COMPUTER MODELLING GROUP LTD (CMG.CA) Stock Fundamental Analysis
Canada - Toronto Stock Exchange - TSX:CMG - CA2052491057 - Common Stock
5.09 CAD
+0.21 (+4.3%)
Taking everything into account, CMG scores 6 out of 10 in our fundamental rating. CMG was compared to 63 industry peers in the Software industry. CMG gets an excellent profitability rating and is at the same time showing great financial health properties. CMG is not valued too expensively and it also shows a decent growth rate.
1. Profitability
1.1 Basic Checks
In the past year CMG was profitable.
CMG had a positive operating cash flow in the past year.
In the past 5 years CMG has always been profitable.
CMG had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
CMG has a better Return On Assets (10.77%) than 87.30% of its industry peers.
CMG has a better Return On Equity (23.13%) than 92.06% of its industry peers.
CMG has a better Return On Invested Capital (15.62%) than 92.06% of its industry peers.
The Average Return On Invested Capital over the past 3 years for CMG is significantly above the industry average of 12.39%.
The 3 year average ROIC (20.34%) for CMG is well above the current ROIC(15.62%). The reason for the recent decline needs to be investigated.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 10.77% | ||
| ROE | 23.13% | ||
| ROIC | 15.62% |
ROA(3y)13.53%
ROA(5y)14.36%
ROE(3y)34.18%
ROE(5y)37.7%
ROIC(3y)20.34%
ROIC(5y)20.5%
1.3 Margins
CMG has a better Profit Margin (16.04%) than 88.89% of its industry peers.
In the last couple of years the Profit Margin of CMG has declined.
Looking at the Operating Margin, with a value of 23.61%, CMG belongs to the top of the industry, outperforming 92.06% of the companies in the same industry.
CMG's Operating Margin has declined in the last couple of years.
With an excellent Gross Margin value of 81.01%, CMG belongs to the best of the industry, outperforming 88.89% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 23.61% | ||
| PM (TTM) | 16.04% | ||
| GM | 81.01% |
OM growth 3Y-10.55%
OM growth 5Y-8.83%
PM growth 3Y-14.58%
PM growth 5Y-10.97%
GM growth 3YN/A
GM growth 5YN/A
2. Health
2.1 Basic Checks
CMG has a Return on Invested Capital (ROIC), which is well above the Cost of Capital (WACC), which means it is creating value.
Compared to 1 year ago, CMG has more shares outstanding
Compared to 5 years ago, CMG has more shares outstanding
The debt/assets ratio for CMG has been reduced compared to a year ago.
2.2 Solvency
CMG has an Altman-Z score of 3.55. This indicates that CMG is financially healthy and has little risk of bankruptcy at the moment.
With a decent Altman-Z score value of 3.55, CMG is doing good in the industry, outperforming 63.49% of the companies in the same industry.
The Debt to FCF ratio of CMG is 1.45, which is an excellent value as it means it would take CMG, only 1.45 years of fcf income to pay off all of its debts.
CMG has a better Debt to FCF ratio (1.45) than 79.37% of its industry peers.
CMG has a Debt/Equity ratio of 0.39. This is a healthy value indicating a solid balance between debt and equity.
The Debt to Equity ratio of CMG (0.39) is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.39 | ||
| Debt/FCF | 1.45 | ||
| Altman-Z | 3.55 |
ROIC/WACC1.56
WACC10.01%
2.3 Liquidity
CMG has a Current Ratio of 1.32. This is a normal value and indicates that CMG is financially healthy and should not expect problems in meeting its short term obligations.
The Current ratio of CMG (1.32) is comparable to the rest of the industry.
A Quick Ratio of 1.32 indicates that CMG should not have too much problems paying its short term obligations.
CMG has a Quick ratio (1.32) which is in line with its industry peers.
CMG does not score too well on the current and quick ratio evaluation. However, as it has excellent solvency and profitability, these ratios do not necessarly indicate liquidity issues and need to be evaluated against the specifics of the business.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.32 | ||
| Quick Ratio | 1.32 |
3. Growth
3.1 Past
CMG shows a slight negative growth in Earnings Per Share. In the last year, the EPS has decreased by -3.85%.
CMG shows a decrease in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -1.37% yearly.
The Revenue has been growing slightly by 3.19% in the past year.
The Revenue has been growing by 11.30% on average over the past years. This is quite good.
EPS 1Y (TTM)-3.85%
EPS 3Y6.78%
EPS 5Y-1.37%
EPS Q2Q%-40%
Revenue 1Y (TTM)3.19%
Revenue growth 3Y25.05%
Revenue growth 5Y11.3%
Sales Q2Q%2.49%
3.2 Future
CMG is expected to show a decrease in Earnings Per Share. In the coming years, the EPS will decrease by -1.88% yearly.
The Revenue is expected to grow by 13.43% on average over the next years. This is quite good.
EPS Next Y-11.02%
EPS Next 2Y1.39%
EPS Next 3Y-1.88%
EPS Next 5YN/A
Revenue Next Year-4.84%
Revenue Next 2Y-1.22%
Revenue Next 3Y0.55%
Revenue Next 5Y13.43%
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 stable: in the next years the growth will be about the same than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 20.36 indicates a rather expensive valuation of CMG.
Based on the Price/Earnings ratio, CMG is valued cheaper than 84.13% of the companies in the same industry.
When comparing the Price/Earnings ratio of CMG to the average of the S&P500 Index (25.45), we can say CMG is valued slightly cheaper.
The Price/Forward Earnings ratio is 17.68, which indicates a rather expensive current valuation of CMG.
Based on the Price/Forward Earnings ratio, CMG is valued a bit cheaper than the industry average as 73.02% of the companies are valued more expensively.
CMG's Price/Forward Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 34.46.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 20.36 | ||
| Fwd PE | 17.68 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, CMG is valued a bit cheaper than the industry average as 74.60% of the companies are valued more expensively.
CMG's Price/Free Cash Flow ratio is rather cheap when compared to the industry. CMG is cheaper than 82.54% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 16.21 | ||
| EV/EBITDA | 10.62 |
4.3 Compensation for Growth
The excellent profitability rating of CMG may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y1.39%
EPS Next 3Y-1.88%
5. Dividend
5.1 Amount
With a yearly dividend of 0.82%, CMG is not a good candidate for dividend investing.
The stock price of CMG dropped by -20.96% in the last 3 months. With lower prices the dividend yield is higher, but it may be a sign investors do not trust the long term dividend.
Compared to an average industry Dividend Yield of 1.74, CMG pays a better dividend. On top of this CMG pays more dividend than 92.06% of the companies listed in the same industry.
With a Dividend Yield of 0.82, CMG pays less dividend than the S&P500 average, which is at 2.42.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.82% |
5.2 History
The dividend of CMG decreases each year by -12.97%.
CMG has been paying a dividend for at least 10 years, so it has a reliable track record.
CMG has not decreased its dividend in the last 3 years.
Dividend Growth(5Y)-12.97%
Div Incr Years0
Div Non Decr Years3
5.3 Sustainability
63.46% of the earnings are spent on dividend by CMG. This is not a sustainable payout ratio.
The Dividend Rate of CMG has been decling, while earnings will also be declining. This means the current dividend is most likely not sustainable.
DP63.46%
EPS Next 2Y1.39%
EPS Next 3Y-1.88%
TSX:CMG (11/21/2025, 7:00:00 PM)
5.09
+0.21 (+4.3%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSoftware & Services
GICS IndustrySoftware
Earnings (Last)
Earnings (Next)
Inst Owners59.31%
Inst Owner ChangeN/A
Ins Owners2.14%
Ins Owner ChangeN/A
Market Cap421.10M
Revenue(TTM)129.29M
Net Income(TTM)20.73M
Analysts72
Price Target7.44 (46.17%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.82% |
Yearly Dividend0.2
Dividend Growth(5Y)-12.97%
DP63.46%
Div Incr Years0
Div Non Decr Years3
Ex-Date
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-16.92%
Min EPS beat(2)-26.66%
Max EPS beat(2)-7.18%
EPS beat(4)1
Avg EPS beat(4)-12.96%
Min EPS beat(4)-38.84%
Max EPS beat(4)20.83%
EPS beat(8)2
Avg EPS beat(8)-13.79%
EPS beat(12)4
Avg EPS beat(12)-7.82%
EPS beat(16)6
Avg EPS beat(16)-4.79%
Revenue beat(2)1
Avg Revenue beat(2)1.85%
Min Revenue beat(2)-1.24%
Max Revenue beat(2)4.94%
Revenue beat(4)1
Avg Revenue beat(4)-1.64%
Min Revenue beat(4)-7.53%
Max Revenue beat(4)4.94%
Revenue beat(8)3
Avg Revenue beat(8)-0.74%
Revenue beat(12)7
Avg Revenue beat(12)9.47%
Revenue beat(16)10
Avg Revenue beat(16)8.25%
PT rev (1m)-8.03%
PT rev (3m)-18.98%
EPS NQ rev (1m)-16.67%
EPS NQ rev (3m)-16.67%
EPS NY rev (1m)1.57%
EPS NY rev (3m)-37.21%
Revenue NQ rev (1m)1.31%
Revenue NQ rev (3m)1.31%
Revenue NY rev (1m)-0.19%
Revenue NY rev (3m)-2.41%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 20.36 | ||
| Fwd PE | 17.68 | ||
| P/S | 3.26 | ||
| P/FCF | 16.21 | ||
| P/OCF | 14.68 | ||
| P/B | 4.7 | ||
| P/tB | 70.05 | ||
| EV/EBITDA | 10.62 |
EPS(TTM)0.25
EY4.91%
EPS(NY)0.29
Fwd EY5.66%
FCF(TTM)0.31
FCFY6.17%
OCF(TTM)0.35
OCFY6.81%
SpS1.56
BVpS1.08
TBVpS0.07
PEG (NY)N/A
PEG (5Y)N/A
Graham Number2.47
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 10.77% | ||
| ROE | 23.13% | ||
| ROCE | 21.87% | ||
| ROIC | 15.62% | ||
| ROICexc | 20.42% | ||
| ROICexgc | 94.38% | ||
| OM | 23.61% | ||
| PM (TTM) | 16.04% | ||
| GM | 81.01% | ||
| FCFM | 20.09% |
ROA(3y)13.53%
ROA(5y)14.36%
ROE(3y)34.18%
ROE(5y)37.7%
ROIC(3y)20.34%
ROIC(5y)20.5%
ROICexc(3y)53.43%
ROICexc(5y)55.39%
ROICexgc(3y)128.51%
ROICexgc(5y)100.44%
ROCE(3y)28.5%
ROCE(5y)28.72%
ROICexgc growth 3Y29.52%
ROICexgc growth 5Y19.7%
ROICexc growth 3Y-26.35%
ROICexc growth 5Y-14.69%
OM growth 3Y-10.55%
OM growth 5Y-8.83%
PM growth 3Y-14.58%
PM growth 5Y-10.97%
GM growth 3YN/A
GM growth 5YN/A
F-Score5
Asset Turnover0.67
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.39 | ||
| Debt/FCF | 1.45 | ||
| Debt/EBITDA | 0.87 | ||
| Cap/Depr | 28.28% | ||
| Cap/Sales | 2.1% | ||
| Interest Coverage | 16.16 | ||
| Cash Conversion | 71.5% | ||
| Profit Quality | 125.28% | ||
| Current Ratio | 1.32 | ||
| Quick Ratio | 1.32 | ||
| Altman-Z | 3.55 |
F-Score5
WACC10.01%
ROIC/WACC1.56
Cap/Depr(3y)28.13%
Cap/Depr(5y)22.09%
Cap/Sales(3y)1.49%
Cap/Sales(5y)1.22%
Profit Quality(3y)127.42%
Profit Quality(5y)132.68%
High Growth Momentum
Growth
EPS 1Y (TTM)-3.85%
EPS 3Y6.78%
EPS 5Y-1.37%
EPS Q2Q%-40%
EPS Next Y-11.02%
EPS Next 2Y1.39%
EPS Next 3Y-1.88%
EPS Next 5YN/A
Revenue 1Y (TTM)3.19%
Revenue growth 3Y25.05%
Revenue growth 5Y11.3%
Sales Q2Q%2.49%
Revenue Next Year-4.84%
Revenue Next 2Y-1.22%
Revenue Next 3Y0.55%
Revenue Next 5Y13.43%
EBIT growth 1Y-0.21%
EBIT growth 3Y11.86%
EBIT growth 5Y1.47%
EBIT Next Year3%
EBIT Next 3Y4.81%
EBIT Next 5Y23.11%
FCF growth 1Y-20.05%
FCF growth 3Y0.56%
FCF growth 5Y7.84%
OCF growth 1Y-16.86%
OCF growth 3Y1.37%
OCF growth 5Y7.82%
COMPUTER MODELLING GROUP LTD / CMG.CA FAQ
Can you provide the ChartMill fundamental rating for COMPUTER MODELLING GROUP LTD?
ChartMill assigns a fundamental rating of 6 / 10 to CMG.CA.
What is the valuation status of COMPUTER MODELLING GROUP LTD (CMG.CA) stock?
ChartMill assigns a valuation rating of 5 / 10 to COMPUTER MODELLING GROUP LTD (CMG.CA). This can be considered as Fairly Valued.
How profitable is COMPUTER MODELLING GROUP LTD (CMG.CA) stock?
COMPUTER MODELLING GROUP LTD (CMG.CA) has a profitability rating of 8 / 10.
What are the PE and PB ratios of COMPUTER MODELLING GROUP LTD (CMG.CA) stock?
The Price/Earnings (PE) ratio for COMPUTER MODELLING GROUP LTD (CMG.CA) is 20.36 and the Price/Book (PB) ratio is 4.7.
Can you provide the financial health for CMG stock?
The financial health rating of COMPUTER MODELLING GROUP LTD (CMG.CA) is 7 / 10.