Central Garden & Pet Stock Analysis, Valuation (NASDAQ:CENTA)

Add to My Stocks
$37.24 $0.56 (1.48%) CENTA stock closing price Apr 23, 2018 (Closing)
Watch Robo Advisor Video of CENTA Stock Analysis
Central Garden & Pet
Updated on : Apr 23, 2018
previous close
CENTA 37.2 (0%)
S&P 500 2670.3 (0%)
Closing Price On: Apr 23, 2018
stock rating
RATING: ★★★★★★★★★★ (0/5)
Industry :
Consumer Discretionary-Misc
Sector :
Consumer Discretionary
5 Quarter Revenue
Revenue Growth
2018-Q1
$million
%
YOY GROWTH
Compared to the industry
Long Term Growth
5 Year CAGR:
4.2%
Operating Profit
Operating Margin:
7.6%
Sector Average:
10.4%
5 Quarter Net Profit
Net Margins
2018-Q1
%
LTM Margin
Compared to the industry
Debt/Equity Ratio
Debt:
691.3M
Debt/Equity Ratio:
 1.04
Compared to the industry
Cash Flow
Operating cash flow:
-$24.2M
Net Income:
$26.3M
PROS      CONS
ROIC
ROE
PS Valuation
Long Term Growth
High Debt Burden
Cash Flow
FCF Margin
Rating: ★★★★★★★★★★ (0/5)
Relative Valuation
CENTA PS :
0.9
Industry PS :
1.6
Sector:   Consumer Discretionary.   *PE adjusted for one time items.
Other Metrics
Return on Invested Capital:
11.8%
Return on Equity:
15.8%
Free Cash Flow Margin:
-7.3%
Double Tap To Exit Full Screen
0:00
/

CENTA Stock Analysis

27 5 2

Watch the robo advisor video of Central Garden & Pet stock analysis on Amigobulls. Our CENTA analysis video highlights revenue and profit trends along with other important metrics such as valuation to find what makes the stock attractive.

Note: Amigobulls stock rating is our opinion based on the historical performance of the company's fundamentals. It is not indicative of the future performance of the stock.

Central Garden & Pet Co Stock Rating 2.8/5

Amigobulls CENTA stock analysis uses latest quarter 2018 Q1 financial data like Central Garden & Pet revenue growth, profit margins and cash flows. Central Garden & Pet valuation forms a crucial part of our stock analysis. Based on a company's historical fundamentals we arrive at Central Garden & Pet stock rating which is indicative of the company's financial performance.

Should you buy CENTA stock?

  • CENTA stock is trading at a favorable price to sales multiple of 0.9 as against the Consumer Discretionary-Misc industry average multiple of 1.6.
  • Central Garden & Pet's return on invested capital of 11.8% is good.
  • Return On Equity (ROE) which is a measure of the company's profitability, looks great for Central Garden & Pet at 15.8%.

Should you sell CENTA stock?

  • Over the last 5 years, the company registered a poor revenue growth of 4.2%.
  • With a debt/equity ratio of  1.04, Central Garden & Pet is highly leveraged in comparison to Consumer Discretionary peers.
  • The company has negative Free Cash Flows (FCF), with a negative FCF margin of -7.3%.

Comments on this video and Central Garden & Pet stock

Amigobulls Central Garden & Pet stock analysis helps investors in understanding how the company's fundamentals have performed in the last few quarters. Fundamentals of a company give detailed information which helps in making invesment decisions.

While doing a study of the company financials, Central Garden & Pet revenue growth and profit or net income are two main metrics which help in identifying whether CENTA stock is overvalued or undervalued. Technical analysis comes in handy to check whether the market sentiment is in line with the fundamental picture of the company.