Last Updated: 16 Sep 2024
Executive Summary
CBIZ Inc. (CBZ) is a leading provider of financial, insurance, and advisory services in the United States and Canada. The company has a strong financial position with a market capitalization of $3.39 billion and an EBITDA of $198.46 million. CBZ's trailing price-to-earnings (PE) ratio of 29.08 is slightly above the industry average, but its forward PE ratio of 16.53 indicates potential for growth. The stock is currently trading at $67.75, below its 52-week high of $86.36.
Company Overview
CBIZ provides a comprehensive range of services, including accounting, tax, financial planning, insurance brokerage, and risk management. The company operates through a network of over 100 offices in the United States and Canada. CBZ's clients include businesses of all sizes, as well as individuals and families.
Fundamental Analysis
CBZ's financial performance has been solid in recent years. The company's revenue has grown steadily, reaching $1.65 billion in the trailing twelve months (TTM). Net income has also increased, reaching $118.5 million in the TTM. CBZ has a strong balance sheet with low debt and ample cash flow. The company's profit margin and return on equity are both above industry averages.
Technical Analysis
CBZ's stock price has been trending sideways in recent months. The stock is currently trading below its 50-day and 200-day moving averages. The relative strength index (RSI) is neutral, indicating that the stock is not overbought or oversold.
Short Term Outlook
In the short term, CBZ's stock price is likely to remain range-bound. The company's earnings growth is expected to be modest in the coming quarters. However, the stock could see some upside potential if the overall market sentiment improves.
Long Term Outlook
In the long term, CBZ's stock has the potential to generate solid returns. The company's strong financial position and growing market share should support continued growth. The stock's current valuation is attractive, especially considering the company's long-term growth prospects.
Analyst Recommendations
Analysts are generally bullish on CBZ's stock. Two analysts have a "Strong Buy" rating on the stock, while one analyst has a "Buy" rating. The average analyst target price is $83, which represents a potential upside of over 20% from the current price.
