CRAWFORD & COMPANY -CL A (CRD.A) Stock Fundamental Analysis
NYSE:CRD.A - New York Stock Exchange, Inc. - US2246332066 - Common Stock - Currency: USD
Taking everything into account, CRD.A scores 5 out of 10 in our fundamental rating. CRD.A was compared to 143 industry peers in the Insurance industry. CRD.A has an average financial health and profitability rating. CRD.A is not valued too expensively and it also shows a decent growth rate.
1. Profitability
1.1 Basic Checks
In the past year CRD.A was profitable.
In the past year CRD.A had a positive cash flow from operations.
CRD.A had positive earnings in 4 of the past 5 years.
Each year in the past 5 years CRD.A had a positive operating cash flow.
1.2 Ratios
CRD.A has a Return On Assets of 3.31%. This is in the better half of the industry: CRD.A outperforms 72.03% of its industry peers.
Looking at the Return On Equity, with a value of 16.92%, CRD.A is in the better half of the industry, outperforming 74.13% of the companies in the same industry.
CRD.A has a better Return On Invested Capital (7.39%) than 88.81% of its industry peers.
CRD.A had an Average Return On Invested Capital over the past 3 years of 7.40%. This is above the industry average of 4.47%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.31% | ||
| ROE | 16.92% | ||
| ROIC | 7.39% |
ROA(3y)1.61%
ROA(5y)2.44%
ROE(3y)7.94%
ROE(5y)10.69%
ROIC(3y)7.4%
ROIC(5y)7.11%
1.3 Margins
Looking at the Profit Margin, with a value of 1.98%, CRD.A is doing worse than 79.72% of the companies in the same industry.
CRD.A's Profit Margin has improved in the last couple of years.
The Operating Margin of CRD.A (4.32%) is worse than 79.72% of its industry peers.
In the last couple of years the Operating Margin of CRD.A has declined.
The Gross Margin of CRD.A (27.41%) is better than 88.81% of its industry peers.
In the last couple of years the Gross Margin of CRD.A has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 4.32% | ||
| PM (TTM) | 1.98% | ||
| GM | 27.41% |
OM growth 3Y-0.78%
OM growth 5Y-6.8%
PM growth 3Y-9.71%
PM growth 5Y10.7%
GM growth 3Y2.28%
GM growth 5Y-0.53%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so CRD.A is destroying value.
Compared to 1 year ago, CRD.A has more shares outstanding
The number of shares outstanding for CRD.A has been reduced compared to 5 years ago.
Compared to 1 year ago, CRD.A has a worse debt to assets ratio.
2.2 Solvency
An Altman-Z score of 2.94 indicates that CRD.A is not a great score, but indicates only limited risk for bankruptcy at the moment.
CRD.A has a Altman-Z score of 2.94. This is amongst the best in the industry. CRD.A outperforms 94.41% of its industry peers.
CRD.A has a debt to FCF ratio of 21.88. This is a negative value and a sign of low solvency as CRD.A would need 21.88 years to pay back of all of its debts.
Looking at the Debt to FCF ratio, with a value of 21.88, CRD.A is doing worse than 74.83% of the companies in the same industry.
CRD.A has a Debt/Equity ratio of 1.27. This is a high value indicating a heavy dependency on external financing.
CRD.A's Debt to Equity ratio of 1.27 is on the low side compared to the rest of the industry. CRD.A is outperformed by 88.81% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.27 | ||
| Debt/FCF | 21.88 | ||
| Altman-Z | 2.94 |
ROIC/WACC0.91
WACC8.09%
2.3 Liquidity
CRD.A has a Current Ratio of 1.25. This is a normal value and indicates that CRD.A is financially healthy and should not expect problems in meeting its short term obligations.
Looking at the Current ratio, with a value of 1.25, CRD.A belongs to the top of the industry, outperforming 83.22% of the companies in the same industry.
CRD.A has a Quick Ratio of 1.25. This is a normal value and indicates that CRD.A is financially healthy and should not expect problems in meeting its short term obligations.
With an excellent Quick ratio value of 1.25, CRD.A belongs to the best of the industry, outperforming 83.22% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.25 | ||
| Quick Ratio | 1.25 |
3. Growth
3.1 Past
CRD.A shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -15.05%.
The Earnings Per Share has been growing slightly by 4.30% on average over the past years.
Looking at the last year, CRD.A shows a small growth in Revenue. The Revenue has grown by 1.83% in the last year.
CRD.A shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 5.06% yearly.
EPS 1Y (TTM)-15.05%
EPS 3Y2.67%
EPS 5Y4.3%
EPS Q2Q%216.67%
Revenue 1Y (TTM)1.83%
Revenue growth 3Y5.59%
Revenue growth 5Y5.06%
Sales Q2Q%17.28%
3.2 Future
Based on estimates for the next years, CRD.A will show a quite strong growth in Earnings Per Share. The EPS will grow by 19.21% on average per year.
Based on estimates for the next years, CRD.A will show a small growth in Revenue. The Revenue will grow by 4.95% on average per year.
EPS Next Y26.47%
EPS Next 2Y19.21%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year4.18%
Revenue Next 2Y4.95%
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 accelerating.
The Revenue growth rate is stable: in the next years the growth will be about the same than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
CRD.A is valuated correctly with a Price/Earnings ratio of 14.11.
The rest of the industry has a similar Price/Earnings ratio as CRD.A.
When comparing the Price/Earnings ratio of CRD.A to the average of the S&P500 Index (28.22), we can say CRD.A is valued slightly cheaper.
CRD.A is valuated reasonably with a Price/Forward Earnings ratio of 11.16.
CRD.A's Price/Forward Earnings is on the same level as the industry average.
The average S&P500 Price/Forward Earnings ratio is at 20.86. CRD.A is valued slightly cheaper when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 14.11 | ||
| Fwd PE | 11.16 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, CRD.A is valued a bit cheaper than 64.34% of the companies in the same industry.
Based on the Price/Free Cash Flow ratio, CRD.A is valued a bit more expensive than 74.13% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 55.19 | ||
| EV/EBITDA | 7.5 |
4.3 Compensation for Growth
CRD.A's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
CRD.A has a very decent profitability rating, which may justify a higher PE ratio.
A more expensive valuation may be justified as CRD.A's earnings are expected to grow with 19.21% in the coming years.
PEG (NY)0.53
PEG (5Y)3.28
EPS Next 2Y19.21%
EPS Next 3YN/A
5. Dividend
5.1 Amount
CRD.A has a Yearly Dividend Yield of 2.67%.
CRD.A's Dividend Yield is a higher than the industry average which is at 3.27.
Compared to an average S&P500 Dividend Yield of 2.44, CRD.A has a dividend comparable with the average S&P500 company.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.67% |
5.2 History
The dividend of CRD.A has a limited annual growth rate of 2.90%.
CRD.A has been paying a dividend for at least 10 years, so it has a reliable track record.
CRD.A has not decreased its dividend in the last 3 years.
Dividend Growth(5Y)2.9%
Div Incr Years2
Div Non Decr Years4
5.3 Sustainability
51.72% of the earnings are spent on dividend by CRD.A. This is a bit on the high side, but may be sustainable.
CRD.A's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP51.72%
EPS Next 2Y19.21%
EPS Next 3YN/A
11.15
+0.13 (+1.18%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupInsurance
GICS IndustryInsurance
Earnings (Last)
Earnings (Next)
Inst Owners26.59%
Inst Owner Change0.03%
Ins Owners68.09%
Ins Owner ChangeN/A
Market Cap550.36M
Analysts87.27
Price Target14.64 (31.3%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.67% |
Yearly Dividend0.28
Dividend Growth(5Y)2.9%
DP51.72%
Div Incr Years2
Div Non Decr Years4
Ex-Date
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-12.78%
Min EPS beat(2)-19.8%
Max EPS beat(2)-5.77%
EPS beat(4)1
Avg EPS beat(4)-6.71%
Min EPS beat(4)-25.76%
Max EPS beat(4)24.47%
EPS beat(8)4
Avg EPS beat(8)-0.97%
EPS beat(12)5
Avg EPS beat(12)-3.4%
EPS beat(16)7
Avg EPS beat(16)-1.31%
Revenue beat(2)1
Avg Revenue beat(2)-1.31%
Min Revenue beat(2)-4.4%
Max Revenue beat(2)1.78%
Revenue beat(4)1
Avg Revenue beat(4)-3.5%
Min Revenue beat(4)-10.09%
Max Revenue beat(4)1.78%
Revenue beat(8)1
Avg Revenue beat(8)-3.71%
Revenue beat(12)2
Avg Revenue beat(12)-2.66%
Revenue beat(16)6
Avg Revenue beat(16)-0.78%
PT rev (1m)9.9%
PT rev (3m)7.03%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-11.11%
EPS NY rev (1m)0%
EPS NY rev (3m)-7.03%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-2.86%
Revenue NY rev (1m)-0.71%
Revenue NY rev (3m)-0.71%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 14.11 | ||
| Fwd PE | 11.16 | ||
| P/S | 0.41 | ||
| P/FCF | 55.19 | ||
| P/OCF | 10.66 | ||
| P/B | 3.5 | ||
| P/tB | N/A | ||
| EV/EBITDA | 7.5 |
EPS(TTM)0.79
EY7.09%
EPS(NY)1
Fwd EY8.96%
FCF(TTM)0.2
FCFY1.81%
OCF(TTM)1.05
OCFY9.38%
SpS27.17
BVpS3.18
TBVpS-2.14
PEG (NY)0.53
PEG (5Y)3.28
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.31% | ||
| ROE | 16.92% | ||
| ROCE | 11.5% | ||
| ROIC | 7.39% | ||
| ROICexc | 8.3% | ||
| ROICexgc | 20.03% | ||
| OM | 4.32% | ||
| PM (TTM) | 1.98% | ||
| GM | 27.41% | ||
| FCFM | 0.74% |
ROA(3y)1.61%
ROA(5y)2.44%
ROE(3y)7.94%
ROE(5y)10.69%
ROIC(3y)7.4%
ROIC(5y)7.11%
ROICexc(3y)8.28%
ROICexc(5y)7.91%
ROICexgc(3y)19.19%
ROICexgc(5y)17.62%
ROCE(3y)11.52%
ROCE(5y)11.07%
ROICexcg growth 3Y8.36%
ROICexcg growth 5Y3.89%
ROICexc growth 3Y8.29%
ROICexc growth 5Y-1.08%
OM growth 3Y-0.78%
OM growth 5Y-6.8%
PM growth 3Y-9.71%
PM growth 5Y10.7%
GM growth 3Y2.28%
GM growth 5Y-0.53%
F-Score7
Asset Turnover1.67
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.27 | ||
| Debt/FCF | 21.88 | ||
| Debt/EBITDA | 2.13 | ||
| Cap/Depr | 115.06% | ||
| Cap/Sales | 3.11% | ||
| Interest Coverage | 3 | ||
| Cash Conversion | 54.82% | ||
| Profit Quality | 37.49% | ||
| Current Ratio | 1.25 | ||
| Quick Ratio | 1.25 | ||
| Altman-Z | 2.94 |
F-Score7
WACC8.09%
ROIC/WACC0.91
Cap/Depr(3y)104.43%
Cap/Depr(5y)96.71%
Cap/Sales(3y)2.9%
Cap/Sales(5y)3.02%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-15.05%
EPS 3Y2.67%
EPS 5Y4.3%
EPS Q2Q%216.67%
EPS Next Y26.47%
EPS Next 2Y19.21%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)1.83%
Revenue growth 3Y5.59%
Revenue growth 5Y5.06%
Sales Q2Q%17.28%
Revenue Next Year4.18%
Revenue Next 2Y4.95%
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y-9.97%
EBIT growth 3Y4.76%
EBIT growth 5Y-2.08%
EBIT Next Year67.39%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y-85.16%
FCF growth 3Y-24.71%
FCF growth 5Y-28.7%
OCF growth 1Y-50.27%
OCF growth 3Y-1.69%
OCF growth 5Y-7.25%