CARRIAGE SERVICES INC (CSV) Stock Fundamental Analysis
NYSE:CSV - New York Stock Exchange, Inc. - US1439051079 - Common Stock - Currency: USD
CSV gets a fundamental rating of 5 out of 10. The analysis compared the fundamentals against 71 industry peers in the Diversified Consumer Services industry. CSV scores excellent on profitability, but there are concerns on its financial health. CSV is valued quite cheap, while showing a decent growth score. This is a good combination! Finally CSV also has an excellent dividend rating.
1. Profitability
1.1 Basic Checks
In the past year CSV was profitable.
CSV had a positive operating cash flow in the past year.
Each year in the past 5 years CSV has been profitable.
Each year in the past 5 years CSV had a positive operating cash flow.
1.2 Ratios
CSV has a better Return On Assets (3.23%) than 65.63% of its industry peers.
CSV has a better Return On Equity (20.79%) than 84.38% of its industry peers.
CSV has a better Return On Invested Capital (6.41%) than 75.00% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for CSV is significantly below the industry average of 12.02%.
The last Return On Invested Capital (6.41%) for CSV is above the 3 year average (5.37%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.23% | ||
| ROE | 20.79% | ||
| ROIC | 6.41% |
ROA(3y)2.96%
ROA(5y)2.31%
ROE(3y)25.05%
ROE(5y)17.64%
ROIC(3y)5.37%
ROIC(5y)4.95%
1.3 Margins
CSV's Profit Margin of 8.10% is fine compared to the rest of the industry. CSV outperforms 68.75% of its industry peers.
In the last couple of years the Profit Margin of CSV has grown nicely.
CSV's Operating Margin of 21.21% is amongst the best of the industry. CSV outperforms 87.50% of its industry peers.
In the last couple of years the Operating Margin of CSV has grown nicely.
CSV has a Gross Margin of 35.70%. This is in the lower half of the industry: CSV underperforms 64.06% of its industry peers.
In the last couple of years the Gross Margin of CSV has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 21.21% | ||
| PM (TTM) | 8.1% | ||
| GM | 35.7% |
OM growth 3Y-3.48%
OM growth 5Y5.86%
PM growth 3Y21.23%
PM growth 5Y14.87%
GM growth 3Y0.36%
GM growth 5Y2.79%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), CSV is destroying value.
The number of shares outstanding for CSV has been increased compared to 1 year ago.
Compared to 5 years ago, CSV has less shares outstanding
CSV has a better debt/assets ratio than last year.
2.2 Solvency
Based on the Altman-Z score of 1.27, we must say that CSV is in the distress zone and has some risk of bankruptcy.
CSV has a Altman-Z score (1.27) which is comparable to the rest of the industry.
The Debt to FCF ratio of CSV is 13.83, which is on the high side as it means it would take CSV, 13.83 years of fcf income to pay off all of its debts.
CSV has a Debt to FCF ratio of 13.83. This is comparable to the rest of the industry: CSV outperforms 57.81% of its industry peers.
A Debt/Equity ratio of 2.76 is on the high side and indicates that CSV has dependencies on debt financing.
With a Debt to Equity ratio value of 2.76, CSV is not doing good in the industry: 79.69% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.76 | ||
| Debt/FCF | 13.83 | ||
| Altman-Z | 1.27 |
ROIC/WACC0.67
WACC9.62%
2.3 Liquidity
CSV has a Current Ratio of 0.72. This is a bad value and indicates that CSV is not financially healthy enough and could expect problems in meeting its short term obligations.
With a Current ratio value of 0.72, CSV is not doing good in the industry: 70.31% of the companies in the same industry are doing better.
A Quick Ratio of 0.59 indicates that CSV may have some problems paying its short term obligations.
The Quick ratio of CSV (0.59) is worse than 76.56% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.72 | ||
| Quick Ratio | 0.59 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 35.44% over the past year.
Measured over the past years, CSV shows a quite strong growth in Earnings Per Share. The EPS has been growing by 13.17% on average per year.
The Revenue has grown by 34.75% in the past year. This is a very strong growth!
Measured over the past years, CSV shows a small growth in Revenue. The Revenue has been growing by 7.38% on average per year.
EPS 1Y (TTM)35.44%
EPS 3Y5.22%
EPS 5Y13.17%
EPS Q2Q%93.94%
Revenue 1Y (TTM)34.75%
Revenue growth 3Y5.11%
Revenue growth 5Y7.38%
Sales Q2Q%11.26%
3.2 Future
The Earnings Per Share is expected to grow by 12.11% on average over the next years. This is quite good.
The Revenue is expected to grow by 6.43% on average over the next years.
EPS Next Y16.53%
EPS Next 2Y13.7%
EPS Next 3Y12.11%
EPS Next 5YN/A
Revenue Next Year6.45%
Revenue Next 2Y5.27%
Revenue Next 3Y6.43%
Revenue Next 5YN/A
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 stable: in the next years the growth will be about the same than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 14.61, CSV is valued correctly.
78.13% of the companies in the same industry are more expensive than CSV, based on the Price/Earnings ratio.
When comparing the Price/Earnings ratio of CSV to the average of the S&P500 Index (29.63), we can say CSV is valued rather cheaply.
CSV is valuated correctly with a Price/Forward Earnings ratio of 14.39.
81.25% of the companies in the same industry are more expensive than CSV, based on the Price/Forward Earnings ratio.
When comparing the Price/Forward Earnings ratio of CSV to the average of the S&P500 Index (22.68), we can say CSV is valued slightly cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 14.61 | ||
| Fwd PE | 14.39 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, CSV is valued a bit cheaper than the industry average as 78.13% of the companies are valued more expensively.
CSV's Price/Free Cash Flow ratio is rather cheap when compared to the industry. CSV is cheaper than 85.94% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 15.59 | ||
| EV/EBITDA | 8.88 |
4.3 Compensation for Growth
CSV's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
The decent profitability rating of CSV may justify a higher PE ratio.
A more expensive valuation may be justified as CSV's earnings are expected to grow with 12.11% in the coming years.
PEG (NY)0.88
PEG (5Y)1.11
EPS Next 2Y13.7%
EPS Next 3Y12.11%
5. Dividend
5.1 Amount
CSV has a Yearly Dividend Yield of 1.07%. Purely for dividend investing, there may be better candidates out there.
CSV's Dividend Yield is rather good when compared to the industry average which is at 4.39. CSV pays more dividend than 85.94% of the companies in the same industry.
With a Dividend Yield of 1.07, CSV pays less dividend than the S&P500 average, which is at 2.29.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.07% |
5.2 History
On average, the dividend of CSV grows each year by 6.97%, which is quite nice.
CSV has been paying a dividend for at least 10 years, so it has a reliable track record.
CSV has not decreased its dividend for at least 10 years, so it has a reliable track record of non decreasing dividend.
Dividend Growth(5Y)6.97%
Div Incr Years0
Div Non Decr Years13
5.3 Sustainability
16.47% of the earnings are spent on dividend by CSV. This is a low number and sustainable payout ratio.
The dividend of CSV is growing, but earnings are growing more, so the dividend growth is sustainable.
DP16.47%
EPS Next 2Y13.7%
EPS Next 3Y12.11%
40.75
-0.25 (-0.61%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Services
GICS IndustryDiversified Consumer Services
Earnings (Last)
Earnings (Next)
Inst Owners68.52%
Inst Owner Change3.62%
Ins Owners2.08%
Ins Owner Change0.41%
Market Cap620.22M
Analysts85
Price Target49.98 (22.65%)
Short Float %1.53%
Short Ratio1.57
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.07% |
Yearly Dividend0.45
Dividend Growth(5Y)6.97%
DP16.47%
Div Incr Years0
Div Non Decr Years13
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)35.63%
Min EPS beat(2)19.19%
Max EPS beat(2)52.08%
EPS beat(4)4
Avg EPS beat(4)37.85%
Min EPS beat(4)19.19%
Max EPS beat(4)54.8%
EPS beat(8)6
Avg EPS beat(8)17.86%
EPS beat(12)7
Avg EPS beat(12)7.7%
EPS beat(16)11
Avg EPS beat(16)13.25%
Revenue beat(2)2
Avg Revenue beat(2)6.96%
Min Revenue beat(2)6.66%
Max Revenue beat(2)7.27%
Revenue beat(4)4
Avg Revenue beat(4)5.53%
Min Revenue beat(4)3.72%
Max Revenue beat(4)7.27%
Revenue beat(8)7
Avg Revenue beat(8)3.59%
Revenue beat(12)8
Avg Revenue beat(12)2.02%
Revenue beat(16)12
Avg Revenue beat(16)4.32%
PT rev (1m)2.62%
PT rev (3m)24.84%
EPS NQ rev (1m)-10.53%
EPS NQ rev (3m)-10.53%
EPS NY rev (1m)0%
EPS NY rev (3m)2.02%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-2.19%
Revenue NY rev (1m)0%
Revenue NY rev (3m)6.16%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 14.61 | ||
| Fwd PE | 14.39 | ||
| P/S | 1.22 | ||
| P/FCF | 15.59 | ||
| P/OCF | 10.99 | ||
| P/B | 3.13 | ||
| P/tB | N/A | ||
| EV/EBITDA | 8.88 |
EPS(TTM)2.79
EY6.85%
EPS(NY)2.83
Fwd EY6.95%
FCF(TTM)2.61
FCFY6.41%
OCF(TTM)3.71
OCFY9.1%
SpS33.43
BVpS13.02
TBVpS-16.81
PEG (NY)0.88
PEG (5Y)1.11
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.23% | ||
| ROE | 20.79% | ||
| ROCE | 8.88% | ||
| ROIC | 6.41% | ||
| ROICexc | 6.41% | ||
| ROICexgc | 10.25% | ||
| OM | 21.21% | ||
| PM (TTM) | 8.1% | ||
| GM | 35.7% | ||
| FCFM | 7.82% |
ROA(3y)2.96%
ROA(5y)2.31%
ROE(3y)25.05%
ROE(5y)17.64%
ROIC(3y)5.37%
ROIC(5y)4.95%
ROICexc(3y)5.37%
ROICexc(5y)4.95%
ROICexgc(3y)8.68%
ROICexgc(5y)8.03%
ROCE(3y)7.44%
ROCE(5y)6.85%
ROICexcg growth 3Y-2.28%
ROICexcg growth 5Y6.85%
ROICexc growth 3Y-1.98%
ROICexc growth 5Y6.61%
OM growth 3Y-3.48%
OM growth 5Y5.86%
PM growth 3Y21.23%
PM growth 5Y14.87%
GM growth 3Y0.36%
GM growth 5Y2.79%
F-Score7
Asset Turnover0.4
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.76 | ||
| Debt/FCF | 13.83 | ||
| Debt/EBITDA | 4.13 | ||
| Cap/Depr | 68.93% | ||
| Cap/Sales | 3.28% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 42.74% | ||
| Profit Quality | 96.56% | ||
| Current Ratio | 0.72 | ||
| Quick Ratio | 0.59 | ||
| Altman-Z | 1.27 |
F-Score7
WACC9.62%
ROIC/WACC0.67
Cap/Depr(3y)105.97%
Cap/Depr(5y)96.57%
Cap/Sales(3y)6.13%
Cap/Sales(5y)5.72%
Profit Quality(3y)145.88%
Profit Quality(5y)210.58%
High Growth Momentum
Growth
EPS 1Y (TTM)35.44%
EPS 3Y5.22%
EPS 5Y13.17%
EPS Q2Q%93.94%
EPS Next Y16.53%
EPS Next 2Y13.7%
EPS Next 3Y12.11%
EPS Next 5YN/A
Revenue 1Y (TTM)34.75%
Revenue growth 3Y5.11%
Revenue growth 5Y7.38%
Sales Q2Q%11.26%
Revenue Next Year6.45%
Revenue Next 2Y5.27%
Revenue Next 3Y6.43%
Revenue Next 5YN/A
EBIT growth 1Y34.75%
EBIT growth 3Y1.45%
EBIT growth 5Y13.67%
EBIT Next Year60.01%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y14.91%
FCF growth 3Y-5.28%
FCF growth 5Y10.17%
OCF growth 1Y-12.6%
OCF growth 3Y-3.04%
OCF growth 5Y9.06%