Covetrus Inc (CVET)
US22304C1009 - Common Stock
Taking everything into account, CVET scores 3 out of 10 in our fundamental rating. CVET was compared to 117 industry peers in the Health Care Providers & Services industry. CVET may be in some trouble as it scores bad on both profitability and health. CVET is quite expensive at the moment. It does show a decent growth rate.
1. Profitability
1.1 Basic Checks
CVET had positive earnings in the past year.
In the past year CVET had a positive cash flow from operations.
In multiple years CVET reported negative net income over the last 5 years.
Each year in the past 5 years CVET had a positive operating cash flow.
1.2 Ratios
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -0.38% | ||
| ROE | N/A | ||
| ROIC | N/A |
ROA(3y)N/A
ROA(5y)N/A
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | -0.02% | ||
| PM (TTM) | -0.28% | ||
| GM | N/A |
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3YN/A
GM growth 5YN/A
2. Health
2.1 Basic Checks
CVET does not have a ROIC to compare to the WACC, probably because it is not profitable.
Compared to 1 year ago, CVET has more shares outstanding
Compared to 1 year ago, CVET has a worse debt to assets ratio.
2.2 Solvency
An Altman-Z score of 2.08 indicates that CVET is not a great score, but indicates only limited risk for bankruptcy at the moment.
The Debt to FCF ratio of CVET is 524.50, which is on the high side as it means it would take CVET, 524.50 years of fcf income to pay off all of its debts.
A Debt/Equity ratio of 0.65 indicates that CVET is somewhat dependend on debt financing.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.65 | ||
| Debt/FCF | 524.5 | ||
| Altman-Z | 2.08 |
ROIC/WACCN/A
WACC7.62%
2.3 Liquidity
A Current Ratio of 1.88 indicates that CVET should not have too much problems paying its short term obligations.
A Quick Ratio of 1.08 indicates that CVET should not have too much problems paying its short term obligations.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.88 | ||
| Quick Ratio | 1.08 |
3. Growth
3.1 Past
CVET shows a small growth in Earnings Per Share. In the last year, the EPS has grown by 4.89%.
The Earnings Per Share has been growing by 25.19% on average over the past years. This is a very strong growth
The Revenue has been growing slightly by 2.42% in the past year.
Measured over the past years, CVET shows a small growth in Revenue. The Revenue has been growing by 6.41% on average per year.
EPS 1Y (TTM)4.89%
EPS 3Y25.19%
EPS 5YN/A
EPS growth Q2Q-3.85%
Revenue 1Y (TTM)2.42%
Revenue growth 3Y6.59%
Revenue growth 5Y6.41%
Revenue growth Q2Q2.35%
3.2 Future
CVET is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 12.74% yearly.
Based on estimates for the next years, CVET will show a small growth in Revenue. The Revenue will grow by 5.42% on average per year.
EPS Next Y16.83%
EPS Next 2Y16.41%
EPS Next 3Y13.76%
EPS Next 5Y12.74%
Revenue Next Year4.28%
Revenue Next 2Y5.17%
Revenue Next 3Y5.57%
Revenue Next 5Y5.42%
3.3 Evolution
The estimated forward EPS growth is still strong, although it is decreasing when compared to the stronger growth in the past years.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is stable.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 21.20, which indicates a rather expensive current valuation of CVET.
The average S&P500 Price/Earnings ratio is at 24.84. CVET is around the same levels.
CVET is valuated correctly with a Price/Forward Earnings ratio of 16.20.
Compared to an average S&P500 Price/Forward Earnings ratio of 21.35, CVET is valued a bit cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 21.2 | ||
| Fwd PE | 16.2 |
4.2 Price Multiples
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 1470.59 | ||
| EV/EBITDA | 23.66 |
4.3 Compensation for Growth
CVET's PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
A more expensive valuation may be justified as CVET's earnings are expected to grow with 13.76% in the coming years.
PEG (NY)1.26
PEG (5Y)N/A
EPS Next 2Y16.41%
EPS Next 3Y13.76%
5. Dividend
5.1 Amount
No dividends for CVET!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Covetrus Inc
NASDAQ:CVET (10/12/2022, 7:10:14 PM)
After market: 20.99 0 (0%)20.99
+0.06 (+0.29%)
Chartmill FA Rating
GICS SectorHealth Care
GICS IndustryGroupHealth Care Equipment & Services
GICS IndustryHealth Care Providers & Services
Earnings (Last)
Earnings (Next)
Inst Owners
Inst Owner Change
Ins Owners
Ins Owner Change
Market Cap2.94B
Analysts
Price Target
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Dividend Growth(5Y)
DP
Div Incr Years
Div Non Decr Years
Ex-Date
Surprises & Revisions
EPS beat(2)
Avg EPS beat(2)
Min EPS beat(2)
Max EPS beat(2)
EPS beat(4)
Avg EPS beat(4)
Min EPS beat(4)
Max EPS beat(4)
EPS beat(8)
Avg EPS beat(8)
EPS beat(12)
Avg EPS beat(12)
EPS beat(16)
Avg EPS beat(16)
Revenue beat(2)
Avg Revenue beat(2)
Min Revenue beat(2)
Max Revenue beat(2)
Revenue beat(4)
Avg Revenue beat(4)
Min Revenue beat(4)
Max Revenue beat(4)
Revenue beat(8)
Avg Revenue beat(8)
Revenue beat(12)
Avg Revenue beat(12)
Revenue beat(16)
Avg Revenue beat(16)
PT rev (1m)
PT rev (3m)
EPS NQ rev (1m)
EPS NQ rev (3m)
EPS NY rev (1m)
EPS NY rev (3m)
Revenue NQ rev (1m)
Revenue NQ rev (3m)
Revenue NY rev (1m)
Revenue NY rev (3m)
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 21.2 | ||
| Fwd PE | 16.2 | ||
| P/S | |||
| P/FCF | |||
| P/OCF | |||
| P/B | |||
| P/tB | |||
| EV/EBITDA |
EPS(TTM)
EY
EPS(NY)
Fwd EY
FCF(TTM)
FCFY
OCF(TTM)
OCFY
SpS
BVpS
TBVpS
PEG (NY)1.26
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -0.38% | ||
| ROE | N/A | ||
| ROCE | |||
| ROIC | |||
| ROICexc | |||
| ROICexgc | |||
| OM | -0.02% | ||
| PM (TTM) | -0.28% | ||
| GM | N/A | ||
| FCFM |
ROA(3y)
ROA(5y)
ROE(3y)
ROE(5y)
ROIC(3y)
ROIC(5y)
ROICexc(3y)
ROICexc(5y)
ROICexgc(3y)
ROICexgc(5y)
ROCE(3y)
ROCE(5y)
ROICexcg growth 3Y
ROICexcg growth 5Y
ROICexc growth 3Y
ROICexc growth 5Y
OM growth 3Y
OM growth 5Y
PM growth 3Y
PM growth 5Y
GM growth 3Y
GM growth 5Y
F-Score
Asset Turnover1.37
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.65 | ||
| Debt/FCF | |||
| Debt/EBITDA | |||
| Cap/Depr | |||
| Cap/Sales | |||
| Interest Coverage | |||
| Cash Conversion | |||
| Profit Quality | |||
| Current Ratio | 1.88 | ||
| Quick Ratio | 1.08 | ||
| Altman-Z |
F-Score
WACC
ROIC/WACC
Cap/Depr(3y)
Cap/Depr(5y)
Cap/Sales(3y)
Cap/Sales(5y)
Profit Quality(3y)
Profit Quality(5y)
Growth
EPS 1Y (TTM)4.89%
EPS 3Y25.19%
EPS 5Y
EPS growth Q2Q
EPS Next Y16.83%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)2.42%
Revenue growth 3Y6.59%
Revenue growth 5Y
Revenue growth Q2Q
Revenue Next Year
Revenue Next 2Y
Revenue Next 3Y
Revenue Next 5Y
EBIT growth 1Y
EBIT growth 3Y
EBIT growth 5Y
EBIT Next Year
EBIT Next 3Y
EBIT Next 5Y
FCF growth 1Y
FCF growth 3Y
FCF growth 5Y
OCF growth 1Y
OCF growth 3Y
OCF growth 5Y