COVENANT LOGISTICS GROUP INC (CVLG) Stock Fundamental Analysis
NYSE:CVLG - US22284P1057 - Common Stock
23.775 USD
-0.16 (-0.65%)
CVLG gets a fundamental rating of 5 out of 10. The analysis compared the fundamentals against 41 industry peers in the Ground Transportation industry. CVLG has an average financial health and profitability rating. CVLG is not valued too expensively and it also shows a decent growth rate.
1. Profitability
1.1 Basic Checks
In the past year CVLG was profitable.
In the past year CVLG had a positive cash flow from operations.
CVLG had positive earnings in 4 of the past 5 years.
Each year in the past 5 years CVLG had a positive operating cash flow.
1.2 Ratios
The Return On Assets of CVLG (3.58%) is better than 60.98% of its industry peers.
CVLG has a Return On Equity (8.67%) which is in line with its industry peers.
CVLG has a Return On Invested Capital (4.11%) which is in line with its industry peers.
CVLG had an Average Return On Invested Capital over the past 3 years of 6.14%. This is in line with the industry average of 7.92%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.58% | ||
| ROE | 8.67% | ||
| ROIC | 4.11% |
ROA(3y)7.68%
ROA(5y)5.21%
ROE(3y)16.9%
ROE(5y)10.67%
ROIC(3y)6.14%
ROIC(5y)5.88%
1.3 Margins
CVLG has a Profit Margin (3.18%) which is comparable to the rest of the industry.
CVLG's Profit Margin has improved in the last couple of years.
CVLG's Operating Margin of 3.93% is in line compared to the rest of the industry. CVLG outperforms 51.22% of its industry peers.
In the last couple of years the Operating Margin of CVLG has grown nicely.
CVLG has a Gross Margin of 67.43%. This is amongst the best in the industry. CVLG outperforms 80.49% of its industry peers.
In the last couple of years the Gross Margin of CVLG has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 3.93% | ||
| PM (TTM) | 3.18% | ||
| GM | 67.43% |
OM growth 3Y-12.2%
OM growth 5Y38.52%
PM growth 3Y-18.23%
PM growth 5Y27.09%
GM growth 3Y4.84%
GM growth 5Y1.05%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so CVLG is destroying value.
Compared to 1 year ago, CVLG has more shares outstanding
CVLG has less shares outstanding than it did 5 years ago.
CVLG has a better debt/assets ratio than last year.
2.2 Solvency
An Altman-Z score of 2.30 indicates that CVLG is not a great score, but indicates only limited risk for bankruptcy at the moment.
CVLG has a Altman-Z score of 2.30. This is comparable to the rest of the industry: CVLG outperforms 56.10% of its industry peers.
The Debt to FCF ratio of CVLG is 169.20, which is on the high side as it means it would take CVLG, 169.20 years of fcf income to pay off all of its debts.
CVLG has a Debt to FCF ratio of 169.20. This is comparable to the rest of the industry: CVLG outperforms 58.54% of its industry peers.
CVLG has a Debt/Equity ratio of 0.52. This is a neutral value indicating CVLG is somewhat dependend on debt financing.
CVLG has a Debt to Equity ratio of 0.52. This is comparable to the rest of the industry: CVLG outperforms 41.46% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.52 | ||
| Debt/FCF | 169.2 | ||
| Altman-Z | 2.3 |
ROIC/WACC0.49
WACC8.35%
2.3 Liquidity
A Current Ratio of 1.09 indicates that CVLG should not have too much problems paying its short term obligations.
CVLG's Current ratio of 1.09 is in line compared to the rest of the industry. CVLG outperforms 53.66% of its industry peers.
A Quick Ratio of 1.06 indicates that CVLG should not have too much problems paying its short term obligations.
The Quick ratio of CVLG (1.06) is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.09 | ||
| Quick Ratio | 1.06 |
3. Growth
3.1 Past
The earnings per share for CVLG have decreased strongly by -11.52% in the last year.
The Earnings Per Share has been growing by 43.91% on average over the past years. This is a very strong growth
CVLG shows a small growth in Revenue. In the last year, the Revenue has grown by 0.75%.
CVLG shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 5.03% yearly.
EPS 1Y (TTM)-11.52%
EPS 3Y3.05%
EPS 5Y43.91%
EPS Q2Q%-13.46%
Revenue 1Y (TTM)0.75%
Revenue growth 3Y2.65%
Revenue growth 5Y5.03%
Sales Q2Q%5.34%
3.2 Future
The Earnings Per Share is expected to grow by 12.31% on average over the next years. This is quite good.
The Revenue is expected to grow by 3.84% on average over the next years.
EPS Next Y-9.49%
EPS Next 2Y12.31%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year1.89%
Revenue Next 2Y3.84%
Revenue Next 3YN/A
Revenue Next 5YN/A
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.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 13.14, the valuation of CVLG can be described as correct.
Based on the Price/Earnings ratio, CVLG is valued cheaply inside the industry as 92.68% of the companies are valued more expensively.
When comparing the Price/Earnings ratio of CVLG to the average of the S&P500 Index (27.02), we can say CVLG is valued rather cheaply.
With a Price/Forward Earnings ratio of 9.54, the valuation of CVLG can be described as very reasonable.
Compared to the rest of the industry, the Price/Forward Earnings ratio of CVLG indicates a rather cheap valuation: CVLG is cheaper than 97.56% of the companies listed in the same industry.
When comparing the Price/Forward Earnings ratio of CVLG to the average of the S&P500 Index (22.66), we can say CVLG is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 13.14 | ||
| Fwd PE | 9.54 |
4.2 Price Multiples
CVLG's Enterprise Value to EBITDA ratio is rather cheap when compared to the industry. CVLG is cheaper than 85.37% of the companies in the same industry.
CVLG's Price/Free Cash Flow ratio is in line with the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 372.01 | ||
| EV/EBITDA | 6.52 |
4.3 Compensation for Growth
CVLG has a very decent profitability rating, which may justify a higher PE ratio.
CVLG's earnings are expected to grow with 12.31% in the coming years. This may justify a more expensive valuation.
PEG (NY)N/A
PEG (5Y)0.3
EPS Next 2Y12.31%
EPS Next 3YN/A
5. Dividend
5.1 Amount
CVLG has a Yearly Dividend Yield of 1.16%.
CVLG's Dividend Yield is a higher than the industry average which is at 1.58.
With a Dividend Yield of 1.16, CVLG pays less dividend than the S&P500 average, which is at 2.45.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.16% |
5.2 History
CVLG has paid a dividend for less than 5 years, so there is no long track record yet.
Dividend Growth(5Y)N/A
Div Incr Years0
Div Non Decr Years2
5.3 Sustainability
CVLG pays out 18.14% of its income as dividend. This is a sustainable payout ratio.
DP18.14%
EPS Next 2Y12.31%
EPS Next 3YN/A
NYSE:CVLG (9/8/2025, 12:15:58 PM)
23.775
-0.16 (-0.65%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupTransportation
GICS IndustryGround Transportation
Earnings (Last)
Earnings (Next)
Inst Owners66.85%
Inst Owner ChangeN/A
Ins Owners25.68%
Ins Owner Change0.99%
Market Cap594.85M
Analysts82
Price Target33.66 (41.58%)
Short Float %3.07%
Short Ratio4.1
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.16% |
Yearly Dividend0.23
Dividend Growth(5Y)N/A
DP18.14%
Div Incr Years0
Div Non Decr Years2
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-1.22%
Min EPS beat(2)-5.65%
Max EPS beat(2)3.2%
EPS beat(4)1
Avg EPS beat(4)-1.98%
Min EPS beat(4)-5.65%
Max EPS beat(4)3.2%
EPS beat(8)4
Avg EPS beat(8)0.2%
EPS beat(12)7
Avg EPS beat(12)2.42%
EPS beat(16)10
Avg EPS beat(16)6.42%
Revenue beat(2)1
Avg Revenue beat(2)-1.17%
Min Revenue beat(2)-5.67%
Max Revenue beat(2)3.33%
Revenue beat(4)1
Avg Revenue beat(4)-3.19%
Min Revenue beat(4)-5.86%
Max Revenue beat(4)3.33%
Revenue beat(8)2
Avg Revenue beat(8)-2.27%
Revenue beat(12)4
Avg Revenue beat(12)-1.27%
Revenue beat(16)8
Avg Revenue beat(16)0.68%
PT rev (1m)1.02%
PT rev (3m)3.13%
EPS NQ rev (1m)0%
EPS NQ rev (3m)0.7%
EPS NY rev (1m)-0.85%
EPS NY rev (3m)-0.85%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)2.31%
Revenue NY rev (1m)0%
Revenue NY rev (3m)1.98%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 13.14 | ||
| Fwd PE | 9.54 | ||
| P/S | 0.52 | ||
| P/FCF | 372.01 | ||
| P/OCF | 4.74 | ||
| P/B | 1.43 | ||
| P/tB | 2.46 | ||
| EV/EBITDA | 6.52 |
EPS(TTM)1.81
EY7.61%
EPS(NY)2.49
Fwd EY10.48%
FCF(TTM)0.06
FCFY0.27%
OCF(TTM)5.02
OCFY21.1%
SpS45.46
BVpS16.66
TBVpS9.66
PEG (NY)N/A
PEG (5Y)0.3
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.58% | ||
| ROE | 8.67% | ||
| ROCE | 5.4% | ||
| ROIC | 4.11% | ||
| ROICexc | 4.11% | ||
| ROICexgc | 5.21% | ||
| OM | 3.93% | ||
| PM (TTM) | 3.18% | ||
| GM | 67.43% | ||
| FCFM | 0.14% |
ROA(3y)7.68%
ROA(5y)5.21%
ROE(3y)16.9%
ROE(5y)10.67%
ROIC(3y)6.14%
ROIC(5y)5.88%
ROICexc(3y)6.59%
ROICexc(5y)6.19%
ROICexgc(3y)8.26%
ROICexgc(5y)7.51%
ROCE(3y)8.04%
ROCE(5y)7.71%
ROICexcg growth 3Y-19.39%
ROICexcg growth 5Y45.18%
ROICexc growth 3Y-22.28%
ROICexc growth 5Y41.41%
OM growth 3Y-12.2%
OM growth 5Y38.52%
PM growth 3Y-18.23%
PM growth 5Y27.09%
GM growth 3Y4.84%
GM growth 5Y1.05%
F-Score6
Asset Turnover1.13
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.52 | ||
| Debt/FCF | 169.2 | ||
| Debt/EBITDA | 1.64 | ||
| Cap/Depr | 140.5% | ||
| Cap/Sales | 10.9% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 94.41% | ||
| Profit Quality | 4.42% | ||
| Current Ratio | 1.09 | ||
| Quick Ratio | 1.06 | ||
| Altman-Z | 2.3 |
F-Score6
WACC8.35%
ROIC/WACC0.49
Cap/Depr(3y)220.86%
Cap/Depr(5y)174.34%
Cap/Sales(3y)13.83%
Cap/Sales(5y)11.22%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-11.52%
EPS 3Y3.05%
EPS 5Y43.91%
EPS Q2Q%-13.46%
EPS Next Y-9.49%
EPS Next 2Y12.31%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)0.75%
Revenue growth 3Y2.65%
Revenue growth 5Y5.03%
Sales Q2Q%5.34%
Revenue Next Year1.89%
Revenue Next 2Y3.84%
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y-10.59%
EBIT growth 3Y-9.87%
EBIT growth 5Y45.48%
EBIT Next Year103.25%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y104.29%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y32.56%
OCF growth 3Y18.84%
OCF growth 5Y13.93%