CASELLA WASTE SYSTEMS INC-A (CWST) Stock Fundamental Analysis
NASDAQ:CWST - Nasdaq - US1474481041 - Common Stock - Currency: USD
Overall CWST gets a fundamental rating of 4 out of 10. We evaluated CWST against 83 industry peers in the Commercial Services & Supplies industry. Both the profitability and the financial health of CWST get a neutral evaluation. Nothing too spectacular is happening here. CWST is valued quite expensive, but it does show an excellent growth.
1. Profitability
1.1 Basic Checks
In the past year CWST was profitable.
In the past year CWST had a positive cash flow from operations.
CWST had positive earnings in each of the past 5 years.
In the past 5 years CWST always reported a positive cash flow from operatings.
1.2 Ratios
CWST has a Return On Assets (0.40%) which is comparable to the rest of the industry.
Looking at the Return On Equity, with a value of 0.83%, CWST is in line with its industry, outperforming 46.99% of the companies in the same industry.
CWST's Return On Invested Capital of 2.27% is in line compared to the rest of the industry. CWST outperforms 40.96% of its industry peers.
The Average Return On Invested Capital over the past 3 years for CWST is significantly below the industry average of 10.89%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.4% | ||
| ROE | 0.83% | ||
| ROIC | 2.27% |
ROA(3y)1.69%
ROA(5y)3.18%
ROE(3y)4.67%
ROE(5y)9.78%
ROIC(3y)3.61%
ROIC(5y)3.98%
1.3 Margins
With a Profit Margin value of 0.79%, CWST perfoms like the industry average, outperforming 45.78% of the companies in the same industry.
CWST's Profit Margin has declined in the last couple of years.
CWST has a Operating Margin (6.19%) which is in line with its industry peers.
CWST's Operating Margin has declined in the last couple of years.
With a Gross Margin value of 34.06%, CWST perfoms like the industry average, outperforming 55.42% of the companies in the same industry.
In the last couple of years the Gross Margin of CWST has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 6.19% | ||
| PM (TTM) | 0.79% | ||
| GM | 34.06% |
OM growth 3Y-10.98%
OM growth 5Y-3.18%
PM growth 3Y-42.71%
PM growth 5Y-27.25%
GM growth 3Y-0.46%
GM growth 5Y1.52%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so CWST is destroying value.
The number of shares outstanding for CWST has been increased compared to 1 year ago.
Compared to 5 years ago, CWST has more shares outstanding
The debt/assets ratio for CWST has been reduced compared to a year ago.
2.2 Solvency
CWST has an Altman-Z score of 3.27. This indicates that CWST is financially healthy and has little risk of bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 3.27, CWST is in the better half of the industry, outperforming 66.27% of the companies in the same industry.
CWST has a debt to FCF ratio of 11.95. This is a negative value and a sign of low solvency as CWST would need 11.95 years to pay back of all of its debts.
CWST has a Debt to FCF ratio of 11.95. This is comparable to the rest of the industry: CWST outperforms 54.22% of its industry peers.
A Debt/Equity ratio of 0.72 indicates that CWST is somewhat dependend on debt financing.
The Debt to Equity ratio of CWST (0.72) is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.72 | ||
| Debt/FCF | 11.95 | ||
| Altman-Z | 3.27 |
ROIC/WACC0.27
WACC8.42%
2.3 Liquidity
A Current Ratio of 1.96 indicates that CWST should not have too much problems paying its short term obligations.
CWST's Current ratio of 1.96 is fine compared to the rest of the industry. CWST outperforms 69.88% of its industry peers.
A Quick Ratio of 1.87 indicates that CWST should not have too much problems paying its short term obligations.
CWST has a Quick ratio of 1.87. This is in the better half of the industry: CWST outperforms 77.11% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.96 | ||
| Quick Ratio | 1.87 |
3. Growth
3.1 Past
CWST shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 31.33%, which is quite impressive.
Measured over the past 5 years, CWST shows a small growth in Earnings Per Share. The EPS has been growing by 1.16% on average per year.
CWST shows a strong growth in Revenue. In the last year, the Revenue has grown by 21.63%.
Measured over the past years, CWST shows a quite strong growth in Revenue. The Revenue has been growing by 15.94% on average per year.
EPS 1Y (TTM)31.33%
EPS 3Y0%
EPS 5Y1.16%
EPS Q2Q%2000%
Revenue 1Y (TTM)21.63%
Revenue growth 3Y20.54%
Revenue growth 5Y15.94%
Sales Q2Q%22.31%
3.2 Future
CWST is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 25.07% yearly.
CWST is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 9.86% yearly.
EPS Next Y24.67%
EPS Next 2Y24.77%
EPS Next 3Y28.62%
EPS Next 5Y25.07%
Revenue Next Year16.58%
Revenue Next 2Y11.69%
Revenue Next 3Y11.24%
Revenue Next 5Y9.86%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last 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 105.18, the valuation of CWST can be described as expensive.
Based on the Price/Earnings ratio, CWST is valued a bit more expensive than 62.65% of the companies in the same industry.
CWST is valuated expensively when we compare the Price/Earnings ratio to 26.03, which is the current average of the S&P500 Index.
A Price/Forward Earnings ratio of 82.75 indicates a quite expensive valuation of CWST.
Compared to the rest of the industry, the Price/Forward Earnings ratio of CWST is on the same level as its industry peers.
Compared to an average S&P500 Price/Forward Earnings ratio of 21.94, CWST is valued quite expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 105.18 | ||
| Fwd PE | 82.75 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of CWST indicates a slightly more expensive valuation: CWST is more expensive than 60.24% of the companies listed in the same industry.
CWST's Price/Free Cash Flow ratio is in line with the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 76.53 | ||
| EV/EBITDA | 23.04 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
CWST's earnings are expected to grow with 28.62% in the coming years. This may justify a more expensive valuation.
PEG (NY)4.26
PEG (5Y)90.43
EPS Next 2Y24.77%
EPS Next 3Y28.62%
5. Dividend
5.1 Amount
No dividends for CWST!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
114.65
-1.54 (-1.33%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCommercial & Professional Services
GICS IndustryCommercial Services & Supplies
Earnings (Last)
Earnings (Next)
Inst Owners108.67%
Inst Owner Change0.37%
Ins Owners0.59%
Ins Owner Change0.27%
Market Cap7.28B
Analysts78.75
Price Target124.58 (8.66%)
Short Float %4.01%
Short Ratio4.7
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)126.58%
Min EPS beat(2)98.4%
Max EPS beat(2)154.76%
EPS beat(4)2
Avg EPS beat(4)57.1%
Min EPS beat(4)-22.52%
Max EPS beat(4)154.76%
EPS beat(8)3
Avg EPS beat(8)30.36%
EPS beat(12)6
Avg EPS beat(12)23.28%
EPS beat(16)10
Avg EPS beat(16)20.35%
Revenue beat(2)2
Avg Revenue beat(2)0.62%
Min Revenue beat(2)0.05%
Max Revenue beat(2)1.2%
Revenue beat(4)2
Avg Revenue beat(4)-0.51%
Min Revenue beat(4)-2.19%
Max Revenue beat(4)1.2%
Revenue beat(8)2
Avg Revenue beat(8)-2.02%
Revenue beat(12)6
Avg Revenue beat(12)0.32%
Revenue beat(16)10
Avg Revenue beat(16)1.13%
PT rev (1m)6.13%
PT rev (3m)6.55%
EPS NQ rev (1m)-11.85%
EPS NQ rev (3m)8.22%
EPS NY rev (1m)-2.62%
EPS NY rev (3m)15.76%
Revenue NQ rev (1m)0.82%
Revenue NQ rev (3m)3.52%
Revenue NY rev (1m)0.6%
Revenue NY rev (3m)4.13%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 105.18 | ||
| Fwd PE | 82.75 | ||
| P/S | 4.45 | ||
| P/FCF | 76.53 | ||
| P/OCF | 22.47 | ||
| P/B | 4.7 | ||
| P/tB | 40.92 | ||
| EV/EBITDA | 23.04 |
EPS(TTM)1.09
EY0.95%
EPS(NY)1.39
Fwd EY1.21%
FCF(TTM)1.5
FCFY1.31%
OCF(TTM)5.1
OCFY4.45%
SpS25.74
BVpS24.38
TBVpS2.8
PEG (NY)4.26
PEG (5Y)90.43
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.4% | ||
| ROE | 0.83% | ||
| ROCE | 3.42% | ||
| ROIC | 2.27% | ||
| ROICexc | 2.5% | ||
| ROICexgc | 5.1% | ||
| OM | 6.19% | ||
| PM (TTM) | 0.79% | ||
| GM | 34.06% | ||
| FCFM | 5.82% |
ROA(3y)1.69%
ROA(5y)3.18%
ROE(3y)4.67%
ROE(5y)9.78%
ROIC(3y)3.61%
ROIC(5y)3.98%
ROICexc(3y)3.95%
ROICexc(5y)4.35%
ROICexgc(3y)6.82%
ROICexgc(5y)6.88%
ROCE(3y)5.43%
ROCE(5y)5.99%
ROICexcg growth 3Y-8.01%
ROICexcg growth 5Y-4.21%
ROICexc growth 3Y-18.87%
ROICexc growth 5Y-10.94%
OM growth 3Y-10.98%
OM growth 5Y-3.18%
PM growth 3Y-42.71%
PM growth 5Y-27.25%
GM growth 3Y-0.46%
GM growth 5Y1.52%
F-Score5
Asset Turnover0.51
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.72 | ||
| Debt/FCF | 11.95 | ||
| Debt/EBITDA | 3.16 | ||
| Cap/Depr | 90.64% | ||
| Cap/Sales | 14% | ||
| Interest Coverage | 1.72 | ||
| Cash Conversion | 91.61% | ||
| Profit Quality | 740.23% | ||
| Current Ratio | 1.96 | ||
| Quick Ratio | 1.87 | ||
| Altman-Z | 3.27 |
F-Score5
WACC8.42%
ROIC/WACC0.27
Cap/Depr(3y)93.67%
Cap/Depr(5y)103.82%
Cap/Sales(3y)12.46%
Cap/Sales(5y)13.04%
Profit Quality(3y)348.49%
Profit Quality(5y)244.98%
High Growth Momentum
Growth
EPS 1Y (TTM)31.33%
EPS 3Y0%
EPS 5Y1.16%
EPS Q2Q%2000%
EPS Next Y24.67%
EPS Next 2Y24.77%
EPS Next 3Y28.62%
EPS Next 5Y25.07%
Revenue 1Y (TTM)21.63%
Revenue growth 3Y20.54%
Revenue growth 5Y15.94%
Sales Q2Q%22.31%
Revenue Next Year16.58%
Revenue Next 2Y11.69%
Revenue Next 3Y11.24%
Revenue Next 5Y9.86%
EBIT growth 1Y-3.24%
EBIT growth 3Y7.31%
EBIT growth 5Y12.26%
EBIT Next Year261.84%
EBIT Next 3Y62.04%
EBIT Next 5Y40.05%
FCF growth 1Y30.77%
FCF growth 3Y9.43%
FCF growth 5Y41.76%
OCF growth 1Y55.15%
OCF growth 3Y15.48%
OCF growth 5Y19.22%