Core Insights - Core & Main, Inc. (CNM) is a leading distributor in the water, wastewater, storm drainage, and fire protection products sector in the United States, serving municipalities, private water companies, and professional contractors [1] - CNM reported earnings per share of $0.89, exceeding the estimated $0.73, and revenue of approximately $2.06 billion, slightly above the estimated $2.05 billion [6] Financial Performance - The company's price-to-earnings (P/E) ratio is around 22.57, indicating that investors are willing to pay $22.57 for every $1 of earnings [2] - CNM's price-to-sales ratio stands at about 1.26, showing that investors are paying $1.26 for every dollar of sales [3] - The enterprise value to sales ratio is around 1.57, reflecting the company's total valuation compared to its sales [3] - The enterprise value to operating cash flow ratio is approximately 19.71, indicating the relationship between the company's valuation and its cash flow from operations [4] - The earnings yield is about 4.43%, providing insight into the return on investment for shareholders [4] Financial Health - The company's debt-to-equity ratio is approximately 1.23, highlighting its financial leverage [5] - The current ratio of about 2.26 suggests that CNM has more than twice the current assets compared to its current liabilities, indicating good short-term financial health [5]

Core Viewpoint - Company achieved robust financial performance in 2024, with significant growth in net profit and revenue, indicating a strong operational strategy and market positioning [2][3][4]. Financial Performance - In 2024, the company's net profit attributable to shareholders reached 180.76 million yuan, with a year-on-year growth of 100.11%, while the net profit excluding non-recurring items was 116.45 million yuan, up 54.68% [2]. - The total revenue for 2024 was 927.19 million yuan, reflecting a year-on-year increase of 14.69% [3]. - By the end of 2024, total assets amounted to 1.83 billion yuan, a growth of 22.31% from the beginning of the year, and equity attributable to shareholders was 1.07 billion yuan, up 15.30% [3]. Business Segments - The company reported substantial growth in its main business segments, with product sales and operational services increasing by 96% and 66% respectively compared to the previous year [3]. Strategic Direction - The company has established a strategic direction focusing on "environmental protection + resource recovery + new materials," aiming to enhance the sustainability of its business model and increase the proportion of revenue from product sales and operational services [5]. - Plans include pursuing mergers and acquisitions to extend vertically and horizontally along the business chain, as well as increasing investment in research and development to accelerate the commercialization of new technologies [5]. Industry Outlook - The heavy metal pollution control industry is characterized by its necessity and urgency due to the severe nature of heavy metal contamination. The Chinese government has implemented various policies to support this sector, leading to increased market demand for heavy metal pollution control solutions [7]. - Stricter environmental standards in the non-ferrous metal industry are pressuring companies to invest more in pollution control measures, further driving market growth [7]. Recent Performance Metrics - In Q1 2025, the company reported a main revenue of 170 million yuan, a year-on-year increase of 63.46%, while the net profit attributable to shareholders was 17.73 million yuan, down 77.68% [8]. - The company’s gross margin stood at 36.21%, with a debt ratio of 39.12% [8]. Analyst Ratings - Over the past 90 days, three institutions have provided ratings for the stock, with two recommending a buy and one suggesting an increase in holdings. The average target price set by analysts is 39.18 yuan [9].