25.15 USD
-0.85 (-3.27%)
25.15 USD
0 (0%)
Overall CVGW gets a fundamental rating of 6 out of 10. We evaluated CVGW against 87 industry peers in the Food Products industry. CVGW is in great health and has no worries on liquidiy or solvency at all, but the profibility rating is only average. CVGW has a correct valuation and a medium 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 4 of the past 5 years.
- Of the past 5 years CVGW 4 years had a positive operating cash flow.
1.2 Ratios
- CVGW has a Return On Assets of 6.77%. This is amongst the best in the industry. CVGW outperforms 83.91% of its industry peers.
- The Return On Equity of CVGW (9.57%) is better than 75.86% of its industry peers.
- CVGW's Return On Invested Capital of 7.32% is fine compared to the rest of the industry. CVGW outperforms 78.16% of its industry peers.
- The Average Return On Invested Capital over the past 3 years for CVGW is significantly below the industry average of 27.79%.
- The 3 year average ROIC (5.37%) for CVGW is below the current ROIC(7.32%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.77% | ||
| ROE | 9.57% | ||
| ROIC | 7.32% |
ROA(3y)1.42%
ROA(5y)0%
ROE(3y)1.68%
ROE(5y)-0.6%
ROIC(3y)5.37%
ROIC(5y)4.05%
1.3 Margins
- Looking at the Profit Margin, with a value of 3.05%, CVGW is in the better half of the industry, outperforming 60.92% of the companies in the same industry.
- CVGW has a Operating Margin (3.33%) which is comparable to the rest of the industry.
- In the last couple of years the Operating Margin of CVGW has grown nicely.
- CVGW has a Gross Margin of 9.82%. This is in the lower half of the industry: CVGW underperforms 67.82% of its industry peers.
- CVGW's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 3.33% | ||
| PM (TTM) | 3.05% | ||
| GM | 9.82% |
OM growth 3Y45.19%
OM growth 5Y1.8%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y16.56%
GM growth 5Y2.96%
2. Health
2.1 Basic Checks
- With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), CVGW is destroying value.
- CVGW has more shares outstanding than it did 1 year ago.
- CVGW has more shares outstanding than it did 5 years ago.
- The debt/assets ratio for CVGW has been reduced compared to a year ago.
2.2 Solvency
- An Altman-Z score of 6.23 indicates that CVGW is not in any danger for bankruptcy at the moment.
- CVGW has a better Altman-Z score (6.23) than 88.51% of its industry peers.
- CVGW has a debt to FCF ratio of 0.25. This is a very positive value and a sign of high solvency as it would only need 0.25 years to pay back of all of its debts.
- CVGW has a better Debt to FCF ratio (0.25) than 94.25% 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.
- CVGW's Debt to Equity ratio of 0.02 is amongst the best of the industry. CVGW outperforms 82.76% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.02 | ||
| Debt/FCF | 0.25 | ||
| Altman-Z | 6.23 |
ROIC/WACC0.82
WACC8.92%
2.3 Liquidity
- A Current Ratio of 2.47 indicates that CVGW has no problem at all paying its short term obligations.
- CVGW has a better Current ratio (2.47) than 72.41% of its industry peers.
- CVGW has a Quick Ratio of 1.92. This is a normal value and indicates that CVGW is financially healthy and should not expect problems in meeting its short term obligations.
- CVGW has a better Quick ratio (1.92) than 86.21% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.47 | ||
| Quick Ratio | 1.92 |
3. Growth
3.1 Past
- CVGW shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 39.64%, which is quite impressive.
- Measured over the past 5 years, CVGW shows a small growth in Earnings Per Share. The EPS has been growing by 0.13% on average per year.
- CVGW shows a decrease in Revenue. In the last year, the revenue decreased by -1.98%.
- CVGW shows a decrease in Revenue. Measured over the last years, the Revenue has been decreasing by -9.35% yearly.
EPS 1Y (TTM)39.64%
EPS 3Y45.81%
EPS 5Y0.13%
EPS Q2Q%400%
Revenue 1Y (TTM)-1.98%
Revenue growth 3Y-18.35%
Revenue growth 5Y-9.35%
Sales Q2Q%-26.63%
3.2 Future
- Based on estimates for the next years, CVGW will show a very strong growth in Earnings Per Share. The EPS will grow by 25.62% on average per year.
- The Revenue is expected to grow by 9.24% on average over the next years. This is quite good.
EPS Next Y10.99%
EPS Next 2Y25.62%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year6.86%
Revenue Next 2Y9.24%
Revenue Next 3YN/A
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
- With a Price/Earnings ratio of 16.23, CVGW is valued correctly.
- Compared to the rest of the industry, the Price/Earnings ratio of CVGW indicates a somewhat cheap valuation: CVGW is cheaper than 62.07% of the companies listed in the same industry.
- CVGW is valuated rather cheaply when we compare the Price/Earnings ratio to 27.21, which is the current average of the S&P500 Index.
- The Price/Forward Earnings ratio is 14.62, 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 71.26% of the companies listed in the same industry.
- CVGW's Price/Forward Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 24.26.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 16.23 | ||
| Fwd PE | 14.62 |
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.
- 62.07% 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 | 23.15 | ||
| EV/EBITDA | 14.04 |
4.3 Compensation for Growth
- CVGW's PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
- CVGW's earnings are expected to grow with 25.62% in the coming years. This may justify a more expensive valuation.
PEG (NY)1.48
PEG (5Y)125.26
EPS Next 2Y25.62%
EPS Next 3YN/A
5. Dividend
5.1 Amount
- CVGW has a Yearly Dividend Yield of 3.08%.
- Compared to an average industry Dividend Yield of 2.29, CVGW pays a bit more dividend than its industry peers.
- CVGW's Dividend Yield is rather good when compared to the S&P500 average which is at 1.81.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.08% |
5.2 History
- The dividend of CVGW decreases each year by -6.10%.
- CVGW has been paying a dividend for at least 10 years, so it has a reliable track record.
- CVGW has decreased its dividend in the last 3 years.
Dividend Growth(5Y)-6.1%
Div Incr Years2
Div Non Decr Years2
5.3 Sustainability
- CVGW pays out 72.18% of its income as dividend. This is not a sustainable payout ratio.
DP72.18%
EPS Next 2Y25.62%
EPS Next 3YN/A
CALAVO GROWERS INC / CVGW FAQ
What is the fundamental rating for CVGW stock?
ChartMill assigns a fundamental rating of 6 / 10 to CVGW.
Can you provide the valuation status for CALAVO GROWERS INC?
ChartMill assigns a valuation rating of 5 / 10 to CALAVO GROWERS INC (CVGW). This can be considered as Fairly Valued.
Can you provide the profitability details for CALAVO GROWERS INC?
CALAVO GROWERS INC (CVGW) has a profitability rating of 5 / 10.
Can you provide the PE and PB ratios for CVGW stock?
The Price/Earnings (PE) ratio for CALAVO GROWERS INC (CVGW) is 16.23 and the Price/Book (PB) ratio is 2.17.
Is the dividend of CALAVO GROWERS INC sustainable?
The dividend rating of CALAVO GROWERS INC (CVGW) is 4 / 10 and the dividend payout ratio is 72.18%.