CHAMPIONX CORP (CHX) Stock Fundamental Analysis
NASDAQ:CHX - US15872M1045 - Common Stock
25.81 USD
-0.79 (-2.97%)
25.83 USD
+0.02 (+0.08%)
Overall CHX gets a fundamental rating of 6 out of 10. We evaluated CHX against 61 industry peers in the Energy Equipment & Services industry. CHX scores excellent points on both the profitability and health parts. This is a solid base for a good stock. CHX has a decent growth rate and is not valued too expensively.
1. Profitability
1.1 Basic Checks
In the past year CHX was profitable.
CHX had a positive operating cash flow in the past year.
Of the past 5 years CHX 4 years were profitable.
In the past 5 years CHX always reported a positive cash flow from operatings.
1.2 Ratios
With a decent Return On Assets value of 8.37%, CHX is doing good in the industry, outperforming 79.03% of the companies in the same industry.
CHX's Return On Equity of 15.29% is fine compared to the rest of the industry. CHX outperforms 77.42% of its industry peers.
The Return On Invested Capital of CHX (14.15%) is better than 88.71% of its industry peers.
The Average Return On Invested Capital over the past 3 years for CHX is significantly above the industry average of 8.01%.
The last Return On Invested Capital (14.15%) for CHX is above the 3 year average (13.65%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 8.37% | ||
| ROE | 15.29% | ||
| ROIC | 14.15% |
ROA(3y)7.83%
ROA(5y)1.06%
ROE(3y)15.08%
ROE(5y)1.18%
ROIC(3y)13.65%
ROIC(5y)9.48%
1.3 Margins
With a decent Profit Margin value of 8.20%, CHX is doing good in the industry, outperforming 66.13% of the companies in the same industry.
In the last couple of years the Profit Margin of CHX has grown nicely.
The Operating Margin of CHX (14.41%) is better than 72.58% of its industry peers.
CHX's Operating Margin has improved in the last couple of years.
The Gross Margin of CHX (33.16%) is better than 62.90% of its industry peers.
CHX's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 14.41% | ||
| PM (TTM) | 8.2% | ||
| GM | 33.16% |
OM growth 3Y32.96%
OM growth 5Y8.66%
PM growth 3Y33.74%
PM growth 5Y13.82%
GM growth 3Y10.44%
GM growth 5Y-0.48%
2. Health
2.1 Basic Checks
CHX has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
CHX has less shares outstanding than it did 1 year ago.
Compared to 5 years ago, CHX has more shares outstanding
The debt/assets ratio for CHX has been reduced compared to a year ago.
2.2 Solvency
An Altman-Z score of 3.65 indicates that CHX is not in any danger for bankruptcy at the moment.
CHX has a better Altman-Z score (3.65) than 85.48% of its industry peers.
CHX has a debt to FCF ratio of 1.74. This is a very positive value and a sign of high solvency as it would only need 1.74 years to pay back of all of its debts.
CHX has a better Debt to FCF ratio (1.74) than 80.65% of its industry peers.
A Debt/Equity ratio of 0.31 indicates that CHX is not too dependend on debt financing.
With a decent Debt to Equity ratio value of 0.31, CHX is doing good in the industry, outperforming 61.29% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.31 | ||
| Debt/FCF | 1.74 | ||
| Altman-Z | 3.65 |
ROIC/WACC1.51
WACC9.37%
2.3 Liquidity
CHX has a Current Ratio of 2.25. This indicates that CHX is financially healthy and has no problem in meeting its short term obligations.
Looking at the Current ratio, with a value of 2.25, CHX is in the better half of the industry, outperforming 67.74% of the companies in the same industry.
A Quick Ratio of 1.62 indicates that CHX should not have too much problems paying its short term obligations.
CHX has a better Quick ratio (1.62) than 61.29% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.25 | ||
| Quick Ratio | 1.62 |
3. Growth
3.1 Past
CHX shows a slight negative growth in Earnings Per Share. In the last year, the EPS has decreased by -1.63%.
Measured over the past years, CHX shows a quite strong growth in Earnings Per Share. The EPS has been growing by 11.09% on average per year.
Looking at the last year, CHX shows a decrease in Revenue. The Revenue has decreased by -4.17% in the last year.
CHX shows a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 26.29% yearly.
EPS 1Y (TTM)-1.63%
EPS 3Y44.49%
EPS 5Y11.09%
EPS Q2Q%0%
Revenue 1Y (TTM)-4.17%
Revenue growth 3Y5.73%
Revenue growth 5Y26.29%
Sales Q2Q%-6.25%
3.2 Future
Based on estimates for the next years, CHX will show a small growth in Earnings Per Share. The EPS will grow by 6.80% on average per year.
Based on estimates for the next years, CHX will show a small growth in Revenue. The Revenue will grow by 2.82% on average per year.
EPS Next Y6.36%
EPS Next 2Y3.8%
EPS Next 3Y5.08%
EPS Next 5Y6.8%
Revenue Next Year-5.3%
Revenue Next 2Y-2.49%
Revenue Next 3Y-1.12%
Revenue Next 5Y2.82%
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 decreasing.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 14.26, which indicates a correct valuation of CHX.
Based on the Price/Earnings ratio, CHX is valued a bit cheaper than the industry average as 64.52% of the companies are valued more expensively.
CHX's Price/Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 27.13.
A Price/Forward Earnings ratio of 13.24 indicates a correct valuation of CHX.
Compared to the rest of the industry, the Price/Forward Earnings ratio of CHX is on the same level as its industry peers.
When comparing the Price/Forward Earnings ratio of CHX to the average of the S&P500 Index (22.76), we can say CHX is valued slightly cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 14.26 | ||
| Fwd PE | 13.24 |
4.2 Price Multiples
CHX's Enterprise Value to EBITDA is on the same level as the industry average.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of CHX is on the same level as its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 14.43 | ||
| EV/EBITDA | 6.58 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates CHX does not grow enough to justify the current Price/Earnings ratio.
CHX has an outstanding profitability rating, which may justify a higher PE ratio.
PEG (NY)2.24
PEG (5Y)1.29
EPS Next 2Y3.8%
EPS Next 3Y5.08%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 1.47%, CHX has a reasonable but not impressive dividend return.
CHX's Dividend Yield is a higher than the industry average which is at 3.33.
Compared to the average S&P500 Dividend Yield of 2.32, CHX is paying slightly less dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.47% |
5.2 History
The dividend of CHX decreases each year by -47.78%.
CHX has paid a dividend for less than 5 years, so there is no long track record yet.
Dividend Growth(5Y)-47.78%
Div Incr Years2
Div Non Decr Years2
5.3 Sustainability
24.70% of the earnings are spent on dividend by CHX. This is a low number and sustainable payout ratio.
DP24.7%
EPS Next 2Y3.8%
EPS Next 3Y5.08%
25.81
-0.79 (-2.97%)
Chartmill FA Rating
GICS SectorEnergy
GICS IndustryGroupEnergy
GICS IndustryEnergy Equipment & Services
Earnings (Last)
Earnings (Next)
Inst Owners95.44%
Inst Owner Change-0.75%
Ins Owners0.99%
Ins Owner Change-2004.42%
Market Cap4.94B
Analysts86.67
Price Target42.23 (63.62%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.47% |
Yearly Dividend0.37
Dividend Growth(5Y)-47.78%
DP24.7%
Div Incr Years2
Div Non Decr Years2
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)7.44%
Min EPS beat(2)0.36%
Max EPS beat(2)14.53%
EPS beat(4)2
Avg EPS beat(4)-2.36%
Min EPS beat(4)-19.69%
Max EPS beat(4)14.53%
EPS beat(8)4
Avg EPS beat(8)0.56%
EPS beat(12)8
Avg EPS beat(12)1.75%
EPS beat(16)11
Avg EPS beat(16)1.71%
Revenue beat(2)0
Avg Revenue beat(2)-2.81%
Min Revenue beat(2)-4.47%
Max Revenue beat(2)-1.16%
Revenue beat(4)0
Avg Revenue beat(4)-4.29%
Min Revenue beat(4)-7.8%
Max Revenue beat(4)-1.16%
Revenue beat(8)0
Avg Revenue beat(8)-3.77%
Revenue beat(12)2
Avg Revenue beat(12)-2.06%
Revenue beat(16)5
Avg Revenue beat(16)-1.12%
PT rev (1m)0%
PT rev (3m)-1.9%
EPS NQ rev (1m)-2.98%
EPS NQ rev (3m)-4.17%
EPS NY rev (1m)-6.47%
EPS NY rev (3m)-10.47%
Revenue NQ rev (1m)-1.62%
Revenue NQ rev (3m)-4.6%
Revenue NY rev (1m)-2.24%
Revenue NY rev (3m)-7.4%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 14.26 | ||
| Fwd PE | 13.24 | ||
| P/S | 1.38 | ||
| P/FCF | 14.43 | ||
| P/OCF | 10.23 | ||
| P/B | 2.58 | ||
| P/tB | 4.71 | ||
| EV/EBITDA | 6.58 |
EPS(TTM)1.81
EY7.01%
EPS(NY)1.95
Fwd EY7.56%
FCF(TTM)1.79
FCFY6.93%
OCF(TTM)2.52
OCFY9.77%
SpS18.68
BVpS10.01
TBVpS5.48
PEG (NY)2.24
PEG (5Y)1.29
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 8.37% | ||
| ROE | 15.29% | ||
| ROCE | 18.98% | ||
| ROIC | 14.15% | ||
| ROICexc | 17.55% | ||
| ROICexgc | 29.07% | ||
| OM | 14.41% | ||
| PM (TTM) | 8.2% | ||
| GM | 33.16% | ||
| FCFM | 9.57% |
ROA(3y)7.83%
ROA(5y)1.06%
ROE(3y)15.08%
ROE(5y)1.18%
ROIC(3y)13.65%
ROIC(5y)9.48%
ROICexc(3y)15.86%
ROICexc(5y)10.93%
ROICexgc(3y)28.04%
ROICexgc(5y)19.36%
ROCE(3y)18.31%
ROCE(5y)12.72%
ROICexcg growth 3Y47.18%
ROICexcg growth 5Y16.9%
ROICexc growth 3Y46.83%
ROICexc growth 5Y30.42%
OM growth 3Y32.96%
OM growth 5Y8.66%
PM growth 3Y33.74%
PM growth 5Y13.82%
GM growth 3Y10.44%
GM growth 5Y-0.48%
F-Score6
Asset Turnover1.02
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.31 | ||
| Debt/FCF | 1.74 | ||
| Debt/EBITDA | 0.78 | ||
| Cap/Depr | 57.1% | ||
| Cap/Sales | 3.93% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 63.4% | ||
| Profit Quality | 116.78% | ||
| Current Ratio | 2.25 | ||
| Quick Ratio | 1.62 | ||
| Altman-Z | 3.65 |
F-Score6
WACC9.37%
ROIC/WACC1.51
Cap/Depr(3y)53.43%
Cap/Depr(5y)43.4%
Cap/Sales(3y)3.46%
Cap/Sales(5y)3.1%
Profit Quality(3y)155.68%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-1.63%
EPS 3Y44.49%
EPS 5Y11.09%
EPS Q2Q%0%
EPS Next Y6.36%
EPS Next 2Y3.8%
EPS Next 3Y5.08%
EPS Next 5Y6.8%
Revenue 1Y (TTM)-4.17%
Revenue growth 3Y5.73%
Revenue growth 5Y26.29%
Sales Q2Q%-6.25%
Revenue Next Year-5.3%
Revenue Next 2Y-2.49%
Revenue Next 3Y-1.12%
Revenue Next 5Y2.82%
EBIT growth 1Y0.17%
EBIT growth 3Y40.57%
EBIT growth 5Y37.22%
EBIT Next Year52.58%
EBIT Next 3Y14.47%
EBIT Next 5Y9.48%
FCF growth 1Y-23.96%
FCF growth 3Y22.54%
FCF growth 5Y31.03%
OCF growth 1Y-12.01%
OCF growth 3Y21.57%
OCF growth 5Y30.48%