* Note: Prices are in Million (M) USD.
Description:
Century Communities, Inc. is dedicated to the design, development, construction, marketing and sale of attached and attached single-family homes. The company is headquartered in Greenwood Village, Colorado.
These criteria used Company's Cash, EBITDA and Debt balance to determines its fair value:
Cash : $150 M
Debt : $1,476 M
EBITDA : $376 M
Net Debt (Debt - Cash): $1,326 M
Since EBITDA cannot cover net debt within 3 years, Avoid This Stock.
This criteria used industry in which company operates:
Sector: Consumer Discretionary
Industry: Real Estate - Development
Based on industry, 3 points assigned.
This criteria used Company's Price To Earning (P/E) Ratio to determines its fair value:
Forward PE Ratio: 9.42
Since Forward PE Ratio is less than 15, 5 points assigned.
This criteria used Company's ability to convert Sales into free cash flow to determine fair value:
Average Free Cash Flow: $-37 M
Average Revenue: $2,188 M
Revenue Converted To Free Cash Flow (%): -2%
Avg Free Cash Flow Growth Per Year (Last 5 Years): 122.73%
Since Free Cash Flow (FCF) to Revenue percentage is non-positive, 0 point assigned.
This criteria used company's growth potential to calculate its fair value:
Latest Revenue (2024-12-31): $4,398 M
Revenue 4 Years Ago (2020-12-31): $3,161 M
Last 5 Years Average Revenue Growth: 8%
Since Revenue Growth is between 5 - 10, 2 points assigned.
This criteria used Company's ability to buy back its own share:
Latest Share Count (2024-12-31): $32 M
Share Count 5 Years Ago (2020-12-31): $34 M
Company is buying back its own shares, 3 points assigned.
This criteria used Company's dividend payout ratio to determine its fair value:
Next Year Earnings Per Share (EPS): $5.70
Trailing 12-Month Earnings Per Share (EPS): $8.62
Average Earnings Per Share (EPS): $7.16
Dividend Per Share (DPS): $1
Payout Ratio: 15%
Dividend Yield: 2%
Since company Payout Ratio is less than 50, 2 points assigned.
Since Dividend Yield is greater than 1, 1 point assigned.
This criteria used Company's Return On Equity (ROE%) to determine its fair value:
Average ROE: 13%
Since Average ROE is between 10 - 20, 3 points assigned.
This criteria used Company's current price to its 52 week low price to determines its fair value:
Current Price: $67
52-Week Low: $50
Threshold Price (15% Above 52-Week Low): $58
Since Current price is not within 15% threshold, 0 point assigned.
This criteria used Company's Market Cap to determines its fair value:
Market Capitalization: $1,770 M
Since Market Cap is less than 10B, 1 point assigned.
% Exposure to Total Portfolio
Based on the market cap, we recommend do not exceed 2% exposure of Total Portfolio.
Value-Trade has assigned 20 points to above Century Communities Inc (CCS) stock.
Last 9 Years Avg PE 9.44, Fair Value PE 15, Industry Based PE 10, Growth Based PE 7. Based on these 4 values, average assigned is 10.36.
Value-Trades has assined P/E value 10.36. Since an average (Current Year EPS + Next Year EPS) earning per share is $7.16.
The fair value of Century Communities Inc (CCS) stock should be (10.36 x $7.16) = $74.18
