CHARLES RIVER LABORATORIES (CRL) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:CRL - US1598641074 - Common Stock
220.91 USD
+5.4 (+2.51%)
220.91 USD
0 (0%)
We assign a fundamental rating of 4 out of 10 to CRL. CRL was compared to 57 industry peers in the Life Sciences Tools & Services industry. CRL has an average financial health and profitability rating. CRL has a correct valuation and a medium growth rate.
1. Profitability
1.1 Basic Checks
In the past year CRL was profitable.
CRL had a positive operating cash flow in the past year.
In the past 5 years CRL has always been profitable.
In the past 5 years CRL always reported a positive cash flow from operatings.
1.2 Ratios
With a Return On Assets value of -1.11%, CRL perfoms like the industry average, outperforming 57.89% of the companies in the same industry.
CRL has a Return On Equity (-2.45%) which is in line with its industry peers.
CRL has a better Return On Invested Capital (5.84%) than 73.68% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for CRL is significantly below the industry average of 13.75%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -1.11% | ||
| ROE | -2.45% | ||
| ROIC | 5.84% |
ROA(3y)4.11%
ROA(5y)4.9%
ROE(3y)9.94%
ROE(5y)12.5%
ROIC(3y)7.32%
ROIC(5y)7.6%
1.3 Margins
In the last couple of years the Profit Margin of CRL has declined.
CRL has a better Operating Margin (11.73%) than 71.93% of its industry peers.
In the last couple of years the Operating Margin of CRL has remained more or less at the same level.
The Gross Margin of CRL (34.68%) is worse than 61.40% of its industry peers.
CRL's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 11.73% | ||
| PM (TTM) | N/A | ||
| GM | 34.68% |
OM growth 3Y-8.72%
OM growth 5Y-1.4%
PM growth 3Y-71.55%
PM growth 5Y-51.64%
GM growth 3Y-2.67%
GM growth 5Y-1%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), CRL is destroying value.
The number of shares outstanding for CRL has been reduced compared to 1 year ago.
The number of shares outstanding for CRL has been increased compared to 5 years ago.
CRL has a better debt/assets ratio than last year.
2.2 Solvency
An Altman-Z score of 2.76 indicates that CRL is not a great score, but indicates only limited risk for bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 2.76, CRL is in the better half of the industry, outperforming 63.16% of the companies in the same industry.
CRL has a debt to FCF ratio of 4.02. This is a neutral value as CRL would need 4.02 years to pay back of all of its debts.
The Debt to FCF ratio of CRL (4.02) is better than 75.44% of its industry peers.
A Debt/Equity ratio of 0.64 indicates that CRL is somewhat dependend on debt financing.
With a Debt to Equity ratio value of 0.64, CRL is not doing good in the industry: 71.93% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.64 | ||
| Debt/FCF | 4.02 | ||
| Altman-Z | 2.76 |
ROIC/WACC0.55
WACC10.63%
2.3 Liquidity
A Current Ratio of 1.37 indicates that CRL should not have too much problems paying its short term obligations.
The Current ratio of CRL (1.37) is worse than 78.95% of its industry peers.
A Quick Ratio of 1.10 indicates that CRL should not have too much problems paying its short term obligations.
The Quick ratio of CRL (1.10) is worse than 73.68% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.37 | ||
| Quick Ratio | 1.1 |
3. Growth
3.1 Past
The Earnings Per Share has been growing slightly by 4.25% over the past year.
The Earnings Per Share has been growing by 8.93% on average over the past years. This is quite good.
CRL shows a decrease in Revenue. In the last year, the revenue decreased by -0.92%.
Measured over the past years, CRL shows a quite strong growth in Revenue. The Revenue has been growing by 9.09% on average per year.
EPS 1Y (TTM)4.25%
EPS 3Y-0.03%
EPS 5Y8.93%
EPS Q2Q%-6.18%
Revenue 1Y (TTM)-0.92%
Revenue growth 3Y4.59%
Revenue growth 5Y9.09%
Sales Q2Q%-0.49%
3.2 Future
CRL is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 6.56% yearly.
Based on estimates for the next years, CRL will show a small growth in Revenue. The Revenue will grow by 2.25% on average per year.
EPS Next Y0.17%
EPS Next 2Y3.1%
EPS Next 3Y5.39%
EPS Next 5Y6.56%
Revenue Next Year-0.56%
Revenue Next 2Y0.55%
Revenue Next 3Y1.91%
Revenue Next 5Y2.25%
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 decreasing.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 20.94, CRL is valued on the expensive side.
CRL's Price/Earnings ratio is rather cheap when compared to the industry. CRL is cheaper than 87.72% of the companies in the same industry.
Compared to an average S&P500 Price/Earnings ratio of 27.19, CRL is valued a bit cheaper.
A Price/Forward Earnings ratio of 20.14 indicates a rather expensive valuation of CRL.
Based on the Price/Forward Earnings ratio, CRL is valued cheaply inside the industry as 89.47% of the companies are valued more expensively.
CRL's Price/Forward Earnings ratio indicates a similar valuation than the S&P500 average which is at 23.92.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 20.94 | ||
| Fwd PE | 20.14 |
4.2 Price Multiples
91.23% of the companies in the same industry are more expensive than CRL, based on the Enterprise Value to EBITDA ratio.
89.47% of the companies in the same industry are more expensive than CRL, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 20 | ||
| EV/EBITDA | 14.29 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
PEG (NY)125.94
PEG (5Y)2.35
EPS Next 2Y3.1%
EPS Next 3Y5.39%
5. Dividend
5.1 Amount
No dividends for CRL!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
220.91
+5.4 (+2.51%)
Chartmill FA Rating
GICS SectorHealth Care
GICS IndustryGroupPharmaceuticals, Biotechnology & Life Sciences
GICS IndustryLife Sciences Tools & Services
Earnings (Last)
Earnings (Next)
Inst Owners107.25%
Inst Owner Change0.49%
Ins Owners0.89%
Ins Owner Change0.17%
Market Cap10.87B
Revenue(TTM)4.02B
Net Income(TTM)-83.48M
Analysts79.09
Price Target201.38 (-8.84%)
Short Float %4.95%
Short Ratio2.5
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
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)13.28%
Min EPS beat(2)2.88%
Max EPS beat(2)23.68%
EPS beat(4)4
Avg EPS beat(4)10.51%
Min EPS beat(4)2.88%
Max EPS beat(4)23.68%
EPS beat(8)8
Avg EPS beat(8)9.19%
EPS beat(12)12
Avg EPS beat(12)8.5%
EPS beat(16)16
Avg EPS beat(16)6.77%
Revenue beat(2)2
Avg Revenue beat(2)2.06%
Min Revenue beat(2)0.38%
Max Revenue beat(2)3.74%
Revenue beat(4)4
Avg Revenue beat(4)2.12%
Min Revenue beat(4)0.38%
Max Revenue beat(4)3.74%
Revenue beat(8)7
Avg Revenue beat(8)1.53%
Revenue beat(12)10
Avg Revenue beat(12)1.83%
Revenue beat(16)12
Avg Revenue beat(16)1.25%
PT rev (1m)4.22%
PT rev (3m)10.19%
EPS NQ rev (1m)0.04%
EPS NQ rev (3m)-2.03%
EPS NY rev (1m)0.01%
EPS NY rev (3m)0.44%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)0.37%
Revenue NY rev (1m)0%
Revenue NY rev (3m)0.52%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 20.94 | ||
| Fwd PE | 20.14 | ||
| P/S | 2.7 | ||
| P/FCF | 20 | ||
| P/OCF | 14.51 | ||
| P/B | 3.19 | ||
| P/tB | N/A | ||
| EV/EBITDA | 14.29 |
EPS(TTM)10.55
EY4.78%
EPS(NY)10.97
Fwd EY4.97%
FCF(TTM)11.05
FCFY5%
OCF(TTM)15.23
OCFY6.89%
SpS81.75
BVpS69.19
TBVpS-1.79
PEG (NY)125.94
PEG (5Y)2.35
Graham Number128.16
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -1.11% | ||
| ROE | -2.45% | ||
| ROCE | 7.39% | ||
| ROIC | 5.84% | ||
| ROICexc | 6.03% | ||
| ROICexgc | 13.86% | ||
| OM | 11.73% | ||
| PM (TTM) | N/A | ||
| GM | 34.68% | ||
| FCFM | 13.51% |
ROA(3y)4.11%
ROA(5y)4.9%
ROE(3y)9.94%
ROE(5y)12.5%
ROIC(3y)7.32%
ROIC(5y)7.6%
ROICexc(3y)7.59%
ROICexc(5y)7.91%
ROICexgc(3y)18.25%
ROICexgc(5y)19.94%
ROCE(3y)9.27%
ROCE(5y)9.62%
ROICexgc growth 3Y-14.69%
ROICexgc growth 5Y-4.68%
ROICexc growth 3Y-7.59%
ROICexc growth 5Y-3.19%
OM growth 3Y-8.72%
OM growth 5Y-1.4%
PM growth 3Y-71.55%
PM growth 5Y-51.64%
GM growth 3Y-2.67%
GM growth 5Y-1%
F-Score4
Asset Turnover0.54
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.64 | ||
| Debt/FCF | 4.02 | ||
| Debt/EBITDA | 2.43 | ||
| Cap/Depr | 48.19% | ||
| Cap/Sales | 5.12% | ||
| Interest Coverage | 4.36 | ||
| Cash Conversion | 83.34% | ||
| Profit Quality | N/A | ||
| Current Ratio | 1.37 | ||
| Quick Ratio | 1.1 | ||
| Altman-Z | 2.76 |
F-Score4
WACC10.63%
ROIC/WACC0.55
Cap/Depr(3y)90.89%
Cap/Depr(5y)85.95%
Cap/Sales(3y)7.21%
Cap/Sales(5y)6.76%
Profit Quality(3y)1669.68%
Profit Quality(5y)1049.89%
High Growth Momentum
Growth
EPS 1Y (TTM)4.25%
EPS 3Y-0.03%
EPS 5Y8.93%
EPS Q2Q%-6.18%
EPS Next Y0.17%
EPS Next 2Y3.1%
EPS Next 3Y5.39%
EPS Next 5Y6.56%
Revenue 1Y (TTM)-0.92%
Revenue growth 3Y4.59%
Revenue growth 5Y9.09%
Sales Q2Q%-0.49%
Revenue Next Year-0.56%
Revenue Next 2Y0.55%
Revenue Next 3Y1.91%
Revenue Next 5Y2.25%
EBIT growth 1Y-22.72%
EBIT growth 3Y-4.53%
EBIT growth 5Y7.56%
EBIT Next Year29.81%
EBIT Next 3Y11.7%
EBIT Next 5Y9.91%
FCF growth 1Y47.54%
FCF growth 3Y-1.94%
FCF growth 5Y8.06%
OCF growth 1Y7.42%
OCF growth 3Y-1.16%
OCF growth 5Y8.84%
CHARLES RIVER LABORATORIES / CRL FAQ
What is the fundamental rating for CRL stock?
ChartMill assigns a fundamental rating of 4 / 10 to CRL.
What is the valuation status of CHARLES RIVER LABORATORIES (CRL) stock?
ChartMill assigns a valuation rating of 5 / 10 to CHARLES RIVER LABORATORIES (CRL). This can be considered as Fairly Valued.
How profitable is CHARLES RIVER LABORATORIES (CRL) stock?
CHARLES RIVER LABORATORIES (CRL) has a profitability rating of 4 / 10.
Can you provide the expected EPS growth for CRL stock?
The Earnings per Share (EPS) of CHARLES RIVER LABORATORIES (CRL) is expected to grow by 0.17% in the next year.