CEWE STIFTUNG & CO KGAA (CWC.DE) Stock Fundamental Analysis
Europe - Frankfurt Stock Exchange - FRA:CWC - DE0005403901 - Common Stock
101.2 EUR
+0.2 (+0.2%)
We assign a fundamental rating of 7 out of 10 to CWC. CWC was compared to 44 industry peers in the Commercial Services & Supplies industry. CWC scores excellent points on both the profitability and health parts. This is a solid base for a good stock. CWC is valued quite cheap, but it does not seem to be growing. This makes CWC very considerable for value investing!
1. Profitability
1.1 Basic Checks
- CWC had positive earnings in the past year.
- In the past year CWC had a positive cash flow from operations.
- CWC had positive earnings in each of the past 5 years.
- In the past 5 years CWC always reported a positive cash flow from operatings.
1.2 Ratios
- With an excellent Return On Assets value of 9.96%, CWC belongs to the best of the industry, outperforming 93.18% of the companies in the same industry.
- CWC has a Return On Equity of 14.93%. This is amongst the best in the industry. CWC outperforms 81.82% of its industry peers.
- With an excellent Return On Invested Capital value of 12.52%, CWC belongs to the best of the industry, outperforming 90.91% of the companies in the same industry.
- The Average Return On Invested Capital over the past 3 years for CWC is above the industry average of 8.58%.
- The last Return On Invested Capital (12.52%) for CWC is above the 3 year average (12.23%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 9.96% | ||
| ROE | 14.93% | ||
| ROIC | 12.52% |
ROA(3y)8.35%
ROA(5y)8.3%
ROE(3y)14.32%
ROE(5y)14.96%
ROIC(3y)12.23%
ROIC(5y)12.61%
1.3 Margins
- Looking at the Profit Margin, with a value of 7.21%, CWC is in the better half of the industry, outperforming 77.27% of the companies in the same industry.
- CWC's Profit Margin has improved in the last couple of years.
- Looking at the Operating Margin, with a value of 10.38%, CWC is in the better half of the industry, outperforming 70.45% of the companies in the same industry.
- CWC's Operating Margin has improved in the last couple of years.
- Looking at the Gross Margin, with a value of 78.04%, CWC is in the better half of the industry, outperforming 79.55% of the companies in the same industry.
- CWC's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 10.38% | ||
| PM (TTM) | 7.21% | ||
| GM | 78.04% |
OM growth 3Y0.38%
OM growth 5Y3.27%
PM growth 3Y0.72%
PM growth 5Y10.39%
GM growth 3Y0.44%
GM growth 5Y1.03%
2. Health
2.1 Basic Checks
- With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), CWC is creating some value.
- CWC has less shares outstanding than it did 1 year ago.
- Compared to 5 years ago, CWC has less shares outstanding
- Compared to 1 year ago, CWC has an improved debt to assets ratio.
2.2 Solvency
- An Altman-Z score of 5.09 indicates that CWC is not in any danger for bankruptcy at the moment.
- Looking at the Altman-Z score, with a value of 5.09, CWC belongs to the top of the industry, outperforming 95.45% of the companies in the same industry.
- CWC has a debt to FCF ratio of 0.76. This is a very positive value and a sign of high solvency as it would only need 0.76 years to pay back of all of its debts.
- Looking at the Debt to FCF ratio, with a value of 0.76, CWC belongs to the top of the industry, outperforming 95.45% of the companies in the same industry.
- CWC has a Debt/Equity ratio of 0.09. This is a healthy value indicating a solid balance between debt and equity.
- CWC has a better Debt to Equity ratio (0.09) than 90.91% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.09 | ||
| Debt/FCF | 0.76 | ||
| Altman-Z | 5.09 |
ROIC/WACC1.78
WACC7.05%
2.3 Liquidity
- A Current Ratio of 1.58 indicates that CWC should not have too much problems paying its short term obligations.
- Looking at the Current ratio, with a value of 1.58, CWC is in the better half of the industry, outperforming 75.00% of the companies in the same industry.
- A Quick Ratio of 1.07 indicates that CWC should not have too much problems paying its short term obligations.
- The Quick ratio of CWC (1.07) is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.58 | ||
| Quick Ratio | 1.07 |
3. Growth
3.1 Past
- The Earnings Per Share has been growing slightly by 6.65% over the past year.
- Measured over the past years, CWC shows a quite strong growth in Earnings Per Share. The EPS has been growing by 14.43% on average per year.
- CWC shows a small growth in Revenue. In the last year, the Revenue has grown by 6.74%.
- CWC shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 2.94% yearly.
EPS 1Y (TTM)6.65%
EPS 3Y8.67%
EPS 5Y14.43%
EPS Q2Q%-70.83%
Revenue 1Y (TTM)6.74%
Revenue growth 3Y6.33%
Revenue growth 5Y2.94%
Sales Q2Q%2.98%
3.2 Future
- CWC is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 6.36% yearly.
- CWC is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 2.31% yearly.
EPS Next Y9.02%
EPS Next 2Y7.07%
EPS Next 3Y6.36%
EPS Next 5YN/A
Revenue Next Year4.21%
Revenue Next 2Y3.93%
Revenue Next 3Y3.66%
Revenue Next 5Y2.31%
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 decreasing.
- When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
- With a Price/Earnings ratio of 11.73, the valuation of CWC can be described as very reasonable.
- 81.82% of the companies in the same industry are more expensive than CWC, based on the Price/Earnings ratio.
- CWC is valuated cheaply when we compare the Price/Earnings ratio to 28.39, which is the current average of the S&P500 Index.
- With a Price/Forward Earnings ratio of 10.55, the valuation of CWC can be described as very reasonable.
- Compared to the rest of the industry, the Price/Forward Earnings ratio of CWC indicates a rather cheap valuation: CWC is cheaper than 81.82% of the companies listed in the same industry.
- Compared to an average S&P500 Price/Forward Earnings ratio of 25.72, CWC is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.73 | ||
| Fwd PE | 10.55 |
4.2 Price Multiples
- Based on the Enterprise Value to EBITDA ratio, CWC is valued cheaply inside the industry as 84.09% of the companies are valued more expensively.
- CWC's Price/Free Cash Flow is on the same level as the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 12.23 | ||
| EV/EBITDA | 5.15 |
4.3 Compensation for Growth
- CWC's PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
- The excellent profitability rating of CWC may justify a higher PE ratio.
PEG (NY)1.3
PEG (5Y)0.81
EPS Next 2Y7.07%
EPS Next 3Y6.36%
5. Dividend
5.1 Amount
- With a Yearly Dividend Yield of 2.76%, CWC has a reasonable but not impressive dividend return.
- CWC's Dividend Yield is a higher than the industry average which is at 2.60.
- Compared to an average S&P500 Dividend Yield of 1.82, CWC pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.76% |
5.2 History
- The dividend of CWC has a limited annual growth rate of 5.85%.
Dividend Growth(5Y)5.85%
Div Incr Years1
Div Non Decr Years4
5.3 Sustainability
- 32.69% of the earnings are spent on dividend by CWC. This is a low number and sustainable payout ratio.
- CWC's earnings are growing around the same pace than its dividend. As long as the earnings growth is kept the dividend growth is sustainable.
DP32.69%
EPS Next 2Y7.07%
EPS Next 3Y6.36%
CEWE STIFTUNG & CO KGAA / CWC.DE FAQ
What is the ChartMill fundamental rating of CEWE STIFTUNG & CO KGAA (CWC.DE) stock?
ChartMill assigns a fundamental rating of 7 / 10 to CWC.DE.
What is the valuation status for CWC stock?
ChartMill assigns a valuation rating of 7 / 10 to CEWE STIFTUNG & CO KGAA (CWC.DE). This can be considered as Undervalued.
Can you provide the profitability details for CEWE STIFTUNG & CO KGAA?
CEWE STIFTUNG & CO KGAA (CWC.DE) has a profitability rating of 8 / 10.
What are the PE and PB ratios of CEWE STIFTUNG & CO KGAA (CWC.DE) stock?
The Price/Earnings (PE) ratio for CEWE STIFTUNG & CO KGAA (CWC.DE) is 11.73 and the Price/Book (PB) ratio is 1.87.
How financially healthy is CEWE STIFTUNG & CO KGAA?
The financial health rating of CEWE STIFTUNG & CO KGAA (CWC.DE) is 8 / 10.