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CVGI

Commercial Vehicle GroupNasdaqGS:CVGI Stock Report

Market Cap

US$296.5m

7D

-1.7%

1Y

23.3%

Updated

26 Nov, 2021

Data

Company Financials +
CVGI fundamental analysis
Snowflake Score
Valuation5/6
Future Growth4/6
Past Performance1/6
Financial Health4/6
Dividends0/6

CVGI Stock Overview

Commercial Vehicle Group, Inc., together with its subsidiaries, designs, manufactures, produces, and sells components and assemblies to the global vehicle and the U.S.

Commercial Vehicle Group Competitors

Cummins

NYSE:CMI

US$31.4b

Federal Signal

NYSE:FSS

US$2.7b

Meritor

NYSE:MTOR

US$1.9b

Alamo Group

NYSE:ALG

US$1.8b

Price History & Performance

Summary of all time highs, changes and price drops for Commercial Vehicle Group
Historical stock prices
Current Share PriceUS$8.99
52 Week HighUS$13.61
52 Week LowUS$7.05
Beta3.53
1 Month Change-10.28%
3 Month Change-15.27%
1 Year Change23.32%
3 Year Change28.80%
5 Year Change73.89%
Change since IPO-31.37%

Recent News & Updates

Aug 30

Commercial Vehicle Group, Inc. Executing Well On Its Transformation Plan

CVG has continued to beat sell-side revenue and EBITDA expectations, as the company benefits from strong commercial vehicle production volumes (trucks and off-road) and strong warehouse automation demand. Management warned of some near-term slowdowns in the warehouse business, and the commercial vehicle business is still a highly cyclical business likely heading toward a 2022 peak. Automation and commercial EVs create significant long-term revenue and margin opportunities, but timing, competition, and margins are all still relevant risk factors. Long-term revenue growth of around 6% and mid-single-digit FCF margins can support a near-term share price of $15, and there's room for management to exceed those targets (and disappoint as well).

Aug 27
Is Commercial Vehicle Group (NASDAQ:CVGI) A Risky Investment?

Is Commercial Vehicle Group (NASDAQ:CVGI) A Risky Investment?

The external fund manager backed by Berkshire Hathaway's Charlie Munger, Li Lu, makes no bones about it when he says...

Aug 10
Commercial Vehicle Group's (NASDAQ:CVGI) Strong Earnings Are Of Good Quality

Commercial Vehicle Group's (NASDAQ:CVGI) Strong Earnings Are Of Good Quality

Even though Commercial Vehicle Group, Inc.'s ( NASDAQ:CVGI ) recent earnings release was robust, the market didn't seem...

Shareholder Returns

CVGIUS MachineryUS Market
7D-1.7%-2.3%-2.7%
1Y23.3%16.5%21.3%

Return vs Industry: CVGI exceeded the US Machinery industry which returned 16.5% over the past year.

Return vs Market: CVGI exceeded the US Market which returned 21.3% over the past year.

Price Volatility

Is CVGI's price volatile compared to industry and market?
CVGI volatility
CVGI Average Weekly Movement5.9%
Machinery Industry Average Movement4.6%
Market Average Movement5.9%
10% most volatile stocks in US Market15.1%
10% least volatile stocks in US Market2.2%

Stable Share Price: CVGI is not significantly more volatile than the rest of US stocks over the past 3 months, typically moving +/- 6% a week.

Volatility Over Time: CVGI's weekly volatility (6%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
20007,200Harold Bevishttps://cvgrp.com

Commercial Vehicle Group, Inc., together with its subsidiaries, designs, manufactures, produces, and sells components and assemblies to the global vehicle and the U.S. technology integrator markets in North America, Europe, and the Asia-Pacific regions. It operates in two segments, Electrical Systems and Global Seating. The Electrical Systems segment offers electrical wire harness assemblies that function as current carrying devices in providing electrical interconnections for gauges, lights, control functions, power circuits, powertrain and transmission sensors, emissions systems, and other electronic applications on commercial and other vehicles; and panel assemblies.

Commercial Vehicle Group Fundamentals Summary

How do Commercial Vehicle Group's earnings and revenue compare to its market cap?
CVGI fundamental statistics
Market CapUS$296.48m
Earnings (TTM)US$16.96m
Revenue (TTM)US$958.67m

17.5x

P/E Ratio

0.3x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
CVGI income statement (TTM)
RevenueUS$958.67m
Cost of RevenueUS$838.40m
Gross ProfitUS$120.27m
ExpensesUS$103.31m
EarningsUS$16.96m

Last Reported Earnings

Sep 30, 2021

Next Earnings Date

n/a

Earnings per share (EPS)0.51
Gross Margin12.55%
Net Profit Margin1.77%
Debt/Equity Ratio148.9%

How did CVGI perform over the long term?

See historical performance and comparison

Valuation

Is Commercial Vehicle Group undervalued compared to its fair value and its price relative to the market?

>50%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: CVGI ($8.99) is trading below our estimate of fair value ($40.33)

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


Price To Earnings Ratio

PE vs Industry: CVGI is good value based on its PE Ratio (17.5x) compared to the US Machinery industry average (30.2x).

PE vs Market: CVGI is poor value based on its PE Ratio (17.5x) compared to the US market (17.2x).


Price to Earnings Growth Ratio

PEG Ratio: CVGI is good value based on its PEG Ratio (0.4x)


Price to Book Ratio

PB vs Industry: CVGI is good value based on its PB Ratio (2.5x) compared to the US Machinery industry average (2.8x).


Future Growth

How is Commercial Vehicle Group forecast to perform in the next 1 to 3 years based on estimates from 3 analysts?

39.2%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: CVGI's forecast earnings growth (39.2% per year) is above the savings rate (2%).

Earnings vs Market: CVGI's earnings (39.2% per year) are forecast to grow faster than the US market (14.3% per year).

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

Revenue vs Market: CVGI's revenue (5.8% per year) is forecast to grow slower than the US market (10.1% per year).

High Growth Revenue: CVGI's revenue (5.8% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: CVGI's Return on Equity is forecast to be high in 3 years time (27.3%)


Past Performance

How has Commercial Vehicle Group performed over the past 5 years?

-19.4%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: CVGI has a high level of non-cash earnings.

Growing Profit Margin: CVGI became profitable in the past.


Past Earnings Growth Analysis

Earnings Trend: CVGI's earnings have declined by 19.4% per year over the past 5 years.

Accelerating Growth: CVGI has become profitable in the last year, making the earnings growth rate difficult to compare to its 5-year average.

Earnings vs Industry: CVGI has become profitable in the last year, making it difficult to compare its past year earnings growth to the Machinery industry (32%).


Return on Equity

High ROE: CVGI's Return on Equity (14.1%) is considered low.


Financial Health

How is Commercial Vehicle Group's financial position?


Financial Position Analysis

Short Term Liabilities: CVGI's short term assets ($392.1M) exceed its short term liabilities ($199.6M).

Long Term Liabilities: CVGI's short term assets ($392.1M) exceed its long term liabilities ($209.0M).


Debt to Equity History and Analysis

Debt Level: CVGI's net debt to equity ratio (121%) is considered high.

Reducing Debt: CVGI's debt to equity ratio has reduced from 310.9% to 148.9% over the past 5 years.

Debt Coverage: CVGI's operating cash flow is negative, therefore debt is not well covered.

Interest Coverage: CVGI's interest payments on its debt are well covered by EBIT (3.3x coverage).


Balance Sheet


Dividend

What is Commercial Vehicle Group current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

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

High Dividend: Unable to evaluate CVGI'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 CVGI's dividends per share have been stable in the past.

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


Current Payout to Shareholders

Dividend Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of CVGI's dividend in 3 years as they are not forecast to pay a notable one for the US market.


Next Steps

Management

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

1.5yrs

Average management tenure


CEO

Harold Bevis (61 yo)

1.67yrs

Tenure

US$2,462,797

Compensation

Mr. Harold C. Bevis serves as President & Chief Executive Officer of Commercial Vehicle Group, Inc. since March 23, 2020. He has been Director of Commercial Vehicle Group, Inc. since June 2014. He served a...


CEO Compensation Analysis

Compensation vs Market: Harold's total compensation ($USD2.46M) is above average for companies of similar size in the US market ($USD1.10M).

Compensation vs Earnings: Harold's compensation has been consistent with company performance over the past year.


Leadership Team

Experienced Management: CVGI's management team is not considered experienced ( 1.5 years average tenure), which suggests a new team.


Board Members

Experienced Board: CVGI's board of directors are not considered experienced ( 2.3 years average tenure), which suggests a new board.


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.


Recent Insider Transactions

Ownership Breakdown

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


Top Shareholders

Company Information

Commercial Vehicle Group, Inc.'s employee growth, exchange listings and data sources


Key Information

  • Name: Commercial Vehicle Group, Inc.
  • Ticker: CVGI
  • Exchange: NasdaqGS
  • Founded: 2000
  • Industry: Construction Machinery and Heavy Trucks
  • Sector: Capital Goods
  • Market Cap: US$296.476m
  • Shares outstanding: 32.98m
  • Website: https://cvgrp.com

Number of Employees


Location

  • Commercial Vehicle Group, Inc.
  • 7800 Walton Parkway
  • New Albany
  • Ohio
  • 43054
  • United States

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/11/26 23:06
End of Day Share Price2021/11/26 00:00
Earnings2021/09/30
Annual Earnings2020/12/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.