CERIDIAN HCM HOLDING INC (CDAY) Fundamental Analysis & Valuation

NYSE:CDAY • US15677J1088

69.52 USD
+0.07 (+0.1%)
At close: Jan 31, 2024
69.52 USD
0 (0%)
After Hours: 1/31/2024, 8:04:00 PM
Overview Stock Chart Technical Analysis Fundamental Analysis Forecast Earnings Financials Ownership News

This CDAY fundamental analysis includes valuation metrics, fair value assessment, financial health analysis, profitability trends, growth metrics and dividend sustainability analysis.

Fundamental Rating

3

We assign a fundamental rating of 3 out of 10 to CDAY. CDAY was compared to 87 industry peers in the Professional Services industry. CDAY has a bad profitability rating. Also its financial health evaluation is rather negative. CDAY is valued quite expensively, but it does show have an excellent growth rating.


Dividend Valuation Growth Profitability Health

1

1. CDAY Profitability Analysis

1.1 Basic Checks

  • CDAY had positive earnings in the past year.
  • CDAY had a positive operating cash flow in the past year.
CDAY Yearly Net Income VS EBIT VS OCF VS FCFCDAY Yearly Net Income VS EBIT VS OCF VS FCFYearly Net Income VS EBIT VS OCF VS FCF 2016 2017 2018 2019 2020 2021 2022 0 50M -50M 100M -100M

1.2 Ratios

  • With a Return On Assets value of 0.04%, CDAY is not doing good in the industry: 61.25% of the companies in the same industry are doing better.
  • CDAY has a Return On Equity of 0.18%. This is in the lower half of the industry: CDAY underperforms 61.25% of its industry peers.
  • Looking at the Return On Invested Capital, with a value of 2.51%, CDAY is doing worse than 63.75% of the companies in the same industry.
Industry RankSector 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
CDAY Yearly ROA, ROE, ROICCDAY Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2016 2017 2018 2019 2020 2021 2022 0 -5 -10

1.3 Margins

  • With a Profit Margin value of 0.28%, CDAY is not doing good in the industry: 61.25% of the companies in the same industry are doing better.
  • CDAY has a Operating Margin (7.74%) which is comparable to the rest of the industry.
  • With a Gross Margin value of 42.19%, CDAY perfoms like the industry average, outperforming 55.00% of the companies in the same industry.
  • In the last couple of years the Gross Margin of CDAY has remained more or less at the same level.
Industry RankSector 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%
CDAY Yearly Profit, Operating, Gross MarginsCDAY Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2016 2017 2018 2019 2020 2021 2022 0 10 -10 20 30 40

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ROAROEROICOperating and Profit MarginShow most profitable peers

2

2. CDAY Health Analysis

2.1 Basic Checks

  • The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so CDAY is destroying value.
  • Compared to 1 year ago, CDAY has more shares outstanding
  • Compared to 1 year ago, CDAY has an improved debt to assets ratio.
CDAY Yearly Shares OutstandingCDAY Yearly Shares OutstandingYearly Shares Outstanding 2016 2017 2018 2019 2020 2021 2022 50M 100M 150M
CDAY Yearly Total Debt VS Total AssetsCDAY Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2016 2017 2018 2019 2020 2021 2022 2B 4B 6B 8B

2.2 Solvency

  • CDAY has an Altman-Z score of 1.19. This is a bad value and indicates that CDAY is not financially healthy and even 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.
  • CDAY has a debt to FCF ratio of 22.77. This is a negative value and a sign of low solvency as CDAY would need 22.77 years to pay back of all of its debts.
  • Looking at the Debt to FCF ratio, with a value of 22.77, CDAY is doing worse than 73.75% of the companies in the same industry.
  • CDAY has a Debt/Equity ratio of 0.53. This is a neutral value indicating CDAY is somewhat dependend on debt financing.
  • CDAY has a Debt to Equity ratio of 0.53. This is comparable to the rest of the industry: CDAY outperforms 42.50% of its industry peers.
Industry RankSector Rank
Debt/Equity 0.53
Debt/FCF 22.77
Altman-Z 1.19
ROIC/WACC0.3
WACC8.28%
CDAY Yearly LT Debt VS Equity VS FCFCDAY Yearly LT Debt VS Equity VS FCFYearly LT Debt VS Equity VS FCF 2016 2017 2018 2019 2020 2021 2022 0 500M 1B 1.5B 2B

2.3 Liquidity

  • A Current Ratio of 1.09 indicates that CDAY should not have too much problems paying its short term obligations.
  • CDAY has a worse Current ratio (1.09) 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 has a Quick ratio of 1.09. This is in the lower half of the industry: CDAY underperforms 66.25% of its industry peers.
Industry RankSector Rank
Current Ratio 1.09
Quick Ratio 1.09
CDAY Yearly Current Assets VS Current LiabilitesCDAY Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2016 2017 2018 2019 2020 2021 2022 1B 2B 3B 4B 5B

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WACCDebt/EquityHow to determine the health of a companyAltman-Z scoreShow peers with great health

8

3. CDAY Growth Analysis

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.
  • The Earnings Per Share has been growing by 19.61% on average over the past years. This is quite good.
  • The Revenue has grown by 21.63% in the past year. This is a very strong growth!
  • Measured over the past years, CDAY shows a quite strong growth in Revenue. The Revenue has been growing by 13.19% on average per year.
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

  • The Earnings Per Share is expected to grow by 42.72% on average over the next years. This is a very strong growth
  • CDAY is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 17.67% yearly.
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.
  • The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
CDAY Yearly Revenue VS EstimatesCDAY Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 1B 2B 3B 4B
CDAY Yearly EPS VS EstimatesCDAY Yearly EPS VS EstimatesYearly EPS VS Estimates 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 0 2 4 6

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Find the best growth stocksShow best growing peers

2

4. CDAY Valuation Analysis

4.1 Price/Earnings Ratio

  • The Price/Earnings ratio is 56.52, which means the current valuation is very expensive for CDAY.
  • Based on the Price/Earnings ratio, CDAY is valued a bit more expensive than the industry average as 75.00% of the companies are valued more cheaply.
  • Compared to an average S&P500 Price/Earnings ratio of 26.29, CDAY is valued quite expensively.
  • Based on the Price/Forward Earnings ratio of 40.47, the valuation of CDAY can be described as expensive.
  • CDAY's Price/Forward Earnings ratio is a bit more expensive when compared to the industry. CDAY is more expensive than 68.75% of the companies in the same industry.
  • When comparing the Price/Forward Earnings ratio of CDAY to the average of the S&P500 Index (24.60), we can say CDAY is valued expensively.
Industry RankSector Rank
PE 56.52
Fwd PE 40.47
CDAY Price Earnings VS Forward Price EarningsCDAY Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 10 20 30 40 50

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.
  • Based on the Price/Free Cash Flow ratio, CDAY is valued a bit more expensive than 72.50% of the companies in the same industry.
Industry RankSector Rank
P/FCF 202.88
EV/EBITDA 52.32
CDAY Per share dataCDAY EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 0 5 10

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.
  • CDAY's earnings are expected to grow with 40.92% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.74
PEG (5Y)N/A
EPS Next 2Y49.35%
EPS Next 3Y40.92%

More info and screens

Price/EarningsPrice/FCFFCF per shareEV/EBITDAPEG RATIOShow best valued peers

0

5. CDAY Dividend Analysis

5.1 Amount

  • No dividends for CDAY!.
Industry RankSector Rank
Dividend Yield N/A

More info and screens

Find the best dividend stocksShow peers with best dividend

CDAY Fundamentals: All Metrics, Ratios and Statistics

CERIDIAN HCM HOLDING INC

NYSE:CDAY (1/31/2024, 8:04:00 PM)

After market: 69.52 0 (0%)

69.52

+0.07 (+0.1%)

Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCommercial & Professional Services
GICS IndustryProfessional Services
Earnings (Last)02-07
Earnings (Next)05-01
Inst Owners119.24%
Inst Owner Change3.72%
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 RankSector 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 RankSector 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 RankSector 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 RankSector 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 for 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.


Can you provide the expected EPS growth for CDAY stock?

The Earnings per Share (EPS) of CERIDIAN HCM HOLDING INC (CDAY) is expected to grow by 76.11% in the next year.