COMPASS MINERALS INTERNATION (CMP) Stock Fundamental Analysis
NYSE:CMP - New York Stock Exchange, Inc. - US20451N1019 - Common Stock - Currency: USD
Overall CMP gets a fundamental rating of 3 out of 10. We evaluated CMP against 154 industry peers in the Metals & Mining industry. CMP has a bad profitability rating. Also its financial health evaluation is rather negative. CMP has a valuation in line with the averages, but it does not seem to be growing.
1. Profitability
1.1 Basic Checks
CMP had negative earnings in the past year.
In the past year CMP had a positive cash flow from operations.
The reported net income has been mixed in the past 5 years: CMP reported negative net income in multiple years.
In the past 5 years CMP always reported a positive cash flow from operatings.
1.2 Ratios
CMP's Return On Assets of -9.63% is on the low side compared to the rest of the industry. CMP is outperformed by 70.13% of its industry peers.
With a Return On Equity value of -62.37%, CMP is not doing good in the industry: 85.71% of the companies in the same industry are doing better.
CMP has a Return On Invested Capital (2.85%) which is in line with its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for CMP is significantly below the industry average of 11.67%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -9.63% | ||
| ROE | -62.37% | ||
| ROIC | 2.85% |
ROA(3y)-4.43%
ROA(5y)-1.62%
ROE(3y)-24.04%
ROE(5y)-8.91%
ROIC(3y)3.52%
ROIC(5y)3.81%
1.3 Margins
The Operating Margin of CMP (3.63%) is comparable to the rest of the industry.
CMP's Operating Margin has declined in the last couple of years.
CMP has a Gross Margin (13.45%) which is comparable to the rest of the industry.
CMP's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 3.63% | ||
| PM (TTM) | N/A | ||
| GM | 13.45% |
OM growth 3Y-13.47%
OM growth 5Y-4.55%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-7.25%
GM growth 5Y-2.37%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so CMP is destroying value.
Compared to 1 year ago, CMP has more shares outstanding
CMP has more shares outstanding than it did 5 years ago.
The debt/assets ratio for CMP is higher compared to a year ago.
2.2 Solvency
CMP has an Altman-Z score of 1.47. This is a bad value and indicates that CMP is not financially healthy and even has some risk of bankruptcy.
The Altman-Z score of CMP (1.47) is worse than 67.53% of its industry peers.
CMP has a debt to FCF ratio of 8.95. This is a slightly negative value and a sign of low solvency as CMP would need 8.95 years to pay back of all of its debts.
CMP has a Debt to FCF ratio of 8.95. This is in the better half of the industry: CMP outperforms 64.94% of its industry peers.
CMP has a Debt/Equity ratio of 3.37. This is a high value indicating a heavy dependency on external financing.
CMP's Debt to Equity ratio of 3.37 is on the low side compared to the rest of the industry. CMP is outperformed by 93.51% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 3.37 | ||
| Debt/FCF | 8.95 | ||
| Altman-Z | 1.47 |
ROIC/WACC0.31
WACC9.23%
2.3 Liquidity
A Current Ratio of 1.84 indicates that CMP should not have too much problems paying its short term obligations.
Looking at the Current ratio, with a value of 1.84, CMP is doing worse than 61.69% of the companies in the same industry.
A Quick Ratio of 1.12 indicates that CMP should not have too much problems paying its short term obligations.
The Quick ratio of CMP (1.12) is worse than 63.64% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.84 | ||
| Quick Ratio | 1.12 |
3. Growth
3.1 Past
The earnings per share for CMP have decreased strongly by -180.57% in the last year.
Looking at the last year, CMP shows a very negative growth in Revenue. The Revenue has decreased by -18.48% in the last year.
Measured over the past years, CMP shows a decrease in Revenue. The Revenue has been decreasing by -5.64% on average per year.
EPS 1Y (TTM)-180.57%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%-57.72%
Revenue 1Y (TTM)-18.48%
Revenue growth 3Y3.6%
Revenue growth 5Y-5.64%
Sales Q2Q%35.88%
3.2 Future
CMP is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 53.96% yearly.
CMP is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 2.94% yearly.
EPS Next Y635.86%
EPS Next 2Y139.4%
EPS Next 3Y91.37%
EPS Next 5Y53.96%
Revenue Next Year10.74%
Revenue Next 2Y5.74%
Revenue Next 3Y4.52%
Revenue Next 5Y2.94%
3.3 Evolution
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
The Price/Earnings Ratio is negative for CMP. In the last year negative earnings were reported.
A Price/Forward Earnings ratio of 24.85 indicates a rather expensive valuation of CMP.
CMP's Price/Forward Earnings is on the same level as the industry average.
CMP is valuated at similar levels of the S&P average when we compare the Price/Forward Earnings ratio to 21.90, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | 24.85 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, CMP is valued a bit cheaper than the industry average as 66.23% of the companies are valued more expensively.
CMP's Price/Free Cash Flow ratio is rather cheap when compared to the industry. CMP is cheaper than 90.91% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 10.27 | ||
| EV/EBITDA | 11.22 |
4.3 Compensation for Growth
CMP's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
CMP's earnings are expected to grow with 91.37% in the coming years. This may justify a more expensive valuation.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y139.4%
EPS Next 3Y91.37%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 2.38%, CMP has a reasonable but not impressive dividend return.
Compared to an average industry Dividend Yield of 2.98, CMP pays a better dividend. On top of this CMP pays more dividend than 84.42% of the companies listed in the same industry.
Compared to an average S&P500 Dividend Yield of 2.42, CMP has a dividend comparable with the average S&P500 company.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.38% |
5.2 History
The dividend of CMP decreases each year by -36.20%.
CMP has been paying a dividend for at least 10 years, so it has a reliable track record.
Dividend Growth(5Y)-36.2%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
0.07% of the earnings are spent on dividend by CMP. This is a low number and sustainable payout ratio.
DP0.07%
EPS Next 2Y139.4%
EPS Next 3Y91.37%
22.25
+0.23 (+1.04%)
Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryMetals & Mining
Earnings (Last)
Earnings (Next)
Inst Owners82.27%
Inst Owner Change-0.35%
Ins Owners0.63%
Ins Owner Change0.47%
Market Cap926.04M
Analysts77.5
Price Target17.34 (-22.07%)
Short Float %8.05%
Short Ratio3.47
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.38% |
Yearly Dividend0.31
Dividend Growth(5Y)-36.2%
DP0.07%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)5956.11%
Min EPS beat(2)-463.04%
Max EPS beat(2)12375.2%
EPS beat(4)1
Avg EPS beat(4)2951.32%
Min EPS beat(4)-463.04%
Max EPS beat(4)12375.2%
EPS beat(8)3
Avg EPS beat(8)1596.39%
EPS beat(12)5
Avg EPS beat(12)1055.76%
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)2
Avg Revenue beat(2)10.92%
Min Revenue beat(2)3.46%
Max Revenue beat(2)18.38%
Revenue beat(4)3
Avg Revenue beat(4)5.58%
Min Revenue beat(4)-1.08%
Max Revenue beat(4)18.38%
Revenue beat(8)3
Avg Revenue beat(8)0.57%
Revenue beat(12)5
Avg Revenue beat(12)0.34%
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)15.91%
PT rev (3m)8.51%
EPS NQ rev (1m)283.33%
EPS NQ rev (3m)1782.35%
EPS NY rev (1m)519.78%
EPS NY rev (3m)423.18%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)1.27%
Revenue NY rev (1m)0.65%
Revenue NY rev (3m)6.67%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | 24.85 | ||
| P/S | 0.76 | ||
| P/FCF | 10.27 | ||
| P/OCF | 5.29 | ||
| P/B | 3.92 | ||
| P/tB | 4.53 | ||
| EV/EBITDA | 11.22 |
EPS(TTM)-1.7
EYN/A
EPS(NY)0.9
Fwd EY4.02%
FCF(TTM)2.17
FCFY9.74%
OCF(TTM)4.2
OCFY18.89%
SpS29.16
BVpS5.68
TBVpS4.91
PEG (NY)N/A
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -9.63% | ||
| ROE | -62.37% | ||
| ROCE | 3.6% | ||
| ROIC | 2.85% | ||
| ROICexc | 2.97% | ||
| ROICexgc | 3.05% | ||
| OM | 3.63% | ||
| PM (TTM) | N/A | ||
| GM | 13.45% | ||
| FCFM | 7.43% |
ROA(3y)-4.43%
ROA(5y)-1.62%
ROE(3y)-24.04%
ROE(5y)-8.91%
ROIC(3y)3.52%
ROIC(5y)3.81%
ROICexc(3y)3.61%
ROICexc(5y)3.87%
ROICexgc(3y)4%
ROICexgc(5y)4.2%
ROCE(3y)4.46%
ROCE(5y)4.82%
ROICexcg growth 3Y0.46%
ROICexcg growth 5Y-6.43%
ROICexc growth 3Y0.14%
ROICexc growth 5Y-2.76%
OM growth 3Y-13.47%
OM growth 5Y-4.55%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-7.25%
GM growth 5Y-2.37%
F-Score3
Asset Turnover0.79
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 3.37 | ||
| Debt/FCF | 8.95 | ||
| Debt/EBITDA | 5.31 | ||
| Cap/Depr | 79.91% | ||
| Cap/Sales | 6.98% | ||
| Interest Coverage | 0.64 | ||
| Cash Conversion | 116.52% | ||
| Profit Quality | N/A | ||
| Current Ratio | 1.84 | ||
| Quick Ratio | 1.12 | ||
| Altman-Z | 1.47 |
F-Score3
WACC9.23%
ROIC/WACC0.31
Cap/Depr(3y)117.41%
Cap/Depr(5y)96.99%
Cap/Sales(3y)10.32%
Cap/Sales(5y)9.69%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-180.57%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%-57.72%
EPS Next Y635.86%
EPS Next 2Y139.4%
EPS Next 3Y91.37%
EPS Next 5Y53.96%
Revenue 1Y (TTM)-18.48%
Revenue growth 3Y3.6%
Revenue growth 5Y-5.64%
Sales Q2Q%35.88%
Revenue Next Year10.74%
Revenue Next 2Y5.74%
Revenue Next 3Y4.52%
Revenue Next 5Y2.94%
EBIT growth 1Y-57.31%
EBIT growth 3Y-10.36%
EBIT growth 5Y-9.93%
EBIT Next Year2198.88%
EBIT Next 3Y209.98%
EBIT Next 5YN/A
FCF growth 1Y317.59%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y47.59%
OCF growth 3Y-56.52%
OCF growth 5Y-39.81%