NasdaqCM:CRWS

Stock Analysis Report

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Market Cap

US$77.9m

Last Updated

2021/06/15 05:31 UTC

Data Sources

Company Financials +

Executive Summary

Crown Crafts, Inc., through its subsidiaries, operates in the consumer products industry in the United States and internationally. More Details


Snowflake Analysis

Very undervalued with excellent balance sheet and pays a dividend.

Share Price & News

How has Crown Crafts's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: CRWS is less volatile than 75% of US stocks over the past 3 months, typically moving +/- 2% a week.

Volatility Over Time: CRWS's weekly volatility (2%) has been stable over the past year.


Market Performance


7 Day Return

-5.5%

CRWS

0.07%

US Luxury

0.8%

US Market


1 Year Return

55.8%

CRWS

45.9%

US Luxury

43.1%

US Market

Return vs Industry: CRWS exceeded the US Luxury industry which returned 46.9% over the past year.

Return vs Market: CRWS exceeded the US Market which returned 44.3% over the past year.


Shareholder returns

CRWSIndustryMarket
7 Day-5.5%0.07%0.8%
30 Day0.3%-2.0%3.0%
90 Day-0.1%-2.9%4.8%
1 Year68.0%55.8%47.0%45.9%45.5%43.1%
3 Year68.0%35.5%50.2%44.2%60.2%50.3%
5 Year13.1%-20.5%100.8%87.8%126.4%101.0%

Long-Term Price Volatility Vs. Market

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


Simply Wall St News

Valuation

Is Crown Crafts undervalued compared to its fair value and its price relative to the market?

49.3%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: CRWS ($7.74) is trading below our estimate of fair value ($15.37)

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


Price To Earnings Ratio

PE vs Industry: CRWS is good value based on its PE Ratio (12.9x) compared to the US Luxury industry average (24.5x).

PE vs Market: CRWS is good value based on its PE Ratio (12.9x) compared to the US market (19.7x).


Price to Earnings Growth Ratio

PEG Ratio: CRWS is good value based on its PEG Ratio (0.9x)


Price to Book Ratio

PB vs Industry: CRWS is good value based on its PB Ratio (1.8x) compared to the US Luxury industry average (2.6x).


Future Growth

How is Crown Crafts forecast to perform in the next 1 to 3 years based on estimates from 1 analyst?

13.7%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: CRWS's forecast earnings growth (13.7% per year) is above the savings rate (2%).

Earnings vs Market: CRWS's earnings (13.7% per year) are forecast to grow slower than the US market (15.5% per year).

High Growth Earnings: CRWS's earnings are forecast to grow, but not significantly.

Revenue vs Market: CRWS's revenue is expected to decline over the next 3 years (-0.2% per year).

High Growth Revenue: CRWS's revenue is forecast to decline over the next 3 years (-0.2% per year).


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: CRWS's Return on Equity is forecast to be low in 3 years time (16.5%).


Past Performance

How has Crown Crafts performed over the past 5 years?

3.6%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: CRWS has a large one-off loss of $2.2M impacting its March 28 2021 financial results.

Growing Profit Margin: CRWS's current net profit margins (7.7%) are lower than last year (8.9%).


Past Earnings Growth Analysis

Earnings Trend: CRWS's earnings have grown by 3.6% per year over the past 5 years.

Accelerating Growth: CRWS's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: CRWS had negative earnings growth (-7.3%) over the past year, making it difficult to compare to the Luxury industry average (-3.6%).


Return on Equity

High ROE: CRWS's Return on Equity (14.5%) is considered low.


Financial Health

How is Crown Crafts's financial position?


Financial Position Analysis

Short Term Liabilities: CRWS's short term assets ($41.5M) exceed its short term liabilities ($12.9M).

Long Term Liabilities: CRWS's short term assets ($41.5M) exceed its long term liabilities ($3.3M).


Debt to Equity History and Analysis

Debt Level: CRWS's debt to equity ratio (4.7%) is considered satisfactory.

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

Debt Coverage: CRWS's debt is well covered by operating cash flow (444.9%).

Interest Coverage: CRWS earns more interest than it pays, so coverage of interest payments is not a concern.


Balance Sheet


Dividend

What is Crown Crafts's current dividend yield, its reliability and sustainability?

4.11%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: CRWS's dividend (4.13%) is higher than the bottom 25% of dividend payers in the US market (1.27%).

High Dividend: CRWS's dividend (4.13%) is in the top 25% of dividend payers in the US market (3.35%)


Stability and Growth of Payments

Stable Dividend: CRWS's dividend payments have been volatile in the past 10 years.

Growing Dividend: CRWS's dividend payments have increased over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: With its reasonably low payout ratio (40%), CRWS's dividend payments are well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: Insufficient data to determine if a dividend will be paid in 3 years and that it will be covered by earnings.


Next Steps

Management

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

10.9yrs

Average management tenure


CEO

E. Chestnut (72 yo)

19.92yrs

Tenure

US$902,743

Compensation

Mr. E. Randall Chestnut has been Chief Executive Officer of Crown Crafts Inc., since July 2001 and also serves as its Chairman since 2021. He had been President of Crown Crafts Inc. since July 2001 until J...


CEO Compensation Analysis

Compensation vs Market: E.'s total compensation ($USD902.74K) is above average for companies of similar size in the US market ($USD526.88K).

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


Leadership Team

Experienced Management: CRWS's management team is seasoned and experienced (10.9 years average tenure).


Board Members

Experienced Board: CRWS's board of directors are seasoned and experienced ( 13.8 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Ownership Breakdown

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


Top Shareholders

Company Information

Crown Crafts, Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Crown Crafts, Inc.
  • Ticker: CRWS
  • Exchange: NasdaqCM
  • Founded: 1957
  • Industry: Textiles
  • Sector: Consumer Durables
  • Market Cap: US$77.887m
  • Shares outstanding: 10.00m
  • Website: https://www.crowncrafts.com

Number of Employees


Location

  • Crown Crafts, Inc.
  • 916 South Burnside Avenue
  • Suite 300
  • Gonzales
  • Louisiana
  • 70737
  • United States

Listings


Biography

Crown Crafts, Inc., through its subsidiaries, operates in the consumer products industry in the United States and internationally. It provides infant, toddler, and juvenile products, including infant and t...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/06/15 05:31
End of Day Share Price2021/06/14 00:00
Earnings2021/03/28
Annual Earnings2021/03/28


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.