NYSE:CRCM

Stock Analysis Report

Executive Summary

Care.com, Inc. operates an online marketplace for finding and managing family care in the United States and internationally.

Snowflake

Fundamentals

Flawless balance sheet and slightly overvalued.


Similar Companies

Share Price & News

How has Care.com's share price performed over time and what events caused price changes?


Latest Share Price and Events


Market Performance


7 Day Return

6.8%

CRCM

2.7%

US Interactive Media and Services

1.8%

US Market


1 Year Return

-37.8%

CRCM

13.5%

US Interactive Media and Services

7.3%

US Market

Return vs Industry: CRCM underperformed the US Interactive Media and Services industry which returned 13.5% over the past year.

Return vs Market: CRCM underperformed the US Market which returned 7.3% over the past year.


Shareholder returns

CRCMIndustryMarket
7 Day6.8%2.7%1.8%
30 Day8.0%-0.09%-0.7%
90 Day2.5%3.1%0.06%
1 Year-37.8%-37.8%13.6%13.5%9.7%7.3%
3 Year22.1%22.1%44.7%44.7%46.3%36.9%
5 Year33.5%33.5%93.7%93.5%64.5%46.5%

Price Volatility Vs. Market

How volatile is Care.com's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Care.com undervalued compared to its fair value and its price relative to the market?

36.6%

Undervalued compared to fair value


Share Price vs. Fair Value

Undervalued: CRCM ($10.99) is trading below our estimate of fair value ($17.33)

Significantly Undervalued: CRCM is trading below fair value, but not by a significant amount.


Price To Earnings Ratio

PE vs Industry: CRCM is unprofitable, so we can't compare its PE Ratio to the Interactive Media and Services industry average.

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


Price to Earnings Growth Ratio

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


Price to Book Ratio

PB vs Industry: CRCM is good value based on its PB Ratio (3.3x) compared to the US Interactive Media and Services industry average (3.3x).


Next Steps

Future Growth

How is Care.com forecast to perform in the next 1 to 3 years based on estimates from 5 analysts?

153.0%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

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

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

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

Revenue vs Market: CRCM's revenue (7.3% per year) is forecast to grow faster than the US market (7.3% per year).

High Growth Revenue: CRCM's revenue (7.3% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

High Future ROE: CRCM's Return on Equity is forecast to be low in 3 years time (18.2%).


Next Steps

Past Performance

How has Care.com performed over the past 5 years?

64.9%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Earnings Trend: CRCM is unprofitable, but has reduced losses over the past 5 years at a rate of 64.9% per year.

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

Earnings vs Industry: CRCM is unprofitable, making it difficult to compare its past year earnings growth to the Interactive Media and Services industry (12.3%).


Return on Equity

High ROE: CRCM has a negative Return on Equity (-9.53%), as it is currently unprofitable.


Return on Assets

ROA vs Industry: CRCM is currently unprofitable, so its Return on Assets is negative.


Return on Capital Employed

ROCE Improving: CRCM is currently unprofitable, so its Return on Capital Employed is negative.


Next Steps

Financial Health

How is Care.com's financial position?


Financial Position Analysis

Short Term Liabilities: CRCM's short term assets ($143.1M) exceeds its short term liabilities ($50.3M)

Long Term Liabilities: CRCM's short term assets (143.1M) exceeds its long term liabilities (27.9M)


Debt to Equity History and Analysis

Debt Level: CRCM is debt free.

Reducing Debt: CRCM has not had any debt for past 5 years.


Balance Sheet

Inventory Level: CRCM has a low level of unsold assets or inventory.

Debt Coverage by Assets: Insufficient data to determine if CRCM's debt is covered by short term assets.


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 CRCM has sufficient cash runway for more than 3 years if it maintains its current positive free cash flow level.

Forecast Cash Runway: CRCM is unprofitable but has sufficient cash runway for more than 3 years, due to free cash flow being positive and growing by 24.2% per year.


Next Steps

Dividend

What is Care.com's current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

companyn/amarketbottom25%1.5%markettop25%3.7%industryaverage0.4%forecastin3Yearsn/a

Current dividend yield vs market & industry


Stability and Growth of Payments

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

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

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

Growing Dividend: Insufficient data to determine if CRCM'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 CRCM'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 Care.com's salary, the management and board of directors tenure and is there insider trading?

1.4yrs

Average management tenure


CEO

Sheila Marcelo (49yo)

13yrs

Tenure

US$4,146,447

Compensation

Ms. Sheila Lirio Marcelo founded Care.com, Inc. in 2006 and has been its Chairwoman of the Board since October 2011, Chief Executive Officer since October 2006 and President since October 2006. She had bee ...


CEO Compensation Analysis

Compensation vs. Market: Sheila's total compensation ($USD4.15M) is about average for companies of similar size in the US market ($USD1.79M).

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


Management Age and Tenure

1.4yrs

Average Tenure

Experienced Management: CRCM's management team is not considered experienced ( 1.4 years average tenure), which suggests a new team.


Board Age and Tenure

2.0yrs

Average Tenure

49yo

Average Age

Experienced Board: CRCM's board of directors are not considered experienced ( 2 years average tenure), which suggests a new board.


Insider Trading

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


Recent Insider Transactions

BuyUS$1,107,46814 Aug 19
Tenzing Global Management LLC
EntityCompany
Shares120,000
Max PriceUS$9.37
BuyUS$247,50013 Aug 19
George Bell
EntityIndividual
Role
Lead Director
Lead Independent Director
Shares27,500
Max PriceUS$9.00
SellUS$145,62613 Jun 19
Sheila Marcelo
EntityIndividual
Role
Chief Executive Officer
Founder
Shares10,134
Max PriceUS$14.37
SellUS$11,42413 Jun 19
Melanie Goins
EntityIndividual
Role
Chief Legal Officer
General Counsel & Corporate Secretary
Shares795
Max PriceUS$14.37
SellUS$109,51413 Jun 19
Michael Echenberg
EntityIndividual
Shares7,621
Max PriceUS$14.37
SellUS$43,85713 Jun 19
David Krupinski
EntityIndividual
Role
Top Key Executive
Co-Founder & CTO
Shares3,052
Max PriceUS$14.37
SellUS$28,41629 Apr 19
David Krupinski
EntityIndividual
Role
Top Key Executive
Co-Founder & CTO
Shares1,738
Max PriceUS$16.35
SellUS$28,41629 Apr 19
Diane Musi
EntityIndividual
Shares1,738
Max PriceUS$16.35
SellUS$42,67429 Apr 19
Michael Echenberg
EntityIndividual
Shares2,610
Max PriceUS$16.35
SellUS$113,17029 Apr 19
Sheila Marcelo
EntityIndividual
Role
Chief Executive Officer
Founder
Shares6,888
Max PriceUS$16.43
SellUS$118,02018 Mar 19
Ian Robertson
EntityIndividual
Role
Member of the Board of Directors
Independent Director
Shares6,000
Max PriceUS$19.67
SellUS$54,76314 Mar 19
Marla Blow
EntityIndividual
Role
Member of the Board of Directors
Independent Director
Shares2,770
Max PriceUS$19.77
SellUS$189,78414 Mar 19
Michael Echenberg
EntityIndividual
Shares9,513
Max PriceUS$19.95
SellUS$100,84714 Mar 19
Diane Musi
EntityIndividual
Shares5,055
Max PriceUS$19.95
SellUS$131,94914 Mar 19
David Krupinski
EntityIndividual
Role
Top Key Executive
Co-Founder & CTO
Shares6,614
Max PriceUS$19.95

Ownership Breakdown


Management Team

  • Nancy Bushkin

    Vice President of Global Public Relations & Corporate Communications

    • Tenure: 0yrs
  • Scott Healy

    Executive VP and GM OF Global B2B & Homepay

    • Tenure: 0yrs
  • Sheila Marcelo (49yo)

    Founder

    • Tenure: 13yrs
    • Compensation: US$4.15m
  • Dave Krupinski (53yo)

    Co-Founder & CTO

    • Tenure: 13.8yrs
    • Compensation: US$1.90m
  • Josh Fine

    Senior Vice President of People Operations

    • Tenure: 1.8yrs
  • Mike Goss

    Acting Chief Financial Officer

    • Tenure: 0.2yrs
  • Matt O'Connor

    Senior Vice President of Sales - Care@Work

    • Tenure: 1yrs
  • Melanie Goins

    General Counsel & Corporate Secretary

    • Tenure: 0.8yrs
  • Jonathan Wright

    Corporate Controller

    • Tenure: 0yrs

Board Members

  • George Bell (62yo)

    Lead Independent Director

    • Tenure: 2.1yrs
    • Compensation: US$460.55k
  • Dan Yoo (41yo)

    Independent Director

    • Tenure: 2yrs
    • Compensation: US$144.76k
  • Bill Harris (63yo)

    Independent Director

    • Tenure: 1.7yrs
    • Compensation: US$148.73k
  • Sheila Marcelo (49yo)

    Founder

    • Tenure: 13yrs
    • Compensation: US$4.15m
  • Ian Robertson (52yo)

    Independent Director

    • Tenure: 4.9yrs
    • Compensation: US$287.78k
  • Chet Kapoor (44yo)

    Independent Director

    • Tenure: 3.6yrs
  • Clark Ervin

    Director

    • Tenure: 0.4yrs
  • Marla Blow (48yo)

    Independent Director

    • Tenure: 1.7yrs
    • Compensation: US$152.21k

Company Information

Care.com, Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Care.com, Inc.
  • Ticker: CRCM
  • Exchange: NYSE
  • Founded: 2006
  • Industry: Interactive Media and Services
  • Sector: Media
  • Market Cap: US$360.087m
  • Shares outstanding: 32.77m
  • Website: https://www.care.com

Number of Employees


Location

  • Care.com, Inc.
  • 77 Fourth Avenue
  • Fifth Floor
  • Waltham
  • Massachusetts
  • 2451
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
CRCMNYSE (New York Stock Exchange)YesCommon StockUSUSDJan 2014
32CDB (Deutsche Boerse AG)YesCommon StockDEEURJan 2014
0HTKLSE (London Stock Exchange)YesCommon StockGBUSDJan 2014

Biography

Care.com, Inc. operates an online marketplace for finding and managing family care in the United States and internationally. The company helps families to address their lifecycle of care needs, including c ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/10/18 01:05
End of Day Share Price2019/10/17 00:00
Earnings2019/06/29
Annual Earnings2018/12/29


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.