CALAVO GROWERS INC (CVGW) Stock Fundamental Analysis
USA - NASDAQ:CVGW - US1282461052 - Common Stock
27.62 USD
+0.39 (+1.43%)
27.62 USD
0 (0%)
Taking everything into account, CVGW scores 5 out of 10 in our fundamental rating. CVGW was compared to 89 industry peers in the Food Products industry. CVGW is in great health and has no worries on liquidiy or solvency at all, but the profibility rating is only average. CVGW has a decent growth rate and is not valued too expensively.
1. Profitability
1.1 Basic Checks
CVGW had positive earnings in the past year.
CVGW had a positive operating cash flow in the past year.
In the past 5 years CVGW always reported negative net income.
CVGW had a positive operating cash flow in 4 of the past 5 years.
1.2 Ratios
CVGW has a better Return On Assets (5.26%) than 73.03% of its industry peers.
CVGW's Return On Equity of 7.67% is fine compared to the rest of the industry. CVGW outperforms 61.80% of its industry peers.
CVGW has a Return On Invested Capital of 8.32%. This is in the better half of the industry: CVGW outperforms 77.53% of its industry peers.
CVGW had an Average Return On Invested Capital over the past 3 years of 3.99%. This is significantly below the industry average of 28.32%.
The last Return On Invested Capital (8.32%) for CVGW is above the 3 year average (3.99%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.26% | ||
| ROE | 7.67% | ||
| ROIC | 8.32% |
ROA(3y)-1.38%
ROA(5y)-1.99%
ROE(3y)-2.45%
ROE(5y)-3.59%
ROIC(3y)3.99%
ROIC(5y)3.92%
1.3 Margins
The Profit Margin of CVGW (2.28%) is comparable to the rest of the industry.
With a Operating Margin value of 3.67%, CVGW perfoms like the industry average, outperforming 50.56% of the companies in the same industry.
CVGW's Operating Margin has declined in the last couple of years.
CVGW has a Gross Margin of 9.85%. This is in the lower half of the industry: CVGW underperforms 69.66% of its industry peers.
In the last couple of years the Gross Margin of CVGW has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 3.67% | ||
| PM (TTM) | 2.28% | ||
| GM | 9.85% |
OM growth 3Y137.14%
OM growth 5Y-13.23%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y23.52%
GM growth 5Y-0.88%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), CVGW is destroying value.
The number of shares outstanding for CVGW has been increased compared to 1 year ago.
CVGW has more shares outstanding than it did 5 years ago.
The debt/assets ratio for CVGW has been reduced compared to a year ago.
2.2 Solvency
CVGW has an Altman-Z score of 6.19. This indicates that CVGW is financially healthy and has little risk of bankruptcy at the moment.
With an excellent Altman-Z score value of 6.19, CVGW belongs to the best of the industry, outperforming 91.01% of the companies in the same industry.
The Debt to FCF ratio of CVGW is 0.18, which is an excellent value as it means it would take CVGW, only 0.18 years of fcf income to pay off all of its debts.
CVGW has a better Debt to FCF ratio (0.18) than 93.26% of its industry peers.
CVGW has a Debt/Equity ratio of 0.02. This is a healthy value indicating a solid balance between debt and equity.
CVGW's Debt to Equity ratio of 0.02 is amongst the best of the industry. CVGW outperforms 83.15% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.02 | ||
| Debt/FCF | 0.18 | ||
| Altman-Z | 6.19 |
ROIC/WACC0.96
WACC8.64%
2.3 Liquidity
CVGW has a Current Ratio of 2.30. This indicates that CVGW is financially healthy and has no problem in meeting its short term obligations.
CVGW has a better Current ratio (2.30) than 69.66% of its industry peers.
A Quick Ratio of 1.86 indicates that CVGW should not have too much problems paying its short term obligations.
Looking at the Quick ratio, with a value of 1.86, CVGW belongs to the top of the industry, outperforming 84.27% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.3 | ||
| Quick Ratio | 1.86 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 84.93% over the past year.
The earnings per share for CVGW have been decreasing by -18.14% on average. This is quite bad
Looking at the last year, CVGW shows a decrease in Revenue. The Revenue has decreased by -5.33% in the last year.
The Revenue for CVGW have been decreasing by -11.17% on average. This is quite bad
EPS 1Y (TTM)84.93%
EPS 3Y46.92%
EPS 5Y-18.14%
EPS Q2Q%0%
Revenue 1Y (TTM)-5.33%
Revenue growth 3Y-14.43%
Revenue growth 5Y-11.17%
Sales Q2Q%-0.43%
3.2 Future
The Earnings Per Share is expected to grow by 30.13% on average over the next years. This is a very strong growth
CVGW is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 7.34% yearly.
EPS Next Y55.94%
EPS Next 2Y37.34%
EPS Next 3Y30.13%
EPS Next 5YN/A
Revenue Next Year5.44%
Revenue Next 2Y6.46%
Revenue Next 3Y7.34%
Revenue Next 5YN/A
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 20.46, CVGW is valued on the expensive side.
CVGW's Price/Earnings is on the same level as the industry average.
The average S&P500 Price/Earnings ratio is at 27.20. CVGW is valued slightly cheaper when compared to this.
With a Price/Forward Earnings ratio of 13.19, CVGW is valued correctly.
Based on the Price/Forward Earnings ratio, CVGW is valued a bit cheaper than the industry average as 74.16% of the companies are valued more expensively.
CVGW's Price/Forward Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 22.70.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 20.46 | ||
| Fwd PE | 13.19 |
4.2 Price Multiples
CVGW's Enterprise Value to EBITDA is on the same level as the industry average.
71.91% of the companies in the same industry are more expensive than CVGW, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 17.22 | ||
| EV/EBITDA | 13.15 |
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.
CVGW's earnings are expected to grow with 30.13% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.37
PEG (5Y)N/A
EPS Next 2Y37.34%
EPS Next 3Y30.13%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 2.94%, CVGW has a reasonable but not impressive dividend return.
CVGW's Dividend Yield is a higher than the industry average which is at 5.03.
CVGW's Dividend Yield is a higher than the S&P500 average which is at 2.38.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.94% |
5.2 History
The dividend of CVGW decreases each year by -12.87%.
CVGW has paid a dividend for at least 10 years, which is a reliable track record.
CVGW has decreased its dividend in the last 3 years.
Dividend Growth(5Y)-12.87%
Div Incr Years2
Div Non Decr Years2
5.3 Sustainability
CVGW pays out 90.26% of its income as dividend. This is not a sustainable payout ratio.
DP90.26%
EPS Next 2Y37.34%
EPS Next 3Y30.13%
27.62
+0.39 (+1.43%)
Chartmill FA Rating
GICS SectorConsumer Staples
GICS IndustryGroupFood, Beverage & Tobacco
GICS IndustryFood Products
Earnings (Last)
Earnings (Next)
Inst Owners68.14%
Inst Owner Change-0.84%
Ins Owners2.75%
Ins Owner Change7.29%
Market Cap493.02M
Analysts82.5
Price Target35.7 (29.25%)
Short Float %2.45%
Short Ratio2.2
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.94% |
Yearly Dividend0.5
Dividend Growth(5Y)-12.87%
DP90.26%
Div Incr Years2
Div Non Decr Years2
Ex-Date
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-16.16%
Min EPS beat(2)-26.61%
Max EPS beat(2)-5.71%
EPS beat(4)1
Avg EPS beat(4)-25.96%
Min EPS beat(4)-83.48%
Max EPS beat(4)11.95%
EPS beat(8)3
Avg EPS beat(8)-51.14%
EPS beat(12)4
Avg EPS beat(12)-59.06%
EPS beat(16)6
Avg EPS beat(16)-52.15%
Revenue beat(2)0
Avg Revenue beat(2)-8.8%
Min Revenue beat(2)-10.32%
Max Revenue beat(2)-7.28%
Revenue beat(4)1
Avg Revenue beat(4)-5.05%
Min Revenue beat(4)-10.32%
Max Revenue beat(4)2.9%
Revenue beat(8)2
Avg Revenue beat(8)-8.74%
Revenue beat(12)2
Avg Revenue beat(12)-13.38%
Revenue beat(16)6
Avg Revenue beat(16)-9.45%
PT rev (1m)0%
PT rev (3m)9.38%
EPS NQ rev (1m)-4.95%
EPS NQ rev (3m)-7.66%
EPS NY rev (1m)0%
EPS NY rev (3m)-7.69%
Revenue NQ rev (1m)-7.32%
Revenue NQ rev (3m)-1.56%
Revenue NY rev (1m)-3.26%
Revenue NY rev (3m)-2.38%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 20.46 | ||
| Fwd PE | 13.19 | ||
| P/S | 0.71 | ||
| P/FCF | 17.22 | ||
| P/OCF | 16.4 | ||
| P/B | 2.39 | ||
| P/tB | 2.51 | ||
| EV/EBITDA | 13.15 |
EPS(TTM)1.35
EY4.89%
EPS(NY)2.09
Fwd EY7.58%
FCF(TTM)1.6
FCFY5.81%
OCF(TTM)1.68
OCFY6.1%
SpS38.86
BVpS11.56
TBVpS10.99
PEG (NY)0.37
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.26% | ||
| ROE | 7.67% | ||
| ROCE | 10.96% | ||
| ROIC | 8.32% | ||
| ROICexc | 11.47% | ||
| ROICexgc | 12.22% | ||
| OM | 3.67% | ||
| PM (TTM) | 2.28% | ||
| GM | 9.85% | ||
| FCFM | 4.13% |
ROA(3y)-1.38%
ROA(5y)-1.99%
ROE(3y)-2.45%
ROE(5y)-3.59%
ROIC(3y)3.99%
ROIC(5y)3.92%
ROICexc(3y)4.7%
ROICexc(5y)4.36%
ROICexgc(3y)5.14%
ROICexgc(5y)4.83%
ROCE(3y)5.25%
ROCE(5y)5.28%
ROICexcg growth 3Y147.48%
ROICexcg growth 5Y-14.29%
ROICexc growth 3Y152.41%
ROICexc growth 5Y-14.22%
OM growth 3Y137.14%
OM growth 5Y-13.23%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y23.52%
GM growth 5Y-0.88%
F-Score8
Asset Turnover2.3
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.02 | ||
| Debt/FCF | 0.18 | ||
| Debt/EBITDA | 0.13 | ||
| Cap/Depr | 18.95% | ||
| Cap/Sales | 0.21% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 91.06% | ||
| Profit Quality | 180.76% | ||
| Current Ratio | 2.3 | ||
| Quick Ratio | 1.86 | ||
| Altman-Z | 6.19 |
F-Score8
WACC8.64%
ROIC/WACC0.96
Cap/Depr(3y)49.34%
Cap/Depr(5y)56.72%
Cap/Sales(3y)0.79%
Cap/Sales(5y)0.9%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)84.93%
EPS 3Y46.92%
EPS 5Y-18.14%
EPS Q2Q%0%
EPS Next Y55.94%
EPS Next 2Y37.34%
EPS Next 3Y30.13%
EPS Next 5YN/A
Revenue 1Y (TTM)-5.33%
Revenue growth 3Y-14.43%
Revenue growth 5Y-11.17%
Sales Q2Q%-0.43%
Revenue Next Year5.44%
Revenue Next 2Y6.46%
Revenue Next 3Y7.34%
Revenue Next 5YN/A
EBIT growth 1Y47.4%
EBIT growth 3Y102.92%
EBIT growth 5Y-22.92%
EBIT Next Year59.19%
EBIT Next 3Y26.52%
EBIT Next 5YN/A
FCF growth 1Y223.04%
FCF growth 3Y116.08%
FCF growth 5Y-17.22%
OCF growth 1Y369.71%
OCF growth 3Y21.63%
OCF growth 5Y-19.47%