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Continental Materials

AMEX:CUO
Snowflake Description

Undervalued with excellent balance sheet.

The Snowflake is generated from 30 checks in 5 different areas, read more below.
CUO
AMEX
$27M
Market Cap
  1. Home
  2. US
  3. Capital Goods
Company description

Continental Materials Corporation, together with its subsidiaries, produces and sells heating, ventilation, and air conditioning (HVAC) products; and construction products in North America. The last earnings update was 69 days ago. More info.


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CUO Share Price and Events
7 Day Returns
0%
AMEX:CUO
-1.9%
US Building
-1.2%
US Market
1 Year Returns
-7.4%
AMEX:CUO
1.1%
US Building
3.3%
US Market
CUO Shareholder Return
  7 Day 30 Day 90 Day 1 Year 3 Year 5 Year
Continental Materials (CUO) 0% -5.4% -16.1% -7.4% -6.6% -6.9%
US Building -1.9% 1% 3.9% 1.1% 6.9% 25.2%
US Market -1.2% 0.8% 0.9% 3.3% 35.9% 41.7%
1 Year Return vs Industry and Market
  • CUO underperformed the Building industry which returned 1.1% over the past year.
  • CUO underperformed the Market in United States of America which returned 3.3% over the past year.
Price Volatility
CUO
Industry
5yr Volatility vs Market

CUO Value

 Is Continental Materials undervalued based on future cash flows and its price relative to the stock market?

Value is all about what a company is worth versus what price it is available for. If you went into a grocery store and all the bananas were on sale at half price, they could be considered undervalued.
INTRINSIC VALUE BASED ON FUTURE CASH FLOWS
Here we compare the current share price of Continental Materials to its discounted cash flow analysis.value.

The discounted cash flow value is simply looking at what the company is worth today, based on estimates of how much money it is expected to make in the future.
Raw Data

Below are the data sources, inputs and calculation used to determine the intrinsic value for Continental Materials.

AMEX:CUO Discounted Cash Flow Data Sources
Data Point Source Value
Valuation Model 2 Stage Free Cash Flow to Equity
Levered Free Cash Flow Extrapolated from most recent financials. See below
Discount Rate (Cost of Equity) See below 10%
Perpetual Growth Rate 10-Year US Government Bond Rate 2.7%

An important part of a discounted cash flow is the discount rate, below we explain how it has been calculated.

Calculation of Discount Rate/ Cost of Equity for AMEX:CUO
Data Point Calculation/ Source Result
Risk-Free Rate 10-Year US Govt Bond Rate 2.7%
Equity Risk Premium S&P Global 6%
Building Unlevered Beta Simply Wall St/ S&P Global 1.13
Re-levered Beta = Unlevered beta (1 + (1- tax rate) (Debt/Equity))
= 1.131 (1 + (1- 21%) (22.32%))
1.221
Levered Beta Levered Beta limited to 0.8 to 2.0
(practical range for a stable firm)
1.22
Discount Rate/ Cost of Equity = Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= 2.73% + (1.221 * 5.96%)
10.01%

Discounted Cash Flow Calculation for AMEX:CUO using 2 Stage Free Cash Flow to Equity Model

The calculations below outline how an intrinsic value for Continental Materials is arrived at by discounting future cash flows to their present value using the 2 stage method. We try to start with analysts estimates of free cash flow, however if these are not available we use the most recent financial results. In the 1st stage we continue to grow the free cash flow over a 10 year period, with the growth rate trending towards the perpetual growth rate used in the 2nd stage. The 2nd stage assumes the company grows at a stable rate into perpetuity.

AMEX:CUO DCF 1st Stage: Next 10 year cash flow forecast
Levered FCF (USD, Millions) Source Present Value
Discounted (@ 10.01%)
2020 19.94 Est @ 70.99% 18.12
2021 30.01 Est @ 50.51% 24.79
2022 40.86 Est @ 36.18% 30.69
2023 51.54 Est @ 26.14% 35.19
2024 61.39 Est @ 19.12% 38.11
2025 70.11 Est @ 14.2% 39.56
2026 77.66 Est @ 10.76% 39.83
2027 84.14 Est @ 8.35% 39.23
2028 89.75 Est @ 6.66% 38.04
2029 94.67 Est @ 5.48% 36.47
Present value of next 10 years cash flows $340.04
AMEX:CUO DCF 2nd Stage: Terminal Value
Calculation Result
Terminal Value = FCF2029 × (1 + g) ÷ (Discount Rate – g)
= $94.67 × (1 + 2.73%) ÷ (10.01% – 2.73%)
$1,336.27
Present Value of Terminal Value = Terminal Value ÷ (1 + r)10
= $1,336.27 ÷ (1 + 10.01%)10
$514.80
AMEX:CUO Total Equity Value
Calculation Result
Total Equity Value = Present value of next 10 years cash flows + Terminal Value
= $340.04 + $514.80
$854.84
Equity Value per Share
(USD)
= Total value / Shares Outstanding
= $854.84 / 1.72
$498.31
AMEX:CUO Discount to Share Price
Calculation Result
Value per share (USD) From above. $498.31
Current discount Discount to share price of $15.60
= -1 x ($15.60 - $498.31) / $498.31
96.9%

Learn more about our DCF calculations in Simply Wall St’s analysis model .

Current Discount
Amount off the current price Continental Materials is available for.
Intrinsic value
>50%
Share price is $15.6 vs Future cash flow value of $498.31
Current Discount Checks
For Continental Materials to be considered undervalued it must be available for at least 20% below the current price. Less than 40% is even better.
  • Continental Materials's share price is below the future cash flow value, and at a moderate discount (> 20%).
  • Continental Materials's share price is below the future cash flow value, and at a substantial discount (> 40%).
PRICE RELATIVE TO MARKET
We can also value a company based on what the stock market is willing to pay for it. This is similar to the price of fruit (e.g. Mangoes or Avocados) increasing when they are out of season, or how much your home is worth.

The amount the stock market is willing to pay for Continental Materials's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are Continental Materials's earnings available for a low price, and how does this compare to other companies in the same industry?
Raw Data
AMEX:CUO PE (Price to Earnings) Ratio Data Sources
Data Point Source Value
Earnings Per Share * Company Filings (2019-03-30) in USD $5.25
AMEX:CUO Share Price ** AMEX (2019-07-22) in USD $15.6
United States of America Building Industry PE Ratio Median Figure of 31 Publicly-Listed Building Companies 18.5x
United States of America Market PE Ratio Median Figure of 3,082 Publicly-Listed Companies 17.86x

* Trailing twelve months (TTM) annual GAAP earnings per share excluding extraordinary items.

** Primary Listing of Continental Materials.

AMEX:CUO PE (Price to Earnings) Ratio Calculation
Calculation Outcome
PE Ratio

= AMEX:CUO Share Price ÷ EPS (both in USD)

= 15.6 ÷ 5.25

2.97x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Continental Materials is good value based on earnings compared to the US Building industry average.
  • Continental Materials is good value based on earnings compared to the United States of America market.
Price based on expected Growth
Does Continental Materials's expected growth come at a high price?
Raw Data
AMEX:CUO PEG (Price to Earnings to Growth) Ratio Data Sources
Data Point Source Value
PE Ratio See PE Ratio Section 2.97x
Net Income Annual Growth Rate See Future Growth Section.
Line of Best Fit* through Consensus Estimate Earnings of 0 Analysts
12.6%per year
United States of America Building Industry PEG Ratio Median Figure of 26 Publicly-Listed Building Companies 1.32x
United States of America Market PEG Ratio Median Figure of 2,119 Publicly-Listed Companies 1.57x

*Line of best fit is calculated by linear regression .

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Unable to calculate PEG ratio for Continental Materials, we can't assess if its growth is good value.
Price based on value of assets
What value do investors place on Continental Materials's assets?
Raw Data
AMEX:CUO PB (Price to Book) Ratio Data Sources
Data Point Source Value
Book Value per Share Company Filings (2019-03-30) in USD $36.42
AMEX:CUO Share Price * AMEX (2019-07-22) in USD $15.6
United States of America Building Industry PB Ratio Median Figure of 37 Publicly-Listed Building Companies 2.21x
United States of America Market PB Ratio Median Figure of 5,248 Publicly-Listed Companies 1.79x
AMEX:CUO PB (Price to Book) Ratio Calculation
Calculation Outcome
PB Ratio

= AMEX:CUO Share Price ÷ Book Value per Share (both in USD)

= 15.6 ÷ 36.42

0.43x

* Primary Listing of Continental Materials.

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Continental Materials is good value based on assets compared to the US Building industry average.
X
Value checks
We assess Continental Materials's value by looking at:
  1. Is the discounted cash flow value less than 20%, or 40% of the share price? (2 checks) ( Click here or on bar chart for details of DCF calculation. )
  2. Is the PE ratio less than the market average, and/ or less than the Building industry average (and greater than 0)? (2 checks)
  3. Is the PEG ratio within a reasonable range (0 to 1)? (1 check)
  4. Is the PB ratio less than the Building industry average (and greater than 0)? (1 check)
  5. Continental Materials has a total score of 5/6, see the detailed checks below.

    Note: We use GAAP Earnings per Share in all our calculations including PE and PEG Ratio.

    Full details on the Value part of the Simply Wall St company analysis model.

CUO Future Performance

 How is Continental Materials expected to perform in the next 1 to 3 years based on estimates from 0 analysts?

  • No analysts cover Continental Materials, future earnings growth has been estimated based on fundamentals.
The future performance of a company is measured in the same way as past performance, by looking at estimated growth and how much profit it is expected to make.

Future estimates come from professional analysts. Just like forecasting the weather, they don’t always get it right!
Annual Growth Rate
12.6%
Expected annual growth in earnings.
Earnings growth vs Low Risk Savings
Is Continental Materials expected to grow at an attractive rate?
  • Continental Materials's earnings growth is expected to exceed the low risk savings rate of 2.7%.
Growth vs Market Checks
  • Continental Materials's earnings growth is positive but not above the United States of America market average.
  • Unable to compare Continental Materials's revenue growth to the United States of America market average as no estimate data is available.
Annual Growth Rates Comparison
Raw Data
AMEX:CUO Future Growth Rates Data Sources
Data Point Source Value (per year)
AMEX:CUO Future Earnings Growth Rate Line of Best Fit* through Consensus Estimate Earnings of 0 Analysts 12.6%
United States of America Building Industry Earnings Growth Rate Market Cap Weighted Average 12.5%
United States of America Building Industry Revenue Growth Rate Market Cap Weighted Average 4%
United States of America Market Earnings Growth Rate Market Cap Weighted Average 14%
United States of America Market Revenue Growth Rate Market Cap Weighted Average 7.4%

*Line of best fit is calculated by linear regression .

Industry and Market average data is calculated daily.

Learn more about our growth rate calculations in Simply Wall St’s analysis model.

Analysts growth expectations
Raw Data
AMEX:CUO Analysts Growth Expectations Data Sources
Data Point Source Value
Past Financials Company Filings (3 months ago) See Below
Future Estimates Average of up to 0 Analyst Estimates (S&P Global) See Below
All numbers in USD Millions and using Trailing twelve months (TTM) annual period rather than quarterly.
AMEX:CUO Past Financials Data
Date (Data in USD Millions) Revenue Cash Flow Net Income *
2019-03-30 163 16 9
2018-12-29 164 3 -6
2018-09-29 148 4 -4
2018-06-30 146 3 -2
2018-03-31 142 3 -3
2017-12-30 153 4 2
2017-09-30 150 -2 2
2017-07-01 149 2 2
2017-04-01 151 6 3
2016-12-31 152 8 4
2016-10-01 150 10 4
2016-07-02 148 3 4
2016-04-02 140 2 2

*GAAP earnings excluding extraordinary items.

Super high growth metrics
High Growth Checks
  • Continental Materials's earnings are expected to grow by 12.6% yearly, however this is not considered high growth (20% yearly).
  • Unable to determine if Continental Materials is high growth as no revenue estimate data is available.
Past and Future Earnings per Share
The accuracy of the analysts who estimate the future performance data can be gauged below. We look back 3 years and see if they were any good at predicting what actually occurred. We also show the highest and lowest estimates looking forward to see if there is a wide range.
Raw Data
AMEX:CUO Past and Future Earnings per Share
Data Point Source Value
Past Financials Company Filings (3 months ago) See Below
Future Estimates Average of up to 0 Analyst Estimates (S&P Global) See Below

All data from Continental Materials Company Filings, last reported 3 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

AMEX:CUO Past Financials Data
Date (Data in USD Millions) EPS *
2019-03-30 5.25
2018-12-29 -3.45
2018-09-29 -2.62
2018-06-30 -1.40
2018-03-31 -2.05
2017-12-30 1.08
2017-09-30 1.06
2017-07-01 1.18
2017-04-01 1.65
2016-12-31 2.21
2016-10-01 2.43
2016-07-02 2.15
2016-04-02 1.27

*GAAP earnings excluding extraordinary items.

Performance in 3 years
In the same way as past performance we look at the future estimated return (profit) compared to the available funds. We do this looking forward 3 years.
  • Unable to establish if Continental Materials will efficiently use shareholders’ funds in the future without estimates of Return on Equity.
X
Future performance checks
We assess Continental Materials's future performance by looking at:
  1. Is the annual earnings growth rate expected to beat the low risk savings rate, plus a premium to keep pace with inflation?
  2. Is the annual earnings growth rate expected to beat the average growth rate in earnings of the United States of America market? (1 check)
  3. Is the annual revenue growth rate expected to beat the average growth rate in revenue of the United States of America market? (1 check)
  4. Is the annual earnings growth rate expected to be above 20%? (1 check)
  5. Is the annual revenue growth rate expected to be above 20%? (1 check)
  6. Is the Return on Equity in 3 years expected to be over 20%? (1 check)
Some of the above checks will fail if the company is expected to be loss making in the relevant year.
Continental Materials has a total score of 1/6, see the detailed checks below.

Note 1: We use GAAP Net Income Excluding Exceptional Items for our Earnings in all our calculations.

Full details on the Future part of the Simply Wall St company analysis model.

CUO Past Performance

  How has Continental Materials performed over the past 5 years?

The past performance of a company can be measured by how much growth it has experienced and how much profit it makes relative to the funds and assets it has available.
Past earnings growth
Below we compare Continental Materials's growth in the last year to its industry (Building).
Past Earnings growth analysis
We also check if the company has grown in the past 5 years, and whether it has maintained that growth in the year.
  • Continental Materials has delivered over 20% year on year earnings growth in the past 5 years.
  • Continental Materials has become profitable in the last year making the earnings growth rate difficult to compare to the 5-year average.
  • Continental Materials has become profitable in the last year making it difficult to compare the US Building industry average.
Earnings and Revenue History
Continental Materials's revenue and profit over the past 5 years is shown below, any years where they have experienced a loss will show up in red.
Raw Data

All data from Continental Materials Company Filings, last reported 3 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

AMEX:CUO Past Revenue, Cash Flow and Net Income Data
Date (Data in USD Millions) Revenue Net Income * G+A Expenses R&D Expenses
2019-03-30 163.10 8.93 27.73
2018-12-29 163.98 -5.86 26.23
2018-09-29 147.88 -4.44 23.37
2018-06-30 145.53 -2.37 21.69
2018-03-31 142.12 -3.45 21.81
2017-12-30 152.81 1.82 22.64
2017-09-30 149.61 1.78 22.19
2017-07-01 148.63 1.98 22.48
2017-04-01 151.47 2.76 22.69
2016-12-31 151.59 3.69 22.28
2016-10-01 149.72 4.05 21.29
2016-07-02 148.23 3.57 20.91
2016-04-02 140.38 2.12 20.15
2016-01-02 136.84 1.41 19.67
2015-10-03 135.03 -0.09 19.99
2015-07-04 133.24 -4.74 19.53
2015-04-04 135.74 -4.47 19.16
2015-01-03 131.88 -5.46 18.96
2014-09-27 132.16 -4.66 18.16
2014-06-28 126.66 -0.81 18.12
2014-03-29 122.15 -1.24 17.72
2013-12-28 121.54 -0.86 17.86
2013-09-28 117.85 4.30 16.67
2013-06-29 118.16 4.35 16.69
2013-03-30 115.05 3.66 17.13
2012-12-29 113.23 3.41 17.56
2012-09-29 112.27 -2.07 18.25

*GAAP earnings excluding extraordinary items.

Performance last year
We want to ensure a company is making the most of what it has available. This is done by comparing the return (profit) to a company's available funds, assets and capital.
  • Continental Materials has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).
  • Continental Materials used its assets more efficiently than the US Building industry average last year based on Return on Assets.
  • It is difficult to establish if Continental Materials improved its use of capital last year versus 3 years ago (Return on Capital Employed) as it is currently loss-making.
X
Past performance checks
We assess Continental Materials's performance over the past 5 years by checking for:
  1. Has earnings increased in past 5 years? (1 check)
  2. Has the earnings growth in the last year exceeded that of the Building industry? (1 check)
  3. Is the recent earnings growth over the last year higher than the average annual growth over the past 5 years? (1 check)
  4. Is the Return on Equity (ROE) higher than 20%? (1 check)
  5. Is the Return on Assets (ROA) above industry average? (1 check)
  6. Has the Return on Capital Employed (ROCE) increased from 3 years ago? (1 check)
The above checks will fail if the company has reported a loss in the most recent earnings report. Some checks require at least 3 or 5 years worth of data.
Continental Materials has a total score of 2/6, see the detailed checks below.

Note: We use GAAP Net Income excluding extraordinary items in all our calculations.

Full details on the Past part of the Simply Wall St company analysis model.

CUO Health

 How is Continental Materials's financial health and their level of debt?

A company's financial position is much like your own financial position, it includes everything you own (assets) and owe (liabilities).

The boxes below represent the relative size of what makes up Continental Materials's finances.

The net worth of a company is the difference between its assets and liabilities.
Net Worth
  • Continental Materials is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.
  • Continental Materials's cash and other short term assets cover its long term commitments.
Balance sheet
This treemap shows a more detailed breakdown of Continental Materials's finances. If any of them are yellow this indicates they may be out of proportion and red means they relate to one of the checks below.
Assets
Liabilities and shares
The 'shares' portion represents any funds contributed by the owners (shareholders) and any profits.
  • High level of physical assets or inventory.
  • Debt is covered by short term assets, assets are 89.2x debt.
Historical Debt
Nearly all companies have debt. Debt in itself isn’t bad, however if the debt is too high, or the company can’t afford to pay the interest on its debts this may have impacts in the future.

The graphic below shows equity (available funds) and debt, we ideally want to see the red area (debt) decreasing.

If there is any debt we look at the companies capability to repay it, and whether the level has increased over the past 5 years.
Raw Data

All data from Continental Materials Company Filings, last reported 3 months ago.

AMEX:CUO Past Debt and Equity Data
Date (Data in USD Millions) Total Equity Total Debt Cash & Short Term Investments
2019-03-30 62.47 0.80 35.42
2018-12-29 48.78 2.20 0.59
2018-09-29 49.32 6.70 0.45
2018-06-30 50.56 8.00 0.26
2018-03-31 48.44 5.70 0.41
2017-12-30 54.32 3.50 0.51
2017-09-30 53.95 7.60 0.24
2017-07-01 53.11 7.60 0.33
2017-04-01 52.08 3.20 0.30
2016-12-31 52.20 2.00 0.30
2016-10-01 51.87 1.00 0.24
2016-07-02 50.88 4.70 0.23
2016-04-02 48.92 5.50 0.41
2016-01-02 48.42 6.20 0.55
2015-10-03 47.73 6.70 0.42
2015-07-04 47.17 3.90 0.56
2015-04-04 46.82 4.90 0.78
2015-01-03 46.82 5.80 0.68
2014-09-27 47.62 3.70 0.76
2014-06-28 51.71 5.40 1.02
2014-03-29 51.10 6.69 0.81
2013-12-28 52.06 4.41 0.92
2013-09-28 52.07 3.53 1.13
2013-06-29 52.31 3.66 2.38
2013-03-30 52.25 3.78 0.74
2012-12-29 52.84 3.91 1.73
2012-09-29 47.70 7.83 0.68
  • Continental Materials's level of debt (1.3%) compared to net worth is satisfactory (less than 40%).
  • The level of debt compared to net worth has been reduced over the past 5 years (13% vs 1.3% today).
  • Debt is well covered by operating cash flow (1987.5%, greater than 20% of total debt).
  • Unable to confirm if the interest payments on Continental Materials's debt are well covered by earnings due to lack of past financial data.
X
Financial health checks
We assess Continental Materials's financial health by checking for:
  1. Are short term assets greater than short term liabilities? (1 check)
  2. Are short term assets greater than long term liabilities? (1 check)
  3. Has the debt to equity ratio increased in the past 5 years? (1 check)
  4. Is the debt to equity ratio over 40%? (1 check)
  5. Is the debt covered by operating cash flow? (1 check)
  6. Are earnings greater than 5x the interest on debt (if company pays interest at all)? (1 check)
  7. Continental Materials has a total score of 5/6, see the detailed checks below.
For companies that are loss making and have been so on average in the past we replace the last 2 checks with:
  1. Does cash and short term investments cover stable operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)
  2. Does cash and short term investments cover growing operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)


Full details on the Health part of the Simply Wall St company analysis model.

CUO Dividends

 What is Continental Materials's current dividend yield, its reliability and sustainability?

Dividends are regular cash payments to you from the company, similar to a bank paying you interest on a savings account.
Annual Dividend Income
Dividend payments
0%
Current annual income from Continental Materials dividends.
If you bought $2,000 of Continental Materials shares you are expected to receive $0 in your first year as a dividend.
Dividend Amount
Here we look how much dividend is being paid, if any. Is it above what you can get in a savings account? It is up there with the best dividend paying companies?
  • Unable to evaluate Continental Materials's dividend yield against the bottom 25% of dividend payers as the company has not reported any payouts.
  • Unable to evaluate Continental Materials's dividend against the top 25% market benchmark as the company has not reported any payouts.
Annualized Historical and Future Dividends
It is important to see if the dividend for a company is stable, and not wildly increasing/decreasing each year. This graph shows you the historical rate to count toward your assessment of the stock.

We also check to see if the dividend has increased in the past 10 years.
Raw Data
AMEX:CUO Annualized Past and Future Dividends
Data Point Source Value
Past Annualized Dividend Yield S&P Global Market Data See Below
Past Dividends per Share Company Filings/ Annualized Dividend Payments See Below
Future Dividends per Share Estimates Average of up to 0 Analyst Estimates (S&P Global) See Below
United States of America Building Industry Average Dividend Yield Market Cap Weighted Average of 16 Stocks 1.8%
United States of America Market Average Dividend Yield Market Cap Weighted Average of 2017 Stocks 2.4%
United States of America Minimum Threshold Dividend Yield 10th Percentile 0.8%
United States of America Bottom 25% Dividend Yield 25th Percentile 1.4%
United States of America Top 25% Dividend Yield 75th Percentile 3.8%

Industry and Market average data is calculated daily.

Note all dividend per share amounts are annualized and not quarterly or other period.

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Unable to perform a dividend volatility check as Continental Materials has not reported any payouts.
  • Unable to verify if Continental Materials's dividend has been increasing as the company has not reported any payouts.
Current Payout to shareholders
What portion of Continental Materials's earnings are paid to the shareholders as a dividend.
  • Unable to calculate sustainability of dividends as Continental Materials has not reported any payouts.
Future Payout to shareholders
  • Insufficient estimate data to determine if a dividend will be paid in 3 years and that it will be sustainable.
X
Income/ dividend checks
We assess Continental Materials's dividend by checking for:
  1. Firstly is the company paying a notable dividend (greater than 0.8%) - if not then the rest of the checks are ignored.
  2. Is current dividend yield above the bottom 25% of dividend payers? (1 check)
  3. Is current dividend yield above the top 25% of dividend payers? (1 check)
  4. Have they paid a dividend for 10 years, and during this period has the dividend been volatile (drop of more than 25%)? (1 check)
  5. If they have paid a dividend for 10 years has it increased in this time? (1 check)
  6. How sustainable is the dividend, can Continental Materials afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks)
  7. Continental Materials has a total score of 0/6, see the detailed checks below.


Full details on the Dividends part of the Simply Wall St company analysis model.

CUO Management

 What is the CEO of Continental Materials's salary, the management and board of directors tenure and is there insider trading?

Management is one of the most important areas of a company. We look at unreasonable CEO compensation, how long the team and board of directors have been around for and insider trading.
CEO
James Gidwitz
COMPENSATION $672,899
AGE 72
TENURE AS CEO 36.5 years
CEO Bio

Mr. James G. Gidwitz has been the Chief Executive Officer at Continental Materials Corp. since 1983. Mr. Gidwitz has been the Chairman of Continental Materials Corp. since 1983 and has been its Director since 1978. He serves as a Trustee of The Hotchkiss School. Mr. Gidwitz also formerly served on the Board of the Hoover Institution, an organization associated with Stanford University.

CEO Compensation
  • James's compensation has been consistent with company performance over the past year, both up more than 20%.
  • James's remuneration is higher than average for companies of similar size in United States of America.
Management Team Tenure

Average tenure and age of the Continental Materials management team in years:

1.1
Average Tenure
48
Average Age
  • The average tenure for the Continental Materials management team is less than 2 years, this suggests a new team.
Management Team

James Gidwitz

TITLE
Chairman of the Board & CEO
COMPENSATION
$673K
AGE
72
TENURE
36.5 yrs

Ryan Sullivan

TITLE
President & COO
COMPENSATION
$485K
AGE
46
TENURE
1.1 yrs

Paul Ainsworth

TITLE
CFO, VP
COMPENSATION
$327K
AGE
48
TENURE
0.8 yrs
Board of Directors Tenure

Average tenure and age of the Continental Materials board of directors in years:

24
Average Tenure
74
Average Age
  • The average tenure for the Continental Materials board of directors is over 10 years, this suggests they are a seasoned and experienced board.
Board of Directors

James Gidwitz

TITLE
Chairman of the Board & CEO
COMPENSATION
$673K
AGE
72
TENURE
36.5 yrs

Tom Carmody

TITLE
Independent Director
COMPENSATION
$46K
AGE
73
TENURE
25.5 yrs

Theodore Tetzlaff

TITLE
Director
COMPENSATION
$45K
AGE
75
TENURE
38.5 yrs

Peter Thieriot

TITLE
Independent Director
COMPENSATION
$49K
AGE
76
TENURE
18.5 yrs

Ralph Gidwitz

TITLE
Director
COMPENSATION
$39K
AGE
83
TENURE
35.5 yrs

Darrell Trent

TITLE
Independent Director
COMPENSATION
$45K
AGE
80
TENURE
22.5 yrs

Steve Gidwitz

TITLE
Director
COMPENSATION
$2K
AGE
61
TENURE
0.8 yrs

Scott Gidwitz

TITLE
Director
COMPENSATION
$3K
AGE
31
TENURE
0.8 yrs
Who owns this company?
Recent Insider Trading
  • No 3 month individual insider trading information.
Recent Insider Transactions
Announced Type Name Entity Role Start End Shares Max Price ($) Value ($)
17. Dec 18 Buy Ryan Sullivan Individual 13. Dec 18 13. Dec 18 400 $12.25 $4,900
17. Dec 18 Buy Ryan Sullivan Individual 12. Dec 18 12. Dec 18 200 $12.50 $2,500
13. Dec 18 Buy Paul Ainsworth Individual 12. Dec 18 12. Dec 18 1,000 $12.77 $12,770
X
Management checks
We assess Continental Materials's management by checking for:
  1. Is the CEO's compensation unreasonable compared to market cap? (1 check)
  2. Has the CEO's compensation increased more than 20% whilst the EPS is down more then 20%? (1 check)
  3. Is the average tenure of the management team less than 2 years? (1 check)
  4. Is the average tenure of the board of directors team less than 3 years? (1 check)
  5. Continental Materials has a total score of 0/6, this is not included on the snowflake, see the detailed checks below.


Note: We use the top 6 management executives and board members in our calculations.

Note 2: Insider trading include any internal stakeholders and these transactions .

Full details on the Management part of the Simply Wall St company analysis model.

CUO News

Simply Wall St News

What Kind Of Shareholders Own Continental Materials Corporation (NYSEMKT:CUO)?

Every investor in Continental Materials Corporation (NYSEMKT:CUO) should be aware of the most powerful shareholder groups. … Insider Ownership Of Continental Materials The definition of company insiders can be subjective, and does vary between jurisdictions. … Sometimes insiders have an interest in a public company through a holding in a private company, rather than in their own capacity as an individual.

Simply Wall St -

Did You Miss Continental Materials's (NYSEMKT:CUO) 14% Share Price Gain?

That's what has happened with the Continental Materials Corporation (NYSEMKT:CUO) share price. … One imperfect but simple way to consider how the market perception of a company has shifted is to compare the change in the earnings per share (EPS) with the share price movement. … AMEX:CUO Past and Future Earnings, June 11th 2019 Dive deeper into Continental Materials's key metrics by checking this interactive graph of Continental Materials's earnings, revenue and cash flow.

Simply Wall St -

An Examination Of Continental Materials Corporation (NYSEMKT:CUO)

CUO's has produced operating cash levels of 2.66x total debt over the past year, which implies that CUO's management has put its borrowings into good use by generating enough cash to cover a sufficient portion of borrowings. … CUO's shares are now trading at a price below its true value based on its discounted cash flows, indicating a relatively pessimistic market sentiment. … Also, relative to the rest of its peers with similar levels of earnings, CUO's share price is trading below the group's average.

Simply Wall St -

Is Continental Materials Corporation (NYSEMKT:CUO) Overpaying Its CEO?

First, this article will compare CEO compensation with compensation at similar sized companies. … How Does James Gidwitz's Compensation Compare With Similar Sized Companies. … According to our data, Continental Materials Corporation has a market capitalization of US$31m, and pays its CEO total annual compensation worth US$953k.

Simply Wall St -

What Kind Of Shareholders Own Continental Materials Corporation (NYSEMKT:CUO)?

The big shareholder groups in Continental Materials Corporation (NYSEMKT:CUO) have power over the company. … Continental Materials is a smaller company with a market capitalization of US$33m, so it may still be flying under the radar of many institutional investors. … View our latest analysis for Continental Materials

Simply Wall St -

Are Continental Materials Corporation's (NYSEMKT:CUO) Interest Costs Too High?

Investors are always looking for growth in small-cap stocks like Continental Materials Corporation (NYSEMKT:CUO), with a market cap of US$18m. … However, an important fact which most ignore is: how financially healthy is the business? … the current state of its operations and pathway to profitability.

Simply Wall St -

What Kind Of Shareholder Owns Most Continental Materials Corporation (NYSEMKT:CUO) Stock?

The big shareholder groups in Continental Materials Corporation (NYSEMKT:CUO) have power over the company. … Continental Materials is not a large company by global standards. … Check out our latest analysis for Continental Materials

Simply Wall St -

Does Continental Materials Corporation's (NYSEMKT:CUO) CEO Pay Matter?

Understanding how CEOs are incentivised to run and grow their company is an important aspect of investing in a stock. … This is because, if incentives are aligned, more value is created for shareholders which directly impacts your returns as an investor. … CEOs leading companies of similar size and profitability

Simply Wall St -

Who Owns Most Of Continental Materials Corporation (NYSEMKT:CUO)?

Today, I will be analyzing Continental Materials Corporation’s (NYSEMKT:CUO) recent ownership structure, an important but not-so-popular subject among individual investors. … The implications of these institutions’ actions can either benefit or hinder individual investors, so it is important to understand the ownership composition of your stock investment. … Therefore, it is beneficial for us to examine CUO's ownership structure in more detail.

Simply Wall St -

Continental Materials Corporation (NYSEMKT:CUO): Time For A Financial Health Check

Continental Materials Corporation (NYSEMKT:CUO) is a small-cap stock with a market capitalization of US$27.59m. … While investors primarily focus on the growth potential and competitive landscape of the small-cap companies, they end up ignoring a key aspect, which could be the biggest threat to its existence: its financial health.

Simply Wall St -

CUO Company Info

Description

Continental Materials Corporation, together with its subsidiaries, produces and sells heating, ventilation, and air conditioning (HVAC) products; and construction products in North America. The company’s HVAC Industry Group offers gas-fired wall furnaces, console heaters, and fan coils, as well as evaporative coolers. The company sells its HVAC products through plumbing, heating, and air conditioning wholesale distributors, as well as directly to retail home-centers and other retail outlets; and HVAC installing contractors and equipment manufacturers for commercial applications. Its Construction Products Industry Group provides concrete, aggregates, and construction supplies; and hollow metal and wood doors, door frames and related hardware, lavatory fixtures, and electronic access and security systems. The company primarily sells its construction products to general and sub-contractors, government entities, and individuals. Continental Materials Corporation was founded in 1954 and is headquartered in Chicago, Illinois.

Details
Name: Continental Materials Corporation
CUO
Exchange: AMEX
Founded: 1954
$26,761,597
1,715,487
Website: http://www.continental-materials.com
Address: Continental Materials Corporation
440 South LaSalle Street,
Suite 3100,
Chicago,
Illinois, 60605,
United States
Listings
Exchange Symbol Ticker Symbol Security Exchange Country Currency Listed on
AMEX CUO Common Shares NYSE MKT LLC US USD 02. Jan 1968
Number of employees
Current staff
Staff numbers
612
Continental Materials employees.
Industry
Building Products
Capital Goods
Company Analysis and Financial Data Status
Area Date (UTC time)
Company Analysis updated: 2019/07/22 23:35
End of day share price update: 2019/07/22 00:00
Last earnings filing: 2019/05/14
Last earnings reported: 2019/03/30
Last annual earnings reported: 2018/12/29


All dates and times in UTC. All financial data provided by Standard & Poor’s Capital IQ.

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.