NYSE:YOU, a growth stock which is not overvalued.

Last update: Dec 16, 2024

Our stock screener has spotted CLEAR SECURE INC -CLASS A (NYSE:YOU) as a growth stock which is not overvalued. NYSE:YOU is scoring great on several growth aspects while it also shows decent health and profitability. At the same time it remains remains attractively priced. We'll dive into each aspect below.

Deciphering NYSE:YOU's Growth Rating

A key component of ChartMill's stock assessment is the Growth Rating, which spans from 0 to 10. This rating evaluates diverse growth factors, such as EPS and revenue growth, considering both past performance and future projections. NYSE:YOU has received a 7 out of 10:

YOU shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 94.64%, which is quite impressive.
The Revenue has grown by 28.75% in the past year. This is a very strong growth!
The Revenue has been growing by 38.53% on average over the past years. This is a very strong growth!
YOU is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 39.56% yearly.
YOU is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 16.49% yearly.

Valuation Analysis for NYSE:YOU

ChartMill assigns a proprietary Valuation Rating to each stock. The score is computed by evaluating various valuation aspects, like price to earnings and free cash flow, both absolutely as relative to the market and industry. NYSE:YOU was assigned a score of 7 for valuation:

79.86% of the companies in the same industry are more expensive than YOU, based on the Price/Earnings ratio.
81.30% of the companies in the same industry are more expensive than YOU, based on the Price/Forward Earnings ratio.
Based on the Enterprise Value to EBITDA ratio, YOU is valued cheaper than 83.09% of the companies in the same industry.
YOU's Price/Free Cash Flow ratio is rather cheap when compared to the industry. YOU is cheaper than 91.73% of the companies in the same industry.
The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
The decent profitability rating of YOU may justify a higher PE ratio.
YOU's earnings are expected to grow with 39.56% in the coming years. This may justify a more expensive valuation.

Looking at the Health

Every stock is evaluated by ChartMill, receiving a Health Rating on a scale of 0 to 10. This assessment considers different health aspects, including liquidity and solvency, both in absolute terms and relative to industry peers. NYSE:YOU has achieved a 7 out of 10:

YOU has an Altman-Z score of 4.32. This indicates that YOU is financially healthy and has little risk of bankruptcy at the moment.
There is no outstanding debt for YOU. This means it has a Debt/Equity and Debt/FCF ratio of 0 and it is amongst the best of the sector and industry.

What does the Profitability looks like for NYSE:YOU

Discover ChartMill's exclusive Profitability Rating, a proprietary metric that assesses stocks on a scale of 0 to 10. It takes into consideration various profitability ratios and margins, both in absolute terms and relative to industry peers. Notably, NYSE:YOU has achieved a 6:

YOU's Return On Assets of 9.36% is amongst the best of the industry. YOU outperforms 85.61% of its industry peers.
YOU has a better Return On Equity (62.31%) than 97.48% of its industry peers.
With an excellent Return On Invested Capital value of 27.28%, YOU belongs to the best of the industry, outperforming 97.12% of the companies in the same industry.
YOU has a better Profit Margin (10.93%) than 78.42% of its industry peers.
The Operating Margin of YOU (14.14%) is better than 82.73% of its industry peers.
Looking at the Gross Margin, with a value of 85.52%, YOU belongs to the top of the industry, outperforming 92.45% of the companies in the same industry.

More Affordable Growth stocks can be found in our Affordable Growth screener.

Our latest full fundamental report of YOU contains the most current fundamental analsysis.

Keep in mind

This is not investing advice! The article highlights some of the observations at the time of writing, but you should always make your own analysis and invest based on your own insights.