CAESARS ENTERTAINMENT INC (CZR) Stock Fundamental Analysis
USA - NASDAQ:CZR - US12769G1004 - Common Stock
21.45 USD
-0.28 (-1.29%)
21.65 USD
+0.2 (+0.93%)
We assign a fundamental rating of 2 out of 10 to CZR. CZR was compared to 135 industry peers in the Hotels, Restaurants & Leisure industry. CZR may be in some trouble as it scores bad on both profitability and 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.
CZR had a positive operating cash flow in the past year.
CZR had negative earnings in 4 of the past 5 years.
Of the past 5 years CZR 4 years had a positive operating cash flow.
1.2 Ratios
CZR's Return On Assets of -0.60% is on the low side compared to the rest of the industry. CZR is outperformed by 68.89% of its industry peers.
CZR has a Return On Equity (-5.01%) which is in line with its industry peers.
CZR's Return On Invested Capital of 5.76% is in line compared to the rest of the industry. CZR outperforms 54.81% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for CZR is below the industry average of 10.67%.
The 3 year average ROIC (5.76%) for CZR is below the current ROIC(5.76%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -0.6% | ||
| ROE | -5.01% | ||
| ROIC | 5.76% |
ROA(3y)-0.39%
ROA(5y)-1.74%
ROE(3y)-4.54%
ROE(5y)-14.28%
ROIC(3y)5.76%
ROIC(5y)4.32%
1.3 Margins
CZR's Operating Margin of 19.32% is fine compared to the rest of the industry. CZR outperforms 78.52% of its industry peers.
CZR's Operating Margin has improved in the last couple of years.
With a Gross Margin value of 48.39%, CZR perfoms like the industry average, outperforming 54.81% of the companies in the same industry.
In the last couple of years the Gross Margin of CZR has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 19.32% | ||
| PM (TTM) | N/A | ||
| GM | 48.39% |
OM growth 3Y4.31%
OM growth 5Y2.68%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y0.6%
GM growth 5Y-0.56%
2. Health
2.1 Basic Checks
CZR has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
Compared to 1 year ago, CZR has less shares outstanding
The number of shares outstanding for CZR has been increased compared to 5 years ago.
Compared to 1 year ago, CZR has a worse debt to assets ratio.
2.2 Solvency
CZR has an Altman-Z score of 0.52. This is a bad value and indicates that CZR is not financially healthy and even has some risk of bankruptcy.
With a Altman-Z score value of 0.52, CZR is not doing good in the industry: 74.81% of the companies in the same industry are doing better.
CZR has a debt to FCF ratio of 503.20. This is a negative value and a sign of low solvency as CZR would need 503.20 years to pay back of all of its debts.
CZR's Debt to FCF ratio of 503.20 is on the low side compared to the rest of the industry. CZR is outperformed by 62.96% of its industry peers.
A Debt/Equity ratio of 6.43 is on the high side and indicates that CZR has dependencies on debt financing.
Looking at the Debt to Equity ratio, with a value of 6.43, CZR is doing worse than 62.96% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 6.43 | ||
| Debt/FCF | 503.2 | ||
| Altman-Z | 0.52 |
ROIC/WACC1.11
WACC5.17%
2.3 Liquidity
A Current Ratio of 0.82 indicates that CZR may have some problems paying its short term obligations.
CZR has a Current ratio of 0.82. This is comparable to the rest of the industry: CZR outperforms 44.44% of its industry peers.
A Quick Ratio of 0.81 indicates that CZR may have some problems paying its short term obligations.
CZR has a Quick ratio (0.81) which is in line with its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.82 | ||
| Quick Ratio | 0.81 |
3. Growth
3.1 Past
The earnings per share for CZR have decreased strongly by -22.67% in the last year.
Looking at the last year, CZR shows a decrease in Revenue. The Revenue has decreased by -0.15% in the last year.
CZR shows a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 34.78% yearly.
EPS 1Y (TTM)-22.67%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%-1850%
Revenue 1Y (TTM)-0.15%
Revenue growth 3Y5.52%
Revenue growth 5Y34.78%
Sales Q2Q%2.72%
3.2 Future
Based on estimates for the next years, CZR will show a very strong growth in Earnings Per Share. The EPS will grow by 55.24% on average per year.
The Revenue is expected to grow by 3.61% on average over the next years.
EPS Next Y2.57%
EPS Next 2Y75.21%
EPS Next 3Y54.73%
EPS Next 5Y55.24%
Revenue Next Year2.24%
Revenue Next 2Y2.5%
Revenue Next 3Y2.46%
Revenue Next 5Y3.61%
3.3 Evolution
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
The Price/Earnings Ratio is negative for CZR. In the last year negative earnings were reported.
Based on the Price/Forward Earnings ratio of 27.09, the valuation of CZR can be described as expensive.
CZR's Price/Forward Earnings ratio is in line with the industry average.
CZR is valuated at similar levels of the S&P average when we compare the Price/Forward Earnings ratio to 22.94, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | 27.09 |
4.2 Price Multiples
78.52% of the companies in the same industry are more expensive than CZR, based on the Enterprise Value to EBITDA ratio.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of CZR is on the same level as its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 89.23 | ||
| EV/EBITDA | 8 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
CZR's earnings are expected to grow with 54.73% in the coming years. This may justify a more expensive valuation.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y75.21%
EPS Next 3Y54.73%
5. Dividend
5.1 Amount
No dividends for CZR!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
21.45
-0.28 (-1.29%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Services
GICS IndustryHotels, Restaurants & Leisure
Earnings (Last)
Earnings (Next)
Inst Owners106.67%
Inst Owner Change0.25%
Ins Owners0.93%
Ins Owner Change0%
Market Cap4.46B
Analysts79.13
Price Target42.97 (100.33%)
Short Float %14.99%
Short Ratio4.06
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/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)-535.76%
Min EPS beat(2)-888.04%
Max EPS beat(2)-183.48%
EPS beat(4)1
Avg EPS beat(4)-266.78%
Min EPS beat(4)-888.04%
Max EPS beat(4)136.94%
EPS beat(8)2
Avg EPS beat(8)-394.68%
EPS beat(12)3
Avg EPS beat(12)-1114.77%
EPS beat(16)3
Avg EPS beat(16)-916.08%
Revenue beat(2)1
Avg Revenue beat(2)-0.17%
Min Revenue beat(2)-0.85%
Max Revenue beat(2)0.52%
Revenue beat(4)1
Avg Revenue beat(4)-1.15%
Min Revenue beat(4)-2.68%
Max Revenue beat(4)0.52%
Revenue beat(8)2
Avg Revenue beat(8)-1.52%
Revenue beat(12)4
Avg Revenue beat(12)-0.83%
Revenue beat(16)6
Avg Revenue beat(16)-0.82%
PT rev (1m)-0.28%
PT rev (3m)-1.26%
EPS NQ rev (1m)-25.29%
EPS NQ rev (3m)-86.08%
EPS NY rev (1m)-39.42%
EPS NY rev (3m)-920.49%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-0.95%
Revenue NY rev (1m)0%
Revenue NY rev (3m)0.16%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | 27.09 | ||
| P/S | 0.39 | ||
| P/FCF | 89.23 | ||
| P/OCF | 3.65 | ||
| P/B | 1.15 | ||
| P/tB | N/A | ||
| EV/EBITDA | 8 |
EPS(TTM)-0.92
EYN/A
EPS(NY)0.79
Fwd EY3.69%
FCF(TTM)0.24
FCFY1.12%
OCF(TTM)5.87
OCFY27.37%
SpS54.69
BVpS18.73
TBVpS-51.8
PEG (NY)N/A
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -0.6% | ||
| ROE | -5.01% | ||
| ROCE | 7.29% | ||
| ROIC | 5.76% | ||
| ROICexc | 5.95% | ||
| ROICexgc | 11.98% | ||
| OM | 19.32% | ||
| PM (TTM) | N/A | ||
| GM | 48.39% | ||
| FCFM | 0.44% |
ROA(3y)-0.39%
ROA(5y)-1.74%
ROE(3y)-4.54%
ROE(5y)-14.28%
ROIC(3y)5.76%
ROIC(5y)4.32%
ROICexc(3y)5.94%
ROICexc(5y)4.47%
ROICexgc(3y)12.3%
ROICexgc(5y)9.19%
ROCE(3y)7.29%
ROCE(5y)5.47%
ROICexcg growth 3Y12.39%
ROICexcg growth 5Y-1.47%
ROICexc growth 3Y12.76%
ROICexc growth 5Y-4.07%
OM growth 3Y4.31%
OM growth 5Y2.68%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y0.6%
GM growth 5Y-0.56%
F-Score5
Asset Turnover0.35
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 6.43 | ||
| Debt/FCF | 503.2 | ||
| Debt/EBITDA | 6.98 | ||
| Cap/Depr | 84.12% | ||
| Cap/Sales | 10.3% | ||
| Interest Coverage | 8.08 | ||
| Cash Conversion | 34.02% | ||
| Profit Quality | N/A | ||
| Current Ratio | 0.82 | ||
| Quick Ratio | 0.81 | ||
| Altman-Z | 0.52 |
F-Score5
WACC5.17%
ROIC/WACC1.11
Cap/Depr(3y)93.85%
Cap/Depr(5y)77.92%
Cap/Sales(3y)10.59%
Cap/Sales(5y)9.19%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-22.67%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%-1850%
EPS Next Y2.57%
EPS Next 2Y75.21%
EPS Next 3Y54.73%
EPS Next 5Y55.24%
Revenue 1Y (TTM)-0.15%
Revenue growth 3Y5.52%
Revenue growth 5Y34.78%
Sales Q2Q%2.72%
Revenue Next Year2.24%
Revenue Next 2Y2.5%
Revenue Next 3Y2.46%
Revenue Next 5Y3.61%
EBIT growth 1Y-9.25%
EBIT growth 3Y10.07%
EBIT growth 5Y38.4%
EBIT Next Year70.6%
EBIT Next 3Y22.21%
EBIT Next 5Y16.36%
FCF growth 1Y-93.33%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y-33.28%
OCF growth 3Y-3.11%
OCF growth 5Y28.03%