Carriage Services (CSV) AI Stock Analysis

• Market Cap: $666.34M
• Dividend Yield: 1.06%
• Average Volume (3M): 75.80K
• Price to Earnings (P/E): 13.6
• Beta (1Y): 0.57
• Revenue Growth: 0.99%
• EPS Growth: 37.55%
• Country: US
• Employees: 1,200
• Sector: Consumer Cyclical
• Sector Strength: 84
• Industry: Personal Products & Services
• EPS (TTM): 0.75
• Shares Outstanding: 15,745,193
• 10 Day Avg. Volume: 72,189
• 30 Day Avg. Volume: 75,796
• PEG Ratio: -5.79
• Price to Book (P/B): 2.86
• Price to Sales (P/S): 1.48
• P/FCF Ratio: 16.62
• Enterprise Value/Market Cap: 1.89
• Enterprise Value/Revenue: 3.08
• Enterprise Value/Gross Profit: 8.79
• Enterprise Value/Ebitda: 10.60
• 1Y Price Target: $58.75
• Price Target Upside: 38.82% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 4
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 54 Neutral
• Price Target: $43.00 ▲(1.61% Upside)

Carriage Services' overall stock score is primarily influenced by its financial performance and technical analysis. The significant decline in revenue growth and high leverage are major concerns, impacting the financial performance score. The bearish technical indicators further weigh down the overall score. However, the reasonable valuation and positive earnings call sentiment provide some support, highlighting potential for future growth.

Positive Factors

Revenue Growth

The increase in total operating revenue, driven by preneed cemetery sales, indicates a positive trend in revenue growth, enhancing the company's market position and financial stability.

Cemetery Segment Performance

Strong performance in the cemetery segment suggests robust demand and effective management, contributing to long-term revenue stability and growth potential.

Acquisition Activity

Strategic acquisitions expand service offerings and geographic reach, strengthening competitive advantage and supporting sustained growth.

Negative Factors

Revenue Decline

The drastic drop in revenue growth poses a significant risk to long-term financial health, potentially affecting profitability and market confidence.

High Leverage

High leverage could strain financial flexibility and increase risk, potentially impacting the company's ability to invest in growth opportunities.

Funeral Operating Revenue Decline

Decline in funeral operating revenue indicates potential challenges in maintaining market share and could affect overall revenue stability.

Carriage Services Business Overview & Revenue Model

Company Description

Carriage Services, Inc. (CSV) is a leading provider of deathcare services and products in the United States. The company operates in the funeral services and cemetery sectors, offering a range of services including traditional funerals, cremation services, memorial services, and cemetery property sales. Carriage Services manages and operates a network of funeral homes and cemeteries, focusing on delivering compassionate care and personalized services to families during their time of need.

How the Company Makes Money

Carriage Services generates revenue primarily through its funeral and cemetery operations. The key revenue streams include service fees for funerals and cremations, sales of burial plots and niches in cemeteries, and the sale of related merchandise such as caskets, urns, and memorial products. The company also earns income through pre-need funeral contracts, which involve selling funeral services and merchandise in advance of need, providing a reliable cash flow. Additionally, strategic acquisitions of funeral homes and cemeteries enhance its market presence and revenue potential. Partnerships with insurance companies and financial institutions for pre-need funding options can also contribute to its earnings.

Carriage Services Financial Statement Overview

Summary

Carriage Services faces challenges with a significant decline in revenue growth, impacting its income statement performance. The balance sheet reveals high leverage, which could pose financial risks, although the company demonstrates strong return on equity. Cash flow metrics are stable, with positive free cash flow growth. Overall, while there are strengths in profitability and cash flow, the revenue decline and high leverage are key areas of concern.

Income Statement

Carriage Services has experienced a significant decline in revenue growth, with a TTM revenue growth rate of -69.28%. Despite this, the company maintains a healthy gross profit margin of 35.06% and a net profit margin of 12.85% in the TTM period. The EBIT and EBITDA margins are also strong at 24.87% and 30.64%, respectively. However, the drastic drop in revenue growth is a major concern.

Balance Sheet

The company has a high debt-to-equity ratio of 2.29 in the TTM period, indicating significant leverage. Return on equity is robust at 24.22%, suggesting efficient use of equity to generate profits. The equity ratio stands at 18.02%, showing a moderate level of equity financing relative to total assets. The high leverage poses a risk, but strong ROE is a positive aspect.

Cash Flow

Carriage Services shows a positive free cash flow growth of 4.71% in the TTM period, indicating improved cash generation. The operating cash flow to net income ratio is 1.07, and the free cash flow to net income ratio is 0.71, reflecting adequate cash flow relative to net income. The cash flow situation is stable, with room for improvement in cash flow efficiency.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	409.57M	404.20M	382.52M	370.17M	375.89M	329.45M
Gross Profit	143.58M	143.39M	124.30M	119.23M	129.52M	105.92M
EBITDA	118.95M	81.80M	103.94M	103.04M	91.57M	78.06M
Net Income	48.99M	32.95M	33.41M	41.38M	33.16M	16.09M
Balance Sheet
Total Assets	1.34B	1.28B	1.27B	1.19B	1.18B	1.15B
Cash, Cash Equivalents and Short-Term Investments	1.25M	1.17M	1.52M	1.17M	1.15M	889.00K
Total Debt	561.92M	560.87M	604.63M	612.75M	578.93M	478.32M
Total Liabilities	1.10B	1.07B	1.09B	1.06B	1.05B	905.32M
Stockholders Equity	242.08M	208.55M	173.06M	137.13M	128.01M	240.50M
Cash Flow
Free Cash Flow	-17.75M	35.90M	13.05M	34.94M	59.36M	67.72M
Operating Cash Flow	55.85M	52.00M	75.59M	61.02M	84.25M	82.92M
Investing Cash Flow	-36.25M	-3.64M	-57.00M	-52.49M	-12.54M	-34.42M
Financing Cash Flow	-19.61M	-48.72M	-18.23M	-8.51M	-71.45M	-48.32M

Carriage Services Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 42.32
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For CSV, the sentiment is Neutral. The current price of 42.32 is below the 20-day moving average (MA) of 42.56, below the 50-day MA of 43.90, and below the 200-day MA of 42.65, indicating a bearish trend. The MACD of -0.85 indicates Positive momentum. The RSI at 47.28 is Neutral, neither overbought nor oversold. The STOCH value of 71.10 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for CSV.

Carriage Services Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
ROL	79 Outperform	$29.23B	56.64	36.21%	1.12%	11.17%	9.81%
SCI	71 Outperform	$11.20B	21.54	33.48%	1.54%	3.41%	7.94%
FTDR	68 Neutral	$3.73B	14.72	91.16%	―	11.88%	18.08%
BFAM	67 Neutral	$5.72B	29.12	14.19%	―	9.38%	74.27%
HRB	63 Neutral	$5.55B	9.85	―	3.09%	4.15%	8.13%
Sector *	61 Neutral	$18.38B	12.79	-2.54%	3.03%	1.52%	-15.83%
CSV	54 Neutral	$666.34M	13.60	21.96%	1.06%	0.99%	37.55%

Carriage Services Corporate Events

Carriage Services Reports Strong Q3 Results and Strategic Growth

Carriage Services, Inc. is a leading provider of funeral and cemetery services and merchandise in the United States, operating funeral homes and cemeteries across multiple states.

Carriage Services Reports Strong Q2 2025 Earnings

Carriage Services, Inc. is a prominent provider of funeral and cemetery services in the United States, operating numerous funeral homes and cemeteries across several states, known for its commitment to high-quality service and innovation. In its latest earnings report, Carriage Services announced a significant increase in GAAP net income by 85.7% to $5.5 million and a rise in diluted EPS to $0.74, reflecting a strong performance compared to the previous year. The company also reported a slight increase in total funeral consolidated revenue by 2.6% and highlighted strategic acquisitions expected to generate over $15 million in revenue. Key financial metrics include a reduction in the leverage ratio to 4.2x and a decrease in general, administrative, and interest expenses, contributing to a robust net income growth. The company is optimistic about its future, raising its full-year 2025 outlook, anticipating continued growth through strategic acquisitions and improved operational efficiencies.

Carriage Services Earnings Call: Mixed Sentiments and Strategic Growth

The latest earnings call from Carriage Services presented a mixed sentiment, highlighting both significant financial achievements and ongoing challenges. The company reported a surge in GAAP net income and a strategic return to growth mode through acquisitions. However, flat total revenue and margin compressions in both the Funeral and Cemetery segments indicate financial pressures that suggest a cautious outlook despite optimism about future growth and acquisition strategies.