CHAMPION IRON LTD (CIA.CA)
AU000000CIA2 - Common Stock
Taking everything into account, CIA scores 7 out of 10 in our fundamental rating. CIA was compared to 829 industry peers in the Metals & Mining industry. While CIA has a great profitability rating, there are some minor concerns on its financial health. CIA scores decently on growth, while it is valued quite cheap. This could make an interesting combination. These ratings would make CIA suitable for value investing!
1. Profitability
1.1 Basic Checks
In the past year CIA was profitable.
CIA had a positive operating cash flow in the past year.
CIA had positive earnings in each of the past 5 years.
CIA had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
CIA's Return On Assets of 10.78% is amongst the best of the industry. CIA outperforms 95.06% of its industry peers.
CIA has a Return On Equity of 20.96%. This is amongst the best in the industry. CIA outperforms 96.54% of its industry peers.
The Return On Invested Capital of CIA (13.12%) is better than 97.40% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for CIA is significantly above the industry average of 8.56%.
The last Return On Invested Capital (13.12%) for CIA is well below the 3 year average (17.72%), which needs to be investigated, but indicates that CIA had better years and this may not be a problem.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 10.78% | ||
| ROE | 20.96% | ||
| ROIC | 13.12% |
ROA(3y)14.55%
ROA(5y)16.96%
ROE(3y)25.88%
ROE(5y)31.17%
ROIC(3y)17.72%
ROIC(5y)23.3%
1.3 Margins
Looking at the Profit Margin, with a value of 17.64%, CIA belongs to the top of the industry, outperforming 96.79% of the companies in the same industry.
In the last couple of years the Profit Margin of CIA has grown nicely.
The Operating Margin of CIA (31.61%) is better than 97.16% of its industry peers.
In the last couple of years the Operating Margin of CIA has declined.
CIA's Gross Margin of 36.87% is amongst the best of the industry. CIA outperforms 94.31% of its industry peers.
CIA's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 31.61% | ||
| PM (TTM) | 17.64% | ||
| GM | 36.87% |
OM growth 3Y-22.87%
OM growth 5Y-7.21%
PM growth 3Y-24.87%
PM growth 5Y3.92%
GM growth 3Y-19.42%
GM growth 5Y-5.11%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) well above the Cost of Capital (WACC), CIA is creating value.
The number of shares outstanding for CIA remains at a similar level compared to 1 year ago.
Compared to 5 years ago, CIA has more shares outstanding
The debt/assets ratio for CIA has been reduced compared to a year ago.
2.2 Solvency
An Altman-Z score of 3.16 indicates that CIA is not in any danger for bankruptcy at the moment.
CIA's Altman-Z score of 3.16 is in line compared to the rest of the industry. CIA outperforms 59.70% of its industry peers.
CIA has a debt to FCF ratio of 11.30. This is a negative value and a sign of low solvency as CIA would need 11.30 years to pay back of all of its debts.
With an excellent Debt to FCF ratio value of 11.30, CIA belongs to the best of the industry, outperforming 91.22% of the companies in the same industry.
CIA has a Debt/Equity ratio of 0.40. This is a healthy value indicating a solid balance between debt and equity.
CIA has a Debt to Equity ratio of 0.40. This is in the lower half of the industry: CIA underperforms 77.38% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.4 | ||
| Debt/FCF | 11.3 | ||
| Altman-Z | 3.16 |
ROIC/WACC1.55
WACC8.46%
2.3 Liquidity
CIA has a Current Ratio of 2.42. This indicates that CIA is financially healthy and has no problem in meeting its short term obligations.
CIA has a Current ratio of 2.42. This is comparable to the rest of the industry: CIA outperforms 54.51% of its industry peers.
CIA has a Quick Ratio of 1.52. This is a normal value and indicates that CIA is financially healthy and should not expect problems in meeting its short term obligations.
CIA has a Quick ratio (1.52) which is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.42 | ||
| Quick Ratio | 1.52 |
3. Growth
3.1 Past
CIA shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 54.05%, which is quite impressive.
Measured over the past years, CIA shows a quite strong growth in Earnings Per Share. The EPS has been growing by 10.76% on average per year.
CIA shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 19.91%.
Measured over the past years, CIA shows a quite strong growth in Revenue. The Revenue has been growing by 18.40% on average per year.
EPS 1Y (TTM)54.05%
EPS 3Y-20.92%
EPS 5Y10.76%
EPS Q2Q%300%
Revenue 1Y (TTM)19.91%
Revenue growth 3Y5.95%
Revenue growth 5Y18.4%
Sales Q2Q%57.18%
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 5.95% on average per year.
CIA is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 2.62% yearly.
EPS Next Y41.66%
EPS Next 2Y21.82%
EPS Next 3Y11.52%
EPS Next 5Y5.95%
Revenue Next Year20.23%
Revenue Next 2Y9.73%
Revenue Next 3Y7.58%
Revenue Next 5Y2.62%
3.3 Evolution
The EPS growth rate is decreasing: in the next years the growth will be less 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
CIA is valuated reasonably with a Price/Earnings ratio of 8.96.
CIA's Price/Earnings ratio is rather cheap when compared to the industry. CIA is cheaper than 94.68% of the companies in the same industry.
CIA's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 30.45.
The Price/Forward Earnings ratio is 7.65, which indicates a rather cheap valuation of CIA.
Based on the Price/Forward Earnings ratio, CIA is valued cheaply inside the industry as 95.18% of the companies are valued more expensively.
Compared to an average S&P500 Price/Forward Earnings ratio of 21.99, CIA is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 8.96 | ||
| Fwd PE | 7.65 |
4.2 Price Multiples
95.67% of the companies in the same industry are more expensive than CIA, based on the Enterprise Value to EBITDA ratio.
Based on the Price/Free Cash Flow ratio, CIA is valued cheaply inside the industry as 91.59% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 49.21 | ||
| EV/EBITDA | 4.51 |
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 an outstanding profitability rating, which may justify a higher PE ratio.
PEG (NY)0.22
PEG (5Y)0.83
EPS Next 2Y21.82%
EPS Next 3Y11.52%
5. Dividend
5.1 Amount
CIA has a Yearly Dividend Yield of 3.93%. Purely for dividend investing, there may be better candidates out there.
CIA's Dividend Yield is rather good when compared to the industry average which is at 7.49. CIA pays more dividend than 98.15% of the companies in the same industry.
Compared to an average S&P500 Dividend Yield of 2.26, CIA pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.93% |
5.2 History
CIA has been paying a dividend for less than 5 years, so it still needs to build a track record.
Dividend Growth(5Y)N/A
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
34.61% of the earnings are spent on dividend by CIA. This is a low number and sustainable payout ratio.
DP34.61%
EPS Next 2Y21.82%
EPS Next 3Y11.52%
CHAMPION IRON LTD
TSX:CIA (9/17/2024, 7:00:00 PM)
5.11
-0.01 (-0.2%)
Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryMetals & Mining
Earnings (Last)
Earnings (Next)
Inst Owners
Inst Owner Change
Ins Owners
Ins Owner Change
Market Cap2.65B
Analysts
Price Target
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.93% |
Dividend Growth(5Y)
DP
Div Incr Years
Div Non Decr Years
Ex-Date
Surprises & Revisions
EPS beat(2)
Avg EPS beat(2)
Min EPS beat(2)
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EPS beat(4)
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EPS beat(8)
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EPS beat(12)
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EPS beat(16)
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Revenue beat(2)
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Revenue beat(4)
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Revenue beat(8)
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Revenue beat(12)
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Revenue beat(16)
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PT rev (1m)
PT rev (3m)
EPS NQ rev (1m)
EPS NQ rev (3m)
EPS NY rev (1m)
EPS NY rev (3m)
Revenue NQ rev (1m)
Revenue NQ rev (3m)
Revenue NY rev (1m)
Revenue NY rev (3m)
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 8.96 | ||
| Fwd PE | 7.65 | ||
| P/S | |||
| P/FCF | |||
| P/OCF | |||
| P/B | |||
| P/tB | |||
| EV/EBITDA |
EPS(TTM)
EY
EPS(NY)
Fwd EY
FCF(TTM)
FCFY
OCF(TTM)
OCFY
SpS
BVpS
TBVpS
PEG (NY)0.22
PEG (5Y)0.83
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 10.78% | ||
| ROE | 20.96% | ||
| ROCE | |||
| ROIC | |||
| ROICexc | |||
| ROICexgc | |||
| OM | 31.61% | ||
| PM (TTM) | 17.64% | ||
| GM | 36.87% | ||
| FCFM |
ROA(3y)
ROA(5y)
ROE(3y)
ROE(5y)
ROIC(3y)
ROIC(5y)
ROICexc(3y)
ROICexc(5y)
ROICexgc(3y)
ROICexgc(5y)
ROCE(3y)
ROCE(5y)
ROICexcg growth 3Y
ROICexcg growth 5Y
ROICexc growth 3Y
ROICexc growth 5Y
OM growth 3Y
OM growth 5Y
PM growth 3Y
PM growth 5Y
GM growth 3Y
GM growth 5Y
F-Score
Asset Turnover0.61
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.4 | ||
| Debt/FCF | |||
| Debt/EBITDA | |||
| Cap/Depr | |||
| Cap/Sales | |||
| Interest Coverage | |||
| Cash Conversion | |||
| Profit Quality | |||
| Current Ratio | 2.42 | ||
| Quick Ratio | 1.52 | ||
| Altman-Z |
F-Score
WACC
ROIC/WACC
Cap/Depr(3y)
Cap/Depr(5y)
Cap/Sales(3y)
Cap/Sales(5y)
Profit Quality(3y)
Profit Quality(5y)
High Growth Momentum
Growth
EPS 1Y (TTM)54.05%
EPS 3Y-20.92%
EPS 5Y
EPS Q2Q%
EPS Next Y41.66%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)19.91%
Revenue growth 3Y5.95%
Revenue growth 5Y
Sales Q2Q%
Revenue Next Year
Revenue Next 2Y
Revenue Next 3Y
Revenue Next 5Y
EBIT growth 1Y
EBIT growth 3Y
EBIT growth 5Y
EBIT Next Year
EBIT Next 3Y
EBIT Next 5Y
FCF growth 1Y
FCF growth 3Y
FCF growth 5Y
OCF growth 1Y
OCF growth 3Y
OCF growth 5Y