CONMED CORP (CNMD) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:CNMD - US2074101013 - Common Stock
41.63 USD
-0.53 (-1.26%)
41.63 USD
0 (0%)
CNMD gets a fundamental rating of 6 out of 10. The analysis compared the fundamentals against 184 industry peers in the Health Care Equipment & Supplies industry. CNMD has an excellent profitability rating, but there are some minor concerns on its financial health. A decent growth rate in combination with a cheap valuation! Better keep an eye on CNMD.
1. Profitability
1.1 Basic Checks
- CNMD had positive earnings in the past year.
- CNMD had a positive operating cash flow in the past year.
- CNMD had positive earnings in 4 of the past 5 years.
- In the past 5 years CNMD always reported a positive cash flow from operatings.
1.2 Ratios
- The Return On Assets of CNMD (2.77%) is better than 76.63% of its industry peers.
- CNMD has a better Return On Equity (6.38%) than 79.89% of its industry peers.
- CNMD has a better Return On Invested Capital (5.39%) than 77.17% of its industry peers.
- The Average Return On Invested Capital over the past 3 years for CNMD is below the industry average of 8.84%.
- The 3 year average ROIC (5.34%) for CNMD is below the current ROIC(5.39%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.77% | ||
| ROE | 6.38% | ||
| ROIC | 5.39% |
ROA(3y)1.68%
ROA(5y)1.82%
ROE(3y)3.56%
ROE(5y)3.99%
ROIC(3y)5.34%
ROIC(5y)4.97%
1.3 Margins
- CNMD's Profit Margin of 4.77% is fine compared to the rest of the industry. CNMD outperforms 77.17% of its industry peers.
- In the last couple of years the Profit Margin of CNMD has grown nicely.
- CNMD's Operating Margin of 9.99% is fine compared to the rest of the industry. CNMD outperforms 78.26% of its industry peers.
- CNMD's Operating Margin has improved in the last couple of years.
- CNMD has a Gross Margin (54.22%) which is in line with its industry peers.
- In the last couple of years the Gross Margin of CNMD has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 9.99% | ||
| PM (TTM) | 4.77% | ||
| GM | 54.22% |
OM growth 3Y13.68%
OM growth 5Y9.55%
PM growth 3Y17.89%
PM growth 5Y27.61%
GM growth 3Y-0.07%
GM growth 5Y0.25%
2. Health
2.1 Basic Checks
- With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), CNMD is destroying value.
- Compared to 1 year ago, CNMD has more shares outstanding
- CNMD has more shares outstanding than it did 5 years ago.
- The debt/assets ratio for CNMD has been reduced compared to a year ago.
2.2 Solvency
- CNMD has an Altman-Z score of 1.88. This is not the best score and indicates that CNMD is in the grey zone with still only limited risk for bankruptcy at the moment.
- CNMD has a Altman-Z score (1.88) which is comparable to the rest of the industry.
- CNMD has a debt to FCF ratio of 5.74. This is a neutral value as CNMD would need 5.74 years to pay back of all of its debts.
- Looking at the Debt to FCF ratio, with a value of 5.74, CNMD is in the better half of the industry, outperforming 77.72% of the companies in the same industry.
- CNMD has a Debt/Equity ratio of 0.85. This is a neutral value indicating CNMD is somewhat dependend on debt financing.
- Looking at the Debt to Equity ratio, with a value of 0.85, CNMD is doing worse than 72.83% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.85 | ||
| Debt/FCF | 5.74 | ||
| Altman-Z | 1.88 |
ROIC/WACC0.6
WACC8.94%
2.3 Liquidity
- CNMD has a Current Ratio of 2.10. This indicates that CNMD is financially healthy and has no problem in meeting its short term obligations.
- The Current ratio of CNMD (2.10) is comparable to the rest of the industry.
- CNMD has a Quick Ratio of 2.10. This is a bad value and indicates that CNMD is not financially healthy enough and could expect problems in meeting its short term obligations.
- The Quick ratio of CNMD (0.95) is worse than 78.26% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.1 | ||
| Quick Ratio | 0.95 |
3. Growth
3.1 Past
- The Earnings Per Share has grown by an nice 16.49% over the past year.
- CNMD shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 9.44% yearly.
- CNMD shows a small growth in Revenue. In the last year, the Revenue has grown by 4.61%.
- CNMD shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 6.47% yearly.
EPS 1Y (TTM)16.49%
EPS 3Y9.03%
EPS 5Y9.44%
EPS Q2Q%2.86%
Revenue 1Y (TTM)4.61%
Revenue growth 3Y8.95%
Revenue growth 5Y6.47%
Sales Q2Q%6.7%
3.2 Future
- CNMD is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 9.44% yearly.
- The Revenue is expected to grow by 5.19% on average over the next years.
EPS Next Y10.38%
EPS Next 2Y5.01%
EPS Next 3Y6.36%
EPS Next 5Y9.44%
Revenue Next Year5.12%
Revenue Next 2Y3%
Revenue Next 3Y3.63%
Revenue Next 5Y5.19%
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 stable.
- When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is stable.
4. Valuation
4.1 Price/Earnings Ratio
- CNMD is valuated reasonably with a Price/Earnings ratio of 9.21.
- 95.11% of the companies in the same industry are more expensive than CNMD, based on the Price/Earnings ratio.
- Compared to an average S&P500 Price/Earnings ratio of 27.21, CNMD is valued rather cheaply.
- CNMD is valuated reasonably with a Price/Forward Earnings ratio of 9.08.
- CNMD's Price/Forward Earnings ratio is rather cheap when compared to the industry. CNMD is cheaper than 95.65% of the companies in the same industry.
- CNMD's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 25.98.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 9.21 | ||
| Fwd PE | 9.08 |
4.2 Price Multiples
- Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of CNMD indicates a rather cheap valuation: CNMD is cheaper than 90.76% of the companies listed in the same industry.
- Based on the Price/Free Cash Flow ratio, CNMD is valued cheaply inside the industry as 98.37% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 8.67 | ||
| EV/EBITDA | 10.08 |
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.
- The decent profitability rating of CNMD may justify a higher PE ratio.
PEG (NY)0.89
PEG (5Y)0.98
EPS Next 2Y5.01%
EPS Next 3Y6.36%
5. Dividend
5.1 Amount
- With a Yearly Dividend Yield of 1.90%, CNMD has a reasonable but not impressive dividend return.
- CNMD's Dividend Yield is rather good when compared to the industry average which is at 0.20. CNMD pays more dividend than 95.65% of the companies in the same industry.
- Compared to an average S&P500 Dividend Yield of 1.81, CNMD has a dividend comparable with the average S&P500 company.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.9% |
5.2 History
- The dividend of CNMD decreases each year by -0.01%.
- CNMD has paid a dividend for at least 10 years, which is a reliable track record.
- CNMD has not decreased its dividend for at least 10 years, so it has a reliable track record of non decreasing dividend.
Dividend Growth(5Y)-0.01%
Div Incr Years0
Div Non Decr Years12
5.3 Sustainability
- 39.73% of the earnings are spent on dividend by CNMD. This is a low number and sustainable payout ratio.
DP39.73%
EPS Next 2Y5.01%
EPS Next 3Y6.36%
CONMED CORP / CNMD FAQ
What is the ChartMill fundamental rating of CONMED CORP (CNMD) stock?
ChartMill assigns a fundamental rating of 6 / 10 to CNMD.
Can you provide the valuation status for CONMED CORP?
ChartMill assigns a valuation rating of 8 / 10 to CONMED CORP (CNMD). This can be considered as Undervalued.
How profitable is CONMED CORP (CNMD) stock?
CONMED CORP (CNMD) has a profitability rating of 7 / 10.
Can you provide the PE and PB ratios for CNMD stock?
The Price/Earnings (PE) ratio for CONMED CORP (CNMD) is 9.21 and the Price/Book (PB) ratio is 1.28.
What is the expected EPS growth for CONMED CORP (CNMD) stock?
The Earnings per Share (EPS) of CONMED CORP (CNMD) is expected to grow by 10.38% in the next year.