Constellium Stock Analysis, Valuation (NYSE:CSTM)

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$11.3 $0.05 (0.44%) CSTM stock closing price Aug 17, 2018 (Closing)

Watch the robo advisor video of Constellium stock analysis on Amigobulls. This video puts forward our latest analysis highlighting the pros and cons for CSTM 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.

Constellium NV Stock Rating 1.8/5

Amigobulls CSTM stock analysis takes into account various financial ratios like relative valuation, Constellium revenue, growth and return on equity based on latest quarter 2018 Q2 financial statements. We also check Constellium dividend performance. Constellium valuation forms a crucial part of our stock analysis. Constellium stock rating is our opinion about the business fundamentals of the company.

Should you buy CSTM stock?

  • When compared with the Industrial Products sector average PS ratio of 1.4, the price-to-sales ratio of 0.2 for CSTM stock is attractive.

Should you sell CSTM stock?

  • Constellium's TTM operating margin of 5.31 was rather poor.
  • Over the last 12 months, Constellium had an average Net loss of -0.5%.
  • The company has an operating cash flow which is 0.34 times the net income. This is not a healthy sign.
  • The CSTM stock currently trades at a PE of 102.7, which is expensive, compared to the sector average of 20.5.
  • The company has a negative Return on Invested Capital of -7.1, which is a red flag.
  • The company has a negative free cash flow margin of -2.

Comments on this video and Constellium stock

Amigobulls Constellium stock analysis helps in evaluating the financial statements of a company to arrive at a conclusion about the fair value of CSTM stock. Fundamental analysis of a company is the most often used approach to find the intrinsic value of a stock.

Constellium revenue growth is an indicator of the demand for a company's products while profit margin is indicative of company's pricing power and pricing strategy. Investors could make use of CSTM technical analysis to check whether the fundamental story is reflected in the market sentiment.