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RISK CONCERN
Investment Strategy, Risk Analysis, and Insights by Chartered Professionals
Cross Country Healthcare, Inc. (XNAS:CCRN) In-Depth Stock/Fundamental/Options Analysis Today
Primary Facts
CCRN
Name:
CROSS COUNTRY HEALTHCARE, INC. (XNAS:CCRN)
Sector:
- 31134.00K
Industry:
Medical Care Facilities
CEO:
Mr. Kevin Clark
Total Employees:
2,250
Our Technological Advancement Rating
Our Rating:
D
Technological advancement compared to industry is -1300.58% lower
ANALYSIS OF ALL CRITICAL FACTORS & RISKS RELATED TO THE STOCK & FUNDAMENTAL/LONG-TERM ANALYSIS OF CROSS COUNTRY HEALTHCARE, INC.(CCRN) AS PER DATA ANALYSIS OF LAST 3 YEARS AND COMPARISON WITH COMPETITORS/PEERS, AND MEDICAL CARE FACILITIES INDUSTRY. DATE: 07/09/2022
Primary Targets/Price Insights
Previous Close ($) :
24.79
One Month Price Target:
$24.93
Six Month Price Target :
$25.65
Likely Price in One Year's Time:
Ticker:
$26.51
Likely Trading Range Today Under (Normal Volatility)
$24.66
Price Upper limit ($) :
$25.03
Price Lower limit ($) :
Crash Risk Prep/Key Price Levels (High Volatility/Risk)
Price, as per data analysis, isn't likely to fall below:
Today:
$22.61
This week:
$19.91
This month :
$15.04
Other Primary facts
Market Cap:
957.31M
Market Cap Classification:
Small Cap
Number of Shares
IPO Date:
38.23M
Best/Worst Daily Performance (Last 3+ Years)
Highest Daily Appreciation:
24.7%
-18.68%
Worst Daily Decline:
Our Options Trading Entry Points
Iron Condor entry points for options expiring in 1 week's time
Low risk (<2%) entry points
Buy Call:
Sell Call:
Buy Put:
Sell Put:
$34.90
$30.19
$14.68
$19.39
Medium risk (<10%) entry points
Buy Call
Sell Call
$28.65
Buy Put:
Sell Put:
$27.65
$20.91
$21.93
These entry points can be used for other strategies, such as butterflies, straddles, etc.
Risk-Adjusted returns (Sharpe Ratio) of
CCRN
Sharpe Ratio:
4.49%
Comparison:
CCRN, is amongst the top 20% stocks with highest risk-adjusted returns
Sharpe ratio is 102.08% higher than the industry
& ratio is 97.12% higher than the market/S&P 500 average
Average Returns/Yield of
CCRN
Daily returns:
0.21%
Weekly returns:
1.03%
Monthly returns:
4.12%
Yearly returns:
23.01%
Comparison of returns:
Average annual returns/yield (last 3 years) is 114.63% above industry average
Classification:
CCRN, is amongst the top 20% highest yielding stocks in terms of daily returns
Results of T-Test of Returns:
0.35
Statistical test of Returns:
CCRN has yielded returns statistically similar to the market
Volatility (measured by Standard Deviation)
Daily Volatility:
4.38%
Weekly Volatility:
9.80%
Monthly Volatility:
19.60%
Yearly Volatility:
67.90%
Volitlilty of last five days (Measured by Standard Deviation)
Average Volatility of this Week:
1.85%
Volatility in last five trading days has been -57.71% below long-term volatility
Value at Risk Analysis (VaR)
Daily VaR:
-8.80%
Weekly VaR:
-19.67%
Monthly VaR:
-39.34%
How Much Can the price of
CCRN
Decline in a Recession?
Likely price decline in a recession:
Base case (decline):
-32%
Worst case (decline):
>85%
This translates to price declining to:
$16.75
This translates to price declining to:
$3.72
Severe Crash Probability
Risk of crash in next 6/12 months: Very high (>70%)
What is Value at Risk (VaR)?
Risk Fundamentals
CCRN is a 177.65% riskier investment compared to the market/S&P 500 & is 137.86% riskier than Nasdaq (IXIC)
Risk (measured by volatility) is 31.38% above industry average
Overall, it is amongst the top 50% most risky stocks
Beta Examination of
CCRN
Beta in relation to market/S&P 500--1.03
Expected beta in 1 year's time:
0.608
Expected beta in 3 year's time:
0.86
Unlevered (debt free) Beta:
0.661
Beta in relation to Nasdaq (XNAS):
0.516
Beta in relation to all global stocks::
0.816
Beta Comparison & Analysis
Beta of competitors/peers::
1.191
Beta is -13.49% lower than peers
Average Industry Beta:
1.067
Beta is -3.41% below industry average
Sustainable Growth Rate Analysis
Sustainable growth rate for this stock/firm:
32.09%
Sustainable growth rate is -10.84% below industry average
Alpha provided | Alpha Analysis
Alpha provided:
0.392
Alpha is 212.14% above industry average alpha yield
Alpha is 2494% higher than market/& is unsustainably high
Analysis of Cost of Capital of
CCRN
Equity cost of capital:
0.102
Equity cost of capital is -2.39% below industry mean WACC
Unlevered (without debt) cost of capital:
6.55%
Before-tax cost of debt:
4.15%
After-tax cost of debt:
3.28%
Overall debt rating:
Lower BB medium grade (Fifth highest grade)
Weighted average cost of capital (WACC):
3.28%
WACC is 17.77% above industry mean WACC
Key Per-Share Metrics & Analysis
Revenue per share:
$55.87
Revenue growth rate per share of (3Y):
2.66
Annual revenue growth rate is 119.65% above the industry average
EPS:
$4.62
Expected Annual growth rate of EPS (3Y):
0.00%
-
Free cash flow (FCF) per share:
-
-
-
Debt per share
$5.97
EBITDA per share
$5.75
Valuation Analysis Today of
CCRN
P/E Ratio:
4.34
P/E Ratio of Competitors/Peers:
25.84
P/E ratio is -83.21% lower than main peers & is -93.83% lower than the industry
Stock price/value with industry average P/E ratio: $325.07
CCRN is -92.37% undervalued if valued using industry average P/E ratio
-
-
P/S (Price to Sales ratio):
0.44
Price to sales ratio is -79.05% below the industry mean
P/B (Price to book value ratio):
2.66
-
-
Net income growth rate (3Y):
-856.82%
Net income growth rate is -658.24% lower than the industry average net income growth rate
Dividend Analysis
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
Dividend History:
--$0.00
--$0.00
--$0.00
--$0.00
--$0.00
--$0.00
-
In-depth Debt & Leverage Analysis
Debt to equity ratio:
64.08%
Net debt to equity ratio:
65.36%
Debt to assets ratio:
24.90%
Net debt to assets ratio:
25.40%
Debt-to-asset ratio is -53.87% below industry average
Ability to repay debt:
Interest coverage ratio:
22.64
Interest coverage ratio is 13.72% more than industry average
Looking forward:
Debt growth rate:
158.66%
Annual debt growth is 56% higher than industry average debt growth rate
Debt repayment rate in last quarter: 62.22%
Analysis of Key Statistics
Correlation of price movement with the market:
0.281
Statistical significance of correlation:
CCRN has a statistically significant correlation with the market
Average Correlation of the industry with the market:
0.432
Stock price is -35.03% less correlated with the market compared to the industry average correlation
R Squared (percentage of price movement explained by movement of the market):
0.432
Correlation of price movement with Nasdaq (^IXIC):
0.029
Covariance of price movement with the market:
0.073
Kurtosis
5.717
Returns have moderate fat-tails (leptokurtic), i.e., returns considerably higher or lower than the mean returns are more probable, compared to assets with normally distributed returns
Skewness of returns:
0.601
Returns are right (positive) skewed; mean returns are greater than median and mode returns
Fundamental Analysis & Dupont Analysis of
CCRN
Gross Profit Margin Ratio:
89%
Operating Profit Margin Ratio:
9.78%
Operating profit margin is -236.94% lower than the industry
Net Profit Margin Ratio:
89%
Effective Tax Rate:
12.72%
Effective tax rate is -41.74% lower than the industry
Dupont Method
Net Profit Margin
Return on Equity Ratio (ROE):
×
ROA
=
×
49.02%
Return on equity (ROE) is 174.81% higher than the industry
Financial Leverage
Asset Turnover Ratio (ROA):
19.05%
Return on assets (ROA) is 336.00% higher than the industry
Financial Leverage:
1.3x
Current Ratio:
2.44
Current ratio is 32.77% above industry average
Cash Conversion Cycle (days):
107.5
Cash conversion cycle is 297.58% above industry average
The remaining useful life of property plant & equipment is: 8.3 years
Stock based compensation to net income ratio:
0.92%
In-depth Efficiency Analysis
Revenue generated per employee:
949.4K
Each employee generates 172% more revenue than industry average revenue per employee
EBITDA generated per employee:
97.8K
Each employee generates 78% more EBITDA than industry average revenue per employee
Profit generated per employee:
77.6K
Each employee generates 167% more net income/profit than industry average revenue per employee
Free cash flow (FCF) generated per employee:
- 13.8K
Each employee generates -301% less free cash flow than industry average revenue per employee
Assets/Capital per employee
99.6K
Each employee generates -301% less free cash flow than industry average revenue per employee
Research & Development (R&D) Analysis
-
-
Competitors/Peer firms of
CCRN
AMMO, INC. (XNAS:POWW)
CRA INTERNATIONAL, INC. (XNAS:CRAI)
NAPCO SECURITY TECHNOLOGIES, INC. (XNAS:NSSC)
RADA ELECTRONIC INDUSTRIES LTD (XNAS:RADA)
DXP ENTERPRISES, INC. (XNAS:DXPE)
MUDRICK CAPITAL ACQUISITION CORPORATION II (XNAS:MUDS)
THCAW
EAGLE BULK SHIPPING INC. (XNAS:EGLE)
Sterling Infrastructure, Inc. (XNAS:STRL)
Current Analyst Ratings
Strong buy�4%
Buy�21%
Hold�8%
Sell�0%
Strong sell�0%
Overall analyst sentiment is: Buy
Income Statement
Period:
TTM
Date:
3/31/22
Revenue:
2.14B
Cost of Revenue:
Gross Profit:
R&D Expense
General & Admin Expenses:
Selling, General & Admin Expenses
Sales and Marketing Expenses
Other Expenses :
Operating Expenses :
Cost & Expenses :
Interest Income:
Interest Expenses:
Depreciation & Amortization:
EBITDA:
Operating Income:
Other Income Expenses:
Income Before Tax:
Income Tax Expense:
Net Income:
Balance Sheet
Date:
Calendar Year:
Period:
Cash & Cash Equivalents:
Short Term Investments:
Cash & Short Term Investments:
Net Receivables:
Inventory:
Other Current Assets:
Total Current Assets:
PP&E:
Goodwill:
Intangible Assets:
Long Term Investments:
Tax Assets:
Other Non-Current Assets:
Total Non-Current Assets:
Other Assets:
Total Assets:
Accounts Payable:
Short Term Debt:
Tax Payables:
Deferred Revenue:
Other Current Liabilities:
Total Current Liabilities:
Long Term Debt:
Other Non-Current Liabilities:
Total Non Current Liabilities:
Other Liabilities:
Total Liabilities:
Common Stock:
Retained Earnings:
Accumulated Other Comprehensive Loss:
Other Total Stockholders' Equity:
Total Stockholders' Equity:
Total Liabilities and Stockholders' Equity:
Total Investments:
Total Debt:
Net Debt:
1.66B
478.33M
-
-
245.78M
-
10.32M
256.10M
-
9.72M
10.32M
220.00M
208.94M
174.54M
199.97M
25.43M
174.54M
Statement of Cash Flow
Date:
Period:
2.72M
Differed Income Tax :
2.43M
Stock Based Compensation :
1.60M
Change in Working Capital :
- 103702.00K
Accounts Receivables:
- 186701.00K
Other Working Capital:
21.85M
Other Non-Cash Items:
5.93M
Net Cash Provided by Operating Activities:
- 29038.00K
Investments in PP&E:
- 2096.00K
Net Acquisitions:
-
Purchases of Investments:
-
Sales/Maturities of Investments:
Other Investing Activities:
Net Cash Used for Investing Activities:
Debt Repayment:
Common Stock Issued:
Common Stock Repurchased:
Dividend Paid:
Other Financing Activities:
Net Cash Used Provided by Financing Activities:
Effect of FOREX on Changes in Cash:
Net Changes in Cash:
Cash at End of Period:
Cash at Beginning of Period:
Operating Cash Flow:
Capital Expenditure:
Free Cash Flow (FCF):
3/31/22
2022
Q1
1.21M
-
1.21M
682.77M
-
8.33M
692.31M
22.15M
119.49M
46.44M
-
9.12M
26.93M
224.13M
-
916.43M
164.22M
5.78M
29.14M
-
113.25M
283.25M
228.18M
48.73M
277.12M
-
560.36M
4.00K
39.25M
- 1304.0K
-
March 31, 2022 at 6:00:00 AM
1.91B
356.07M
916.43M
-
233.96M
232.7M
-
-
- 2096.00K
- 375737.00K
-
-
-
407.05M
31.31M
- 2.00K
172.00K
1.21M
1.04M
- 29038.00K
- 2096.00K
- 31134.00K
Our Proprietary Portfolio Rating
Our Rating:
D
Price Forecast/Expected Price in Next 5 Years of
CCRN
2023
2024
2025
2026
2027
$26.64
$54.99
$58.80
$62.87
$67.23