CRA INTERNATIONAL INC (CRAI) Stock Fundamental Analysis
USA - NASDAQ:CRAI - US12618T1051 - Common Stock
197.06 USD
-6.38 (-3.14%)
197.06 USD
0 (0%)
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. While CRAI belongs to the best of the industry regarding profitability, there are some minor concerns on its financial health. CRAI is quite expensive at the moment. 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.
Each year in the past 5 years CRAI has been profitable.
CRAI had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
The Return On Assets of CRAI (9.30%) is better than 79.27% of its industry peers.
Looking at the Return On Equity, with a value of 28.64%, CRAI belongs to the top of the industry, outperforming 81.71% of the companies in the same industry.
CRAI has a Return On Invested Capital of 14.97%. This is amongst the best in the industry. CRAI outperforms 81.71% 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 12.76%.
The last Return On Invested Capital (14.97%) for CRAI is above the 3 year average (13.88%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 9.3% | ||
| ROE | 28.64% | ||
| ROIC | 14.97% |
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
The Profit Margin of CRAI (7.91%) is better than 75.61% of its industry peers.
In the last couple of years the Profit Margin of CRAI has grown nicely.
With a decent Operating Margin value of 11.94%, CRAI is doing good in the industry, outperforming 76.83% of the companies in the same industry.
CRAI's Operating Margin has improved in the last couple of years.
CRAI has a Gross Margin (32.02%) which is comparable to the rest of the industry.
CRAI's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 11.94% | ||
| PM (TTM) | 7.91% | ||
| GM | 32.02% |
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
CRAI has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
The number of shares outstanding for CRAI has been reduced compared to 1 year ago.
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
An Altman-Z score of 4.03 indicates that CRAI is not in any danger for bankruptcy at the moment.
The Altman-Z score of CRAI (4.03) is better than 70.73% of its industry peers.
CRAI has a debt to FCF ratio of 5.68. This is a neutral value as CRAI would need 5.68 years to pay back of all of its debts.
With a Debt to FCF ratio value of 5.68, CRAI perfoms like the industry average, outperforming 48.78% of the companies in the same industry.
CRAI has a Debt/Equity ratio of 0.61. This is a neutral value indicating CRAI is somewhat dependend on debt financing.
CRAI has a Debt to Equity ratio of 0.61. This is comparable to the rest of the industry: CRAI outperforms 42.68% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.61 | ||
| Debt/FCF | 5.68 | ||
| Altman-Z | 4.03 |
ROIC/WACC1.71
WACC8.76%
2.3 Liquidity
CRAI has a Current Ratio of 0.92. This is a bad value and indicates that CRAI is not financially healthy enough and could expect problems in meeting its short term obligations.
CRAI's Current ratio of 0.92 is on the low side compared to the rest of the industry. CRAI is outperformed by 75.61% of its industry peers.
CRAI has a Quick Ratio of 0.92. This is a bad value and indicates that CRAI is not financially healthy enough and could expect problems in meeting its short term obligations.
The Quick ratio of CRAI (0.92) is worse than 75.61% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.92 | ||
| Quick Ratio | 0.92 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 20.61% over the past year.
Measured over the past years, CRAI shows a very strong growth in Earnings Per Share. The EPS has been growing by 20.24% on average per year.
CRAI shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 9.27%.
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)20.61%
EPS 3Y11.47%
EPS 5Y20.24%
EPS Q2Q%2.73%
Revenue 1Y (TTM)9.27%
Revenue growth 3Y6.7%
Revenue growth 5Y8.78%
Sales Q2Q%9%
3.2 Future
The Earnings Per Share is expected to grow by 8.25% on average over the next years. This is quite good.
The Revenue is expected to grow by 6.30% on average over the next years.
EPS Next Y8.23%
EPS Next 2Y8.25%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year8.39%
Revenue Next 2Y6.3%
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
A Price/Earnings ratio of 24.94 indicates a rather expensive valuation of CRAI.
Compared to the rest of the industry, the Price/Earnings ratio of CRAI is on the same level as its industry peers.
CRAI is valuated at similar levels of the S&P average when we compare the Price/Earnings ratio to 27.86, which is the current average of the S&P500 Index.
With a Price/Forward Earnings ratio of 22.16, CRAI is valued on the expensive side.
CRAI's Price/Forward Earnings ratio is in line with the industry average.
When comparing the Price/Forward Earnings ratio of CRAI to the average of the S&P500 Index (23.29), we can say CRAI is valued inline with the index average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 24.94 | ||
| Fwd PE | 22.16 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, CRAI is valued a bit cheaper than 73.17% of the companies in the same industry.
62.20% of the companies in the same industry are cheaper than CRAI, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 61.38 | ||
| EV/EBITDA | 10.9 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates CRAI does not grow enough to justify the current Price/Earnings ratio.
CRAI has an outstanding profitability rating, which may justify a higher PE ratio.
PEG (NY)3.03
PEG (5Y)1.23
EPS Next 2Y8.25%
EPS Next 3YN/A
5. Dividend
5.1 Amount
With a yearly dividend of 0.95%, CRAI is not a good candidate for dividend investing.
CRAI's Dividend Yield is a higher than the industry average which is at 3.16.
With a Dividend Yield of 0.95, CRAI pays less dividend than the S&P500 average, which is at 2.41.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.95% |
5.2 History
On average, the dividend of CRAI grows each year by 24.11%, which is quite nice.
CRAI has paid a dividend for at least 10 years, which is a reliable track record.
CRAI has not decreased its dividend in the past 5 years, so it has a somewhat stable track record.
Dividend Growth(5Y)24.11%
Div Incr Years8
Div Non Decr Years8
5.3 Sustainability
CRAI pays out 23.36% of its income as dividend. This is a sustainable payout ratio.
The dividend of CRAI is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP23.36%
EPS Next 2Y8.25%
EPS Next 3YN/A
197.06
-6.38 (-3.14%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCommercial & Professional Services
GICS IndustryProfessional Services
Earnings (Last)
Earnings (Next)
Inst Owners93.63%
Inst Owner Change0.53%
Ins Owners3.78%
Ins Owner Change-4.63%
Market Cap1.30B
Analysts82.5
Price Target244.29 (23.97%)
Short Float %3.49%
Short Ratio2.65
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.95% |
Yearly Dividend1.8
Dividend Growth(5Y)24.11%
DP23.36%
Div Incr Years8
Div Non Decr Years8
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)5.98%
Min EPS beat(2)0.35%
Max EPS beat(2)11.61%
EPS beat(4)4
Avg EPS beat(4)11.22%
Min EPS beat(4)0.35%
Max EPS beat(4)23.1%
EPS beat(8)7
Avg EPS beat(8)15.81%
EPS beat(12)9
Avg EPS beat(12)11.59%
EPS beat(16)13
Avg EPS beat(16)14.89%
Revenue beat(2)2
Avg Revenue beat(2)1.27%
Min Revenue beat(2)0.94%
Max Revenue beat(2)1.59%
Revenue beat(4)3
Avg Revenue beat(4)1.09%
Min Revenue beat(4)-1.88%
Max Revenue beat(4)3.69%
Revenue beat(8)5
Avg Revenue beat(8)0.72%
Revenue beat(12)6
Avg Revenue beat(12)-0.13%
Revenue beat(16)7
Avg Revenue beat(16)-0.21%
PT rev (1m)0%
PT rev (3m)0.84%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-3.05%
EPS NY rev (1m)0%
EPS NY rev (3m)0.12%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)0.95%
Revenue NY rev (1m)0%
Revenue NY rev (3m)1.43%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 24.94 | ||
| Fwd PE | 22.16 | ||
| P/S | 1.82 | ||
| P/FCF | 61.38 | ||
| P/OCF | 35.17 | ||
| P/B | 6.58 | ||
| P/tB | 13.56 | ||
| EV/EBITDA | 10.9 |
EPS(TTM)7.9
EY4.01%
EPS(NY)8.89
Fwd EY4.51%
FCF(TTM)3.21
FCFY1.63%
OCF(TTM)5.6
OCFY2.84%
SpS108.35
BVpS29.94
TBVpS14.53
PEG (NY)3.03
PEG (5Y)1.23
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 9.3% | ||
| ROE | 28.64% | ||
| ROCE | 29.41% | ||
| ROIC | 14.97% | ||
| ROICexc | 15.72% | ||
| ROICexgc | 21.24% | ||
| OM | 11.94% | ||
| PM (TTM) | 7.91% | ||
| GM | 32.02% | ||
| FCFM | 2.96% |
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-Score6
Asset Turnover1.17
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.61 | ||
| Debt/FCF | 5.68 | ||
| Debt/EBITDA | 0.99 | ||
| Cap/Depr | 43.83% | ||
| Cap/Sales | 2.21% | ||
| Interest Coverage | 19.88 | ||
| Cash Conversion | 30.46% | ||
| Profit Quality | 37.44% | ||
| Current Ratio | 0.92 | ||
| Quick Ratio | 0.92 | ||
| Altman-Z | 4.03 |
F-Score6
WACC8.76%
ROIC/WACC1.71
Cap/Depr(3y)34.29%
Cap/Depr(5y)51.3%
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)20.61%
EPS 3Y11.47%
EPS 5Y20.24%
EPS Q2Q%2.73%
EPS Next Y8.23%
EPS Next 2Y8.25%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)9.27%
Revenue growth 3Y6.7%
Revenue growth 5Y8.78%
Sales Q2Q%9%
Revenue Next Year8.39%
Revenue Next 2Y6.3%
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y44.63%
EBIT growth 3Y8.3%
EBIT growth 5Y19.28%
EBIT Next Year41.77%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y-41.2%
FCF growth 3Y-23.19%
FCF growth 5Y24.34%
OCF growth 1Y-5.35%
OCF growth 3Y-13.07%
OCF growth 5Y12.31%