CHS
UtilitiesValuation Breakdown
The Dividend Discount Model values a stock based on its future dividend payments, discounted to present value. The 3-stage variant captures three phases of a company's life: high growth (years 1-3), a transition period where growth declines linearly (years 4-6), and a terminal stage of stable, perpetual growth (year 7+). As John D. Rockefeller said: "The only thing that gives me pleasure is to see my dividends coming in."
Valuation Track Record
Retroactive intrinsic value vs actual close price — CHS
Earnings Quality
Fiscal year 2025
Financial Forensics
Beneish M-Score · 2015
The Beneish M-Score of -1.9131 indicates a potential risk of earnings manipulation, as it exceeds the threshold of -1.78. However, the earnings quality score of 52.8 suggests moderate overall earnings quality, with strong margins but concerning cash conversion and receivables metrics.
- Beneish M-Score of -1.9131 indicates potential earnings manipulation risk, exceeding the threshold of -1.78.
- Earnings quality cash conversion score of 34.1/100 is low, suggesting issues with cash flow relative to earnings.
- Strong gross margin score of 100.0/100 indicates effective cost management and pricing power.
- Institutional ownership of 78.8% suggests a level of confidence from larger investors.
The high institutional ownership (78.8%) may provide stability; however, reliance on a few major shareholders could lead to governance risks if their interests diverge from minority shareholders.
Investors should closely monitor cash flow and receivables metrics while considering a cautious approach due to the elevated risk of earnings manipulation. Engaging with management for clarity on cash conversion practices is advisable.
Generated by AI based on quantitative data. Not financial advice.
Quantitative Scores
Key Ratios
Company Overview
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