CALAVO GROWERS INC (CVGW) Stock Fundamental Analysis
NASDAQ:CVGW - Nasdaq - US1282461052 - Common Stock - Currency: USD
Overall CVGW gets a fundamental rating of 5 out of 10. We evaluated CVGW against 91 industry peers in the Food Products industry. CVGW has an excellent financial health rating, but there are some minor concerns on its profitability. CVGW has a correct valuation and a medium growth rate.
1. Profitability
1.1 Basic Checks
CVGW had positive earnings in the past year.
CVGW had a positive operating cash flow in the past year.
In the past 5 years CVGW always reported negative net income.
CVGW had a positive operating cash flow in 4 of the past 5 years.
1.2 Ratios
The Return On Assets of CVGW (3.23%) is better than 60.44% of its industry peers.
CVGW has a Return On Equity (5.07%) which is in line with its industry peers.
Looking at the Return On Invested Capital, with a value of 8.55%, CVGW belongs to the top of the industry, outperforming 81.32% of the companies in the same industry.
The Average Return On Invested Capital over the past 3 years for CVGW is significantly below the industry average of 28.43%.
The last Return On Invested Capital (8.55%) for CVGW is above the 3 year average (3.99%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.23% | ||
| ROE | 5.07% | ||
| ROIC | 8.55% |
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 1.50%, CVGW is in line with its industry, outperforming 42.86% of the companies in the same industry.
CVGW has a Operating Margin (3.75%) which is comparable to the rest of the industry.
CVGW's Operating Margin has declined in the last couple of years.
With a Gross Margin value of 10.11%, CVGW is not doing good in the industry: 71.43% of the companies in the same industry are doing better.
In the last couple of years the Gross Margin of CVGW has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 3.75% | ||
| PM (TTM) | 1.5% | ||
| GM | 10.11% |
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
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so 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.
CVGW has a better debt/assets ratio than last year.
2.2 Solvency
An Altman-Z score of 5.35 indicates that CVGW is not in any danger for bankruptcy at the moment.
CVGW has a better Altman-Z score (5.35) than 87.91% of its industry peers.
The Debt to FCF ratio of CVGW is 0.14, which is an excellent value as it means it would take CVGW, only 0.14 years of fcf income to pay off all of its debts.
CVGW's Debt to FCF ratio of 0.14 is amongst the best of the industry. CVGW outperforms 93.41% of its industry peers.
CVGW has a Debt/Equity ratio of 0.02. This is a healthy value indicating a solid balance between debt and equity.
With an excellent Debt to Equity ratio value of 0.02, CVGW belongs to the best of the industry, outperforming 81.32% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.02 | ||
| Debt/FCF | 0.14 | ||
| Altman-Z | 5.35 |
ROIC/WACC0.84
WACC10.22%
2.3 Liquidity
A Current Ratio of 2.00 indicates that CVGW should not have too much problems paying its short term obligations.
CVGW has a Current ratio of 2.00. This is in the better half of the industry: CVGW outperforms 64.84% of its industry peers.
A Quick Ratio of 1.54 indicates that CVGW should not have too much problems paying its short term obligations.
The Quick ratio of CVGW (1.54) is better than 81.32% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2 | ||
| Quick Ratio | 1.54 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 136.84% 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.
CVGW shows a very negative growth in Revenue. In the last year, the Revenue has decreased by -14.58%.
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)136.84%
EPS 3Y46.92%
EPS 5Y-18.14%
EPS Q2Q%-20%
Revenue 1Y (TTM)-14.58%
Revenue growth 3Y-14.43%
Revenue growth 5Y-11.17%
Sales Q2Q%3.34%
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
The Revenue is expected to grow by 7.34% on average over the next years.
EPS Next Y55.94%
EPS Next 2Y37.34%
EPS Next 3Y30.13%
EPS Next 5YN/A
Revenue Next Year8.99%
Revenue Next 2Y6.64%
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
A Price/Earnings ratio of 19.57 indicates a rather expensive valuation of CVGW.
Compared to the rest of the industry, the Price/Earnings ratio of CVGW indicates a somewhat cheap valuation: CVGW is cheaper than 60.44% of the companies listed in the same industry.
Compared to an average S&P500 Price/Earnings ratio of 26.98, CVGW is valued a bit cheaper.
A Price/Forward Earnings ratio of 12.62 indicates a correct valuation of CVGW.
Based on the Price/Forward Earnings ratio, CVGW is valued a bit cheaper than 75.82% of the companies in the same industry.
CVGW is valuated rather cheaply when we compare the Price/Forward Earnings ratio to 21.49, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 19.57 | ||
| Fwd PE | 12.62 |
4.2 Price Multiples
CVGW's Enterprise Value to EBITDA ratio is in line with the industry average.
Based on the Price/Free Cash Flow ratio, CVGW is valued a bit cheaper than 74.73% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 14.46 | ||
| EV/EBITDA | 12.54 |
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)0.35
PEG (5Y)N/A
EPS Next 2Y37.34%
EPS Next 3Y30.13%
5. Dividend
5.1 Amount
CVGW has a Yearly Dividend Yield of 3.01%. Purely for dividend investing, there may be better candidates out there.
Compared to an average industry Dividend Yield of 4.75, CVGW pays a bit more dividend than its industry peers.
Compared to an average S&P500 Dividend Yield of 2.42, CVGW pays a bit more dividend than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.01% |
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 120.27% of its income as dividend. This is not a sustainable payout ratio.
DP120.27%
EPS Next 2Y37.34%
EPS Next 3Y30.13%
NASDAQ:CVGW (6/30/2025, 12:56:31 PM)
26.424
-0.47 (-1.73%)
Chartmill FA Rating
GICS SectorConsumer Staples
GICS IndustryGroupFood, Beverage & Tobacco
GICS IndustryFood Products
Earnings (Last)
Earnings (Next)
Inst Owners74.83%
Inst Owner Change-0.26%
Ins Owners2.75%
Ins Owner Change7.29%
Market Cap471.40M
Analysts80
Price Target35.7 (35.1%)
Short Float %3.03%
Short Ratio1.46
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.01% |
Yearly Dividend0.5
Dividend Growth(5Y)-12.87%
DP120.27%
Div Incr Years2
Div Non Decr Years2
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-7.33%
Min EPS beat(2)-26.61%
Max EPS beat(2)11.95%
EPS beat(4)2
Avg EPS beat(4)-16.94%
Min EPS beat(4)-83.48%
Max EPS beat(4)30.36%
EPS beat(8)4
Avg EPS beat(8)-46.77%
EPS beat(12)4
Avg EPS beat(12)-63.16%
EPS beat(16)6
Avg EPS beat(16)-67.25%
Revenue beat(2)0
Avg Revenue beat(2)-6.38%
Min Revenue beat(2)-7.28%
Max Revenue beat(2)-5.49%
Revenue beat(4)1
Avg Revenue beat(4)-2.81%
Min Revenue beat(4)-7.28%
Max Revenue beat(4)2.9%
Revenue beat(8)2
Avg Revenue beat(8)-8.61%
Revenue beat(12)3
Avg Revenue beat(12)-12.45%
Revenue beat(16)6
Avg Revenue beat(16)-8.85%
PT rev (1m)9.38%
PT rev (3m)9.38%
EPS NQ rev (1m)6.61%
EPS NQ rev (3m)9.14%
EPS NY rev (1m)-7.69%
EPS NY rev (3m)-1.34%
Revenue NQ rev (1m)1.47%
Revenue NQ rev (3m)1.63%
Revenue NY rev (1m)0.91%
Revenue NY rev (3m)1.7%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 19.57 | ||
| Fwd PE | 12.62 | ||
| P/S | 0.68 | ||
| P/FCF | 14.46 | ||
| P/OCF | 14.06 | ||
| P/B | 2.3 | ||
| P/tB | 2.42 | ||
| EV/EBITDA | 12.54 |
EPS(TTM)1.35
EY5.11%
EPS(NY)2.09
Fwd EY7.92%
FCF(TTM)1.83
FCFY6.92%
OCF(TTM)1.88
OCFY7.11%
SpS38.93
BVpS11.49
TBVpS10.92
PEG (NY)0.35
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.23% | ||
| ROE | 5.07% | ||
| ROCE | 11.27% | ||
| ROIC | 8.55% | ||
| ROICexc | 11.57% | ||
| ROICexgc | 12.31% | ||
| OM | 3.75% | ||
| PM (TTM) | 1.5% | ||
| GM | 10.11% | ||
| FCFM | 4.69% |
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 Turnover2.16
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.02 | ||
| Debt/FCF | 0.14 | ||
| Debt/EBITDA | 0.11 | ||
| Cap/Depr | 11.94% | ||
| Cap/Sales | 0.13% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 99.13% | ||
| Profit Quality | 313.69% | ||
| Current Ratio | 2 | ||
| Quick Ratio | 1.54 | ||
| Altman-Z | 5.35 |
F-Score8
WACC10.22%
ROIC/WACC0.84
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)136.84%
EPS 3Y46.92%
EPS 5Y-18.14%
EPS Q2Q%-20%
EPS Next Y55.94%
EPS Next 2Y37.34%
EPS Next 3Y30.13%
EPS Next 5YN/A
Revenue 1Y (TTM)-14.58%
Revenue growth 3Y-14.43%
Revenue growth 5Y-11.17%
Sales Q2Q%3.34%
Revenue Next Year8.99%
Revenue Next 2Y6.64%
Revenue Next 3Y7.34%
Revenue Next 5YN/A
EBIT growth 1Y75.36%
EBIT growth 3Y102.92%
EBIT growth 5Y-22.92%
EBIT Next Year70.78%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y205.29%
FCF growth 3Y116.08%
FCF growth 5Y-17.22%
OCF growth 1Y33.48%
OCF growth 3Y21.63%
OCF growth 5Y-19.47%