CHAMPION IRON LTD (CIA.CA) Stock Fundamental Analysis
Canada - TSX:CIA - AU000000CIA2 - Common Stock
4.27 CAD
-0.1 (-2.29%)
Taking everything into account, CIA scores 4 out of 10 in our fundamental rating. CIA was compared to 807 industry peers in the Metals & Mining industry. CIA has an excellent profitability rating, but there are concerns on its financial health. CIA has a valuation in line with the averages, but it does not seem to be growing.
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.
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 has a Return On Assets of 2.76%. This is amongst the best in the industry. CIA outperforms 87.61% of its industry peers.
CIA has a better Return On Equity (5.86%) than 89.34% of its industry peers.
Looking at the Return On Invested Capital, with a value of 3.90%, CIA belongs to the top of the industry, outperforming 90.95% of the companies in the same industry.
CIA had an Average Return On Invested Capital over the past 3 years of 9.37%. This is below the industry average of 11.74%.
The 3 year average ROIC (9.37%) for CIA is well above the current ROIC(3.90%). The reason for the recent decline needs to be investigated.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.76% | ||
| ROE | 5.86% | ||
| ROIC | 3.9% |
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
With an excellent Profit Margin value of 5.52%, CIA belongs to the best of the industry, outperforming 90.71% of the companies in the same industry.
In the last couple of years the Profit Margin of CIA has declined.
With an excellent Operating Margin value of 12.14%, CIA belongs to the best of the industry, outperforming 90.33% of the companies in the same industry.
CIA's Operating Margin has declined in the last couple of years.
CIA has a better Gross Margin (17.29%) than 87.73% of its industry peers.
CIA's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 12.14% | ||
| PM (TTM) | 5.52% | ||
| GM | 17.29% |
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
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so CIA is still creating some value.
Compared to 1 year ago, CIA has about the same amount of shares outstanding.
CIA has more shares outstanding than it did 5 years ago.
Compared to 1 year ago, CIA has a worse debt to assets ratio.
2.2 Solvency
CIA has an Altman-Z score of 2.10. 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.
With a Altman-Z score value of 2.10, CIA perfoms like the industry average, outperforming 51.92% of the companies in the same industry.
CIA has a Debt/Equity ratio of 0.54. This is a neutral value indicating CIA is somewhat dependend on debt financing.
CIA's Debt to Equity ratio of 0.54 is on the low side compared to the rest of the industry. CIA is outperformed by 73.61% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.54 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 2.1 |
ROIC/WACC0.43
WACC9.01%
2.3 Liquidity
A Current Ratio of 1.83 indicates that CIA should not have too much problems paying its short term obligations.
CIA has a Current ratio of 1.83. This is comparable to the rest of the industry: CIA outperforms 52.79% of its industry peers.
A Quick Ratio of 0.99 indicates that CIA may have some problems paying its short term obligations.
CIA has a Quick ratio of 0.99. This is comparable to the rest of the industry: CIA outperforms 44.73% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.83 | ||
| Quick Ratio | 0.99 |
3. Growth
3.1 Past
The earnings per share for CIA have decreased strongly by -70.18% in the last year.
Measured over the past years, CIA shows a decrease in Earnings Per Share. The EPS has been decreasing by -0.70% on average per year.
CIA shows a decrease in Revenue. In the last year, the revenue decreased by -9.72%.
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)-70.18%
EPS 3Y-35.43%
EPS 5Y-0.7%
EPS Q2Q%-68.75%
Revenue 1Y (TTM)-9.72%
Revenue growth 3Y3.22%
Revenue growth 5Y15.4%
Sales Q2Q%-16.5%
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 5.09% on average per year.
Based on estimates for the next years, CIA will show a small growth in Revenue. The Revenue will grow by 0.24% on average per year.
EPS Next Y-8.03%
EPS Next 2Y14.3%
EPS Next 3Y13.71%
EPS Next 5Y5.09%
Revenue Next Year4.37%
Revenue Next 2Y7.01%
Revenue Next 3Y5.03%
Revenue Next 5Y0.24%
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 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 25.12, which means the current valuation is very expensive for CIA.
CIA's Price/Earnings ratio is rather cheap when compared to the industry. CIA is cheaper than 90.21% of the companies in the same industry.
When comparing the Price/Earnings ratio of CIA to the average of the S&P500 Index (27.20), we can say CIA is valued inline with the index average.
With a Price/Forward Earnings ratio of 11.67, the valuation of CIA can be described as very reasonable.
Based on the Price/Forward Earnings ratio, CIA is valued cheaper than 91.57% of the companies in the same industry.
When comparing the Price/Forward Earnings ratio of CIA to the average of the S&P500 Index (22.70), we can say CIA is valued slightly cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 25.12 | ||
| Fwd PE | 11.67 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, CIA is valued cheaper than 94.42% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 8.54 |
4.3 Compensation for Growth
CIA has a very decent profitability rating, which may justify a higher PE ratio.
CIA's earnings are expected to grow with 13.71% in the coming years. This may justify a more expensive valuation.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y14.3%
EPS Next 3Y13.71%
5. Dividend
5.1 Amount
CIA has a Yearly Dividend Yield of 4.96%, which is a nice return.
CIA's Dividend Yield is rather good when compared to the industry average which is at 13.98. CIA pays more dividend than 99.13% of the companies in the same industry.
Compared to an average S&P500 Dividend Yield of 2.38, CIA pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.96% |
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
CIA pays out 122.69% of its income as dividend. This is not a sustainable payout ratio.
DP122.69%
EPS Next 2Y14.3%
EPS Next 3Y13.71%
TSX:CIA (9/17/2025, 7:00:00 PM)
4.27
-0.1 (-2.29%)
Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryMetals & Mining
Earnings (Last)
Earnings (Next)
Inst Owners39.34%
Inst Owner ChangeN/A
Ins Owners9.04%
Ins Owner ChangeN/A
Market Cap2.28B
Analysts81.67
Price Target5.44 (27.4%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.96% |
Yearly Dividend0.2
Dividend Growth(5Y)N/A
DP122.69%
Div Incr Years0
Div Non Decr Years0
Ex-Date
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-18.81%
Min EPS beat(2)-36.28%
Max EPS beat(2)-1.35%
EPS beat(4)0
Avg EPS beat(4)-51.24%
Min EPS beat(4)-100%
Max EPS beat(4)-1.35%
EPS beat(8)1
Avg EPS beat(8)-29.89%
EPS beat(12)1
Avg EPS beat(12)-28.23%
EPS beat(16)3
Avg EPS beat(16)-22.13%
Revenue beat(2)0
Avg Revenue beat(2)-4.94%
Min Revenue beat(2)-7.75%
Max Revenue beat(2)-2.13%
Revenue beat(4)0
Avg Revenue beat(4)-9.55%
Min Revenue beat(4)-26.14%
Max Revenue beat(4)-2.13%
Revenue beat(8)2
Avg Revenue beat(8)-6.95%
Revenue beat(12)4
Avg Revenue beat(12)-4.2%
Revenue beat(16)4
Avg Revenue beat(16)-4.17%
PT rev (1m)1.99%
PT rev (3m)-6.58%
EPS NQ rev (1m)-29.54%
EPS NQ rev (3m)-73.59%
EPS NY rev (1m)-54.09%
EPS NY rev (3m)-54.09%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-23.92%
Revenue NY rev (1m)-5.34%
Revenue NY rev (3m)-11.02%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 25.12 | ||
| Fwd PE | 11.67 | ||
| P/S | 1.49 | ||
| P/FCF | N/A | ||
| P/OCF | 6.44 | ||
| P/B | 1.58 | ||
| P/tB | 1.58 | ||
| EV/EBITDA | 8.54 |
EPS(TTM)0.17
EY3.98%
EPS(NY)0.37
Fwd EY8.57%
FCF(TTM)-0.47
FCFYN/A
OCF(TTM)0.66
OCFY15.54%
SpS2.87
BVpS2.71
TBVpS2.7
PEG (NY)N/A
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.76% | ||
| ROE | 5.86% | ||
| ROCE | 6.89% | ||
| ROIC | 3.9% | ||
| ROICexc | 4.17% | ||
| ROICexgc | 4.18% | ||
| OM | 12.14% | ||
| PM (TTM) | 5.52% | ||
| GM | 17.29% | ||
| FCFM | N/A |
ROA(3y)7.35%
ROA(5y)15.87%
ROE(3y)14.19%
ROE(5y)28.4%
ROIC(3y)9.37%
ROIC(5y)19%
ROICexc(3y)10.84%
ROICexc(5y)28.87%
ROICexgc(3y)10.88%
ROICexgc(5y)29.1%
ROCE(3y)16.55%
ROCE(5y)33.57%
ROICexcg growth 3Y-42.32%
ROICexcg growth 5Y-28.41%
ROICexc growth 3Y-42.24%
ROICexc growth 5Y-28.44%
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%
F-Score3
Asset Turnover0.5
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.54 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 2.24 | ||
| Cap/Depr | 376.71% | ||
| Cap/Sales | 39.38% | ||
| Interest Coverage | 3.43 | ||
| Cash Conversion | 102.39% | ||
| Profit Quality | N/A | ||
| Current Ratio | 1.83 | ||
| Quick Ratio | 0.99 | ||
| Altman-Z | 2.1 |
F-Score3
WACC9.01%
ROIC/WACC0.43
Cap/Depr(3y)309.58%
Cap/Depr(5y)525.09%
Cap/Sales(3y)27.11%
Cap/Sales(5y)26.21%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-70.18%
EPS 3Y-35.43%
EPS 5Y-0.7%
EPS Q2Q%-68.75%
EPS Next Y-8.03%
EPS Next 2Y14.3%
EPS Next 3Y13.71%
EPS Next 5Y5.09%
Revenue 1Y (TTM)-9.72%
Revenue growth 3Y3.22%
Revenue growth 5Y15.4%
Sales Q2Q%-16.5%
Revenue Next Year4.37%
Revenue Next 2Y7.01%
Revenue Next 3Y5.03%
Revenue Next 5Y0.24%
EBIT growth 1Y-65.34%
EBIT growth 3Y-29.09%
EBIT growth 5Y-0.37%
EBIT Next Year101.11%
EBIT Next 3Y20.81%
EBIT Next 5Y9.42%
FCF growth 1Y-375.26%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y11.42%
OCF growth 3Y-13.54%
OCF growth 5Y-0.36%