32.18 USD
-0.33 (-1.02%)
32.18 USD
0 (0%)
We assign a fundamental rating of 5 out of 10 to CENT. CENT was compared to 12 industry peers in the Household Products industry. CENT has an average financial health and profitability rating. CENT is not valued too expensively and it also shows a decent growth rate.
1. Profitability
1.1 Basic Checks
- In the past year CENT was profitable.
- In the past year CENT had a positive cash flow from operations.
- CENT had positive earnings in each of the past 5 years.
- Of the past 5 years CENT 4 years had a positive operating cash flow.
1.2 Ratios
- CENT has a worse Return On Assets (4.49%) than 83.33% of its industry peers.
- The Return On Equity of CENT (10.29%) is worse than 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.
- The Average Return On Invested Capital over the past 3 years for CENT is significantly below the industry average of 14.86%.
- The 3 year average ROIC (6.05%) for CENT is below the current ROIC(6.54%), indicating increased profibility in the last year.
| 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
- With a Profit Margin value of 5.20%, CENT is not doing good in the industry: 83.33% of the companies in the same industry are doing better.
- CENT's Profit Margin has improved in the last couple of years.
- Looking at the Operating Margin, with a value of 8.47%, CENT is doing worse than 83.33% of the companies in the same industry.
- CENT's Operating Margin has improved in the last couple of years.
- CENT has a Gross Margin of 32.05%. This is in the lower half of the industry: CENT underperforms 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.
- Compared to 1 year ago, CENT has less shares outstanding
- Compared to 5 years ago, CENT has more shares outstanding
- 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.
- With a Altman-Z score value of 2.56, CENT is not doing good in the industry: 75.00% of the companies in the same industry are doing better.
- 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.
- CENT's Debt to FCF ratio of 4.09 is in line compared to the rest of the industry. CENT outperforms 41.67% of its industry peers.
- A Debt/Equity ratio of 0.75 indicates that CENT is somewhat dependend on debt financing.
- CENT has a Debt to Equity ratio (0.75) which is in line with its industry peers.
| 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 has a Current ratio of 3.67. This is amongst the best in 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's Quick ratio of 2.33 is amongst the best of the industry. CENT outperforms 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.
- The Earnings Per Share has been growing slightly by 3.68% on average over the past years.
- Looking at the last year, CENT shows a decrease in Revenue. The Revenue has decreased by -2.23% in the last year.
- CENT shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 3.03% yearly.
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
- CENT is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 8.34% yearly.
- 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
- 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 stable: in the next years the growth will be about the same than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
- CENT is valuated reasonably with a Price/Earnings ratio of 11.83.
- Compared to the rest of the industry, the Price/Earnings ratio of CENT indicates a somewhat cheap valuation: CENT is cheaper than 75.00% of the companies listed in the same industry.
- When comparing the Price/Earnings ratio of CENT to the average of the S&P500 Index (27.21), we can say CENT is valued rather cheaply.
- Based on the Price/Forward Earnings ratio of 11.35, the valuation of CENT can be described as reasonable.
- CENT's Price/Forward Earnings ratio is rather cheap when compared to the industry. CENT is cheaper than 83.33% of the companies in the same industry.
- The average S&P500 Price/Forward Earnings ratio is at 25.98. CENT is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.83 | ||
| Fwd PE | 11.35 |
4.2 Price Multiples
- CENT's Enterprise Value to EBITDA ratio is rather cheap when compared to the industry. CENT is 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 | 6.89 | ||
| 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)2.78
PEG (5Y)3.21
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.