CERIDIAN HCM HOLDING INC (CDAY.CA) Fundamental Analysis & Valuation

TSX:CDAY • US15677J1088

92.28 CAD
+0.34 (+0.37%)
Last: Mar 20, 2024, 07:00 PM
Overview Stock Chart Technical Analysis Fundamental Analysis Forecast Earnings Financials Ownership News

This CDAY.CA fundamental analysis includes valuation metrics, fair value assessment, financial health analysis, profitability trends, growth metrics and dividend sustainability analysis.

Fundamental Rating

4

Overall CDAY gets a fundamental rating of 4 out of 10. We evaluated CDAY against 5 industry peers in the Professional Services industry. CDAY may be in some trouble as it scores bad on both profitability and health. CDAY is not overvalued while it is showing excellent growth. This is an interesting combination.


Dividend Valuation Growth Profitability Health

3

1. CDAY.CA Profitability Analysis

1.1 Basic Checks

  • In the past year CDAY was profitable.
  • In the past year CDAY had a positive cash flow from operations.
CDAY.CA Yearly Net Income VS EBIT VS OCF VS FCFCDAY.CA Yearly Net Income VS EBIT VS OCF VS FCFYearly Net Income VS EBIT VS OCF VS FCF 2016 2017 2018 2019 2020 2021 2022 0 50M -50M 100M -100M

1.2 Ratios

  • The Return On Assets of CDAY (0.04%) is better than 62.50% of its industry peers.
  • With a decent Return On Equity value of 0.18%, CDAY is doing good in the industry, outperforming 62.50% of the companies in the same industry.
  • The Return On Invested Capital of CDAY (2.29%) is better than 62.50% of its industry peers.
Industry RankSector Rank
ROA 0.04%
ROE 0.18%
ROIC 2.29%
ROA(3y)-0.66%
ROA(5y)-0.4%
ROE(3y)-2.35%
ROE(5y)-1.42%
ROIC(3y)N/A
ROIC(5y)N/A
CDAY.CA Yearly ROA, ROE, ROICCDAY.CA Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2016 2017 2018 2019 2020 2021 2022 0 -5 -10

1.3 Margins

  • CDAY has a Profit Margin of 0.28%. This is in the better half of the industry: CDAY outperforms 62.50% of its industry peers.
  • CDAY's Operating Margin of 7.74% is fine compared to the rest of the industry. CDAY outperforms 62.50% of its industry peers.
  • The Gross Margin of CDAY (42.19%) is worse than 62.50% of its industry peers.
  • CDAY's Gross Margin has been stable in the last couple of years.
Industry RankSector Rank
OM 7.74%
PM (TTM) 0.28%
GM 42.19%
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-5.28%
GM growth 5Y-0.66%
CDAY.CA Yearly Profit, Operating, Gross MarginsCDAY.CA Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2016 2017 2018 2019 2020 2021 2022 0 10 -10 20 30 40

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ROAROEROICOperating and Profit MarginShow most profitable peers

3

2. CDAY.CA Health Analysis

2.1 Basic Checks

  • With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), CDAY is destroying value.
  • CDAY has more shares outstanding than it did 1 year ago.
  • The debt/assets ratio for CDAY has been reduced compared to a year ago.
CDAY.CA Yearly Shares OutstandingCDAY.CA Yearly Shares OutstandingYearly Shares Outstanding 2016 2017 2018 2019 2020 2021 2022 50M 100M 150M
CDAY.CA Yearly Total Debt VS Total AssetsCDAY.CA Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2016 2017 2018 2019 2020 2021 2022 2B 4B 6B 8B

2.2 Solvency

  • Based on the Altman-Z score of 1.17, we must say that CDAY is in the distress zone and has some risk of bankruptcy.
  • CDAY has a worse Altman-Z score (1.17) than 62.50% of its industry peers.
  • The Debt to FCF ratio of CDAY is 22.77, which is on the high side as it means it would take CDAY, 22.77 years of fcf income to pay off all of its debts.
  • With a Debt to FCF ratio value of 22.77, CDAY perfoms like the industry average, outperforming 50.00% of the companies in the same industry.
  • CDAY has a Debt/Equity ratio of 0.53. This is a neutral value indicating CDAY is somewhat dependend on debt financing.
  • CDAY's Debt to Equity ratio of 0.53 is on the low side compared to the rest of the industry. CDAY is outperformed by 62.50% of its industry peers.
Industry RankSector Rank
Debt/Equity 0.53
Debt/FCF 22.77
Altman-Z 1.17
ROIC/WACC0.28
WACC8.14%
CDAY.CA Yearly LT Debt VS Equity VS FCFCDAY.CA Yearly LT Debt VS Equity VS FCFYearly LT Debt VS Equity VS FCF 2016 2017 2018 2019 2020 2021 2022 0 500M 1B 1.5B 2B

2.3 Liquidity

  • CDAY has a Current Ratio of 1.09. This is a normal value and indicates that CDAY is financially healthy and should not expect problems in meeting its short term obligations.
  • CDAY has a Current ratio of 1.09. This is in the better half of the industry: CDAY outperforms 62.50% of its industry peers.
  • A Quick Ratio of 1.09 indicates that CDAY should not have too much problems paying its short term obligations.
  • CDAY has a better Quick ratio (1.09) than 62.50% of its industry peers.
Industry RankSector Rank
Current Ratio 1.09
Quick Ratio 1.09
CDAY.CA Yearly Current Assets VS Current LiabilitesCDAY.CA Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2016 2017 2018 2019 2020 2021 2022 1B 2B 3B 4B 5B

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WACCDebt/EquityHow to determine the health of a companyAltman-Z scoreShow peers with great health

8

3. CDAY.CA Growth Analysis

3.1 Past

  • CDAY shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 105.00%, which is quite impressive.
  • The Earnings Per Share has been growing by 19.61% on average over the past years. This is quite good.
  • The Revenue has grown by 21.63% in the past year. This is a very strong growth!
  • CDAY shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 13.19% yearly.
EPS 1Y (TTM)105%
EPS 3Y19.61%
EPS 5YN/A
EPS Q2Q%85%
Revenue 1Y (TTM)21.63%
Revenue growth 3Y14.78%
Revenue growth 5Y13.19%
Sales Q2Q%19.61%

3.2 Future

  • CDAY is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 42.72% yearly.
  • Based on estimates for the next years, CDAY will show a quite strong growth in Revenue. The Revenue will grow by 17.41% on average per year.
EPS Next Y76.11%
EPS Next 2Y49.35%
EPS Next 3Y40.92%
EPS Next 5Y42.72%
Revenue Next Year22.54%
Revenue Next 2Y18.66%
Revenue Next 3Y17.44%
Revenue Next 5Y17.41%

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.
CDAY.CA Yearly Revenue VS EstimatesCDAY.CA Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 1B 2B 3B 4B
CDAY.CA Yearly EPS VS EstimatesCDAY.CA Yearly EPS VS EstimatesYearly EPS VS Estimates 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 0 2 4 6

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Find the best growth stocksShow best growing peers

4

4. CDAY.CA Valuation Analysis

4.1 Price/Earnings Ratio

  • With a Price/Earnings ratio of 55.26, CDAY can be considered very expensive at the moment.
  • Based on the Price/Earnings ratio, CDAY is valued a bit cheaper than the industry average as 62.50% of the companies are valued more expensively.
  • CDAY's Price/Earnings ratio indicates a rather expensive valuation when compared to the S&P500 average which is at 26.74.
  • With a Price/Forward Earnings ratio of 39.59, CDAY can be considered very expensive at the moment.
  • Based on the Price/Forward Earnings ratio, CDAY is valued cheaply inside the industry as 87.50% of the companies are valued more expensively.
  • CDAY is valuated expensively when we compare the Price/Forward Earnings ratio to 24.82, which is the current average of the S&P500 Index.
Industry RankSector Rank
PE 55.26
Fwd PE 39.59
CDAY.CA Price Earnings VS Forward Price EarningsCDAY.CA Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 10 20 30 40 50

4.2 Price Multiples

  • 62.50% of the companies in the same industry are more expensive than CDAY, based on the Enterprise Value to EBITDA ratio.
  • CDAY's Price/Free Cash Flow is on the same level as the industry average.
Industry RankSector Rank
P/FCF 198.43
EV/EBITDA 51.25
CDAY.CA Per share dataCDAY.CA EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 0 5 10 15

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.
  • CDAY's earnings are expected to grow with 40.92% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.73
PEG (5Y)N/A
EPS Next 2Y49.35%
EPS Next 3Y40.92%

More info and screens

Price/EarningsPrice/FCFFCF per shareEV/EBITDAPEG RATIOShow best valued peers

0

5. CDAY.CA Dividend Analysis

5.1 Amount

  • CDAY does not give a dividend.
Industry RankSector Rank
Dividend Yield N/A

More info and screens

Find the best dividend stocksShow peers with best dividend

CDAY.CA Fundamentals: All Metrics, Ratios and Statistics

CERIDIAN HCM HOLDING INC

TSX:CDAY (3/20/2024, 7:00:00 PM)

92.28

+0.34 (+0.37%)

Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCommercial & Professional Services
GICS IndustryProfessional Services
Earnings (Last)N/A
Earnings (Next)02-08
Inst Owners85.76%
Inst Owner ChangeN/A
Ins OwnersN/A
Ins Owner ChangeN/A
Market Cap14.41B
Revenue(TTM)1.45B
Net Income(TTM)4.00M
Analysts76.67
Price Target105.21 (14.01%)
Short Float %N/A
Short RatioN/A
Dividend
Industry RankSector 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)14.89%
Min EPS beat(2)7.19%
Max EPS beat(2)22.6%
EPS beat(4)3
Avg EPS beat(4)28.5%
Min EPS beat(4)-3.23%
Max EPS beat(4)87.42%
EPS beat(8)7
Avg EPS beat(8)52.78%
EPS beat(12)11
Avg EPS beat(12)42.08%
EPS beat(16)14
Avg EPS beat(16)46.25%
Revenue beat(2)2
Avg Revenue beat(2)0.09%
Min Revenue beat(2)0.09%
Max Revenue beat(2)0.09%
Revenue beat(4)4
Avg Revenue beat(4)0.54%
Min Revenue beat(4)0.09%
Max Revenue beat(4)1.34%
Revenue beat(8)7
Avg Revenue beat(8)0.44%
Revenue beat(12)10
Avg Revenue beat(12)0.86%
Revenue beat(16)11
Avg Revenue beat(16)0.39%
PT rev (1m)0%
PT rev (3m)0.83%
EPS NQ rev (1m)0%
EPS NQ rev (3m)1.06%
EPS NY rev (1m)0%
EPS NY rev (3m)0.31%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)0.02%
Revenue NY rev (1m)0%
Revenue NY rev (3m)0%
Valuation
Industry RankSector Rank
PE 55.26
Fwd PE 39.59
P/S 7.32
P/FCF 198.43
P/OCF 61.94
P/B 4.68
P/tB N/A
EV/EBITDA 51.25
EPS(TTM)1.67
EY1.81%
EPS(NY)2.33
Fwd EY2.53%
FCF(TTM)0.47
FCFY0.5%
OCF(TTM)1.49
OCFY1.61%
SpS12.6
BVpS19.71
TBVpS-2.16
PEG (NY)0.73
PEG (5Y)N/A
Graham NumberN/A
Profitability
Industry RankSector Rank
ROA 0.04%
ROE 0.18%
ROCE 3.18%
ROIC 2.29%
ROICexc 2.68%
ROICexgc 16.01%
OM 7.74%
PM (TTM) 0.28%
GM 42.19%
FCFM 3.69%
ROA(3y)-0.66%
ROA(5y)-0.4%
ROE(3y)-2.35%
ROE(5y)-1.42%
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexgc growth 3YN/A
ROICexgc growth 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5YN/A
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-5.28%
GM growth 5Y-0.66%
F-Score8
Asset Turnover0.16
Health
Industry RankSector Rank
Debt/Equity 0.53
Debt/FCF 22.77
Debt/EBITDA 5.48
Cap/Depr 108.46%
Cap/Sales 8.13%
Interest Coverage 250
Cash Conversion 77.56%
Profit Quality 1337.5%
Current Ratio 1.09
Quick Ratio 1.09
Altman-Z 1.17
F-Score8
WACC8.14%
ROIC/WACC0.28
Cap/Depr(3y)101.27%
Cap/Depr(5y)94.3%
Cap/Sales(3y)6.97%
Cap/Sales(5y)6.61%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)105%
EPS 3Y19.61%
EPS 5YN/A
EPS Q2Q%85%
EPS Next Y76.11%
EPS Next 2Y49.35%
EPS Next 3Y40.92%
EPS Next 5Y42.72%
Revenue 1Y (TTM)21.63%
Revenue growth 3Y14.78%
Revenue growth 5Y13.19%
Sales Q2Q%19.61%
Revenue Next Year22.54%
Revenue Next 2Y18.66%
Revenue Next 3Y17.44%
Revenue Next 5Y17.41%
EBIT growth 1Y376.6%
EBIT growth 3YN/A
EBIT growth 5YN/A
EBIT Next Year136.31%
EBIT Next 3Y51.44%
EBIT Next 5Y42.35%
FCF growth 1Y159.51%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y699.3%
OCF growth 3Y37.87%
OCF growth 5YN/A

CERIDIAN HCM HOLDING INC / CDAY.CA FAQ

Can you provide the ChartMill fundamental rating for CERIDIAN HCM HOLDING INC?

ChartMill assigns a fundamental rating of 4 / 10 to CDAY.CA.


What is the valuation status for CDAY stock?

ChartMill assigns a valuation rating of 4 / 10 to CERIDIAN HCM HOLDING INC (CDAY.CA). This can be considered as Fairly Valued.


What is the profitability of CDAY stock?

CERIDIAN HCM HOLDING INC (CDAY.CA) has a profitability rating of 4 / 10.


Can you provide the expected EPS growth for CDAY stock?

The Earnings per Share (EPS) of CERIDIAN HCM HOLDING INC (CDAY.CA) is expected to grow by 76.11% in the next year.