+0.07 (+0.1%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCommercial & Professional Services
GICS IndustryProfessional Services
Earnings (Last)
Earnings (Next)
Inst Owners119.24%
Inst Owner Change0.95%
Ins Owners0.58%
Ins Owner Change0%
Market Cap10.85B
Revenue(TTM)1.45B
Net Income(TTM)4.00M
Analysts77.6
Price Target77.9 (12.05%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)14.89%
Min EPS beat(2)7.19%
Max EPS beat(2)22.6%
EPS beat(4)3
Avg EPS beat(4)28.5%
Min EPS beat(4)-3.23%
Max EPS beat(4)87.42%
EPS beat(8)7
Avg EPS beat(8)52.78%
EPS beat(12)11
Avg EPS beat(12)42.08%
EPS beat(16)14
Avg EPS beat(16)46.25%
Revenue beat(2)2
Avg Revenue beat(2)0.09%
Min Revenue beat(2)0.09%
Max Revenue beat(2)0.09%
Revenue beat(4)4
Avg Revenue beat(4)0.54%
Min Revenue beat(4)0.09%
Max Revenue beat(4)1.34%
Revenue beat(8)7
Avg Revenue beat(8)0.44%
Revenue beat(12)10
Avg Revenue beat(12)0.86%
Revenue beat(16)11
Avg Revenue beat(16)0.39%
PT rev (1m)0.14%
PT rev (3m)-2.44%
EPS NQ rev (1m)1.06%
EPS NQ rev (3m)1.12%
EPS NY rev (1m)0.31%
EPS NY rev (3m)6.53%
Revenue NQ rev (1m)0.02%
Revenue NQ rev (3m)0.45%
Revenue NY rev (1m)0%
Revenue NY rev (3m)0.92%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 56.52 | ||
| Fwd PE | 40.47 | ||
| P/S | 7.49 | ||
| P/FCF | 202.88 | ||
| P/OCF | 63.33 | ||
| P/B | 4.79 | ||
| P/tB | N/A | ||
| EV/EBITDA | 52.32 |
EPS(TTM)1.23
EY1.77%
EPS(NY)1.72
Fwd EY2.47%
FCF(TTM)0.34
FCFY0.49%
OCF(TTM)1.1
OCFY1.58%
SpS9.29
BVpS14.52
TBVpS-1.59
PEG (NY)0.74
PEG (5Y)N/A
Graham NumberN/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.04% | ||
| ROE | 0.18% | ||
| ROCE | 3.18% | ||
| ROIC | 2.51% | ||
| ROICexc | 2.94% | ||
| ROICexgc | 17.57% | ||
| OM | 7.74% | ||
| PM (TTM) | 0.28% | ||
| GM | 42.19% | ||
| FCFM | 3.69% |
ROA(3y)-0.66%
ROA(5y)-0.4%
ROE(3y)-2.35%
ROE(5y)-1.42%
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexgc growth 3YN/A
ROICexgc growth 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5YN/A
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-5.28%
GM growth 5Y-0.66%
F-Score8
Asset Turnover0.16
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.53 | ||
| Debt/FCF | 22.77 | ||
| Debt/EBITDA | 5.48 | ||
| Cap/Depr | 108.46% | ||
| Cap/Sales | 8.13% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 77.56% | ||
| Profit Quality | 1337.5% | ||
| Current Ratio | 1.09 | ||
| Quick Ratio | 1.09 | ||
| Altman-Z | 1.19 |
F-Score8
WACC8.28%
ROIC/WACC0.3
Cap/Depr(3y)101.27%
Cap/Depr(5y)94.3%
Cap/Sales(3y)6.97%
Cap/Sales(5y)6.61%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)105%
EPS 3Y19.61%
EPS 5YN/A
EPS Q2Q%85%
EPS Next Y76.11%
EPS Next 2Y49.35%
EPS Next 3Y40.92%
EPS Next 5Y42.72%
Revenue 1Y (TTM)21.63%
Revenue growth 3Y14.78%
Revenue growth 5Y13.19%
Sales Q2Q%19.61%
Revenue Next Year23.9%
Revenue Next 2Y19.31%
Revenue Next 3Y17.87%
Revenue Next 5Y17.67%
EBIT growth 1Y376.6%
EBIT growth 3YN/A
EBIT growth 5YN/A
EBIT Next Year136.31%
EBIT Next 3Y51.44%
EBIT Next 5Y42.35%
FCF growth 1Y159.51%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y699.3%
OCF growth 3Y37.87%
OCF growth 5YN/A
CERIDIAN HCM HOLDING INC / CDAY FAQ
Can you provide the ChartMill fundamental rating for CERIDIAN HCM HOLDING INC?
ChartMill assigns a fundamental rating of 3 / 10 to CDAY.
What is the valuation status of CERIDIAN HCM HOLDING INC (CDAY) stock?
ChartMill assigns a valuation rating of 2 / 10 to CERIDIAN HCM HOLDING INC (CDAY). This can be considered as Overvalued.
What is the profitability of CDAY stock?
CERIDIAN HCM HOLDING INC (CDAY) has a profitability rating of 2 / 10.
How financially healthy is CERIDIAN HCM HOLDING INC?
The financial health rating of CERIDIAN HCM HOLDING INC (CDAY) is 2 / 10.
What is the earnings growth outlook for CERIDIAN HCM HOLDING INC?
The Earnings per Share (EPS) of CERIDIAN HCM HOLDING INC (CDAY) is expected to grow by 76.11% in the next year.