Core Mark Story

CORE -- USA Stock

USD 42.71 0.98 2.24%

Macroaxis Story

Core Mark Invested Capital Average is projected to increase significantly based on the last few years of reporting. The past year's Invested Capital Average was at 1.94 Billion. The current year Interest Coverage is expected to grow to 7.59, whereas Revenue Per Employee is forecasted to decline to about 1.7 M. While many traders are getting carried away by overanalyzing consumer defensive space, it is reasonable to digest Core Mark Holding. We will cover the possibilities of making Core Mark into a steady grower in March. Here I will also expose some primary fundamental factors affecting Core Mark's services, and outline how it will impact the outlook for investors this year.

Published over a month ago

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What are the odds of Core Mark to dip in March?

This firm reported the previous year's revenue of 13.52 B. Net Income was 60.4 M with profit before overhead, payroll, taxes, and interest of 924.2 M.

And What about dividends?

A dividend is the distribution of a portion of Core Mark earnings, decided and managed by the company's board of directors and paid to a class of its shareholders. Note, announcements of dividend payouts are generally accompanied by a proportional increase or decrease in a company's stock price. Core Mark dividend payments follow a chronological order of events, and the associated dates are important to determine the shareholders who qualify for receiving the dividend payment. Core Mark one year expected dividend income is about $0.23 per share.

As of April 20, 2021, Payment of Dividends and Other Cash Distributions is expected to decline to about (22.9 M). In addition to that, Dividend Yield is expected to decline to 0.0171.

	Last Reported	Projected for 2021
Payment of Dividends and Other Cash Distributions	-22.3 M	-22.9 M
Dividend Yield	0.0196	0.0171
Dividends per Basic Common Share	0.49	0.43

Investing in dividend-paying stocks, such as Core Mark Holding is one of the few strategies that are good for long-term investment. Ex-dividend dates are significant because investors in Core Mark must own a stock before its ex-dividend date to receive its next dividend.

This type of analysis is very useful when you want to generate a past dividend schedule and payout information for Core Mark. Then that information in the form of graph and calendar can be used to fully explain how Du Pont dividends can provide a real clue to its valuation.

How important is Core Mark's Liquidity

Core Mark financial leverage refers to using borrowed capital as a funding source to finance Core Mark Holding ongoing operations. It is usually used to expand the firm's asset base and generate returns on borrowed capital. Core Mark financial leverage is typically calculated by taking the company's all interest-bearing debt and dividing it by total capital. So the higher the debt-to-capital ratio (i.e., financial leverage), the riskier the company. Please check the breakdown between Core Mark's total debt and its cash.

How Core Mark utilizes its cash?

To perform a cash flow analysis of Core Mark, investors first need to understand how to read the cash flow statement. A cash flow statement shows the amount of cash Core Mark is receiving and how much cash it distributes out in a given period. The Core Mark cash flow statement breaks down these inflows and outflows into different buckets, including operating activities, investing activities, and financing activities.

Core Mark Net Cash Flow from Operations is projected to increase significantly based on the last few years of reporting. The past year's Net Cash Flow from Operations was at 147.8 Million

What did Core Mark file with SEC?

The SEC filings are financial statements or other formal documents of Core Mark Holding that are regularly submitted to the U.S. Securities and Exchange Commission (SEC). Public companies, certain insiders, and broker-dealers are required to make SEC filings and fintech professionals rely on these filings for information about companies they are evaluating for investment purposes. Please note, most SEC filings are available online through the SEC's EDGAR database.

Please check here for more information.

Please note, although all public domestic companies are required to submit their filings via EDGAR, not all public companies are available through our service. Also, keep in mind that the actual annual reports to Core Mark shareholders may or may not be submitted as SEC does not always require it.

	1st of March 2021 Financial Statements and Exhibits. Other Events. Results of Operations and Financial Condition	View
	12th of February 2021 Unclassified Corporate Event	View

A Deeper Perspective

Core Mark Holding retains a total of 44.92 Million outstanding shares. The majority of Core Mark Holding outstanding shares are owned by other corporate entities. These outside corporations are usually referred to as non-private investors looking to acquire positions in Core Mark Holding to benefit from reduced commissions. Consequently, institutional investors are subject to a different set of regulations than regular investors in Core Mark. Please pay attention to any change in the institutional holdings of Core Mark Holding as this could imply that something significant has changed or about to change at the company. Note that regardless of who owns the company, if the true value of the entity is less than the market is willing to pay for it, you may not be able to generate positive returns over time.

Ownership Breakdown

Institutions

94.08%

	Retail Investors	3.86
	Insiders	2.06
	Institutions	94.08

Core Mark technical analysis indicates possible collapse

Latest coefficient of variation is at 5806.66. Core Mark Holding currently demonstrates below-average downside deviation. It has Information Ratio of -0.01 and Jensen Alpha of 0.03. However, we advise investors to further question Core Mark Holding expected returns to ensure all indicators are consistent with the current outlook about its relatively low value at risk. Understanding different market volatility trends often help investors to time the market. Properly using volatility indicators enable traders to measure Core Mark's stock risk against market volatility during both bullying and bearish trends. The higher level of volatility that comes with bear markets can directly impact Core Mark's stock price while adding stress to investors as they watch their shares' value plummet. This usually forces investors to rebalance their portfolios by buying different stocks as prices fall.

The Bottom Line

Although some other companies within the food distribution industry are still a little expensive, even after the recent corrections, Core Mark may offer a potential longer-term growth to shareholders. With an impartial outlook on the current market volatility, it may be better to hold off any inventment activity and neither purchase nor short any shares of Core Mark at this time. The Core Mark Holding risk-reward trade off is not appealing enough to do any trading. Please use our equity advice module to run different scenarios to ensure your current risk level and investment horizon are fully reflective of your current investing preferences in regards to Core Mark.

About Contributor

Vlad Skutelnik is a Macroaxis Contributor. Vlad covers stocks, funds, cryptocurrencies, and ETFs that are traded in North America, focusing primarily on fundamentals, valuation and market volatility. He has many years of experience in fintech, predictive investment analytics, and risk management. View Profile

This story should be regarded as informational only and should not be considered a solicitation to sell or buy any financial products. Macroaxis does not express any opinion as to the present or future value of any investments referred to in this post. This post may not be reproduced without the consent of Macroaxis LLC. Macroaxis LLC and Vlad Skutelnik do not own shares of Core Mark Holding. Please refer to our Terms of Use for any information regarding our disclosure principles.

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