| Snowflake Score | |
|---|---|
| Valuation | 3/6 |
| Future Growth | 3/6 |
| Past Performance | 4/6 |
| Financial Health | 6/6 |
| Dividends | 0/6 |
CECE Stock Overview
CECO Environmental Corp. provides industrial air quality and fluid handling systems worldwide.
CECO Environmental Competitors
Price History & Performance
| Historical stock prices | |
|---|---|
| Current Share Price | US$9.92 |
| 52 Week High | US$10.15 |
| 52 Week Low | US$4.09 |
| Beta | 1.26 |
| 1 Month Change | 60.00% |
| 3 Month Change | 68.42% |
| 1 Year Change | 43.77% |
| 3 Year Change | 40.71% |
| 5 Year Change | 39.72% |
| Change since IPO | 176.04% |
Recent News & Updates
Shareholder Returns
| CECE | US Commercial Services | US Market | |
|---|---|---|---|
| 7D | 10.6% | 2.5% | 3.6% |
| 1Y | 43.8% | 1.1% | -9.6% |
Return vs Industry: CECE exceeded the US Commercial Services industry which returned 1.1% over the past year.
Return vs Market: CECE exceeded the US Market which returned -9.6% over the past year.
Price Volatility
| CECE volatility | |
|---|---|
| CECE Average Weekly Movement | 6.8% |
| Commercial Services Industry Average Movement | 6.6% |
| Market Average Movement | 7.7% |
| 10% most volatile stocks in US Market | 16.9% |
| 10% least volatile stocks in US Market | 3.2% |
Stable Share Price: CECE is not significantly more volatile than the rest of US stocks over the past 3 months, typically moving +/- 7% a week.
Volatility Over Time: CECE's weekly volatility (7%) has been stable over the past year.
About the Company
| Founded | Employees | CEO | Website |
|---|---|---|---|
| 1966 | 730 | Todd Gleason | https://www.cecoenviro.com |
CECO Environmental Corp. provides industrial air quality and fluid handling systems worldwide. It operates in two segments: Engineered Systems Segment and Industrial Process Solutions Segment. The company engineers, designs, builds, and installs systems that capture, clean, and destroy air- and water-borne emissions from industrial facilities as well as fluid handling, gas separation, and filtration systems.
CECO Environmental Fundamentals Summary
| CECE fundamental statistics | |
|---|---|
| Market Cap | US$342.23m |
| Earnings (TTM) | US$7.13m |
| Revenue (TTM) | US$371.38m |
48.0x
P/E Ratio0.9x
P/S RatioIs CECE overvalued?
See Fair Value and valuation analysisEarnings & Revenue
| CECE income statement (TTM) | |
|---|---|
| Revenue | US$371.38m |
| Cost of Revenue | US$262.02m |
| Gross Profit | US$109.36m |
| Other Expenses | US$102.23m |
| Earnings | US$7.13m |
Last Reported Earnings
Jun 30, 2022
Next Earnings Date
n/a
| Earnings per share (EPS) | 0.21 |
| Gross Margin | 29.45% |
| Net Profit Margin | 1.92% |
| Debt/Equity Ratio | 45.9% |
How did CECE perform over the long term?
See historical performance and comparisonValuation
Is CECE undervalued compared to its fair value, analyst forecasts and its price relative to the market?
Valuation Score
3/6Valuation Score 3/6
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 CECE?
Other financial metrics that can be useful for relative valuation.
| What is CECE's n/a Ratio? | |
|---|---|
| n/a Ratio | 0x |
| n/a | n/a |
| Market Cap | US$342.23m |
| Key Statistics | |
|---|---|
| Enterprise Value/Revenue | 1.1x |
| Enterprise Value/EBITDA | 14.2x |
| PEG Ratio | 1.7x |
Price to Earnings Ratio vs Peers
How does CECE's PE Ratio compare to its peers?
| CECE PE Ratio vs Peers |
|---|
| Company | PE | Estimated Growth | Market Cap |
|---|---|---|---|
| Peer Average | 19.4x | ||
HCCI Heritage-Crystal Clean | 11.7x | -9.5% | US$824.9m |
BV BrightView Holdings | 40.9x | 64.4% | US$1.0b |
SP SP Plus | 17.9x | 20.1% | US$833.3m |
BNET Bion Environmental Technologies | 7.1x | n/a | US$60.7m |
CECE CECO Environmental | 48x | 28.1% | US$342.2m |
Price-To-Earnings vs Peers: CECE is expensive based on its Price-To-Earnings Ratio (48x) compared to the peer average (19.4x).
Price to Earnings Ratio vs Industry
How does CECE's PE Ratio compare vs other companies in the US Commercial Services Industry?
Price-To-Earnings vs Industry: CECE is expensive based on its Price-To-Earnings Ratio (48x) compared to the US Commercial Services industry average (20.4x)
Price to Earnings Ratio vs Fair Ratio
What is CECE'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.
| Fair Ratio | |
|---|---|
| Current PE Ratio | 48x |
| Fair PE Ratio | 22.3x |
Price-To-Earnings vs Fair Ratio: CECE is expensive based on its Price-To-Earnings Ratio (48x) compared to the estimated Fair Price-To-Earnings Ratio (22.3x).
Share Price vs Fair Value
What is the Fair Price of CECE when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.
Below Fair Value: CECE ($9.92) is trading below our estimate of fair value ($22.5)
Significantly Below Fair Value: CECE 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: Target price is more than 20% higher than the current share price and analysts are within a statistically confident range of agreement.
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Future Growth
How is CECO Environmental forecast to perform in the next 1 to 3 years based on estimates from 4 analysts?
Future Growth Score
3/6Future Growth Score 3/6
Earnings vs Savings Rate
Earnings vs Market
High Growth Earnings
Revenue vs Market
High Growth Revenue
Future ROE
28.1%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: CECE's forecast earnings growth (28.1% per year) is above the savings rate (1.9%).
Earnings vs Market: CECE's earnings (28.1% per year) are forecast to grow faster than the US market (14.5% per year).
High Growth Earnings: CECE's earnings are expected to grow significantly over the next 3 years.
Revenue vs Market: CECE's revenue (3.7% per year) is forecast to grow slower than the US market (7.9% per year).
High Growth Revenue: CECE's revenue (3.7% 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 CECE's Return on Equity is forecast to be high in 3 years time
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Past Performance
How has CECO Environmental performed over the past 5 years?
Past Performance Score
4/6Past Performance Score 4/6
Quality Earnings
Growing Profit Margin
Earnings Trend
Accelerating Growth
Earnings vs Industry
High ROE
56.8%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: CECE has a large one-off loss of $4.4M impacting its June 30 2022 financial results.
Growing Profit Margin: CECE's current net profit margins (1.9%) are higher than last year (1%).
Past Earnings Growth Analysis
Earnings Trend: CECE has become profitable over the past 5 years, growing earnings by 56.8% per year.
Accelerating Growth: CECE's earnings growth over the past year (136.6%) exceeds its 5-year average (56.8% per year).
Earnings vs Industry: CECE earnings growth over the past year (136.6%) exceeded the Commercial Services industry 23.4%.
Return on Equity
High ROE: CECE's Return on Equity (3.7%) is considered low.
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Financial Health
How is CECO Environmental's financial position?
Financial Health Score
6/6Financial Health Score 6/6
Short Term Liabilities
Long Term Liabilities
Debt Level
Reducing Debt
Debt Coverage
Interest Coverage
Financial Position Analysis
Short Term Liabilities: CECE's short term assets ($218.7M) exceed its short term liabilities ($144.0M).
Long Term Liabilities: CECE's short term assets ($218.7M) exceed its long term liabilities ($127.2M).
Debt to Equity History and Analysis
Debt Level: CECE's net debt to equity ratio (29.5%) is considered satisfactory.
Reducing Debt: CECE's debt to equity ratio has reduced from 54.3% to 45.9% over the past 5 years.
Debt Coverage: CECE's debt is well covered by operating cash flow (28.9%).
Interest Coverage: CECE's interest payments on its debt are well covered by EBIT (5.8x coverage).
Balance Sheet
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Dividend
What is CECO Environmental current dividend yield, its reliability and sustainability?
Dividend Score
0/6Dividend 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 CECE's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.
High Dividend: Unable to evaluate CECE'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 CECE's dividends per share have been stable in the past.
Growing Dividend: Insufficient data to determine if CECE's dividend payments have been increasing.
Earnings Payout to Shareholders
Earnings Coverage: CECE is not paying a notable dividend for the US market.
Cash Payout to Shareholders
Cash Flow Coverage: Unable to calculate sustainability of dividends as CECE has not reported any payouts.
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Management
How experienced are the management team and are they aligned to shareholders interests?
2.1yrs
Average management tenure
CEO
Todd Gleason (51 yo)
2.08yrs
Tenure
US$1,979,299
Compensation
Mr. Todd R. Gleason has been Chief Executive Officer and Director at CECO Environmental Corp since July 6, 2020. He was the Chief Executive Officer and President at Scientific Analytics Inc., from April 20...
CEO Compensation Analysis
Compensation vs Market: Todd's total compensation ($USD1.98M) is about average for companies of similar size in the US market ($USD2.53M).
Compensation vs Earnings: Todd's compensation has been consistent with company performance over the past year.
Leadership Team
Experienced Management: CECE's management team is considered experienced (2.1 years average tenure).
Board Members
Experienced Board: CECE's board of directors are considered experienced (4.7 years average tenure).
Ownership
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: CECE 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
CECO Environmental Corp.'s employee growth, exchange listings and data sources
Key Information
- Name: CECO Environmental Corp.
- Ticker: CECE
- Exchange: NasdaqGS
- Founded: 1966
- Industry: Environmental and Facilities Services
- Sector: Commercial Services
- Implied Market Cap: US$342.232m
- Shares outstanding: 34.50m
- Website: https://www.cecoenviro.com
Number of Employees
Location
- CECO Environmental Corp.
- 14651 North Dallas Parkway
- Suite 500
- Dallas
- Texas
- 75254
- United States
Listings
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2022/08/16 00:00 |
| End of Day Share Price | 2022/08/16 00:00 |
| Earnings | 2022/06/30 |
| Annual Earnings | 2021/12/31 |
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.