NYSE:CCS

Stock Analysis Report

Executive Summary

Century Communities, Inc. engages in the design, development, construction, marketing, and sale of single-family attached and detached homes.

Rewards

PE ratio (10x) is below the US market (18.5x)

Earnings are forecast to grow 25.41% per year

Risk Analysis

Debt is not well covered by operating cash flow

Shareholders have been diluted in the past year



Snowflake Analysis

Good value with reasonable growth potential.


Similar Companies

Share Price & News

How has Century Communities's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: CCS has not had significant price volatility in the past 3 months.


Market Performance


7 Day Return

-0.7%

CCS

-0.7%

US Consumer Durables

-0.3%

US Market


1 Year Return

43.2%

CCS

34.5%

US Consumer Durables

18.6%

US Market

Return vs Industry: CCS exceeded the US Consumer Durables industry which returned 34.5% over the past year.

Return vs Market: CCS exceeded the US Market which returned 18.6% over the past year.


Shareholder returns

CCSIndustryMarket
7 Day-0.7%-0.7%-0.3%
30 Day5.1%0.7%2.2%
90 Day2.6%10.6%5.6%
1 Year43.2%43.2%36.6%34.5%21.1%18.6%
3 Year31.0%31.0%29.4%23.5%45.6%36.2%
5 Year77.4%77.4%41.9%32.7%71.1%52.2%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

Is Century Communities undervalued compared to its fair value and its price relative to the market?

10.04x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: CCS ($28.29) is trading above our estimate of fair value ($5.7)

Significantly Below Fair Value: CCS is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: CCS is good value based on its PE Ratio (10x) compared to the Consumer Durables industry average (14x).

PE vs Market: CCS is good value based on its PE Ratio (10x) compared to the US market (18.5x).


Price to Earnings Growth Ratio

PEG Ratio: CCS is good value based on its PEG Ratio (0.4x)


Price to Book Ratio

PB vs Industry: CCS is good value based on its PB Ratio (0.9x) compared to the US Consumer Durables industry average (1.3x).


Next Steps

Future Growth

How is Century Communities forecast to perform in the next 1 to 3 years based on estimates from 3 analysts?

25.4%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: CCS's forecast earnings growth (25.4% per year) is above the savings rate (1.7%).

Earnings vs Market: CCS's earnings (25.4% per year) are forecast to grow faster than the US market (14.2% per year).

High Growth Earnings: earnings are expected to grow significantly over the next 3 years.

Revenue vs Market: CCS's revenue (7.7% per year) is forecast to grow faster than the US market (7.4% per year).

High Growth Revenue: CCS's revenue (7.7% 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 CCS's Return on Equity is forecast to be high in 3 years time


Next Steps

Past Performance

How has Century Communities performed over the past 5 years?

28.5%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: CCS has high quality earnings.

Growing Profit Margin: CCS's current net profit margins (3.6%) are lower than last year (4.3%).


Past Earnings Growth Analysis

Earnings Trend: CCS's earnings have grown significantly by 28.5% per year over the past 5 years.

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

Earnings vs Industry: CCS had negative earnings growth (-1.7%) over the past year, making it difficult to compare to the Consumer Durables industry average (1.2%).


Return on Equity

High ROE: CCS's Return on Equity (9%) is considered low.


Return on Assets


Return on Capital Employed


Next Steps

Financial Health

How is Century Communities's financial position?


Financial Position Analysis

Short Term Liabilities: CCS's short term assets ($2.4B) exceed its short term liabilities ($214.6M).

Long Term Liabilities: CCS's short term assets ($2.4B) exceed its long term liabilities ($1.3B).


Debt to Equity History and Analysis

Debt Level: CCS's debt to equity ratio (132.5%) is considered high.

Reducing Debt: CCS's debt to equity ratio has increased from 57.1% to 132.5% over the past 5 years.

Debt Coverage: CCS's operating cash flow is negative, therefore debt is not well covered.

Interest Coverage: CCS's interest payments on its debt are well covered by EBIT (7706.8x coverage).


Balance Sheet

Inventory Level: CCS has a high level of physical assets or inventory.

Debt Coverage by Assets: CCS's debt is covered by short term assets (assets are 1.9x debt).


Next Steps

Dividend

What is Century Communities's current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

companyn/amarketbottom25%1.4%markettop25%3.7%industryaverage1.9%forecastin3Yearsn/a

Current dividend yield vs market & industry

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

High Dividend: Unable to evaluate CCS's dividend yield against the top 25% of dividend payers, as the company has not reported any payouts.


Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if CCS's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if CCS'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 CCS's dividend in 3 years as they are not forecast to pay a notable one for the US market.


Next Steps

Management

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

4.8yrs

Average management tenure


CEO

Dale Francescon (66yo)

17.3yrs

Tenure

US$7,538,355

Compensation

Mr. Dale Francescon has been Co-Chief Executive Officer of Century Communities, Inc. (the "Company") since August 2002 and has served as the Chairman of its Board since April 2013. Mr. Francescon has succe ...


CEO Compensation Analysis

Compensation vs Market: Dale's total compensation ($USD7.54M) is above average for companies of similar size in the US market ($USD2.63M).

Compensation vs Earnings: Dale's compensation has increased by more than 20% whilst company earnings have fallen more than 20% in the past year.


Management Age and Tenure

4.8yrs

Average Tenure

59yo

Average Age

Experienced Management: CCS's management team is considered experienced (4.8 years average tenure).


Board Age and Tenure

6.6yrs

Average Tenure

66yo

Average Age

Experienced Board: CCS's board of directors are considered experienced (6.6 years average tenure).


Insider Trading

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


Recent Insider Transactions

SellUS$2,082,56030 Aug 19
Robert Francescon
EntityIndividual
Role
Member of the Board of Directors
President
Shares75,000
Max PriceUS$27.93
SellUS$238,09305 Aug 19
John Dixon
EntityIndividual
Role
Chief Accounting Officer
Chief Accounting Officer
Shares8,747
Max PriceUS$27.22
SellUS$2,605,00028 Jun 19
Robert Francescon
EntityIndividual
Role
Member of the Board of Directors
President
Shares100,000
Max PriceUS$26.05

Ownership Breakdown

Dilution of Shares: Shareholders have been diluted in the past year, with total shares outstanding growing by 3.5%.


Management Team

  • Sheryl Anderson

    Vice President of Human Resources

    • Tenure: 0yrs
  • Dave Messenger (49yo)

    CFO & Secretary

    • Tenure: 6.5yrs
    • Compensation: US$3.43m
  • Rodny Nacier

    Senior Vice President

    • Tenure: 0yrs
  • Rick Carruthers (63yo)

    Executive Vice President of Wade Jurney Homes

    • Tenure: 2.8yrs
  • Ken Rabel (57yo)

    President of Colorado Division

    • Tenure: 0yrs
    • Compensation: US$638.24k
  • Kathy Ellis

    Vice President of Sales

    • Tenure: 0yrs
  • Dale Francescon (66yo)

    Chairman & Co-CEO

    • Tenure: 17.3yrs
    • Compensation: US$7.54m
  • Robert Francescon (61yo)

    President

    • Tenure: 6.7yrs
    • Compensation: US$7.54m
  • John Dixon (39yo)

    Chief Accounting Officer

    • Tenure: 3.1yrs
  • Dave Bulloch

    President of Single-Family Division

    • Tenure: 1.7yrs

Board Members

  • Keith Guericke (70yo)

    Presiding Independent Director

    • Tenure: 3.9yrs
    • Compensation: US$239.97k
  • John Box (73yo)

    Independent Director

    • Tenure: 5.6yrs
    • Compensation: US$235.97k
  • Dale Francescon (66yo)

    Chairman & Co-CEO

    • Tenure: 17.3yrs
    • Compensation: US$7.54m
  • Robert Francescon (61yo)

    President

    • Tenure: 6.7yrs
    • Compensation: US$7.54m
  • Jim Lippman (61yo)

    Independent Director

    • Tenure: 6.6yrs
    • Compensation: US$238.47k

Company Information

Century Communities, Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Century Communities, Inc.
  • Ticker: CCS
  • Exchange: NYSE
  • Founded: 2000
  • Industry: Homebuilding
  • Sector: Consumer Durables
  • Market Cap: US$873.025m
  • Shares outstanding: 31.35m
  • Website: https://www.centurycommunities.com

Number of Employees


Location

  • Century Communities, Inc.
  • 8390 East Crescent Parkway
  • Suite 650
  • Greenwood Village
  • Colorado
  • 80111
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
CCSNYSE (New York Stock Exchange)YesCommon StockUSUSDJun 2014
CCTDB (Deutsche Boerse AG)YesCommon StockDEEURJun 2014

Biography

Century Communities, Inc. engages in the design, development, construction, marketing, and sale of single-family attached and detached homes. It is also involved in the entitlement and development of the u ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/12/07 00:39
End of Day Share Price2019/12/06 00:00
Earnings2019/09/30
Annual Earnings2018/12/31


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.