CSW INDUSTRIALS INC (CSWI) Stock Fundamental Analysis
USA - NASDAQ:CSWI - US1264021064 - Common Stock
305.1 USD
+0.43 (+0.14%)
305.1 USD
0 (0%)
Overall CSWI gets a fundamental rating of 6 out of 10. We evaluated CSWI against 41 industry peers in the Building Products industry. CSWI gets an excellent profitability rating and is at the same time showing great financial health properties. CSWI shows excellent growth, but is valued quite expensive already. These ratings could make CSWI a good candidate for growth and quality investing.
1. Profitability
1.1 Basic Checks
In the past year CSWI was profitable.
In the past year CSWI had a positive cash flow from operations.
CSWI had positive earnings in each of the past 5 years.
CSWI had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
With a decent Return On Assets value of 9.91%, CSWI is doing good in the industry, outperforming 66.67% of the companies in the same industry.
CSWI has a Return On Equity (12.74%) which is in line with its industry peers.
CSWI has a Return On Invested Capital of 11.12%. This is comparable to the rest of the industry: CSWI outperforms 57.14% of its industry peers.
The Average Return On Invested Capital over the past 3 years for CSWI is in line with the industry average of 12.76%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 9.91% | ||
| ROE | 12.74% | ||
| ROIC | 11.12% |
ROA(3y)9.63%
ROA(5y)8.02%
ROE(3y)15.86%
ROE(5y)14.28%
ROIC(3y)11.71%
ROIC(5y)9.95%
1.3 Margins
CSWI has a Profit Margin of 15.56%. This is amongst the best in the industry. CSWI outperforms 85.71% of its industry peers.
In the last couple of years the Profit Margin of CSWI has grown nicely.
With an excellent Operating Margin value of 20.80%, CSWI belongs to the best of the industry, outperforming 88.10% of the companies in the same industry.
In the last couple of years the Operating Margin of CSWI has grown nicely.
CSWI's Gross Margin of 44.78% is amongst the best of the industry. CSWI outperforms 90.48% of its industry peers.
In the last couple of years the Gross Margin of CSWI has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 20.8% | ||
| PM (TTM) | 15.56% | ||
| GM | 44.78% |
OM growth 3Y10.18%
OM growth 5Y3.71%
PM growth 3Y13.65%
PM growth 5Y5.61%
GM growth 3Y3.09%
GM growth 5Y-0.46%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so CSWI is destroying value.
Compared to 1 year ago, CSWI has more shares outstanding
The number of shares outstanding for CSWI has been increased compared to 5 years ago.
CSWI has no outstanding debt. Therefor its Debt/Equity and Debt/FCF ratios are 0 and belong to the best of the industry.
2.2 Solvency
An Altman-Z score of 12.21 indicates that CSWI is not in any danger for bankruptcy at the moment.
CSWI has a better Altman-Z score (12.21) than 100.00% of its industry peers.
CSWI has no outstanding debt. Therefor its Debt/Equity and Debt/FCF ratios are 0 and belong to the best of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Altman-Z | 12.21 |
ROIC/WACC0.7
WACC15.82%
2.3 Liquidity
CSWI has a Current Ratio of 4.03. This indicates that CSWI is financially healthy and has no problem in meeting its short term obligations.
The Current ratio of CSWI (4.03) is better than 88.10% of its industry peers.
A Quick Ratio of 2.70 indicates that CSWI has no problem at all paying its short term obligations.
CSWI has a Quick ratio of 2.70. This is amongst the best in the industry. CSWI outperforms 92.86% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 4.03 | ||
| Quick Ratio | 2.7 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 30.17% over the past year.
Measured over the past years, CSWI shows a very strong growth in Earnings Per Share. The EPS has been growing by 21.50% on average per year.
The Revenue has grown by 10.77% in the past year. This is quite good.
Measured over the past years, CSWI shows a quite strong growth in Revenue. The Revenue has been growing by 17.88% on average per year.
EPS 1Y (TTM)30.17%
EPS 3Y25.6%
EPS 5Y21.5%
EPS Q2Q%6.37%
Revenue 1Y (TTM)10.77%
Revenue growth 3Y11.93%
Revenue growth 5Y17.88%
Sales Q2Q%9.34%
3.2 Future
Based on estimates for the next years, CSWI will show a quite strong growth in Earnings Per Share. The EPS will grow by 13.60% on average per year.
Based on estimates for the next years, CSWI will show a quite strong growth in Revenue. The Revenue will grow by 11.35% on average per year.
EPS Next Y13.94%
EPS Next 2Y12.49%
EPS Next 3Y13.6%
EPS Next 5YN/A
Revenue Next Year21.15%
Revenue Next 2Y13.99%
Revenue Next 3Y11.35%
Revenue Next 5YN/A
3.3 Evolution
Although the future EPS growth is still strong, it is not able to hold up the even more excellent growth rate of the past 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
The Price/Earnings ratio is 35.89, which means the current valuation is very expensive for CSWI.
CSWI's Price/Earnings ratio is a bit more expensive when compared to the industry. CSWI is more expensive than 73.81% of the companies in the same industry.
CSWI's Price/Earnings ratio indicates a valuation a bit more expensive than the S&P500 average which is at 27.41.
A Price/Forward Earnings ratio of 31.50 indicates a quite expensive valuation of CSWI.
Based on the Price/Forward Earnings ratio, CSWI is valued a bit more expensive than 73.81% of the companies in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 22.88. CSWI is valued slightly more expensive when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 35.89 | ||
| Fwd PE | 31.5 |
4.2 Price Multiples
CSWI's Enterprise Value to EBITDA ratio is a bit more expensive when compared to the industry. CSWI is more expensive than 73.81% of the companies in the same industry.
The rest of the industry has a similar Price/Free Cash Flow ratio as CSWI.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 33.72 | ||
| EV/EBITDA | 21.73 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates CSWI does not grow enough to justify the current Price/Earnings ratio.
The decent profitability rating of CSWI may justify a higher PE ratio.
A more expensive valuation may be justified as CSWI's earnings are expected to grow with 13.60% in the coming years.
PEG (NY)2.57
PEG (5Y)1.67
EPS Next 2Y12.49%
EPS Next 3Y13.6%
5. Dividend
5.1 Amount
CSWI has a yearly dividend return of 0.35%, which is pretty low.
CSWI's Dividend Yield is comparable with the industry average which is at 1.13.
Compared to an average S&P500 Dividend Yield of 2.38, CSWI's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.35% |
5.2 History
On average, the dividend of CSWI grows each year by 10.61%, which is quite nice.
CSWI has been paying a dividend for over 5 years, so it has already some track record.
As CSWI did not decrease their dividend in the past 5 years, we can say the dividend looks stable.
Dividend Growth(5Y)10.61%
Div Incr Years5
Div Non Decr Years5
5.3 Sustainability
10.67% of the earnings are spent on dividend by CSWI. This is a low number and sustainable payout ratio.
The dividend of CSWI is growing, but earnings are growing more, so the dividend growth is sustainable.
DP10.67%
EPS Next 2Y12.49%
EPS Next 3Y13.6%
305.1
+0.43 (+0.14%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryBuilding Products
Earnings (Last)
Earnings (Next)
Inst Owners92.73%
Inst Owner Change-5.03%
Ins Owners1.32%
Ins Owner Change9.6%
Market Cap5.13B
Analysts74.55
Price Target348.43 (14.2%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.35% |
Yearly Dividend0.9
Dividend Growth(5Y)10.61%
DP10.67%
Div Incr Years5
Div Non Decr Years5
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)2.19%
Min EPS beat(2)-4.38%
Max EPS beat(2)8.75%
EPS beat(4)3
Avg EPS beat(4)4.49%
Min EPS beat(4)-4.38%
Max EPS beat(4)11.25%
EPS beat(8)5
Avg EPS beat(8)-3.47%
EPS beat(12)8
Avg EPS beat(12)3.76%
EPS beat(16)11
Avg EPS beat(16)4.05%
Revenue beat(2)0
Avg Revenue beat(2)-2.02%
Min Revenue beat(2)-2.91%
Max Revenue beat(2)-1.12%
Revenue beat(4)2
Avg Revenue beat(4)0.35%
Min Revenue beat(4)-2.91%
Max Revenue beat(4)3.07%
Revenue beat(8)3
Avg Revenue beat(8)-1.26%
Revenue beat(12)6
Avg Revenue beat(12)-0.36%
Revenue beat(16)10
Avg Revenue beat(16)1.98%
PT rev (1m)1.07%
PT rev (3m)-8.74%
EPS NQ rev (1m)-0.48%
EPS NQ rev (3m)-0.89%
EPS NY rev (1m)0%
EPS NY rev (3m)-0.72%
Revenue NQ rev (1m)10.91%
Revenue NQ rev (3m)11.24%
Revenue NY rev (1m)8.69%
Revenue NY rev (3m)11.95%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 35.89 | ||
| Fwd PE | 31.5 | ||
| P/S | 5.84 | ||
| P/FCF | 33.72 | ||
| P/OCF | 30.46 | ||
| P/B | 4.78 | ||
| P/tB | 11.39 | ||
| EV/EBITDA | 21.73 |
EPS(TTM)8.5
EY2.79%
EPS(NY)9.69
Fwd EY3.17%
FCF(TTM)9.05
FCFY2.97%
OCF(TTM)10.02
OCFY3.28%
SpS52.25
BVpS63.79
TBVpS26.78
PEG (NY)2.57
PEG (5Y)1.67
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 9.91% | ||
| ROE | 12.74% | ||
| ROCE | 14.83% | ||
| ROIC | 11.12% | ||
| ROICexc | 13.62% | ||
| ROICexgc | 35.67% | ||
| OM | 20.8% | ||
| PM (TTM) | 15.56% | ||
| GM | 44.78% | ||
| FCFM | 17.32% |
ROA(3y)9.63%
ROA(5y)8.02%
ROE(3y)15.86%
ROE(5y)14.28%
ROIC(3y)11.71%
ROIC(5y)9.95%
ROICexc(3y)12.72%
ROICexc(5y)10.61%
ROICexgc(3y)33.39%
ROICexgc(5y)27.91%
ROCE(3y)15.62%
ROCE(5y)13.27%
ROICexcg growth 3Y17.93%
ROICexcg growth 5Y1.82%
ROICexc growth 3Y17.1%
ROICexc growth 5Y-4.56%
OM growth 3Y10.18%
OM growth 5Y3.71%
PM growth 3Y13.65%
PM growth 5Y5.61%
GM growth 3Y3.09%
GM growth 5Y-0.46%
F-Score7
Asset Turnover0.64
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Debt/EBITDA | 0 | ||
| Cap/Depr | 37.82% | ||
| Cap/Sales | 1.85% | ||
| Interest Coverage | 38.14 | ||
| Cash Conversion | 74.61% | ||
| Profit Quality | 111.3% | ||
| Current Ratio | 4.03 | ||
| Quick Ratio | 2.7 | ||
| Altman-Z | 12.21 |
F-Score7
WACC15.82%
ROIC/WACC0.7
Cap/Depr(3y)40.43%
Cap/Depr(5y)40.42%
Cap/Sales(3y)1.93%
Cap/Sales(5y)2.08%
Profit Quality(3y)122.73%
Profit Quality(5y)118.4%
High Growth Momentum
Growth
EPS 1Y (TTM)30.17%
EPS 3Y25.6%
EPS 5Y21.5%
EPS Q2Q%6.37%
EPS Next Y13.94%
EPS Next 2Y12.49%
EPS Next 3Y13.6%
EPS Next 5YN/A
Revenue 1Y (TTM)10.77%
Revenue growth 3Y11.93%
Revenue growth 5Y17.88%
Sales Q2Q%9.34%
Revenue Next Year21.15%
Revenue Next 2Y13.99%
Revenue Next 3Y11.35%
Revenue Next 5YN/A
EBIT growth 1Y14.79%
EBIT growth 3Y23.32%
EBIT growth 5Y22.25%
EBIT Next Year43.64%
EBIT Next 3Y20.47%
EBIT Next 5YN/A
FCF growth 1Y2.94%
FCF growth 3Y41.75%
FCF growth 5Y21.06%
OCF growth 1Y2.45%
OCF growth 3Y34.56%
OCF growth 5Y19.22%