Companhia de Saneamento de Minas Gerais

$ 56.67 -1.53 %

Companhia de Saneamento de Minas Gerais (CSMG3.SA) is involved in the complete lifecycle of water and sewage services, from planning and design to execution, expansion, modernization, management, and ongoing provision, operating both within Brazil and on an international scale. The company's operations are divided into Water Services, Sewage Services, and Solid Waste segments. Its solid waste management capabilities include the collection, recycling, treatment, and final disposal of urban, household, and industrial waste. Additionally, it offers urban rainwater drainage and management services, specifically in cities across northern Minas Gerais and within the Jequitinhonha, Mucuri, São Mateus, Buranhém, Itanhém, and Jucuruçu river basins. As of December 31, 2020, CSMG3.SA administered 640 concessions for water services and 310 for sewage services. Founded in 1963, the company was initially known as Companhia Mineira de Água e Esgotos before adopting its current name in November 1974. Its headquarters are located in Belo Horizonte, Brazil.

CEO: Marilia Carvalho de Melo - https://ri.copasa.com.br

Price objectif

-

Recommandation

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DCF

$ 236.85

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CSMG3.SA vs S&P500

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Quick ratio

1.56

suggests a healthy liquidity position, showing that the company can likely meet its short-term obligations.

P/E ratio

15.87

is considered reasonable, suggesting that the company has a valuation in line with its current profits.

EPS

3.57

is the net profit of a company divided by the number of outstanding shares, indicating the profit earned per share.

ROE

15.77 %

reflects reasonable profitability, showing good use of equity.

ROIC

8.36 %

generates a return higher than the cost of its capital, thereby creating value for its investors.

WACC

5.75

is a company's average cost of capital, weighted by the proportion of debt and equity in its financing. It represents the minimum return the company must generate to satisfy its investors.

Debt-to-Equity Ratio

1.08

means it relies more on debt, which can increase financial risk.

Free cash flow per share

4.96

is a measure of a company's financial flexibility that is determined by dividing free cash flow by the total number of shares outstanding.

Dividend payout ratio

61.06 %

indicates that the company is retaining a large portion of its profits to reinvest in growth

Earnings per share

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Financials

Piotroski score
5 indicates moderate financial health
Altman score
2.02 indicates an uncertain financial situation
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Cash / Debt

Cash Ratio
0.84 indicates that the company has a moderate ability to cover its short-term debts with its cash
Debt Ratio
0.44 indicates that the company uses little debt to finance its assets, suggesting good financial stability
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Free Cash Flow

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Earnings Per Share (annual)

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Sales

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