CAPSTONE COPPER CORP (CS.CA) Stock Fundamental Analysis
Canada - Toronto Stock Exchange - TSX:CS - CA14071L1085 - Common Stock
15.37 CAD
+1.24 (+8.78%)
Overall CS gets a fundamental rating of 7 out of 10. We evaluated CS against 817 industry peers in the Metals & Mining industry. CS scores excellent on profitability, but there are some minor concerns on its financial health. CS has both an excellent growth and valuation score. This means it is growing and it is still cheap. This is a rare combination!
1. Profitability
1.1 Basic Checks
- CS had positive earnings in the past year.
- In the past year CS had a positive cash flow from operations.
- CS had positive earnings in 4 of the past 5 years.
- In the past 5 years CS always reported a positive cash flow from operatings.
1.2 Ratios
- Looking at the Return On Assets, with a value of 4.46%, CS belongs to the top of the industry, outperforming 89.35% of the companies in the same industry.
- Looking at the Return On Equity, with a value of 9.36%, CS belongs to the top of the industry, outperforming 90.45% of the companies in the same industry.
- The Return On Invested Capital of CS (3.42%) is better than 90.58% of its industry peers.
- CS had an Average Return On Invested Capital over the past 3 years of 1.34%. This is significantly below the industry average of 11.97%.
- The 3 year average ROIC (1.34%) for CS is below the current ROIC(3.42%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.46% | ||
| ROE | 9.36% | ||
| ROIC | 3.42% |
ROA(3y)0.61%
ROA(5y)3.18%
ROE(3y)1.11%
ROE(5y)5.45%
ROIC(3y)1.34%
ROIC(5y)3.44%
1.3 Margins
- CS's Profit Margin of 14.67% is amongst the best of the industry. CS outperforms 93.02% of its industry peers.
- CS's Profit Margin has declined in the last couple of years.
- With an excellent Operating Margin value of 15.96%, CS belongs to the best of the industry, outperforming 91.06% of the companies in the same industry.
- CS's Operating Margin has improved in the last couple of years.
- The Gross Margin of CS (18.53%) is better than 88.00% of its industry peers.
- In the last couple of years the Gross Margin of CS has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 15.96% | ||
| PM (TTM) | 14.67% | ||
| GM | 18.53% |
OM growth 3Y-32.62%
OM growth 5Y23.43%
PM growth 3Y-43.37%
PM growth 5YN/A
GM growth 3Y-33.56%
GM growth 5Y5.61%
2. Health
2.1 Basic Checks
- The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so CS is destroying value.
- Compared to 1 year ago, CS has more shares outstanding
- The number of shares outstanding for CS has been increased compared to 5 years ago.
- Compared to 1 year ago, CS has an improved debt to assets ratio.
2.2 Solvency
- CS has an Altman-Z score of 1.87. This is not the best score and indicates that CS is in the grey zone with still only limited risk for bankruptcy at the moment.
- CS has a Altman-Z score (1.87) which is comparable to the rest of the industry.
- CS has a debt to FCF ratio of 8.56. This is a slightly negative value and a sign of low solvency as CS would need 8.56 years to pay back of all of its debts.
- The Debt to FCF ratio of CS (8.56) is better than 90.33% of its industry peers.
- CS has a Debt/Equity ratio of 0.47. This is a healthy value indicating a solid balance between debt and equity.
- CS has a Debt to Equity ratio of 0.47. This is in the lower half of the industry: CS underperforms 70.62% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.47 | ||
| Debt/FCF | 8.56 | ||
| Altman-Z | 1.87 |
ROIC/WACC0.37
WACC9.15%
2.3 Liquidity
- A Current Ratio of 1.15 indicates that CS should not have too much problems paying its short term obligations.
- CS's Current ratio of 1.15 is in line compared to the rest of the industry. CS outperforms 43.08% of its industry peers.
- CS has a Quick Ratio of 1.15. This is a bad value and indicates that CS is not financially healthy enough and could expect problems in meeting its short term obligations.
- CS has a Quick ratio of 0.79. This is in the lower half of the industry: CS underperforms 61.69% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.15 | ||
| Quick Ratio | 0.79 |
3. Growth
3.1 Past
- CS shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 114.29%, which is quite impressive.
- CS shows a very negative growth in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -46.87% yearly.
- Looking at the last year, CS shows a very strong growth in Revenue. The Revenue has grown by 40.88%.
- The Revenue has been growing by 30.74% on average over the past years. This is a very strong growth!
EPS 1Y (TTM)114.29%
EPS 3Y-46.87%
EPS 5YN/A
EPS Q2Q%100%
Revenue 1Y (TTM)40.88%
Revenue growth 3Y26.25%
Revenue growth 5Y30.74%
Sales Q2Q%42.68%
3.2 Future
- CS is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 59.22% yearly.
- The Revenue is expected to grow by 21.09% on average over the next years. This is a very strong growth
EPS Next Y167%
EPS Next 2Y184.99%
EPS Next 3Y119.36%
EPS Next 5Y59.22%
Revenue Next Year39.48%
Revenue Next 2Y30.03%
Revenue Next 3Y23.4%
Revenue Next 5Y21.09%
3.3 Evolution
- The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
- The estimated forward Revenue growth is still strong, although it is decreasing when compared to the stronger growth in the past years.
4. Valuation
4.1 Price/Earnings Ratio
- With a Price/Earnings ratio of 73.19, CS can be considered very expensive at the moment.
- Based on the Price/Earnings ratio, CS is valued cheaper than 87.15% of the companies in the same industry.
- Compared to an average S&P500 Price/Earnings ratio of 27.21, CS is valued quite expensively.
- Based on the Price/Forward Earnings ratio of 15.22, the valuation of CS can be described as correct.
- CS's Price/Forward Earnings ratio is rather cheap when compared to the industry. CS is cheaper than 92.53% of the companies in the same industry.
- The average S&P500 Price/Forward Earnings ratio is at 24.26. CS is valued slightly cheaper when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 73.19 | ||
| Fwd PE | 15.22 |
4.2 Price Multiples
- Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of CS indicates a rather cheap valuation: CS is cheaper than 95.23% of the companies listed in the same industry.
- Compared to the rest of the industry, the Price/Free Cash Flow ratio of CS indicates a rather cheap valuation: CS is cheaper than 93.64% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 44.65 | ||
| EV/EBITDA | 11.11 |
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.
- CS has an outstanding profitability rating, which may justify a higher PE ratio.
- A more expensive valuation may be justified as CS's earnings are expected to grow with 119.36% in the coming years.
PEG (NY)0.44
PEG (5Y)N/A
EPS Next 2Y184.99%
EPS Next 3Y119.36%
5. Dividend
5.1 Amount
- No dividends for CS!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
CAPSTONE COPPER CORP / CS.CA FAQ
What is the ChartMill fundamental rating of CAPSTONE COPPER CORP (CS.CA) stock?
ChartMill assigns a fundamental rating of 7 / 10 to CS.CA.
What is the valuation status of CAPSTONE COPPER CORP (CS.CA) stock?
ChartMill assigns a valuation rating of 8 / 10 to CAPSTONE COPPER CORP (CS.CA). This can be considered as Undervalued.
What is the profitability of CS stock?
CAPSTONE COPPER CORP (CS.CA) has a profitability rating of 8 / 10.
Can you provide the PE and PB ratios for CS stock?
The Price/Earnings (PE) ratio for CAPSTONE COPPER CORP (CS.CA) is 73.19 and the Price/Book (PB) ratio is 2.55.
What is the financial health of CAPSTONE COPPER CORP (CS.CA) stock?
The financial health rating of CAPSTONE COPPER CORP (CS.CA) is 4 / 10.