CRH PLC (CRH) Stock Fundamental Analysis
NYSE:CRH - IE0001827041 - Common Stock
113.33 USD
+2.61 (+2.36%)
113.33 USD
0 (0%)
CRH gets a fundamental rating of 5 out of 10. The analysis compared the fundamentals against 13 industry peers in the Construction Materials industry. CRH has an average financial health and profitability rating. CRH has a correct valuation and a medium growth rate.
1. Profitability
1.1 Basic Checks
In the past year CRH was profitable.
In the past year CRH had a positive cash flow from operations.
CRH had positive earnings in each of the past 5 years.
Each year in the past 5 years CRH had a positive operating cash flow.
1.2 Ratios
CRH has a Return On Assets (6.12%) which is in line with its industry peers.
Looking at the Return On Equity, with a value of 14.79%, CRH is in line with its industry, outperforming 53.85% of the companies in the same industry.
With a decent Return On Invested Capital value of 8.60%, CRH is doing good in the industry, outperforming 61.54% of the companies in the same industry.
CRH had an Average Return On Invested Capital over the past 3 years of 8.86%. This is in line with the industry average of 10.71%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.12% | ||
| ROE | 14.79% | ||
| ROIC | 8.6% |
ROA(3y)7.37%
ROA(5y)6.1%
ROE(3y)16.28%
ROE(5y)13.51%
ROIC(3y)8.86%
ROIC(5y)7.89%
1.3 Margins
CRH's Profit Margin of 9.09% is on the low side compared to the rest of the industry. CRH is outperformed by 76.92% of its industry peers.
CRH's Profit Margin has improved in the last couple of years.
The Operating Margin of CRH (13.97%) is worse than 69.23% of its industry peers.
In the last couple of years the Operating Margin of CRH has grown nicely.
The Gross Margin of CRH (35.99%) is better than 84.62% of its industry peers.
CRH's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 13.97% | ||
| PM (TTM) | 9.09% | ||
| GM | 35.99% |
OM growth 3Y6.97%
OM growth 5Y6.8%
PM growth 3Y2.92%
PM growth 5Y9.98%
GM growth 3Y2%
GM growth 5Y1.6%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so CRH is still creating some value.
CRH has less shares outstanding than it did 1 year ago.
Compared to 5 years ago, CRH has less shares outstanding
Compared to 1 year ago, CRH has a worse debt to assets ratio.
2.2 Solvency
An Altman-Z score of 3.25 indicates that CRH is not in any danger for bankruptcy at the moment.
With a Altman-Z score value of 3.25, CRH perfoms like the industry average, outperforming 53.85% of the companies in the same industry.
The Debt to FCF ratio of CRH is 7.23, which is on the high side as it means it would take CRH, 7.23 years of fcf income to pay off all of its debts.
CRH's Debt to FCF ratio of 7.23 is in line compared to the rest of the industry. CRH outperforms 46.15% of its industry peers.
CRH has a Debt/Equity ratio of 0.66. This is a neutral value indicating CRH is somewhat dependend on debt financing.
CRH's Debt to Equity ratio of 0.66 is on the low side compared to the rest of the industry. CRH is outperformed by 69.23% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.66 | ||
| Debt/FCF | 7.23 | ||
| Altman-Z | 3.25 |
ROIC/WACC1.24
WACC6.94%
2.3 Liquidity
CRH has a Current Ratio of 1.74. This is a normal value and indicates that CRH is financially healthy and should not expect problems in meeting its short term obligations.
CRH's Current ratio of 1.74 is on the low side compared to the rest of the industry. CRH is outperformed by 61.54% of its industry peers.
A Quick Ratio of 1.16 indicates that CRH should not have too much problems paying its short term obligations.
Looking at the Quick ratio, with a value of 1.16, CRH is doing worse than 61.54% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.74 | ||
| Quick Ratio | 1.16 |
3. Growth
3.1 Past
CRH shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 16.06%, which is quite good.
The Earnings Per Share has been growing by 12.30% on average over the past years. This is quite good.
Looking at the last year, CRH shows a small growth in Revenue. The Revenue has grown by 1.78% in the last year.
CRH shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 4.80% yearly.
EPS 1Y (TTM)16.06%
EPS 3Y14.85%
EPS 5Y12.3%
EPS Q2Q%5.95%
Revenue 1Y (TTM)1.78%
Revenue growth 3Y6.79%
Revenue growth 5Y4.8%
Sales Q2Q%5.72%
3.2 Future
The Earnings Per Share is expected to grow by 9.09% on average over the next years. This is quite good.
CRH is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 5.07% yearly.
EPS Next Y20.35%
EPS Next 2Y16.34%
EPS Next 3Y15.31%
EPS Next 5Y9.09%
Revenue Next Year4.82%
Revenue Next 2Y4.93%
Revenue Next 3Y5.5%
Revenue Next 5Y5.07%
3.3 Evolution
The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
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
CRH is valuated rather expensively with a Price/Earnings ratio of 23.51.
The rest of the industry has a similar Price/Earnings ratio as CRH.
Compared to an average S&P500 Price/Earnings ratio of 27.24, CRH is valued at the same level.
With a Price/Forward Earnings ratio of 17.59, CRH is valued on the expensive side.
CRH's Price/Forward Earnings ratio is a bit cheaper when compared to the industry. CRH is cheaper than 69.23% of the companies in the same industry.
CRH's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 35.82.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 23.51 | ||
| Fwd PE | 17.59 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, CRH is valued a bit cheaper than 61.54% of the companies in the same industry.
Based on the Price/Free Cash Flow ratio, CRH is valued a bit cheaper than 69.23% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 36.88 | ||
| EV/EBITDA | 12.98 |
4.3 Compensation for Growth
CRH's PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
The decent profitability rating of CRH may justify a higher PE ratio.
CRH's earnings are expected to grow with 15.31% in the coming years. This may justify a more expensive valuation.
PEG (NY)1.16
PEG (5Y)1.91
EPS Next 2Y16.34%
EPS Next 3Y15.31%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 1.34%, CRH has a reasonable but not impressive dividend return.
Compared to an average industry Dividend Yield of 4.31, CRH pays a better dividend. On top of this CRH pays more dividend than 84.62% of the companies listed in the same industry.
Compared to an average S&P500 Dividend Yield of 2.32, CRH's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.34% |
5.2 History
On average, the dividend of CRH grows each year by 25.12%, which is quite nice.
CRH has paid a dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)25.12%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
CRH pays out 29.51% of its income as dividend. This is a sustainable payout ratio.
The dividend of CRH is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP29.51%
EPS Next 2Y16.34%
EPS Next 3Y15.31%
113.33
+2.61 (+2.36%)
Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryConstruction Materials
Earnings (Last)
Earnings (Next)
Inst Owners87.22%
Inst Owner Change-26.81%
Ins Owners0.15%
Ins Owner Change25.17%
Market Cap80.65B
Analysts83.08
Price Target119.72 (5.64%)
Short Float %1.68%
Short Ratio2.83
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.34% |
Yearly Dividend2.49
Dividend Growth(5Y)25.12%
DP29.51%
Div Incr Years0
Div Non Decr Years0
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-31.96%
Min EPS beat(2)-64.29%
Max EPS beat(2)0.37%
EPS beat(4)1
Avg EPS beat(4)-25.47%
Min EPS beat(4)-64.29%
Max EPS beat(4)0.37%
EPS beat(8)N/A
Avg EPS beat(8)N/A
EPS beat(12)N/A
Avg EPS beat(12)N/A
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)0
Avg Revenue beat(2)-0.65%
Min Revenue beat(2)-0.97%
Max Revenue beat(2)-0.33%
Revenue beat(4)0
Avg Revenue beat(4)-1.31%
Min Revenue beat(4)-2.58%
Max Revenue beat(4)-0.33%
Revenue beat(8)N/A
Avg Revenue beat(8)N/A
Revenue beat(12)N/A
Avg Revenue beat(12)N/A
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)-1.16%
PT rev (3m)-0.18%
EPS NQ rev (1m)-2.75%
EPS NQ rev (3m)-6.71%
EPS NY rev (1m)0%
EPS NY rev (3m)-1.28%
Revenue NQ rev (1m)0.1%
Revenue NQ rev (3m)0.47%
Revenue NY rev (1m)-0.25%
Revenue NY rev (3m)-0.27%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 23.51 | ||
| Fwd PE | 17.59 | ||
| P/S | 2.22 | ||
| P/FCF | 36.88 | ||
| P/OCF | 16.34 | ||
| P/B | 3.61 | ||
| P/tB | 8.55 | ||
| EV/EBITDA | 12.98 |
EPS(TTM)4.82
EY4.25%
EPS(NY)6.44
Fwd EY5.69%
FCF(TTM)3.07
FCFY2.71%
OCF(TTM)6.93
OCFY6.12%
SpS51.07
BVpS31.4
TBVpS13.25
PEG (NY)1.16
PEG (5Y)1.91
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.12% | ||
| ROE | 14.79% | ||
| ROCE | 11.21% | ||
| ROIC | 8.6% | ||
| ROICexc | 9.19% | ||
| ROICexgc | 13.19% | ||
| OM | 13.97% | ||
| PM (TTM) | 9.09% | ||
| GM | 35.99% | ||
| FCFM | 6.02% |
ROA(3y)7.37%
ROA(5y)6.1%
ROE(3y)16.28%
ROE(5y)13.51%
ROIC(3y)8.86%
ROIC(5y)7.89%
ROICexc(3y)10.41%
ROICexc(5y)9.38%
ROICexgc(3y)15.61%
ROICexgc(5y)13.93%
ROCE(3y)11.55%
ROCE(5y)10.28%
ROICexcg growth 3Y9.81%
ROICexcg growth 5Y8.83%
ROICexc growth 3Y8.61%
ROICexc growth 5Y8.01%
OM growth 3Y6.97%
OM growth 5Y6.8%
PM growth 3Y2.92%
PM growth 5Y9.98%
GM growth 3Y2%
GM growth 5Y1.6%
F-Score6
Asset Turnover0.67
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.66 | ||
| Debt/FCF | 7.23 | ||
| Debt/EBITDA | 2.09 | ||
| Cap/Depr | 138.65% | ||
| Cap/Sales | 7.56% | ||
| Interest Coverage | 8.01 | ||
| Cash Conversion | 69.92% | ||
| Profit Quality | 66.19% | ||
| Current Ratio | 1.74 | ||
| Quick Ratio | 1.16 | ||
| Altman-Z | 3.25 |
F-Score6
WACC6.94%
ROIC/WACC1.24
Cap/Depr(3y)117.73%
Cap/Depr(5y)100.01%
Cap/Sales(3y)5.73%
Cap/Sales(5y)5.23%
Profit Quality(3y)75.96%
Profit Quality(5y)118.22%
High Growth Momentum
Growth
EPS 1Y (TTM)16.06%
EPS 3Y14.85%
EPS 5Y12.3%
EPS Q2Q%5.95%
EPS Next Y20.35%
EPS Next 2Y16.34%
EPS Next 3Y15.31%
EPS Next 5Y9.09%
Revenue 1Y (TTM)1.78%
Revenue growth 3Y6.79%
Revenue growth 5Y4.8%
Sales Q2Q%5.72%
Revenue Next Year4.82%
Revenue Next 2Y4.93%
Revenue Next 3Y5.5%
Revenue Next 5Y5.07%
EBIT growth 1Y9.69%
EBIT growth 3Y14.23%
EBIT growth 5Y11.93%
EBIT Next Year45.51%
EBIT Next 3Y19.01%
EBIT Next 5Y12.34%
FCF growth 1Y-10.66%
FCF growth 3Y-3.17%
FCF growth 5Y-0.78%
OCF growth 1Y18.15%
OCF growth 3Y5.82%
OCF growth 5Y5.15%