Corpovael. de (BMV:CADU A) - Share price, News & Analysis

Q: What is the Fair Price of CADU A when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

CADU A (MX$2.01) is trading below our estimate of [[fair value]] (MX$4.32)

CADU A fundamental analysis
Snowflake Score
Valuation	5/6
Future Growth	4/6
Past Performance	1/6
Financial Health	2/6
Dividends	0/6

CADU A Stock Overview

Corpovael, S.A.B. de C.V. engages in the design, urbanization, construction, marketing, and commercialization of residential homes in Mexico.

Rewards

Trading at 53.4% below our estimate of its fair value

Earnings are forecast to grow 70.03% per year

Risk Analysis

Interest payments are not well covered by earnings

Shares are highly illiquid

Profit margins (2.3%) are lower than last year (3.8%)

Does not have a meaningful market cap (MX$642M)

Corpovael. de Competitors

Desarrolladora Homex. de

BMV:HOMEX *

Mex$158.0m

Consorcio ARA S. A. B. de C. V

BMV:ARA *

Mex$4.2b

Servicios Corporativos Javer. de

BMV:JAVER *

Mex$4.5b

Vinte Viviendas Integrales. de

BMV:VINTE *

Mex$7.8b

Price History & Performance

Summary of all time highs, changes and price drops for Corpovael. de
Historical stock prices
Current Share Price	Mex$2.01
52 Week High	Mex$4.10
52 Week Low	Mex$1.57
Beta	-0.036
1 Month Change	0%
3 Month Change	-0.50%
1 Year Change	-50.12%
3 Year Change	-85.21%
5 Year Change	-82.27%
Change since IPO	-88.71%

Recent News & Updates

Apr 13

We Think Corpovael. de (BMV:CADUA) Is Taking Some Risk With Its Debt

Some say volatility, rather than debt, is the best way to think about risk as an investor, but Warren Buffett famously...

Shareholder Returns

	CADU A	MX Consumer Durables	MX Market
7D	0%	1.2%	3.1%
1Y	-50.1%	-10.3%	-0.5%

Return vs Industry: CADU A underperformed the MX Consumer Durables industry which returned -10.3% over the past year.

Return vs Market: CADU A underperformed the MX Market which returned -0.5% over the past year.

Price Volatility

Is CADU A's price volatile compared to industry and market?
CADU A volatility
CADU A Average Weekly Movement	n/a
Consumer Durables Industry Average Movement	6.5%
Market Average Movement	4.2%
10% most volatile stocks in MX Market	7.9%
10% least volatile stocks in MX Market	3.0%

Stable Share Price: Insufficient data to determine CADU A's volatility over the past 3 months.

Volatility Over Time: Insufficient data to determine CADU A's volatility change over the past year.

About the Company

Founded	Employees	CEO	Website
2001	9	Pedro Vaca Elguero	https://caduinmobiliaria.com

Corpovael, S.A.B. de C.V. engages in the design, urbanization, construction, marketing, and commercialization of residential homes in Mexico. The company was founded in 2001 and is based in Cancun, Mexico.

Corpovael. de Fundamentals Summary

How do Corpovael. de's earnings and revenue compare to its market cap?
CADU A fundamental statistics
Market Cap	Mex$641.54m
Earnings (TTM)	Mex$71.60m
Revenue (TTM)	Mex$3.12b

9.0x

P/E Ratio

0.2x

P/S Ratio

Is CADU A overvalued?

See Fair Value and valuation analysis

Earnings & Revenue

Key profitability statistics from the latest earnings report
CADU A income statement (TTM)
Revenue	Mex$3.12b
Cost of Revenue	Mex$2.36b
Gross Profit	Mex$757.89m
Other Expenses	Mex$686.29m
Earnings	Mex$71.60m

Last Reported Earnings

Jun 30, 2022

Next Earnings Date

n/a

Earnings per share (EPS)	0.22
Gross Margin	24.31%
Net Profit Margin	2.30%
Debt/Equity Ratio	73.6%

How did CADU A perform over the long term?

See historical performance and comparison

We’ve recently updated our valuation analysis.

Valuation

Is CADU A undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

5/6

Valuation Score 5/6

Price-To-Earnings vs Peers
Price-To-Earnings vs Industry
Price-To-Earnings vs Fair Ratio
Below Fair Value
Significantly Below Fair Value
Analyst Forecast

Key Valuation Metric

Which metric is best to use when looking at relative valuation for CADU A?

Other financial metrics that can be useful for relative valuation.

The above table shows the n/a ratio for CADU A. This is calculated by dividing CADU A's market cap by their current preferred multiple.
What is CADU A's n/a Ratio?
n/a Ratio	0x
n/a	n/a
Market Cap	Mex$641.54m

CADU A key valuation metrics and ratios. From Price to Earnings, Price to Sales and Price to Book to Price to Earnings Growth Ratio, Enterprise Value and EBITDA.
Key Statistics
Enterprise Value/Revenue	1.2x
Enterprise Value/EBITDA	13x
PEG Ratio	0.1x

Price to Earnings Ratio vs Peers

How does CADU A's PE Ratio compare to its peers?

CADU A PE Ratio vs Peers

The above table shows the PE ratio for CADU A vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
Company	PE	Estimated Growth	Market Cap
Peer Average	27.5x
HOMEX * Desarrolladora Homex. de	55.6x	n/a	Mex$158.0m
ARA * Consorcio ARA S. A. B. de C. V	7.2x	12.5%	Mex$4.2b
JAVER * Servicios Corporativos Javer. de	27x	32.0%	Mex$4.5b
VINTE * Vinte Viviendas Integrales. de	20.2x	n/a	Mex$7.8b
CADU A Corpovael. de	9x	70.0%	Mex$641.5m

Price-To-Earnings vs Peers: CADU A is good value based on its Price-To-Earnings Ratio (9x) compared to the peer average (27.5x).

Price to Earnings Ratio vs Industry

How does CADU A's PE Ratio compare vs other companies in the South American Consumer Durables Industry?

Price-To-Earnings vs Industry: CADU A is good value based on its Price-To-Earnings Ratio (9x) compared to the MX Consumer Durables industry average (15.5x)

Price to Earnings Ratio vs Fair Ratio

What is CADU A's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

CADU A PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio	9x
Fair PE Ratio	16.9x

Price-To-Earnings vs Fair Ratio: CADU A is good value based on its Price-To-Earnings Ratio (9x) compared to the estimated Fair Price-To-Earnings Ratio (16.9x).

Share Price vs Fair Value

What is the Fair Price of CADU A when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: CADU A (MX$2.01) is trading below our estimate of fair value (MX$4.32)

Significantly Below Fair Value: CADU A is trading below fair value by more than 20%.

Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

Analyst Forecast: Insufficient data to show price forecast.

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Future Growth

How is Corpovael. de forecast to perform in the next 1 to 3 years based on estimates from 1 analyst?

Future Growth Score

4/6

Future Growth Score 4/6

Earnings vs Savings Rate
Earnings vs Market
High Growth Earnings
Revenue vs Market
High Growth Revenue
Future ROE

70.0%

Forecasted annual earnings growth

Earnings and Revenue Growth Forecasts

Analyst Future Growth Forecasts

Earnings vs Savings Rate: CADU A's forecast earnings growth (70% per year) is above the savings rate (7.2%).

Earnings vs Market: CADU A's earnings (70% per year) are forecast to grow faster than the MX market (10.5% per year).

High Growth Earnings: CADU A's earnings are expected to grow significantly over the next 3 years.

Revenue vs Market: CADU A's revenue (15.2% per year) is forecast to grow faster than the MX market (6.2% per year).

High Growth Revenue: CADU A's revenue (15.2% per year) is forecast to grow slower than 20% per year.

Earnings per Share Growth Forecasts

Future Return on Equity

Future ROE: Insufficient data to determine if CADU A's Return on Equity is forecast to be high in 3 years time

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Past Performance

How has Corpovael. de performed over the past 5 years?

Past Performance Score

1/6

Past Performance Score 1/6

Quality Earnings
Growing Profit Margin
Earnings Trend
Accelerating Growth
Earnings vs Industry
High ROE

-36.9%

Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: CADU A has high quality earnings.

Growing Profit Margin: CADU A's current net profit margins (2.3%) are lower than last year (3.8%).

Past Earnings Growth Analysis

Earnings Trend: CADU A's earnings have declined by 36.9% per year over the past 5 years.

Accelerating Growth: CADU A's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: CADU A had negative earnings growth (-47.1%) over the past year, making it difficult to compare to the Consumer Durables industry average (-25%).

Return on Equity

High ROE: CADU A's Return on Equity (1.5%) is considered low.

Discover strong past performing companies

Financial Health

How is Corpovael. de's financial position?

Financial Health Score

2/6

Financial Health Score 2/6

Short Term Liabilities
Long Term Liabilities
Debt Level
Reducing Debt
Debt Coverage
Interest Coverage

Financial Position Analysis

Short Term Liabilities: CADU A's short term assets (MX$7.2B) exceed its short term liabilities (MX$3.2B).

Long Term Liabilities: CADU A's short term assets (MX$7.2B) exceed its long term liabilities (MX$2.6B).

Debt to Equity History and Analysis

Debt Level: CADU A's net debt to equity ratio (64%) is considered high.

Reducing Debt: CADU A's debt to equity ratio has increased from 61% to 73.6% over the past 5 years.

Debt Coverage: CADU A's debt is not well covered by operating cash flow (7%).

Interest Coverage: CADU A's interest payments on its debt are not well covered by EBIT (3x coverage).

Balance Sheet

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Dividend

What is Corpovael. de current dividend yield, its reliability and sustainability?

Dividend Score

0/6

Dividend Score 0/6

Notable Dividend
High Dividend
Stable Dividend
Growing Dividend
Earnings Coverage
Cash Flow Coverage

Dividend Yield vs Market

Notable Dividend: Unable to evaluate CADU A's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.

High Dividend: Unable to evaluate CADU A's dividend yield against the top 25% of dividend payers, as the company has not reported any recent payouts.

Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if CADU A's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if CADU A's dividend payments have been increasing.

Earnings Payout to Shareholders

Earnings Coverage: CADU A is not paying a notable dividend for the MX market.

Cash Payout to Shareholders

Cash Flow Coverage: Unable to calculate sustainability of dividends as CADU A has not reported any payouts.

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Management

How experienced are the management team and are they aligned to shareholders interests?

13.6yrs

Average board tenure

CEO

Pedro Vaca Elguero (62 yo)

no data

Tenure

Mr. Pedro Vaca Elguero serves as President and Chief Executive Officer of CADU. Mr. Vaca Elguero was Founding Partner, President, Chief Executive Officer and Chairman of the Board at Teñedos San Juan SA de...

Board Members

Experienced Board: CADU A's board of directors are seasoned and experienced ( 13.6 years average tenure).

Ownership

Who are the major shareholders and have insiders been buying or selling?

Insider Trading Volume

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.

Data	Last Updated (UTC time)
Company Analysis	2022/08/14 00:00
End of Day Share Price	2022/07/01 00:00
Earnings	2022/06/30
Annual Earnings	2021/12/31