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CRA International

Nasdaq:CRAI
Snowflake Description

Undervalued with excellent balance sheet.

The Snowflake is generated from 30 checks in 5 different areas, read more below.
CRAI
Nasdaq
$287M
Market Cap
  1. Home
  2. US
  3. Commercial Services
Company description

CRA International, Inc., a consulting company, provides economic, financial, and management consulting services in the United States, the United Kingdom, and internationally. The last earnings update was 56 days ago. More info.


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  • CRA International has significant price volatility in the past 3 months.
CRAI Share Price and Events
7 Day Returns
-2.5%
NasdaqGS:CRAI
-1.9%
US Professional Services
-0.4%
US Market
1 Year Returns
-30.7%
NasdaqGS:CRAI
5.5%
US Professional Services
4.3%
US Market
CRAI Shareholder Return
  7 Day 30 Day 90 Day 1 Year 3 Year 5 Year
CRA International (CRAI) -2.5% -6.9% -29.4% -30.7% 41.4% 43.3%
US Professional Services -1.9% 2.8% 6.3% 5.5% 44.1% 52.9%
US Market -0.4% 2.8% 2.7% 4.3% 40.9% 38.2%
1 Year Return vs Industry and Market
  • CRAI underperformed the Professional Services industry which returned 5.5% over the past year.
  • CRAI underperformed the Market in United States of America which returned 4.3% over the past year.
Price Volatility
CRAI
Industry
5yr Volatility vs Market

Value

 Is CRA International 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 CRA International 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 CRA International.

NasdaqGS:CRAI Discounted Cash Flow Data Sources
Data Point Source Value
Valuation Model 2 Stage Free Cash Flow to Equity
Levered Free Cash Flow Average of 2 Analyst Estimates (S&P Global) See below
Discount Rate (Cost of Equity) See below 9.4%
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 NasdaqGS:CRAI
Data Point Calculation/ Source Result
Risk-Free Rate 10-Year US Govt Bond Rate 2.7%
Equity Risk Premium S&P Global 6%
Professional Services Unlevered Beta Simply Wall St/ S&P Global 0.85
Re-levered Beta = Unlevered beta (1 + (1- tax rate) (Debt/Equity))
= 0.851 (1 + (1- 21%) (50.04%))
1.126
Levered Beta Levered Beta limited to 0.8 to 2.0
(practical range for a stable firm)
1.13
Discount Rate/ Cost of Equity = Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= 2.73% + (1.126 * 5.96%)
9.44%

Discounted Cash Flow Calculation for NasdaqGS:CRAI using 2 Stage Free Cash Flow to Equity Model

The calculations below outline how an intrinsic value for CRA International 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.

NasdaqGS:CRAI DCF 1st Stage: Next 10 year cash flow forecast
Levered FCF (USD, Millions) Source Present Value
Discounted (@ 9.44%)
2019 18.77 Analyst x1 17.15
2020 27.78 Analyst x1 23.19
2021 34.27 Est @ 23.37% 26.14
2022 40.15 Est @ 17.18% 27.99
2023 45.31 Est @ 12.84% 28.86
2024 49.75 Est @ 9.81% 28.96
2025 53.58 Est @ 7.68% 28.49
2026 56.90 Est @ 6.2% 27.65
2027 59.83 Est @ 5.16% 26.57
2028 62.48 Est @ 4.43% 25.35
Present value of next 10 years cash flows $260.37
NasdaqGS:CRAI DCF 2nd Stage: Terminal Value
Calculation Result
Terminal Value = FCF2028 × (1 + g) ÷ (Discount Rate – g)
= $62.48 × (1 + 2.73%) ÷ (9.44% – 2.73%)
$956.67
Present Value of Terminal Value = Terminal Value ÷ (1 + r)10
= $956.67 ÷ (1 + 9.44%)10
$388.16
NasdaqGS:CRAI Total Equity Value
Calculation Result
Total Equity Value = Present value of next 10 years cash flows + Terminal Value
= $260.37 + $388.16
$648.53
Equity Value per Share
(USD)
= Total value / Shares Outstanding
= $648.53 / 8.04
$80.65
NasdaqGS:CRAI Discount to Share Price
Calculation Result
Value per share (USD) From above. $80.65
Current discount Discount to share price of $35.66
= -1 x ($35.66 - $80.65) / $80.65
55.8%

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

Current Discount
Amount off the current price CRA International is available for.
Intrinsic value
>50%
Share price is $35.66 vs Future cash flow value of $80.65
Current Discount Checks
For CRA International to be considered undervalued it must be available for at least 20% below the current price. Less than 40% is even better.
  • CRA International's share price is below the future cash flow value, and at a moderate discount (> 20%).
  • CRA International'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 CRA International's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are CRA International's earnings available for a low price, and how does this compare to other companies in the same industry?
Raw Data
NasdaqGS:CRAI PE (Price to Earnings) Ratio Data Sources
Data Point Source Value
Earnings Per Share * Company Filings (2019-03-30) in USD $2.76
NasdaqGS:CRAI Share Price ** NasdaqGS (2019-06-26) in USD $35.66
United States of America Professional Services Industry PE Ratio Median Figure of 38 Publicly-Listed Professional Services Companies 20.29x
United States of America Market PE Ratio Median Figure of 3,094 Publicly-Listed Companies 17.77x

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

** Primary Listing of CRA International.

NasdaqGS:CRAI PE (Price to Earnings) Ratio Calculation
Calculation Outcome
PE Ratio

= NasdaqGS:CRAI Share Price ÷ EPS (both in USD)

= 35.66 ÷ 2.76

12.93x

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

  • CRA International is good value based on earnings compared to the US Professional Services industry average.
  • CRA International is good value based on earnings compared to the United States of America market.
Price based on expected Growth
Does CRA International's expected growth come at a high price?
Raw Data
NasdaqGS:CRAI PEG (Price to Earnings to Growth) Ratio Data Sources
Data Point Source Value
PE Ratio See PE Ratio Section 12.93x
Net Income Annual Growth Rate See Future Growth Section.
Line of Best Fit* through Consensus Estimate Earnings of 2 Analysts
8.5%per year
United States of America Professional Services Industry PEG Ratio Median Figure of 31 Publicly-Listed Professional Services Companies 1.81x
United States of America Market PEG Ratio Median Figure of 2,133 Publicly-Listed Companies 1.51x

*Line of best fit is calculated by linear regression .

NasdaqGS:CRAI PEG (Price to Earnings to Growth) Ratio Calculation
Calculation Outcome
PEG Ratio

= PE Ratio ÷ Net Income Annual Growth Rate

= 12.93x ÷ 8.5%

1.52x

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

  • CRA International is poor value based on expected growth next year.
Price based on value of assets
What value do investors place on CRA International's assets?
Raw Data
NasdaqGS:CRAI PB (Price to Book) Ratio Data Sources
Data Point Source Value
Book Value per Share Company Filings (2019-03-30) in USD $24.72
NasdaqGS:CRAI Share Price * NasdaqGS (2019-06-26) in USD $35.66
United States of America Professional Services Industry PB Ratio Median Figure of 60 Publicly-Listed Professional Services Companies 2.33x
United States of America Market PB Ratio Median Figure of 5,255 Publicly-Listed Companies 1.78x
NasdaqGS:CRAI PB (Price to Book) Ratio Calculation
Calculation Outcome
PB Ratio

= NasdaqGS:CRAI Share Price ÷ Book Value per Share (both in USD)

= 35.66 ÷ 24.72

1.44x

* Primary Listing of CRA International.

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

  • CRA International is good value based on assets compared to the US Professional Services industry average.
X
Value checks
We assess CRA International'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 Professional Services 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 Professional Services industry average (and greater than 0)? (1 check)
  5. CRA International 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.

Future Performance

 How is CRA International expected to perform in the next 1 to 3 years based on estimates from 2 analysts?

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
8.5%
Expected annual growth in earnings.
Earnings growth vs Low Risk Savings
Is CRA International expected to grow at an attractive rate?
  • CRA International's earnings growth is expected to exceed the low risk savings rate of 2.7%.
Growth vs Market Checks
  • CRA International's earnings growth is positive but not above the United States of America market average.
  • CRA International's revenue growth is positive but not above the United States of America market average.
Annual Growth Rates Comparison
Raw Data
NasdaqGS:CRAI Future Growth Rates Data Sources
Data Point Source Value (per year)
NasdaqGS:CRAI Future Earnings Growth Rate Line of Best Fit* through Consensus Estimate Earnings of 2 Analysts 8.5%
NasdaqGS:CRAI Future Revenue Growth Rate Line of Best Fit* through Consensus Estimate Revenue of 2 Analysts 5.2%
United States of America Professional Services Industry Earnings Growth Rate Market Cap Weighted Average 31.5%
United States of America Professional Services Industry Revenue Growth Rate Market Cap Weighted Average 5.8%
United States of America Market Earnings Growth Rate Market Cap Weighted Average 13.9%
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
NasdaqGS:CRAI Analysts Growth Expectations Data Sources
Data Point Source Value
Past Financials Company Filings (2 months ago) See Below
Future Estimates Average of up to 2 Analyst Estimates (S&P Global) See Below
All numbers in USD Millions and using Trailing twelve months (TTM) annual period rather than quarterly.
NasdaqGS:CRAI Future Estimates Data
Date (Data in USD Millions) Revenue Cash Flow Net Income * Avg. No. Analysts
2020-12-31 464 48 26 2
2019-12-31 441 43 23 2
NasdaqGS:CRAI Past Financials Data
Date (Data in USD Millions) Revenue Cash Flow Net Income *
2019-03-30 424 20 22
2018-12-29 418 36 22
2018-09-29 406 30 13
2018-06-30 393 22 13
2018-03-31 381 26 10
2017-12-30 370 46 8
2017-09-30 353 40 12
2017-07-01 343 45 12
2017-04-01 332 38 13
2016-12-31 325 48 13
2016-10-01 318 42 9
2016-07-02 313 32 9
2016-04-02 306 35 7

*GAAP earnings excluding extraordinary items.

Super high growth metrics
High Growth Checks
  • CRA International's earnings are expected to grow by 8.5% yearly, however this is not considered high growth (20% yearly).
  • CRA International's revenue is expected to grow by 5.2% yearly, however this is not considered high growth (20% yearly).
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
NasdaqGS:CRAI Past and Future Earnings per Share
Data Point Source Value
Past Financials Company Filings (2 months ago) See Below
Future Estimates Average of up to 2 Analyst Estimates (S&P Global) See Below

All data from CRA International Company Filings, last reported 2 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

NasdaqGS:CRAI Future Estimates Data
Date (Data in USD Millions) EPS * EPS High Estimate EPS Low Estimate Avg. No. Analysts
2020-12-31 3.12 3.12 3.12 1.00
2019-12-31 2.80 2.80 2.80 1.00
NasdaqGS:CRAI Past Financials Data
Date (Data in USD Millions) EPS *
2019-03-30 2.76
2018-12-29 2.76
2018-09-29 1.64
2018-06-30 1.54
2018-03-31 1.16
2017-12-30 0.91
2017-09-30 1.43
2017-07-01 1.42
2017-04-01 1.58
2016-12-31 1.50
2016-10-01 1.09
2016-07-02 1.03
2016-04-02 0.81

*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 CRA International will efficiently use shareholders’ funds in the future without estimates of Return on Equity.
X
Future performance checks
We assess CRA International'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.
CRA International 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.

Past Performance

  How has CRA International 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 CRA International's growth in the last year to its industry (Professional Services).
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.
  • CRA International's year on year earnings growth rate has been positive over the past 5 years.
  • CRA International's 1-year earnings growth exceeds its 5-year average (131.6% vs 6.3%)
  • CRA International's earnings growth has exceeded the US Professional Services industry average in the past year (131.6% vs 24.8%).
Earnings and Revenue History
CRA International'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 CRA International Company Filings, last reported 2 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

NasdaqGS:CRAI Past Revenue, Cash Flow and Net Income Data
Date (Data in USD Millions) Revenue Net Income * G+A Expenses R&D Expenses
2019-03-30 424.02 22.18 90.63
2018-12-29 417.65 22.38 89.53
2018-09-29 405.90 13.31 93.54
2018-06-30 393.36 12.61 92.56
2018-03-31 381.38 9.60 88.57
2017-12-30 370.08 7.57 85.64
2017-09-30 352.63 11.85 77.61
2017-07-01 342.99 11.83 72.97
2017-04-01 332.04 13.22 70.08
2016-12-31 324.78 12.79 70.58
2016-10-01 317.67 9.46 70.08
2016-07-02 312.50 9.12 71.77
2016-04-02 306.43 7.23 73.58
2016-01-02 303.56 7.60 72.44
2015-10-03 309.56 12.69 72.88
2015-07-04 306.52 13.08 71.20
2015-04-04 308.17 12.98 70.00
2015-01-03 306.37 13.62 69.07
2014-09-27 303.58 13.54 68.26
2014-06-28 304.53 13.59 67.69
2014-03-29 291.55 11.81 65.60
2013-12-28 278.43 11.34 64.24
2013-09-28 270.29 -45.84 62.69
2013-06-29 261.78 -49.85 62.92
2013-03-30 264.39 -50.54 64.21
2012-12-29 270.39 -52.99 65.74
2012-09-29 277.83 4.94 68.54
2012-06-30 282.93 9.35 69.23

*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.
  • CRA International has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).
  • CRA International used its assets less efficiently than the US Professional Services industry average last year based on Return on Assets.
  • CRA International has significantly improved its use of capital last year versus 3 years ago (Return on Capital Employed).
X
Past performance checks
We assess CRA International'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 Professional Services 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.
CRA International has a total score of 4/6, 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.

Health

 How is CRA International'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 CRA International's finances.

The net worth of a company is the difference between its assets and liabilities.
Net Worth
  • CRA International is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.
  • CRA International's cash and other short term assets cover its long term commitments.
Balance sheet
This treemap shows a more detailed breakdown of CRA International'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 4.3x 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 CRA International Company Filings, last reported 2 months ago.

NasdaqGS:CRAI Past Debt and Equity Data
Date (Data in USD Millions) Total Equity Total Debt Cash & Short Term Investments
2019-03-30 197.89 39.00 14.96
2018-12-29 196.47 0.00 38.03
2018-09-29 200.54 5.00 11.86
2018-06-30 196.56 20.79 9.03
2018-03-31 204.28 10.00 10.85
2017-12-30 207.23 0.00 54.04
2017-09-30 208.18 0.00 20.90
2017-07-01 209.13 0.00 14.67
2017-04-01 215.31 6.00 21.82
2016-12-31 207.88 0.00 53.53
2016-10-01 207.22 0.00 25.18
2016-07-02 204.41 0.00 12.21
2016-04-02 214.22 0.00 22.58
2016-01-02 211.07 0.08 38.14
2015-10-03 216.04 0.08 21.00
2015-07-04 215.07 0.08 15.82
2015-04-04 212.24 0.08 17.23
2015-01-03 214.70 0.98 48.20
2014-09-27 224.51 0.98 44.68
2014-06-28 229.13 0.98 27.61
2014-03-29 227.53 0.99 32.49
2013-12-28 224.64 1.01 51.25
2013-09-28 221.58 1.01 17.90
2013-06-29 216.47 6.84 16.33
2013-03-30 214.11 1.70 30.59
2012-12-29 212.23 1.70 55.45
2012-09-29 265.51 1.69 42.30
2012-06-30 266.64 2.32 41.78
  • CRA International's level of debt (19.7%) compared to net worth is satisfactory (less than 40%).
  • The level of debt compared to net worth has increased over the past 5 years (0.4% vs 19.7% today).
  • Debt is well covered by operating cash flow (51.7%, greater than 20% of total debt).
  • Interest payments on debt are well covered by earnings (EBIT is 46.4x coverage).
X
Financial health checks
We assess CRA International'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. CRA International 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.

Dividends

 What is CRA International'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
2.24%
Current annual income from CRA International dividends.
If you bought $2,000 of CRA International shares you are expected to receive $45 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?
  • CRA International's pays a higher dividend yield than the bottom 25% of dividend payers in United States of America (1.44%).
  • CRA International's dividend is below the markets top 25% of dividend payers in United States of America (3.73%).
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
NasdaqGS:CRAI 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 2 Analyst Estimates (S&P Global) See Below
United States of America Professional Services Industry Average Dividend Yield Market Cap Weighted Average of 21 Stocks 1.6%
United States of America Market Average Dividend Yield Market Cap Weighted Average of 2012 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 3.7%

Industry and Market average data is calculated daily.

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

NasdaqGS:CRAI Future Dividends Estimate Data
Date (Data in $) Dividend per Share (annual) Avg. No. Analysts
2020-12-31
2019-12-31
NasdaqGS:CRAI Past Annualized Dividends Data
Date (Data in $) Dividend per share (annual) Avg. Yield (%)
2019-02-28 0.800 1.808
2018-08-02 0.680 1.463
2018-05-08 0.680 1.253
2018-04-26 0.680 1.204
2018-03-12 0.680 1.267
2018-02-15 0.680 1.360
2017-10-31 0.680 1.509
2017-10-26 0.680 1.605
2017-07-27 0.560 1.440
2017-02-16 0.560 1.577
2016-11-03 0.560 1.652
2016-10-27 0.560 1.872

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

  • Whilst dividend payments have been stable, CRA International has been paying a dividend for less than 10 years.
  • Dividend payments have increased, but CRA International only paid a dividend in the past 3 years.
Current Payout to shareholders
What portion of CRA International's earnings are paid to the shareholders as a dividend.
  • Dividends paid are well covered by earnings (3.7x coverage).
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 CRA International'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 CRA International afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks)
  7. CRA International has a total score of 2/6, see the detailed checks below.


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

Management

 What is the CEO of CRA International'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
Paul Maleh
COMPENSATION $3,006,723
AGE 54
TENURE AS CEO 9.6 years
CEO Bio

Mr. Paul A. Maleh has been the Chief Executive Officer and President of CRA International Inc. (formerly known as Charles River Associates Inc.) since November 29, 2009. Mr. Maleh has been an Integral Member of CRA’s management team for more than a decade. He is a recognized authority in the application of financial and economic theory to complex business matters. He served as the Chief Operating Officer of CRA International Inc. from October 29, 2008 to November 29, 2009 and served as its Executive Vice President from October 2006 to November 29, 2009. He was responsible for all areas of CRA's global consulting operations and the administrative functions of marketing, business development and human resources, including recruiting. He served as Head of Finance of CRA International, Inc. from December 2006 to January 2009. He focused on the development of a new strategy designed to position more effectively CRA International Inc.'s services, to increase its utilization rate and to better align staffing with work load demands. He has consulted on these matters in a range of industries, including telecommunications and high-tech, energy, computer hardware and software, pharmaceuticals, investment banking, retail and sports and entertainment. He has directed research concerning business valuation, securities litigation, breach of contract, bankruptcy and general business damages. He joined CRA in 1989 as an associate in the Energy Practice and has led the Finance Practice since 2000 to December 2006. From December 2006 to January 2009, he served as head of CRA's finance platform. He served as Vice President of CRA International, Inc. from 1999 to October 2006. In performing valuations of companies and securities, he provided corporate clients with assistance on recapitalizations and restructurings, acquisitions and divestitures and fairness opinions. In litigation contexts, his analysis covered such topics as cash flow estimates, but for revenue analyses, competing financial models and estimates of appropriate discount rates. Likewise, in securities litigation, he helps defend companies and accounting firms against Section 11 and Rule 10b-5 claims involving common stocks, preferred stocks and convertible bonds. He critiques class certification, assesses materiality and causation, performs damages estimates and assists in case discovery. Mr. Maleh has been a Director of CRA International Inc. since November 29, 2009. He holds an M.B.A. from Northeastern University.

CEO Compensation
  • Paul's compensation has been consistent with company performance over the past year, both up more than 20%.
  • Paul'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 CRA International management team in years:

14
Average Tenure
53.5
Average Age
  • The average tenure for the CRA International management team is over 5 years, this suggests they are a seasoned and experienced team.
Management Team

Paul Maleh

TITLE
President
COMPENSATION
$3M
AGE
54
TENURE
9.6 yrs

Chad Holmes

TITLE
Executive VP
COMPENSATION
$1M
AGE
45
TENURE
4.6 yrs

Jonathan Yellin

TITLE
Executive VP & General Counsel
COMPENSATION
$917K
AGE
54
TENURE
15.3 yrs

Mary Savio

TITLE
VP & Director of Operations

Douglas Miller

TITLE
VP, Chief Accounting Officer & Corporate Controller
AGE
53
TENURE
2.2 yrs

Samuel Lynch

TITLE
Principal
TENURE
15.4 yrs

Elahd Toam

TITLE
Principal

Cristina Caffarra

TITLE
VP & Head of European Competition Practice
TENURE
14 yrs

Miguel Herce

TITLE
Principal
TENURE
19.9 yrs

Elizabeth Wang

TITLE
Principal
Board of Directors Tenure

Average tenure and age of the CRA International board of directors in years:

7.3
Average Tenure
65.5
Average Age
  • The tenure for the CRA International board of directors is about average.
Board of Directors

Row Moriarty

TITLE
Chairman
COMPENSATION
$315K
AGE
71
TENURE
17.1 yrs

Paul Maleh

TITLE
President
COMPENSATION
$3M
AGE
54
TENURE
9.6 yrs

Franklin Fisher

TITLE
Chairman Emeritus & Board Observer
AGE
83
TENURE
12.2 yrs

Bill Concannon

TITLE
Director
COMPENSATION
$165K
AGE
62
TENURE
19 yrs

Robert Holthausen

TITLE
Director
COMPENSATION
$175K
AGE
70
TENURE
4.9 yrs

Tom Avery

TITLE
Director
COMPENSATION
$170K
AGE
64
TENURE
3.3 yrs

Nancy Hawthorne

TITLE
Director
COMPENSATION
$155K
AGE
67
TENURE
4.5 yrs

Bob Whitman

TITLE
Director
COMPENSATION
$150K
AGE
64
TENURE
2.1 yrs
Who owns this company?
Recent Insider Trading
  • No 3 month individual insider trading information.
Recent Insider Transactions
Announced Type Name Entity Role Start End Shares Max Price ($) Value ($)
18. Mar 19 Sell Rowland Moriarty Individual 14. Mar 19 15. Mar 19 -9,000 $52.00 $-460,521
13. Mar 19 Sell Rowland Moriarty Individual 11. Mar 19 12. Mar 19 -3,785 $51.64 $-192,049
12. Mar 19 Sell Rowland Moriarty Individual 08. Mar 19 08. Mar 19 -3,500 $50.06 $-175,212
08. Mar 19 Sell Rowland Moriarty Individual 06. Mar 19 06. Mar 19 -3,715 $50.19 $-186,451
06. Mar 19 Sell Paul Maleh Individual 04. Mar 19 05. Mar 19 -25,000 $50.32 $-1,211,450
X
Management checks
We assess CRA International'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. CRA International 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.

News

Simply Wall St News

How Much Are CRA International, Inc. (NASDAQ:CRAI) Insiders Taking Off The Table?

So we'll take a look at whether insiders have been buying or selling shares in CRA International, Inc. … But logic dictates you should pay some attention to whether insiders are buying or selling shares. … As Peter Lynch said, 'insiders might sell their shares for any number of reasons, but they buy them for only one: they think the price will rise.' See our latest analysis for CRA International The Last 12 Months Of Insider Transactions At CRA International In the last twelve months, the biggest single sale by an insider was when the President, Paul Maleh, sold US$1.2m worth of shares at a price of US$50.32 per share.

Simply Wall St -

What Does CRA International, Inc.'s (NASDAQ:CRAI) Balance Sheet Tell Us About It?

Does CRAI Produce Much Cash Relative To Its Debt? … Moreover, CRAI has generated US$20m in operating cash flow in the last twelve months, resulting in an operating cash to total debt ratio of 14%, signalling that CRAI’s debt is not covered by operating cash. … Looking at CRAI’s US$149m in current liabilities, the company has maintained a safe level of current assets to meet its obligations, with the current ratio last standing at 1.12x.

Simply Wall St -

Should You Think About Buying CRA International, Inc. (NASDAQ:CRAI) Now?

According to my valuation, the intrinsic value for the stock is $72.99, but it is currently trading at US$38.82 on the share market, meaning that there is still an opportunity to buy now. … Although value investors would argue that it’s the intrinsic value relative to the price that matter the most, a more compelling investment thesis would be high growth potential at a cheap price. … However, with a relatively muted profit growth of 7.7% expected over the next year, growth doesn’t seem like a key driver for a buy decision for CRA International, at least in the short term.

Simply Wall St -

Is CRA International, Inc. (NASDAQ:CRAI) A Volatile Stock?

Beta can be a useful tool to understand how much a stock is influenced by market risk (volatility). … The fact that this is well below 1 indicates that its share price movements haven't historically been very sensitive to overall market volatility. … What this means for you: Since CRA International is not heavily influenced by market moves, its share price is probably far more dependend on company specific developments.

Simply Wall St -

Are Investors Undervaluing CRA International, Inc. (NASDAQ:CRAI) By 46%?

by projecting its future cash flows and then discounting them to today's value. … We generally believe that a company's value is the present value of all of the cash it will generate in the future. … Anyone interested in learning a bit more about intrinsic value should have a read of the Simply Wall St analysis model

Simply Wall St -

How Good Is CRA International, Inc. (NASDAQ:CRAI) At Creating Shareholder Value?

Specifically, we'll consider its Return On Capital Employed (ROCE), since that will give us an insight into how efficiently the business can generate profits from the capital it requires. … Understanding Return On Capital Employed (ROCE). … ROCE measures the amount of pre-tax profits a company can generate from the capital employed in its business.

Simply Wall St -

Is CRA International, Inc.'s (NASDAQ:CRAI) P/E Ratio Really That Good?

This article is written for those who want to get better at using price to earnings ratios (P/E ratios). … We'll look at CRA International, Inc.'s (NASDAQ:CRAI) P/E ratio and reflect on what it tells us about the company's share price. … Price to Earnings Ratio = Price per Share ÷ Earnings per Share (EPS)

Simply Wall St -

A Note On CRA International, Inc.'s (NASDAQ:CRAI) ROE and Debt To Equity

With that in mind, this article will work through how we can use Return On Equity (ROE) to better understand a business. … Our data shows CRA International has a return on equity of 11% for the last year. … Return on Equity = Net Profit ÷ Shareholders' Equity

Simply Wall St -

Is CRA International, Inc. (NASDAQ:CRAI) A Strong Dividend Stock?

Dividends play an important role in compounding returns in the long run and end up forming a sizeable part of investment returns. … Does CRA International tick all the boxes of a great dividend stock? … How I analyze a dividend stock

Simply Wall St -

These Factors Make CRA International, Inc. (NASDAQ:CRAI) An Interesting Investment

(NASDAQ:CRAI) is a company with exceptional fundamental characteristics. … Upon building up an investment case for a stock, we should look at various aspects. … Below, I've touched on some key aspects you should know on a high level

Simply Wall St -

Company Info

Description

CRA International, Inc., a consulting company, provides economic, financial, and management consulting services in the United States, the United Kingdom, and internationally. It advises clients on economic and financial matters pertaining to litigation and regulatory proceedings; and guides corporations through business strategy and performance-related issues. The company also offers consulting services, including research and analysis, expert testimony, and support in litigation and regulatory proceedings in the areas of finance, accounting, economics, insurance, and forensic accounting and investigations to corporate clients and attorneys. In addition, it offers management consulting services comprising strategy development, performance improvement, corporate strategy and portfolio analysis, estimation of market demand, new product pricing strategies, valuation of intellectual property and other assets, assessment of competitors' actions, and analysis of new sources of supply. The company serves various industries, including agriculture, banking and capital markets, chemicals, communications and media, consumer products, energy, entertainment, financial services, health care, insurance, life sciences, manufacturing, oil and gas, real estate, retail, sports, telecommunications, transportation, and technology, as well as metals, mining, and materials. CRA International, Inc. was founded in 1965 and is headquartered in Boston, Massachusetts.

Details
Name: CRA International, Inc.
CRAI
Exchange: NasdaqGS
Founded: 1965
$286,739,064
8,040,916
Website: http://www.crai.com
Address: CRA International, Inc.
200 Clarendon Street,
Boston,
Massachusetts, 02116,
United States
Listings
Exchange Symbol Ticker Symbol Security Exchange Country Currency Listed on
NasdaqGS CRAI Common Stock Nasdaq Global Select US USD 24. Apr 1998
DB CR2 Common Stock Deutsche Boerse AG DE EUR 24. Apr 1998
MUN CR2 Common Stock Boerse Muenchen DE EUR 24. Apr 1998
MUN CR2 Common Stock Boerse Muenchen DE EUR 24. Apr 1998
Number of employees
Current staff
Staff numbers
687
CRA International employees.
Industry
Research and Consulting Services
Commercial Services
Company Analysis and Financial Data Status
Area Date (UTC time)
Company Analysis updated: 2019/06/27 00:04
End of day share price update: 2019/06/26 00:00
Last estimates confirmation: 2019/06/19
Last earnings filing: 2019/05/02
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.