CHARLES RIVER LABORATORIES (CRL) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:CRL - US1598641074 - Common Stock
216.77 USD
+0.66 (+0.31%)
216.77 USD
0 (0%)
CRL gets a fundamental rating of 4 out of 10. The analysis compared the fundamentals against 57 industry peers in the Life Sciences Tools & Services industry. CRL has only an average score on both its financial health and profitability. CRL has a correct valuation and a medium growth rate.
1. Profitability
1.1 Basic Checks
In the past year CRL was profitable.
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.
Looking at the Return On Equity, with a value of -2.45%, CRL is in line with its industry, outperforming 59.65% of the companies in the same industry.
With a decent Return On Invested Capital value of 5.84%, CRL is doing good in the industry, outperforming 73.68% of the companies in the same industry.
CRL had an Average Return On Invested Capital over the past 3 years of 7.32%. This is significantly below the industry average of 14.00%.
| 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.
Looking at the Operating Margin, with a value of 11.73%, CRL is in the better half of the industry, outperforming 71.93% of the companies in the same industry.
CRL's Operating Margin has been stable in the last couple of years.
With a Gross Margin value of 34.68%, CRL is not doing good in the industry: 63.16% 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.
The number of shares outstanding for CRL has been increased compared to 5 years ago.
Compared to 1 year ago, CRL has an improved debt to assets ratio.
2.2 Solvency
CRL has an Altman-Z score of 2.72. This is not the best score and indicates that CRL is in the grey zone with still only limited risk for bankruptcy at the moment.
CRL has a better Altman-Z score (2.72) than 61.40% of its industry peers.
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.
CRL's Debt to FCF ratio of 4.02 is fine compared to the rest of the industry. CRL outperforms 75.44% of its industry peers.
CRL has a Debt/Equity ratio of 0.64. This is a neutral value indicating 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 | 2.72 |
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.
CRL has a Current ratio of 1.37. This is amonst the worse of the industry: CRL underperforms 80.70% of its industry peers.
A Quick Ratio of 1.10 indicates that CRL should not have too much problems paying its short term obligations.
CRL's Quick ratio of 1.10 is on the low side compared to the rest of the industry. CRL is outperformed by 75.44% 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.
CRL shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 8.93% yearly.
CRL shows a decrease in Revenue. In the last year, the revenue decreased by -0.92%.
CRL shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 9.09% yearly.
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
The Earnings Per Share is expected to grow by 6.83% on average over the next years.
CRL is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 2.25% yearly.
EPS Next Y0.17%
EPS Next 2Y3.1%
EPS Next 3Y5.39%
EPS Next 5Y6.83%
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.
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
Based on the Price/Earnings ratio of 20.55, the valuation of CRL can be described as rather expensive.
Based on the Price/Earnings ratio, CRL is valued cheaply inside the industry as 89.47% of the companies are valued more expensively.
CRL is valuated rather cheaply when we compare the Price/Earnings ratio to 26.92, which is the current average of the S&P500 Index.
A Price/Forward Earnings ratio of 19.76 indicates a rather expensive valuation of CRL.
Based on the Price/Forward Earnings ratio, CRL is valued cheaply inside the industry as 87.72% of the companies are valued more expensively.
When comparing the Price/Forward Earnings ratio of CRL to the average of the S&P500 Index (23.57), we can say CRL is valued inline with the index average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 20.55 | ||
| Fwd PE | 19.76 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, CRL is valued cheaply inside the industry as 91.23% 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 | 19.62 | ||
| EV/EBITDA | 14.03 |
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)123.58
PEG (5Y)2.3
EPS Next 2Y3.1%
EPS Next 3Y5.39%
5. Dividend
5.1 Amount
No dividends for CRL!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
216.77
+0.66 (+0.31%)
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%
Ins Owners0.89%
Ins Owner Change0.17%
Market Cap10.67B
Revenue(TTM)4.02B
Net Income(TTM)-83.48M
Analysts77.27
Price Target201.38 (-7.1%)
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)4.41%
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 | 20.55 | ||
| Fwd PE | 19.76 | ||
| P/S | 2.65 | ||
| P/FCF | 19.62 | ||
| P/OCF | 14.24 | ||
| P/B | 3.13 | ||
| P/tB | N/A | ||
| EV/EBITDA | 14.03 |
EPS(TTM)10.55
EY4.87%
EPS(NY)10.97
Fwd EY5.06%
FCF(TTM)11.05
FCFY5.1%
OCF(TTM)15.23
OCFY7.02%
SpS81.75
BVpS69.19
TBVpS-1.79
PEG (NY)123.58
PEG (5Y)2.3
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 | 2.72 |
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 5Y6.83%
Revenue 1Y (TTM)-0.92%
Revenue growth 3Y4.59%
Revenue growth 5Y9.09%
Sales Q2Q%-0.49%
Revenue Next Year-0.56%
Revenue Next 2Y0.55%
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.