CI Financial Corp (CIX.CA) Stock Fundamental Analysis
Canada - Toronto Stock Exchange - TSX:CIX - CA1254911003 - Common Stock
31.99 CAD
0 (0%)
Overall CIX gets a fundamental rating of 4 out of 10. We evaluated CIX against 78 industry peers in the Capital Markets industry. There are concerns on the financial health of CIX while its profitability can be described as average. A decent growth rate in combination with a cheap valuation! Better keep an eye on CIX.
1. Profitability
1.1 Basic Checks
- In the past year CIX was profitable.
- CIX had a positive operating cash flow in the past year.
- Of the past 5 years CIX 4 years were profitable.
- Each year in the past 5 years CIX had a positive operating cash flow.
1.2 Ratios
- CIX has a Return On Assets of -2.72%. This is in the lower half of the industry: CIX underperforms 76.83% of its industry peers.
- The Return On Equity of CIX (-62.17%) is worse than 86.59% of its industry peers.
- The Return On Invested Capital of CIX (9.20%) is better than 82.93% of its industry peers.
- CIX had an Average Return On Invested Capital over the past 3 years of 7.66%. This 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
- The Operating Margin of CIX (20.24%) is comparable to the rest of the industry.
- CIX's Operating Margin has declined in the last couple of years.
- CIX has a Gross Margin of 82.50%. This is amongst the best in the industry. CIX outperforms 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.
- Compared to 5 years ago, CIX has less shares outstanding
- Compared to 1 year ago, CIX has a worse debt to assets ratio.
2.2 Solvency
- CIX has an Altman-Z score of 0.17. This is a bad value and indicates that CIX is not financially healthy and even has some risk of bankruptcy.
- Looking at the Altman-Z score, with a value of 0.17, CIX is doing worse than 78.05% of the companies in the same industry.
- The Debt to FCF ratio of CIX is 9.62, which is on the high side as it means it would take CIX, 9.62 years of fcf income to pay off all of its debts.
- The Debt to FCF ratio of CIX (9.62) is better than 63.41% of its industry peers.
- A Debt/Equity ratio of 7.95 is on the high side and indicates that CIX has dependencies on debt financing.
- Looking at the Debt to Equity ratio, with a value of 7.95, CIX is doing worse than 87.80% of the companies in the same industry.
| 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.
- CIX has a Current ratio of 0.33. This is amonst the worse of the industry: CIX underperforms 84.15% of its industry peers.
- 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.
- The Quick ratio of CIX (0.33) is worse than 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.
- CIX shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 9.48% yearly.
- Looking at the last year, CIX shows a quite strong growth in Revenue. The Revenue has grown by 12.99% in the last year.
- The Revenue has been growing slightly by 6.96% on average over the past years.
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.
- The Revenue is expected to grow by 3.39% on average over the next years.
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.
- When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
- With a Price/Earnings ratio of 8.24, the valuation of CIX can be described as very reasonable.
- CIX's Price/Earnings is on the same level as the industry average.
- When comparing the Price/Earnings ratio of CIX to the average of the S&P500 Index (28.82), we can say CIX is valued rather cheaply.
- CIX is valuated cheaply with a Price/Forward Earnings ratio of 6.97.
- CIX's Price/Forward Earnings ratio is a bit cheaper when compared to the industry. CIX is cheaper than 69.51% of the companies in the same industry.
- Compared to an average S&P500 Price/Forward Earnings ratio of 25.95, 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%.
- Compared to an average industry Dividend Yield of 1.74, CIX pays a bit more dividend than its industry peers.
- 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
- The earnings of CIX are negative and hence is the payout ratio. CIX will probably not be able to sustain this dividend level.
- 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%.