CVB Financial Corp. Fundamental Analysis (NASDAQ: CVBF)
CVB Financial Corp. Fundamental Analysis (NASDAQ: CVBF)
CVB Financial Corp. (NASDAQ: CVBF) shows moderate financial fundamentals with a PE ratio of 15.06, profit margin of 29.31%, and ROE of 8.22%. The company generates $0.7B in annual revenue with weak year-over-year growth of -2.33%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 42.0/100 based on profitability, valuation, growth, and balance sheet metrics. The D grade reflects weak fundamentals and significant financial concerns.
Fundamental Health Score
We analyze CVBF's fundamental strength across five key dimensions:
Efficiency Score
WeakCVBF struggles to generate sufficient returns from assets.
Valuation Score
ModerateCVBF shows balanced valuation metrics.
Growth Score
WeakCVBF faces weak or negative growth trends.
Financial Health Score
ModerateCVBF shows balanced financial health with some risks.
Profitability Score
ModerateCVBF maintains healthy but balanced margins.
Key Financial Metrics
Is CVBF Expensive or Cheap?
P/E Ratio
CVBF trades at 15.06 times earnings. This indicates a fair valuation.
PEG Ratio
When adjusting for growth, CVBF's PEG of 5.50 indicates potential overvaluation.
Price to Book
The market values CVB Financial Corp. at 0.98 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at 10.67 times EBITDA. This signals the market has high growth expectations.
How Well Does CVBF Make Money?
Net Profit Margin
For every $100 in sales, CVB Financial Corp. keeps $29.31 as profit after all expenses.
Operating Margin
Core operations generate 39.23 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $8.22 in profit for every $100 of shareholder equity.
ROA
CVB Financial Corp. generates $0.98 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
CVB Financial Corp. generates strong operating cash flow of $238.60M, reflecting robust business health.
Free Cash Flow
CVB Financial Corp. generates strong free cash flow of $234.13M, providing ample flexibility for dividends, buybacks, or growth.
FCF Per Share
Each share generates $1.73 in free cash annually.
FCF Yield
CVBF converts 7.75% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
15.06
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
5.50
vs 25 benchmark
P/B Ratio
Price to book value ratio
0.98
vs 25 benchmark
P/S Ratio
Price to sales ratio
4.34
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
0.35
vs 25 benchmark
Current Ratio
Current assets to current liabilities
0.39
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.08
vs 25 benchmark
ROA
Return on assets percentage
0.010
vs 25 benchmark
ROCE
Return on capital employed
0.07
vs 25 benchmark
How CVBF Stacks Against Its Sector Peers
| Metric | CVBF Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 15.06 | 21.04 | Better (Cheaper) |
| ROE | 8.22% | 654.00% | Weak |
| Net Margin | 29.31% | -780.00% (disorted) | Strong |
| Debt/Equity | 0.35 | 0.87 | Strong (Low Leverage) |
| Current Ratio | 0.39 | 877.76 | Weak Liquidity |
| ROA | 0.98% | 6586.00% | Weak |
CVBF outperforms its industry in 3 out of 6 key metrics, particularly excelling in Net Margin, but lagging in ROE.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews CVB Financial Corp.'s 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
32.90%
Industry Style: Value, Dividend, Cyclical
High GrowthEPS CAGR
16.79%
Industry Style: Value, Dividend, Cyclical
High GrowthFCF CAGR
18.25%
Industry Style: Value, Dividend, Cyclical
High Growth