CENCORA INC (COR) Stock Fundamental Analysis
USA - NYSE:COR - US03073E1055 - Common Stock
308.71 USD
+3.41 (+1.12%)
308.71 USD
0 (0%)
COR gets a fundamental rating of 5 out of 10. The analysis compared the fundamentals against 101 industry peers in the Health Care Providers & Services industry. While COR belongs to the best of the industry regarding profitability, there are some minor concerns on its financial health. COR has a correct valuation and a medium growth rate.
1. Profitability
1.1 Basic Checks
COR had positive earnings in the past year.
In the past year COR had a positive cash flow from operations.
COR had positive earnings in 4 of the past 5 years.
In the past 5 years COR always reported a positive cash flow from operatings.
1.2 Ratios
The Return On Assets of COR (2.57%) is better than 61.39% of its industry peers.
Looking at the Return On Equity, with a value of 95.81%, COR belongs to the top of the industry, outperforming 100.00% of the companies in the same industry.
COR's Return On Invested Capital of 13.52% is amongst the best of the industry. COR outperforms 91.09% of its industry peers.
COR had an Average Return On Invested Capital over the past 3 years of 16.51%. This is significantly above the industry average of 9.20%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.57% | ||
| ROE | 95.81% | ||
| ROIC | 13.52% |
ROA(3y)2.68%
ROA(5y)0.61%
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)16.51%
ROIC(5y)15.55%
1.3 Margins
The Profit Margin of COR (0.60%) is comparable to the rest of the industry.
COR's Profit Margin has improved in the last couple of years.
COR has a Operating Margin (1.09%) which is in line with its industry peers.
COR's Operating Margin has been stable in the last couple of years.
COR has a worse Gross Margin (3.40%) than 80.20% of its industry peers.
In the last couple of years the Gross Margin of COR has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 1.09% | ||
| PM (TTM) | 0.6% | ||
| GM | 3.4% |
OM growth 3Y-6.12%
OM growth 5Y-0.1%
PM growth 3Y-10.65%
PM growth 5Y1.52%
GM growth 3Y1.72%
GM growth 5Y3.69%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) well above the Cost of Capital (WACC), COR is creating value.
The number of shares outstanding for COR has been reduced compared to 1 year ago.
COR has less shares outstanding than it did 5 years ago.
The debt/assets ratio for COR has been reduced compared to a year ago.
2.2 Solvency
An Altman-Z score of 4.98 indicates that COR is not in any danger for bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 4.98, COR belongs to the top of the industry, outperforming 82.18% of the companies in the same industry.
COR has a debt to FCF ratio of 7.22. This is a slightly negative value and a sign of low solvency as COR would need 7.22 years to pay back of all of its debts.
Looking at the Debt to FCF ratio, with a value of 7.22, COR is in the better half of the industry, outperforming 61.39% of the companies in the same industry.
A Debt/Equity ratio of 4.06 is on the high side and indicates that COR has dependencies on debt financing.
With a Debt to Equity ratio value of 4.06, COR is not doing good in the industry: 79.21% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 4.06 | ||
| Debt/FCF | 7.22 | ||
| Altman-Z | 4.98 |
ROIC/WACC1.5
WACC9.03%
2.3 Liquidity
COR has a Current Ratio of 0.90. This is a bad value and indicates that COR is not financially healthy enough and could expect problems in meeting its short term obligations.
With a Current ratio value of 0.90, COR is not doing good in the industry: 79.21% of the companies in the same industry are doing better.
COR has a Quick Ratio of 0.90. This is a bad value and indicates that COR is not financially healthy enough and could expect problems in meeting its short term obligations.
Looking at the Quick ratio, with a value of 0.53, COR is doing worse than 88.12% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.9 | ||
| Quick Ratio | 0.53 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an nice 16.64% over the past year.
COR shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 14.21% yearly.
The Revenue has grown by 11.56% in the past year. This is quite good.
COR shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 10.36% yearly.
EPS 1Y (TTM)16.64%
EPS 3Y14.11%
EPS 5Y14.21%
EPS Q2Q%19.76%
Revenue 1Y (TTM)11.56%
Revenue growth 3Y11.16%
Revenue growth 5Y10.36%
Sales Q2Q%8.65%
3.2 Future
COR is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 11.42% yearly.
Based on estimates for the next years, COR will show a small growth in Revenue. The Revenue will grow by 7.38% on average per year.
EPS Next Y17%
EPS Next 2Y13.19%
EPS Next 3Y12.25%
EPS Next 5Y11.42%
Revenue Next Year9.7%
Revenue Next 2Y8.09%
Revenue Next 3Y7.61%
Revenue Next 5Y7.38%
3.3 Evolution
The EPS growth rate is stable: in the next years the growth will be about the same than in the last 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
A Price/Earnings ratio of 19.93 indicates a rather expensive valuation of COR.
Based on the Price/Earnings ratio, COR is valued a bit cheaper than the industry average as 69.31% of the companies are valued more expensively.
Compared to an average S&P500 Price/Earnings ratio of 27.76, COR is valued a bit cheaper.
The Price/Forward Earnings ratio is 17.51, which indicates a rather expensive current valuation of COR.
Based on the Price/Forward Earnings ratio, COR is valued a bit cheaper than the industry average as 68.32% of the companies are valued more expensively.
COR is valuated rather cheaply when we compare the Price/Forward Earnings ratio to 23.21, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 19.93 | ||
| Fwd PE | 17.51 |
4.2 Price Multiples
COR's Enterprise Value to EBITDA ratio is in line with the industry average.
The rest of the industry has a similar Price/Free Cash Flow ratio as COR.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 52.43 | ||
| EV/EBITDA | 14.33 |
4.3 Compensation for Growth
The PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
The decent profitability rating of COR may justify a higher PE ratio.
A more expensive valuation may be justified as COR's earnings are expected to grow with 12.25% in the coming years.
PEG (NY)1.17
PEG (5Y)1.4
EPS Next 2Y13.19%
EPS Next 3Y12.25%
5. Dividend
5.1 Amount
With a yearly dividend of 0.71%, COR is not a good candidate for dividend investing.
Compared to an average industry Dividend Yield of 2.45, COR pays a better dividend. On top of this COR pays more dividend than 83.17% of the companies listed in the same industry.
Compared to an average S&P500 Dividend Yield of 2.44, COR's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.71% |
5.2 History
The dividend of COR has a limited annual growth rate of 5.42%.
COR has paid a dividend for at least 10 years, which is a reliable track record.
COR has decreased its dividend in the last 3 years.
Dividend Growth(5Y)5.42%
Div Incr Years2
Div Non Decr Years2
5.3 Sustainability
22.69% of the earnings are spent on dividend by COR. This is a low number and sustainable payout ratio.
COR's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP22.69%
EPS Next 2Y13.19%
EPS Next 3Y12.25%
308.71
+3.41 (+1.12%)
Chartmill FA Rating
GICS SectorHealth Care
GICS IndustryGroupHealth Care Equipment & Services
GICS IndustryHealth Care Providers & Services
Earnings (Last)
Earnings (Next)
Inst Owners93.38%
Inst Owner Change0%
Ins Owners0.07%
Ins Owner Change-5.71%
Market Cap59.85B
Analysts79.09
Price Target337.65 (9.37%)
Short Float %3.6%
Short Ratio4.67
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.71% |
Yearly Dividend2.1
Dividend Growth(5Y)5.42%
DP22.69%
Div Incr Years2
Div Non Decr Years2
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)4.88%
Min EPS beat(2)3.15%
Max EPS beat(2)6.6%
EPS beat(4)4
Avg EPS beat(4)4.45%
Min EPS beat(4)2.68%
Max EPS beat(4)6.6%
EPS beat(8)8
Avg EPS beat(8)4.51%
EPS beat(12)12
Avg EPS beat(12)3.81%
EPS beat(16)15
Avg EPS beat(16)3.45%
Revenue beat(2)0
Avg Revenue beat(2)-0.82%
Min Revenue beat(2)-1.29%
Max Revenue beat(2)-0.35%
Revenue beat(4)2
Avg Revenue beat(4)0.52%
Min Revenue beat(4)-1.29%
Max Revenue beat(4)2.93%
Revenue beat(8)5
Avg Revenue beat(8)0.6%
Revenue beat(12)8
Avg Revenue beat(12)0.97%
Revenue beat(16)10
Avg Revenue beat(16)0.83%
PT rev (1m)-0.13%
PT rev (3m)2.77%
EPS NQ rev (1m)-0.07%
EPS NQ rev (3m)-0.79%
EPS NY rev (1m)-0.02%
EPS NY rev (3m)0.83%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-1.32%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-0.2%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 19.93 | ||
| Fwd PE | 17.51 | ||
| P/S | 0.19 | ||
| P/FCF | 52.43 | ||
| P/OCF | 34.36 | ||
| P/B | 30.23 | ||
| P/tB | N/A | ||
| EV/EBITDA | 14.33 |
EPS(TTM)15.49
EY5.02%
EPS(NY)17.63
Fwd EY5.71%
FCF(TTM)5.89
FCFY1.91%
OCF(TTM)8.99
OCFY2.91%
SpS1633.25
BVpS10.21
TBVpS-83.94
PEG (NY)1.17
PEG (5Y)1.4
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.57% | ||
| ROE | 95.81% | ||
| ROCE | 17.33% | ||
| ROIC | 13.52% | ||
| ROICexc | 15.22% | ||
| ROICexgc | N/A | ||
| OM | 1.09% | ||
| PM (TTM) | 0.6% | ||
| GM | 3.4% | ||
| FCFM | 0.36% |
ROA(3y)2.68%
ROA(5y)0.61%
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)16.51%
ROIC(5y)15.55%
ROICexc(3y)21.56%
ROICexc(5y)21.55%
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)21.17%
ROCE(5y)19.93%
ROICexcg growth 3YN/A
ROICexcg growth 5YN/A
ROICexc growth 3Y15.26%
ROICexc growth 5Y0.87%
OM growth 3Y-6.12%
OM growth 5Y-0.1%
PM growth 3Y-10.65%
PM growth 5Y1.52%
GM growth 3Y1.72%
GM growth 5Y3.69%
F-Score6
Asset Turnover4.28
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 4.06 | ||
| Debt/FCF | 7.22 | ||
| Debt/EBITDA | 1.77 | ||
| Cap/Depr | 55.39% | ||
| Cap/Sales | 0.19% | ||
| Interest Coverage | 10.99 | ||
| Cash Conversion | 38.29% | ||
| Profit Quality | 60.17% | ||
| Current Ratio | 0.9 | ||
| Quick Ratio | 0.53 | ||
| Altman-Z | 4.98 |
F-Score6
WACC9.03%
ROIC/WACC1.5
Cap/Depr(3y)53.4%
Cap/Depr(5y)67.19%
Cap/Sales(3y)0.18%
Cap/Sales(5y)0.19%
Profit Quality(3y)175.45%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)16.64%
EPS 3Y14.11%
EPS 5Y14.21%
EPS Q2Q%19.76%
EPS Next Y17%
EPS Next 2Y13.19%
EPS Next 3Y12.25%
EPS Next 5Y11.42%
Revenue 1Y (TTM)11.56%
Revenue growth 3Y11.16%
Revenue growth 5Y10.36%
Sales Q2Q%8.65%
Revenue Next Year9.7%
Revenue Next 2Y8.09%
Revenue Next 3Y7.61%
Revenue Next 5Y7.38%
EBIT growth 1Y19.18%
EBIT growth 3Y4.36%
EBIT growth 5Y10.24%
EBIT Next Year29.12%
EBIT Next 3Y14.27%
EBIT Next 5Y5.18%
FCF growth 1Y-59.12%
FCF growth 3Y10.42%
FCF growth 5Y8.07%
OCF growth 1Y-46.38%
OCF growth 3Y9.35%
OCF growth 5Y8.25%