Caesarstone Ltd.
Find Ratings ReportsCAESARSTONE LTD's gross profit margin for the fourth quarter of its fiscal year 2023 is essentially unchanged when compared to the same period a year ago. Even though sales decreased, the net income has increased. CAESARSTONE LTD has average liquidity. Currently, the Quick Ratio is 1.30 which shows that technically this company has the ability to cover short-term cash needs. The company's liquidity has increased from the same period last year, indicating improving cash flow.
At the same time, stockholders' equity ("net worth") has significantly decreased by 25.17% from the same quarter last year. Together, the key liquidity measurements indicate that it is relatively unlikely that the company will face financial difficulties in the near future.
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Income Statement | Q4 FY23 | Q4 FY22 |
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Net Sales ($mil) | 128.53 | 159.37 |
EBITDA ($mil) | 1.19 | 4.95 |
EBIT ($mil) | -6.11 | -4.18 |
Net Income ($mil) | -50.52 | -73.97 |
Balance Sheet | Q4 FY23 | Q4 FY22 |
---|---|---|
Cash & Equiv. ($mil) | 91.12 | 59.16 |
Total Assets ($mil) | 579.86 | 752.98 |
Total Debt ($mil) | 122.07 | 178.34 |
Equity ($mil) | 315.06 | 421.05 |
Profitability | Q4 FY23 | Q4 FY22 |
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Gross Profit Margin | 25.19 | 25.28 |
EBITDA Margin | 0.92 | 3.1 |
Operating Margin | -4.75 | -2.62 |
Sales Turnover | 0.97 | 0.92 |
Return on Assets | -18.56 | -7.57 |
Return on Equity | -34.17 | -13.55 |
Debt | Q4 FY23 | Q4 FY22 |
---|---|---|
Current Ratio | 2.64 | 2.47 |
Debt/Capital | 0.28 | 0.3 |
Interest Expense | 0.0 | 0.0 |
Interest Coverage | 0.0 | 0.0 |
Share Data | Q4 FY23 | Q4 FY22 |
---|---|---|
Shares outstanding (mil) | 34.51 | 34.51 |
Div / share | 0.0 | 0.0 |
EPS | -1.47 | -2.15 |
Book value / share | 9.13 | 12.2 |
Institutional Own % | n/a | n/a |
Avg Daily Volume | 48469.0 | 43103.0 |
SELL. The current P/E ratio is negative, which has no meaningful value in the assessment of premium or discount valuation, it simply displays that the company has negative earnings. For additional comparison, its price-to-book ratio of 0.45 indicates a significant discount versus the S&P 500 average of 4.68 and a significant discount versus the subsector average of 4.15. The price-to-sales ratio is well below both the S&P 500 average and the subsector average, indicating a discount. After reviewing these and other key valuation criteria, CAESARSTONE LTD proves to trade at a discount to investment alternatives.
Price/Earnings |
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Price/Cash Flow |
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CSTE NM | Peers 27.83 | CSTE 2.15 | Peers 15.03 | |||||||||||||||||||||
Neutral. The absence of a valid P/E ratio happens when a stock can not be valued on the basis of a negative stream of earnings. CSTE's P/E is negative making this valuation measure meaningless. |
Discount. The P/CF ratio, a stock’s price divided by the company's cash flow from operations, is useful for comparing companies with different capital requirements or financing structures. CSTE is trading at a significant discount to its peers. |
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Price/Projected Earnings |
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Price to Earnings/Growth |
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CSTE NM | Peers 15.50 | CSTE NA | Peers 0.89 | |||||||||||||||||||||
Neutral. The absence of a valid price-to-projected earnings ratio happens when a stock can not be valued on the basis of a negative expected future earnings. CSTE's ratio is negative making this valuation measure meaningless. |
Neutral. The PEG ratio is the stock’s P/E divided by the consensus estimate of long-term earnings growth. Faster growth can justify higher price multiples. Ratio not available. |
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Price/Book |
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Earnings Growth |
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CSTE 0.45 | Peers 4.15 | CSTE -87.42 | Peers 59.56 | |||||||||||||||||||||
Discount. A lower price-to-book ratio makes a stock more attractive to investors seeking stocks with lower market values per dollar of equity on the balance sheet. CSTE is trading at a significant discount to its peers. |
Lower. Elevated earnings growth rates can lead to capital appreciation and justify higher price-to-earnings ratios. However, CSTE is expected to significantly trail its peers on the basis of its earnings growth rate. |
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Price/Sales |
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Sales Growth |
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CSTE 0.25 | Peers 2.28 | CSTE -18.18 | Peers 6.46 | |||||||||||||||||||||
Discount. In the absence of P/E and P/B multiples, the price-to-sales ratio can display the value investors are placing on each dollar of sales. CSTE is trading at a significant discount to its subsector on this measurement. |
Lower. A sales growth rate that trails the subsector implies that a company is losing market share. CSTE significantly trails its peers on the basis of sales growth. |
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