NYSE:CMP

Stock Analysis Report

Compass Minerals International

Executive Summary

Compass Minerals International, Inc., produces and sells salt, and specialty plant nutrition and chemical products primarily in the United States, Canada, Brazil, and the United Kingdom.

Snowflake

Fundamentals

Established dividend payer with reasonable growth potential.


Similar Companies

Share Price & News

How has Compass Minerals International's share price performed over time and what events caused price changes?


Latest Share Price and Events


Market Performance


7 Day Return

-0.3%

CMP

0.7%

US Metals and Mining

1.0%

US Market


1 Year Return

-16.8%

CMP

-7.8%

US Metals and Mining

8.0%

US Market

Return vs Industry: CMP underperformed the US Metals and Mining industry which returned -7.8% over the past year.

Return vs Market: CMP underperformed the US Market which returned 8% over the past year.


Shareholder returns

CMPIndustryMarket
7 Day-0.3%0.7%1.0%
30 Day-0.03%-3.1%-0.07%
90 Day1.9%-7.5%-1.0%
1 Year-12.0%-16.8%-5.0%-7.8%10.4%8.0%
3 Year-8.9%-20.9%9.4%3.7%46.2%36.7%
5 Year-18.3%-33.5%-1.2%-8.7%64.3%46.2%

Price Volatility Vs. Market

How volatile is Compass Minerals International's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Compass Minerals International undervalued compared to its fair value and its price relative to the market?

32.52x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: CMP ($56.46) is trading above our estimate of fair value ($47.84)

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


Price To Earnings Ratio

PE vs Industry: CMP is poor value based on its PE Ratio (32.5x) compared to the Metals and Mining industry average (13.2x).

PE vs Market: CMP is poor value based on its PE Ratio (32.5x) compared to the US market (17.6x).


Price to Earnings Growth Ratio

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


Price to Book Ratio

PB vs Industry: CMP is overvalued based on its PB Ratio (3.7x) compared to the US Metals and Mining industry average (1.4x).


Next Steps

Future Growth

How is Compass Minerals International forecast to perform in the next 1 to 3 years based on estimates from 8 analysts?

35.0%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: CMP's forecast earnings growth (35% per year) is above the savings rate (2.7%).

Earnings vs Market: CMP's earnings (35% per year) are forecast to grow faster than the US market (14.5% per year).

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

Revenue vs Market: CMP's revenue (5.9% per year) is forecast to grow slower than the US market (7.2% per year).

High Growth Revenue: CMP's revenue (5.9% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: CMP's Return on Equity is forecast to be high in 3 years time (24%)


Next Steps

Past Performance

How has Compass Minerals International performed over the past 5 years?

-29.1%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Earnings Trend: CMP's earnings have declined by -29.1% per year over the past 5 years.

Accelerating Growth: CMP's earnings growth over the past year (83.2%) exceeds its 5-year average (-29.1% per year).

Earnings vs Industry: CMP earnings growth over the past year (83.2%) exceeded the Metals and Mining industry 26.8%.


Return on Equity

High ROE: CMP's Return on Equity (11.4%) is considered low.


Return on Assets

ROA vs Industry: CMP's Return on Assets is below or equal to the Metals and Mining industry average last year.


Return on Capital Employed

ROCE Improving: CMP's Return on Capital Employed has declined over the past 3 years.


Next Steps

Financial Health

How is Compass Minerals International's financial position?


Financial Position Analysis

Short Term Liabilities: CMP's short term assets ($625.2M) exceeds its short term liabilities ($276.4M)

Long Term Liabilities: CMP's short term assets (625.2M) do not cover its long term liabilities (1.5B)


Debt to Equity History and Analysis

Debt Level: CMP's debt to equity ratio (257.9%) is considered high

Reducing Debt: CMP's debt to equity ratio has increased from 109.3% to 257.9% over the past 5 years.

Debt Coverage: CMP's debt is not well covered by operating cash flow (8.3%).

Interest Coverage: CMP's interest payments on its debt are not well covered by EBIT (2.1x coverage).


Balance Sheet

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

Debt Coverage by Assets: CMP's debt is not covered by short term assets (assets are 0.5x debt).


Next Steps

Dividend

What is Compass Minerals International's current dividend yield, its reliability and sustainability?

5.10%

Current Dividend Yield


Dividend Yield vs Market

company5.1%marketbottom25%1.4%markettop25%3.7%industryaverage2.6%forecastin3Years5.2%

Current dividend yield vs market & industry


Stability and Growth of Payments

Notable Dividend: CMP's dividend (5.1%) is higher than the bottom 25% of dividend payers in the US market (1.44%).

High Dividend: CMP's dividend (5.1%) is in the top 25% of dividend payers in the US market (3.68%)

Stable Dividend: CMP's dividends per share have been stable in the past 10 years.

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


Current Payout to Shareholders

Dividend Coverage: With its high payout ratio (165.9%), CMP's dividend payments are not well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: CMP's dividends in 3 years are forecast to be covered by earnings (76.5% payout ratio).


Next Steps

Management

What is the CEO of Compass Minerals International's salary, the management and board of directors tenure and is there insider trading?

1.8yrs

Average management tenure


CEO

Kevin Crutchfield (58yo)

0.4yrs

Tenure

0

Mr. Kevin S. Crutchfield is President, Chief Executive Officer and Director at Compass Minerals International, Inc. since May 7, 2019. Mr. Crutchfield served as a Chief Executive Officer at Contura Energy, ...


Management Age and Tenure

1.8yrs

Average Tenure

55yo

Average Age

Experienced Management: CMP's management team is not considered experienced ( 1.8 years average tenure), which suggests a new team.


Board Age and Tenure

5.9yrs

Average Tenure

60yo

Average Age

Experienced Board: CMP's board of directors are considered experienced (5.9 years average tenure).


Insider Trading

Insider Buying: CMP insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

BuyUS$98,92019 Aug 19
Kevin Crutchfield
EntityIndividual
Role
Chief Executive Officer
President
Shares2,000
Max PriceUS$49.46
BuyUS$18,15318 Jun 19
Richard Grant
EntityIndividual
Role
Chairman of the Board
Independent Non-Executive Chairman
Shares330
Max PriceUS$55.01
BuyUS$104,40013 May 19
Valdemar Fischer
EntityIndividual
Role
Member of the Board of Directors
Independent Director
Shares2,000
Max PriceUS$52.20
BuyUS$53,51013 May 19
Joseph Reece
EntityIndividual
Role
Member of the Board of Directors
Independent Director
Shares1,000
Max PriceUS$53.51
BuyUS$36,54713 May 19
Lori Walker
EntityIndividual
Role
Member of the Board of Directors
Independent Director
Shares700
Max PriceUS$52.21
BuyUS$36,01913 May 19
James Standen
EntityIndividual
Role
Chief Financial Officer
Chief Financial Officer
Shares692
Max PriceUS$52.05
BuyUS$105,08028 Mar 19
Richard Grant
EntityIndividual
Role
Chairman of the Board
Independent Non-Executive Chairman
Shares2,000
Max PriceUS$52.54
BuyUS$16,45819 Mar 19
Richard Grant
EntityIndividual
Role
Chairman of the Board
Independent Non-Executive Chairman
Shares305
Max PriceUS$53.96
BuyUS$35,81311 Dec 18
James Standen
EntityIndividual
Role
Chief Financial Officer
Chief Financial Officer
Shares750
Max PriceUS$47.75

Ownership Breakdown


Management Team

  • Kevin Crutchfield (58yo)

    President

    • Tenure: 0.4yrs
  • Bob Miller (61yo)

    Senior Advisor

    • Tenure: 2.9yrs
    • Compensation: US$868.39k
  • George Schuller (55yo)

    Chief Operations Officer

    • Tenure: 0.3yrs
  • Theresa Womble

    Director of Investor Relations & Assistant Treasurer

    • Tenure: 5.3yrs
  • Jamie Standen (43yo)

    Chief Financial Officer

    • Tenure: 2.2yrs
    • Compensation: US$1.35m
  • John Craft (56yo)

    VP & Corporate Controller

    • Tenure: 1.5yrs
    • Compensation: US$493.12k
  • Chris Heywood

    Head of Sales & Logistics - UK

    • Tenure: 4.7yrs
  • Brad Griffith (51yo)

    Chief Commercial Officer

    • Tenure: 3.2yrs
    • Compensation: US$1.39m
  • Robert Fisher

    Vice President of Information Technology Services (ITS)

    • Tenure: 1yrs
  • Angela Jones (55yo)

    Senior Vice President of People & Culture

    • Tenure: 1.1yrs

Board Members

  • Joe Reece (57yo)

    Independent Director

    • Tenure: 0.6yrs
  • Allan Rothwell (71yo)

    Independent Director

    • Tenure: 13.6yrs
    • Compensation: US$175.00k
  • David D'Antoni (74yo)

    Independent Director

    • Tenure: 14.9yrs
    • Compensation: US$172.53k
  • Paul Williams (59yo)

    Independent Director

    • Tenure: 10.3yrs
    • Compensation: US$185.00k
  • Lori Walker (61yo)

    Independent Director

    • Tenure: 4.3yrs
    • Compensation: US$190.00k
  • Kevin Crutchfield (58yo)

    President

    • Tenure: 0.4yrs
  • Richard Grant (72yo)

    Independent Non-Executive Chairman

    • Tenure: 0.9yrs
    • Compensation: US$207.50k
  • Eric Ford (64yo)

    Independent Director

    • Tenure: 8.2yrs
    • Compensation: US$177.50k
  • Amy Yoder (52yo)

    Independent Director

    • Tenure: 7.4yrs
    • Compensation: US$177.47k
  • Valdemar Fischer (55yo)

    Independent Director

    • Tenure: 2.7yrs
    • Compensation: US$162.22k

Company Information

Compass Minerals International, Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Compass Minerals International, Inc.
  • Ticker: CMP
  • Exchange: NYSE
  • Founded: 1993
  • Industry: Diversified Metals and Mining
  • Sector: Materials
  • Market Cap: US$1.913b
  • Shares outstanding: 33.88m
  • Website: https://www.compassminerals.com

Number of Employees


Location

  • Compass Minerals International, Inc.
  • 9900 West 109th Street
  • Suite 100
  • Overland Park
  • Kansas
  • 66210
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
CMPNYSE (New York Stock Exchange)YesCommon StockUSUSDDec 2003
CM8DB (Deutsche Boerse AG)YesCommon StockDEEURDec 2003

Biography

Compass Minerals International, Inc., produces and sells salt, and specialty plant nutrition and chemical products primarily in the United States, Canada, Brazil, and the United Kingdom. It operates throug ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/10/21 23:48
End of Day Share Price2019/10/21 00:00
Earnings2019/06/30
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.