CORE & MAIN INC-CLASS A (CNM) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:CNM - US21874C1027 - Common Stock
54 USD
-0.19 (-0.35%)
53.48 USD
-0.52 (-0.96%)
We assign a fundamental rating of 5 out of 10 to CNM. CNM was compared to 50 industry peers in the Trading Companies & Distributors industry. While CNM belongs to the best of the industry regarding profitability, there are some minor concerns on its financial health. CNM is not valued too expensively and it also shows a decent growth rate.
1. Profitability
1.1 Basic Checks
In the past year CNM was profitable.
In the past year CNM had a positive cash flow from operations.
CNM had positive earnings in each of the past 5 years.
CNM had a positive operating cash flow in 4 of the past 5 years.
1.2 Ratios
CNM's Return On Assets of 6.90% is fine compared to the rest of the industry. CNM outperforms 72.00% of its industry peers.
CNM has a Return On Equity of 22.00%. This is amongst the best in the industry. CNM outperforms 86.00% of its industry peers.
CNM has a Return On Invested Capital of 10.92%. This is in the better half of the industry: CNM outperforms 72.00% of its industry peers.
The Average Return On Invested Capital over the past 3 years for CNM is above the industry average of 9.63%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.9% | ||
| ROE | 22% | ||
| ROIC | 10.92% |
ROA(3y)7.26%
ROA(5y)5.33%
ROE(3y)23.57%
ROE(5y)17.76%
ROIC(3y)13.05%
ROIC(5y)10.52%
1.3 Margins
The Profit Margin of CNM (5.60%) is better than 64.00% of its industry peers.
In the last couple of years the Profit Margin of CNM has grown nicely.
With a decent Operating Margin value of 9.38%, CNM is doing good in the industry, outperforming 66.00% of the companies in the same industry.
CNM's Operating Margin has improved in the last couple of years.
CNM's Gross Margin of 26.82% is on the low side compared to the rest of the industry. CNM is outperformed by 60.00% of its industry peers.
In the last couple of years the Gross Margin of CNM has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 9.38% | ||
| PM (TTM) | 5.6% | ||
| GM | 26.82% |
OM growth 3Y4.39%
OM growth 5Y16.07%
PM growth 3Y18.52%
PM growth 5Y35.35%
GM growth 3Y1.32%
GM growth 5Y2.7%
2. Health
2.1 Basic Checks
CNM has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
CNM has less shares outstanding than it did 1 year ago.
CNM has less shares outstanding than it did 5 years ago.
CNM has a worse debt/assets ratio than last year.
2.2 Solvency
CNM has an Altman-Z score of 3.52. This indicates that CNM is financially healthy and has little risk of bankruptcy at the moment.
With a Altman-Z score value of 3.52, CNM perfoms like the industry average, outperforming 58.00% of the companies in the same industry.
The Debt to FCF ratio of CNM is 3.74, which is a good value as it means it would take CNM, 3.74 years of fcf income to pay off all of its debts.
The Debt to FCF ratio of CNM (3.74) is better than 66.00% of its industry peers.
A Debt/Equity ratio of 1.08 is on the high side and indicates that CNM has dependencies on debt financing.
With a Debt to Equity ratio value of 1.08, CNM is not doing good in the industry: 64.00% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.08 | ||
| Debt/FCF | 3.74 | ||
| Altman-Z | 3.52 |
ROIC/WACC1.08
WACC10.08%
2.3 Liquidity
CNM has a Current Ratio of 2.26. This indicates that CNM is financially healthy and has no problem in meeting its short term obligations.
CNM has a Current ratio of 2.26. This is comparable to the rest of the industry: CNM outperforms 60.00% of its industry peers.
CNM has a Quick Ratio of 1.35. This is a normal value and indicates that CNM is financially healthy and should not expect problems in meeting its short term obligations.
Looking at the Quick ratio, with a value of 1.35, CNM is in line with its industry, outperforming 54.00% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.26 | ||
| Quick Ratio | 1.35 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an nice 16.45% over the past year.
Measured over the past years, CNM shows a very strong growth in Earnings Per Share. The EPS has been growing by 64.38% on average per year.
CNM shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 8.09%.
CNM shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 17.04% yearly.
EPS 1Y (TTM)16.45%
EPS 3Y44.94%
EPS 5Y64.38%
EPS Q2Q%20.27%
Revenue 1Y (TTM)8.09%
Revenue growth 3Y14.14%
Revenue growth 5Y17.04%
Sales Q2Q%1.18%
3.2 Future
The Earnings Per Share is expected to grow by 10.07% on average over the next years. This is quite good.
Based on estimates for the next years, CNM will show a small growth in Revenue. The Revenue will grow by 4.88% on average per year.
EPS Next Y10.33%
EPS Next 2Y12.71%
EPS Next 3Y12.85%
EPS Next 5Y10.07%
Revenue Next Year2.69%
Revenue Next 2Y3.38%
Revenue Next 3Y3.83%
Revenue Next 5Y4.88%
3.3 Evolution
Although the future EPS growth is still strong, it is not able to hold up the even more excellent growth rate of the past 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
The Price/Earnings ratio is 20.07, which indicates a rather expensive current valuation of CNM.
Based on the Price/Earnings ratio, CNM is valued a bit cheaper than 62.00% of the companies in the same industry.
The average S&P500 Price/Earnings ratio is at 26.92. CNM is valued slightly cheaper when compared to this.
Based on the Price/Forward Earnings ratio of 18.48, the valuation of CNM can be described as rather expensive.
CNM's Price/Forward Earnings ratio is in line with the industry average.
Compared to an average S&P500 Price/Forward Earnings ratio of 23.46, CNM is valued a bit cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 20.07 | ||
| Fwd PE | 18.48 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of CNM is on the same level as its industry peers.
82.00% of the companies in the same industry are more expensive than CNM, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 18.54 | ||
| EV/EBITDA | 13.8 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
The decent profitability rating of CNM may justify a higher PE ratio.
A more expensive valuation may be justified as CNM's earnings are expected to grow with 12.85% in the coming years.
PEG (NY)1.94
PEG (5Y)0.31
EPS Next 2Y12.71%
EPS Next 3Y12.85%
5. Dividend
5.1 Amount
CNM does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
54
-0.19 (-0.35%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryTrading Companies & Distributors
Earnings (Last)
Earnings (Next)
Inst Owners114.93%
Inst Owner Change-0.4%
Ins Owners0.56%
Ins Owner Change9.52%
Market Cap10.66B
Revenue(TTM)7.76B
Net Income(TTM)435.00M
Analysts76.84
Price Target61.53 (13.94%)
Short Float %6.31%
Short Ratio4.68
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)12.54%
Min EPS beat(2)9.23%
Max EPS beat(2)15.85%
EPS beat(4)4
Avg EPS beat(4)7.82%
Min EPS beat(4)0.71%
Max EPS beat(4)15.85%
EPS beat(8)7
Avg EPS beat(8)5.05%
EPS beat(12)11
Avg EPS beat(12)5.86%
EPS beat(16)15
Avg EPS beat(16)10.64%
Revenue beat(2)0
Avg Revenue beat(2)-1.95%
Min Revenue beat(2)-2.7%
Max Revenue beat(2)-1.2%
Revenue beat(4)2
Avg Revenue beat(4)-0.2%
Min Revenue beat(4)-2.7%
Max Revenue beat(4)2.69%
Revenue beat(8)4
Avg Revenue beat(8)-0.6%
Revenue beat(12)4
Avg Revenue beat(12)-0.97%
Revenue beat(16)8
Avg Revenue beat(16)1.79%
PT rev (1m)0.52%
PT rev (3m)1.12%
EPS NQ rev (1m)6.49%
EPS NQ rev (3m)5.05%
EPS NY rev (1m)9.14%
EPS NY rev (3m)1.56%
Revenue NQ rev (1m)-0.5%
Revenue NQ rev (3m)-1.95%
Revenue NY rev (1m)-0.17%
Revenue NY rev (3m)-0.33%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 20.07 | ||
| Fwd PE | 18.48 | ||
| P/S | 1.37 | ||
| P/FCF | 18.54 | ||
| P/OCF | 17.28 | ||
| P/B | 5.39 | ||
| P/tB | N/A | ||
| EV/EBITDA | 13.8 |
EPS(TTM)2.69
EY4.98%
EPS(NY)2.92
Fwd EY5.41%
FCF(TTM)2.91
FCFY5.39%
OCF(TTM)3.13
OCFY5.79%
SpS39.33
BVpS10.01
TBVpS-3.99
PEG (NY)1.94
PEG (5Y)0.31
Graham Number24.62
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.9% | ||
| ROE | 22% | ||
| ROCE | 14.02% | ||
| ROIC | 10.92% | ||
| ROICexc | 11.11% | ||
| ROICexgc | 24.24% | ||
| OM | 9.38% | ||
| PM (TTM) | 5.6% | ||
| GM | 26.82% | ||
| FCFM | 7.41% |
ROA(3y)7.26%
ROA(5y)5.33%
ROE(3y)23.57%
ROE(5y)17.76%
ROIC(3y)13.05%
ROIC(5y)10.52%
ROICexc(3y)13.27%
ROICexc(5y)10.76%
ROICexgc(3y)30.58%
ROICexgc(5y)28.28%
ROCE(3y)16.76%
ROCE(5y)13.51%
ROICexgc growth 3Y-1.87%
ROICexgc growth 5Y6.48%
ROICexc growth 3Y6.77%
ROICexc growth 5Y19.1%
OM growth 3Y4.39%
OM growth 5Y16.07%
PM growth 3Y18.52%
PM growth 5Y35.35%
GM growth 3Y1.32%
GM growth 5Y2.7%
F-Score8
Asset Turnover1.23
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.08 | ||
| Debt/FCF | 3.74 | ||
| Debt/EBITDA | 2.31 | ||
| Cap/Depr | 21.65% | ||
| Cap/Sales | 0.54% | ||
| Interest Coverage | 4.41 | ||
| Cash Conversion | 66.92% | ||
| Profit Quality | 132.18% | ||
| Current Ratio | 2.26 | ||
| Quick Ratio | 1.35 | ||
| Altman-Z | 3.52 |
F-Score8
WACC10.08%
ROIC/WACC1.08
Cap/Depr(3y)20.09%
Cap/Depr(5y)16.28%
Cap/Sales(3y)0.48%
Cap/Sales(5y)0.43%
Profit Quality(3y)174.31%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)16.45%
EPS 3Y44.94%
EPS 5Y64.38%
EPS Q2Q%20.27%
EPS Next Y10.33%
EPS Next 2Y12.71%
EPS Next 3Y12.85%
EPS Next 5Y10.07%
Revenue 1Y (TTM)8.09%
Revenue growth 3Y14.14%
Revenue growth 5Y17.04%
Sales Q2Q%1.18%
Revenue Next Year2.69%
Revenue Next 2Y3.38%
Revenue Next 3Y3.83%
Revenue Next 5Y4.88%
EBIT growth 1Y2.1%
EBIT growth 3Y19.16%
EBIT growth 5Y35.85%
EBIT Next Year27.26%
EBIT Next 3Y13.6%
EBIT Next 5Y11.68%
FCF growth 1Y-44.87%
FCF growth 3YN/A
FCF growth 5Y24.92%
OCF growth 1Y-42.98%
OCF growth 3YN/A
OCF growth 5Y24.63%
CORE & MAIN INC-CLASS A / CNM FAQ
What is the fundamental rating for CNM stock?
ChartMill assigns a fundamental rating of 5 / 10 to CNM.
What is the valuation status of CORE & MAIN INC-CLASS A (CNM) stock?
ChartMill assigns a valuation rating of 4 / 10 to CORE & MAIN INC-CLASS A (CNM). This can be considered as Fairly Valued.
Can you provide the profitability details for CORE & MAIN INC-CLASS A?
CORE & MAIN INC-CLASS A (CNM) has a profitability rating of 7 / 10.
Can you provide the financial health for CNM stock?
The financial health rating of CORE & MAIN INC-CLASS A (CNM) is 5 / 10.
What is the earnings growth outlook for CORE & MAIN INC-CLASS A?
The Earnings per Share (EPS) of CORE & MAIN INC-CLASS A (CNM) is expected to grow by 10.33% in the next year.