COSAN SA -ADR (CSAN) Stock Fundamental Analysis
NYSE:CSAN - US22113B1035 - ADR
5.31 USD
+0.12 (+2.31%)
5.31 USD
0 (0%)
We assign a fundamental rating of 4 out of 10 to CSAN. CSAN was compared to 210 industry peers in the Oil, Gas & Consumable Fuels industry. CSAN may be in some trouble as it scores bad on both profitability and health. CSAN is not valued too expensively and it also shows a decent growth rate.
1. Profitability
1.1 Basic Checks
CSAN had negative earnings in the past year.
CSAN had a positive operating cash flow in the past year.
CSAN had positive earnings in 4 of the past 5 years.
In the past 5 years CSAN always reported a positive cash flow from operatings.
1.2 Ratios
CSAN has a Return On Assets of -8.64%. This is amonst the worse of the industry: CSAN underperforms 81.90% of its industry peers.
Looking at the Return On Equity, with a value of -139.63%, CSAN is doing worse than 90.00% of the companies in the same industry.
With a Return On Invested Capital value of 4.54%, CSAN is not doing good in the industry: 60.00% of the companies in the same industry are doing better.
Measured over the past 3 years, the Average Return On Invested Capital for CSAN is significantly below the industry average of 21.91%.
The last Return On Invested Capital (4.54%) for CSAN is above the 3 year average (4.36%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -8.64% | ||
| ROE | -139.63% | ||
| ROIC | 4.54% |
ROA(3y)-1.67%
ROA(5y)0.73%
ROE(3y)-25.17%
ROE(5y)-5.22%
ROIC(3y)4.36%
ROIC(5y)4.21%
1.3 Margins
The Operating Margin of CSAN (15.03%) is comparable to the rest of the industry.
In the last couple of years the Operating Margin of CSAN has declined.
With a Gross Margin value of 31.23%, CSAN perfoms like the industry average, outperforming 41.90% of the companies in the same industry.
In the last couple of years the Gross Margin of CSAN has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 15.03% | ||
| PM (TTM) | N/A | ||
| GM | 31.23% |
OM growth 3Y3.25%
OM growth 5Y-3.69%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y10.35%
GM growth 5Y1.27%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so CSAN is destroying value.
CSAN has less shares outstanding than it did 1 year ago.
The number of shares outstanding for CSAN has been increased compared to 5 years ago.
CSAN has a worse debt/assets ratio than last year.
2.2 Solvency
CSAN has an Altman-Z score of 0.71. This is a bad value and indicates that CSAN is not financially healthy and even has some risk of bankruptcy.
With a Altman-Z score value of 0.71, CSAN perfoms like the industry average, outperforming 40.95% of the companies in the same industry.
CSAN has a debt to FCF ratio of 15.71. This is a negative value and a sign of low solvency as CSAN would need 15.71 years to pay back of all of its debts.
CSAN has a Debt to FCF ratio (15.71) which is comparable to the rest of the industry.
A Debt/Equity ratio of 8.04 is on the high side and indicates that CSAN has dependencies on debt financing.
CSAN has a worse Debt to Equity ratio (8.04) than 90.48% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 8.04 | ||
| Debt/FCF | 15.71 | ||
| Altman-Z | 0.71 |
ROIC/WACC0.68
WACC6.72%
2.3 Liquidity
CSAN has a Current Ratio of 2.13. This indicates that CSAN is financially healthy and has no problem in meeting its short term obligations.
CSAN has a better Current ratio (2.13) than 76.67% of its industry peers.
CSAN has a Quick Ratio of 1.98. This is a normal value and indicates that CSAN is financially healthy and should not expect problems in meeting its short term obligations.
CSAN's Quick ratio of 1.98 is fine compared to the rest of the industry. CSAN outperforms 78.10% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.13 | ||
| Quick Ratio | 1.98 |
3. Growth
3.1 Past
CSAN shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -1006.61%.
Looking at the last year, CSAN shows a small growth in Revenue. The Revenue has grown by 7.91% in the last year.
The Revenue has been growing by 26.51% on average over the past years. This is a very strong growth!
EPS 1Y (TTM)-1006.61%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%-325%
Revenue 1Y (TTM)7.91%
Revenue growth 3Y20.84%
Revenue growth 5Y26.51%
Sales Q2Q%-2.02%
3.2 Future
The Earnings Per Share is expected to grow by 35.28% on average over the next years. This is a very strong growth
The Revenue is expected to grow by 0.41% on average over the next years.
EPS Next Y95.26%
EPS Next 2Y52.16%
EPS Next 3Y35.28%
EPS Next 5YN/A
Revenue Next Year-3.46%
Revenue Next 2Y-0.91%
Revenue Next 3Y0.41%
Revenue Next 5YN/A
3.3 Evolution
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
CSAN reported negative earnings for the last year, which makes the Price/Earnings Ratio negative.
With a Price/Forward Earnings ratio of 4.46, the valuation of CSAN can be described as very cheap.
Based on the Price/Forward Earnings ratio, CSAN is valued cheaply inside the industry as 94.76% of the companies are valued more expensively.
CSAN is valuated cheaply when we compare the Price/Forward Earnings ratio to 22.69, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | 4.46 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, CSAN is valued a bit cheaper than 69.05% of the companies in the same industry.
Based on the Price/Free Cash Flow ratio, CSAN is valued cheaply inside the industry as 95.71% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 3.14 | ||
| EV/EBITDA | 5.71 |
4.3 Compensation for Growth
The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
CSAN's earnings are expected to grow with 35.28% in the coming years. This may justify a more expensive valuation.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y52.16%
EPS Next 3Y35.28%
5. Dividend
5.1 Amount
CSAN has a Yearly Dividend Yield of 2.44%. Purely for dividend investing, there may be better candidates out there.
Compared to an average industry Dividend Yield of 6.02, CSAN has a dividend in line with its industry peers.
CSAN's Dividend Yield is comparable with the S&P500 average which is at 2.45.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.44% |
5.2 History
On average, the dividend of CSAN grows each year by 25.09%, which is quite nice.
CSAN has been paying a dividend for over 5 years, so it has already some track record.
Dividend Growth(5Y)25.09%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
The earnings of CSAN are negative and hence is the payout ratio. CSAN will probably not be able to sustain this dividend level.
The dividend of CSAN is growing, but earnings are growing more, so the dividend growth is sustainable.
DP-34.2%
EPS Next 2Y52.16%
EPS Next 3Y35.28%
5.31
+0.12 (+2.31%)
Chartmill FA Rating
GICS SectorEnergy
GICS IndustryGroupEnergy
GICS IndustryOil, Gas & Consumable Fuels
Earnings (Last)
Earnings (Next)
Inst Owners23.09%
Inst Owner Change-11.23%
Ins OwnersN/A
Ins Owner ChangeN/A
Market Cap2.47B
Analysts81.18
Price Target5.45 (2.64%)
Short Float %0.92%
Short Ratio1.89
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.44% |
Yearly Dividend1.36
Dividend Growth(5Y)25.09%
DP-34.2%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-1428.82%
Min EPS beat(2)-1830.24%
Max EPS beat(2)-1027.4%
EPS beat(4)0
Avg EPS beat(4)-739.03%
Min EPS beat(4)-1830.24%
Max EPS beat(4)-29.45%
EPS beat(8)1
Avg EPS beat(8)-369.09%
EPS beat(12)2
Avg EPS beat(12)-260.9%
EPS beat(16)5
Avg EPS beat(16)-180.48%
Revenue beat(2)0
Avg Revenue beat(2)-75.62%
Min Revenue beat(2)-76.92%
Max Revenue beat(2)-74.31%
Revenue beat(4)0
Avg Revenue beat(4)-73.89%
Min Revenue beat(4)-76.92%
Max Revenue beat(4)-72.08%
Revenue beat(8)0
Avg Revenue beat(8)-48.87%
Revenue beat(12)0
Avg Revenue beat(12)-51.59%
Revenue beat(16)0
Avg Revenue beat(16)-57.63%
PT rev (1m)-8.95%
PT rev (3m)-22.02%
EPS NQ rev (1m)-31.1%
EPS NQ rev (3m)-67.61%
EPS NY rev (1m)-113.76%
EPS NY rev (3m)-113.73%
Revenue NQ rev (1m)-0.61%
Revenue NQ rev (3m)-8.67%
Revenue NY rev (1m)2.45%
Revenue NY rev (3m)-6.87%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | 4.46 | ||
| P/S | 0.31 | ||
| P/FCF | 3.14 | ||
| P/OCF | 1.04 | ||
| P/B | 1.7 | ||
| P/tB | N/A | ||
| EV/EBITDA | 5.71 |
EPS(TTM)-4.65
EYN/A
EPS(NY)1.19
Fwd EY22.42%
FCF(TTM)1.69
FCFY31.89%
OCF(TTM)5.1
OCFY96.11%
SpS17.36
BVpS3.13
TBVpS-7.42
PEG (NY)N/A
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -8.64% | ||
| ROE | -139.63% | ||
| ROCE | 5.75% | ||
| ROIC | 4.54% | ||
| ROICexc | 5.37% | ||
| ROICexgc | 7.41% | ||
| OM | 15.03% | ||
| PM (TTM) | N/A | ||
| GM | 31.23% | ||
| FCFM | 9.75% |
ROA(3y)-1.67%
ROA(5y)0.73%
ROE(3y)-25.17%
ROE(5y)-5.22%
ROIC(3y)4.36%
ROIC(5y)4.21%
ROICexc(3y)5.12%
ROICexc(5y)5.21%
ROICexgc(3y)6.64%
ROICexgc(5y)7.56%
ROCE(3y)5.52%
ROCE(5y)5.33%
ROICexcg growth 3Y5.58%
ROICexcg growth 5Y-20.62%
ROICexc growth 3Y6.6%
ROICexc growth 5Y-13.61%
OM growth 3Y3.25%
OM growth 5Y-3.69%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y10.35%
GM growth 5Y1.27%
F-Score6
Asset Turnover0.34
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 8.04 | ||
| Debt/FCF | 15.71 | ||
| Debt/EBITDA | 6.04 | ||
| Cap/Depr | 218.77% | ||
| Cap/Sales | 19.64% | ||
| Interest Coverage | 1.22 | ||
| Cash Conversion | 122.45% | ||
| Profit Quality | N/A | ||
| Current Ratio | 2.13 | ||
| Quick Ratio | 1.98 | ||
| Altman-Z | 0.71 |
F-Score6
WACC6.72%
ROIC/WACC0.68
Cap/Depr(3y)179.81%
Cap/Depr(5y)178.28%
Cap/Sales(3y)15.09%
Cap/Sales(5y)13.88%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-1006.61%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%-325%
EPS Next Y95.26%
EPS Next 2Y52.16%
EPS Next 3Y35.28%
EPS Next 5YN/A
Revenue 1Y (TTM)7.91%
Revenue growth 3Y20.84%
Revenue growth 5Y26.51%
Sales Q2Q%-2.02%
Revenue Next Year-3.46%
Revenue Next 2Y-0.91%
Revenue Next 3Y0.41%
Revenue Next 5YN/A
EBIT growth 1Y-17.38%
EBIT growth 3Y24.77%
EBIT growth 5Y21.84%
EBIT Next Year119.48%
EBIT Next 3Y29%
EBIT Next 5YN/A
FCF growth 1Y-22.73%
FCF growth 3Y65.47%
FCF growth 5Y21.36%
OCF growth 1Y22.65%
OCF growth 3Y35.81%
OCF growth 5Y36.03%