CALAVO GROWERS INC (CVGW) Stock Fundamental Analysis
USA - NASDAQ:CVGW - US1282461052 - Common Stock
22.34 USD
-0.87 (-3.75%)
22.34 USD
0 (0%)
Taking everything into account, CVGW scores 5 out of 10 in our fundamental rating. CVGW was compared to 86 industry peers in the Food Products industry. While CVGW has a great health rating, its profitability is only average at the moment. CVGW is not valued too expensively and it also shows a decent growth rate.
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
CVGW's Return On Assets of 5.26% is fine compared to the rest of the industry. CVGW outperforms 75.58% of its industry peers.
The Return On Equity of CVGW (7.67%) is better than 63.95% of its industry peers.
The Return On Invested Capital of CVGW (8.32%) is better than 80.23% of its industry peers.
CVGW had an Average Return On Invested Capital over the past 3 years of 3.99%. This is significantly below the industry average of 28.75%.
The 3 year average ROIC (3.99%) for CVGW is below the current ROIC(8.32%), indicating increased profibility in the last year.
| 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
With a Profit Margin value of 2.28%, CVGW perfoms like the industry average, outperforming 55.81% of the companies in the same industry.
With a Operating Margin value of 3.67%, CVGW perfoms like the industry average, outperforming 53.49% of the companies in the same industry.
CVGW's Operating Margin has declined in the last couple of years.
CVGW has a Gross Margin of 9.85%. This is in the lower half of the industry: CVGW underperforms 68.60% of its industry peers.
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 | 3.67% | ||
| 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
CVGW has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it 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 5.59. This indicates that CVGW is financially healthy and has little risk of bankruptcy at the moment.
CVGW's Altman-Z score of 5.59 is amongst the best of the industry. CVGW outperforms 91.86% 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.
Looking at the Debt to FCF ratio, with a value of 0.18, CVGW belongs to the top of the industry, outperforming 93.02% of the companies in the same industry.
A Debt/Equity ratio of 0.02 indicates that CVGW is not too dependend on debt financing.
The Debt to Equity ratio of CVGW (0.02) is better than 83.72% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.02 | ||
| Debt/FCF | 0.18 | ||
| Altman-Z | 5.59 |
ROIC/WACC0.97
WACC8.58%
2.3 Liquidity
CVGW has a Current Ratio of 2.30. This indicates that CVGW is financially healthy and has no problem in meeting its short term obligations.
CVGW has a better Current ratio (2.30) than 70.93% of its industry peers.
A Quick Ratio of 1.86 indicates that CVGW should not have too much problems paying its short term obligations.
CVGW has a Quick ratio of 1.86. This is amongst the best in the industry. CVGW outperforms 84.88% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.3 | ||
| Quick Ratio | 1.86 |
3. Growth
3.1 Past
CVGW shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 84.93%, which is quite impressive.
CVGW shows a very negative growth in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -18.14% yearly.
The Revenue has decreased by -5.33% in the past 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
Based on estimates for the next years, CVGW will show a small growth in Revenue. The Revenue will grow by 7.34% on average per year.
EPS Next Y53.77%
EPS Next 2Y31.44%
EPS Next 3Y30.13%
EPS Next 5YN/A
Revenue Next Year3.63%
Revenue Next 2Y5.23%
Revenue Next 3Y7.34%
Revenue Next 5YN/A
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 16.55, which indicates a correct 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 62.79% of the companies listed in the same industry.
The average S&P500 Price/Earnings ratio is at 26.76. CVGW is valued slightly cheaper when compared to this.
A Price/Forward Earnings ratio of 11.65 indicates a reasonable valuation of CVGW.
82.56% of the companies in the same industry are more expensive than CVGW, based on the Price/Forward Earnings ratio.
CVGW is valuated rather cheaply when we compare the Price/Forward Earnings ratio to 22.63, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 16.55 | ||
| Fwd PE | 11.65 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of CVGW is on the same level as its industry peers.
Based on the Price/Free Cash Flow ratio, CVGW is valued a bit cheaper than 73.26% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 13.93 | ||
| EV/EBITDA | 10.3 |
4.3 Compensation for Growth
CVGW's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
A more expensive valuation may be justified as CVGW's earnings are expected to grow with 30.13% in the coming years.
PEG (NY)0.31
PEG (5Y)N/A
EPS Next 2Y31.44%
EPS Next 3Y30.13%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 3.37%, CVGW has a reasonable but not impressive dividend return.
CVGW's Dividend Yield is a higher than the industry average which is at 5.10.
CVGW's Dividend Yield is a higher than the S&P500 average which is at 2.31.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.37% |
5.2 History
The dividend of CVGW decreases each year by -12.87%.
CVGW has paid a dividend for at least 10 years, which is a reliable track record.
CVGW has decreased its dividend in the last 3 years.
Dividend Growth(5Y)-12.87%
Div Incr Years2
Div Non Decr Years2
5.3 Sustainability
90.26% of the earnings are spent on dividend by CVGW. This is not a sustainable payout ratio.
DP90.26%
EPS Next 2Y31.44%
EPS Next 3Y30.13%
22.34
-0.87 (-3.75%)
Chartmill FA Rating
GICS SectorConsumer Staples
GICS IndustryGroupFood, Beverage & Tobacco
GICS IndustryFood Products
Earnings (Last)
Earnings (Next)
Inst Owners75.38%
Inst Owner Change0.55%
Ins Owners2.74%
Ins Owner Change0%
Market Cap398.77M
Revenue(TTM)693.71M
Net Income(TTM)15.84M
Analysts80
Price Target35.7 (59.8%)
Short Float %2.78%
Short Ratio2.6
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.37% |
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)0%
EPS NQ rev (1m)6.89%
EPS NQ rev (3m)1.6%
EPS NY rev (1m)0%
EPS NY rev (3m)-1.39%
Revenue NQ rev (1m)-3.86%
Revenue NQ rev (3m)-10.9%
Revenue NY rev (1m)-1.71%
Revenue NY rev (3m)-4.92%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 16.55 | ||
| Fwd PE | 11.65 | ||
| P/S | 0.57 | ||
| P/FCF | 13.93 | ||
| P/OCF | 13.26 | ||
| P/B | 1.93 | ||
| P/tB | 2.03 | ||
| EV/EBITDA | 10.3 |
EPS(TTM)1.35
EY6.04%
EPS(NY)1.92
Fwd EY8.58%
FCF(TTM)1.6
FCFY7.18%
OCF(TTM)1.68
OCFY7.54%
SpS38.86
BVpS11.56
TBVpS10.99
PEG (NY)0.31
PEG (5Y)N/A
Graham Number18.74
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%
ROICexgc growth 3Y147.48%
ROICexgc 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 | 5.59 |
F-Score8
WACC8.58%
ROIC/WACC0.97
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 Y53.77%
EPS Next 2Y31.44%
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 Year3.63%
Revenue Next 2Y5.23%
Revenue Next 3Y7.34%
Revenue Next 5YN/A
EBIT growth 1Y47.4%
EBIT growth 3Y102.92%
EBIT growth 5Y-22.92%
EBIT Next Year61.11%
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%
CALAVO GROWERS INC / CVGW FAQ
What is the fundamental rating for CVGW stock?
ChartMill assigns a fundamental rating of 5 / 10 to CVGW.
What is the valuation status for CVGW stock?
ChartMill assigns a valuation rating of 6 / 10 to CALAVO GROWERS INC (CVGW). This can be considered as Fairly Valued.
What is the profitability of CVGW stock?
CALAVO GROWERS INC (CVGW) has a profitability rating of 4 / 10.
What are the PE and PB ratios of CALAVO GROWERS INC (CVGW) stock?
The Price/Earnings (PE) ratio for CALAVO GROWERS INC (CVGW) is 16.55 and the Price/Book (PB) ratio is 1.93.
Can you provide the financial health for CVGW stock?
The financial health rating of CALAVO GROWERS INC (CVGW) is 8 / 10.