| Snowflake Score | |
|---|---|
| Valuation | 0/6 |
| Future Growth | 4/6 |
| Past Performance | 0/6 |
| Financial Health | 3/6 |
| Dividends | 2/6 |
CODI Stock Overview
Compass Diversified is a private equity firm specializing in add on acquisitions, buyouts, industry consolidation, recapitalization, late stage and middle market investments.
Compass Diversified Competitors
Price History & Performance
| Historical stock prices | |
|---|---|
| Current Share Price | US$21.70 |
| 52 Week High | US$33.31 |
| 52 Week Low | US$20.30 |
| Beta | 1.75 |
| 1 Month Change | -8.28% |
| 3 Month Change | -5.90% |
| 1 Year Change | -13.51% |
| 3 Year Change | 34.12% |
| 5 Year Change | 33.54% |
| Change since IPO | 44.38% |
Recent News & Updates
A More Aggressive Compass Diversified Holdings Could Be Better For Its Shareholders
Supply chain challenges are impacting the business, but Compass' portfolio is largely acyclical and should see strong underlying demand. I still believe both 5.11 and Arnold could ultimately be even stronger contributors to the business than they are today, but more patience will be required. Management has made it clear that they are looking for more growth, with an increased willingness to invest in growth projects at portfolio companies and acquire faster-growing portfolio companies. I'm expecting a somewhat faster pace of growth from Compass, with increased distribution-paying capability down the line, and the shares look undervalued today.
Shareholder Returns
| CODI | US Diversified Financial | US Market | |
|---|---|---|---|
| 7D | -4.5% | -1.7% | -2.7% |
| 1Y | -13.5% | 4.2% | -12.9% |
Return vs Industry: CODI underperformed the US Diversified Financial industry which returned 4.2% over the past year.
Return vs Market: CODI matched the US Market which returned -12.9% over the past year.
Price Volatility
| CODI volatility | |
|---|---|
| CODI Average Weekly Movement | 6.2% |
| Diversified Financial Industry Average Movement | 7.1% |
| Market Average Movement | 7.9% |
| 10% most volatile stocks in US Market | 16.9% |
| 10% least volatile stocks in US Market | 3.0% |
Stable Share Price: CODI is not significantly more volatile than the rest of US stocks over the past 3 months, typically moving +/- 6% a week.
Volatility Over Time: CODI's weekly volatility (6%) has been stable over the past year.
About the Company
| Founded | Employees | CEO | Website |
|---|---|---|---|
| 2005 | 4,113 | Elias Sabo | https://compassdiversified.com |
Compass Diversified is a private equity firm specializing in add on acquisitions, buyouts, industry consolidation, recapitalization, late stage and middle market investments. It seeks to invest in niche industrial or branded consumer companies, manufacturing, distribution, consumer products, business services sector, safety & security, electronic components, food, foodservice. The firm prefers to invest in companies based in North America.
Compass Diversified Fundamentals Summary
| CODI fundamental statistics | |
|---|---|
| Market Cap | US$1.52b |
| Earnings (TTM) | -US$42.70m |
| Revenue (TTM) | US$1.94b |
0.8x
P/S Ratio-35.7x
P/E RatioIs CODI overvalued?
See Fair Value and valuation analysisEarnings & Revenue
| CODI income statement (TTM) | |
|---|---|
| Revenue | US$1.94b |
| Cost of Revenue | US$1.18b |
| Gross Profit | US$762.49m |
| Other Expenses | US$805.19m |
| Earnings | -US$42.70m |
Last Reported Earnings
Mar 31, 2022
Next Earnings Date
n/a
| Earnings per share (EPS) | -0.61 |
| Gross Margin | 39.23% |
| Net Profit Margin | -2.20% |
| Debt/Equity Ratio | 98.6% |
How did CODI perform over the long term?
See historical performance and comparisonDividends
4.6%
Current Dividend Yield-190%
Payout RatioValuation
Is Compass Diversified undervalued compared to its fair value and its price relative to the market?
Valuation Score
0/6Valuation Score 0/6
Below Fair Value
Significantly Below Fair Value
PE vs Industry
PE vs Market
PEG Ratio
PB vs Industry
1.84x
Price to Book (PB) ratio
Share Price vs. Fair Value
Below Fair Value: Insufficient data to calculate CODI's fair value for valuation analysis.
Significantly Below Fair Value: Insufficient data to calculate CODI's fair value for valuation analysis.
Price To Earnings Ratio
PE vs Industry: CODI is unprofitable, so we can't compare its PE Ratio to the US Diversified Financial industry average.
PE vs Market: CODI 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 CODI's PEG Ratio to determine if it is good value.
Price to Book Ratio
PB vs Industry: CODI is overvalued based on its PB Ratio (1.8x) compared to the US Diversified Financial industry average (0.9x).
Future Growth
How is Compass Diversified forecast to perform in the next 1 to 3 years based on estimates from 4 analysts?
Future Growth Score
4/6Future Growth Score 4/6
Earnings vs Savings Rate
Earnings vs Market
High Growth Earnings
Revenue vs Market
High Growth Revenue
Future ROE
33.3%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: CODI is forecast to become profitable over the next 3 years, which is considered faster growth than the savings rate (1.9%).
Earnings vs Market: CODI is forecast to become profitable over the next 3 years, which is considered above average market growth.
High Growth Earnings: CODI's is expected to become profitable in the next 3 years.
Revenue vs Market: CODI's revenue (8.2% per year) is forecast to grow faster than the US market (7.8% per year).
High Growth Revenue: CODI's revenue (8.2% 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 CODI's Return on Equity is forecast to be high in 3 years time
Past Performance
How has Compass Diversified performed over the past 5 years?
Past Performance Score
0/6Past Performance Score 0/6
Quality Earnings
Growing Profit Margin
Earnings Trend
Accelerating Growth
Earnings vs Industry
High ROE
-12.3%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: CODI is currently unprofitable.
Growing Profit Margin: CODI is currently unprofitable.
Past Earnings Growth Analysis
Earnings Trend: CODI is unprofitable, and losses have increased over the past 5 years at a rate of 12.3% per year.
Accelerating Growth: Unable to compare CODI's earnings growth over the past year to its 5-year average as it is currently unprofitable
Earnings vs Industry: CODI is unprofitable, making it difficult to compare its past year earnings growth to the Diversified Financial industry (-3.7%).
Return on Equity
High ROE: CODI has a negative Return on Equity (2.31%), as it is currently unprofitable.
Financial Health
How is Compass Diversified's financial position?
Financial Health Score
3/6Financial Health Score 3/6
Short Term Liabilities
Long Term Liabilities
Debt Level
Reducing Debt
Stable Cash Runway
Forecast Cash Runway
Financial Position Analysis
Short Term Liabilities: CODI's short term assets ($1.2B) exceed its short term liabilities ($356.3M).
Long Term Liabilities: CODI's short term assets ($1.2B) do not cover its long term liabilities ($1.5B).
Debt to Equity History and Analysis
Debt Level: CODI's net debt to equity ratio (91.1%) is considered high.
Reducing Debt: CODI's debt to equity ratio has increased from 65.6% to 98.6% 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 CODI has sufficient cash runway for more than 3 years if it maintains its current positive free cash flow level.
Forecast Cash Runway: CODI is unprofitable but has sufficient cash runway for more than 3 years, due to free cash flow being positive and growing by 9.3% per year.
Dividend
What is Compass Diversified current dividend yield, its reliability and sustainability?
Dividend Score
2/6Dividend Score 2/6
Notable Dividend
High Dividend
Stable Dividend
Growing Dividend
Earnings Coverage
Future Dividend Coverage
4.61%
Current Dividend Yield
Dividend Yield vs Market
Notable Dividend: CODI's dividend (4.61%) is higher than the bottom 25% of dividend payers in the US market (1.58%).
High Dividend: CODI's dividend (4.61%) is in the top 25% of dividend payers in the US market (4.11%)
Stability and Growth of Payments
Stable Dividend: CODI's dividend payments have been volatile in the past 10 years.
Growing Dividend: CODI's dividend payments have fallen over the past 10 years.
Earnings Payout to Shareholders
Earnings Coverage: CODI is paying a dividend but the company is unprofitable.
Cash Payout to Shareholders
Cash Flow Coverage: With its high cash payout ratio (331.6%), CODI's dividend payments are not well covered by cash flows.
Discover strong dividend paying companies
Management
How experienced are the management team and are they aligned to shareholders interests?
3.3yrs
Average management tenure
CEO
Elias Sabo (50 yo)
4yrs
Tenure
Mr. Elias Joseph Sabo serves as a Partner, Chief Executive Officer and Director at Compass Diversified since May 03, 2018. He serves as Chief Executive Officer at Compass Group Diversified Holdings LLC. si...
Leadership Team
Experienced Management: CODI's management team is considered experienced (3.3 years average tenure).
Board Members
Experienced Board: CODI's board of directors are considered experienced (9.7 years average tenure).
Ownership
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: CODI insiders have bought more shares than they have sold in the past 3 months.
Recent Insider Transactions
Ownership Breakdown
Dilution of Shares: Shareholders have been diluted in the past year, with total shares outstanding growing by 8.1%.
Top Shareholders
Company Information
Compass Diversified's employee growth, exchange listings and data sources
Key Information
- Name: Compass Diversified
- Ticker: CODI
- Exchange: NYSE
- Founded: 2005
- Industry: Multi-Sector Holdings
- Sector: Diversified Financials
- Implied Market Cap: US$1.523b
- Shares outstanding: 70.17m
- Website: https://compassdiversified.com
Number of Employees
Location
- Compass Diversified
- 301 Riverside Avenue
- 2nd Floor
- Westport
- Connecticut
- 6880
- United States
Listings
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2022/05/21 00:00 |
| End of Day Share Price | 2022/05/20 00:00 |
| Earnings | 2022/03/31 |
| 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.