Centrus Energy Corp.
Centrus Energy Corp. Fundamental Analysis
Centrus Energy Corp. (LEU) shows weak financial fundamentals with a PE ratio of 60.01, profit margin of 13.40%, and ROE of 10.71%. The company generates $0.4B in annual revenue with weak year-over-year growth of 1.52%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 32.4/100 based on profitability, valuation, growth, and balance sheet metrics. The F grade reflects weak fundamentals and significant financial concerns.
Fundamental Health Score
We analyze LEU's fundamental strength across five key dimensions:
Efficiency Score
WeakLEU struggles to generate sufficient returns from assets.
Valuation Score
ModerateLEU shows balanced valuation metrics.
Growth Score
WeakLEU faces weak or negative growth trends.
Financial Health Score
ModerateLEU shows balanced financial health with some risks.
Profitability Score
WeakLEU struggles to sustain strong margins.
Key Financial Metrics
Is LEU Expensive or Cheap?
P/E Ratio
LEU trades at 60.01 times earnings. This suggests a premium valuation.
PEG Ratio
When adjusting for growth, LEU's PEG of -1.23 indicates potential undervaluation.
Price to Book
The market values Centrus Energy Corp. at 4.69 times its book value. This suggests the stock is fully valued or overvalued on an asset basis.
EV/EBITDA
Enterprise value stands at 57.43 times EBITDA. This signals the market has high growth expectations.
How Well Does LEU Make Money?
Net Profit Margin
For every $100 in sales, Centrus Energy Corp. keeps $13.40 as profit after all expenses.
Operating Margin
Core operations generate 6.74 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $10.71 in profit for every $100 of shareholder equity.
ROA
Centrus Energy Corp. generates $2.49 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Centrus Energy Corp. generates limited operating cash flow of $-19.75M, signaling weaker underlying cash strength.
Free Cash Flow
Centrus Energy Corp. generates weak or negative free cash flow of $-58.86M, restricting financial flexibility.
FCF Per Share
Each share generates $-3.11 in free cash annually.
FCF Yield
LEU converts -1.81% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
60.006
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
-1.23
vs 25 benchmark
P/B Ratio
Price to book value ratio
4.69
vs 25 benchmark
P/S Ratio
Price to sales ratio
7.71
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
1.52
vs 25 benchmark
Current Ratio
Current assets to current liabilities
5.72
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.11
vs 25 benchmark
ROA
Return on assets percentage
0.02
vs 25 benchmark
ROCE
Return on capital employed
0.02
vs 25 benchmark
How LEU Stacks Against Its Sector Peers
| Metric | LEU Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 60.01 | 21.45 | Worse (Expensive) |
| ROE | 10.71% | 999.00% | Weak |
| Net Margin | 13.40% | -59691.00% (disorted) | Strong |
| Debt/Equity | 1.52 | -0.48 (disorted) | Distorted |
| Current Ratio | 5.72 | 5.10 | Strong Liquidity |
| ROA | 2.49% | -11000615.00% (disorted) | Weak |
LEU outperforms its industry in 2 out of 6 key metrics, particularly excelling in Net Margin, but lagging in P/E Ratio.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews Centrus Energy Corp.'s 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
-0.74%
Industry Style: Cyclical, Value, Commodity
DecliningEPS CAGR
-21.79%
Industry Style: Cyclical, Value, Commodity
DecliningFCF CAGR
-58.44%
Industry Style: Cyclical, Value, Commodity
Declining