Covista Inc. Fundamental Analysis (NYSE: CVSA)
Covista Inc. Fundamental Analysis (NYSE: CVSA)
Covista Inc. (NYSE: CVSA) shows moderate financial fundamentals with a PE ratio of 17.25, profit margin of 12.87%, and ROE of 17.82%. The company generates $2.0B in annual revenue with strong year-over-year growth of 12.85%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 74.5/100 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 CVSA's fundamental strength across five key dimensions:
Efficiency Score
WeakCVSA struggles to generate sufficient returns from assets.
Valuation Score
ExcellentCVSA trades at attractive valuation levels.
Growth Score
ExcellentCVSA delivers strong and consistent growth momentum.
Financial Health Score
ExcellentCVSA maintains a strong and stable balance sheet.
Profitability Score
ModerateCVSA maintains healthy but balanced margins.
Key Financial Metrics
Is CVSA Expensive or Cheap?
P/E Ratio
CVSA trades at 17.25 times earnings. This indicates a fair valuation.
PEG Ratio
When adjusting for growth, CVSA's PEG of 0.78 indicates potential undervaluation.
Price to Book
The market values Covista Inc. at 3.09 times its book value. This suggests the stock is fully valued or overvalued on an asset basis.
EV/EBITDA
Enterprise value stands at 8.68 times EBITDA. This is generally considered low.
How Well Does CVSA Make Money?
Net Profit Margin
For every $100 in sales, Covista Inc. keeps $12.87 as profit after all expenses.
Operating Margin
Core operations generate 19.72 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $17.82 in profit for every $100 of shareholder equity.
ROA
Covista Inc. generates $8.35 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Covista Inc. produces operating cash flow of $470.41M, showing steady but balanced cash generation.
Free Cash Flow
Covista Inc. generates strong free cash flow of $392.71M, providing ample flexibility for dividends, buybacks, or growth.
FCF Per Share
Each share generates $11.54 in free cash annually.
FCF Yield
CVSA converts 8.76% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
17.25
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
0.78
vs 25 benchmark
P/B Ratio
Price to book value ratio
3.09
vs 25 benchmark
P/S Ratio
Price to sales ratio
2.29
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
0.63
vs 25 benchmark
Current Ratio
Current assets to current liabilities
1.09
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.18
vs 25 benchmark
ROA
Return on assets percentage
0.08
vs 25 benchmark
ROCE
Return on capital employed
0.16
vs 25 benchmark
How CVSA Stacks Against Its Sector Peers
| Metric | CVSA Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 17.25 | 20.66 | Better (Cheaper) |
| ROE | 17.82% | 698.00% | Weak |
| Net Margin | 12.87% | -2238.00% (disorted) | Strong |
| Debt/Equity | 0.63 | 0.77 | Neutral |
| Current Ratio | 1.09 | 2.30 | Neutral |
| ROA | 8.35% | 320.00% | Weak |
CVSA 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 Covista Inc.'s 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
145.96%
Industry Style: Defensive, Dividend, Low Volatility
High GrowthEPS CAGR
66.48%
Industry Style: Defensive, Dividend, Low Volatility
High GrowthFCF CAGR
353.99%
Industry Style: Defensive, Dividend, Low Volatility
High Growth