AMERICA'S CAR-MART INC (CRMT) Stock Fundamental Analysis
NASDAQ:CRMT - Nasdaq - US03062T1051 - Common Stock - Currency: USD
CRMT gets a fundamental rating of 3 out of 10. The analysis compared the fundamentals against 121 industry peers in the Specialty Retail industry. Both the profitability and financial health of CRMT have multiple concerns. CRMT is quite expensive at the moment. It does show a decent growth rate.
1. Profitability
1.1 Basic Checks
CRMT had positive earnings in the past year.
In the past year CRMT has reported a negative cash flow from operations.
Of the past 5 years CRMT 4 years were profitable.
CRMT had negative operating cash flow in 4 of the past 5 years.
1.2 Ratios
The Return On Assets of CRMT (0.48%) is comparable to the rest of the industry.
The Return On Equity of CRMT (1.38%) is comparable to the rest of the industry.
CRMT's Return On Invested Capital of 4.39% is in line compared to the rest of the industry. CRMT outperforms 53.72% of its industry peers.
CRMT had an Average Return On Invested Capital over the past 3 years of 5.16%. This is significantly below the industry average of 13.08%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.48% | ||
| ROE | 1.38% | ||
| ROIC | 4.39% |
ROA(3y)2.51%
ROA(5y)5.59%
ROE(3y)5.78%
ROE(5y)12.01%
ROIC(3y)5.16%
ROIC(5y)8.23%
1.3 Margins
With a Profit Margin value of 0.55%, CRMT perfoms like the industry average, outperforming 50.41% of the companies in the same industry.
The Operating Margin of CRMT (5.93%) is better than 71.07% of its industry peers.
In the last couple of years the Operating Margin of CRMT has declined.
CRMT's Gross Margin of 47.52% is fine compared to the rest of the industry. CRMT outperforms 73.55% of its industry peers.
CRMT's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 5.93% | ||
| PM (TTM) | 0.55% | ||
| GM | 47.52% |
OM growth 3Y-50.98%
OM growth 5Y-28.87%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-1.24%
GM growth 5Y-1.28%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), CRMT is destroying value.
The number of shares outstanding for CRMT remains at a similar level compared to 1 year ago.
CRMT has less shares outstanding than it did 5 years ago.
The debt/assets ratio for CRMT is higher compared to a year ago.
2.2 Solvency
An Altman-Z score of 1.89 indicates that CRMT is not a great score, but indicates only limited risk for bankruptcy at the moment.
CRMT has a Altman-Z score (1.89) which is in line with its industry peers.
CRMT has a Debt/Equity ratio of 1.43. This is a high value indicating a heavy dependency on external financing.
The Debt to Equity ratio of CRMT (1.43) is worse than 63.64% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.43 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 1.89 |
ROIC/WACC0.42
WACC10.5%
2.3 Liquidity
CRMT has a Current Ratio of 1.56. This is a normal value and indicates that CRMT is financially healthy and should not expect problems in meeting its short term obligations.
CRMT's Current ratio of 1.56 is fine compared to the rest of the industry. CRMT outperforms 63.64% of its industry peers.
CRMT has a Quick Ratio of 1.56. This is a bad value and indicates that CRMT is not financially healthy enough and could expect problems in meeting its short term obligations.
CRMT has a Quick ratio of 0.42. This is in the lower half of the industry: CRMT underperforms 61.16% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.56 | ||
| Quick Ratio | 0.42 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 100.85% over the past year.
Looking at the last year, CRMT shows a decrease in Revenue. The Revenue has decreased by -2.26% in the last year.
The Revenue has been growing by 15.81% on average over the past years. This is quite good.
EPS 1Y (TTM)100.85%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%127.61%
Revenue 1Y (TTM)-2.26%
Revenue growth 3Y15.29%
Revenue growth 5Y15.81%
Sales Q2Q%8.72%
3.2 Future
The Earnings Per Share is expected to grow by 47.57% on average over the next years. This is a very strong growth
CRMT is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 4.67% yearly.
EPS Next Y131.73%
EPS Next 2Y66.49%
EPS Next 3Y47.57%
EPS Next 5YN/A
Revenue Next Year-2.17%
Revenue Next 2Y1.54%
Revenue Next 3Y4.67%
Revenue Next 5YN/A
3.3 Evolution
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
Based on the Price/Earnings ratio of 1205.00, the valuation of CRMT can be described as expensive.
Compared to the rest of the industry, the Price/Earnings ratio of CRMT indicates a slightly more expensive valuation: CRMT is more expensive than 61.98% of the companies listed in the same industry.
When comparing the Price/Earnings ratio of CRMT to the average of the S&P500 Index (28.22), we can say CRMT is valued expensively.
A Price/Forward Earnings ratio of 12.61 indicates a correct valuation of CRMT.
CRMT's Price/Forward Earnings ratio is a bit cheaper when compared to the industry. CRMT is cheaper than 70.25% of the companies in the same industry.
Compared to an average S&P500 Price/Forward Earnings ratio of 20.86, CRMT is valued a bit cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 1205 | ||
| Fwd PE | 12.61 |
4.2 Price Multiples
CRMT's Enterprise Value to EBITDA is on the same level as the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 13.19 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
A more expensive valuation may be justified as CRMT's earnings are expected to grow with 47.57% in the coming years.
PEG (NY)9.15
PEG (5Y)N/A
EPS Next 2Y66.49%
EPS Next 3Y47.57%
5. Dividend
5.1 Amount
CRMT does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
48.2
+0.36 (+0.75%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Discretionary Distribution & Retail
GICS IndustrySpecialty Retail
Earnings (Last)
Earnings (Next)
Inst Owners87.84%
Inst Owner Change0.23%
Ins Owners10.49%
Ins Owner Change0%
Market Cap398.13M
Analysts52
Price Target51.77 (7.41%)
Short Float %14.31%
Short Ratio10.43
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly Dividend0.01
Dividend Growth(5Y)1.32%
DP0.52%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)44.84%
Min EPS beat(2)-140.1%
Max EPS beat(2)229.77%
EPS beat(4)1
Avg EPS beat(4)-31.47%
Min EPS beat(4)-140.1%
Max EPS beat(4)229.77%
EPS beat(8)1
Avg EPS beat(8)-121.19%
EPS beat(12)2
Avg EPS beat(12)-92.73%
EPS beat(16)5
Avg EPS beat(16)-62.37%
Revenue beat(2)2
Avg Revenue beat(2)4.39%
Min Revenue beat(2)0.63%
Max Revenue beat(2)8.15%
Revenue beat(4)3
Avg Revenue beat(4)2.08%
Min Revenue beat(4)-1.09%
Max Revenue beat(4)8.15%
Revenue beat(8)5
Avg Revenue beat(8)-0.02%
Revenue beat(12)8
Avg Revenue beat(12)1.72%
Revenue beat(16)12
Avg Revenue beat(16)3.84%
PT rev (1m)-2.4%
PT rev (3m)0.5%
EPS NQ rev (1m)-0.6%
EPS NQ rev (3m)38.96%
EPS NY rev (1m)23.2%
EPS NY rev (3m)23.2%
Revenue NQ rev (1m)0.67%
Revenue NQ rev (3m)2.11%
Revenue NY rev (1m)1.2%
Revenue NY rev (3m)-2.24%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 1205 | ||
| Fwd PE | 12.61 | ||
| P/S | 0.29 | ||
| P/FCF | N/A | ||
| P/OCF | N/A | ||
| P/B | 0.71 | ||
| P/tB | 0.74 | ||
| EV/EBITDA | 13.19 |
EPS(TTM)0.04
EY0.08%
EPS(NY)3.82
Fwd EY7.93%
FCF(TTM)-10.06
FCFYN/A
OCF(TTM)-9.53
OCFYN/A
SpS167.73
BVpS67.58
TBVpS64.82
PEG (NY)9.15
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.48% | ||
| ROE | 1.38% | ||
| ROCE | 5.55% | ||
| ROIC | 4.39% | ||
| ROICexc | 4.41% | ||
| ROICexgc | 4.48% | ||
| OM | 5.93% | ||
| PM (TTM) | 0.55% | ||
| GM | 47.52% | ||
| FCFM | N/A |
ROA(3y)2.51%
ROA(5y)5.59%
ROE(3y)5.78%
ROE(5y)12.01%
ROIC(3y)5.16%
ROIC(5y)8.23%
ROICexc(3y)5.19%
ROICexc(5y)8.49%
ROICexgc(3y)5.24%
ROICexgc(5y)8.58%
ROCE(3y)6.52%
ROCE(5y)10.42%
ROICexcg growth 3Y-54.52%
ROICexcg growth 5Y-33.5%
ROICexc growth 3Y-54.52%
ROICexc growth 5Y-33.63%
OM growth 3Y-50.98%
OM growth 5Y-28.87%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-1.24%
GM growth 5Y-1.28%
F-Score5
Asset Turnover0.86
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.43 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 8.89 | ||
| Cap/Depr | 58.51% | ||
| Cap/Sales | 0.32% | ||
| Interest Coverage | 1.06 | ||
| Cash Conversion | N/A | ||
| Profit Quality | N/A | ||
| Current Ratio | 1.56 | ||
| Quick Ratio | 0.42 | ||
| Altman-Z | 1.89 |
F-Score5
WACC10.5%
ROIC/WACC0.42
Cap/Depr(3y)292.11%
Cap/Depr(5y)251.61%
Cap/Sales(3y)1.11%
Cap/Sales(5y)1.01%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)100.85%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%127.61%
EPS Next Y131.73%
EPS Next 2Y66.49%
EPS Next 3Y47.57%
EPS Next 5YN/A
Revenue 1Y (TTM)-2.26%
Revenue growth 3Y15.29%
Revenue growth 5Y15.81%
Sales Q2Q%8.72%
Revenue Next Year-2.17%
Revenue Next 2Y1.54%
Revenue Next 3Y4.67%
Revenue Next 5YN/A
EBIT growth 1Y267.14%
EBIT growth 3Y-43.48%
EBIT growth 5Y-17.62%
EBIT Next Year349.63%
EBIT Next 3Y79.54%
EBIT Next 5YN/A
FCF growth 1Y49.3%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y43.72%
OCF growth 3YN/A
OCF growth 5YN/A