CENTERRA GOLD INC (CG.CA) Stock Fundamental Analysis
Canada - Toronto Stock Exchange - TSX:CG - CA1520061021 - Common Stock
24.93 CAD
+0.57 (+2.34%)
We assign a fundamental rating of 7 out of 10 to CG. CG was compared to 817 industry peers in the Metals & Mining industry. Both the health and profitability get an excellent rating, making CG a very profitable company, without any liquidiy or solvency issues. CG may be a bit undervalued, certainly considering the very reasonable score on growth This makes CG very considerable for value investing!
1. Profitability
1.1 Basic Checks
- In the past year CG was profitable.
- In the past year CG had a positive cash flow from operations.
- In multiple years CG reported negative net income over the last 5 years.
- CG had a positive operating cash flow in 4 of the past 5 years.
1.2 Ratios
- CG's Return On Assets of 12.59% is amongst the best of the industry. CG outperforms 94.86% of its industry peers.
- Looking at the Return On Equity, with a value of 17.46%, CG belongs to the top of the industry, outperforming 94.74% of the companies in the same industry.
- CG has a better Return On Invested Capital (9.87%) than 93.88% of its industry peers.
- The Average Return On Invested Capital over the past 3 years for CG is significantly below the industry average of 11.97%.
- The last Return On Invested Capital (9.87%) for CG is above the 3 year average (5.20%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 12.59% | ||
| ROE | 17.46% | ||
| ROIC | 9.87% |
ROA(3y)-1.11%
ROA(5y)-0.91%
ROE(3y)-1.42%
ROE(5y)-1.28%
ROIC(3y)5.2%
ROIC(5y)6.35%
1.3 Margins
- With an excellent Profit Margin value of 26.35%, CG belongs to the best of the industry, outperforming 95.96% of the companies in the same industry.
- CG has a better Operating Margin (24.73%) than 93.27% of its industry peers.
- In the last couple of years the Operating Margin of CG has grown nicely.
- CG has a better Gross Margin (29.57%) than 90.82% of its industry peers.
- In the last couple of years the Gross Margin of CG has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 24.73% | ||
| PM (TTM) | 26.35% | ||
| GM | 29.57% |
OM growth 3Y5.12%
OM growth 5Y14.8%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-1.36%
GM growth 5Y-1.39%
2. Health
2.1 Basic Checks
- The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so CG is still creating some value.
- The number of shares outstanding for CG has been reduced compared to 1 year ago.
- The number of shares outstanding for CG has been reduced compared to 5 years ago.
- The debt/assets ratio for CG has been reduced compared to a year ago.
2.2 Solvency
- CG has an Altman-Z score of 4.70. This indicates that CG is financially healthy and has little risk of bankruptcy at the moment.
- Looking at the Altman-Z score, with a value of 4.70, CG is in line with its industry, outperforming 52.14% of the companies in the same industry.
- The Debt to FCF ratio of CG is 0.14, which is an excellent value as it means it would take CG, only 0.14 years of fcf income to pay off all of its debts.
- CG has a Debt to FCF ratio of 0.14. This is amongst the best in the industry. CG outperforms 96.33% of its industry peers.
- A Debt/Equity ratio of 0.01 indicates that CG is not too dependend on debt financing.
- CG has a Debt to Equity ratio (0.01) which is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.01 | ||
| Debt/FCF | 0.14 | ||
| Altman-Z | 4.7 |
ROIC/WACC1.03
WACC9.58%
2.3 Liquidity
- A Current Ratio of 2.89 indicates that CG has no problem at all paying its short term obligations.
- CG has a better Current ratio (2.89) than 61.81% of its industry peers.
- CG has a Quick Ratio of 2.10. This indicates that CG is financially healthy and has no problem in meeting its short term obligations.
- CG has a Quick ratio of 2.10. This is comparable to the rest of the industry: CG outperforms 55.20% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.89 | ||
| Quick Ratio | 2.1 |
3. Growth
3.1 Past
- CG shows a small growth in Earnings Per Share. In the last year, the EPS has grown by 3.57%.
- The Earnings Per Share has been growing slightly by 3.32% on average over the past years.
- Looking at the last year, CG shows a small growth in Revenue. The Revenue has grown by 2.66% in the last year.
- The Revenue has been decreasing by -2.46% on average over the past years.
EPS 1Y (TTM)3.57%
EPS 3Y-2.18%
EPS 5Y3.32%
EPS Q2Q%77.78%
Revenue 1Y (TTM)2.66%
Revenue growth 3Y10.5%
Revenue growth 5Y-2.46%
Sales Q2Q%22%
3.2 Future
- Based on estimates for the next years, CG will show a quite strong growth in Earnings Per Share. The EPS will grow by 13.59% on average per year.
- CG is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 2.44% yearly.
EPS Next Y46.03%
EPS Next 2Y44.2%
EPS Next 3Y22.16%
EPS Next 5Y13.59%
Revenue Next Year10.21%
Revenue Next 2Y11.41%
Revenue Next 3Y9.84%
Revenue Next 5Y2.44%
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 accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
- The Price/Earnings ratio is 20.78, which indicates a rather expensive current valuation of CG.
- Compared to the rest of the industry, the Price/Earnings ratio of CG indicates a rather cheap valuation: CG is cheaper than 93.76% of the companies listed in the same industry.
- CG's Price/Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 27.30.
- A Price/Forward Earnings ratio of 11.89 indicates a reasonable valuation of CG.
- Based on the Price/Forward Earnings ratio, CG is valued cheaper than 93.39% of the companies in the same industry.
- Compared to an average S&P500 Price/Forward Earnings ratio of 24.32, CG is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 20.78 | ||
| Fwd PE | 11.89 |
4.2 Price Multiples
- Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of CG indicates a rather cheap valuation: CG is cheaper than 96.94% of the companies listed in the same industry.
- 95.10% of the companies in the same industry are more expensive than CG, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 27.98 | ||
| EV/EBITDA | 7.05 |
4.3 Compensation for Growth
- CG's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
- The decent profitability rating of CG may justify a higher PE ratio.
- A more expensive valuation may be justified as CG's earnings are expected to grow with 22.16% in the coming years.
PEG (NY)0.45
PEG (5Y)6.26
EPS Next 2Y44.2%
EPS Next 3Y22.16%
5. Dividend
5.1 Amount
- CG has a Yearly Dividend Yield of 1.25%.
- CG's Dividend Yield is rather good when compared to the industry average which is at 0.64. CG pays more dividend than 97.43% of the companies in the same industry.
- CG's Dividend Yield is slightly below the S&P500 average, which is at 1.82.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.25% |
5.2 History
- On average, the dividend of CG grows each year by 18.78%, which is quite nice.
- CG has been paying a dividend for at least 10 years, so it has a reliable track record.
- CG has not decreased its dividend in the last 3 years.
Dividend Growth(5Y)18.78%
Div Incr Years0
Div Non Decr Years4
5.3 Sustainability
- CG pays out 12.28% of its income as dividend. This is a sustainable payout ratio.
- The dividend of CG is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP12.28%
EPS Next 2Y44.2%
EPS Next 3Y22.16%
CENTERRA GOLD INC / CG.CA FAQ
Can you provide the ChartMill fundamental rating for CENTERRA GOLD INC?
ChartMill assigns a fundamental rating of 7 / 10 to CG.CA.
What is the valuation status for CG stock?
ChartMill assigns a valuation rating of 8 / 10 to CENTERRA GOLD INC (CG.CA). This can be considered as Undervalued.
Can you provide the profitability details for CENTERRA GOLD INC?
CENTERRA GOLD INC (CG.CA) has a profitability rating of 7 / 10.
Can you provide the PE and PB ratios for CG stock?
The Price/Earnings (PE) ratio for CENTERRA GOLD INC (CG.CA) is 20.78 and the Price/Book (PB) ratio is 1.88.
How sustainable is the dividend of CENTERRA GOLD INC (CG.CA) stock?
The dividend rating of CENTERRA GOLD INC (CG.CA) is 5 / 10 and the dividend payout ratio is 12.28%.