Cementos Pacasmayo SAA: A High-Performing Stock with a GF Score of 91
Cementos Pacasmayo SAA (NYSE:CPAC) is a leading player in the building materials industry. As of August 15, 2023, the company's stock price stands at $5.57, with a market capitalization of $476.903 million. The stock has seen a gain of 3.15% today and a 4.31% increase over the past four weeks. According to the GF Score, CPAC has a score of 91 out of 100, indicating the highest outperformance potential. This article will delve into the components of the GF Score to provide a comprehensive analysis of CPAC's performance.
Financial Strength Analysis
The Financial Strength of a company is a measure of its financial situation. CPAC has a Financial Strength Rank of 7 out of 10. This is based on its low debt burden, as indicated by an interest coverage of 3.43, and a low debt to revenue ratio of 0.01. The company's Altman Z-Score, another measure of financial health, stands at 1.75.
Profitability Rank Analysis
CPAC's Profitability Rank is 9 out of 10, indicating high profitability. The company's operating margin is 17.27%, and its Piotroski F-Score is 6. Despite a 5-year average operating margin trend of -5.80%, the company has consistently been profitable over the past 10 years. Its predictability rank is 4, suggesting stable future earnings.
Growth Rank Analysis
The Growth Rank of CPAC is 10 out of 10, indicating strong growth in terms of revenue and profitability. The company's 5-year revenue growth rate is 12.60%, and its 3-year revenue growth rate is 15.00%. The 5-year EBITDA growth rate is also impressive at 10.30%.
GF Value Rank Analysis
The GF Value Rank of CPAC is 3 out of 10. This rank is determined by the price-to-GF-Value ratio, a proprietary metric calculated based on historical multiples and an adjustment factor based on a company's past returns and growth and future estimates of the business' performance.
Momentum Rank Analysis
CPAC's Momentum Rank is 8 out of 10, indicating strong momentum in the stock's performance. This rank is determined using the standardized momentum ratio and other momentum indicators.
Competitor Analysis
CPAC's competitors in the building materials industry include Unacem Corp SAA, CRH PLC, and Holcim Ltd. Compared to these competitors, CPAC's GF Score of 91 is significantly higher than Unacem Corp SAA's score of 58, CRH PLC's score of 84, and Holcim Ltd's score of 74. This suggests that CPAC is a strong performer in its industry. More details about the competitors can be found here.
Conclusion
In conclusion, Cementos Pacasmayo SAA's high GF Score of 91 indicates strong financial strength, profitability, growth, and momentum. The company's performance outshines its competitors in the building materials industry. Therefore, potential investors should consider CPAC as a promising investment opportunity.
This article first appeared on GuruFocus.
