CHEMED CORP (CHE)
US16359R1032 - Common Stock
Taking everything into account, CHE scores 7 out of 10 in our fundamental rating. CHE was compared to 117 industry peers in the Health Care Providers & Services industry. Both the health and profitability get an excellent rating, making CHE a very profitable company, without any liquidiy or solvency issues. CHE has a decent growth rate and is not valued too expensively.
1. Profitability
1.1 Basic Checks
In the past year CHE was profitable.
CHE had a positive operating cash flow in the past year.
In the past 5 years CHE has always been profitable.
Each year in the past 5 years CHE had a positive operating cash flow.
1.2 Ratios
With an excellent Return On Assets value of 16.40%, CHE belongs to the best of the industry, outperforming 95.69% of the companies in the same industry.
Looking at the Return On Equity, with a value of 23.95%, CHE belongs to the top of the industry, outperforming 92.24% of the companies in the same industry.
With an excellent Return On Invested Capital value of 19.82%, CHE belongs to the best of the industry, outperforming 98.28% of the companies in the same industry.
CHE had an Average Return On Invested Capital over the past 3 years of 23.23%. This is significantly above the industry average of 8.60%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 16.4% | ||
| ROE | 23.95% | ||
| ROIC | 19.82% |
ROA(3y)17.88%
ROA(5y)18.65%
ROE(3y)32.98%
ROE(5y)32.93%
ROIC(3y)23.23%
ROIC(5y)22.57%
1.3 Margins
CHE's Profit Margin of 12.36% is amongst the best of the industry. CHE outperforms 93.97% of its industry peers.
CHE's Profit Margin has been stable in the last couple of years.
CHE has a Operating Margin of 16.28%. This is amongst the best in the industry. CHE outperforms 97.41% of its industry peers.
CHE's Operating Margin has improved in the last couple of years.
CHE has a better Gross Margin (35.47%) than 62.93% of its industry peers.
CHE's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 16.28% | ||
| PM (TTM) | 12.36% | ||
| GM | 35.47% |
OM growth 3Y0.01%
OM growth 5Y2.99%
PM growth 3Y-7.82%
PM growth 5Y0.86%
GM growth 3Y1.51%
GM growth 5Y2.57%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is well above the Cost of Capital (WACC), so CHE is creating value.
Compared to 1 year ago, CHE has more shares outstanding
CHE has less shares outstanding than it did 5 years ago.
CHE has a better debt/assets ratio than last year.
2.2 Solvency
An Altman-Z score of 13.70 indicates that CHE is not in any danger for bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 13.70, CHE belongs to the top of the industry, outperforming 98.28% of the companies in the same industry.
CHE has no outstanding debt. Therefor its Debt/Equity and Debt/FCF ratios are 0 and belong to the best of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Altman-Z | 13.7 |
ROIC/WACC2.15
WACC9.23%
2.3 Liquidity
A Current Ratio of 1.91 indicates that CHE should not have too much problems paying its short term obligations.
With a decent Current ratio value of 1.91, CHE is doing good in the industry, outperforming 74.14% of the companies in the same industry.
A Quick Ratio of 1.88 indicates that CHE should not have too much problems paying its short term obligations.
The Quick ratio of CHE (1.88) is better than 75.86% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.91 | ||
| Quick Ratio | 1.88 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an nice 10.31% over the past year.
The Earnings Per Share has been growing by 12.41% on average over the past years. This is quite good.
CHE shows a small growth in Revenue. In the last year, the Revenue has grown by 5.96%.
Measured over the past years, CHE shows a small growth in Revenue. The Revenue has been growing by 4.90% on average per year.
EPS 1Y (TTM)10.31%
EPS 3Y5.86%
EPS 5Y12.41%
EPS growth Q2Q7.88%
Revenue 1Y (TTM)5.96%
Revenue growth 3Y2.88%
Revenue growth 5Y4.9%
Revenue growth Q2Q5.19%
3.2 Future
Based on estimates for the next years, CHE will show a small growth in Earnings Per Share. The EPS will grow by 7.91% on average per year.
CHE is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 6.31% yearly.
EPS Next Y10.73%
EPS Next 2Y9.39%
EPS Next 3Y7.91%
EPS Next 5YN/A
Revenue Next Year6.95%
Revenue Next 2Y6.58%
Revenue Next 3Y6.31%
Revenue Next 5YN/A
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
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
A Price/Earnings ratio of 25.93 indicates a quite expensive valuation of CHE.
CHE's Price/Earnings ratio is a bit cheaper when compared to the industry. CHE is cheaper than 67.24% of the companies in the same industry.
CHE's Price/Earnings ratio indicates a similar valuation than the S&P500 average which is at 24.55.
A Price/Forward Earnings ratio of 22.06 indicates a rather expensive valuation of CHE.
CHE's Price/Forward Earnings ratio is a bit cheaper when compared to the industry. CHE is cheaper than 64.66% of the companies in the same industry.
CHE is valuated at similar levels of the S&P average when we compare the Price/Forward Earnings ratio to 20.92, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 25.93 | ||
| Fwd PE | 22.06 |
4.2 Price Multiples
The rest of the industry has a similar Enterprise Value to EBITDA ratio as CHE.
CHE's Price/Free Cash Flow ratio is a bit cheaper when compared to the industry. CHE is cheaper than 63.79% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 28.35 | ||
| EV/EBITDA | 18.97 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates CHE does not grow enough to justify the current Price/Earnings ratio.
CHE has an outstanding profitability rating, which may justify a higher PE ratio.
PEG (NY)2.42
PEG (5Y)2.09
EPS Next 2Y9.39%
EPS Next 3Y7.91%
5. Dividend
5.1 Amount
CHE has a yearly dividend return of 0.28%, which is pretty low.
CHE's Dividend Yield is a higher than the industry average which is at 2.73.
Compared to an average S&P500 Dividend Yield of 2.39, CHE's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.28% |
5.2 History
The dividend of CHE is nicely growing with an annual growth rate of 6.02%!
CHE has been paying a dividend for at least 10 years, so it has a reliable track record.
CHE has not decreased its dividend for at least 10 years, so it has a reliable track record of non decreasing dividend.
Dividend Growth(5Y)6.02%
Div Incr Years15
Div Non Decr Years17
5.3 Sustainability
8.42% of the earnings are spent on dividend by CHE. This is a low number and sustainable payout ratio.
The dividend of CHE is growing, but earnings are growing more, so the dividend growth is sustainable.
DP8.42%
EPS Next 2Y9.39%
EPS Next 3Y7.91%
CHEMED CORP
NYSE:CHE (5/1/2024, 7:04:00 PM)
After market: 566.1 0 (0%)566.1
-1.9 (-0.33%)
Chartmill FA Rating
GICS SectorHealth Care
GICS IndustryGroupHealth Care Equipment & Services
GICS IndustryHealth Care Providers & Services
Earnings (Last)
Earnings (Next)
Inst Owners
Inst Owner Change
Ins Owners
Ins Owner Change
Market Cap8.57B
Analysts
Price Target
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.28% |
Dividend Growth(5Y)
DP
Div Incr Years
Div Non Decr Years
Ex-Date
Surprises & Revisions
EPS beat(2)
Avg EPS beat(2)
Min EPS beat(2)
Max EPS beat(2)
EPS beat(4)
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EPS beat(8)
Avg EPS beat(8)
EPS beat(12)
Avg EPS beat(12)
EPS beat(16)
Avg EPS beat(16)
Revenue beat(2)
Avg Revenue beat(2)
Min Revenue beat(2)
Max Revenue beat(2)
Revenue beat(4)
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Min Revenue beat(4)
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Revenue beat(8)
Avg Revenue beat(8)
Revenue beat(12)
Avg Revenue beat(12)
Revenue beat(16)
Avg Revenue beat(16)
PT rev (1m)
PT rev (3m)
EPS NQ rev (1m)
EPS NQ rev (3m)
EPS NY rev (1m)
EPS NY rev (3m)
Revenue NQ rev (1m)
Revenue NQ rev (3m)
Revenue NY rev (1m)
Revenue NY rev (3m)
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 25.93 | ||
| Fwd PE | 22.06 | ||
| P/S | |||
| P/FCF | |||
| P/OCF | |||
| P/B | |||
| P/tB | |||
| EV/EBITDA |
EPS(TTM)
EY
EPS(NY)
Fwd EY
FCF(TTM)
FCFY
OCF(TTM)
OCFY
SpS
BVpS
TBVpS
PEG (NY)2.42
PEG (5Y)2.09
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 16.4% | ||
| ROE | 23.95% | ||
| ROCE | |||
| ROIC | |||
| ROICexc | |||
| ROICexgc | |||
| OM | 16.28% | ||
| PM (TTM) | 12.36% | ||
| GM | 35.47% | ||
| FCFM |
ROA(3y)
ROA(5y)
ROE(3y)
ROE(5y)
ROIC(3y)
ROIC(5y)
ROICexc(3y)
ROICexc(5y)
ROICexgc(3y)
ROICexgc(5y)
ROCE(3y)
ROCE(5y)
ROICexcg growth 3Y
ROICexcg growth 5Y
ROICexc growth 3Y
ROICexc growth 5Y
OM growth 3Y
OM growth 5Y
PM growth 3Y
PM growth 5Y
GM growth 3Y
GM growth 5Y
F-Score
Asset Turnover1.33
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | |||
| Debt/EBITDA | |||
| Cap/Depr | |||
| Cap/Sales | |||
| Interest Coverage | |||
| Cash Conversion | |||
| Profit Quality | |||
| Current Ratio | 1.91 | ||
| Quick Ratio | 1.88 | ||
| Altman-Z |
F-Score
WACC
ROIC/WACC
Cap/Depr(3y)
Cap/Depr(5y)
Cap/Sales(3y)
Cap/Sales(5y)
Profit Quality(3y)
Profit Quality(5y)
Growth
EPS 1Y (TTM)10.31%
EPS 3Y5.86%
EPS 5Y
EPS growth Q2Q
EPS Next Y10.73%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)5.96%
Revenue growth 3Y2.88%
Revenue growth 5Y
Revenue growth Q2Q
Revenue Next Year
Revenue Next 2Y
Revenue Next 3Y
Revenue Next 5Y
EBIT growth 1Y
EBIT growth 3Y
EBIT growth 5Y
EBIT Next Year
EBIT Next 3Y
EBIT Next 5Y
FCF growth 1Y
FCF growth 3Y
FCF growth 5Y
OCF growth 1Y
OCF growth 3Y
OCF growth 5Y