Carlyle Group Inc. (CGABL) stock analysis

P/E above its 5-year median

Carlyle's P/E of 41.9 is above its own 5-year median of 16.7.

P/E above the industry

Carlyle's P/E of 41.9 is above the Services Allied with the Exchange of Securities median of 20.3.

EV/EBITDA above its 5-year median

Carlyle's EV/EBITDA of 15.2 is above its 5-year median of 10.5.

P/S above the industry

Carlyle's price-to-sales of 3.96 is above the Services Allied with the Exchange of Securities median of 2.88 (book value is negative, so we use sales).

Trading above fair value

The share price of $40.18 is above our fair value estimate of $25.14.

Margin of safety under 20%

The price is 59.8% above fair value, so there is no margin of safety.

Revenue growing under 10% a year

Revenue grew 2.5% a year over the last three fiscal years, short of the 10% we look for.

EPS growing under 10% a year

Diluted EPS grew -13.3% a year over the last three fiscal years.

Earnings growth not accelerating

Net income grew -71.0% over the last twelve months, against a 5-year average of 18.4% a year.

Growing slower than the industry

Revenue grew -41.9% over the last twelve months; the Services Allied with the Exchange of Securities median is 8.7%.

Company guidance

No outlook found in earnings releases from the last twelve months.

Gross margin trend

This company does not report gross profit.

Return on equity

Needs positive equity and five years of results.

Return on invested capital

Needs operating income and invested capital.

Return on equity against the industry

Needs positive equity.

Earnings grew over 5 years

Net income grew 18.4% a year on average over the last five fiscal years.

Net margin below its 5-year average

Net margin was 10.1% over the last twelve months, against a 5-year average of 15.3%.

Net margin below the industry

Carlyle's net margin of 10.1% is below the Services Allied with the Exchange of Securities median of 15.7%.

Debt level

Needs debt and equity figures.

Debt trend

Needs a balance sheet from five years ago with positive equity.

Debt coverage

Needs operating cash flow.

Interest coverage

Interest expense is not reported separately.

Short-term liquidity

The balance sheet is not split into current and non-current items.

Elevated bankruptcy risk

The Altman Z-score is 0.58; above 3 is the safe zone and below 1.8 the distress zone.

Pays a dividend

Carlyle paid dividends worth 3.5% of the share price over the last twelve months.

Yield below Treasuries

The 3.5% yield is below the 4.4% on a 1-year Treasury.

Yield below the top quarter

The top quarter of US dividend payers yield 4.0% or more; Carlyle yields 3.5%.

Dividend was cut

The dividend per share fell by more than 10% at least once in the last 5 fiscal years.

Not covered by earnings

Dividends take 139% of net income, leaving little room.

Cash-flow cover

Needs dividends paid and free cash flow.