664.12 USD
-3.17 (-0.48%)
CVCO gets a fundamental rating of 7 out of 10. The analysis compared the fundamentals against 60 industry peers in the Household Durables industry. Both the health and profitability get an excellent rating, making CVCO a very profitable company, without any liquidiy or solvency issues. CVCO is valued quite expensive, but it does show an excellent growth. This makes CVCO very considerable for growth and quality investing!
1. Profitability
1.1 Basic Checks
- CVCO had positive earnings in the past year.
- In the past year CVCO had a positive cash flow from operations.
- In the past 5 years CVCO has always been profitable.
- Each year in the past 5 years CVCO had a positive operating cash flow.
1.2 Ratios
- With an excellent Return On Assets value of 13.58%, CVCO belongs to the best of the industry, outperforming 93.33% of the companies in the same industry.
- With a decent Return On Equity value of 18.12%, CVCO is doing good in the industry, outperforming 78.33% of the companies in the same industry.
- CVCO's Return On Invested Capital of 16.66% is amongst the best of the industry. CVCO outperforms 93.33% of its industry peers.
- Measured over the past 3 years, the Average Return On Invested Capital for CVCO is significantly above the industry average of 9.71%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 13.58% | ||
| ROE | 18.12% | ||
| ROIC | 16.66% |
ROA(3y)14.07%
ROA(5y)13.47%
ROE(3y)18.66%
ROE(5y)18.2%
ROIC(3y)17.08%
ROIC(5y)16.01%
1.3 Margins
- CVCO's Profit Margin of 9.18% is fine compared to the rest of the industry. CVCO outperforms 80.00% of its industry peers.
- CVCO's Profit Margin has improved in the last couple of years.
- The Operating Margin of CVCO (10.97%) is better than 71.67% of its industry peers.
- CVCO's Operating Margin has improved in the last couple of years.
- With a Gross Margin value of 23.79%, CVCO perfoms like the industry average, outperforming 41.67% of the companies in the same industry.
- CVCO's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 10.97% | ||
| PM (TTM) | 9.18% | ||
| GM | 23.79% |
OM growth 3Y-7.23%
OM growth 5Y3.74%
PM growth 3Y-11.27%
PM growth 5Y3.71%
GM growth 3Y-2.75%
GM growth 5Y1.25%
2. Health
2.1 Basic Checks
- The Return on Invested Capital (ROIC) is well above the Cost of Capital (WACC), so CVCO is creating value.
- Compared to 1 year ago, CVCO has less shares outstanding
- Compared to 5 years ago, CVCO has less shares outstanding
- CVCO has a better debt/assets ratio than last year.
2.2 Solvency
- CVCO has an Altman-Z score of 12.40. This indicates that CVCO is financially healthy and has little risk of bankruptcy at the moment.
- CVCO's Altman-Z score of 12.40 is amongst the best of the industry. CVCO outperforms 95.00% of its industry peers.
- CVCO has a debt to FCF ratio of 0.04. This is a very positive value and a sign of high solvency as it would only need 0.04 years to pay back of all of its debts.
- With an excellent Debt to FCF ratio value of 0.04, CVCO belongs to the best of the industry, outperforming 86.67% of the companies in the same industry.
- A Debt/Equity ratio of 0.01 indicates that CVCO is not too dependend on debt financing.
- With a decent Debt to Equity ratio value of 0.01, CVCO is doing good in the industry, outperforming 80.00% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.01 | ||
| Debt/FCF | 0.04 | ||
| Altman-Z | 12.4 |
ROIC/WACC1.8
WACC9.27%
2.3 Liquidity
- CVCO has a Current Ratio of 2.94. This indicates that CVCO is financially healthy and has no problem in meeting its short term obligations.
- CVCO has a Current ratio (2.94) which is comparable to the rest of the industry.
- A Quick Ratio of 2.13 indicates that CVCO has no problem at all paying its short term obligations.
- The Quick ratio of CVCO (2.13) is better than 86.67% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.94 | ||
| Quick Ratio | 2.13 |
3. Growth
3.1 Past
- CVCO shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 42.85%, which is quite impressive.
- CVCO shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 21.77% yearly.
- Looking at the last year, CVCO shows a quite strong growth in Revenue. The Revenue has grown by 15.76% in the last year.
- The Revenue has been growing by 13.68% on average over the past years. This is quite good.
EPS 1Y (TTM)42.85%
EPS 3Y6.18%
EPS 5Y21.77%
EPS Q2Q%24.05%
Revenue 1Y (TTM)15.76%
Revenue growth 3Y7.39%
Revenue growth 5Y13.68%
Sales Q2Q%9.67%
3.2 Future
- The Earnings Per Share is expected to grow by 15.61% on average over the next years. This is quite good.
- The Revenue is expected to grow by 11.53% on average over the next years. This is quite good.
EPS Next Y17.64%
EPS Next 2Y15.61%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year13.9%
Revenue Next 2Y11.53%
Revenue Next 3YN/A
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 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
- The Price/Earnings ratio is 26.28, which means the current valuation is very expensive for CVCO.
- Compared to the rest of the industry, the Price/Earnings ratio of CVCO indicates a slightly more expensive valuation: CVCO is more expensive than 66.67% of the companies listed in the same industry.
- CVCO is valuated at similar levels of the S&P average when we compare the Price/Earnings ratio to 27.21, which is the current average of the S&P500 Index.
- With a Price/Forward Earnings ratio of 22.91, CVCO is valued on the expensive side.
- CVCO's Price/Forward Earnings is on the same level as the industry average.
- The average S&P500 Price/Forward Earnings ratio is at 25.98. CVCO is around the same levels.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 26.28 | ||
| Fwd PE | 22.91 |
4.2 Price Multiples
- Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of CVCO indicates a slightly more expensive valuation: CVCO is more expensive than 70.00% of the companies listed in the same industry.
- CVCO's Price/Free Cash Flow ratio is in line with the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 28.82 | ||
| EV/EBITDA | 18.84 |
4.3 Compensation for Growth
- CVCO's PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
- The excellent profitability rating of CVCO may justify a higher PE ratio.
- A more expensive valuation may be justified as CVCO's earnings are expected to grow with 15.61% in the coming years.
PEG (NY)1.49
PEG (5Y)1.21
EPS Next 2Y15.61%
EPS Next 3YN/A
5. Dividend
5.1 Amount
- No dividends for CVCO!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
CAVCO INDUSTRIES INC / CVCO FAQ
What is the fundamental rating for CVCO stock?
ChartMill assigns a fundamental rating of 6 / 10 to CVCO.
Can you provide the valuation status for CAVCO INDUSTRIES INC?
ChartMill assigns a valuation rating of 2 / 10 to CAVCO INDUSTRIES INC (CVCO). This can be considered as Overvalued.
Can you provide the profitability details for CAVCO INDUSTRIES INC?
CAVCO INDUSTRIES INC (CVCO) has a profitability rating of 7 / 10.
What are the PE and PB ratios of CAVCO INDUSTRIES INC (CVCO) stock?
The Price/Earnings (PE) ratio for CAVCO INDUSTRIES INC (CVCO) is 26.28 and the Price/Book (PB) ratio is 4.78.
How financially healthy is CAVCO INDUSTRIES INC?
The financial health rating of CAVCO INDUSTRIES INC (CVCO) is 9 / 10.