CHARLES RIVER LABORATORIES (CRL) Stock Fundamental Analysis
NYSE:CRL - New York Stock Exchange, Inc. - US1598641074 - Common Stock - Currency: USD
Overall CRL gets a fundamental rating of 4 out of 10. We evaluated CRL against 55 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.
CRL had a positive operating cash flow in the past year.
Each year in the past 5 years CRL has been profitable.
In the past 5 years CRL always reported a positive cash flow from operatings.
1.2 Ratios
CRL has a better Return On Assets (0.14%) than 69.09% of its industry peers.
CRL has a better Return On Equity (0.30%) than 70.91% of its industry peers.
CRL has a Return On Invested Capital of 6.66%. This is in the better half of the industry: CRL outperforms 78.18% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for CRL is below the industry average of 10.20%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.14% | ||
| ROE | 0.3% | ||
| ROIC | 6.66% |
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
With a decent Profit Margin value of 0.25%, CRL is doing good in the industry, outperforming 69.09% of the companies in the same industry.
CRL's Profit Margin has declined in the last couple of years.
The Operating Margin of CRL (13.60%) is better than 72.73% of its industry peers.
In the last couple of years the Operating Margin of CRL has remained more or less at the same level.
CRL has a Gross Margin of 34.76%. This is in the lower half of the industry: CRL underperforms 65.45% of its industry peers.
CRL's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 13.6% | ||
| PM (TTM) | 0.25% | ||
| GM | 34.76% |
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.
Compared to 1 year ago, CRL has less shares outstanding
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
CRL has an Altman-Z score of 2.43. 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's Altman-Z score of 2.43 is fine compared to the rest of the industry. CRL outperforms 67.27% of its industry peers.
The Debt to FCF ratio of CRL is 4.47, which is a neutral value as it means it would take CRL, 4.47 years of fcf income to pay off all of its debts.
Looking at the Debt to FCF ratio, with a value of 4.47, CRL is in the better half of the industry, outperforming 72.73% of the companies in the same industry.
A Debt/Equity ratio of 0.65 indicates that CRL is somewhat dependend on debt financing.
The Debt to Equity ratio of CRL (0.65) is worse than 72.73% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.65 | ||
| Debt/FCF | 4.47 | ||
| Altman-Z | 2.43 |
ROIC/WACC0.62
WACC10.75%
2.3 Liquidity
CRL has a Current Ratio of 1.41. This is a normal value and indicates that CRL is financially healthy and should not expect problems in meeting its short term obligations.
CRL's Current ratio of 1.41 is on the low side compared to the rest of the industry. CRL is outperformed by 74.55% of its industry peers.
A Quick Ratio of 1.13 indicates that CRL should not have too much problems paying its short term obligations.
CRL's Quick ratio of 1.13 is on the low side compared to the rest of the industry. CRL is outperformed by 72.73% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.41 | ||
| Quick Ratio | 1.13 |
3. Growth
3.1 Past
The earnings per share for CRL have decreased by -3.10% in the last year.
Measured over the past years, CRL shows a quite strong growth in Earnings Per Share. The EPS has been growing by 8.93% on average per year.
The Revenue has decreased by -1.92% in the past year.
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)-3.1%
EPS 3Y-0.03%
EPS 5Y8.93%
EPS Q2Q%8.13%
Revenue 1Y (TTM)-1.92%
Revenue growth 3Y4.59%
Revenue growth 5Y9.09%
Sales Q2Q%-1.08%
3.2 Future
Based on estimates for the next years, CRL will show a quite strong growth in Earnings Per Share. The EPS will grow by 8.05% on average per year.
The Revenue is expected to grow by 6.00% on average over the next years.
EPS Next Y-6.32%
EPS Next 2Y2.08%
EPS Next 3Y8.08%
EPS Next 5Y8.05%
Revenue Next Year-3%
Revenue Next 2Y1.35%
Revenue Next 3Y5.19%
Revenue Next 5Y6%
3.3 Evolution
The EPS growth rate is stable: in the next years the growth will be about the same than in the last years.
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
CRL is valuated correctly with a Price/Earnings ratio of 16.11.
98.18% of the companies in the same industry are more expensive than CRL, based on the Price/Earnings ratio.
When comparing the Price/Earnings ratio of CRL to the average of the S&P500 Index (29.98), we can say CRL is valued slightly cheaper.
CRL is valuated rather expensively with a Price/Forward Earnings ratio of 17.19.
CRL's Price/Forward Earnings ratio is rather cheap when compared to the industry. CRL is cheaper than 87.27% of the companies in the same industry.
When comparing the Price/Forward Earnings ratio of CRL to the average of the S&P500 Index (22.66), we can say CRL is valued slightly cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 16.11 | ||
| Fwd PE | 17.19 |
4.2 Price Multiples
CRL's Enterprise Value to EBITDA ratio is rather cheap when compared to the industry. CRL is cheaper than 96.36% of the companies in the same industry.
CRL's Price/Free Cash Flow ratio is rather cheap when compared to the industry. CRL is cheaper than 90.91% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 16.95 | ||
| EV/EBITDA | 11.51 |
4.3 Compensation for Growth
PEG (NY)N/A
PEG (5Y)1.8
EPS Next 2Y2.08%
EPS Next 3Y8.08%
5. Dividend
5.1 Amount
No dividends for CRL!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
NYSE:CRL (3/3/2025, 11:57:07 AM)
166.22
+0.91 (+0.55%)
Chartmill FA Rating
GICS SectorHealth Care
GICS IndustryGroupPharmaceuticals, Biotechnology & Life Sciences
GICS IndustryLife Sciences Tools & Services
Earnings (Last)
Earnings (Next)
Inst Owners105.79%
Inst Owner Change2.89%
Ins Owners0.83%
Ins Owner Change1.05%
Market Cap8.50B
Analysts65.6
Price Target191.96 (15.49%)
Short Float %3.94%
Short Ratio2.5
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
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)4.86%
Min EPS beat(2)4.03%
Max EPS beat(2)5.7%
EPS beat(4)4
Avg EPS beat(4)8.54%
Min EPS beat(4)4.03%
Max EPS beat(4)15.8%
EPS beat(8)8
Avg EPS beat(8)7.07%
EPS beat(12)12
Avg EPS beat(12)5.74%
EPS beat(16)16
Avg EPS beat(16)6.05%
Revenue beat(2)2
Avg Revenue beat(2)1.67%
Min Revenue beat(2)0.91%
Max Revenue beat(2)2.43%
Revenue beat(4)3
Avg Revenue beat(4)0.86%
Min Revenue beat(4)-0.86%
Max Revenue beat(4)2.43%
Revenue beat(8)6
Avg Revenue beat(8)1.15%
Revenue beat(12)8
Avg Revenue beat(12)0.97%
Revenue beat(16)11
Avg Revenue beat(16)0.99%
PT rev (1m)-4.1%
PT rev (3m)-13.63%
EPS NQ rev (1m)-7.34%
EPS NQ rev (3m)-12%
EPS NY rev (1m)-2.67%
EPS NY rev (3m)-7.17%
Revenue NQ rev (1m)-1.79%
Revenue NQ rev (3m)-4.69%
Revenue NY rev (1m)-2.78%
Revenue NY rev (3m)-4.52%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 16.11 | ||
| Fwd PE | 17.19 | ||
| P/S | 2.1 | ||
| P/FCF | 16.95 | ||
| P/OCF | 11.57 | ||
| P/B | 2.46 | ||
| P/tB | N/A | ||
| EV/EBITDA | 11.51 |
EPS(TTM)10.32
EY6.21%
EPS(NY)9.67
Fwd EY5.82%
FCF(TTM)9.81
FCFY5.9%
OCF(TTM)14.36
OCFY8.64%
SpS79.19
BVpS67.69
TBVpS-2.12
PEG (NY)N/A
PEG (5Y)1.8
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.14% | ||
| ROE | 0.3% | ||
| ROCE | 8.43% | ||
| ROIC | 6.66% | ||
| ROICexc | 6.86% | ||
| ROICexgc | 15.71% | ||
| OM | 13.6% | ||
| PM (TTM) | 0.25% | ||
| GM | 34.76% | ||
| FCFM | 12.39% |
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%
ROICexcg growth 3Y-14.69%
ROICexcg 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-Score6
Asset Turnover0.54
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.65 | ||
| Debt/FCF | 4.47 | ||
| Debt/EBITDA | 2.45 | ||
| Cap/Depr | 64.4% | ||
| Cap/Sales | 5.75% | ||
| Interest Coverage | 4.46 | ||
| Cash Conversion | 80.5% | ||
| Profit Quality | 4871.42% | ||
| Current Ratio | 1.41 | ||
| Quick Ratio | 1.13 | ||
| Altman-Z | 2.43 |
F-Score6
WACC10.75%
ROIC/WACC0.62
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)-3.1%
EPS 3Y-0.03%
EPS 5Y8.93%
EPS Q2Q%8.13%
EPS Next Y-6.32%
EPS Next 2Y2.08%
EPS Next 3Y8.08%
EPS Next 5Y8.05%
Revenue 1Y (TTM)-1.92%
Revenue growth 3Y4.59%
Revenue growth 5Y9.09%
Sales Q2Q%-1.08%
Revenue Next Year-3%
Revenue Next 2Y1.35%
Revenue Next 3Y5.19%
Revenue Next 5Y6%
EBIT growth 1Y-15.66%
EBIT growth 3Y-4.53%
EBIT growth 5Y7.56%
EBIT Next Year30.48%
EBIT Next 3Y17.78%
EBIT Next 5Y16.28%
FCF growth 1Y37.29%
FCF growth 3Y-1.94%
FCF growth 5Y8.06%
OCF growth 1Y7.41%
OCF growth 3Y-1.16%
OCF growth 5Y8.84%