CORECIVIC INC (CXW) Stock Fundamental Analysis
NYSE:CXW - New York Stock Exchange, Inc. - US21871N1019 - Common Stock - Currency: USD
We assign a fundamental rating of 4 out of 10 to CXW. CXW was compared to 83 industry peers in the Commercial Services & Supplies industry. CXW has an average financial health and profitability rating. CXW is not valued too expensively and it also shows a decent growth rate.
1. Profitability
1.1 Basic Checks
CXW had positive earnings in the past year.
In the past year CXW had a positive cash flow from operations.
CXW had positive earnings in 4 of the past 5 years.
In the past 5 years CXW always reported a positive cash flow from operatings.
1.2 Ratios
CXW's Return On Assets of 2.81% is in line compared to the rest of the industry. CXW outperforms 57.83% of its industry peers.
CXW has a Return On Equity (5.72%) which is comparable to the rest of the industry.
CXW has a Return On Invested Capital of 4.81%. This is comparable to the rest of the industry: CXW outperforms 50.60% of its industry peers.
The Average Return On Invested Capital over the past 3 years for CXW is significantly below the industry average of 11.67%.
The 3 year average ROIC (4.72%) for CXW is below the current ROIC(4.81%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.81% | ||
| ROE | 5.72% | ||
| ROIC | 4.81% |
ROA(3y)2.77%
ROA(5y)1.65%
ROE(3y)5.91%
ROE(5y)3.57%
ROIC(3y)4.72%
ROIC(5y)4.97%
1.3 Margins
Looking at the Profit Margin, with a value of 4.33%, CXW is in the better half of the industry, outperforming 61.45% of the companies in the same industry.
In the last couple of years the Profit Margin of CXW has declined.
With a decent Operating Margin value of 9.29%, CXW is doing good in the industry, outperforming 67.47% of the companies in the same industry.
CXW's Operating Margin has declined in the last couple of years.
CXW's Gross Margin of 23.57% is on the low side compared to the rest of the industry. CXW is outperformed by 66.27% of its industry peers.
In the last couple of years the Gross Margin of CXW has declined.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 9.29% | ||
| PM (TTM) | 4.33% | ||
| GM | 23.57% |
OM growth 3Y-11.18%
OM growth 5Y-7.87%
PM growth 3YN/A
PM growth 5Y-18.12%
GM growth 3Y-5.42%
GM growth 5Y-3.25%
2. Health
2.1 Basic Checks
CXW 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, CXW has less shares outstanding
The number of shares outstanding for CXW has been reduced compared to 5 years ago.
Compared to 1 year ago, CXW has an improved debt to assets ratio.
2.2 Solvency
Based on the Altman-Z score of 1.69, we must say that CXW is in the distress zone and has some risk of bankruptcy.
CXW has a worse Altman-Z score (1.69) than 63.86% of its industry peers.
The Debt to FCF ratio of CXW is 6.22, which is on the high side as it means it would take CXW, 6.22 years of fcf income to pay off all of its debts.
CXW has a Debt to FCF ratio of 6.22. This is in the better half of the industry: CXW outperforms 65.06% of its industry peers.
CXW has a Debt/Equity ratio of 0.66. This is a neutral value indicating CXW is somewhat dependend on debt financing.
CXW has a Debt to Equity ratio of 0.66. This is comparable to the rest of the industry: CXW outperforms 44.58% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.66 | ||
| Debt/FCF | 6.22 | ||
| Altman-Z | 1.69 |
ROIC/WACC0.48
WACC9.93%
2.3 Liquidity
A Current Ratio of 1.55 indicates that CXW should not have too much problems paying its short term obligations.
CXW has a Current ratio (1.55) which is in line with its industry peers.
A Quick Ratio of 1.55 indicates that CXW should not have too much problems paying its short term obligations.
The Quick ratio of CXW (1.55) is better than 63.86% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.55 | ||
| Quick Ratio | 1.55 |
3. Growth
3.1 Past
CXW shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 35.71%, which is quite impressive.
The earnings per share for CXW have been decreasing by -17.17% on average. This is quite bad
CXW shows a small growth in Revenue. In the last year, the Revenue has grown by 0.53%.
CXW shows a decrease in Revenue. Measured over the last years, the Revenue has been decreasing by -0.19% yearly.
EPS 1Y (TTM)35.71%
EPS 3Y25.31%
EPS 5Y-17.17%
EPS Q2Q%187.5%
Revenue 1Y (TTM)0.53%
Revenue growth 3Y1.74%
Revenue growth 5Y-0.19%
Sales Q2Q%-2.41%
3.2 Future
CXW is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 56.89% yearly.
The Revenue is expected to grow by 9.05% on average over the next years. This is quite good.
EPS Next Y38.55%
EPS Next 2Y56.89%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year4.83%
Revenue Next 2Y9.05%
Revenue Next 3YN/A
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.
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
Based on the Price/Earnings ratio of 27.12, the valuation of CXW can be described as expensive.
CXW's Price/Earnings ratio is in line with the industry average.
When comparing the Price/Earnings ratio of CXW to the average of the S&P500 Index (26.32), we can say CXW is valued inline with the index average.
Based on the Price/Forward Earnings ratio of 13.73, the valuation of CXW can be described as correct.
Compared to the rest of the industry, the Price/Forward Earnings ratio of CXW indicates a somewhat cheap valuation: CXW is cheaper than 77.11% of the companies listed in the same industry.
CXW's Price/Forward Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 22.13.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 27.12 | ||
| Fwd PE | 13.73 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of CXW indicates a somewhat cheap valuation: CXW is cheaper than 65.06% of the companies listed in the same industry.
Based on the Price/Free Cash Flow ratio, CXW is valued a bit cheaper than 75.90% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 14.23 | ||
| EV/EBITDA | 10.25 |
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.
CXW's earnings are expected to grow with 56.89% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.7
PEG (5Y)N/A
EPS Next 2Y56.89%
EPS Next 3YN/A
5. Dividend
5.1 Amount
CXW does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
20.61
-0.87 (-4.05%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCommercial & Professional Services
GICS IndustryCommercial Services & Supplies
Earnings (Last)
Earnings (Next)
Inst Owners89.53%
Inst Owner Change-3.8%
Ins Owners1.91%
Ins Owner Change8.58%
Market Cap2.25B
Analysts82.5
Price Target31.88 (54.68%)
Short Float %2.96%
Short Ratio3
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly Dividend0
Dividend Growth(5Y)-76.74%
DP0.14%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)76.43%
Min EPS beat(2)68.32%
Max EPS beat(2)84.54%
EPS beat(4)4
Avg EPS beat(4)74.53%
Min EPS beat(4)31.5%
Max EPS beat(4)113.77%
EPS beat(8)6
Avg EPS beat(8)34.92%
EPS beat(12)8
Avg EPS beat(12)20.72%
EPS beat(16)10
Avg EPS beat(16)23.97%
Revenue beat(2)2
Avg Revenue beat(2)1.56%
Min Revenue beat(2)1.11%
Max Revenue beat(2)2.02%
Revenue beat(4)4
Avg Revenue beat(4)1.85%
Min Revenue beat(4)0.7%
Max Revenue beat(4)3.59%
Revenue beat(8)6
Avg Revenue beat(8)1.2%
Revenue beat(12)6
Avg Revenue beat(12)0.26%
Revenue beat(16)6
Avg Revenue beat(16)-0.33%
PT rev (1m)2.46%
PT rev (3m)11.61%
EPS NQ rev (1m)12.4%
EPS NQ rev (3m)25.73%
EPS NY rev (1m)0%
EPS NY rev (3m)22.73%
Revenue NQ rev (1m)0.6%
Revenue NQ rev (3m)1.64%
Revenue NY rev (1m)0.59%
Revenue NY rev (3m)2.49%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 27.12 | ||
| Fwd PE | 13.73 | ||
| P/S | 1.15 | ||
| P/FCF | 14.23 | ||
| P/OCF | 9.25 | ||
| P/B | 1.53 | ||
| P/tB | 1.53 | ||
| EV/EBITDA | 10.25 |
EPS(TTM)0.76
EY3.69%
EPS(NY)1.5
Fwd EY7.29%
FCF(TTM)1.45
FCFY7.03%
OCF(TTM)2.23
OCFY10.81%
SpS17.86
BVpS13.51
TBVpS13.47
PEG (NY)0.7
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.81% | ||
| ROE | 5.72% | ||
| ROCE | 6.62% | ||
| ROIC | 4.81% | ||
| ROICexc | 4.95% | ||
| ROICexgc | 4.96% | ||
| OM | 9.29% | ||
| PM (TTM) | 4.33% | ||
| GM | 23.57% | ||
| FCFM | 8.11% |
ROA(3y)2.77%
ROA(5y)1.65%
ROE(3y)5.91%
ROE(5y)3.57%
ROIC(3y)4.72%
ROIC(5y)4.97%
ROICexc(3y)4.95%
ROICexc(5y)5.26%
ROICexgc(3y)4.97%
ROICexgc(5y)5.28%
ROCE(3y)6.5%
ROCE(5y)6.83%
ROICexcg growth 3Y-6%
ROICexcg growth 5Y-3.21%
ROICexc growth 3Y-5.99%
ROICexc growth 5Y-2.92%
OM growth 3Y-11.18%
OM growth 5Y-7.87%
PM growth 3YN/A
PM growth 5Y-18.12%
GM growth 3Y-5.42%
GM growth 5Y-3.25%
F-Score9
Asset Turnover0.65
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.66 | ||
| Debt/FCF | 6.22 | ||
| Debt/EBITDA | 3.15 | ||
| Cap/Depr | 67.21% | ||
| Cap/Sales | 4.37% | ||
| Interest Coverage | 3.03 | ||
| Cash Conversion | 79% | ||
| Profit Quality | 187.2% | ||
| Current Ratio | 1.55 | ||
| Quick Ratio | 1.55 | ||
| Altman-Z | 1.69 |
F-Score9
WACC9.93%
ROIC/WACC0.48
Cap/Depr(3y)58.14%
Cap/Depr(5y)58%
Cap/Sales(3y)3.91%
Cap/Sales(5y)4.1%
Profit Quality(3y)195.22%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)35.71%
EPS 3Y25.31%
EPS 5Y-17.17%
EPS Q2Q%187.5%
EPS Next Y38.55%
EPS Next 2Y56.89%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)0.53%
Revenue growth 3Y1.74%
Revenue growth 5Y-0.19%
Sales Q2Q%-2.41%
Revenue Next Year4.83%
Revenue Next 2Y9.05%
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y-2.31%
EBIT growth 3Y-9.64%
EBIT growth 5Y-8.05%
EBIT Next Year99.22%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y135.79%
FCF growth 3Y2.78%
FCF growth 5Y4.21%
OCF growth 1Y66.97%
OCF growth 3Y0.74%
OCF growth 5Y-5.35%