CHARLES RIVER LABORATORIES (CRL) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:CRL - US1598641074 - Common Stock
197.06 USD
+3.21 (+1.66%)
197.06 USD
0 (0%)
Overall CRL gets a fundamental rating of 4 out of 10. We evaluated CRL against 57 industry peers in the Life Sciences Tools & Services industry. Both the profitability and the financial health of CRL get a neutral evaluation. Nothing too spectacular is happening here. CRL has a decent growth rate and is not valued too expensively.
1. Profitability
1.1 Basic Checks
CRL had positive earnings in the past year.
In the past year CRL had a positive cash flow from operations.
Each year in the past 5 years CRL has been profitable.
CRL had a positive operating cash flow in each of the past 5 years.
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 comparable to the rest of the industry.
Looking at the Return On Invested Capital, with a value of 5.84%, CRL is in the better half of the industry, outperforming 73.68% of the companies in the same industry.
The Average Return On Invested Capital over the past 3 years for CRL is significantly below the industry average of 13.99%.
| 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
CRL's Profit Margin has declined in the last couple of years.
The Operating Margin of CRL (11.73%) is better 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.
With a Gross Margin value of 34.68%, CRL is not doing good in the industry: 61.40% of the companies in the same industry are doing better.
In the last couple of years the Gross Margin of CRL has remained more or less at the same level.
| 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
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so CRL is destroying value.
CRL has less shares outstanding than it did 1 year ago.
Compared to 5 years ago, CRL has more shares outstanding
The debt/assets ratio for CRL has been reduced compared to a year ago.
2.2 Solvency
An Altman-Z score of 2.59 indicates that CRL is not a great score, but indicates only limited risk for bankruptcy at the moment.
CRL has a Altman-Z score of 2.59. This is comparable to the rest of the industry: CRL outperforms 59.65% of its industry peers.
The Debt to FCF ratio of CRL is 4.02, which is a neutral value as it means it would take CRL, 4.02 years of fcf income to pay off all of its debts.
Looking at the Debt to FCF ratio, with a value of 4.02, CRL is in the better half of the industry, outperforming 75.44% of the companies in the same industry.
CRL has a Debt/Equity ratio of 0.64. This is a neutral value indicating CRL is somewhat dependend on debt financing.
The Debt to Equity ratio of CRL (0.64) is worse than 71.93% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.64 | ||
| Debt/FCF | 4.02 | ||
| Altman-Z | 2.59 |
ROIC/WACC0.58
WACC10.1%
2.3 Liquidity
A Current Ratio of 1.37 indicates that CRL should not have too much problems paying its short term obligations.
CRL's Current ratio of 1.37 is on the low side compared to the rest of the industry. CRL is outperformed by 80.70% of its industry peers.
CRL has a Quick Ratio of 1.10. This is a normal value and indicates that CRL is financially healthy and should not expect problems in meeting its short term obligations.
Looking at the Quick ratio, with a value of 1.10, CRL is doing worse than 75.44% of the companies in the same industry.
| 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.
Looking at the last year, CRL shows a decrease in Revenue. The Revenue has decreased by -0.92% in the last year.
The Revenue has been growing by 9.09% on average over the past years. This is quite good.
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 6.83% 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 Y0.16%
EPS Next 2Y3.11%
EPS Next 3Y5.33%
EPS Next 5Y6.83%
Revenue Next Year-0.56%
Revenue Next 2Y0.54%
Revenue Next 3Y1.9%
Revenue Next 5Y2.25%
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 decreasing.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 18.68, which indicates a rather expensive current valuation of CRL.
CRL's Price/Earnings ratio is rather cheap when compared to the industry. CRL is cheaper than 94.74% of the companies in the same industry.
The average S&P500 Price/Earnings ratio is at 26.39. CRL is valued slightly cheaper when compared to this.
Based on the Price/Forward Earnings ratio of 17.96, the valuation of CRL can be described as rather expensive.
Compared to the rest of the industry, the Price/Forward Earnings ratio of CRL indicates a rather cheap valuation: CRL is cheaper than 89.47% of the companies listed in the same industry.
Compared to an average S&P500 Price/Forward Earnings ratio of 23.84, CRL is valued a bit cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 18.68 | ||
| Fwd PE | 17.96 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, CRL is valued cheaply inside the industry as 94.74% of the companies are valued more expensively.
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 | 17.84 | ||
| EV/EBITDA | 12.99 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates CRL does not grow enough to justify the current Price/Earnings ratio.
PEG (NY)116.6
PEG (5Y)2.09
EPS Next 2Y3.11%
EPS Next 3Y5.33%
5. Dividend
5.1 Amount
CRL does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
197.06
+3.21 (+1.66%)
Chartmill FA Rating
GICS SectorHealth Care
GICS IndustryGroupPharmaceuticals, Biotechnology & Life Sciences
GICS IndustryLife Sciences Tools & Services
Earnings (Last)
Earnings (Next)
Inst Owners106.76%
Inst Owner Change-7.93%
Ins Owners0.89%
Ins Owner Change0.17%
Market Cap9.70B
Revenue(TTM)4.02B
Net Income(TTM)-83.48M
Analysts77.27
Price Target193.22 (-1.95%)
Short Float %5.29%
Short Ratio2.56
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)0.25%
PT rev (3m)6.1%
EPS NQ rev (1m)-0.12%
EPS NQ rev (3m)-2.13%
EPS NY rev (1m)0.47%
EPS NY rev (3m)1.18%
Revenue NQ rev (1m)-0.01%
Revenue NQ rev (3m)0.27%
Revenue NY rev (1m)0.42%
Revenue NY rev (3m)0.5%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 18.68 | ||
| Fwd PE | 17.96 | ||
| P/S | 2.41 | ||
| P/FCF | 17.84 | ||
| P/OCF | 12.94 | ||
| P/B | 2.85 | ||
| P/tB | N/A | ||
| EV/EBITDA | 12.99 |
EPS(TTM)10.55
EY5.35%
EPS(NY)10.97
Fwd EY5.57%
FCF(TTM)11.05
FCFY5.61%
OCF(TTM)15.23
OCFY7.73%
SpS81.75
BVpS69.19
TBVpS-1.79
PEG (NY)116.6
PEG (5Y)2.09
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 | 2.59 |
F-Score4
WACC10.1%
ROIC/WACC0.58
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 Y0.16%
EPS Next 2Y3.11%
EPS Next 3Y5.33%
EPS Next 5Y6.83%
Revenue 1Y (TTM)-0.92%
Revenue growth 3Y4.59%
Revenue growth 5Y9.09%
Sales Q2Q%-0.49%
Revenue Next Year-0.56%
Revenue Next 2Y0.54%
Revenue Next 3Y1.9%
Revenue Next 5Y2.25%
EBIT growth 1Y-22.72%
EBIT growth 3Y-4.53%
EBIT growth 5Y7.56%
EBIT Next Year28.57%
EBIT Next 3Y11.46%
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.
Can you provide the valuation status for CHARLES RIVER LABORATORIES?
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.
What is the valuation of CHARLES RIVER LABORATORIES based on its PE and PB ratios?
The Price/Earnings (PE) ratio for CHARLES RIVER LABORATORIES (CRL) is 18.68 and the Price/Book (PB) ratio is 2.85.
How financially healthy is CHARLES RIVER LABORATORIES?
The financial health rating of CHARLES RIVER LABORATORIES (CRL) is 4 / 10.