29.76 USD
+0.68 (+2.34%)
Overall CENTA gets a fundamental rating of 5 out of 10. We evaluated CENTA against 12 industry peers in the Household Products industry. CENTA has only an average score on both its financial health and profitability. CENTA is valued quite cheap, while showing a decent growth score. This is a good combination!
1. Profitability
1.1 Basic Checks
- In the past year CENTA was profitable.
- In the past year CENTA had a positive cash flow from operations.
- CENTA had positive earnings in each of the past 5 years.
- CENTA had a positive operating cash flow in 4 of the past 5 years.
1.2 Ratios
- CENTA has a Return On Assets of 4.49%. This is in the lower half of the industry: CENTA underperforms 75.00% of its industry peers.
- Looking at the Return On Equity, with a value of 10.29%, CENTA is doing worse than 66.67% of the companies in the same industry.
- With a Return On Invested Capital value of 6.54%, CENTA is not doing good in the industry: 75.00% of the companies in the same industry are doing better.
- CENTA had an Average Return On Invested Capital over the past 3 years of 6.05%. This is significantly below the industry average of 14.84%.
- The last Return On Invested Capital (6.54%) for CENTA 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
- CENTA has a Profit Margin of 5.20%. This is in the lower half of the industry: CENTA underperforms 75.00% of its industry peers.
- CENTA's Profit Margin has improved in the last couple of years.
- CENTA has a Operating Margin of 8.47%. This is in the lower half of the industry: CENTA underperforms 75.00% of its industry peers.
- In the last couple of years the Operating Margin of CENTA has grown nicely.
- CENTA has a worse Gross Margin (32.05%) than 66.67% of its industry peers.
- In the last couple of years the Gross Margin of CENTA has grown nicely.
| 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
- The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so CENTA is destroying value.
- The number of shares outstanding for CENTA has been reduced compared to 1 year ago.
- CENTA has more shares outstanding than it did 5 years ago.
- Compared to 1 year ago, CENTA has an improved debt to assets ratio.
2.2 Solvency
- An Altman-Z score of 2.50 indicates that CENTA is not a great score, but indicates only limited risk for bankruptcy at the moment.
- Looking at the Altman-Z score, with a value of 2.50, CENTA is doing worse than 75.00% of the companies in the same industry.
- CENTA has a debt to FCF ratio of 4.09. This is a neutral value as CENTA would need 4.09 years to pay back of all of its debts.
- CENTA's Debt to FCF ratio of 4.09 is in line compared to the rest of the industry. CENTA outperforms 50.00% of its industry peers.
- CENTA has a Debt/Equity ratio of 0.75. This is a neutral value indicating CENTA is somewhat dependend on debt financing.
- With a Debt to Equity ratio value of 0.75, CENTA perfoms like the industry average, outperforming 50.00% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.75 | ||
| Debt/FCF | 4.09 | ||
| Altman-Z | 2.5 |
ROIC/WACC0.96
WACC6.82%
2.3 Liquidity
- CENTA has a Current Ratio of 3.67. This indicates that CENTA is financially healthy and has no problem in meeting its short term obligations.
- CENTA's Current ratio of 3.67 is amongst the best of the industry. CENTA outperforms 100.00% of its industry peers.
- A Quick Ratio of 2.33 indicates that CENTA has no problem at all paying its short term obligations.
- With an excellent Quick ratio value of 2.33, CENTA belongs to the best of the industry, outperforming 100.00% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 3.67 | ||
| Quick Ratio | 2.33 |
3. Growth
3.1 Past
- CENTA shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 27.10%, which is quite impressive.
- Measured over the past 5 years, CENTA shows a small growth in Earnings Per Share. The EPS has been growing by 3.68% on average per year.
- Looking at the last year, CENTA shows a decrease in Revenue. The Revenue has decreased by -2.23% in the last year.
- Measured over the past years, CENTA shows a small growth in Revenue. The Revenue has been growing by 3.03% on average per year.
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
- CENTA is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 8.34% yearly.
- Based on estimates for the next years, CENTA will show a small growth in Revenue. The Revenue will grow by 3.33% on average per year.
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.
- 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
- Based on the Price/Earnings ratio of 10.94, the valuation of CENTA can be described as reasonable.
- Based on the Price/Earnings ratio, CENTA is valued cheaper than 91.67% of the companies in the same industry.
- CENTA's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 28.60.
- CENTA is valuated reasonably with a Price/Forward Earnings ratio of 10.50.
- Compared to the rest of the industry, the Price/Forward Earnings ratio of CENTA indicates a rather cheap valuation: CENTA is cheaper than 91.67% of the companies listed in the same industry.
- CENTA's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 25.83.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.94 | ||
| Fwd PE | 10.5 |
4.2 Price Multiples
- 100.00% of the companies in the same industry are more expensive than CENTA, based on the Enterprise Value to EBITDA ratio.
- Based on the Price/Free Cash Flow ratio, CENTA is valued cheaply inside the industry as 100.00% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 6.37 | ||
| EV/EBITDA | 6.06 |
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)2.57
PEG (5Y)2.97
EPS Next 2Y5.5%
EPS Next 3Y5.49%
5. Dividend
5.1 Amount
- No dividends for CENTA!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
CENTRAL GARDEN AND PET CO-A / CENTA FAQ
Can you provide the ChartMill fundamental rating for CENTRAL GARDEN AND PET CO-A?
ChartMill assigns a fundamental rating of 5 / 10 to CENTA.
What is the valuation status of CENTRAL GARDEN AND PET CO-A (CENTA) stock?
ChartMill assigns a valuation rating of 7 / 10 to CENTRAL GARDEN AND PET CO-A (CENTA). This can be considered as Undervalued.
How profitable is CENTRAL GARDEN AND PET CO-A (CENTA) stock?
CENTRAL GARDEN AND PET CO-A (CENTA) has a profitability rating of 4 / 10.
How financially healthy is CENTRAL GARDEN AND PET CO-A?
The financial health rating of CENTRAL GARDEN AND PET CO-A (CENTA) is 6 / 10.