Capricorn Metals Ltd
Capricorn Metals Ltd Fundamental Analysis
Capricorn Metals Ltd (CMM.AX) shows strong financial fundamentals with a PE ratio of 22.35, profit margin of 36.24%, and ROE of 22.68%. The company generates $0.7B in annual revenue with strong year-over-year growth of 12.15%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 77.6/100 based on profitability, valuation, growth, and balance sheet metrics. The B grade reflects solid fundamentals with room for improvement in valuation or growth.
Fundamental Health Score
We analyze CMM.AX's fundamental strength across five key dimensions:
Efficiency Score
ExcellentCMM.AX demonstrates superior asset utilization.
Valuation Score
ExcellentCMM.AX trades at attractive valuation levels.
Growth Score
ExcellentCMM.AX delivers strong and consistent growth momentum.
Financial Health Score
ExcellentCMM.AX maintains a strong and stable balance sheet.
Profitability Score
ExcellentCMM.AX achieves industry-leading margins.
Key Financial Metrics
Is CMM.AX Expensive or Cheap?
P/E Ratio
CMM.AX trades at 22.35 times earnings. This indicates a fair valuation.
PEG Ratio
When adjusting for growth, CMM.AX's PEG of 0.45 indicates potential undervaluation.
Price to Book
The market values Capricorn Metals Ltd at 4.10 times its book value. This suggests the stock is fully valued or overvalued on an asset basis.
EV/EBITDA
Enterprise value stands at 17.13 times EBITDA. This signals the market has high growth expectations.
How Well Does CMM.AX Make Money?
Net Profit Margin
For every $100 in sales, Capricorn Metals Ltd keeps $36.24 as profit after all expenses.
Operating Margin
Core operations generate 56.04 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $22.68 in profit for every $100 of shareholder equity.
ROA
Capricorn Metals Ltd generates $14.42 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Capricorn Metals Ltd generates strong operating cash flow of $397.45M, reflecting robust business health.
Free Cash Flow
Capricorn Metals Ltd generates strong free cash flow of $243.52M, providing ample flexibility for dividends, buybacks, or growth.
FCF Per Share
Each share generates $0.53 in free cash annually.
FCF Yield
CMM.AX converts 4.27% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
22.35
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
0.45
vs 25 benchmark
P/B Ratio
Price to book value ratio
4.10
vs 25 benchmark
P/S Ratio
Price to sales ratio
8.49
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
0.03
vs 25 benchmark
Current Ratio
Current assets to current liabilities
3.54
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.23
vs 25 benchmark
ROA
Return on assets percentage
0.14
vs 25 benchmark
ROCE
Return on capital employed
0.24
vs 25 benchmark
How CMM.AX Stacks Against Its Sector Peers
| Metric | CMM.AX Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 22.35 | 24.91 | Better (Cheaper) |
| ROE | 22.68% | 840.00% | Weak |
| Net Margin | 36.24% | -105381.00% (disorted) | Strong |
| Debt/Equity | 0.03 | 0.55 | Strong (Low Leverage) |
| Current Ratio | 3.54 | 4.94 | Strong Liquidity |
| ROA | 14.42% | -4176.00% (disorted) | Strong |
CMM.AX outperforms its industry in 5 out of 6 key metrics, particularly excelling in Net Margin, but lagging in ROE.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews Capricorn Metals Ltd's 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
193949.21%
Industry Style: Cyclical, Commodity, Value
High GrowthEPS CAGR
415.37%
Industry Style: Cyclical, Commodity, Value
High GrowthFCF CAGR
4027.68%
Industry Style: Cyclical, Commodity, Value
High Growth