CRA INTERNATIONAL INC (CRAI) Stock Fundamental Analysis
NASDAQ:CRAI - Nasdaq - US12618T1051 - Common Stock - Currency: USD
Taking everything into account, CRAI scores 5 out of 10 in our fundamental rating. CRAI was compared to 82 industry peers in the Professional Services industry. CRAI has an excellent profitability rating, but there are some minor concerns on its financial health. CRAI is valied quite expensively at the moment, while it does show a decent growth rate.
1. Profitability
1.1 Basic Checks
CRAI had positive earnings in the past year.
CRAI had a positive operating cash flow in the past year.
In the past 5 years CRAI has always been profitable.
CRAI had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
CRAI has a Return On Assets of 8.61%. This is in the better half of the industry: CRAI outperforms 74.39% of its industry peers.
CRAI's Return On Equity of 22.36% is fine compared to the rest of the industry. CRAI outperforms 71.95% of its industry peers.
CRAI's Return On Invested Capital of 13.64% is amongst the best of the industry. CRAI outperforms 80.49% of its industry peers.
The Average Return On Invested Capital over the past 3 years for CRAI is in line with the industry average of 12.98%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 8.61% | ||
| ROE | 22.36% | ||
| ROIC | 13.64% |
ROA(3y)7.66%
ROA(5y)6.96%
ROE(3y)20.2%
ROE(5y)18.49%
ROIC(3y)13.88%
ROIC(5y)12.07%
1.3 Margins
CRAI has a Profit Margin of 7.29%. This is in the better half of the industry: CRAI outperforms 73.17% of its industry peers.
CRAI's Profit Margin has improved in the last couple of years.
With a decent Operating Margin value of 10.99%, CRAI is doing good in the industry, outperforming 76.83% of the companies in the same industry.
In the last couple of years the Operating Margin of CRAI has grown nicely.
The Gross Margin of CRAI (30.98%) is worse than 60.98% of its industry peers.
CRAI's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 10.99% | ||
| PM (TTM) | 7.29% | ||
| GM | 30.98% |
OM growth 3Y1.5%
OM growth 5Y9.66%
PM growth 3Y-2.64%
PM growth 5Y8.1%
GM growth 3Y0.98%
GM growth 5Y0.39%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), CRAI is creating some value.
Compared to 1 year ago, CRAI has less shares outstanding
Compared to 5 years ago, CRAI has less shares outstanding
There is no outstanding debt for CRAI. This means it has a Debt/Equity and Debt/FCF ratio of 0 and it is amongst the best of the sector and industry.
2.2 Solvency
CRAI has an Altman-Z score of 4.35. This indicates that CRAI is financially healthy and has little risk of bankruptcy at the moment.
The Altman-Z score of CRAI (4.35) is better than 75.61% of its industry peers.
CRAI has a debt to FCF ratio of 5.33. This is a neutral value as CRAI would need 5.33 years to pay back of all of its debts.
CRAI has a Debt to FCF ratio (5.33) which is in line with its industry peers.
CRAI has a Debt/Equity ratio of 0.37. This is a healthy value indicating a solid balance between debt and equity.
With a Debt to Equity ratio value of 0.37, CRAI perfoms like the industry average, outperforming 48.78% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.37 | ||
| Debt/FCF | 5.33 | ||
| Altman-Z | 4.35 |
ROIC/WACC1.5
WACC9.1%
2.3 Liquidity
A Current Ratio of 1.03 indicates that CRAI should not have too much problems paying its short term obligations.
CRAI's Current ratio of 1.03 is on the low side compared to the rest of the industry. CRAI is outperformed by 70.73% of its industry peers.
A Quick Ratio of 1.03 indicates that CRAI should not have too much problems paying its short term obligations.
With a Quick ratio value of 1.03, CRAI is not doing good in the industry: 70.73% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.03 | ||
| Quick Ratio | 1.03 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 27.85% over the past year.
CRAI shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 20.24% yearly.
The Revenue has grown by 8.47% in the past year. This is quite good.
Measured over the past years, CRAI shows a quite strong growth in Revenue. The Revenue has been growing by 8.78% on average per year.
EPS 1Y (TTM)27.85%
EPS 3Y11.47%
EPS 5Y20.24%
EPS Q2Q%13.27%
Revenue 1Y (TTM)8.47%
Revenue growth 3Y6.7%
Revenue growth 5Y8.78%
Sales Q2Q%5.86%
3.2 Future
Based on estimates for the next years, CRAI will show a quite strong growth in Earnings Per Share. The EPS will grow by 8.03% on average per year.
The Revenue is expected to grow by 5.68% on average over the next years.
EPS Next Y8.52%
EPS Next 2Y8.03%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year6.84%
Revenue Next 2Y5.68%
Revenue Next 3YN/A
Revenue Next 5YN/A
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
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 23.76, which indicates a rather expensive current valuation of CRAI.
CRAI's Price/Earnings is on the same level as the industry average.
Compared to an average S&P500 Price/Earnings ratio of 26.60, CRAI is valued at the same level.
A Price/Forward Earnings ratio of 21.05 indicates a rather expensive valuation of CRAI.
CRAI's Price/Forward Earnings is on the same level as the industry average.
CRAI is valuated at similar levels of the S&P average when we compare the Price/Forward Earnings ratio to 22.43, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 23.76 | ||
| Fwd PE | 21.05 |
4.2 Price Multiples
CRAI's Enterprise Value to EBITDA ratio is in line with the industry average.
Based on the Price/Free Cash Flow ratio, CRAI is valued a bit more expensive than the industry average as 64.63% of the companies are valued more cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 79.61 | ||
| EV/EBITDA | 14.35 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
CRAI has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)2.79
PEG (5Y)1.17
EPS Next 2Y8.03%
EPS Next 3YN/A
5. Dividend
5.1 Amount
CRAI has a Yearly Dividend Yield of 1.02%.
CRAI's Dividend Yield is a higher than the industry average which is at 1.98.
Compared to an average S&P500 Dividend Yield of 2.36, CRAI's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.02% |
5.2 History
The dividend of CRAI is nicely growing with an annual growth rate of 24.11%!
CRAI has been paying a dividend for at least 10 years, so it has a reliable track record.
As CRAI did not decrease their dividend in the past 5 years, we can say the dividend looks stable.
Dividend Growth(5Y)24.11%
Div Incr Years8
Div Non Decr Years8
5.3 Sustainability
CRAI pays out 25.01% of its income as dividend. This is a sustainable payout ratio.
CRAI's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP25.01%
EPS Next 2Y8.03%
EPS Next 3YN/A
NASDAQ:CRAI (5/21/2025, 3:20:11 PM)
186.5
-4.75 (-2.48%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCommercial & Professional Services
GICS IndustryProfessional Services
Earnings (Last)
Earnings (Next)
Inst Owners90.48%
Inst Owner Change0.31%
Ins Owners4.09%
Ins Owner Change0.41%
Market Cap1.27B
Analysts82.5
Price Target240.21 (28.8%)
Short Float %1.68%
Short Ratio2.19
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.02% |
Yearly Dividend1.8
Dividend Growth(5Y)24.11%
DP25.01%
Div Incr Years8
Div Non Decr Years8
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)17.36%
Min EPS beat(2)11.61%
Max EPS beat(2)23.1%
EPS beat(4)4
Avg EPS beat(4)16.04%
Min EPS beat(4)9.83%
Max EPS beat(4)23.1%
EPS beat(8)7
Avg EPS beat(8)16.09%
EPS beat(12)9
Avg EPS beat(12)13.32%
EPS beat(16)13
Avg EPS beat(16)18.74%
Revenue beat(2)2
Avg Revenue beat(2)2.32%
Min Revenue beat(2)0.94%
Max Revenue beat(2)3.69%
Revenue beat(4)2
Avg Revenue beat(4)0.66%
Min Revenue beat(4)-1.88%
Max Revenue beat(4)3.69%
Revenue beat(8)5
Avg Revenue beat(8)0.63%
Revenue beat(12)5
Avg Revenue beat(12)-0.4%
Revenue beat(16)7
Avg Revenue beat(16)0.01%
PT rev (1m)0%
PT rev (3m)11.61%
EPS NQ rev (1m)-0.99%
EPS NQ rev (3m)-2.65%
EPS NY rev (1m)2.65%
EPS NY rev (3m)5.05%
Revenue NQ rev (1m)0.56%
Revenue NQ rev (3m)4.02%
Revenue NY rev (1m)0.8%
Revenue NY rev (3m)3.32%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 23.76 | ||
| Fwd PE | 21.05 | ||
| P/S | 1.82 | ||
| P/FCF | 79.61 | ||
| P/OCF | 38.7 | ||
| P/B | 5.59 | ||
| P/tB | 10.05 | ||
| EV/EBITDA | 14.35 |
EPS(TTM)7.85
EY4.21%
EPS(NY)8.86
Fwd EY4.75%
FCF(TTM)2.34
FCFY1.26%
OCF(TTM)4.82
OCFY2.58%
SpS102.42
BVpS33.38
TBVpS18.55
PEG (NY)2.79
PEG (5Y)1.17
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 8.61% | ||
| ROE | 22.36% | ||
| ROCE | 23.97% | ||
| ROIC | 13.64% | ||
| ROICexc | 14.56% | ||
| ROICexgc | 19.84% | ||
| OM | 10.99% | ||
| PM (TTM) | 7.29% | ||
| GM | 30.98% | ||
| FCFM | 2.29% |
ROA(3y)7.66%
ROA(5y)6.96%
ROE(3y)20.2%
ROE(5y)18.49%
ROIC(3y)13.88%
ROIC(5y)12.07%
ROICexc(3y)15.53%
ROICexc(5y)13.83%
ROICexgc(3y)23.95%
ROICexgc(5y)21.04%
ROCE(3y)19.28%
ROCE(5y)16.76%
ROICexcg growth 3Y6.51%
ROICexcg growth 5Y24.79%
ROICexc growth 3Y6.14%
ROICexc growth 5Y22.57%
OM growth 3Y1.5%
OM growth 5Y9.66%
PM growth 3Y-2.64%
PM growth 5Y8.1%
GM growth 3Y0.98%
GM growth 5Y0.39%
F-Score7
Asset Turnover1.18
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.37 | ||
| Debt/FCF | 5.33 | ||
| Debt/EBITDA | 0.96 | ||
| Cap/Depr | 137.18% | ||
| Cap/Sales | 2.42% | ||
| Interest Coverage | 18.32 | ||
| Cash Conversion | 36.89% | ||
| Profit Quality | 31.38% | ||
| Current Ratio | 1.03 | ||
| Quick Ratio | 1.03 | ||
| Altman-Z | 4.35 |
F-Score7
WACC9.1%
ROIC/WACC1.5
Cap/Depr(3y)64.86%
Cap/Depr(5y)69.64%
Cap/Sales(3y)1.15%
Cap/Sales(5y)1.45%
Profit Quality(3y)90.22%
Profit Quality(5y)120.14%
High Growth Momentum
Growth
EPS 1Y (TTM)27.85%
EPS 3Y11.47%
EPS 5Y20.24%
EPS Q2Q%13.27%
EPS Next Y8.52%
EPS Next 2Y8.03%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)8.47%
Revenue growth 3Y6.7%
Revenue growth 5Y8.78%
Sales Q2Q%5.86%
Revenue Next Year6.84%
Revenue Next 2Y5.68%
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y20.83%
EBIT growth 3Y8.3%
EBIT growth 5Y19.28%
EBIT Next Year35.26%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y14.86%
FCF growth 3Y-23.19%
FCF growth 5Y24.34%
OCF growth 1Y94.09%
OCF growth 3Y-13.07%
OCF growth 5Y12.31%