CHAMPION IRON LTD (CIA.CA) Stock Fundamental Analysis
TSX:CIA - Toronto Stock Exchange - AU000000CIA2 - Common Stock - Currency: CAD
CIA gets a fundamental rating of 5 out of 10. The analysis compared the fundamentals against 807 industry peers in the Metals & Mining industry. CIA scores excellent on profitability, but there are concerns on its financial health. CIA has a bad growth rate and is valued cheaply.
1. Profitability
1.1 Basic Checks
CIA had positive earnings in the past year.
CIA had a positive operating cash flow in the past year.
CIA had positive earnings in each of the past 5 years.
Each year in the past 5 years CIA had a positive operating cash flow.
1.2 Ratios
CIA has a Return On Assets of 4.69%. This is amongst the best in the industry. CIA outperforms 88.97% of its industry peers.
CIA has a Return On Equity of 9.90%. This is amongst the best in the industry. CIA outperforms 91.70% of its industry peers.
The Return On Invested Capital of CIA (6.79%) is better than 91.95% of its industry peers.
The Average Return On Invested Capital over the past 3 years for CIA is below the industry average of 12.23%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.69% | ||
| ROE | 9.9% | ||
| ROIC | 6.79% |
ROA(3y)7.35%
ROA(5y)15.87%
ROE(3y)14.19%
ROE(5y)28.4%
ROIC(3y)9.37%
ROIC(5y)19%
1.3 Margins
With an excellent Profit Margin value of 8.84%, CIA belongs to the best of the industry, outperforming 92.57% of the companies in the same industry.
CIA's Profit Margin has declined in the last couple of years.
With an excellent Operating Margin value of 19.95%, CIA belongs to the best of the industry, outperforming 92.32% of the companies in the same industry.
In the last couple of years the Operating Margin of CIA has declined.
CIA has a Gross Margin of 25.01%. This is amongst the best in the industry. CIA outperforms 90.21% of its industry peers.
In the last couple of years the Gross Margin of CIA has declined.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 19.95% | ||
| PM (TTM) | 8.84% | ||
| GM | 25.01% |
OM growth 3Y-31.3%
OM growth 5Y-13.67%
PM growth 3Y-37.24%
PM growth 5Y-4.94%
GM growth 3Y-27.69%
GM growth 5Y-11.6%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so CIA is still creating some value.
Compared to 1 year ago, CIA has about the same amount of shares outstanding.
CIA has more shares outstanding than it did 5 years ago.
CIA has a worse debt/assets ratio than last year.
2.2 Solvency
CIA has an Altman-Z score of 2.26. This is not the best score and indicates that CIA is in the grey zone with still only limited risk for bankruptcy at the moment.
With a Altman-Z score value of 2.26, CIA perfoms like the industry average, outperforming 56.63% of the companies in the same industry.
A Debt/Equity ratio of 0.52 indicates that CIA is somewhat dependend on debt financing.
The Debt to Equity ratio of CIA (0.52) is worse than 72.37% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.52 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 2.26 |
ROIC/WACC0.75
WACC9.03%
2.3 Liquidity
A Current Ratio of 2.04 indicates that CIA has no problem at all paying its short term obligations.
Looking at the Current ratio, with a value of 2.04, CIA is in line with its industry, outperforming 55.27% of the companies in the same industry.
A Quick Ratio of 1.04 indicates that CIA should not have too much problems paying its short term obligations.
CIA has a Quick ratio (1.04) which is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.04 | ||
| Quick Ratio | 1.04 |
3. Growth
3.1 Past
The earnings per share for CIA have decreased strongly by -39.37% in the last year.
CIA shows a small growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 6.94% yearly.
CIA shows a small growth in Revenue. In the last year, the Revenue has grown by 5.40%.
The Revenue has been growing by 15.40% on average over the past years. This is quite good.
EPS 1Y (TTM)-39.37%
EPS 3Y-35.37%
EPS 5Y6.94%
EPS Q2Q%52.05%
Revenue 1Y (TTM)5.4%
Revenue growth 3Y3.22%
Revenue growth 5Y15.4%
Sales Q2Q%27.73%
3.2 Future
CIA is expected to show a decrease in Earnings Per Share. In the coming years, the EPS will decrease by -4.50% yearly.
The Revenue is expected to grow by 0.31% on average over the next years.
EPS Next Y81.82%
EPS Next 2Y39.12%
EPS Next 3Y22.62%
EPS Next 5Y-4.5%
Revenue Next Year17.45%
Revenue Next 2Y10.54%
Revenue Next 3Y6.34%
Revenue Next 5Y0.31%
3.3 Evolution
The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
CIA is valuated correctly with a Price/Earnings ratio of 14.81.
CIA's Price/Earnings ratio is rather cheap when compared to the industry. CIA is cheaper than 92.07% of the companies in the same industry.
Compared to an average S&P500 Price/Earnings ratio of 26.59, CIA is valued a bit cheaper.
The Price/Forward Earnings ratio is 7.13, which indicates a rather cheap valuation of CIA.
CIA's Price/Forward Earnings ratio is rather cheap when compared to the industry. CIA is cheaper than 94.18% of the companies in the same industry.
Compared to an average S&P500 Price/Forward Earnings ratio of 22.39, CIA is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 14.81 | ||
| Fwd PE | 7.13 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, CIA is valued cheaply inside the industry as 94.80% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 5.81 |
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.
CIA has a very decent profitability rating, which may justify a higher PE ratio.
CIA's earnings are expected to grow with 22.61% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.18
PEG (5Y)2.14
EPS Next 2Y39.12%
EPS Next 3Y22.62%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 5.05%, CIA is a good candidate for dividend investing.
CIA's Dividend Yield is rather good when compared to the industry average which is at 2.62. CIA pays more dividend than 99.13% of the companies in the same industry.
Compared to an average S&P500 Dividend Yield of 2.39, CIA pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.05% |
5.2 History
CIA has paid a dividend for less than 5 years, so there is no long track record yet.
Dividend Growth(5Y)N/A
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
CIA pays out 72.96% of its income as dividend. This is not a sustainable payout ratio.
DP72.96%
EPS Next 2Y39.12%
EPS Next 3Y22.62%
TSX:CIA (6/10/2025, 7:00:00 PM)
4
+0.06 (+1.52%)
Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryMetals & Mining
Earnings (Last)
Earnings (Next)
Inst Owners39.36%
Inst Owner ChangeN/A
Ins Owners9.03%
Ins Owner ChangeN/A
Market Cap2.07B
Analysts83.08
Price Target5.82 (45.5%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.05% |
Yearly Dividend0.2
Dividend Growth(5Y)N/A
DP72.96%
Div Incr Years0
Div Non Decr Years0
Ex-Date
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)0
Avg Revenue beat(2)-2.15%
Min Revenue beat(2)-2.17%
Max Revenue beat(2)-2.13%
Revenue beat(4)1
Avg Revenue beat(4)-6.48%
Min Revenue beat(4)-26.14%
Max Revenue beat(4)4.53%
Revenue beat(8)3
Avg Revenue beat(8)-4.66%
Revenue beat(12)4
Avg Revenue beat(12)-4.28%
Revenue beat(16)5
Avg Revenue beat(16)-1.63%
PT rev (1m)1.18%
PT rev (3m)-12.96%
EPS NQ rev (1m)0%
EPS NQ rev (3m)16.7%
EPS NY rev (1m)0%
EPS NY rev (3m)-8.94%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)7.87%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-1.13%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 14.81 | ||
| Fwd PE | 7.13 | ||
| P/S | 1.29 | ||
| P/FCF | N/A | ||
| P/OCF | 6.82 | ||
| P/B | 1.44 | ||
| P/tB | 1.45 | ||
| EV/EBITDA | 5.81 |
EPS(TTM)0.27
EY6.75%
EPS(NY)0.56
Fwd EY14.02%
FCF(TTM)-0.58
FCFYN/A
OCF(TTM)0.59
OCFY14.67%
SpS3.1
BVpS2.77
TBVpS2.76
PEG (NY)0.18
PEG (5Y)2.14
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.69% | ||
| ROE | 9.9% | ||
| ROCE | 12% | ||
| ROIC | 6.79% | ||
| ROICexc | 7.1% | ||
| ROICexgc | 7.12% | ||
| OM | 19.95% | ||
| PM (TTM) | 8.84% | ||
| GM | 25.01% | ||
| FCFM | N/A |
ROA(3y)7.35%
ROA(5y)15.87%
ROE(3y)14.19%
ROE(5y)28.4%
ROIC(3y)9.37%
ROIC(5y)19%
ROICexc(3y)10.84%
ROICexc(5y)28.87%
ROICexgc(3y)10.88%
ROICexgc(5y)29.1%
ROCE(3y)16.55%
ROCE(5y)33.57%
ROICexcg growth 3Y-42.32%
ROICexcg growth 5Y-28.41%
ROICexc growth 3Y-42.24%
ROICexc growth 5Y-28.44%
OM growth 3Y-31.3%
OM growth 5Y-13.67%
PM growth 3Y-37.24%
PM growth 5Y-4.94%
GM growth 3Y-27.69%
GM growth 5Y-11.6%
F-Score3
Asset Turnover0.53
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.52 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 1.59 | ||
| Cap/Depr | 407.52% | ||
| Cap/Sales | 37.69% | ||
| Interest Coverage | 6.67 | ||
| Cash Conversion | 64.81% | ||
| Profit Quality | N/A | ||
| Current Ratio | 2.04 | ||
| Quick Ratio | 1.04 | ||
| Altman-Z | 2.26 |
F-Score3
WACC9.03%
ROIC/WACC0.75
Cap/Depr(3y)309.58%
Cap/Depr(5y)525.09%
Cap/Sales(3y)27.11%
Cap/Sales(5y)26.21%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-39.37%
EPS 3Y-35.37%
EPS 5Y6.94%
EPS Q2Q%52.05%
EPS Next Y81.82%
EPS Next 2Y39.12%
EPS Next 3Y22.62%
EPS Next 5Y-4.5%
Revenue 1Y (TTM)5.4%
Revenue growth 3Y3.22%
Revenue growth 5Y15.4%
Sales Q2Q%27.73%
Revenue Next Year17.45%
Revenue Next 2Y10.54%
Revenue Next 3Y6.34%
Revenue Next 5Y0.31%
EBIT growth 1Y-25.32%
EBIT growth 3Y-29.09%
EBIT growth 5Y-0.37%
EBIT Next Year101.11%
EBIT Next 3Y27.01%
EBIT Next 5Y2.58%
FCF growth 1Y-329.67%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y-35.94%
OCF growth 3Y-13.54%
OCF growth 5Y-0.36%