CORE & MAIN INC-CLASS A (CNM) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:CNM - US21874C1027 - Common Stock
50.23 USD
+0.35 (+0.7%)
50.25 USD
+0.02 (+0.04%)
Taking everything into account, CNM scores 5 out of 10 in our fundamental rating. CNM was compared to 50 industry peers in the Trading Companies & Distributors industry. While CNM has a great profitability rating, there are some minor concerns on its financial health. CNM has a correct valuation and a medium growth rate.
1. Profitability
1.1 Basic Checks
In the past year CNM was profitable.
In the past year CNM had a positive cash flow from operations.
Each year in the past 5 years CNM has been profitable.
CNM had a positive operating cash flow in 4 of the past 5 years.
1.2 Ratios
CNM has a Return On Assets of 6.83%. This is in the better half of the industry: CNM outperforms 73.47% of its industry peers.
CNM has a better Return On Equity (22.85%) than 85.71% of its industry peers.
CNM has a better Return On Invested Capital (10.97%) than 73.47% of its industry peers.
CNM had an Average Return On Invested Capital over the past 3 years of 13.05%. This is above the industry average of 9.42%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.83% | ||
| ROE | 22.85% | ||
| ROIC | 10.97% |
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
With a decent Profit Margin value of 5.57%, CNM is doing good in the industry, outperforming 65.31% of the companies in the same industry.
In the last couple of years the Profit Margin of CNM has grown nicely.
The Operating Margin of CNM (9.44%) is better than 67.35% of its industry peers.
CNM's Operating Margin has improved in the last couple of years.
With a Gross Margin value of 26.67%, CNM perfoms like the industry average, outperforming 40.82% of the companies in the same industry.
CNM's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 9.44% | ||
| PM (TTM) | 5.57% | ||
| GM | 26.67% |
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
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so CNM is still 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.
The debt/assets ratio for CNM is higher compared to a year ago.
2.2 Solvency
An Altman-Z score of 3.36 indicates that CNM is not in any danger for bankruptcy at the moment.
CNM has a Altman-Z score (3.36) which is comparable to the rest of the industry.
CNM has a debt to FCF ratio of 4.00. This is a neutral value as CNM would need 4.00 years to pay back of all of its debts.
The Debt to FCF ratio of CNM (4.00) is better than 67.35% of its industry peers.
A Debt/Equity ratio of 1.18 is on the high side and indicates that CNM has dependencies on debt financing.
CNM has a Debt to Equity ratio of 1.18. This is in the lower half of the industry: CNM underperforms 65.31% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.18 | ||
| Debt/FCF | 4 | ||
| Altman-Z | 3.36 |
ROIC/WACC1.12
WACC9.81%
2.3 Liquidity
CNM has a Current Ratio of 2.25. This indicates that CNM is financially healthy and has no problem in meeting its short term obligations.
With a decent Current ratio value of 2.25, CNM is doing good in the industry, outperforming 61.22% of the companies in the same industry.
A Quick Ratio of 1.30 indicates that CNM should not have too much problems paying its short term obligations.
CNM's Quick ratio of 1.30 is in line compared to the rest of the industry. CNM outperforms 55.10% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.25 | ||
| Quick Ratio | 1.3 |
3. Growth
3.1 Past
CNM shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 10.43%, which is quite good.
The Earnings Per Share has been growing by 64.38% on average over the past years. This is a very strong growth
Looking at the last year, CNM shows a quite strong growth in Revenue. The Revenue has grown by 11.02% in the last year.
The Revenue has been growing by 17.04% on average over the past years. This is quite good.
EPS 1Y (TTM)10.43%
EPS 3Y44.94%
EPS 5Y64.38%
EPS Q2Q%29.85%
Revenue 1Y (TTM)11.02%
Revenue growth 3Y14.14%
Revenue growth 5Y17.04%
Sales Q2Q%6.57%
3.2 Future
The Earnings Per Share is expected to grow by 10.07% on average over the next years. This is quite good.
CNM is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 4.88% yearly.
EPS Next Y1.09%
EPS Next 2Y9.8%
EPS Next 3Y9.74%
EPS Next 5Y10.07%
Revenue Next Year2.86%
Revenue Next 2Y3.64%
Revenue Next 3Y3.89%
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.
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
The Price/Earnings ratio is 19.78, which indicates a rather expensive current valuation of CNM.
Compared to the rest of the industry, the Price/Earnings ratio of CNM indicates a somewhat cheap valuation: CNM is cheaper than 61.22% of the companies listed in the same industry.
The average S&P500 Price/Earnings ratio is at 26.49. CNM is valued slightly cheaper when compared to this.
CNM is valuated rather expensively with a Price/Forward Earnings ratio of 18.11.
61.22% of the companies in the same industry are more expensive than CNM, based on the Price/Forward Earnings ratio.
The average S&P500 Price/Forward Earnings ratio is at 23.69. CNM is valued slightly cheaper when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 19.78 | ||
| Fwd PE | 18.11 |
4.2 Price Multiples
The rest of the industry has a similar Enterprise Value to EBITDA ratio as CNM.
Based on the Price/Free Cash Flow ratio, CNM is valued cheaply inside the industry as 81.63% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 17.58 | ||
| EV/EBITDA | 13.12 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates CNM does not grow enough to justify the current Price/Earnings ratio.
CNM has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)18.18
PEG (5Y)0.31
EPS Next 2Y9.8%
EPS Next 3Y9.74%
5. Dividend
5.1 Amount
No dividends for CNM!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
50.23
+0.35 (+0.7%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryTrading Companies & Distributors
Earnings (Last)
Earnings (Next)
Inst Owners114.93%
Inst Owner Change-0.4%
Ins Owners0.56%
Ins Owner Change9.52%
Market Cap9.92B
Revenue(TTM)7.74B
Net Income(TTM)431.00M
Analysts76.84
Price Target61.08 (21.6%)
Short Float %6.39%
Short Ratio4.99
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
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)7.35%
Min EPS beat(2)5.47%
Max EPS beat(2)9.23%
EPS beat(4)4
Avg EPS beat(4)6.98%
Min EPS beat(4)0.71%
Max EPS beat(4)12.5%
EPS beat(8)7
Avg EPS beat(8)3.71%
EPS beat(12)11
Avg EPS beat(12)5.9%
EPS beat(16)15
Avg EPS beat(16)11.78%
Revenue beat(2)1
Avg Revenue beat(2)0%
Min Revenue beat(2)-2.7%
Max Revenue beat(2)2.69%
Revenue beat(4)3
Avg Revenue beat(4)0.47%
Min Revenue beat(4)-2.7%
Max Revenue beat(4)2.69%
Revenue beat(8)4
Avg Revenue beat(8)-0.59%
Revenue beat(12)5
Avg Revenue beat(12)-0.41%
Revenue beat(16)9
Avg Revenue beat(16)2.36%
PT rev (1m)-0.21%
PT rev (3m)-8.79%
EPS NQ rev (1m)1.4%
EPS NQ rev (3m)-4.92%
EPS NY rev (1m)0%
EPS NY rev (3m)-7.34%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-2.39%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-1.71%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 19.78 | ||
| Fwd PE | 18.11 | ||
| P/S | 1.28 | ||
| P/FCF | 17.58 | ||
| P/OCF | 16.36 | ||
| P/B | 5.26 | ||
| P/tB | N/A | ||
| EV/EBITDA | 13.12 |
EPS(TTM)2.54
EY5.06%
EPS(NY)2.77
Fwd EY5.52%
FCF(TTM)2.86
FCFY5.69%
OCF(TTM)3.07
OCFY6.11%
SpS39.2
BVpS9.55
TBVpS-4.45
PEG (NY)18.18
PEG (5Y)0.31
Graham Number23.37
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.83% | ||
| ROE | 22.85% | ||
| ROCE | 14.09% | ||
| ROIC | 10.97% | ||
| ROICexc | 11.03% | ||
| ROICexgc | 23.74% | ||
| OM | 9.44% | ||
| PM (TTM) | 5.57% | ||
| GM | 26.67% | ||
| FCFM | 7.29% |
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-Score6
Asset Turnover1.23
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.18 | ||
| Debt/FCF | 4 | ||
| Debt/EBITDA | 2.41 | ||
| Cap/Depr | 21.54% | ||
| Cap/Sales | 0.54% | ||
| Interest Coverage | 4.84 | ||
| Cash Conversion | 65.44% | ||
| Profit Quality | 130.86% | ||
| Current Ratio | 2.25 | ||
| Quick Ratio | 1.3 | ||
| Altman-Z | 3.36 |
F-Score6
WACC9.81%
ROIC/WACC1.12
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)10.43%
EPS 3Y44.94%
EPS 5Y64.38%
EPS Q2Q%29.85%
EPS Next Y1.09%
EPS Next 2Y9.8%
EPS Next 3Y9.74%
EPS Next 5Y10.07%
Revenue 1Y (TTM)11.02%
Revenue growth 3Y14.14%
Revenue growth 5Y17.04%
Sales Q2Q%6.57%
Revenue Next Year2.86%
Revenue Next 2Y3.64%
Revenue Next 3Y3.89%
Revenue Next 5Y4.88%
EBIT growth 1Y3.25%
EBIT growth 3Y19.16%
EBIT growth 5Y35.85%
EBIT Next Year27.18%
EBIT Next 3Y13.74%
EBIT Next 5Y11.68%
FCF growth 1Y-32.7%
FCF growth 3YN/A
FCF growth 5Y24.92%
OCF growth 1Y-29.78%
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 of CORE & MAIN INC-CLASS A (CNM) stock?
ChartMill assigns a valuation rating of 4 / 10 to CORE & MAIN INC-CLASS A (CNM). This can be considered as Fairly Valued.
Can you provide the profitability details for CORE & MAIN INC-CLASS A?
CORE & MAIN INC-CLASS A (CNM) has a profitability rating of 7 / 10.
Can you provide the financial health for CNM stock?
The financial health rating of CORE & MAIN INC-CLASS A (CNM) is 5 / 10.
What is the earnings growth outlook for CORE & MAIN INC-CLASS A?
The Earnings per Share (EPS) of CORE & MAIN INC-CLASS A (CNM) is expected to grow by 1.09% in the next year.