Cass Information Systems, Inc. (CASS) Stock Recommendation | Score, Valuation, Technicals & Financial Trend

Score

Click here to find our call on this stock

Strong Sell

Sell

Hold

Buy

Strong Buy

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Comparison

Company

Score

Quality

Valuation

Financial

Technical

Cass Information Systems, Inc.

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Why is Cass Information Systems, Inc. ?

Strong Long Term Fundamental Strength with an average Return on Equity (ROE) of 12.22%

Poor long term growth as Net Sales has grown by an annual rate of 6.15% and Operating profit at -1.63%

The company has declared positive results in Mar'2025 after 2 consecutive negative quarters

DIVIDEND PER SHARE(HY) Highest at USD 3.04
RAW MATERIAL COST(Y) Fallen by -0.92% (YoY)

With ROE of 8.78%, it has a expensive valuation with a 2.69 Price to Book Value

The stock is trading at a discount compared to its peers' average historical valuations
Over the past year, while the stock has generated a return of -6.30%, its profits have fallen by -31.6%

High Institutional Holdings at 69.61%

These investors have better capability and resources to analyse fundamentals of companies than most retail investors.

Consistent Underperformance against the benchmark over the last 3 years

Along with generating -6.30% returns in the last 1 year, the stock has also underperformed S&P 500 in each of the last 3 annual periods

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to Cass Information Systems, Inc. should be less than 10%
Overall Portfolio exposure to Miscellaneous should be less than 30%

(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Miscellaneous)

When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock

Is Cass Information Systems, Inc. for you?

Low Risk, Low Return

Absolute

Risk Adjusted

Volatility

Cass Information Systems, Inc.

-3.12%

0.07

24.55%

S&P 500

13.22%

0.61

20.17%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

6.15%

EBIT Growth (5y)

-1.63%

EBIT to Interest (avg)

35.34

Debt to EBITDA (avg)

Negative Net Debt

Net Debt to Equity (avg)

Sales to Capital Employed (avg)

0.94

Tax Ratio

20.05%

Dividend Payout Ratio

86.97%

Pledged Shares

Institutional Holding

69.61%

ROCE (avg)

350.51%

ROE (avg)

12.22%

Valuation

Valuation Scorecard

Valuation grade scale :

Very Risky, Risky, Very Expensive, Expensive, Fair, Attractive, Very Attractive

Valuation Key Factors

Factor

Value

P/E Ratio

Industry P/E

Price to Book Value

2.69

EV to EBIT

12.88

EV to EBITDA

10.74

EV to Capital Employed

30.19

EV to Sales

1.89

PEG Ratio

Dividend Yield

2.01%

ROCE (Latest)

234.40%

ROE (Latest)

8.78%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bullish

Bearish

RSI

No Signal

Bollinger Bands

Bullish

Sideways

Moving Averages

Mildly Bearish (Daily)

KST

Bearish

Dow Theory

Mildly Bullish

Mildly Bearish

OBV

Mildly Bearish

Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned

Technical Movement

Analyse All Technical Factors

Financial Trend

Financial Trend Scorecard

Financial Trend scale:

Very Negative, Negative, Flat, Positive, Very Positive, Outstanding

3What is working for the Company

DIVIDEND PER SHARE(HY)

Highest at USD 3.04

RAW MATERIAL COST(Y)

Fallen by -0.92% (YoY

-2What is not working for the Company

DEBT-EQUITY RATIO (HY)

Highest at -88.57 %

NET SALES(Q)

Lowest at USD 48.59 MM

Here's what is working for Cass Information Systems, Inc.

Dividend per share

Highest at USD 3.04 and Grown

In each year in the last five years

MOJO Watch

Company is distributing higher dividend from profits generated

DPS (USD)

Raw Material Cost

Fallen by -0.92% (YoY)

MOJO Watch

The company's ability to pass on the cost of raw materials to customers has improved; this may lead to a rise in profit margin

Raw Material Cost as a percentage of Sales

Depreciation

Highest at USD 1.92 MM

in the last five periods

MOJO Watch

The expenditure on assets done by the company may have gone into operation

Depreciation (USD MM)

Here's what is not working for Cass Information Systems, Inc.

Net Sales

Lowest at USD 48.59 MM

in the last five periods

MOJO Watch

Near term sales trend is negative

Net Sales (USD MM)

Debt-Equity Ratio

Highest at -88.57 %

in the last five Semi-Annual periods

MOJO Watch

The company is borrowing more to fund its operations; it's liquidity situation may be stressed

Debt-Equity Ratio