Covanta Holding Corporation (NYSE:CVA) shares fell to a low of $14.90 before closing at $14.98. Intraday shares traded counted 0.72 million, which was 10.33% higher than its 30-day average trading volume of 807.80K. CVA’s previous close was $14.98 while the outstanding shares total 132.00M. The firm has a beta of 1.42, a 12-month trailing P/E ratio of 340.45, and a growth ratio of 22.70. The stock’s Relative Strength Index (RSI) is 56.15, with weekly volatility at 1.41% and ATR at 0.32. The CVA stock’s 52-week price range has touched low of $7.44 and a $15.60 high. The stock traded lower over the last trading session, losing 0.00% on 06/02/21.
Investors have identified the Waste Management company Covanta Holding Corporation 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 $1.99 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.
Covanta Holding Corporation (CVA) 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 CVA, the company has in raw cash 56.0 million on their books with 36.0 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 397.0 million total, with 374.0 million as their total liabilities.
Potential earnings growth for Covanta Holding Corporation (CVA)
In order to determine the future investment potential for this stock, we will have to analyze key trends that affect it. During the 07/29/2021 quarter of the year, Covanta Holding Corporation recorded a total of 498.0 million in revenue. This figure implies that they witnessed a quarterly year/year change in their earnings with 6.02% coming in sequential stages and their sales for the 07/29/2021 quarter increasing by 1.41%.
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 398.0 million trying to sell their products during the last quarter, with the result yielding a gross income of 100.0 million. This allows shareholders to hold on to 132.00M with the recently reported earning now reading 0.02 cents per share. This is a figure that compared to analyst’s prediction for their 07/29/2021 (0.01 cents a share).
Having a look at the company’s valuation, the company is expected to record 0.22 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 CVA sounds very interesting.
Is the stock of CVA attractive?
In related news, President, Covanta Envir. Sol., Stauder Paul E. sold 3,146 shares of the company’s stock in a transaction that recorded on Nov 05. The sale was performed at an average price of 11.10, for a total value of 34,921. As the sale deal closes, the Director, Broglio Ronald J now sold 6,000 shares of the company’s stock, valued at 62,172. In the last 6 months, insiders have changed their ownership in shares of company stock by 0.90%.
4 out of 7 analysts covering the stock have rated it a Buy, while 3 have maintained a Hold recommendation on Covanta Holding Corporation. 0 analysts has assigned a Sell rating on the CVA stock. The 12-month mean consensus price target for the company’s shares has been set at $17.17.