COMPASS DIVERSIFIED HOLDINGS (CODI) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:CODI - US20451Q1040 - Common Stock
6.91 USD
+0.28 (+4.22%)
7.7 USD
+0.79 (+11.43%)
Overall CODI gets a fundamental rating of 5 out of 10. We evaluated CODI against 98 industry peers in the Financial Services industry. CODI has a medium profitability rating, but doesn't score so well on its financial health evaluation. CODI has a decent growth rate and is not valued too expensively.
1. Profitability
1.1 Basic Checks
In the past year CODI was profitable.
In the past year CODI has reported a negative cash flow from operations.
In multiple years CODI reported negative net income over the last 5 years.
In multiple years CODI reported negative operating cash flow during the last 5 years.
1.2 Ratios
With a Return On Assets value of -3.12%, CODI is not doing good in the industry: 84.69% of the companies in the same industry are doing better.
Looking at the Return On Equity, with a value of -9.75%, CODI is doing worse than 81.63% of the companies in the same industry.
The Return On Invested Capital of CODI (6.33%) is better than 71.43% of its industry peers.
The Average Return On Invested Capital over the past 3 years for CODI is below the industry average of 8.20%.
The 3 year average ROIC (4.59%) for CODI is below the current ROIC(6.33%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -3.12% | ||
| ROE | -9.75% | ||
| ROIC | 6.33% |
ROA(3y)1.22%
ROA(5y)0.97%
ROE(3y)3.42%
ROE(5y)2.78%
ROIC(3y)4.59%
ROIC(5y)4.28%
1.3 Margins
CODI has a Operating Margin (10.80%) which is comparable to the rest of the industry.
CODI's Operating Margin has improved in the last couple of years.
CODI has a better Gross Margin (45.63%) than 67.35% of its industry peers.
CODI's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 10.8% | ||
| PM (TTM) | N/A | ||
| GM | 45.63% |
OM growth 3Y8.37%
OM growth 5Y18.91%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y4.66%
GM growth 5Y4.7%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so CODI is still creating some value.
Compared to 1 year ago, CODI has about the same amount of shares outstanding.
The number of shares outstanding for CODI has been increased compared to 5 years ago.
Compared to 1 year ago, CODI has a worse debt to assets ratio.
2.2 Solvency
CODI has an Altman-Z score of 1.24. This is a bad value and indicates that CODI is not financially healthy and even has some risk of bankruptcy.
CODI has a Altman-Z score of 1.24. This is in the better half of the industry: CODI outperforms 62.24% of its industry peers.
CODI has a Debt/Equity ratio of 1.36. This is a high value indicating a heavy dependency on external financing.
CODI has a Debt to Equity ratio of 1.36. This is in the lower half of the industry: CODI underperforms 60.20% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.36 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 1.24 |
ROIC/WACC1.03
WACC6.12%
2.3 Liquidity
CODI has a Current Ratio of 4.07. This indicates that CODI is financially healthy and has no problem in meeting its short term obligations.
The Current ratio of CODI (4.07) is better than 86.73% of its industry peers.
CODI has a Quick Ratio of 1.57. This is a normal value and indicates that CODI is financially healthy and should not expect problems in meeting its short term obligations.
CODI has a better Quick ratio (1.57) than 73.47% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 4.07 | ||
| Quick Ratio | 1.57 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an nice 16.10% over the past year.
Measured over the past 5 years, CODI shows a small growth in Earnings Per Share. The EPS has been growing by 6.59% on average per year.
CODI shows a strong growth in Revenue. In the last year, the Revenue has grown by 32.23%.
CODI shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 11.72% yearly.
EPS 1Y (TTM)16.1%
EPS 3Y-4.24%
EPS 5Y6.59%
EPS Q2Q%16.98%
Revenue 1Y (TTM)32.23%
Revenue growth 3Y4.39%
Revenue growth 5Y11.72%
Sales Q2Q%9.39%
3.2 Future
Based on estimates for the next years, CODI will show a small growth in Earnings Per Share. The EPS will grow by 6.97% on average per year.
Based on estimates for the next years, CODI will show a quite strong growth in Revenue. The Revenue will grow by 8.66% on average per year.
EPS Next Y3.29%
EPS Next 2Y6.97%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year9.05%
Revenue Next 2Y8.66%
Revenue Next 3YN/A
Revenue Next 5YN/A
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 decreasing.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 2.90, which indicates a rather cheap valuation of CODI.
Based on the Price/Earnings ratio, CODI is valued cheaply inside the industry as 100.00% of the companies are valued more expensively.
CODI's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 26.15.
The Price/Forward Earnings ratio is 2.81, which indicates a rather cheap valuation of CODI.
98.98% of the companies in the same industry are more expensive than CODI, based on the Price/Forward Earnings ratio.
When comparing the Price/Forward Earnings ratio of CODI to the average of the S&P500 Index (36.12), we can say CODI is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 2.9 | ||
| Fwd PE | 2.81 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, CODI is valued cheaply inside the industry as 90.82% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 5.12 |
4.3 Compensation for Growth
CODI's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
PEG (NY)0.88
PEG (5Y)0.44
EPS Next 2Y6.97%
EPS Next 3YN/A
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 8.28%, CODI is a good candidate for dividend investing.
Compared to an average industry Dividend Yield of 5.20, CODI pays a better dividend. On top of this CODI pays more dividend than 93.88% of the companies listed in the same industry.
Compared to an average S&P500 Dividend Yield of 2.41, CODI pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 8.28% |
5.2 History
The dividend of CODI decreases each year by -13.06%.
CODI has paid a dividend for at least 10 years, which is a reliable track record.
The dividend of CODI decreased in the last 3 years.
Dividend Growth(5Y)-13.06%
Div Incr Years0
Div Non Decr Years2
5.3 Sustainability
The earnings of CODI are negative and hence is the payout ratio. CODI will probably not be able to sustain this dividend level.
DP-79.81%
EPS Next 2Y6.97%
EPS Next 3YN/A
6.91
+0.28 (+4.22%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupFinancial Services
GICS IndustryFinancial Services
Earnings (Last)
Earnings (Next)
Inst Owners65.51%
Inst Owner Change4.66%
Ins Owners1.71%
Ins Owner Change0%
Market Cap519.91M
Revenue(TTM)2.72B
Net Income(TTM)-126.49M
Analysts80
Price Target26.52 (283.79%)
Short Float %5.93%
Short Ratio2.33
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 8.28% |
Yearly Dividend1.34
Dividend Growth(5Y)-13.06%
DP-79.81%
Div Incr Years0
Div Non Decr Years2
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)12.25%
Min EPS beat(2)8.3%
Max EPS beat(2)16.19%
EPS beat(4)4
Avg EPS beat(4)14.11%
Min EPS beat(4)2.16%
Max EPS beat(4)29.78%
EPS beat(8)8
Avg EPS beat(8)21.16%
EPS beat(12)11
Avg EPS beat(12)22.28%
EPS beat(16)15
Avg EPS beat(16)27.18%
Revenue beat(2)0
Avg Revenue beat(2)-2.62%
Min Revenue beat(2)-2.65%
Max Revenue beat(2)-2.59%
Revenue beat(4)0
Avg Revenue beat(4)-3.34%
Min Revenue beat(4)-4.82%
Max Revenue beat(4)-2.59%
Revenue beat(8)0
Avg Revenue beat(8)-3.67%
Revenue beat(12)3
Avg Revenue beat(12)-1.06%
Revenue beat(16)5
Avg Revenue beat(16)-0.02%
PT rev (1m)0%
PT rev (3m)0%
EPS NQ rev (1m)0%
EPS NQ rev (3m)0%
EPS NY rev (1m)0%
EPS NY rev (3m)12.22%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)0%
Revenue NY rev (1m)0%
Revenue NY rev (3m)6.48%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 2.9 | ||
| Fwd PE | 2.81 | ||
| P/S | 0.19 | ||
| P/FCF | N/A | ||
| P/OCF | N/A | ||
| P/B | 0.4 | ||
| P/tB | N/A | ||
| EV/EBITDA | 5.12 |
EPS(TTM)2.38
EY34.44%
EPS(NY)2.46
Fwd EY35.57%
FCF(TTM)-1.65
FCFYN/A
OCF(TTM)-0.9
OCFYN/A
SpS36.18
BVpS17.24
TBVpS-9.76
PEG (NY)0.88
PEG (5Y)0.44
Graham Number30.38
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -3.12% | ||
| ROE | -9.75% | ||
| ROCE | 8.01% | ||
| ROIC | 6.33% | ||
| ROICexc | 6.44% | ||
| ROICexgc | 14.73% | ||
| OM | 10.8% | ||
| PM (TTM) | N/A | ||
| GM | 45.63% | ||
| FCFM | N/A |
ROA(3y)1.22%
ROA(5y)0.97%
ROE(3y)3.42%
ROE(5y)2.78%
ROIC(3y)4.59%
ROIC(5y)4.28%
ROICexc(3y)4.84%
ROICexc(5y)4.5%
ROICexgc(3y)12.37%
ROICexgc(5y)12.25%
ROCE(3y)5.81%
ROCE(5y)5.41%
ROICexgc growth 3Y-7.31%
ROICexgc growth 5Y8.83%
ROICexc growth 3Y1.71%
ROICexc growth 5Y12.65%
OM growth 3Y8.37%
OM growth 5Y18.91%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y4.66%
GM growth 5Y4.7%
F-Score3
Asset Turnover0.67
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.36 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 4.04 | ||
| Cap/Depr | 39.47% | ||
| Cap/Sales | 2.08% | ||
| Interest Coverage | 2.78 | ||
| Cash Conversion | N/A | ||
| Profit Quality | N/A | ||
| Current Ratio | 4.07 | ||
| Quick Ratio | 1.57 | ||
| Altman-Z | 1.24 |
F-Score3
WACC6.12%
ROIC/WACC1.03
Cap/Depr(3y)41.66%
Cap/Depr(5y)37.77%
Cap/Sales(3y)2.75%
Cap/Sales(5y)2.49%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)16.1%
EPS 3Y-4.24%
EPS 5Y6.59%
EPS Q2Q%16.98%
EPS Next Y3.29%
EPS Next 2Y6.97%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)32.23%
Revenue growth 3Y4.39%
Revenue growth 5Y11.72%
Sales Q2Q%9.39%
Revenue Next Year9.05%
Revenue Next 2Y8.66%
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y63.44%
EBIT growth 3Y13.13%
EBIT growth 5Y32.84%
EBIT Next Year126.39%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y-657.46%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y-186.62%
OCF growth 3YN/A
OCF growth 5YN/A
COMPASS DIVERSIFIED HOLDINGS / CODI FAQ
What is the fundamental rating for CODI stock?
ChartMill assigns a fundamental rating of 5 / 10 to CODI.
What is the valuation status of COMPASS DIVERSIFIED HOLDINGS (CODI) stock?
ChartMill assigns a valuation rating of 6 / 10 to COMPASS DIVERSIFIED HOLDINGS (CODI). This can be considered as Fairly Valued.
How profitable is COMPASS DIVERSIFIED HOLDINGS (CODI) stock?
COMPASS DIVERSIFIED HOLDINGS (CODI) has a profitability rating of 4 / 10.
What are the PE and PB ratios of COMPASS DIVERSIFIED HOLDINGS (CODI) stock?
The Price/Earnings (PE) ratio for COMPASS DIVERSIFIED HOLDINGS (CODI) is 2.9 and the Price/Book (PB) ratio is 0.4.
Is the dividend of COMPASS DIVERSIFIED HOLDINGS sustainable?
The dividend rating of COMPASS DIVERSIFIED HOLDINGS (CODI) is 5 / 10 and the dividend payout ratio is -79.81%.