NYSE:CHRA

Stock Analysis Report

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Executive Summary

Charah Solutions, Inc. provides environmental and maintenance services to the power generation industry in the United States.


Snowflake Analysis

Mediocre balance sheet and slightly overvalued.

Share Price & News

How has Charah Solutions's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: CHRA's share price has been volatile over the past 3 months.


Market Performance


7 Day Return

-1.2%

CHRA

3.1%

US Commercial Services

3.0%

US Market


1 Year Return

-54.7%

CHRA

5.2%

US Commercial Services

15.8%

US Market

Return vs Industry: CHRA underperformed the US Commercial Services industry which returned 5.2% over the past year.

Return vs Market: CHRA underperformed the US Market which returned 15.8% over the past year.


Shareholder returns

CHRAIndustryMarket
7 Day-1.2%3.1%3.0%
30 Day-23.2%13.1%6.0%
90 Day53.5%17.3%16.4%
1 Year-54.7%-54.7%6.8%5.2%18.4%15.8%
3 Yearn/a51.1%41.5%44.8%35.4%
5 Yearn/a86.9%68.0%75.7%56.7%

Price Volatility Vs. Market

How volatile is Charah Solutions's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Charah Solutions undervalued compared to its fair value and its price relative to the market?

49.7%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: CHRA ($2.38) is trading below our estimate of fair value ($4.74)

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


Price To Earnings Ratio

PE vs Industry: CHRA is unprofitable, so we can't compare its PE Ratio to the US Commercial Services industry average.

PE vs Market: CHRA is unprofitable, so we can't compare its PE Ratio to the US market.


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate CHRA's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: CHRA is overvalued based on its PB Ratio (1.8x) compared to the US Commercial Services industry average (1.4x).


Next Steps

Future Growth

How is Charah Solutions forecast to perform in the next 1 to 3 years based on estimates from 2 analysts?

107.8%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: CHRA is forecast to remain unprofitable over the next 3 years.

Earnings vs Market: CHRA is forecast to remain unprofitable over the next 3 years.

High Growth Earnings: CHRA is forecast to remain unprofitable over the next 3 years.

Revenue vs Market: CHRA's revenue (4.2% per year) is forecast to grow slower than the US market (9.4% per year).

High Growth Revenue: CHRA's revenue (4.2% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

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


Next Steps

Past Performance

How has Charah Solutions performed over the past 5 years?

-109.0%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: CHRA is currently unprofitable.

Growing Profit Margin: CHRA is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: CHRA is unprofitable, and losses have increased over the past 5 years at a rate of 109% per year.

Accelerating Growth: Unable to compare CHRA's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: CHRA is unprofitable, making it difficult to compare its past year earnings growth to the Commercial Services industry (-6%).


Return on Equity

High ROE: CHRA has a negative Return on Equity (-80.7%), as it is currently unprofitable.


Next Steps

Financial Health

How is Charah Solutions's financial position?


Financial Position Analysis

Short Term Liabilities: CHRA's short term assets ($151.1M) exceed its short term liabilities ($132.6M).

Long Term Liabilities: CHRA's short term assets ($151.1M) do not cover its long term liabilities ($206.2M).


Debt to Equity History and Analysis

Debt Level: CHRA's debt to equity ratio (358.8%) is considered high.

Reducing Debt: Insufficient data to determine if CHRA's debt to equity ratio has reduced over the past 5 years.


Balance Sheet


Cash Runway Analysis

For companies that have on average been loss making in the past we assess whether they have at least 1 year of cash runway.

Stable Cash Runway: Whilst unprofitable CHRA has sufficient cash runway for more than 3 years if it maintains its current positive free cash flow level.

Forecast Cash Runway: CHRA is unprofitable but has sufficient cash runway for more than 3 years, due to free cash flow being positive and growing by 7.1% per year.


Next Steps

Dividend

What is Charah Solutions's current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

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

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

Growing Dividend: Insufficient data to determine if CHRA'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 CHRA'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?

1.6yrs

Average management tenure


CEO

Scott Sewell (40 yo)

1.58yrs

Tenure

US$1,598,792

Compensation

Mr. Scott Andrew Sewell has been President, Chief Executive Officer and Director of Charah Solutions, Inc. since January 23, 2019. Mr. Sewell served as Chief Operating Officer of Charah Solutions, Inc. sin ...


CEO Compensation Analysis

Compensation vs Market: Scott's total compensation ($USD1.60M) is above average for companies of similar size in the US market ($USD598.76K).

Compensation vs Earnings: Insufficient data to compare Scott's compensation with company performance.


Leadership Team

NamePositionTenureCompensationOwnership
Scott Sewell
CEO, President & Director1.58yrsUS$1.60m0.95%
$ 674.7k
Roger Shannon
CFO & Treasurer1.17yrsUS$1.37m0.16%
$ 116.6k
Dorsey McCall
Senior VP & Director2.58yrsUS$1.53m1.31%
$ 931.2k
Josh Jones
Vice President of Process & Technologyno datano datano data
Jeremy Sochol
Senior Vice President of Human Resourcesno datano datano data
Danny Gray
Executive Vice President of Governmental & Environmental Affairsno datano datano data
Nathan Boone
Senior Vice President of Business Developmentno datano datano data
Steven Brehm
Vice President of Legal Affairs & Corporate Secretaryno datano datano data

1.6yrs

Average Tenure

54yo

Average Age

Experienced Management: CHRA's management team is not considered experienced ( 1.6 years average tenure), which suggests a new team.


Board Members

NamePositionTenureCompensationOwnership
Scott Sewell
CEO, President & Director1.58yrsUS$1.60m0.95%
$ 674.7k
Dorsey McCall
Senior VP & Director2.58yrsUS$1.53m1.31%
$ 931.2k
Robert Flexon
Independent Director2.17yrsUS$177.50k0.21%
$ 150.0k
Stephen Tritch
Independent Chairmanno dataUS$225.00k0.24%
$ 170.7k
Timothy Poche
Director0.25yrno datano data
Mignon Clyburn
Independent Director1.42yrsUS$148.75k0.14%
$ 100.4k
Mark Spender
Independent Director2.58yrsno datano data
Jack Blossman
Independent Director2.17yrsUS$175.00k0.12%
$ 83.0k

2.2yrs

Average Tenure

56.5yo

Average Age

Experienced Board: CHRA's board of directors are not considered experienced ( 2.2 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: CHRA insiders have only sold shares 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

Charah Solutions, Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Charah Solutions, Inc.
  • Ticker: CHRA
  • Exchange: NYSE
  • Founded: 1987
  • Industry: Environmental and Facilities Services
  • Sector: Commercial Services
  • Market Cap: US$71.134m
  • Shares outstanding: 29.89m
  • Website: https://www.charah.com

Number of Employees


Location

  • Charah Solutions, Inc.
  • 12601 Plantside Drive
  • Louisville
  • Kentucky
  • 40299
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
CHRANYSE (New York Stock Exchange)YesCommon StockUSUSDJun 2018
7ARDB (Deutsche Boerse AG)YesCommon StockDEEURJun 2018

Biography

Charah Solutions, Inc. provides environmental and maintenance services to the power generation industry in the United States. The company operates in two segments, Environmental Solutions; and Maintenance ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/08/08 00:58
End of Day Share Price2020/08/07 00:00
Earnings2020/03/31
Annual Earnings2019/12/31


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.