CORE & MAIN INC-CLASS A (CNM) Stock Fundamental Analysis
USA - NYSE:CNM - US21874C1027 - Common Stock
47.15 USD
-0.98 (-2.04%)
47.15 USD
0 (0%)
Taking everything into account, CNM scores 5 out of 10 in our fundamental rating. CNM was compared to 51 industry peers in the Trading Companies & Distributors industry. CNM scores excellent on profitability, but there are some minor concerns on its financial health. CNM has a correct valuation and a medium growth rate.
1. Profitability
1.1 Basic Checks
CNM had positive earnings in the past year.
CNM had a positive operating cash flow in the past year.
In the past 5 years CNM has always been profitable.
CNM had a positive operating cash flow in 4 of the past 5 years.
1.2 Ratios
CNM has a better Return On Assets (6.83%) than 72.55% of its industry peers.
CNM's Return On Equity of 22.85% is amongst the best of the industry. CNM outperforms 84.31% of its industry peers.
The Return On Invested Capital of CNM (10.97%) is better than 70.59% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for CNM is above the industry average of 10.12%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.83% | ||
| ROE | 22.85% | ||
| ROIC | 10.97% |
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
CNM has a better Profit Margin (5.57%) than 64.71% 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 9.44%, CNM is doing good in the industry, outperforming 66.67% of the companies in the same industry.
In the last couple of years the Operating Margin of CNM has grown nicely.
Looking at the Gross Margin, with a value of 26.67%, CNM is in line with its industry, outperforming 43.14% of the companies in the same industry.
CNM's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 9.44% | ||
| PM (TTM) | 5.57% | ||
| GM | 26.67% |
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
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so CNM is still 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.
The debt/assets ratio for CNM is higher compared to a year ago.
2.2 Solvency
CNM has an Altman-Z score of 3.31. This indicates that CNM is financially healthy and has little risk of bankruptcy at the moment.
With a decent Altman-Z score value of 3.31, CNM is doing good in the industry, outperforming 68.63% of the companies in the same industry.
The Debt to FCF ratio of CNM is 4.00, which is a neutral value as it means it would take CNM, 4.00 years of fcf income to pay off all of its debts.
CNM's Debt to FCF ratio of 4.00 is fine compared to the rest of the industry. CNM outperforms 72.55% of its industry peers.
CNM has a Debt/Equity ratio of 1.18. This is a high value indicating a heavy dependency on external financing.
CNM's Debt to Equity ratio of 1.18 is on the low side compared to the rest of the industry. CNM is outperformed by 66.67% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.18 | ||
| Debt/FCF | 4 | ||
| Altman-Z | 3.31 |
ROIC/WACC1.13
WACC9.73%
2.3 Liquidity
A Current Ratio of 2.25 indicates that CNM has no problem at all paying its short term obligations.
CNM has a Current ratio (2.25) which is in line with its industry peers.
A Quick Ratio of 1.30 indicates that CNM should not have too much problems paying its short term obligations.
CNM has a Quick ratio (1.30) which is in line with its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.25 | ||
| Quick Ratio | 1.3 |
3. Growth
3.1 Past
CNM shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 10.43%, which is quite good.
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.
Looking at the last year, CNM shows a quite strong growth in Revenue. The Revenue has grown by 11.02% in the last year.
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)10.43%
EPS 3Y44.94%
EPS 5Y64.38%
EPS Q2Q%29.85%
Revenue 1Y (TTM)11.02%
Revenue growth 3Y14.14%
Revenue growth 5Y17.04%
Sales Q2Q%6.57%
3.2 Future
The Earnings Per Share is expected to grow by 10.07% on average over the next years. This is quite good.
CNM is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 4.88% yearly.
EPS Next Y1.09%
EPS Next 2Y9.8%
EPS Next 3Y9.33%
EPS Next 5Y10.07%
Revenue Next Year2.86%
Revenue Next 2Y3.64%
Revenue Next 3Y3.93%
Revenue Next 5Y4.88%
3.3 Evolution
The estimated forward EPS growth is still strong, although it is decreasing when compared to the stronger growth in the past years.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 18.56, which indicates a rather expensive current valuation of CNM.
Based on the Price/Earnings ratio, CNM is valued a bit cheaper than the industry average as 62.75% of the companies are valued more expensively.
CNM is valuated rather cheaply when we compare the Price/Earnings ratio to 25.89, which is the current average of the S&P500 Index.
The Price/Forward Earnings ratio is 17.00, which indicates a rather expensive current valuation of CNM.
CNM's Price/Forward Earnings is on the same level as the industry average.
Compared to an average S&P500 Price/Forward Earnings ratio of 34.59, CNM is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 18.56 | ||
| Fwd PE | 17 |
4.2 Price Multiples
CNM's Enterprise Value to EBITDA is on the same level as the industry average.
78.43% 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 | 16.51 | ||
| EV/EBITDA | 12.67 |
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.
PEG (NY)17.06
PEG (5Y)0.29
EPS Next 2Y9.8%
EPS Next 3Y9.33%
5. Dividend
5.1 Amount
CNM does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
47.15
-0.98 (-2.04%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryTrading Companies & Distributors
Earnings (Last)
Earnings (Next)
Inst Owners110.28%
Inst Owner Change-0.37%
Ins Owners0.56%
Ins Owner Change9.52%
Market Cap9.31B
Revenue(TTM)7.74B
Net Income(TTM)431.00M
Analysts76.84
Price Target61.21 (29.82%)
Short Float %6.35%
Short Ratio4.2
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
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)7.35%
Min EPS beat(2)5.47%
Max EPS beat(2)9.23%
EPS beat(4)4
Avg EPS beat(4)6.98%
Min EPS beat(4)0.71%
Max EPS beat(4)12.5%
EPS beat(8)7
Avg EPS beat(8)3.71%
EPS beat(12)11
Avg EPS beat(12)5.9%
EPS beat(16)15
Avg EPS beat(16)11.78%
Revenue beat(2)1
Avg Revenue beat(2)0%
Min Revenue beat(2)-2.7%
Max Revenue beat(2)2.69%
Revenue beat(4)3
Avg Revenue beat(4)0.47%
Min Revenue beat(4)-2.7%
Max Revenue beat(4)2.69%
Revenue beat(8)4
Avg Revenue beat(8)-0.59%
Revenue beat(12)5
Avg Revenue beat(12)-0.41%
Revenue beat(16)9
Avg Revenue beat(16)2.36%
PT rev (1m)0.6%
PT rev (3m)-7.59%
EPS NQ rev (1m)-3.37%
EPS NQ rev (3m)-5.73%
EPS NY rev (1m)-6.95%
EPS NY rev (3m)-7.67%
Revenue NQ rev (1m)0.53%
Revenue NQ rev (3m)-2.16%
Revenue NY rev (1m)0.26%
Revenue NY rev (3m)-1.37%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 18.56 | ||
| Fwd PE | 17 | ||
| P/S | 1.2 | ||
| P/FCF | 16.51 | ||
| P/OCF | 15.36 | ||
| P/B | 4.94 | ||
| P/tB | N/A | ||
| EV/EBITDA | 12.67 |
EPS(TTM)2.54
EY5.39%
EPS(NY)2.77
Fwd EY5.88%
FCF(TTM)2.86
FCFY6.06%
OCF(TTM)3.07
OCFY6.51%
SpS39.2
BVpS9.55
TBVpS-4.45
PEG (NY)17.06
PEG (5Y)0.29
Graham Number23.37
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.83% | ||
| ROE | 22.85% | ||
| ROCE | 14.09% | ||
| ROIC | 10.97% | ||
| ROICexc | 11.03% | ||
| ROICexgc | 23.74% | ||
| OM | 9.44% | ||
| PM (TTM) | 5.57% | ||
| GM | 26.67% | ||
| FCFM | 7.29% |
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-Score6
Asset Turnover1.23
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.18 | ||
| Debt/FCF | 4 | ||
| Debt/EBITDA | 2.41 | ||
| Cap/Depr | 21.54% | ||
| Cap/Sales | 0.54% | ||
| Interest Coverage | 4.84 | ||
| Cash Conversion | 65.44% | ||
| Profit Quality | 130.86% | ||
| Current Ratio | 2.25 | ||
| Quick Ratio | 1.3 | ||
| Altman-Z | 3.31 |
F-Score6
WACC9.73%
ROIC/WACC1.13
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)10.43%
EPS 3Y44.94%
EPS 5Y64.38%
EPS Q2Q%29.85%
EPS Next Y1.09%
EPS Next 2Y9.8%
EPS Next 3Y9.33%
EPS Next 5Y10.07%
Revenue 1Y (TTM)11.02%
Revenue growth 3Y14.14%
Revenue growth 5Y17.04%
Sales Q2Q%6.57%
Revenue Next Year2.86%
Revenue Next 2Y3.64%
Revenue Next 3Y3.93%
Revenue Next 5Y4.88%
EBIT growth 1Y3.25%
EBIT growth 3Y19.16%
EBIT growth 5Y35.85%
EBIT Next Year28.39%
EBIT Next 3Y13.67%
EBIT Next 5Y11.68%
FCF growth 1Y-32.7%
FCF growth 3YN/A
FCF growth 5Y24.92%
OCF growth 1Y-29.78%
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 1.09% in the next year.