CSWCSW Industrials, Inc.
Is the business good?
The checks split: earnings fully cash-backed (1.1×), but 3 of 9 health tests passed and margins compressing.
Weak, deteriorating fundamentals. Nine pass/fail tests of year-over-year health from the filings.
Operating profit is fully backed by cash.
Negative operating leverage, costs are rising faster than sales, squeezing margins as it grows.
A balanced mix of margins, efficiency, and leverage. ROE 12% = margin × turnover × leverage.
Unless marked, from derived.
Against the whole market›
Percentile against every name Ryufin tracks. Higher is better; the tick marks the middle of the market. Context, not one of the checks above.
Where this answer is blind. The F-score rewards improvement, so an already-elite company can score mid-pack.
How good a business is CSW?
CSW Industrials, Inc. earns 8.1% on the capital it employs against a 9.0% cost of capital, so growth costs more than it returns.
Return on invested capital · cost of capital 9.0% · 0.88 points below what the capital costs: growth destroys value
- Operating margin
- 17%
Operating margin · Specialty Industrial Machinery median 14% · 12 months to Q1 2027
- Cash conversion
- 1.11×
Cash conversion · 1.19× a year ago · operating cash flow covers the operating profit after tax
- Share count, year on year
- −2.9%
Share count, year on year · bought back, each share owns more of the company
| Year | Operating margin |
|---|---|
| FY2021 | 14% |
| FY2022 | 16% |
| FY2023 | 18% |
| FY2024 | 20% |
| FY2025 | 21% |
| FY2026 | 16% |
Details›
- Gross margin12 months to Q1 2027
- 42%
- Operating margin12 months to Q1 2027
- 17%
- Net margin12 months to Q1 2027
- 10%
- Free cash flow margin
- 12%
- Revenue, trailing twelve months
- $1.17B
- Free cash flow, trailing twelve months
- $144M
- Net income, trailing twelve months
- $121M
- Return on invested capitaloperating profit after tax ÷ debt + equity − cash
- 8.1%
Margins, capital and share counts from the statements as filed with the SEC; cash conversion is operating cash flow over operating profit after tax.
Specialty Industrial Machinery
Ranks #13 of 33 by RyuScore