CORE & MAIN INC-CLASS A (CNM) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:CNM - US21874C1027 - Common Stock
56.63 USD
+1.53 (+2.78%)
56.63 USD
0 (0%)
We assign a fundamental rating of 5 out of 10 to CNM. CNM was compared to 50 industry peers in the Trading Companies & Distributors industry. While CNM belongs to the best of the industry regarding profitability, there are some minor concerns on its financial health. CNM has a decent growth rate and is not valued too expensively.
1. Profitability
1.1 Basic Checks
In the past year CNM was profitable.
CNM had a positive operating cash flow in the past year.
CNM had positive earnings in each of the past 5 years.
CNM had a positive operating cash flow in 4 of the past 5 years.
1.2 Ratios
The Return On Assets of CNM (6.90%) is better than 72.00% of its industry peers.
CNM has a better Return On Equity (22.00%) than 86.00% of its industry peers.
CNM's Return On Invested Capital of 10.92% is fine compared to the rest of the industry. CNM outperforms 72.00% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for CNM is above the industry average of 9.63%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.9% | ||
| ROE | 22% | ||
| ROIC | 10.92% |
ROA(3y)7.26%
ROA(5y)5.33%
ROE(3y)23.57%
ROE(5y)17.76%
ROIC(3y)13.05%
ROIC(5y)10.52%
1.3 Margins
Looking at the Profit Margin, with a value of 5.60%, CNM is in the better half of the industry, outperforming 64.00% of the companies in the same industry.
CNM's Profit Margin has improved in the last couple of years.
CNM has a better Operating Margin (9.38%) than 66.00% of its industry peers.
In the last couple of years the Operating Margin of CNM has grown nicely.
Looking at the Gross Margin, with a value of 26.82%, CNM is doing worse than 60.00% of the companies in the same industry.
In the last couple of years the Gross Margin of CNM has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 9.38% | ||
| PM (TTM) | 5.6% | ||
| GM | 26.82% |
OM growth 3Y4.39%
OM growth 5Y16.07%
PM growth 3Y18.52%
PM growth 5Y35.35%
GM growth 3Y1.32%
GM growth 5Y2.7%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), CNM is creating some value.
The number of shares outstanding for CNM has been reduced compared to 1 year ago.
The number of shares outstanding for CNM has been reduced compared to 5 years ago.
CNM has a worse debt/assets ratio than last year.
2.2 Solvency
An Altman-Z score of 3.55 indicates that CNM is not in any danger for bankruptcy at the moment.
CNM has a Altman-Z score (3.55) which is in line with its industry peers.
CNM has a debt to FCF ratio of 3.74. This is a good value and a sign of high solvency as CNM would need 3.74 years to pay back of all of its debts.
CNM has a better Debt to FCF ratio (3.74) than 66.00% of its industry peers.
CNM has a Debt/Equity ratio of 1.08. This is a high value indicating a heavy dependency on external financing.
CNM has a worse Debt to Equity ratio (1.08) than 62.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.08 | ||
| Debt/FCF | 3.74 | ||
| Altman-Z | 3.55 |
ROIC/WACC1.08
WACC10.11%
2.3 Liquidity
A Current Ratio of 2.26 indicates that CNM has no problem at all paying its short term obligations.
CNM has a Current ratio of 2.26. This is comparable to the rest of the industry: CNM outperforms 60.00% of its industry peers.
A Quick Ratio of 1.35 indicates that CNM should not have too much problems paying its short term obligations.
CNM has a Quick ratio (1.35) which is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.26 | ||
| Quick Ratio | 1.35 |
3. Growth
3.1 Past
CNM shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 16.45%, which is quite good.
CNM shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 64.38% yearly.
CNM shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 8.09%.
CNM shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 17.04% yearly.
EPS 1Y (TTM)16.45%
EPS 3Y44.94%
EPS 5Y64.38%
EPS Q2Q%20.27%
Revenue 1Y (TTM)8.09%
Revenue growth 3Y14.14%
Revenue growth 5Y17.04%
Sales Q2Q%1.18%
3.2 Future
CNM is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 10.07% yearly.
Based on estimates for the next years, CNM will show a small growth in Revenue. The Revenue will grow by 4.88% on average per year.
EPS Next Y10.33%
EPS Next 2Y12.71%
EPS Next 3Y12.85%
EPS Next 5Y10.07%
Revenue Next Year2.69%
Revenue Next 2Y3.38%
Revenue Next 3Y3.83%
Revenue Next 5Y4.88%
3.3 Evolution
Although the future EPS growth is still strong, it is not able to hold up the even more excellent growth rate of the past 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
A Price/Earnings ratio of 21.05 indicates a rather expensive valuation of CNM.
Based on the Price/Earnings ratio, CNM is valued a bit cheaper than 66.00% of the companies in the same industry.
CNM's Price/Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 27.19.
A Price/Forward Earnings ratio of 19.38 indicates a rather expensive valuation of CNM.
CNM's Price/Forward Earnings ratio is a bit cheaper when compared to the industry. CNM is cheaper than 62.00% of the companies in the same industry.
CNM is valuated at similar levels of the S&P average when we compare the Price/Forward Earnings ratio to 23.88, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 21.05 | ||
| Fwd PE | 19.38 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of CNM is on the same level as its industry peers.
82.00% of the companies in the same industry are more expensive than CNM, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 19.44 | ||
| EV/EBITDA | 14.04 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
The decent profitability rating of CNM may justify a higher PE ratio.
A more expensive valuation may be justified as CNM's earnings are expected to grow with 12.85% in the coming years.
PEG (NY)2.04
PEG (5Y)0.33
EPS Next 2Y12.71%
EPS Next 3Y12.85%
5. Dividend
5.1 Amount
No dividends for CNM!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
56.63
+1.53 (+2.78%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryTrading Companies & Distributors
Earnings (Last)
Earnings (Next)
Inst Owners116.14%
Inst Owner Change-0.02%
Ins Owners0.56%
Ins Owner Change4.14%
Market Cap11.18B
Revenue(TTM)7.76B
Net Income(TTM)435.00M
Analysts76.84
Price Target61.53 (8.65%)
Short Float %5.11%
Short Ratio3.92
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)12.54%
Min EPS beat(2)9.23%
Max EPS beat(2)15.85%
EPS beat(4)4
Avg EPS beat(4)7.82%
Min EPS beat(4)0.71%
Max EPS beat(4)15.85%
EPS beat(8)7
Avg EPS beat(8)5.05%
EPS beat(12)11
Avg EPS beat(12)5.86%
EPS beat(16)15
Avg EPS beat(16)10.64%
Revenue beat(2)0
Avg Revenue beat(2)-1.95%
Min Revenue beat(2)-2.7%
Max Revenue beat(2)-1.2%
Revenue beat(4)2
Avg Revenue beat(4)-0.2%
Min Revenue beat(4)-2.7%
Max Revenue beat(4)2.69%
Revenue beat(8)4
Avg Revenue beat(8)-0.6%
Revenue beat(12)4
Avg Revenue beat(12)-0.97%
Revenue beat(16)8
Avg Revenue beat(16)1.79%
PT rev (1m)0.52%
PT rev (3m)1.12%
EPS NQ rev (1m)3.94%
EPS NQ rev (3m)3.37%
EPS NY rev (1m)9.14%
EPS NY rev (3m)1.56%
Revenue NQ rev (1m)-0.5%
Revenue NQ rev (3m)-0.56%
Revenue NY rev (1m)-0.17%
Revenue NY rev (3m)0.09%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 21.05 | ||
| Fwd PE | 19.38 | ||
| P/S | 1.44 | ||
| P/FCF | 19.44 | ||
| P/OCF | 18.12 | ||
| P/B | 5.66 | ||
| P/tB | N/A | ||
| EV/EBITDA | 14.04 |
EPS(TTM)2.69
EY4.75%
EPS(NY)2.92
Fwd EY5.16%
FCF(TTM)2.91
FCFY5.14%
OCF(TTM)3.13
OCFY5.52%
SpS39.33
BVpS10.01
TBVpS-3.99
PEG (NY)2.04
PEG (5Y)0.33
Graham Number24.62
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.9% | ||
| ROE | 22% | ||
| ROCE | 14.02% | ||
| ROIC | 10.92% | ||
| ROICexc | 11.11% | ||
| ROICexgc | 24.24% | ||
| OM | 9.38% | ||
| PM (TTM) | 5.6% | ||
| GM | 26.82% | ||
| FCFM | 7.41% |
ROA(3y)7.26%
ROA(5y)5.33%
ROE(3y)23.57%
ROE(5y)17.76%
ROIC(3y)13.05%
ROIC(5y)10.52%
ROICexc(3y)13.27%
ROICexc(5y)10.76%
ROICexgc(3y)30.58%
ROICexgc(5y)28.28%
ROCE(3y)16.76%
ROCE(5y)13.51%
ROICexgc growth 3Y-1.87%
ROICexgc growth 5Y6.48%
ROICexc growth 3Y6.77%
ROICexc growth 5Y19.1%
OM growth 3Y4.39%
OM growth 5Y16.07%
PM growth 3Y18.52%
PM growth 5Y35.35%
GM growth 3Y1.32%
GM growth 5Y2.7%
F-Score8
Asset Turnover1.23
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.08 | ||
| Debt/FCF | 3.74 | ||
| Debt/EBITDA | 2.31 | ||
| Cap/Depr | 21.65% | ||
| Cap/Sales | 0.54% | ||
| Interest Coverage | 4.41 | ||
| Cash Conversion | 66.92% | ||
| Profit Quality | 132.18% | ||
| Current Ratio | 2.26 | ||
| Quick Ratio | 1.35 | ||
| Altman-Z | 3.55 |
F-Score8
WACC10.11%
ROIC/WACC1.08
Cap/Depr(3y)20.09%
Cap/Depr(5y)16.28%
Cap/Sales(3y)0.48%
Cap/Sales(5y)0.43%
Profit Quality(3y)174.31%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)16.45%
EPS 3Y44.94%
EPS 5Y64.38%
EPS Q2Q%20.27%
EPS Next Y10.33%
EPS Next 2Y12.71%
EPS Next 3Y12.85%
EPS Next 5Y10.07%
Revenue 1Y (TTM)8.09%
Revenue growth 3Y14.14%
Revenue growth 5Y17.04%
Sales Q2Q%1.18%
Revenue Next Year2.69%
Revenue Next 2Y3.38%
Revenue Next 3Y3.83%
Revenue Next 5Y4.88%
EBIT growth 1Y2.1%
EBIT growth 3Y19.16%
EBIT growth 5Y35.85%
EBIT Next Year27.26%
EBIT Next 3Y13.6%
EBIT Next 5Y11.68%
FCF growth 1Y-44.87%
FCF growth 3YN/A
FCF growth 5Y24.92%
OCF growth 1Y-42.98%
OCF growth 3YN/A
OCF growth 5Y24.63%
CORE & MAIN INC-CLASS A / CNM FAQ
What is the fundamental rating for CNM stock?
ChartMill assigns a fundamental rating of 5 / 10 to CNM.
What is the valuation status for CNM stock?
ChartMill assigns a valuation rating of 5 / 10 to CORE & MAIN INC-CLASS A (CNM). This can be considered as Fairly Valued.
How profitable is CORE & MAIN INC-CLASS A (CNM) stock?
CORE & MAIN INC-CLASS A (CNM) has a profitability rating of 7 / 10.
How financially healthy is CORE & MAIN INC-CLASS A?
The financial health rating of CORE & MAIN INC-CLASS A (CNM) is 5 / 10.
Can you provide the expected EPS growth for CNM stock?
The Earnings per Share (EPS) of CORE & MAIN INC-CLASS A (CNM) is expected to grow by 10.33% in the next year.