CENTRAL GARDEN AND PET CO-A (CENTA) Stock Fundamental Analysis
NASDAQ:CENTA - Nasdaq - US1535272058 - Common Stock - Currency: USD
Overall CENTA gets a fundamental rating of 4 out of 10. We evaluated CENTA against 12 industry peers in the Household Products industry. The financial health of CENTA is average, but there are quite some concerns on its profitability. CENTA is valued correctly, but it does not seem to be growing.
1. Profitability
1.1 Basic Checks
CENTA had positive earnings in the past year.
In the past year CENTA had a positive cash flow from operations.
In the past 5 years CENTA has always been profitable.
CENTA had a positive operating cash flow in 4 of the past 5 years.
1.2 Ratios
CENTA's Return On Assets of 3.04% is on the low side compared to the rest of the industry. CENTA is outperformed by 75.00% of its industry peers.
CENTA's Return On Equity of 6.94% is on the low side compared to the rest of the industry. CENTA is outperformed by 75.00% of its industry peers.
CENTA has a Return On Invested Capital of 5.13%. This is in the lower half of the industry: CENTA underperforms 75.00% of its industry peers.
CENTA had an Average Return On Invested Capital over the past 3 years of 6.01%. This is significantly below the industry average of 15.62%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.04% | ||
| ROE | 6.94% | ||
| ROIC | 5.13% |
ROA(3y)3.8%
ROA(5y)4.28%
ROE(3y)9%
ROE(5y)10.13%
ROIC(3y)6.01%
ROIC(5y)6.74%
1.3 Margins
CENTA's Profit Margin of 3.37% is on the low side compared to the rest of the industry. CENTA is outperformed by 75.00% of its industry peers.
CENTA's Profit Margin has declined in the last couple of years.
CENTA has a worse Operating Margin (6.30%) than 75.00% of its industry peers.
In the last couple of years the Operating Margin of CENTA has declined.
The Gross Margin of CENTA (29.83%) is worse than 66.67% of its industry peers.
CENTA's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 6.3% | ||
| PM (TTM) | 3.37% | ||
| GM | 29.83% |
OM growth 3Y-9.37%
OM growth 5Y-2.24%
PM growth 3Y-9.76%
PM growth 5Y-2.83%
GM growth 3Y0.11%
GM growth 5Y-0.04%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), CENTA is destroying value.
CENTA has more shares outstanding than it did 1 year ago.
Compared to 5 years ago, CENTA has more shares outstanding
Compared to 1 year ago, CENTA has an improved debt to assets ratio.
2.2 Solvency
An Altman-Z score of 2.54 indicates that CENTA is not a great score, but indicates only limited risk for bankruptcy at the moment.
The Altman-Z score of CENTA (2.54) is worse than 66.67% of its industry peers.
CENTA has a debt to FCF ratio of 3.38. This is a good value and a sign of high solvency as CENTA would need 3.38 years to pay back of all of its debts.
The Debt to FCF ratio of CENTA (3.38) is comparable to the rest of the industry.
CENTA has a Debt/Equity ratio of 0.76. This is a neutral value indicating CENTA is somewhat dependend on debt financing.
CENTA has a Debt to Equity ratio (0.76) which is in line with its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.76 | ||
| Debt/FCF | 3.38 | ||
| Altman-Z | 2.54 |
ROIC/WACC0.71
WACC7.19%
2.3 Liquidity
CENTA has a Current Ratio of 3.66. This indicates that CENTA is financially healthy and has no problem in meeting its short term obligations.
CENTA has a better Current ratio (3.66) than 100.00% of its industry peers.
CENTA has a Quick Ratio of 2.19. This indicates that CENTA is financially healthy and has no problem in meeting its short term obligations.
CENTA's Quick ratio of 2.19 is amongst the best of the industry. CENTA outperforms 100.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 3.66 | ||
| Quick Ratio | 2.19 |
3. Growth
3.1 Past
The earnings per share for CENTA have decreased strongly by -15.75% in the last year.
Measured over the past 5 years, CENTA shows a small growth in Earnings Per Share. The EPS has been growing by 6.12% on average per year.
Looking at the last year, CENTA shows a decrease in Revenue. The Revenue has decreased by -3.31% in the last year.
CENTA shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 6.08% yearly.
EPS 1Y (TTM)-15.75%
EPS 3Y-9.84%
EPS 5Y6.12%
EPS Q2Q%-460%
Revenue 1Y (TTM)-3.31%
Revenue growth 3Y-1.05%
Revenue growth 5Y6.08%
Sales Q2Q%-10.75%
3.2 Future
Based on estimates for the next years, CENTA will show a quite strong growth in Earnings Per Share. The EPS will grow by 10.96% on average per year.
CENTA is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 3.34% yearly.
EPS Next Y7.04%
EPS Next 2Y8.23%
EPS Next 3Y9.17%
EPS Next 5Y10.96%
Revenue Next Year-0.51%
Revenue Next 2Y0.83%
Revenue Next 3Y1.35%
Revenue Next 5Y3.34%
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 decreasing.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 14.65, which indicates a correct valuation of CENTA.
CENTA's Price/Earnings ratio is rather cheap when compared to the industry. CENTA is cheaper than 83.33% of the companies in the same industry.
When comparing the Price/Earnings ratio of CENTA to the average of the S&P500 Index (28.47), we can say CENTA is valued slightly cheaper.
CENTA is valuated correctly with a Price/Forward Earnings ratio of 13.69.
Based on the Price/Forward Earnings ratio, CENTA is valued cheaply inside the industry as 91.67% of the companies are valued more expensively.
When comparing the Price/Forward Earnings ratio of CENTA to the average of the S&P500 Index (92.74), we can say CENTA is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 14.65 | ||
| Fwd PE | 13.69 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, CENTA is valued cheaply inside the industry as 91.67% of the companies are valued more expensively.
CENTA's Price/Free Cash Flow ratio is rather cheap when compared to the industry. CENTA is cheaper than 100.00% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 5.85 | ||
| EV/EBITDA | 8.46 |
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)2.08
PEG (5Y)2.39
EPS Next 2Y8.23%
EPS Next 3Y9.17%
5. Dividend
5.1 Amount
No dividends for CENTA!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
CENTRAL GARDEN AND PET CO-A
NASDAQ:CENTA (2/4/2025, 8:00:00 PM)
After market: 31.36 0 (0%)31.36
+0.28 (+0.9%)
Chartmill FA Rating
GICS SectorConsumer Staples
GICS IndustryGroupHousehold & Personal Products
GICS IndustryHousehold Products
Earnings (Last)
Earnings (Next)
Inst Owners118.76%
Inst Owner Change-0.12%
Ins Owners13.85%
Ins Owner ChangeN/A
Market Cap2.06B
Analysts83.08
Price Target38.79 (23.69%)
Short Float %8.53%
Short Ratio3.17
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly Dividend0
Dividend Growth(5Y)N/A
DP0%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)8.3%
Min EPS beat(2)7.1%
Max EPS beat(2)9.5%
EPS beat(4)4
Avg EPS beat(4)36.01%
Min EPS beat(4)7.1%
Max EPS beat(4)105.6%
EPS beat(8)6
Avg EPS beat(8)16.78%
EPS beat(12)9
Avg EPS beat(12)71.71%
EPS beat(16)13
Avg EPS beat(16)306.17%
Revenue beat(2)0
Avg Revenue beat(2)-4.78%
Min Revenue beat(2)-7.06%
Max Revenue beat(2)-2.51%
Revenue beat(4)1
Avg Revenue beat(4)-2.45%
Min Revenue beat(4)-7.06%
Max Revenue beat(4)0.35%
Revenue beat(8)2
Avg Revenue beat(8)-1.7%
Revenue beat(12)4
Avg Revenue beat(12)-1.06%
Revenue beat(16)7
Avg Revenue beat(16)0.68%
PT rev (1m)5.53%
PT rev (3m)2.28%
EPS NQ rev (1m)-400%
EPS NQ rev (3m)-180%
EPS NY rev (1m)-1.07%
EPS NY rev (3m)-8.15%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-3.58%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-2.2%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 14.65 | ||
| Fwd PE | 13.69 | ||
| P/S | 0.64 | ||
| P/FCF | 5.85 | ||
| P/OCF | 5.21 | ||
| P/B | 1.32 | ||
| P/tB | 3.87 | ||
| EV/EBITDA | 8.46 |
EPS(TTM)2.14
EY6.82%
EPS(NY)2.29
Fwd EY7.3%
FCF(TTM)5.36
FCFY17.1%
OCF(TTM)6.02
OCFY19.2%
SpS48.79
BVpS23.72
TBVpS8.1
PEG (NY)2.08
PEG (5Y)2.39
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.04% | ||
| ROE | 6.94% | ||
| ROCE | 6.64% | ||
| ROIC | 5.13% | ||
| ROICexc | 6.82% | ||
| ROICexgc | 12.36% | ||
| OM | 6.3% | ||
| PM (TTM) | 3.37% | ||
| GM | 29.83% | ||
| FCFM | 10.99% |
ROA(3y)3.8%
ROA(5y)4.28%
ROE(3y)9%
ROE(5y)10.13%
ROIC(3y)6.01%
ROIC(5y)6.74%
ROICexc(3y)7.1%
ROICexc(5y)8.54%
ROICexgc(3y)12.44%
ROICexgc(5y)13.57%
ROCE(3y)7.78%
ROCE(5y)8.74%
ROICexcg growth 3Y-1.61%
ROICexcg growth 5Y-4.92%
ROICexc growth 3Y-11.88%
ROICexc growth 5Y-8.1%
OM growth 3Y-9.37%
OM growth 5Y-2.24%
PM growth 3Y-9.76%
PM growth 5Y-2.83%
GM growth 3Y0.11%
GM growth 5Y-0.04%
F-Score6
Asset Turnover0.9
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.76 | ||
| Debt/FCF | 3.38 | ||
| Debt/EBITDA | 4.07 | ||
| Cap/Depr | 47.5% | ||
| Cap/Sales | 1.35% | ||
| Interest Coverage | 3.51 | ||
| Cash Conversion | 134.96% | ||
| Profit Quality | 325.75% | ||
| Current Ratio | 3.66 | ||
| Quick Ratio | 2.19 | ||
| Altman-Z | 2.54 |
F-Score6
WACC7.19%
ROIC/WACC0.71
Cap/Depr(3y)83.82%
Cap/Depr(5y)87.35%
Cap/Sales(3y)2.14%
Cap/Sales(5y)2.09%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-15.75%
EPS 3Y-9.84%
EPS 5Y6.12%
EPS Q2Q%-460%
EPS Next Y7.04%
EPS Next 2Y8.23%
EPS Next 3Y9.17%
EPS Next 5Y10.96%
Revenue 1Y (TTM)-3.31%
Revenue growth 3Y-1.05%
Revenue growth 5Y6.08%
Sales Q2Q%-10.75%
Revenue Next Year-0.51%
Revenue Next 2Y0.83%
Revenue Next 3Y1.35%
Revenue Next 5Y3.34%
EBIT growth 1Y-10.85%
EBIT growth 3Y-10.33%
EBIT growth 5Y3.7%
EBIT Next Year50.19%
EBIT Next 3Y14.47%
EBIT Next 5YN/A
FCF growth 1Y7.37%
FCF growth 3Y27.3%
FCF growth 5Y15.2%
OCF growth 1Y3.48%
OCF growth 3Y16.34%
OCF growth 5Y14.01%