Fundamental analysis: Cal-Maine Foods, Inc. (CALM)

Awarener score: 6.0

Conclusion

The higher the Awarener score, the more bang you get for the buck. It measures how much genuine funds the company generates for the stock price paid (Average), the business stability (Lacking) and growth (Average), and the company's inclination to return cash to the stockholders (Average).

Note: All scores range from 1 (worst) to 10 (best). Conclusions are updated daily with closing stock prices and new reported quarterly financial statements.

Revenue score: 5.0

Business has been growing at a low pace. It's been almost average when measured against peer companies.
Cal-Maine Foods, Inc. business shows some variation, there's some risk. It looks mediocre against rivals.

Margins score: 5.5

CALM profit margins -on goods and services sold- are usually very poor. They stand slightly worse than rival companies.
Business profit on sales tends to be good. It's encouraging in relation to competitors.
Profits on sales made -available to repay debt and purchase properties- are usually hardly sufficient. They remain rather normal in relation to peers.
Earnings -before income taxes and interests on loans taken- tend to be sufficient in relation to total revenues. They're still well ranked against similar companies.
Profits -before income taxes- are usually sufficient considering total sales, and remain more than average in relation to rivals.
Total net profit tends to be sufficient when confronted to sales. Company stands great when measured against comparable firms.

Growth score: 3.4

Cal-Maine Foods, Inc. profit -on goods and services sold- has been growing at an excellent pace. It's been in good shape compared to competitors.
In recent years, the firm hasn't always been able to profit from operations, which has been bottom tier against comparable firms.
Profits -available to repay debt and purchase properties- have been growing at an extremely fast pace, which compares encouraging in relation to peer enterprises.
In the previous years, the firm couldn't always make a profit -before income taxes and interests on loans taken-. It turns to be a disappointment compared to similar stocks.
In past years, at least once the company lost money -before income taxes-. It was bottom tier against rivals.
In the previous years, the firm had at least a total net loss, and last-in-rank when measured against peer companies.
The company lost money at least once in the past years. It's been a disappointment compared to industry peers.

Miscellaneous score: 8.0

CALM managed to pay little to no income taxes on profits made in the past years. It's been well ranked against peers.
The company does not report R&D expenses. It's meaningless to measure in relation to competitors.
We have insufficient data to estimate how effective is research and development effort. It stands unknown against rival companies.

Profitability score: 7.8

Cal-Maine Foods, Inc. usually gets very good returns on the resources it controls. It proves more than average in relation to peer firms.
The company normally gets very good proceeds -on the resources directly invested in the business-. They remain excellent in relation to similar companies.
Profitability -in relation to owned resources- is usually quite good. It ranks encouraging in relation to competitors.
In the past, got very good returns -on the tangible resources it controls-. This metric is usually related to the industry in which operates and combines profitability versus reinvestment needs. It's more than average in relation to comparable enterprises.

Usage of Funds score: 5.1

CALM usually uses a very large portion of genuine funds generated to buy or replace property, plant, or equipment. The need for reinvestments is heavy. It stands more than average in relation to rival firms.
The company is usually somewhat investing in new property, plant, and equipment, to improve its operating capabilities, which is almost average when measured against industry peers.
In the past twelve months it paid somewhat low dividends, considering the current stock price. It came worse than most competitors.
In recent years, has greatly cut back dividend payments. It could be enduring difficult times. The company has behaved in a very weak position compared to similar firms.
Dividend payments usually represent a modest portion of genuine funds generation and shouldn't be at risk. Sustainability looks slightly worse than comparable companies.
The company barely enlarges the pool of investors, resulting in slightly more mouths feeding on the pie of profits. It remains close to average when compared to peer enterprises.
Repurchase effectiveness metric is very complex. Run again in analytical mode if you're interested in a technical explanation. It stands close to average when compared to rivals.
The company uses a modest portion of genuine fund generation to reward investors, which can probably be sustained. It still looks almost average when measured against competitors.

Balance Sheet score: 6.8

Cal-Maine Foods, Inc. intangible assets (like brands and goodwill) represent a very small portion of resources controlled, according to accounting books, which is mostly safe. It happens to be almost average when measured against peer companies.
The company has more than enough short-term resources to face short-term obligations. Liquidity concerns are non-significant. It turns to be a slight improvement compared to similar firms.
All resources are company owned, with virtually no financial debt. Financial position is outstanding. The company could significantly borrow money if it wished so, to reinvest in business, to buy a smaller company or to reward stockholders. It remains top-notch against rival firms.
Most controlled resources can be made into cash reasonably quick, which is good for liquidity and risk. It looks encouraging in relation to rivals.
For every dollar of short-term obligations, the company has more than enough dollars in cash and short-term receivables. It's a slight improvement compared to peer firms.
For every dollar of short-term obligations, the company has roughly another of cash and equivalents, which is somewhat better than similar enterprises.
Usually, sales are on a month and a half credit. It still ranks almost average when measured against peers.
Normally has approximately somewhat more than two months of sales worth in inventory. It comes up as close to average when compared to competitors.
On average, it takes higher than four months from the purchase to charging customers. It happens to be slightly worse than peers.
On average pays suppliers two months after the purchase. It ranks below average when measured against industry peers.
The company pays its suppliers roughly two months before charging its customers, so there's some money invested in working capital. It's close to average when compared to similar companies.
Company earns net interest income on its investments and therefore is in a quite comfortable financial position. It stands top-notch against rival firms.
There is insufficient data to conclude on the relationship of EBITDA and debt for this company. It ranks unknown against comparable enterprises.
Revenues are modest in relation to property, plant, and equipment required to operate. This metric is likely dependent on the industry the company operates in. The more property, plant, and equipment used, the more the company must reinvest to fight obsolescence, which usually means less available funds for the shareholders in the long run. It looks rather normal in relation to similar firms.
Resource exploitation is excellent when yearly sales are considered. This metric is normally tied to the industry where the firm belongs. It's still somewhat better than peer companies.

Valuation score: 6.9

Cal-Maine Foods, Inc. looks cheap in relation to profits and financial position. It happens to be great when measured against competitors.
Price-to-Tangible-Book-Value is a fairly complex metric. Run again in analytical mode if you're interested in a technical explanation. It remains in a weak position compared to peers.
In the past twelve months, the company generated some good free funds in relation to the stock price, which stands better than most similar companies.
The company usually generates somewhat more than enough genuine funds to cover up for its business needs. Surplus cash may be used to repay loans, to eventually buy new businesses, or to reward investors. Considering the financial position and stock price, the current valuation might be reasonable. It's still similar to industry firms.
In the past twelve months, the company hasn't rewarded investors, considering both dividends and share on the pie of earnings. It came up lacking compared to peer ventures.
The company has substantial more cash than debt. It might be poised to increase stockholder payments, or to fund new business projects. It looks top-notch against similar enterprises.
Considering the past twelve months, traditional Price-to-Earnings relation might be reasonable. It ranks almost average when measured against peer companies.
Comparing the current stock price with the past twelve-months revenues gives a more than one-to-one relationship. This is an important metric to check its evolution through time, and to compare to industry peers. It looks lacking compared to rival firms.
The relation between the stock price and accounting book value is high, which may be good or bad depending on context. Run again in analytic mode if you want to dig deeper. The company remains mediocre against peer firms.
In the past twelve months, the operating business earned great money when compared to the current stock price and financial position. It happens to be great when measured against industry peers.
In an alternate metric of bang for the buck, the company has usually shown a good earnings power ability when measured against the current stock price and financial position. It's still rather normal in relation to peer companies.

Total score: 6.1

Company at a glance: Cal-Maine Foods, Inc. (CALM)

Sector, industry: Consumer Defensive, Farm Products

Market Cap: 2.66 billions

Revenues TTM: 2.12 billions

Cal-Maine Foods, Inc., together with its subsidiaries, produces, grades, packages, markets, and distributes shell eggs. The company offers specialty shell eggs, such as nutritionally enhanced, cage free, organic, and brown eggs under the Egg-Land's Best, Land O' Lakes, Farmhouse Eggs, and 4-Grain brand names, as well as under private labels. It sells its products to various customers, including national and regional grocery store chains, club stores, independent supermarkets, foodservice distributors, and egg product consumers primarily in the southwestern, southeastern, mid-western, and mid-Atlantic regions of the United States. Cal-Maine Foods, Inc. was founded in 1957 and is headquartered in Ridgeland, Mississippi.