CI Financial Corp (CIX.CA) Stock Fundamental Analysis
Canada - Toronto Stock Exchange - TSX:CIX - CA1254911003 - Common Stock
31.99 CAD
0 (0%)
CIX gets a fundamental rating of 4 out of 10. The analysis compared the fundamentals against 78 industry peers in the Capital Markets industry. While CIX is still in line with the averages on profitability rating, there are concerns on its financial health. CIX may be a bit undervalued, certainly considering the very reasonable score on growth
1. Profitability
1.1 Basic Checks
- CIX had positive earnings in the past year.
- In the past year CIX had a positive cash flow from operations.
- CIX had positive earnings in 4 of the past 5 years.
- In the past 5 years CIX always reported a positive cash flow from operatings.
1.2 Ratios
- CIX has a worse Return On Assets (-2.72%) than 76.83% of its industry peers.
- With a Return On Equity value of -62.17%, CIX is not doing good in the industry: 86.59% of the companies in the same industry are doing better.
- CIX has a better Return On Invested Capital (9.20%) than 82.93% of its industry peers.
- The Average Return On Invested Capital over the past 3 years for CIX is below the industry average of 10.50%.
- The last Return On Invested Capital (9.20%) for CIX is above the 3 year average (7.66%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -2.72% | ||
| ROE | -62.17% | ||
| ROIC | 9.2% |
ROA(3y)-0.23%
ROA(5y)2.31%
ROE(3y)-27.12%
ROE(5y)-5.1%
ROIC(3y)7.66%
ROIC(5y)8.88%
1.3 Margins
- With a Operating Margin value of 20.24%, CIX perfoms like the industry average, outperforming 42.68% of the companies in the same industry.
- In the last couple of years the Operating Margin of CIX has declined.
- CIX has a better Gross Margin (82.50%) than 82.93% of its industry peers.
- In the last couple of years the Gross Margin of CIX has declined.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 20.24% | ||
| PM (TTM) | N/A | ||
| GM | 82.5% |
OM growth 3Y-26.25%
OM growth 5Y-17.67%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y0.37%
GM growth 5Y-1.76%
2. Health
2.1 Basic Checks
- The number of shares outstanding for CIX has been reduced compared to 1 year ago.
- The number of shares outstanding for CIX has been reduced compared to 5 years ago.
- The debt/assets ratio for CIX is higher compared to a year ago.
2.2 Solvency
- Based on the Altman-Z score of 0.17, we must say that CIX is in the distress zone and has some risk of bankruptcy.
- CIX has a Altman-Z score of 0.17. This is in the lower half of the industry: CIX underperforms 78.05% of its industry peers.
- CIX has a debt to FCF ratio of 9.62. This is a negative value and a sign of low solvency as CIX would need 9.62 years to pay back of all of its debts.
- CIX's Debt to FCF ratio of 9.62 is fine compared to the rest of the industry. CIX outperforms 63.41% of its industry peers.
- CIX has a Debt/Equity ratio of 7.95. This is a high value indicating a heavy dependency on external financing.
- CIX's Debt to Equity ratio of 7.95 is on the low side compared to the rest of the industry. CIX is outperformed by 87.80% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 7.95 | ||
| Debt/FCF | 9.62 | ||
| Altman-Z | 0.17 |
ROIC/WACCN/A
WACCN/A
2.3 Liquidity
- CIX has a Current Ratio of 0.33. This is a bad value and indicates that CIX is not financially healthy enough and could expect problems in meeting its short term obligations.
- With a Current ratio value of 0.33, CIX is not doing good in the industry: 84.15% of the companies in the same industry are doing better.
- CIX has a Quick Ratio of 0.33. This is a bad value and indicates that CIX is not financially healthy enough and could expect problems in meeting its short term obligations.
- CIX's Quick ratio of 0.33 is on the low side compared to the rest of the industry. CIX is outperformed by 84.15% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.33 | ||
| Quick Ratio | 0.33 |
3. Growth
3.1 Past
- The Earnings Per Share has grown by an nice 14.79% over the past year.
- Measured over the past years, CIX shows a quite strong growth in Earnings Per Share. The EPS has been growing by 9.48% on average per year.
- The Revenue has grown by 12.99% in the past year. This is quite good.
- Measured over the past years, CIX shows a small growth in Revenue. The Revenue has been growing by 6.96% on average per year.
EPS 1Y (TTM)14.79%
EPS 3Y6.7%
EPS 5Y9.48%
EPS Q2Q%-1.11%
Revenue 1Y (TTM)12.99%
Revenue growth 3Y11.06%
Revenue growth 5Y6.96%
Sales Q2Q%-8.84%
3.2 Future
- Based on estimates for the next years, CIX will show a small growth in Earnings Per Share. The EPS will grow by 5.59% on average per year.
- CIX is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 3.39% yearly.
EPS Next Y11.35%
EPS Next 2Y10.02%
EPS Next 3Y4.73%
EPS Next 5Y5.59%
Revenue Next Year2.26%
Revenue Next 2Y2.39%
Revenue Next 3Y-3.24%
Revenue Next 5Y3.39%
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
- The Price/Earnings ratio is 8.24, which indicates a very decent valuation of CIX.
- CIX's Price/Earnings ratio is in line with the industry average.
- The average S&P500 Price/Earnings ratio is at 28.87. CIX is valued rather cheaply when compared to this.
- CIX is valuated cheaply with a Price/Forward Earnings ratio of 6.97.
- Compared to the rest of the industry, the Price/Forward Earnings ratio of CIX indicates a somewhat cheap valuation: CIX is cheaper than 69.51% of the companies listed in the same industry.
- When comparing the Price/Forward Earnings ratio of CIX to the average of the S&P500 Index (25.96), we can say CIX is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 8.24 | ||
| Fwd PE | 6.97 |
4.2 Price Multiples
- Based on the Enterprise Value to EBITDA ratio, CIX is valued a bit cheaper than 62.20% of the companies in the same industry.
- CIX's Price/Free Cash Flow ratio is rather cheap when compared to the industry. CIX is cheaper than 81.71% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 9.97 | ||
| EV/EBITDA | 9.92 |
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.
PEG (NY)0.73
PEG (5Y)0.87
EPS Next 2Y10.02%
EPS Next 3Y4.73%
5. Dividend
5.1 Amount
- CIX has a Yearly Dividend Yield of 2.50%. Purely for dividend investing, there may be better candidates out there.
- CIX's Dividend Yield is a higher than the industry average which is at 1.74.
- Compared to an average S&P500 Dividend Yield of 1.82, CIX pays a bit more dividend than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.5% |
5.2 History
- The dividend of CIX has a limited annual growth rate of 1.95%.
- CIX has been paying a dividend for at least 10 years, so it has a reliable track record.
- The dividend of CIX decreased recently.
Dividend Growth(5Y)1.95%
Div Incr Years1
Div Non Decr Years1
5.3 Sustainability
- CIX has negative earnings and hence a negative payout ratio. The dividend may be in danger.
- The dividend of CIX is growing, but earnings are growing more, so the dividend growth is sustainable.
DP-38.71%
EPS Next 2Y10.02%
EPS Next 3Y4.73%
CI Financial Corp / CIX.CA FAQ
What is the fundamental rating for CIX stock?
ChartMill assigns a fundamental rating of 4 / 10 to CIX.CA.
Can you provide the valuation status for CI Financial Corp?
ChartMill assigns a valuation rating of 6 / 10 to CI Financial Corp (CIX.CA). This can be considered as Fairly Valued.
Can you provide the profitability details for CI Financial Corp?
CI Financial Corp (CIX.CA) has a profitability rating of 4 / 10.
How financially healthy is CI Financial Corp?
The financial health rating of CI Financial Corp (CIX.CA) is 2 / 10.
How sustainable is the dividend of CI Financial Corp (CIX.CA) stock?
The dividend rating of CI Financial Corp (CIX.CA) is 4 / 10 and the dividend payout ratio is -38.71%.