What Should You Know About Core-Mark Holding Company Inc’s (CORE) Future?
Based on the latest analyst predictions, Core-Mark Holding Company Inc (NASDAQ:CORE) is estimated to considerably grow its earnings by 57.21% in the upcoming three years. Presently, with an EPS of $0.89, we can expect an upcoming EPS of $1.399. To determine whether this growth rate expectation is justified, we should take a look at how the company has been performing in the past. View our latest analysis for Core-Mark Holding Company
How is CORE going to perform in the future?
Investors in Core-Mark Holding Company have been patiently waiting for the uptick in earnings and if you believe the analysts covering the stock then the following year will be very interesting. Expectation based on 5 analysts is strong, with earnings estimated to increase from current levels of $0.89 to $1.399 over the next couple of years. This indicates a relatively solid earnings per share growth rate of 57.21% over the next few years, which is an optimistic outlook in the near term. In the same period revenue is expected to jump from $11,832M to $18,401M and profit is predicted to grow from $41M to $65M in the next couple of years, growing by 57.21%. Though, at the current levels of revenue and profit, margins are certainly underwhelming.
Basis for the growth
The past can be a helpful indicator for future performance for a stock. We can determine whether this level of expected growth is sustainable and whether the company continues to go from strength to strength. CORE’s earnings growth the past couple of years was 69.87% which indicates that the company’s past performance will continue to persist into the future. This means CORE has already proven its capacity to grow at a strong rate, which should give investors higher conviction of analysts’ consensus prediction for the company’s future growth going forward.
Next Steps:
For CORE, there are three relevant factors you should look at:
1. Financial Health: Does it have a healthy balance sheet? Take a look at our free balance sheet analysis with six simple checks on key factors like leverage and risk.
2. Valuation: What is CORE worth today? Is the stock undervalued, even when its growth outlook is factored into its intrinsic value? The intrinsic value infographic in our free research report helps visualize whether CORE is currently mispriced by the market.
3. Other High-Growth Alternatives : Are there other high-growth stocks you could be holding instead of CORE? Explore our interactive list of stocks with large growth potential to get an idea of what else is out there you may be missing!
To help readers see pass the short term volatility of the financial market, we aim to bring you a long-term focused research analysis purely driven by fundamental data. Note that our analysis does not factor in the latest price sensitive company announcements.
The author is an independent contributor and at the time of publication had no position in the stocks mentioned.
