CRH PLC (CRH) Stock Fundamental Analysis
USA - NYSE:CRH - IE0001827041 - Common Stock
115.67 USD
-1.65 (-1.41%)
112.8 USD
-2.87 (-2.48%)
Taking everything into account, CRH scores 5 out of 10 in our fundamental rating. CRH was compared to 13 industry peers in the Construction Materials industry. CRH has an average financial health and profitability rating. CRH has a decent growth rate and is not valued too expensively.
1. Profitability
1.1 Basic Checks
In the past year CRH was profitable.
CRH had a positive operating cash flow in the past year.
CRH had positive earnings in each of the past 5 years.
CRH had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
Looking at the Return On Assets, with a value of 6.12%, CRH is in the better half of the industry, outperforming 61.54% of the companies in the same industry.
CRH has a Return On Equity of 14.79%. This is in the better half of the industry: CRH outperforms 69.23% of its industry peers.
CRH has a Return On Invested Capital of 8.60%. This is in the better half of the industry: CRH outperforms 61.54% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for CRH is in line with the industry average of 10.40%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.12% | ||
| ROE | 14.79% | ||
| ROIC | 8.6% |
ROA(3y)7.37%
ROA(5y)6.1%
ROE(3y)16.28%
ROE(5y)13.51%
ROIC(3y)8.86%
ROIC(5y)7.89%
1.3 Margins
Looking at the Profit Margin, with a value of 9.09%, CRH is doing worse than 61.54% of the companies in the same industry.
In the last couple of years the Profit Margin of CRH has grown nicely.
CRH has a Operating Margin of 13.97%. This is in the lower half of the industry: CRH underperforms 69.23% of its industry peers.
CRH's Operating Margin has improved in the last couple of years.
With an excellent Gross Margin value of 35.99%, CRH belongs to the best of the industry, outperforming 84.62% of the companies in the same industry.
In the last couple of years the Gross Margin of CRH has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 13.97% | ||
| PM (TTM) | 9.09% | ||
| GM | 35.99% |
OM growth 3Y6.97%
OM growth 5Y6.8%
PM growth 3Y2.92%
PM growth 5Y9.98%
GM growth 3Y2%
GM growth 5Y1.6%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), CRH is creating some value.
Compared to 1 year ago, CRH has less shares outstanding
CRH has less shares outstanding than it did 5 years ago.
CRH has a worse debt/assets ratio than last year.
2.2 Solvency
An Altman-Z score of 3.31 indicates that CRH is not in any danger for bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 3.31, CRH is in the better half of the industry, outperforming 61.54% of the companies in the same industry.
CRH has a debt to FCF ratio of 7.23. This is a slightly negative value and a sign of low solvency as CRH would need 7.23 years to pay back of all of its debts.
The Debt to FCF ratio of CRH (7.23) is better than 61.54% of its industry peers.
CRH has a Debt/Equity ratio of 0.66. This is a neutral value indicating CRH is somewhat dependend on debt financing.
With a Debt to Equity ratio value of 0.66, CRH is not doing good in the industry: 69.23% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.66 | ||
| Debt/FCF | 7.23 | ||
| Altman-Z | 3.31 |
ROIC/WACC1.22
WACC7.04%
2.3 Liquidity
A Current Ratio of 1.74 indicates that CRH should not have too much problems paying its short term obligations.
Looking at the Current ratio, with a value of 1.74, CRH is doing worse than 61.54% of the companies in the same industry.
CRH has a Quick Ratio of 1.16. This is a normal value and indicates that CRH is financially healthy and should not expect problems in meeting its short term obligations.
CRH has a Quick ratio of 1.16. This is in the lower half of the industry: CRH underperforms 61.54% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.74 | ||
| Quick Ratio | 1.16 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an nice 16.06% over the past year.
Measured over the past years, CRH shows a quite strong growth in Earnings Per Share. The EPS has been growing by 12.30% on average per year.
CRH shows a small growth in Revenue. In the last year, the Revenue has grown by 1.78%.
The Revenue has been growing slightly by 4.80% on average over the past years.
EPS 1Y (TTM)16.06%
EPS 3Y14.85%
EPS 5Y12.3%
EPS Q2Q%13.33%
Revenue 1Y (TTM)1.78%
Revenue growth 3Y6.79%
Revenue growth 5Y4.8%
Sales Q2Q%5.27%
3.2 Future
CRH is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 9.09% yearly.
The Revenue is expected to grow by 8.17% on average over the next years. This is quite good.
EPS Next Y18.92%
EPS Next 2Y15.75%
EPS Next 3Y14.95%
EPS Next 5Y9.09%
Revenue Next Year4.74%
Revenue Next 2Y5.08%
Revenue Next 3Y5.5%
Revenue Next 5Y8.17%
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 accelerating.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 22.77, the valuation of CRH can be described as rather expensive.
CRH's Price/Earnings is on the same level as the industry average.
CRH is valuated at similar levels of the S&P average when we compare the Price/Earnings ratio to 26.13, which is the current average of the S&P500 Index.
With a Price/Forward Earnings ratio of 18.14, CRH is valued on the expensive side.
CRH's Price/Forward Earnings ratio is a bit cheaper when compared to the industry. CRH is cheaper than 61.54% of the companies in the same industry.
When comparing the Price/Forward Earnings ratio of CRH to the average of the S&P500 Index (22.35), we can say CRH is valued inline with the index average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 22.77 | ||
| Fwd PE | 18.14 |
4.2 Price Multiples
CRH's Enterprise Value to EBITDA ratio is in line with the industry average.
Based on the Price/Free Cash Flow ratio, CRH is valued a bit cheaper than 61.54% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 37.64 | ||
| EV/EBITDA | 13.48 |
4.3 Compensation for Growth
The PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
The decent profitability rating of CRH may justify a higher PE ratio.
CRH's earnings are expected to grow with 14.95% in the coming years. This may justify a more expensive valuation.
PEG (NY)1.2
PEG (5Y)1.85
EPS Next 2Y15.75%
EPS Next 3Y14.95%
5. Dividend
5.1 Amount
CRH has a Yearly Dividend Yield of 1.26%. Purely for dividend investing, there may be better candidates out there.
Compared to an average industry Dividend Yield of 3.97, CRH pays a better dividend. On top of this CRH pays more dividend than 84.62% of the companies listed in the same industry.
Compared to an average S&P500 Dividend Yield of 2.39, CRH's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.26% |
5.2 History
The dividend of CRH is nicely growing with an annual growth rate of 25.12%!
CRH has paid a dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)25.12%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
29.51% of the earnings are spent on dividend by CRH. This is a low number and sustainable payout ratio.
The dividend of CRH is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP29.51%
EPS Next 2Y15.75%
EPS Next 3Y14.95%
115.67
-1.65 (-1.41%)
Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryConstruction Materials
Earnings (Last)
Earnings (Next)
Inst Owners84.89%
Inst Owner Change-0.25%
Ins Owners0.14%
Ins Owner Change-4.02%
Market Cap82.32B
Revenue(TTM)35.57B
Net Income(TTM)3.30B
Analysts82.76
Price Target130.34 (12.68%)
Short Float %1.95%
Short Ratio3.79
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.26% |
Yearly Dividend2.49
Dividend Growth(5Y)25.12%
DP29.51%
Div Incr Years0
Div Non Decr Years0
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-31.96%
Min EPS beat(2)-64.29%
Max EPS beat(2)0.37%
EPS beat(4)1
Avg EPS beat(4)-25.47%
Min EPS beat(4)-64.29%
Max EPS beat(4)0.37%
EPS beat(8)N/A
Avg EPS beat(8)N/A
EPS beat(12)N/A
Avg EPS beat(12)N/A
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)0
Avg Revenue beat(2)-0.65%
Min Revenue beat(2)-0.97%
Max Revenue beat(2)-0.33%
Revenue beat(4)0
Avg Revenue beat(4)-1.31%
Min Revenue beat(4)-2.58%
Max Revenue beat(4)-0.33%
Revenue beat(8)N/A
Avg Revenue beat(8)N/A
Revenue beat(12)N/A
Avg Revenue beat(12)N/A
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)8.46%
PT rev (3m)15.22%
EPS NQ rev (1m)1.19%
EPS NQ rev (3m)-1.13%
EPS NY rev (1m)0%
EPS NY rev (3m)-1.18%
Revenue NQ rev (1m)-0.25%
Revenue NQ rev (3m)0.59%
Revenue NY rev (1m)-0.05%
Revenue NY rev (3m)-0.13%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 22.77 | ||
| Fwd PE | 18.14 | ||
| P/S | 2.26 | ||
| P/FCF | 37.64 | ||
| P/OCF | 16.68 | ||
| P/B | 3.68 | ||
| P/tB | 8.73 | ||
| EV/EBITDA | 13.48 |
EPS(TTM)5.08
EY4.39%
EPS(NY)6.38
Fwd EY5.51%
FCF(TTM)3.07
FCFY2.66%
OCF(TTM)6.93
OCFY5.99%
SpS51.07
BVpS31.4
TBVpS13.25
PEG (NY)1.2
PEG (5Y)1.85
Graham Number59.91
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.12% | ||
| ROE | 14.79% | ||
| ROCE | 11.21% | ||
| ROIC | 8.6% | ||
| ROICexc | 9.19% | ||
| ROICexgc | 13.19% | ||
| OM | 13.97% | ||
| PM (TTM) | 9.09% | ||
| GM | 35.99% | ||
| FCFM | 6.02% |
ROA(3y)7.37%
ROA(5y)6.1%
ROE(3y)16.28%
ROE(5y)13.51%
ROIC(3y)8.86%
ROIC(5y)7.89%
ROICexc(3y)10.41%
ROICexc(5y)9.38%
ROICexgc(3y)15.61%
ROICexgc(5y)13.93%
ROCE(3y)11.55%
ROCE(5y)10.28%
ROICexgc growth 3Y9.81%
ROICexgc growth 5Y8.83%
ROICexc growth 3Y8.61%
ROICexc growth 5Y8.01%
OM growth 3Y6.97%
OM growth 5Y6.8%
PM growth 3Y2.92%
PM growth 5Y9.98%
GM growth 3Y2%
GM growth 5Y1.6%
F-Score6
Asset Turnover0.67
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.66 | ||
| Debt/FCF | 7.23 | ||
| Debt/EBITDA | 2.09 | ||
| Cap/Depr | 138.65% | ||
| Cap/Sales | 7.56% | ||
| Interest Coverage | 8.01 | ||
| Cash Conversion | 69.92% | ||
| Profit Quality | 66.19% | ||
| Current Ratio | 1.74 | ||
| Quick Ratio | 1.16 | ||
| Altman-Z | 3.31 |
F-Score6
WACC7.04%
ROIC/WACC1.22
Cap/Depr(3y)117.73%
Cap/Depr(5y)100.01%
Cap/Sales(3y)5.73%
Cap/Sales(5y)5.23%
Profit Quality(3y)75.96%
Profit Quality(5y)118.22%
High Growth Momentum
Growth
EPS 1Y (TTM)16.06%
EPS 3Y14.85%
EPS 5Y12.3%
EPS Q2Q%13.33%
EPS Next Y18.92%
EPS Next 2Y15.75%
EPS Next 3Y14.95%
EPS Next 5Y9.09%
Revenue 1Y (TTM)1.78%
Revenue growth 3Y6.79%
Revenue growth 5Y4.8%
Sales Q2Q%5.27%
Revenue Next Year4.74%
Revenue Next 2Y5.08%
Revenue Next 3Y5.5%
Revenue Next 5Y8.17%
EBIT growth 1Y9.69%
EBIT growth 3Y14.23%
EBIT growth 5Y11.93%
EBIT Next Year47.67%
EBIT Next 3Y19.01%
EBIT Next 5Y20.72%
FCF growth 1Y-10.66%
FCF growth 3Y-3.17%
FCF growth 5Y-0.78%
OCF growth 1Y18.15%
OCF growth 3Y5.82%
OCF growth 5Y5.15%
CRH PLC / CRH FAQ
What is the ChartMill fundamental rating of CRH PLC (CRH) stock?
ChartMill assigns a fundamental rating of 5 / 10 to CRH.
What is the valuation status for CRH stock?
ChartMill assigns a valuation rating of 4 / 10 to CRH PLC (CRH). This can be considered as Fairly Valued.
Can you provide the profitability details for CRH PLC?
CRH PLC (CRH) has a profitability rating of 6 / 10.
How financially healthy is CRH PLC?
The financial health rating of CRH PLC (CRH) is 5 / 10.
Is the dividend of CRH PLC sustainable?
The dividend rating of CRH PLC (CRH) is 5 / 10 and the dividend payout ratio is 29.51%.