Calavo Growers Inc. (NASDAQ:CVGW) has a beta of 1.01, a 12-month trailing P/E ratio of 93.56, and a growth ratio of 6.54. The stock’s Relative Strength Index (RSI) is 53.55, with weekly volatility at 4.42% and ATR at 2.55. The CVGW stock’s 52-week price range has touched low of $48.31 and a $99.71 high. Its shares traded higher over the last trading session, gaining 4.68% on 06/29/20. The shares fell to a low of $58.96 before closing at $61.56. Intraday shares traded counted 87888.0, which was 47.26% higher than its 30-day average trading volume of 166.63K. CVGW’s previous close was $58.81 while the outstanding shares total 17.55M.
Investors have identified the Packaged Foods company Calavo Growers Inc. as an interesting stock but before investments are made there, an in-depth look at its trading activities will have to be conducted. The share is trading with a market value of around $1.13 billion, the company now has both obstacles and catalysts that affect them and they came from their mode of operations. With the company affected by events currently, it is a perfect time to analyze the numbers behind the firm in order to come up with a rather realistic picture of what this stock is.
Calavo Growers Inc. (CVGW) Fundamentals that are to be considered.
When analyzing a stock, the first fundamental thing to take into account is the balance sheet. How healthy the balance sheet of a company is will determine if the company will be able to carry out all its financial and non-financial obligations and also keep the faith of its investors. For CVGW, the company has in raw cash 3.28 million on their books with 0.85 million currently as liabilities. How the trend is over time is what investors should be concerned about. The company has a healthy balance sheet as their debt profile has been on an incline. In terms of their assets, the company currently has 146430000 million total, with 121015000 million as their total liabilities.
CVGW were able to record -8.96 million as free cash flow during the third quarter of the year, this saw their quarterly net cash flow reduce by -4.69 million. In cash movements, the company had a total of -3.02 million as operating cash flow.
Potential earnings growth for Calavo Growers Inc. (CVGW)
In order to determine the future investment potential for this stock, we will have to analyze key trends that affect it. During the third quarter of the year, Calavo Growers Inc. recorded a total of 281.17 million in revenue. This figure implies that they witnessed a quarterly year/year change in their earnings with -1.8% coming in sequential stages and their sales for the third quarter increasing by 2.78%.
What matters though is how it ends. When the core data for the company is broken down, then the stock sounds interesting. The company spent 259.09 million trying to sell their products during the last quarter, with the result yielding a gross income of 22.07 million. This allows shareholders to hold on to 17.55M with the revenue now reading -0.19 cents per share. This is a figure that is close to analyst’s prediction for their fourth quarter (0.40 cents a share).
Having a look at the company’s valuation, the company is expected to record 3.02 total earnings per share during the next fiscal year. It is very important though to remember that the importance of trend far outweighs that of outlook. This analysis has been great and getting further updates on CVGW sounds very interesting.
Is the stock of CVGW attractive?
In related news, Director, Edwards Harold S sold 1,600 shares of the company’s stock in a transaction that recorded on Jun 23. The sale was performed at an average price of 61.42, for a total value of 98,271. As the sale deal closes, the Director, Brown Marc Laurence now sold 1,000 shares of the company’s stock, valued at 63,590. Also, Chairman, President and CEO, COLE LECIL E sold 2,100 shares of the company’s stock in a deal that was recorded on Jan 10. The shares were price at an average price of 83.01 per share, with a total market value of 174,321. Following this completion of acquisition, the Chairman, President & CEO, COLE LECIL E now holds 700 shares of the company’s stock, valued at 58,100. In the last 6 months, insiders have changed their ownership in shares of company stock by 3.90%.
2 out of 4 analysts covering the stock have rated it a Buy, while 2 have maintained a Hold recommendation on Calavo Growers Inc.. 0 analysts has assigned a Sell rating on the CVGW stock. The 12-month mean consensus price target for the company’s shares has been set at $74.00.