CRA INTERNATIONAL INC (CRAI) Stock Fundamental Analysis
USA - NASDAQ:CRAI - US12618T1051 - Common Stock
189.94 USD
+1.65 (+0.88%)
192.5 USD
+2.56 (+1.35%)
Overall CRAI gets a fundamental rating of 6 out of 10. We evaluated CRAI against 87 industry peers in the Professional Services industry. While CRAI has a great profitability rating, 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
In the past year CRAI was profitable.
CRAI had a positive operating cash flow in the past year.
CRAI had positive earnings in each of the past 5 years.
Each year in the past 5 years CRAI had a positive operating cash flow.
1.2 Ratios
CRAI has a Return On Assets of 9.30%. This is amongst the best in the industry. CRAI outperforms 80.46% of its industry peers.
CRAI's Return On Equity of 28.64% is amongst the best of the industry. CRAI outperforms 81.61% of its industry peers.
With an excellent Return On Invested Capital value of 14.97%, CRAI belongs to the best of the industry, outperforming 81.61% of the companies in the same industry.
The Average Return On Invested Capital over the past 3 years for CRAI is in line with the industry average of 13.25%.
The 3 year average ROIC (13.88%) for CRAI is below the current ROIC(14.97%), indicating increased profibility in the last year.
| 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
Looking at the Profit Margin, with a value of 7.91%, CRAI is in the better half of the industry, outperforming 77.01% of the companies in the same industry.
CRAI's Profit Margin has improved in the last couple of years.
CRAI has a better Operating Margin (11.94%) than 77.01% of its industry peers.
In the last couple of years the Operating Margin of CRAI has grown nicely.
CRAI has a Gross Margin (32.02%) which is in line with its industry peers.
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
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), CRAI is creating some value.
CRAI has less shares outstanding than it did 1 year ago.
The number of shares outstanding for CRAI has been reduced compared to 5 years ago.
CRAI has no outstanding debt. Therefor its Debt/Equity and Debt/FCF ratios are 0 and belong to the best of the industry.
2.2 Solvency
An Altman-Z score of 3.88 indicates that CRAI is not in any danger for bankruptcy at the moment.
CRAI has a Altman-Z score of 3.88. This is in the better half of the industry: CRAI outperforms 73.56% 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.
CRAI has a Debt to FCF ratio of 5.68. This is comparable to the rest of the industry: CRAI outperforms 50.57% of its industry peers.
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 (0.61) which is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.61 | ||
| Debt/FCF | 5.68 | ||
| Altman-Z | 3.88 |
ROIC/WACC1.71
WACC8.74%
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 74.71% of its industry peers.
A Quick Ratio of 0.92 indicates that CRAI may have some problems paying its short term obligations.
CRAI has a worse Quick ratio (0.92) than 74.71% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.92 | ||
| Quick Ratio | 0.92 |
3. Growth
3.1 Past
CRAI shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 13.91%, which is quite good.
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 10.17%.
CRAI shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 8.78% yearly.
EPS 1Y (TTM)13.91%
EPS 3Y11.47%
EPS 5Y20.24%
EPS Q2Q%16.38%
Revenue 1Y (TTM)10.17%
Revenue growth 3Y6.7%
Revenue growth 5Y8.78%
Sales Q2Q%10.82%
3.2 Future
The Earnings Per Share is expected to grow by 10.06% on average over the next years. This is quite good.
CRAI is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 5.43% yearly.
EPS Next Y9.88%
EPS Next 2Y8.87%
EPS Next 3Y10.06%
EPS Next 5YN/A
Revenue Next Year9.63%
Revenue Next 2Y6.51%
Revenue Next 3Y5.43%
Revenue Next 5YN/A
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.
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 23.19, which indicates a rather expensive current 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's Price/Earnings ratio indicates a similar valuation than the S&P500 average which is at 26.13.
CRAI is valuated rather expensively with a Price/Forward Earnings ratio of 21.11.
The rest of the industry has a similar Price/Forward Earnings ratio as CRAI.
When comparing the Price/Forward Earnings ratio of CRAI to the average of the S&P500 Index (22.35), we can say CRAI is valued inline with the index average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 23.19 | ||
| Fwd PE | 21.11 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, CRAI is valued a bit cheaper than the industry average as 70.11% of the companies are valued more expensively.
The rest of the industry has a similar Price/Free Cash Flow ratio as CRAI.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 59.16 | ||
| EV/EBITDA | 12.43 |
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.
The excellent profitability rating of CRAI may justify a higher PE ratio.
PEG (NY)2.35
PEG (5Y)1.15
EPS Next 2Y8.87%
EPS Next 3Y10.06%
5. Dividend
5.1 Amount
CRAI has a Yearly Dividend Yield of 1.19%.
Compared to an average industry Dividend Yield of 4.44, CRAI pays a bit more dividend than its industry peers.
Compared to an average S&P500 Dividend Yield of 2.39, CRAI's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.19% |
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.
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
23.36% of the earnings are spent on dividend by CRAI. This is a low number and sustainable payout ratio.
CRAI's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP23.36%
EPS Next 2Y8.87%
EPS Next 3Y10.06%
189.94
+1.65 (+0.88%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCommercial & Professional Services
GICS IndustryProfessional Services
Earnings (Last)
Earnings (Next)
Inst Owners93.63%
Inst Owner Change-4.55%
Ins Owners3.78%
Ins Owner Change-5.14%
Market Cap1.25B
Revenue(TTM)687.41M
Net Income(TTM)56.42M
Analysts82.5
Price Target248.88 (31.03%)
Short Float %2.81%
Short Ratio1.86
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.19% |
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)1.88%
PT rev (3m)2.74%
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 | 23.19 | ||
| Fwd PE | 21.11 | ||
| P/S | 1.75 | ||
| P/FCF | 59.16 | ||
| P/OCF | 33.9 | ||
| P/B | 6.34 | ||
| P/tB | 13.07 | ||
| EV/EBITDA | 12.43 |
EPS(TTM)8.19
EY4.31%
EPS(NY)9
Fwd EY4.74%
FCF(TTM)3.21
FCFY1.69%
OCF(TTM)5.6
OCFY2.95%
SpS108.35
BVpS29.94
TBVpS14.53
PEG (NY)2.35
PEG (5Y)1.15
Graham Number74.28
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%
ROICexgc growth 3Y6.51%
ROICexgc 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 | 1.22 | ||
| Cap/Depr | 120.94% | ||
| Cap/Sales | 2.21% | ||
| Interest Coverage | 19.88 | ||
| Cash Conversion | 37.57% | ||
| Profit Quality | 37.44% | ||
| Current Ratio | 0.92 | ||
| Quick Ratio | 0.92 | ||
| Altman-Z | 3.88 |
F-Score6
WACC8.74%
ROIC/WACC1.71
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)13.91%
EPS 3Y11.47%
EPS 5Y20.24%
EPS Q2Q%16.38%
EPS Next Y9.88%
EPS Next 2Y8.87%
EPS Next 3Y10.06%
EPS Next 5YN/A
Revenue 1Y (TTM)10.17%
Revenue growth 3Y6.7%
Revenue growth 5Y8.78%
Sales Q2Q%10.82%
Revenue Next Year9.63%
Revenue Next 2Y6.51%
Revenue Next 3Y5.43%
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%
CRA INTERNATIONAL INC / CRAI FAQ
What is the fundamental rating for CRAI stock?
ChartMill assigns a fundamental rating of 6 / 10 to CRAI.
What is the valuation status of CRA INTERNATIONAL INC (CRAI) stock?
ChartMill assigns a valuation rating of 3 / 10 to CRA INTERNATIONAL INC (CRAI). This can be considered as Overvalued.
How profitable is CRA INTERNATIONAL INC (CRAI) stock?
CRA INTERNATIONAL INC (CRAI) has a profitability rating of 8 / 10.
Can you provide the financial health for CRAI stock?
The financial health rating of CRA INTERNATIONAL INC (CRAI) is 4 / 10.
Is the dividend of CRA INTERNATIONAL INC sustainable?
The dividend rating of CRA INTERNATIONAL INC (CRAI) is 5 / 10 and the dividend payout ratio is 23.36%.