CALAVO GROWERS INC (CVGW) Stock Fundamental Analysis
USA - NASDAQ:CVGW - US1282461052 - Common Stock
27.47 USD
-0.35 (-1.26%)
27.47 USD
0 (0%)
Overall CVGW gets a fundamental rating of 5 out of 10. We evaluated CVGW against 89 industry peers in the Food Products industry. While CVGW has a great health rating, its profitability is only average at the moment. CVGW has a decent growth rate and is not valued too expensively.
1. Profitability
1.1 Basic Checks
In the past year CVGW was profitable.
CVGW had a positive operating cash flow in the past year.
CVGW had negative earnings in each of the past 5 years.
Of the past 5 years CVGW 4 years had a positive operating cash flow.
1.2 Ratios
The Return On Assets of CVGW (5.26%) is better than 73.03% of its industry peers.
With a decent Return On Equity value of 7.67%, CVGW is doing good in the industry, outperforming 61.80% of the companies in the same industry.
Looking at the Return On Invested Capital, with a value of 8.32%, CVGW is in the better half of the industry, outperforming 77.53% of the companies in the same industry.
Measured over the past 3 years, the Average Return On Invested Capital for CVGW is significantly below the industry average of 27.85%.
The last Return On Invested Capital (8.32%) for CVGW is above the 3 year average (3.99%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.26% | ||
| ROE | 7.67% | ||
| ROIC | 8.32% |
ROA(3y)-1.38%
ROA(5y)-1.99%
ROE(3y)-2.45%
ROE(5y)-3.59%
ROIC(3y)3.99%
ROIC(5y)3.92%
1.3 Margins
Looking at the Profit Margin, with a value of 2.28%, CVGW is in line with its industry, outperforming 53.93% of the companies in the same industry.
CVGW has a Operating Margin (3.67%) which is in line with its industry peers.
In the last couple of years the Operating Margin of CVGW has declined.
CVGW has a Gross Margin of 9.85%. This is in the lower half of the industry: CVGW underperforms 69.66% of its industry peers.
CVGW's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 3.67% | ||
| PM (TTM) | 2.28% | ||
| GM | 9.85% |
OM growth 3Y137.14%
OM growth 5Y-13.23%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y23.52%
GM growth 5Y-0.88%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), CVGW is destroying value.
Compared to 1 year ago, CVGW has more shares outstanding
The number of shares outstanding for CVGW has been increased compared to 5 years ago.
The debt/assets ratio for CVGW has been reduced compared to a year ago.
2.2 Solvency
CVGW has an Altman-Z score of 6.17. This indicates that CVGW is financially healthy and has little risk of bankruptcy at the moment.
CVGW's Altman-Z score of 6.17 is amongst the best of the industry. CVGW outperforms 91.01% of its industry peers.
The Debt to FCF ratio of CVGW is 0.18, which is an excellent value as it means it would take CVGW, only 0.18 years of fcf income to pay off all of its debts.
CVGW has a Debt to FCF ratio of 0.18. This is amongst the best in the industry. CVGW outperforms 93.26% of its industry peers.
A Debt/Equity ratio of 0.02 indicates that CVGW is not too dependend on debt financing.
With an excellent Debt to Equity ratio value of 0.02, CVGW belongs to the best of the industry, outperforming 83.15% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.02 | ||
| Debt/FCF | 0.18 | ||
| Altman-Z | 6.17 |
ROIC/WACC0.95
WACC8.73%
2.3 Liquidity
A Current Ratio of 2.30 indicates that CVGW has no problem at all paying its short term obligations.
CVGW has a Current ratio of 2.30. This is in the better half of the industry: CVGW outperforms 69.66% of its industry peers.
CVGW has a Quick Ratio of 1.86. This is a normal value and indicates that CVGW is financially healthy and should not expect problems in meeting its short term obligations.
With an excellent Quick ratio value of 1.86, CVGW belongs to the best of the industry, outperforming 84.27% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.3 | ||
| Quick Ratio | 1.86 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 84.93% over the past year.
CVGW shows a very negative growth in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -18.14% yearly.
Looking at the last year, CVGW shows a decrease in Revenue. The Revenue has decreased by -5.33% in the last year.
Measured over the past years, CVGW shows a very negative growth in Revenue. The Revenue has been decreasing by -11.17% on average per year.
EPS 1Y (TTM)84.93%
EPS 3Y46.92%
EPS 5Y-18.14%
EPS Q2Q%0%
Revenue 1Y (TTM)-5.33%
Revenue growth 3Y-14.43%
Revenue growth 5Y-11.17%
Sales Q2Q%-0.43%
3.2 Future
The Earnings Per Share is expected to grow by 30.13% on average over the next years. This is a very strong growth
CVGW is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 7.34% yearly.
EPS Next Y55.94%
EPS Next 2Y37.34%
EPS Next 3Y30.13%
EPS Next 5YN/A
Revenue Next Year5.44%
Revenue Next 2Y6.46%
Revenue Next 3Y7.34%
Revenue Next 5YN/A
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last 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 accelerating.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 20.35, which indicates a rather expensive current valuation of CVGW.
The rest of the industry has a similar Price/Earnings ratio as CVGW.
When comparing the Price/Earnings ratio of CVGW to the average of the S&P500 Index (27.38), we can say CVGW is valued slightly cheaper.
The Price/Forward Earnings ratio is 13.12, which indicates a correct valuation of CVGW.
Compared to the rest of the industry, the Price/Forward Earnings ratio of CVGW indicates a somewhat cheap valuation: CVGW is cheaper than 75.28% of the companies listed in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 22.86. CVGW is valued slightly cheaper when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 20.35 | ||
| Fwd PE | 13.12 |
4.2 Price Multiples
CVGW's Enterprise Value to EBITDA is on the same level as the industry average.
71.91% of the companies in the same industry are more expensive than CVGW, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 17.12 | ||
| EV/EBITDA | 13.07 |
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.
CVGW's earnings are expected to grow with 30.13% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.36
PEG (5Y)N/A
EPS Next 2Y37.34%
EPS Next 3Y30.13%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 2.88%, CVGW has a reasonable but not impressive dividend return.
CVGW's Dividend Yield is a higher than the industry average which is at 5.12.
Compared to an average S&P500 Dividend Yield of 2.38, CVGW pays a bit more dividend than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.88% |
5.2 History
The dividend of CVGW decreases each year by -12.87%.
CVGW has been paying a dividend for at least 10 years, so it has a reliable track record.
The dividend of CVGW decreased in the last 3 years.
Dividend Growth(5Y)-12.87%
Div Incr Years2
Div Non Decr Years2
5.3 Sustainability
CVGW pays out 90.26% of its income as dividend. This is not a sustainable payout ratio.
DP90.26%
EPS Next 2Y37.34%
EPS Next 3Y30.13%
27.47
-0.35 (-1.26%)
Chartmill FA Rating
GICS SectorConsumer Staples
GICS IndustryGroupFood, Beverage & Tobacco
GICS IndustryFood Products
Earnings (Last)
Earnings (Next)
Inst Owners68.14%
Inst Owner Change-0.84%
Ins Owners2.75%
Ins Owner Change7.29%
Market Cap490.34M
Analysts82.5
Price Target35.7 (29.96%)
Short Float %2.45%
Short Ratio2.2
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.88% |
Yearly Dividend0.5
Dividend Growth(5Y)-12.87%
DP90.26%
Div Incr Years2
Div Non Decr Years2
Ex-Date
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-16.16%
Min EPS beat(2)-26.61%
Max EPS beat(2)-5.71%
EPS beat(4)1
Avg EPS beat(4)-25.96%
Min EPS beat(4)-83.48%
Max EPS beat(4)11.95%
EPS beat(8)3
Avg EPS beat(8)-51.14%
EPS beat(12)4
Avg EPS beat(12)-59.06%
EPS beat(16)6
Avg EPS beat(16)-52.15%
Revenue beat(2)0
Avg Revenue beat(2)-8.8%
Min Revenue beat(2)-10.32%
Max Revenue beat(2)-7.28%
Revenue beat(4)1
Avg Revenue beat(4)-5.05%
Min Revenue beat(4)-10.32%
Max Revenue beat(4)2.9%
Revenue beat(8)2
Avg Revenue beat(8)-8.74%
Revenue beat(12)2
Avg Revenue beat(12)-13.38%
Revenue beat(16)6
Avg Revenue beat(16)-9.45%
PT rev (1m)0%
PT rev (3m)9.38%
EPS NQ rev (1m)-4.95%
EPS NQ rev (3m)-6.45%
EPS NY rev (1m)0%
EPS NY rev (3m)-7.69%
Revenue NQ rev (1m)-7.32%
Revenue NQ rev (3m)-4.73%
Revenue NY rev (1m)-3.26%
Revenue NY rev (3m)-2.38%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 20.35 | ||
| Fwd PE | 13.12 | ||
| P/S | 0.71 | ||
| P/FCF | 17.12 | ||
| P/OCF | 16.31 | ||
| P/B | 2.38 | ||
| P/tB | 2.5 | ||
| EV/EBITDA | 13.07 |
EPS(TTM)1.35
EY4.91%
EPS(NY)2.09
Fwd EY7.62%
FCF(TTM)1.6
FCFY5.84%
OCF(TTM)1.68
OCFY6.13%
SpS38.86
BVpS11.56
TBVpS10.99
PEG (NY)0.36
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.26% | ||
| ROE | 7.67% | ||
| ROCE | 10.96% | ||
| ROIC | 8.32% | ||
| ROICexc | 11.47% | ||
| ROICexgc | 12.22% | ||
| OM | 3.67% | ||
| PM (TTM) | 2.28% | ||
| GM | 9.85% | ||
| FCFM | 4.13% |
ROA(3y)-1.38%
ROA(5y)-1.99%
ROE(3y)-2.45%
ROE(5y)-3.59%
ROIC(3y)3.99%
ROIC(5y)3.92%
ROICexc(3y)4.7%
ROICexc(5y)4.36%
ROICexgc(3y)5.14%
ROICexgc(5y)4.83%
ROCE(3y)5.25%
ROCE(5y)5.28%
ROICexcg growth 3Y147.48%
ROICexcg growth 5Y-14.29%
ROICexc growth 3Y152.41%
ROICexc growth 5Y-14.22%
OM growth 3Y137.14%
OM growth 5Y-13.23%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y23.52%
GM growth 5Y-0.88%
F-Score8
Asset Turnover2.3
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.02 | ||
| Debt/FCF | 0.18 | ||
| Debt/EBITDA | 0.13 | ||
| Cap/Depr | 18.95% | ||
| Cap/Sales | 0.21% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 91.06% | ||
| Profit Quality | 180.76% | ||
| Current Ratio | 2.3 | ||
| Quick Ratio | 1.86 | ||
| Altman-Z | 6.17 |
F-Score8
WACC8.73%
ROIC/WACC0.95
Cap/Depr(3y)49.34%
Cap/Depr(5y)56.72%
Cap/Sales(3y)0.79%
Cap/Sales(5y)0.9%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)84.93%
EPS 3Y46.92%
EPS 5Y-18.14%
EPS Q2Q%0%
EPS Next Y55.94%
EPS Next 2Y37.34%
EPS Next 3Y30.13%
EPS Next 5YN/A
Revenue 1Y (TTM)-5.33%
Revenue growth 3Y-14.43%
Revenue growth 5Y-11.17%
Sales Q2Q%-0.43%
Revenue Next Year5.44%
Revenue Next 2Y6.46%
Revenue Next 3Y7.34%
Revenue Next 5YN/A
EBIT growth 1Y47.4%
EBIT growth 3Y102.92%
EBIT growth 5Y-22.92%
EBIT Next Year59.19%
EBIT Next 3Y26.52%
EBIT Next 5YN/A
FCF growth 1Y223.04%
FCF growth 3Y116.08%
FCF growth 5Y-17.22%
OCF growth 1Y369.71%
OCF growth 3Y21.63%
OCF growth 5Y-19.47%