Care.com Stock Analysis, Valuation (NYSE:CRCM)

Add to My Stocks
$21.12 $0 (0%) CRCM stock closing price Jul 19, 2018 (Closing)

Take a look at Amigobulls Care.com stock analysis video. This is our analyst opinion covering the buy and sell arguments for CRCM stock.

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.

Care.com Inc Stock Rating 3.1/5

Amigobulls CRCM stock analysis relies on business fundamentals such as Care.com revenue growth, profits and return on equity measures from the latest quarter 2018 Q1 earnings. Care.com valuation forms a crucial part of our stock analysis. Our Care.com stock rating is based on company's fundamentals like balance sheet risk and cash flow position.

Should you buy CRCM stock?

  • Care.com's return on invested capital of 10.1 is good.
  • The LTM ROE of 15.3 for Care.com is attractive.
  • The company has a healthy free cash flow margin of 19.6.

Should you sell CRCM stock?

  • Care.com's TTM operating margin of 3.71 was rather poor.
  • The CRCM stock currently trades at a PE of 60.3, which is expensive, compared to the sector average of 22.9.
  • The company is trading at a price to sales multiple of 3.6, which is higher in comparison to the Consumer Discretionary sector average of 1.6, making CRCM stock expensive.

Comments on this video and Care.com stock

Amigobulls Care.com stock analysis helps investors in understanding how the company's fundamentals have performed in the last few quarters. Fundamental analysis of a company is the most often used approach to find the intrinsic value of a stock.

While doing a study of the company financials, Care.com revenue growth and profit or net income are two main metrics which help in identifying whether CRCM 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.