📊 CSV Key Takeaways
Is Carriage Services Inc. (CSV) a Good Investment?
Carriage Services demonstrates strong operational profitability and net income growth (+56.3% YoY) with solid 23.8% operating margins, but financial health is severely compromised by critical leverage risks. An interest coverage ratio of 1.0x provides no margin for error, combined with high debt-to-equity of 1.96x, minimal cash reserves of $2.9M, and weak ROE of 5.1%, creating unacceptable refinancing and solvency risk.
Carriage Services shows solid fundamental performance, with strong operating profitability, double-digit net margins, and healthy free cash flow generation on modest revenue growth. The sharp improvement in net income and EPS suggests better earnings conversion, but weak liquidity and the gap between large total liabilities and modest equity temper the overall quality of the balance sheet.
Carriage Services Inc. Key Strengths (CSV)
- Net income surged 56.3% YoY with operating margin of 23.8%, demonstrating operational leverage
- Positive free cash flow of $11.0M (10.4% FCF margin) continues to service debt
- Revenue stabilizing with 3.3% YoY growth in mature funeral services sector
- Strong profitability profile with 35.1% gross margin, 23.4% operating margin, and 12.3% net margin
- Net income and diluted EPS grew more than 50% year over year, indicating meaningful earnings improvement
- Positive free cash flow of $40.06M and 9.6% FCF margin support operational quality
CSV Stock Risks: Carriage Services Inc. Investment Risks
- Interest coverage of 1.0x is critically low - operating income barely covers interest with zero buffer for operational disruption
- High leverage (1.96x debt-to-equity, $522.3M debt vs $266.9M equity) creates acute refinancing risk
- Liquidity severely constrained with quick ratio of 0.99x and only $2.9M cash - insufficient for emergencies
- Capital efficiency deteriorating with ROE of 5.1% and ROA of 1.0% - poor returns on shareholder capital
- Liquidity is tight, with a 0.98x current ratio, 0.84x quick ratio, and only $1.69M of cash
- Interest coverage of 3.9x is adequate but not especially strong if earnings soften
- Earnings growth far outpaced revenue growth, which may be difficult to sustain without continued margin expansion
Key Metrics to Watch
- Interest coverage ratio trajectory - must exceed 1.5x to reduce solvency risk
- Debt service capability and refinancing events - timing and terms critical at tight coverage levels
- Operating cash flow stability - essential with minimal liquidity buffers
- Revenue growth acceleration beyond 3.3% - needed to improve leverage ratios
- Free cash flow conversion versus net income
- Current ratio and cash balance improvement
Carriage Services Inc. (CSV) Financial Metrics & Key Ratios
💡 AI Analyst Insight
Carriage Services Inc. presents a mixed fundamental picture. Review the detailed metrics above to form your own investment thesis.
CSV Profit Margin, ROE & Profitability Analysis
CSV vs Services Sector: How Carriage Services Inc. Compares
How Carriage Services Inc. compares to Services sector averages
Sector benchmarks are approximate industry averages. Actual sector performance may vary.
Is Carriage Services Inc. Stock Overvalued? CSV Valuation Analysis 2026
Based on fundamental analysis, Carriage Services Inc. shows some fundamental concerns relative to the Services sector in 2026.
Note: This is a fundamental analysis based on SEC filings. For P/E ratio, price targets, and market-based valuation, consult financial data providers. This is not investment advice.
Carriage Services Inc. Balance Sheet: CSV Debt, Cash & Liquidity
CSV Revenue & Earnings Growth: 5-Year Financial Trend
5-Year Trend Summary: Carriage Services Inc.'s revenue has grown significantly by 11% over the 5-year period, indicating strong business expansion. The most recent EPS of $2.14 reflects profitable operations.
CSV Revenue Growth, EPS Growth & YoY Performance
CSV Quarterly Earnings & Performance
| Quarter | Revenue | Net Income | EPS |
|---|---|---|---|
| Q1 2026 | $106.1M | $13.5M | $0.84 |
| Q3 2025 | $100.7M | $6.6M | $0.41 |
| Q2 2025 | $102.1M | $6.3M | $0.40 |
| Q1 2025 | $103.5M | $7.0M | $0.45 |
| Q3 2024 | $90.5M | $4.6M | N/A |
| Q2 2024 | $97.7M | $6.3M | N/A |
| Q1 2024 | $95.5M | $7.0M | N/A |
| Q3 2023 | $87.5M | N/A | N/A |
Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.
Carriage Services Inc. Dividends, Buybacks & Capital Allocation
CSV SEC Filings: Latest 10-K & 10-Q Analysis
Access official SEC EDGAR filings for Carriage Services Inc. (CIK: 0001016281)
📋 Recent SEC Filings
❓ Frequently Asked Questions about CSV
What is the AI rating for CSV?
Carriage Services Inc. (CSV) has a Combined AI Grade of B from Claude (C) and ChatGPT (A) with 73% combined confidence, based on fundamental analysis of SEC EDGAR filings.
What are CSV's key strengths?
Claude: Net income surged 56.3% YoY with operating margin of 23.8%, demonstrating operational leverage. Positive free cash flow of $11.0M (10.4% FCF margin) continues to service debt. ChatGPT: Strong profitability profile with 35.1% gross margin, 23.4% operating margin, and 12.3% net margin. Net income and diluted EPS grew more than 50% year over year, indicating meaningful earnings improvement.
What are the risks of investing in CSV?
Claude: Interest coverage of 1.0x is critically low - operating income barely covers interest with zero buffer for operational disruption. High leverage (1.96x debt-to-equity, $522.3M debt vs $266.9M equity) creates acute refinancing risk. ChatGPT: Liquidity is tight, with a 0.98x current ratio, 0.84x quick ratio, and only $1.69M of cash. Interest coverage of 3.9x is adequate but not especially strong if earnings soften.
What is CSV's revenue and growth?
Carriage Services Inc. reported revenue of $106.1M.
Does CSV pay dividends?
Carriage Services Inc. pays dividends, with $1.8M distributed to shareholders in the trailing twelve months.
Where can I find CSV SEC filings?
Official SEC filings for Carriage Services Inc. (CIK: 0001016281) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.
What is CSV's EPS?
Carriage Services Inc. has a diluted EPS of $0.84.
How is the AI analysis conducted?
Two independent AI systems — Claude (Anthropic) and ChatGPT (OpenAI) — analyze SEC EDGAR filings including 10-K annual reports and 10-Q quarterly reports. Each AI evaluates financial health, profitability ratios, balance sheet strength, and growth metrics. The combined grade reflects both perspectives for balanced insights.
What is CSV's fundamental grade?
Based on our AI fundamental analysis in June 2026, Carriage Services Inc. has a B grade with 73% confidence. Review the strengths and risks sections above for full context. This is not investment advice.
Is CSV stock overvalued or undervalued?
Valuation metrics for CSV: ROE of 5.1% (sector avg: 16%), net margin of 12.7% (sector avg: 10%). Compare these metrics with sector averages to assess valuation.
What is CSV's AI grade for 2026?
Our dual AI analysis gives Carriage Services Inc. a combined B grade for 2026. Revenue is data pending, with profitability above sector average. Always conduct your own research.
What is CSV's free cash flow?
Carriage Services Inc.'s operating cash flow is $14.9M, with capital expenditures of $3.9M. FCF margin is 10.4%.
How does CSV compare to other Services stocks?
Vs Services sector averages: Net margin 12.7% (avg: 10%), ROE 5.1% (avg: 16%), current ratio 1.15 (avg: 1.5).
Is Carriage Services Inc. carrying too much debt?
CSV has a debt-to-equity ratio of 1.96x, which is above the Services sector average of 0.7x. However, the current ratio of 1.15 suggests adequate short-term liquidity.