Contrasting Core & Main (CNM) & Its Rivals

Core & Main (NYSE:CNM) is one of 159 public companies in the “Trading Companies & Distributors” industry, but how does it contrast to its peers? We will compare Core & Main to related businesses based on the strength of its profitability, risk, earnings, valuation, analyst recommendations, institutional ownership and dividends.

Profitability

This table compares Core & Main and its peers’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Core & Main	5.87%	26.17%	8.58%
Core & Main Competitors	2.83%	-33.76%	3.58%

Insider & Institutional Ownership

94.2% of Core & Main shares are owned by institutional investors. Comparatively, 50.8% of shares of all “Trading Companies & Distributors” companies are owned by institutional investors. 1.5% of Core & Main shares are owned by insiders. Comparatively, 16.7% of shares of all “Trading Companies & Distributors” companies are owned by insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a company will outperform the market over the long term.

Volatility and Risk

Core & Main has a beta of 0.92, meaning that its share price is 8% less volatile than the S&P 500. Comparatively, Core & Main’s peers have a beta of 1.28, meaning that their average share price is 28% more volatile than the S&P 500.

Earnings & Valuation

This table compares Core & Main and its peers top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
Core & Main	$7.65 billion	$441.00 million	19.28
Core & Main Competitors	$6.41 billion	$364.19 million	25.42

Core & Main has higher revenue and earnings than its peers. Core & Main is trading at a lower price-to-earnings ratio than its peers, indicating that it is currently more affordable than other companies in its industry.

Analyst Ratings

This is a breakdown of current ratings and recommmendations for Core & Main and its peers, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Core & Main	0	5	7	0	2.58
Core & Main Competitors	1407	4860	6663	225	2.43

Core & Main currently has a consensus target price of $56.70, suggesting a potential upside of 24.62%. As a group, “Trading Companies & Distributors” companies have a potential upside of 3.92%. Given Core & Main’s stronger consensus rating and higher probable upside, equities research analysts plainly believe Core & Main is more favorable than its peers.

Summary

Core & Main beats its peers on 9 of the 13 factors compared.

Core & Main Company Profile

Core & Main, Inc. is a specialty distributor focused on water, wastewater, storm drainage and fire protection products, and related services. The company provides infrastructure solutions to municipalities, private water companies and professional contractors across municipal, non-residential, and residential end markets, nationwide. The company was founded in 1874 and is headquartered in St. Louis, MO.