CHAMPION IRON LTD (CIA.CA) Stock Fundamental Analysis
Canada • Toronto Stock Exchange • TSX:CIA • AU000000CIA2
5.46 CAD
-0.23 (-4.04%)
Last: Jan 30, 2026, 07:00 PM
We assign a fundamental rating of 5 out of 10 to CIA. CIA was compared to 820 industry peers in the Metals & Mining industry. While CIA has a great profitability rating, there are quite some concerns on its financial health. CIA is not valued too expensively and it also shows a decent growth rate.
1. Profitability
1.1 Basic Checks
- In the past year CIA was profitable.
- In the past year CIA had a positive cash flow from operations.
- Each year in the past 5 years CIA has been profitable.
- CIA had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
- Looking at the Return On Assets, with a value of 3.53%, CIA belongs to the top of the industry, outperforming 88.05% of the companies in the same industry.
- CIA has a Return On Equity of 8.10%. This is amongst the best in the industry. CIA outperforms 89.88% of its industry peers.
- With an excellent Return On Invested Capital value of 5.10%, CIA belongs to the best of the industry, outperforming 91.34% of the companies in the same industry.
- Measured over the past 3 years, the Average Return On Invested Capital for CIA is below the industry average of 12.04%.
- The 3 year average ROIC (9.37%) for CIA is well above the current ROIC(5.10%). The reason for the recent decline needs to be investigated.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.53% | ||
| ROE | 8.1% | ||
| ROIC | 5.1% |
ROA(3y)7.35%
ROA(5y)15.87%
ROE(3y)14.19%
ROE(5y)28.4%
ROIC(3y)9.37%
ROIC(5y)19%
1.3 Margins
- CIA has a better Profit Margin (7.27%) than 91.34% of its industry peers.
- In the last couple of years the Profit Margin of CIA has declined.
- CIA's Operating Margin of 16.68% is amongst the best of the industry. CIA outperforms 91.34% of its industry peers.
- CIA's Operating Margin has declined in the last couple of years.
- The Gross Margin of CIA (21.30%) is better than 88.90% of its industry peers.
- In the last couple of years the Gross Margin of CIA has declined.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 16.68% | ||
| PM (TTM) | 7.27% | ||
| GM | 21.3% |
OM growth 3Y-31.3%
OM growth 5Y-13.67%
PM growth 3Y-37.24%
PM growth 5Y-4.94%
GM growth 3Y-27.69%
GM growth 5Y-11.6%
2. Health
2.1 Basic Checks
- CIA has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
- Compared to 1 year ago, CIA has about the same amount of shares outstanding.
- Compared to 5 years ago, CIA has more shares outstanding
- The debt/assets ratio for CIA is higher compared to a year ago.
2.2 Solvency
- CIA has an Altman-Z score of 2.26. This is not the best score and indicates that CIA is in the grey zone with still only limited risk for bankruptcy at the moment.
- Looking at the Altman-Z score, with a value of 2.26, CIA is in line with its industry, outperforming 45.61% of the companies in the same industry.
- CIA has a Debt/Equity ratio of 0.68. This is a neutral value indicating CIA is somewhat dependend on debt financing.
- CIA's Debt to Equity ratio of 0.68 is on the low side compared to the rest of the industry. CIA is outperformed by 71.95% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.68 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 2.26 |
ROIC/WACC0.49
WACC10.37%
2.3 Liquidity
- CIA has a Current Ratio of 2.57. This indicates that CIA is financially healthy and has no problem in meeting its short term obligations.
- CIA has a Current ratio (2.57) which is comparable to the rest of the industry.
- CIA has a Quick Ratio of 1.73. This is a normal value and indicates that CIA is financially healthy and should not expect problems in meeting its short term obligations.
- The Quick ratio of CIA (1.73) is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.57 | ||
| Quick Ratio | 1.73 |
3. Growth
3.1 Past
- The earnings per share for CIA have decreased strongly by -51.02% in the last year.
- CIA shows a decrease in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -0.70% yearly.
- Looking at the last year, CIA shows a small growth in Revenue. The Revenue has grown by 0.83% in the last year.
- CIA shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 15.40% yearly.
EPS 1Y (TTM)-51.02%
EPS 3Y-35.43%
EPS 5Y-0.7%
EPS Q2Q%175%
Revenue 1Y (TTM)0.83%
Revenue growth 3Y3.22%
Revenue growth 5Y15.4%
Sales Q2Q%40.43%
3.2 Future
- Based on estimates for the next years, CIA will show a small growth in Earnings Per Share. The EPS will grow by 3.44% on average per year.
- Based on estimates for the next years, CIA will show a small growth in Revenue. The Revenue will grow by 1.02% on average per year.
EPS Next Y25.67%
EPS Next 2Y27.31%
EPS Next 3Y16.4%
EPS Next 5Y3.44%
Revenue Next Year10.38%
Revenue Next 2Y8.45%
Revenue Next 3Y5.84%
Revenue Next 5Y1.02%
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 decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
- The Price/Earnings ratio is 22.75, which indicates a rather expensive current valuation of CIA.
- CIA's Price/Earnings ratio is rather cheap when compared to the industry. CIA is cheaper than 92.68% of the companies in the same industry.
- Compared to an average S&P500 Price/Earnings ratio of 28.32, CIA is valued at the same level.
- A Price/Forward Earnings ratio of 12.03 indicates a correct valuation of CIA.
- Compared to the rest of the industry, the Price/Forward Earnings ratio of CIA indicates a rather cheap valuation: CIA is cheaper than 92.68% of the companies listed in the same industry.
- CIA's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 25.57.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 22.75 | ||
| Fwd PE | 12.03 |
4.2 Price Multiples
- CIA's Enterprise Value to EBITDA ratio is rather cheap when compared to the industry. CIA is cheaper than 96.59% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 8.19 |
4.3 Compensation for Growth
- The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
- CIA has a very decent profitability rating, which may justify a higher PE ratio.
- A more expensive valuation may be justified as CIA's earnings are expected to grow with 16.40% in the coming years.
PEG (NY)0.89
PEG (5Y)N/A
EPS Next 2Y27.31%
EPS Next 3Y16.4%
5. Dividend
5.1 Amount
- CIA has a Yearly Dividend Yield of 3.66%. Purely for dividend investing, there may be better candidates out there.
- Compared to an average industry Dividend Yield of 0.42, CIA pays a better dividend. On top of this CIA pays more dividend than 99.27% of the companies listed in the same industry.
- Compared to an average S&P500 Dividend Yield of 1.83, CIA pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.66% |
5.2 History
- CIA has paid a dividend for less than 5 years, so there is no long track record yet.
Dividend Growth(5Y)N/A
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
- CIA pays out 86.57% of its income as dividend. This is not a sustainable payout ratio.
DP86.57%
EPS Next 2Y27.31%
EPS Next 3Y16.4%
CHAMPION IRON LTD / CIA.CA FAQ
What is the fundamental rating for CIA stock?
ChartMill assigns a fundamental rating of 5 / 10 to CIA.CA.
What is the valuation status of CHAMPION IRON LTD (CIA.CA) stock?
ChartMill assigns a valuation rating of 5 / 10 to CHAMPION IRON LTD (CIA.CA). This can be considered as Fairly Valued.
What is the profitability of CIA stock?
CHAMPION IRON LTD (CIA.CA) has a profitability rating of 7 / 10.
Can you provide the expected EPS growth for CIA stock?
The Earnings per Share (EPS) of CHAMPION IRON LTD (CIA.CA) is expected to grow by 25.67% in the next year.
Is the dividend of CHAMPION IRON LTD sustainable?
The dividend rating of CHAMPION IRON LTD (CIA.CA) is 3 / 10 and the dividend payout ratio is 86.57%.