CSW INDUSTRIALS INC (CSW) Stock Fundamental Analysis
NYSE:CSW - US1264021064 - Common Stock
268.87 USD
+0.17 (+0.06%)
CSW gets a fundamental rating of 6 out of 10. The analysis compared the fundamentals against 41 industry peers in the Building Products industry. Both the health and profitability get an excellent rating, making CSW a very profitable company, without any liquidiy or solvency issues. CSW shows excellent growth, but is valued quite expensive already. With these ratings, CSW could be worth investigating further for growth and quality investing!.
1. Profitability
1.1 Basic Checks
In the past year CSW was profitable.
CSW had a positive operating cash flow in the past year.
Each year in the past 5 years CSW has been profitable.
In the past 5 years CSW always reported a positive cash flow from operatings.
1.2 Ratios
CSW has a better Return On Assets (9.05%) than 68.29% of its industry peers.
Looking at the Return On Equity, with a value of 12.52%, CSW is in line with its industry, outperforming 56.10% of the companies in the same industry.
With a Return On Invested Capital value of 9.94%, CSW perfoms like the industry average, outperforming 58.54% of the companies in the same industry.
Measured over the past 3 years, the Average Return On Invested Capital for CSW is in line with the industry average of 12.73%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 9.05% | ||
| ROE | 12.52% | ||
| ROIC | 9.94% |
ROA(3y)9.63%
ROA(5y)8.02%
ROE(3y)15.86%
ROE(5y)14.28%
ROIC(3y)11.71%
ROIC(5y)9.95%
1.3 Margins
CSW has a better Profit Margin (15.18%) than 80.49% of its industry peers.
CSW's Profit Margin has improved in the last couple of years.
CSW has a Operating Margin of 19.95%. This is amongst the best in the industry. CSW outperforms 85.37% of its industry peers.
CSW's Operating Margin has improved in the last couple of years.
CSW has a Gross Margin of 43.82%. This is amongst the best in the industry. CSW outperforms 85.37% of its industry peers.
CSW's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 19.95% | ||
| PM (TTM) | 15.18% | ||
| GM | 43.82% |
OM growth 3Y10.18%
OM growth 5Y3.71%
PM growth 3Y13.65%
PM growth 5Y5.61%
GM growth 3Y3.09%
GM growth 5Y-0.46%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), CSW is creating some value.
The number of shares outstanding for CSW has been increased compared to 1 year ago.
Compared to 5 years ago, CSW has more shares outstanding
CSW 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 8.25 indicates that CSW is not in any danger for bankruptcy at the moment.
With an excellent Altman-Z score value of 8.25, CSW belongs to the best of the industry, outperforming 92.68% of the companies in the same industry.
CSW has a debt to FCF ratio of 0.63. This is a very positive value and a sign of high solvency as it would only need 0.63 years to pay back of all of its debts.
CSW has a better Debt to FCF ratio (0.63) than 90.24% of its industry peers.
A Debt/Equity ratio of 0.09 indicates that CSW is not too dependend on debt financing.
With an excellent Debt to Equity ratio value of 0.09, CSW belongs to the best of the industry, outperforming 82.93% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.09 | ||
| Debt/FCF | 0.63 | ||
| Altman-Z | 8.25 |
ROIC/WACC0.95
WACC10.47%
2.3 Liquidity
A Current Ratio of 2.86 indicates that CSW has no problem at all paying its short term obligations.
Looking at the Current ratio, with a value of 2.86, CSW is in the better half of the industry, outperforming 78.05% of the companies in the same industry.
CSW has a Quick Ratio of 1.48. This is a normal value and indicates that CSW is financially healthy and should not expect problems in meeting its short term obligations.
Looking at the Quick ratio, with a value of 1.48, CSW is in the better half of the industry, outperforming 65.85% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.86 | ||
| Quick Ratio | 1.48 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 26.32% over the past year.
Measured over the past years, CSW shows a very strong growth in Earnings Per Share. The EPS has been growing by 21.50% on average per year.
Looking at the last year, CSW shows a quite strong growth in Revenue. The Revenue has grown by 12.27% in the last year.
CSW shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 17.88% yearly.
EPS 1Y (TTM)26.32%
EPS 3Y25.6%
EPS 5Y21.5%
EPS Q2Q%15.38%
Revenue 1Y (TTM)12.27%
Revenue growth 3Y11.93%
Revenue growth 5Y17.88%
Sales Q2Q%16.57%
3.2 Future
Based on estimates for the next years, CSW will show a quite strong growth in Earnings Per Share. The EPS will grow by 12.99% on average per year.
CSW is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 10.41% yearly.
EPS Next Y22.98%
EPS Next 2Y17.79%
EPS Next 3Y12.99%
EPS Next 5YN/A
Revenue Next Year18.97%
Revenue Next 2Y13.47%
Revenue Next 3Y10.41%
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.
The estimated forward Revenue growth is still strong, although it is decreasing when compared to the stronger growth in the past years.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 30.28, which means the current valuation is very expensive for CSW.
Based on the Price/Earnings ratio, CSW is valued a bit more expensive than 68.29% of the companies in the same industry.
When comparing the Price/Earnings ratio of CSW to the average of the S&P500 Index (27.08), we can say CSW is valued inline with the index average.
The Price/Forward Earnings ratio is 22.80, which indicates a rather expensive current valuation of CSW.
Based on the Price/Forward Earnings ratio, CSW is valued a bit more expensive than 60.98% of the companies in the same industry.
CSW's Price/Forward Earnings ratio indicates a similar valuation than the S&P500 average which is at 22.67.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 30.28 | ||
| Fwd PE | 22.8 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of CSW indicates a slightly more expensive valuation: CSW is more expensive than 65.85% of the companies listed in the same industry.
The rest of the industry has a similar Price/Free Cash Flow ratio as CSW.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 30.06 | ||
| EV/EBITDA | 19.94 |
4.3 Compensation for Growth
The PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
CSW has a very decent profitability rating, which may justify a higher PE ratio.
A more expensive valuation may be justified as CSW's earnings are expected to grow with 12.99% in the coming years.
PEG (NY)1.32
PEG (5Y)1.41
EPS Next 2Y17.79%
EPS Next 3Y12.99%
5. Dividend
5.1 Amount
With a yearly dividend of 0.42%, CSW is not a good candidate for dividend investing.
CSW's Dividend Yield is comparable with the industry average which is at 1.14.
With a Dividend Yield of 0.42, CSW pays less dividend than the S&P500 average, which is at 2.34.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.42% |
5.2 History
The dividend of CSW is nicely growing with an annual growth rate of 10.61%!
CSW has been paying a dividend for over 5 years, so it has already some track record.
Dividend Growth(5Y)10.61%
Div Incr YearsN/A
Div Non Decr YearsN/A
5.3 Sustainability
11.41% of the earnings are spent on dividend by CSW. This is a low number and sustainable payout ratio.
The dividend of CSW is growing, but earnings are growing more, so the dividend growth is sustainable.
DP11.41%
EPS Next 2Y17.79%
EPS Next 3Y12.99%
NYSE:CSW (8/27/2025, 11:12:56 AM)
268.87
+0.17 (+0.06%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryBuilding Products
Earnings (Last)
Earnings (Next)
Inst Owners93.56%
Inst Owner ChangeN/A
Ins Owners1.29%
Ins Owner Change-2.09%
Market Cap4.52B
Analysts70
Price Target295.39 (9.86%)
Short Float %3.59%
Short Ratio4
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.42% |
Yearly Dividend0.9
Dividend Growth(5Y)10.61%
DP11.41%
Div Incr YearsN/A
Div Non Decr YearsN/A
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-1.34%
Min EPS beat(2)-3.43%
Max EPS beat(2)0.76%
EPS beat(4)3
Avg EPS beat(4)2.63%
Min EPS beat(4)-3.43%
Max EPS beat(4)9.83%
EPS beat(8)5
Avg EPS beat(8)-2.59%
EPS beat(12)8
Avg EPS beat(12)2.1%
EPS beat(16)11
Avg EPS beat(16)4.45%
Revenue beat(2)0
Avg Revenue beat(2)-4.04%
Min Revenue beat(2)-6.12%
Max Revenue beat(2)-1.95%
Revenue beat(4)1
Avg Revenue beat(4)-1.21%
Min Revenue beat(4)-6.12%
Max Revenue beat(4)3.38%
Revenue beat(8)3
Avg Revenue beat(8)-0.62%
Revenue beat(12)5
Avg Revenue beat(12)-0.57%
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)-14.22%
PT rev (3m)N/A
EPS NQ rev (1m)5.12%
EPS NQ rev (3m)N/A
EPS NY rev (1m)10.65%
EPS NY rev (3m)N/A
Revenue NQ rev (1m)-1.12%
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)-1.67%
Revenue NY rev (3m)N/A
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 30.28 | ||
| Fwd PE | 22.8 | ||
| P/S | 4.93 | ||
| P/FCF | 30.06 | ||
| P/OCF | 27.15 | ||
| P/B | 4.07 | ||
| P/tB | 21.72 | ||
| EV/EBITDA | 19.94 |
EPS(TTM)8.88
EY3.3%
EPS(NY)11.79
Fwd EY4.39%
FCF(TTM)8.95
FCFY3.33%
OCF(TTM)9.9
OCFY3.68%
SpS54.51
BVpS66.06
TBVpS12.38
PEG (NY)1.32
PEG (5Y)1.41
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 9.05% | ||
| ROE | 12.52% | ||
| ROCE | 13.26% | ||
| ROIC | 9.94% | ||
| ROICexc | 10.22% | ||
| ROICexgc | 31.26% | ||
| OM | 19.95% | ||
| PM (TTM) | 15.18% | ||
| GM | 43.82% | ||
| FCFM | 16.41% |
ROA(3y)9.63%
ROA(5y)8.02%
ROE(3y)15.86%
ROE(5y)14.28%
ROIC(3y)11.71%
ROIC(5y)9.95%
ROICexc(3y)12.72%
ROICexc(5y)10.61%
ROICexgc(3y)33.39%
ROICexgc(5y)27.91%
ROCE(3y)15.62%
ROCE(5y)13.27%
ROICexcg growth 3Y17.93%
ROICexcg growth 5Y1.82%
ROICexc growth 3Y17.1%
ROICexc growth 5Y-4.56%
OM growth 3Y10.18%
OM growth 5Y3.71%
PM growth 3Y13.65%
PM growth 5Y5.61%
GM growth 3Y3.09%
GM growth 5Y-0.46%
F-Score5
Asset Turnover0.6
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.09 | ||
| Debt/FCF | 0.63 | ||
| Debt/EBITDA | 0.41 | ||
| Cap/Depr | 34.53% | ||
| Cap/Sales | 1.75% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 72.58% | ||
| Profit Quality | 108.13% | ||
| Current Ratio | 2.86 | ||
| Quick Ratio | 1.48 | ||
| Altman-Z | 8.25 |
F-Score5
WACC10.47%
ROIC/WACC0.95
Cap/Depr(3y)40.43%
Cap/Depr(5y)40.42%
Cap/Sales(3y)1.93%
Cap/Sales(5y)2.08%
Profit Quality(3y)122.73%
Profit Quality(5y)118.4%
High Growth Momentum
Growth
EPS 1Y (TTM)26.32%
EPS 3Y25.6%
EPS 5Y21.5%
EPS Q2Q%15.38%
EPS Next Y22.98%
EPS Next 2Y17.79%
EPS Next 3Y12.99%
EPS Next 5YN/A
Revenue 1Y (TTM)12.27%
Revenue growth 3Y11.93%
Revenue growth 5Y17.88%
Sales Q2Q%16.57%
Revenue Next Year18.97%
Revenue Next 2Y13.47%
Revenue Next 3Y10.41%
Revenue Next 5YN/A
EBIT growth 1Y8.1%
EBIT growth 3Y23.32%
EBIT growth 5Y22.25%
EBIT Next Year42.3%
EBIT Next 3Y18.72%
EBIT Next 5YN/A
FCF growth 1Y8.9%
FCF growth 3Y41.75%
FCF growth 5Y21.06%
OCF growth 1Y7.32%
OCF growth 3Y34.56%
OCF growth 5Y19.22%