32.3 USD
+0.12 (+0.37%)
32.3 USD
0 (0%)
Taking everything into account, CENT scores 5 out of 10 in our fundamental rating. CENT was compared to 12 industry peers in the Household Products industry. Both the profitability and the financial health of CENT get a neutral evaluation. Nothing too spectacular is happening here. CENT has a decent growth rate and is not valued too expensively.
1. Profitability
1.1 Basic Checks
- CENT had positive earnings in the past year.
- CENT had a positive operating cash flow in the past year.
- Each year in the past 5 years CENT has been profitable.
- Of the past 5 years CENT 4 years had a positive operating cash flow.
1.2 Ratios
- Looking at the Return On Assets, with a value of 4.49%, CENT is doing worse than 83.33% of the companies in the same industry.
- CENT has a Return On Equity of 10.29%. This is in the lower half of the industry: CENT underperforms 75.00% of its industry peers.
- Looking at the Return On Invested Capital, with a value of 6.54%, CENT is doing worse than 83.33% of the companies in the same industry.
- Measured over the past 3 years, the Average Return On Invested Capital for CENT is significantly below the industry average of 14.86%.
- The last Return On Invested Capital (6.54%) for CENT is above the 3 year average (6.05%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.49% | ||
| ROE | 10.29% | ||
| ROIC | 6.54% |
ROA(3y)3.75%
ROA(5y)4.15%
ROE(3y)8.63%
ROE(5y)9.94%
ROIC(3y)6.05%
ROIC(5y)6.55%
1.3 Margins
- The Profit Margin of CENT (5.20%) is worse than 83.33% of its industry peers.
- CENT's Profit Margin has improved in the last couple of years.
- CENT has a worse Operating Margin (8.47%) than 83.33% of its industry peers.
- In the last couple of years the Operating Margin of CENT has grown nicely.
- CENT has a worse Gross Margin (32.05%) than 75.00% of its industry peers.
- CENT's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 8.47% | ||
| PM (TTM) | 5.2% | ||
| GM | 32.05% |
OM growth 3Y2.97%
OM growth 5Y2.97%
PM growth 3Y4.51%
PM growth 5Y3.05%
GM growth 3Y2.55%
GM growth 5Y1.64%
2. Health
2.1 Basic Checks
- With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), CENT is destroying value.
- CENT has less shares outstanding than it did 1 year ago.
- The number of shares outstanding for CENT has been increased compared to 5 years ago.
- The debt/assets ratio for CENT has been reduced compared to a year ago.
2.2 Solvency
- An Altman-Z score of 2.56 indicates that CENT is not a great score, but indicates only limited risk for bankruptcy at the moment.
- CENT has a worse Altman-Z score (2.56) than 75.00% of its industry peers.
- CENT has a debt to FCF ratio of 4.09. This is a neutral value as CENT would need 4.09 years to pay back of all of its debts.
- The Debt to FCF ratio of CENT (4.09) is comparable to the rest of the industry.
- CENT has a Debt/Equity ratio of 0.75. This is a neutral value indicating CENT is somewhat dependend on debt financing.
- CENT has a Debt to Equity ratio (0.75) which is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.75 | ||
| Debt/FCF | 4.09 | ||
| Altman-Z | 2.56 |
ROIC/WACC0.94
WACC6.95%
2.3 Liquidity
- A Current Ratio of 3.67 indicates that CENT has no problem at all paying its short term obligations.
- CENT's Current ratio of 3.67 is amongst the best of the industry. CENT outperforms 91.67% of its industry peers.
- CENT has a Quick Ratio of 2.33. This indicates that CENT is financially healthy and has no problem in meeting its short term obligations.
- CENT has a better Quick ratio (2.33) than 91.67% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 3.67 | ||
| Quick Ratio | 2.33 |
3. Growth
3.1 Past
- CENT shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 27.10%, which is quite impressive.
- CENT shows a small growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 3.68% yearly.
- The Revenue has decreased by -2.23% in the past year.
- The Revenue has been growing slightly by 3.03% on average over the past years.
EPS 1Y (TTM)27.1%
EPS 3Y-0.72%
EPS 5Y3.68%
EPS Q2Q%50%
Revenue 1Y (TTM)-2.23%
Revenue growth 3Y-2.14%
Revenue growth 5Y3.03%
Sales Q2Q%1.3%
3.2 Future
- The Earnings Per Share is expected to grow by 8.34% on average over the next years. This is quite good.
- CENT is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 3.33% yearly.
EPS Next Y4.25%
EPS Next 2Y5.5%
EPS Next 3Y5.49%
EPS Next 5Y8.34%
Revenue Next Year0.5%
Revenue Next 2Y1.27%
Revenue Next 3Y2.18%
Revenue Next 5Y3.33%
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 stable.
4. Valuation
4.1 Price/Earnings Ratio
- The Price/Earnings ratio is 11.87, which indicates a very decent valuation of CENT.
- Based on the Price/Earnings ratio, CENT is valued a bit cheaper than the industry average as 75.00% of the companies are valued more expensively.
- Compared to an average S&P500 Price/Earnings ratio of 27.21, CENT is valued rather cheaply.
- The Price/Forward Earnings ratio is 11.39, which indicates a very decent valuation of CENT.
- 83.33% of the companies in the same industry are more expensive than CENT, based on the Price/Forward Earnings ratio.
- CENT is valuated cheaply when we compare the Price/Forward Earnings ratio to 25.98, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.87 | ||
| Fwd PE | 11.39 |
4.2 Price Multiples
- Based on the Enterprise Value to EBITDA ratio, CENT is valued cheaper than 91.67% of the companies in the same industry.
- 91.67% of the companies in the same industry are more expensive than CENT, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 6.92 | ||
| EV/EBITDA | 6.62 |
4.3 Compensation for Growth
- The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
PEG (NY)2.79
PEG (5Y)3.22
EPS Next 2Y5.5%
EPS Next 3Y5.49%
5. Dividend
5.1 Amount
- CENT does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
CENTRAL GARDEN & PET CO / CENT FAQ
Can you provide the ChartMill fundamental rating for CENTRAL GARDEN & PET CO?
ChartMill assigns a fundamental rating of 5 / 10 to CENT.
What is the valuation status for CENT stock?
ChartMill assigns a valuation rating of 6 / 10 to CENTRAL GARDEN & PET CO (CENT). This can be considered as Fairly Valued.
Can you provide the profitability details for CENTRAL GARDEN & PET CO?
CENTRAL GARDEN & PET CO (CENT) has a profitability rating of 4 / 10.
Can you provide the financial health for CENT stock?
The financial health rating of CENTRAL GARDEN & PET CO (CENT) is 6 / 10.