CHAMPION IRON LTD (CIA.CA) Stock Fundamental Analysis
TSX:CIA - Toronto Stock Exchange - AU000000CIA2 - Common Stock - Currency: CAD
We assign a fundamental rating of 5 out of 10 to CIA. CIA was compared to 807 industry peers in the Metals & Mining industry. CIA has an excellent profitability rating, but there are concerns on its financial health. CIA is cheap, but on the other hand it scores bad on growth.
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.
In the past 5 years CIA has always been profitable.
CIA had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
CIA's Return On Assets of 4.69% is amongst the best of the industry. CIA outperforms 88.97% of its industry peers.
With an excellent Return On Equity value of 9.90%, CIA belongs to the best of the industry, outperforming 91.70% of the companies in the same industry.
Looking at the Return On Invested Capital, with a value of 6.79%, CIA belongs to the top of the industry, outperforming 91.95% of the companies in the same industry.
CIA had an Average Return On Invested Capital over the past 3 years of 9.37%. This 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
The Profit Margin of CIA (8.84%) is better than 92.57% of its industry peers.
CIA's Profit Margin has declined in the last couple of years.
CIA has a Operating Margin of 19.95%. This is amongst the best in the industry. CIA outperforms 92.32% of its industry peers.
In the last couple of years the Operating Margin of CIA has declined.
CIA has a better Gross Margin (25.01%) than 90.21% of its industry peers.
CIA's Gross Margin has declined in the last couple of years.
| 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
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), CIA is creating some value.
CIA has about the same amout of shares outstanding than it did 1 year ago.
The number of shares outstanding for CIA has been increased compared to 5 years ago.
The debt/assets ratio for CIA is higher compared to a year ago.
2.2 Solvency
CIA has an Altman-Z score of 2.25. 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.
CIA's Altman-Z score of 2.25 is in line compared to the rest of the industry. CIA outperforms 56.88% of its industry peers.
A Debt/Equity ratio of 0.52 indicates that CIA is somewhat dependend on debt financing.
CIA's Debt to Equity ratio of 0.52 is on the low side compared to the rest of the industry. CIA is outperformed by 72.37% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.52 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 2.25 |
ROIC/WACC0.75
WACC9.02%
2.3 Liquidity
A Current Ratio of 2.04 indicates that CIA has no problem at all paying its short term obligations.
With a Current ratio value of 2.04, CIA perfoms like the industry average, 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.
Looking at the Quick ratio, with a value of 1.04, CIA is in line with its industry, outperforming 46.10% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.04 | ||
| Quick Ratio | 1.04 |
3. Growth
3.1 Past
CIA shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -39.37%.
Measured over the past 5 years, CIA shows a small growth in Earnings Per Share. The EPS has been growing by 6.94% on average per year.
The Revenue has been growing slightly by 5.40% in the past year.
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
The Earnings Per Share is expected to decrease by -4.50% on average over the next years.
CIA is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 0.31% yearly.
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
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.
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
A Price/Earnings ratio of 14.41 indicates a correct valuation of CIA.
CIA's Price/Earnings ratio is rather cheap when compared to the industry. CIA is cheaper than 92.57% of the companies in the same industry.
The average S&P500 Price/Earnings ratio is at 26.60. CIA is valued slightly cheaper when compared to this.
The Price/Forward Earnings ratio is 6.93, which indicates a rather cheap valuation of CIA.
Based on the Price/Forward Earnings ratio, CIA is valued cheaper than 94.67% of the companies in the same industry.
CIA's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 22.39.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 14.41 | ||
| Fwd PE | 6.93 |
4.2 Price Multiples
CIA's Enterprise Value to EBITDA ratio is rather cheap when compared to the industry. CIA is cheaper than 95.04% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 5.75 |
4.3 Compensation for Growth
CIA's 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.
A more expensive valuation may be justified as CIA's earnings are expected to grow with 22.61% in the coming years.
PEG (NY)0.18
PEG (5Y)2.08
EPS Next 2Y39.12%
EPS Next 3Y22.62%
5. Dividend
5.1 Amount
CIA has a Yearly Dividend Yield of 5.05%, which is a nice return.
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 been paying a dividend for less than 5 years, so it still needs to build a track record.
Dividend Growth(5Y)N/A
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
72.96% of the earnings are spent on dividend by CIA. This is not a sustainable payout ratio.
DP72.96%
EPS Next 2Y39.12%
EPS Next 3Y22.62%
TSX:CIA (6/12/2025, 7:00:00 PM)
3.89
-0.11 (-2.75%)
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 Cap2.02B
Analysts83.08
Price Target5.82 (49.61%)
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 | 14.41 | ||
| Fwd PE | 6.93 | ||
| P/S | 1.25 | ||
| P/FCF | N/A | ||
| P/OCF | 6.63 | ||
| P/B | 1.4 | ||
| P/tB | 1.41 | ||
| EV/EBITDA | 5.75 |
EPS(TTM)0.27
EY6.94%
EPS(NY)0.56
Fwd EY14.42%
FCF(TTM)-0.58
FCFYN/A
OCF(TTM)0.59
OCFY15.08%
SpS3.1
BVpS2.77
TBVpS2.76
PEG (NY)0.18
PEG (5Y)2.08
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 | 2.25 |
F-Score3
WACC9.02%
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%