CRH PLC (CRH)
IE0001827041 - Common Stock
Taking everything into account, CRH scores 5 out of 10 in our fundamental rating. CRH was compared to 12 industry peers in the Construction Materials industry. There are concerns on the financial health of CRH while its profitability can be described as average. CRH has a decent growth rate and is not valued too expensively.
1. Profitability
1.1 Basic Checks
CRH had positive earnings in the past year.
CRH had positive earnings in 4 of the past 5 years.
CRH had a positive operating cash flow in 4 of the past 5 years.
1.2 Ratios
CRH has a Return On Assets of 11.65%. This is in the better half of the industry: CRH outperforms 75.00% of its industry peers.
Looking at the Return On Equity, with a value of 27.28%, CRH belongs to the top of the industry, outperforming 91.67% of the companies in the same industry.
CRH has a Return On Invested Capital of 15.49%. This is in the better half of the industry: CRH outperforms 75.00% of its industry peers.
The Average Return On Invested Capital over the past 3 years for CRH is below the industry average of 10.78%.
The 3 year average ROIC (8.05%) for CRH is below the current ROIC(15.49%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 11.65% | ||
| ROE | 27.28% | ||
| ROIC | 15.49% |
ROA(3y)7.03%
ROA(5y)5.44%
ROE(3y)15.22%
ROE(5y)12.08%
ROIC(3y)8.05%
ROIC(5y)7.11%
1.3 Margins
CRH's Profit Margin of 9.68% is in line compared to the rest of the industry. CRH outperforms 50.00% of its industry peers.
In the last couple of years the Profit Margin of CRH has declined.
With a Operating Margin value of 13.20%, CRH perfoms like the industry average, outperforming 50.00% of the companies in the same industry.
CRH's Operating Margin has improved in the last couple of years.
The Gross Margin of CRH (34.88%) is better than 83.33% of its industry peers.
In the last couple of years the Gross Margin of CRH has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 13.2% | ||
| PM (TTM) | 9.68% | ||
| GM | 34.88% |
OM growth 3Y6.45%
OM growth 5Y7.01%
PM growth 3Y30.76%
PM growth 5Y-2.84%
GM growth 3Y0.1%
GM growth 5Y0.64%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is well above the Cost of Capital (WACC), so CRH is creating value.
There is no outstanding debt for CRH. This means it has a Debt/Equity and Debt/FCF ratio of 0 and it is amongst the best of the sector and industry.
2.2 Solvency
CRH has an Altman-Z score of 3.93. This indicates that CRH is financially healthy and has little risk of bankruptcy at the moment.
CRH has a Altman-Z score of 3.93. This is comparable to the rest of the industry: CRH outperforms 41.67% of its industry peers.
CRH has a Debt/Equity ratio of 0.50. This is a neutral value indicating CRH is somewhat dependend on debt financing.
CRH's Debt to Equity ratio of 0.50 is in line compared to the rest of the industry. CRH outperforms 58.33% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.5 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 3.93 |
ROIC/WACC2.32
WACC6.67%
2.3 Liquidity
A Current Ratio of 1.39 indicates that CRH should not have too much problems paying its short term obligations.
With a Current ratio value of 1.39, CRH is not doing good in the industry: 66.67% of the companies in the same industry are doing better.
CRH has a Quick Ratio of 1.39. This is a bad value and indicates that CRH is not financially healthy enough and could expect problems in meeting its short term obligations.
With a Quick ratio value of 0.96, CRH is not doing good in the industry: 66.67% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.39 | ||
| Quick Ratio | 0.96 |
3. Growth
3.1 Past
The earnings per share for CRH have decreased strongly by -13.66% in the last year.
CRH shows a small growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 4.85% yearly.
Looking at the last year, CRH shows a small growth in Revenue. The Revenue has grown by 6.80% in the last year.
CRH shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 4.95% yearly.
EPS 1Y (TTM)-13.66%
EPS 3Y45.34%
EPS 5Y4.85%
EPS Q2Q%N/A
Revenue 1Y (TTM)6.8%
Revenue growth 3Y8.2%
Revenue growth 5Y4.95%
Sales Q2Q%N/A
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 9.01% yearly.
The Revenue is expected to grow by 4.84% on average over the next years.
EPS Next Y22.82%
EPS Next 2Y16.12%
EPS Next 3Y14.13%
EPS Next 5Y9.01%
Revenue Next Year3.02%
Revenue Next 2Y4.78%
Revenue Next 3Y4.86%
Revenue Next 5Y4.84%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
The Revenue growth rate is stable: in the next years the growth will be about the same than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 12.29 indicates a correct valuation of CRH.
Based on the Price/Earnings ratio, CRH is valued cheaper than 91.67% of the companies in the same industry.
CRH is valuated cheaply when we compare the Price/Earnings ratio to 28.65, which is the current average of the S&P500 Index.
CRH is valuated correctly with a Price/Forward Earnings ratio of 16.32.
Compared to the rest of the industry, the Price/Forward Earnings ratio of CRH indicates a rather cheap valuation: CRH is cheaper than 91.67% of the companies listed in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 23.50. CRH is valued slightly cheaper when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.29 | ||
| Fwd PE | 16.32 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, CRH is valued cheaper than 91.67% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 8.35 |
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 CRH may justify a higher PE ratio.
A more expensive valuation may be justified as CRH's earnings are expected to grow with 14.13% in the coming years.
PEG (NY)0.54
PEG (5Y)2.53
EPS Next 2Y16.12%
EPS Next 3Y14.13%
5. Dividend
5.1 Amount
CRH has a Yearly Dividend Yield of 1.40%. Purely for dividend investing, there may be better candidates out there.
CRH's Dividend Yield is rather good when compared to the industry average which is at 3.65. CRH pays more dividend than 83.33% of the companies in the same industry.
Compared to the average S&P500 Dividend Yield of 2.22, CRH is paying slightly less dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.4% |
5.2 History
The dividend of CRH is nicely growing with an annual growth rate of 11.83%!
CRH has paid a dividend for at least 10 years, which is a reliable track record.
CRH has not decreased its dividend in the past 5 years, so it has a somewhat stable track record.
Dividend Growth(5Y)11.83%
Div Incr Years7
Div Non Decr Years7
5.3 Sustainability
CRH pays out 40.37% of its income as dividend. This is a bit on the high side, but may be sustainable.
CRH's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP40.37%
EPS Next 2Y16.12%
EPS Next 3Y14.13%
CRH PLC
NYSE:CRH (11/18/2024, 8:16:30 PM)
Premarket: 98.07 -1.58 (-1.59%)99.65
+1.36 (+1.38%)
Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryConstruction Materials
Earnings (Last)
Earnings (Next)
Inst Owners
Inst Owner Change
Ins Owners
Ins Owner Change
Market Cap70.92B
Analysts
Price Target
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.4% |
Dividend Growth(5Y)
DP
Div Incr Years
Div Non Decr Years
Ex-Date
Surprises & Revisions
EPS beat(2)
Avg EPS beat(2)
Min EPS beat(2)
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EPS beat(8)
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EPS beat(12)
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EPS beat(16)
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Revenue beat(2)
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Revenue beat(4)
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Revenue beat(8)
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Revenue beat(12)
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Revenue beat(16)
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PT rev (1m)
PT rev (3m)
EPS NQ rev (1m)
EPS NQ rev (3m)
EPS NY rev (1m)
EPS NY rev (3m)
Revenue NQ rev (1m)
Revenue NQ rev (3m)
Revenue NY rev (1m)
Revenue NY rev (3m)
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.29 | ||
| Fwd PE | 16.32 | ||
| P/S | |||
| P/FCF | |||
| P/OCF | |||
| P/B | |||
| P/tB | |||
| EV/EBITDA |
EPS(TTM)
EY
EPS(NY)
Fwd EY
FCF(TTM)
FCFY
OCF(TTM)
OCFY
SpS
BVpS
TBVpS
PEG (NY)0.54
PEG (5Y)2.53
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 11.65% | ||
| ROE | 27.28% | ||
| ROCE | |||
| ROIC | |||
| ROICexc | |||
| ROICexgc | |||
| OM | 13.2% | ||
| PM (TTM) | 9.68% | ||
| GM | 34.88% | ||
| FCFM |
ROA(3y)
ROA(5y)
ROE(3y)
ROE(5y)
ROIC(3y)
ROIC(5y)
ROICexc(3y)
ROICexc(5y)
ROICexgc(3y)
ROICexgc(5y)
ROCE(3y)
ROCE(5y)
ROICexcg growth 3Y
ROICexcg growth 5Y
ROICexc growth 3Y
ROICexc growth 5Y
OM growth 3Y
OM growth 5Y
PM growth 3Y
PM growth 5Y
GM growth 3Y
GM growth 5Y
F-Score
Asset Turnover1.2
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.5 | ||
| Debt/FCF | |||
| Debt/EBITDA | |||
| Cap/Depr | |||
| Cap/Sales | |||
| Interest Coverage | |||
| Cash Conversion | |||
| Profit Quality | |||
| Current Ratio | 1.39 | ||
| Quick Ratio | 0.96 | ||
| Altman-Z |
F-Score
WACC
ROIC/WACC
Cap/Depr(3y)
Cap/Depr(5y)
Cap/Sales(3y)
Cap/Sales(5y)
Profit Quality(3y)
Profit Quality(5y)
High Growth Momentum
Growth
EPS 1Y (TTM)-13.66%
EPS 3Y45.34%
EPS 5Y
EPS Q2Q%
EPS Next Y22.82%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)6.8%
Revenue growth 3Y8.2%
Revenue growth 5Y
Sales Q2Q%
Revenue Next Year
Revenue Next 2Y
Revenue Next 3Y
Revenue Next 5Y
EBIT growth 1Y
EBIT growth 3Y
EBIT growth 5Y
EBIT Next Year
EBIT Next 3Y
EBIT Next 5Y
FCF growth 1Y
FCF growth 3Y
FCF growth 5Y
OCF growth 1Y
OCF growth 3Y
OCF growth 5Y