Covenant Logistics Valuation
| CVLG Stock | USD 44.16 0.06 0.14% |
At this time, the firm appears to be undervalued. Covenant Logistics shows a prevailing Real Value of $46.58 per share. The current price of the firm is $44.16. Our model approximates the value of Covenant Logistics from analyzing the firm fundamentals such as Return On Equity of 0.14, profit margin of 0.05 %, and Current Valuation of 869.19 M as well as examining its technical indicators and probability of bankruptcy. In general, most investors favor locking in undervalued instruments and disposing overvalued instruments since, at some point, asset prices and their ongoing real values will blend. Key fundamental drivers impacting Covenant Logistics' valuation include:
Price Book 1.473 | Enterprise Value 869.2 M | Enterprise Value Ebitda 5.8968 | Price Sales 0.5385 | Forward PE 10.5708 |
Undervalued
Today
Please note that Covenant Logistics' price fluctuation is very steady at this time. Calculation of the real value of Covenant Logistics is based on 3 months time horizon. Increasing Covenant Logistics' time horizon generally increases the accuracy of value calculation and significantly improves the predictive power of the methodology used.
Our valuation method for Covenant Logistics Group is useful when determining the fair value of the Covenant stock, which is usually determined by what a typical buyer is willing to pay for full or partial control of Covenant Logistics. Since Covenant Logistics is currently traded on the exchange, buyers and sellers on that exchange determine the market value of Covenant Stock. However, Covenant Logistics' intrinsic value may or may not be the same as its current market price, in which case there is an opportunity to profit from the mispricing, assuming the market price will eventually merge with its intrinsic value. | Historical | Market 44.16 | Real 46.58 | Target 62.0 | Hype 44.22 | Naive 41.44 |
The real value of Covenant Stock, also known as its intrinsic value, is the underlying worth of Covenant Logistics Company, which is reflected in its stock price. It is based on Covenant Logistics' financial performance, assets, liabilities, growth prospects, management team, or industry conditions. The intrinsic value of Covenant Logistics' stock can be calculated using various methods such as discounted cash flow analysis, price-to-earnings ratio, or price-to-book ratio. That value may differ from its current market price, which is determined by supply and demand factors such as investor sentiment, market trends, news, and other external factors that may influence Covenant Logistics' stock price. It is important to note that the real value of any stock may change over time based on changes in the company's performance.
Estimating the potential upside or downside of Covenant Logistics Group helps investors to forecast how Covenant stock's addition to their portfolios will impact the overall performance. We also use other valuation drivers to help us estimate the true value of Covenant Logistics more accurately as focusing exclusively on Covenant Logistics' fundamentals will not take into account other important factors: Traditionally analysts and sophisticated investors use multiple methods for valuing a cash-flow-generating entity or its stock. For example, some money managers use Covenant Logistics' intrinsic value based on its ongoing forecasts of Covenant Logistics' financial statements. In contrast, other private, professional wealth advisors use a multiplier approach by looking to relative value analysis against Covenant Logistics' closest peers. When choosing an evaluation method for Covenant Logistics, ensure it is appropriate for the firm given its current financial situation and market classification. If more than one evaluation category is relevant, we suggest using both methods to arrive at a better estimate.
Covenant Logistics Investments |
|
Covenant Valuation Trend
Knowing Covenant Logistics' actual value is paramount for traders to make sound investment determinations. Covenant Logistics' real value is not only important for the investor to make better decisions but also for a more accurate overall view of Covenant Logistics' financial worth over time since having this information enables investors and analysts to forecast the earnings more efficiently. Using both Covenant Logistics' enterprise value as well as its market capitalization is the best way to gauging the value of the company and is usually enough for investors to make market timing descisions.
Covenant Market Cap
Covenant Logistics Group is number one stock in market capitalization category among related companies. Market capitalization of Industrials industry is currently estimated at about 13.08 Billion. Covenant Logistics holds roughly 579.92 Million in market capitalization claiming about 4% of equities under Industrials industry.Covenant Logistics Valuation Ratios as Compared to Competition
Comparative valuation techniques use various fundamental indicators to help in determining Covenant Logistics's current stock value. Our valuation model uses many indicators to compare Covenant Logistics value to that of its competitors to determine the firm's financial worth. You can analyze the relationship between different fundamental ratios across Covenant Logistics competition to find correlations between indicators driving Covenant Logistics's intrinsic value. More Info.Covenant Logistics Group is rated second in price to earning category among related companies. It is rated second in price to book category among related companies fabricating about 0.20 of Price To Book per Price To Earning. The ratio of Price To Earning to Price To Book for Covenant Logistics Group is roughly 5.04 . The Covenant Logistics' current Price To Book Ratio is estimated to increase to 1.53. Comparative valuation analysis is a catch-all model that can be used if you cannot value Covenant Logistics by discounting back its dividends or cash flows. This model doesn't attempt to find an intrinsic value for Covenant Logistics' Stock. Still, instead, it compares the stock's price multiples to a benchmark or nearest competition to determine if the stock is relatively undervalued or overvalued. The reason why the comparable model can be used in almost all circumstances is due to the vast number of multiples that can be utilized, such as the price-to-earnings (P/E), price-to-book (P/B), price-to-sales (P/S), price-to-cash flow (P/CF), and many others. The P/E ratio is the most commonly used of these ratios because it focuses on the Covenant Logistics' earnings, one of the primary drivers of an investment's value.Please note that valuation analysis is one of the essential comprehensive assessments in business. It evaluates Covenant Logistics' worth, which you can determine by considering its current assets, liabilities and future cash flows. The investors' valuation analysis is an important metric that will give you a perspective on different companies. It helps you know the worth of the potential investment in Covenant Logistics and how it compares across the competition.
About Covenant Logistics Valuation
The stock valuation mechanism determines the current worth of Covenant Logistics Group on a weekly basis. We use both absolute as well as relative valuation methodologies to arrive at the intrinsic value of Covenant Logistics Group. In general, an absolute valuation paradigm, as applied to this company, attempts to find the value of Covenant Logistics based exclusively on its fundamental and basic technical indicators. By analyzing Covenant Logistics's financials, quarterly and monthly indicators, and its related drivers such as dividends, operating cash flow, and various types of growth rates, we attempt to find the most accurate representation of Covenant Logistics's intrinsic value. In some cases, mostly for established, large-cap companies, we also incorporate more traditional valuation methods such as dividend discount, discounted cash flow, or asset-based models. As compared to an absolute model, our relative valuation model uses a comparative analysis of Covenant Logistics. We calculate exposure to Covenant Logistics's market risk, different technical and fundamental indicators, relevant financial multiples and ratios, and then comparing them to Covenant Logistics's related companies.| Last Reported | Projected for Next Year | ||
| Gross Profit | 114.1 M | 179.2 M | |
| Pretax Profit Margin | 0.07 | 0.04 | |
| Operating Profit Margin | 0.04 | 0.04 | |
| Net Profit Margin | 0.05 | 0.05 | |
| Gross Profit Margin | 0.10 | 0.1 |
Covenant Logistics Quarterly Retained Earnings |
|
8 Steps to conduct Covenant Logistics' Valuation Analysis
Company's valuation is the process of determining the worth of any company in monetary terms. It estimates Covenant Logistics' potential worth based on factors such as financial performance, market conditions, growth prospects, and overall economic environment. The result of company valuation is a single number representing a Company's current market value. This value can be used as a benchmark for various financial transactions such as mergers and acquisitions, initial public offerings (IPOs), or private equity investments. To conduct Covenant Logistics' valuation analysis, follow these 8 steps:- Gather financial information: Obtain Covenant Logistics' financial statements, including balance sheets, income statements, and cash flow statements.
- Determine Covenant Logistics' revenue streams: Identify Covenant Logistics' primary sources of revenue, including products or services offered, target markets, and pricing strategies.
- Analyze market data: Research Covenant Logistics' industry and market trends, including the size of the market, growth rate, and competition.
- Establish Covenant Logistics' growth potential: Evaluate Covenant Logistics' management, business model, and growth potential.
- Determine Covenant Logistics' financial performance: Analyze its financial statements to assess its historical performance and future potential.
- Choose a valuation method: Consider the Company's specific circumstances and choose an appropriate valuation method, such as the discounted cash flow (DCF) or comparable analysis method.
- Calculate the value: Apply the chosen valuation method to the financial information and market data to calculate Covenant Logistics' estimated value.
- Review and adjust: Review the results and make necessary adjustments, considering any relevant factors that may have been missed or overlooked.
A single share of Covenant Logistics represents a small ownership stake in the entity. As a stockholder of Covenant, your percentage of company ownership is determined by dividing the number of shares you own by the total number of shares outstanding and then multiplying that amount by 100. Owning stock in a company generally confers both corporate voting rights and income from any dividends paid to the stock owner.
Covenant Logistics Dividends Analysis For Valuation
The Covenant Logistics' current Dividends Paid is estimated to increase to about (5.5 M). The current Dividend Yield is estimated to decrease to 0.01. At this time, Covenant Logistics' Price Earnings Ratio is most likely to drop in the upcoming years.
| Last Reported | Projected for Next Year | ||
| Dividends Paid | -5.8 M | -5.5 M | |
| Dividend Yield | 0.01 | 0.01 | |
| Dividend Payout Ratio | 0.10 | 0.1 | |
| Dividend Paid And Capex Coverage Ratio | (0.40) | (0.42) |
There are various types of dividends Covenant Logistics can pay to its shareholders, and the actual value of the dividend is determined on a per-share basis. It is to be paid equally to all of Covenant shareholders on a specific date, known as the payable date. The cash dividend is the most common type of dividend payment - it is the payment of actual cash from Covenant Logistics Group directly to its shareholders. There are other types of dividends that companies can issue, such as stock dividends or asset dividends. When Covenant pays a dividend, it has no impact on its enterprise value. It does, however, lowers the Equity Value of Covenant Logistics by the value of the dividends paid out.
Covenant Logistics Growth Indicators
Growth stocks usually refer to those companies expected to grow sales and earnings faster than the market average. Growth stocks typically don't pay dividends, often look expensive, and usually trading at a high P/E ratio. Nevertheless, such valuations could be relatively cheap if the company continues to grow, which will drive the share price up. However, since most investors are paying a high price for a growth stock, based on expectations, if those expectations are not fully realized, growth stocks can see dramatic declines. Note, investing in growth stocks can be very risky. If the company such as Covenant Logistics does not do well, investors take a loss on the stock when it is time to sell. Also, because growth stocks typically do not pay dividends, the only opportunity an investor has to make money on their investment is when they eventually sell their shares.
| Common Stock Shares Outstanding | 13.8 M | |
| Quarterly Earnings Growth Y O Y | 0.122 | |
| Forward Price Earnings | 10.5708 |
Covenant Logistics Current Valuation Indicators
Valuation refers to the process of determining the present value of Covenant Logistics Group and all of its assets. It can be calculated using a number of techniques. As many analysts who try to value Covenant we look at many different elements of the entity such as Covenant's management, its prospective future earnings, the current market value of the company's assets, as well as its capital structure formation. Covenant Logistics' valuation analysis is also a process of estimating the intrinsic value of all assets and outstanding equities. There are different methodologies and models we use to develop the final Covenant Logistics' valuation. The techniques such as discounted cash flow and fundamental indicators such as book value per share or market capitalization are well known and widely used across most financial advisers and money managers.
Valuations are an essential part of business, for companies themselves, but also for investors. For companies, such as Covenant Logistics, valuations can help measure their progress and success and can help them track their performance in the market compared to others. In addition, investors can use Covenant Logistics' valuations to help determine the worth of potential investments. They can do this by using data and information made public by a company. Regardless of who the valuation is for, it essentially describes Covenant Logistics' worth.When determining whether Covenant Logistics is a strong investment it is important to analyze Covenant Logistics' competitive position within its industry, examining market share, product or service uniqueness, and competitive advantages. Beyond financials and market position, potential investors should also consider broader economic conditions, industry trends, and any regulatory or geopolitical factors that may impact Covenant Logistics' future performance. For an informed investment choice regarding Covenant Stock, refer to the following important reports: Check out Trending Equities to better understand how to build diversified portfolios, which includes a position in Covenant Logistics Group. Also, note that the market value of any company could be tightly coupled with the direction of predictive economic indicators such as signals in bureau of economic analysis. You can also try the Fundamental Analysis module to view fundamental data based on most recent published financial statements.
Complementary Tools for Covenant Stock analysis
When running Covenant Logistics' price analysis, check to measure Covenant Logistics' market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy Covenant Logistics is operating at the current time. Most of Covenant Logistics' value examination focuses on studying past and present price action to predict the probability of Covenant Logistics' future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Covenant Logistics' price. Additionally, you may evaluate how the addition of Covenant Logistics to your portfolios can decrease your overall portfolio volatility.
| Stock Tickers Use high-impact, comprehensive, and customizable stock tickers that can be easily integrated to any websites | |
| Watchlist Optimization Optimize watchlists to build efficient portfolios or rebalance existing positions based on the mean-variance optimization algorithm | |
| Sync Your Broker Sync your existing holdings, watchlists, positions or portfolios from thousands of online brokerage services, banks, investment account aggregators and robo-advisors. | |
| My Watchlist Analysis Analyze my current watchlist and to refresh optimization strategy. Macroaxis watchlist is based on self-learning algorithm to remember stocks you like | |
| Analyst Advice Analyst recommendations and target price estimates broken down by several categories | |
| Idea Analyzer Analyze all characteristics, volatility and risk-adjusted return of Macroaxis ideas |
Is Covenant Logistics' industry expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Covenant Logistics. If investors know Covenant will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Covenant Logistics listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth 0.122 | Dividend Share 0.44 | Earnings Share 3.95 | Revenue Per Share 84.578 | Quarterly Revenue Growth (0.07) |
The market value of Covenant Logistics is measured differently than its book value, which is the value of Covenant that is recorded on the company's balance sheet. Investors also form their own opinion of Covenant Logistics' value that differs from its market value or its book value, called intrinsic value, which is Covenant Logistics' true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Covenant Logistics' market value can be influenced by many factors that don't directly affect Covenant Logistics' underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between Covenant Logistics' value and its price as these two are different measures arrived at by different means. Investors typically determine if Covenant Logistics is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Covenant Logistics' price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.