CAESARS ENTERTAINMENT INC (CZR)
US12769G1004 - Common Stock
CZR gets a fundamental rating of 3 out of 10. The analysis compared the fundamentals against 134 industry peers in the Hotels, Restaurants & Leisure industry. While CZR is still in line with the averages on profitability rating, there are concerns on its financial health. CZR is valied quite expensively at the moment, while it does show a decent growth rate.
1. Profitability
1.1 Basic Checks
CZR had negative earnings in the past year.
In the past year CZR had a positive cash flow from operations.
The reported net income has been mixed in the past 5 years: CZR reported negative net income in multiple years.
CZR had a positive operating cash flow in 4 of the past 5 years.
1.2 Ratios
With a Return On Assets value of -1.09%, CZR is not doing good in the industry: 65.67% of the companies in the same industry are doing better.
With a Return On Equity value of -8.64%, CZR perfoms like the industry average, outperforming 45.52% of the companies in the same industry.
The Return On Invested Capital of CZR (6.04%) is comparable to the rest of the industry.
The Average Return On Invested Capital over the past 3 years for CZR is significantly below the industry average of 10.50%.
The 3 year average ROIC (5.15%) for CZR is below the current ROIC(6.04%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -1.09% | ||
| ROE | -8.64% | ||
| ROIC | 6.04% |
ROA(3y)-1%
ROA(5y)-1.28%
ROE(3y)-9.9%
ROE(5y)-11.49%
ROIC(3y)5.15%
ROIC(5y)4.57%
1.3 Margins
CZR's Profit Margin has improved in the last couple of years.
Looking at the Operating Margin, with a value of 20.84%, CZR is in the better half of the industry, outperforming 79.10% of the companies in the same industry.
CZR's Operating Margin has improved in the last couple of years.
CZR's Gross Margin of 49.37% is in line compared to the rest of the industry. CZR outperforms 52.99% of its industry peers.
CZR's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 20.84% | ||
| PM (TTM) | N/A | ||
| GM | 49.37% |
OM growth 3Y99%
OM growth 5Y6.02%
PM growth 3YN/A
PM growth 5Y8.09%
GM growth 3Y4.94%
GM growth 5Y1.73%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so CZR is destroying value.
Compared to 1 year ago, CZR has more shares outstanding
Compared to 5 years ago, CZR has more shares outstanding
The debt/assets ratio for CZR has been reduced compared to a year ago.
2.2 Solvency
Based on the Altman-Z score of 0.59, we must say that CZR is in the distress zone and has some risk of bankruptcy.
With a Altman-Z score value of 0.59, CZR is not doing good in the industry: 75.37% of the companies in the same industry are doing better.
A Debt/Equity ratio of 6.06 is on the high side and indicates that CZR has dependencies on debt financing.
CZR has a worse Debt to Equity ratio (6.06) than 61.94% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 6.06 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 0.59 |
ROIC/WACC0.69
WACC8.74%
2.3 Liquidity
CZR has a Current Ratio of 0.84. This is a bad value and indicates that CZR is not financially healthy enough and could expect problems in meeting its short term obligations.
The Current ratio of CZR (0.84) is comparable to the rest of the industry.
CZR has a Quick Ratio of 0.84. This is a bad value and indicates that CZR is not financially healthy enough and could expect problems in meeting its short term obligations.
CZR has a Quick ratio (0.82) which is in line with its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.84 | ||
| Quick Ratio | 0.82 |
3. Growth
3.1 Past
The earnings per share for CZR have decreased by -4.63% in the last year.
The Earnings Per Share has been growing by 24.43% on average over the past years. This is a very strong growth
CZR shows a decrease in Revenue. In the last year, the revenue decreased by -2.20%.
Measured over the past years, CZR shows a very strong growth in Revenue. The Revenue has been growing by 41.17% on average per year.
EPS 1Y (TTM)-4.63%
EPS 3YN/A
EPS 5Y24.43%
EPS Q2Q%-111.76%
Revenue 1Y (TTM)-2.2%
Revenue growth 3Y47.02%
Revenue growth 5Y41.17%
Sales Q2Q%-4.01%
3.2 Future
The Earnings Per Share is expected to grow by 54.89% on average over the next years. This is a very strong growth
The Revenue is expected to grow by 2.97% on average over the next years.
EPS Next Y-67.98%
EPS Next 2Y93.86%
EPS Next 3Y69.2%
EPS Next 5Y54.89%
Revenue Next Year-1.85%
Revenue Next 2Y0.88%
Revenue Next 3Y1.51%
Revenue Next 5Y2.97%
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.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
CZR reported negative earnings for the last year, which makes the Price/Earnings Ratio negative.
Based on the Price/Forward Earnings ratio of 25.93, the valuation of CZR can be described as expensive.
CZR's Price/Forward Earnings ratio is in line with the industry average.
CZR's Price/Forward Earnings ratio indicates a similar valuation than the S&P500 average which is at 22.83.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | 25.93 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, CZR is valued a bit cheaper than the industry average as 73.88% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 8.66 |
4.3 Compensation for Growth
A more expensive valuation may be justified as CZR's earnings are expected to grow with 69.20% in the coming years.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y93.86%
EPS Next 3Y69.2%
5. Dividend
5.1 Amount
CZR does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
CAESARS ENTERTAINMENT INC
NASDAQ:CZR (12/20/2024, 8:04:42 PM)
After market: 32.9 +0.08 (+0.24%)32.82
-0.25 (-0.76%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Services
GICS IndustryHotels, Restaurants & Leisure
Earnings (Last)
Earnings (Next)
Inst Owners106.74%
Inst Owner Change-1.81%
Ins Owners0.72%
Ins Owner Change0.08%
Market Cap6.97B
Analysts76.36
Price Target54.39 (65.72%)
Short Float %7.3%
Short Ratio4.23
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-124.23%
Min EPS beat(2)-132.55%
Max EPS beat(2)-115.91%
EPS beat(4)0
Avg EPS beat(4)-560.2%
Min EPS beat(4)-1227.16%
Max EPS beat(4)-115.91%
EPS beat(8)1
Avg EPS beat(8)-1563.36%
EPS beat(12)2
Avg EPS beat(12)-1086.07%
EPS beat(16)3
Avg EPS beat(16)-834.8%
Revenue beat(2)0
Avg Revenue beat(2)-2.63%
Min Revenue beat(2)-2.68%
Max Revenue beat(2)-2.58%
Revenue beat(4)0
Avg Revenue beat(4)-2.84%
Min Revenue beat(4)-4.26%
Max Revenue beat(4)-1.84%
Revenue beat(8)2
Avg Revenue beat(8)-1.18%
Revenue beat(12)4
Avg Revenue beat(12)-0.96%
Revenue beat(16)7
Avg Revenue beat(16)-0.25%
PT rev (1m)0.08%
PT rev (3m)0.85%
EPS NQ rev (1m)-9.04%
EPS NQ rev (3m)-86.5%
EPS NY rev (1m)0.39%
EPS NY rev (3m)-29.89%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-2.08%
Revenue NY rev (1m)-0.07%
Revenue NY rev (3m)-1.36%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | 25.93 | ||
| P/S | 0.62 | ||
| P/FCF | N/A | ||
| P/OCF | 5.47 | ||
| P/B | 1.67 | ||
| P/tB | N/A | ||
| EV/EBITDA | 8.66 |
EPS(TTM)-1.13
EYN/A
EPS(NY)1.27
Fwd EY3.86%
FCF(TTM)-0.6
FCFYN/A
OCF(TTM)6
OCFY18.27%
SpS53.04
BVpS19.66
TBVpS-51.68
PEG (NY)N/A
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -1.09% | ||
| ROE | -8.64% | ||
| ROCE | 7.65% | ||
| ROIC | 6.04% | ||
| ROICexc | 6.21% | ||
| ROICexgc | 12.59% | ||
| OM | 20.84% | ||
| PM (TTM) | N/A | ||
| GM | 49.37% | ||
| FCFM | N/A |
ROA(3y)-1%
ROA(5y)-1.28%
ROE(3y)-9.9%
ROE(5y)-11.49%
ROIC(3y)5.15%
ROIC(5y)4.57%
ROICexc(3y)5.33%
ROICexc(5y)4.75%
ROICexgc(3y)11.09%
ROICexgc(5y)9.38%
ROCE(3y)6.52%
ROCE(5y)5.78%
ROICexcg growth 3Y216.63%
ROICexcg growth 5Y8.93%
ROICexc growth 3Y200.32%
ROICexc growth 5Y5.9%
OM growth 3Y99%
OM growth 5Y6.02%
PM growth 3YN/A
PM growth 5Y8.09%
GM growth 3Y4.94%
GM growth 5Y1.73%
F-Score3
Asset Turnover0.34
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 6.06 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 6.94 | ||
| Cap/Depr | 108.02% | ||
| Cap/Sales | 12.43% | ||
| Interest Coverage | 1.02 | ||
| Cash Conversion | 34.94% | ||
| Profit Quality | N/A | ||
| Current Ratio | 0.84 | ||
| Quick Ratio | 0.82 | ||
| Altman-Z | 0.59 |
F-Score3
WACC8.74%
ROIC/WACC0.69
Cap/Depr(3y)85.47%
Cap/Depr(5y)73.53%
Cap/Sales(3y)9.61%
Cap/Sales(5y)8.21%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-4.63%
EPS 3YN/A
EPS 5Y24.43%
EPS Q2Q%-111.76%
EPS Next Y-67.98%
EPS Next 2Y93.86%
EPS Next 3Y69.2%
EPS Next 5Y54.89%
Revenue 1Y (TTM)-2.2%
Revenue growth 3Y47.02%
Revenue growth 5Y41.17%
Sales Q2Q%-4.01%
Revenue Next Year-1.85%
Revenue Next 2Y0.88%
Revenue Next 3Y1.51%
Revenue Next 5Y2.97%
EBIT growth 1Y-9.51%
EBIT growth 3Y192.56%
EBIT growth 5Y49.67%
EBIT Next Year51.52%
EBIT Next 3Y18.21%
EBIT Next 5Y13.71%
FCF growth 1Y51.34%
FCF growth 3YN/A
FCF growth 5Y23.97%
OCF growth 1Y80.97%
OCF growth 3YN/A
OCF growth 5Y41.11%