Cool Company Ltd.
Cool Company Ltd. Fundamental Analysis
Cool Company Ltd. (CLCO) shows moderate financial fundamentals with a PE ratio of 8.74, profit margin of 17.84%, and ROE of 7.63%. The company generates $0.3B in annual revenue with weak year-over-year growth of -10.76%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 7.4/100 based on profitability, valuation, growth, and balance sheet metrics. The F grade reflects weak fundamentals and significant financial concerns.
Fundamental Health Score
We analyze CLCO's fundamental strength across five key dimensions:
Efficiency Score
WeakCLCO struggles to generate sufficient returns from assets.
Valuation Score
ExcellentCLCO trades at attractive valuation levels.
Growth Score
WeakCLCO faces weak or negative growth trends.
Financial Health Score
WeakCLCO carries high financial risk with limited liquidity.
Profitability Score
WeakCLCO struggles to sustain strong margins.
Key Financial Metrics
Is CLCO Expensive or Cheap?
P/E Ratio
CLCO trades at 8.74 times earnings. This suggests potential undervaluation.
PEG Ratio
When adjusting for growth, CLCO's PEG of -0.61 indicates potential undervaluation.
Price to Book
The market values Cool Company Ltd. at 0.65 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at -3.68 times EBITDA. This is generally considered low.
How Well Does CLCO Make Money?
Net Profit Margin
For every $100 in sales, Cool Company Ltd. keeps $17.84 as profit after all expenses.
Operating Margin
Core operations generate 43.06 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $7.63 in profit for every $100 of shareholder equity.
ROA
Cool Company Ltd. generates $2.56 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Cool Company Ltd. generates strong operating cash flow of $140.06M, reflecting robust business health.
Free Cash Flow
Cool Company Ltd. generates weak or negative free cash flow of $-344.14M, restricting financial flexibility.
FCF Per Share
Each share generates $-6.51 in free cash annually.
FCF Yield
CLCO converts -68.09% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
8.74
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
-0.61
vs 25 benchmark
P/B Ratio
Price to book value ratio
0.65
vs 25 benchmark
P/S Ratio
Price to sales ratio
1.54
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
1.74
vs 25 benchmark
Current Ratio
Current assets to current liabilities
0.85
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.08
vs 25 benchmark
ROA
Return on assets percentage
0.03
vs 25 benchmark
ROCE
Return on capital employed
0.07
vs 25 benchmark
How CLCO Stacks Against Its Sector Peers
| Metric | CLCO Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 8.74 | 26.76 | Better (Cheaper) |
| ROE | 7.63% | 1300.00% | Weak |
| Net Margin | 17.84% | -29570.00% (disorted) | Strong |
| Debt/Equity | 1.74 | 0.79 | Weak (High Leverage) |
| Current Ratio | 0.85 | 10.68 | Weak Liquidity |
| ROA | 2.56% | -1545134.00% (disorted) | Weak |
CLCO outperforms its industry in 2 out of 6 key metrics, particularly excelling in Net Margin, but lagging in ROE.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews Cool Company Ltd.'s 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
-96.26%
Industry Style: Cyclical, Value, Infrastructure
DecliningEPS CAGR
-91.56%
Industry Style: Cyclical, Value, Infrastructure
DecliningFCF CAGR
-97.62%
Industry Style: Cyclical, Value, Infrastructure
Declining