Financial Contrast: Core & Main (CNM) vs. Its Competitors

Core & Main (NYSE:CNM) is one of 158 publicly-traded companies in the “Trading Companies & Distributors” industry, but how does it compare to its peers? We will compare Core & Main to similar companies based on the strength of its analyst recommendations, dividends, valuation, institutional ownership, earnings, profitability and risk.

Risk and Volatility

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

Earnings and Valuation

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

	Gross Revenue	Net Income	Price/Earnings Ratio
Core & Main	$7.65 billion	$441.00 million	18.20
Core & Main Competitors	$6.49 billion	$365.60 million	20.95

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.

Insider & Institutional Ownership

94.2% of Core & Main shares are held by institutional investors. Comparatively, 50.9% of shares of all “Trading Companies & Distributors” companies are held by institutional investors. 1.5% of Core & Main shares are held by insiders. Comparatively, 16.9% of shares of all “Trading Companies & Distributors” companies are held by insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a stock is poised for long-term growth.

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	0.71%	-34.50%	3.15%

Analyst Ratings

This is a summary of recent recommendations 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	6	7	0	2.54
Core & Main Competitors	1420	4866	6658	220	2.43

Core & Main currently has a consensus price target of $56.70, indicating a potential upside of 32.01%. As a group, “Trading Companies & Distributors” companies have a potential upside of 11.18%. Given Core & Main’s stronger consensus rating and higher possible upside, analysts clearly 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.