Carriage Services, Inc. (CSV) Stock Analysis

Why this analysis is different

• A sector-relative MoonshotScore — five pillars (business quality, financial safety, valuation, growth durability, momentum) re-ranked nightly against the full universe of US-listed common stocks.
• An AI Council read across up to eight perspectives — value, macro, quantitative, and momentum lenses — that shows where they disagree instead of averaging the tension away.
• Figures come straight from FMP and Yahoo Finance filings data. The AI writes the narrative around the numbers — it never edits the numbers.

Carriage Services, Inc. (CSV) Consumer Business Overview

Carriage Services, Inc. (CSV) is a leading provider of funeral and cemetery services in the U.S., operating through 170 funeral homes and 31 cemeteries. With a focus on personalized services and merchandise, CSV caters to evolving consumer preferences in the death care industry, maintaining a market capitalization of $589M.

What Is the Investment Thesis for CSV?

Carriage Services, Inc. presents a stable investment opportunity within the consumer cyclical sector, driven by the consistent demand for funeral and cemetery services. With a market capitalization of $589M and a P/E ratio of 13.9, the company demonstrates a solid financial foundation. A dividend yield of 0.99% offers a modest income stream for investors. Growth catalysts include strategic acquisitions and the expansion of service offerings to cater to changing consumer preferences. Potential risks include economic downturns affecting consumer spending on discretionary services and increased competition within the death care industry. The company's ability to maintain a profit margin of 10.6% and a gross margin of 35.4% will be crucial for sustained profitability.

Based on FMP financials and quantitative analysis

CSV Key Highlights

• Market capitalization of $589M reflects the company's established position in the death care industry.
• P/E ratio of 13.9 indicates a reasonable valuation compared to earnings.
• Profit margin of 10.6% demonstrates the company's ability to generate profits from its operations.
• Gross margin of 35.4% highlights the efficiency of the company's service delivery and merchandise sales.
• Dividend yield of 0.99% provides a modest income stream for investors.

Who Are CSV's Competitors?

CSV is benchmarked below against 8 industry peers on price, market cap, and our AI MoonshotScore.

AI Score by Stock Expert AI · Price data: FMP / Yahoo Finance

What Are CSV's Key Strengths?

• Established presence in the death care industry.
• Diversified revenue streams from funeral home and cemetery operations.
• Strategic acquisition strategy for growth.
• Pre-need sales programs providing stable revenue.

What Are CSV's Weaknesses?

• Sensitivity to economic downturns affecting consumer spending.
• Competition from larger national chains and independent operators.
• Potential for negative publicity related to service quality or pricing.
• Dependence on acquisitions for growth.

What Could Drive CSV Stock Higher?

• Strategic acquisitions of independent funeral homes and cemeteries to expand market presence.
• Expansion of cremation services and personalized memorialization options to cater to changing consumer preferences.
• Implementation of digital marketing strategies to reach a wider audience and improve customer engagement.
• Potential partnerships with healthcare providers and senior living communities to increase pre-need sales.

What Are the Key Risks for CSV?

• Financial-distress signal — its Altman Z-Score of 1.19 sits in the distress zone (elevated bankruptcy risk).
• Economic downturns affecting consumer spending on funeral and cemetery services.
• Increased competition from online memorial platforms and alternative service providers.
• Changes in regulations affecting the death care industry.
• Negative publicity related to service quality or pricing.
• Integration challenges associated with acquired businesses.

What Are the Growth Opportunities for CSV?

• Expansion of Cremation Services: The increasing preference for cremation over traditional burial methods presents a significant growth opportunity for Carriage Services. By investing in cremation facilities and offering a wider range of cremation-related services and merchandise, the company can capitalize on this trend. The cremation services market is projected to grow steadily over the next decade, driven by cost considerations and changing cultural norms. This expansion could increase revenue by an estimated 5-10% annually over the next 3-5 years.
• Strategic Acquisitions: Carriage Services has a history of growth through strategic acquisitions of independent funeral homes and cemeteries. Continuing this strategy allows the company to expand its geographic footprint and market share. Identifying and acquiring well-managed, profitable businesses in attractive markets can provide immediate revenue and earnings growth. The fragmented nature of the death care industry provides ample acquisition opportunities. Successful acquisitions could contribute an additional 8-12% to annual revenue growth.
• Personalized Memorialization Options: Consumers are increasingly seeking personalized and unique ways to memorialize their loved ones. Carriage Services can capitalize on this trend by offering a wider range of personalized memorialization options, such as customized urns, memorial markers, and online memorial platforms. Investing in technology and design capabilities to create these personalized offerings can attract a new segment of customers and increase revenue per customer. This initiative could boost revenue by 6-9% within the next 2-4 years.
• Pre-Need Sales Programs: Expanding pre-need sales programs, which allow customers to plan and pay for their funeral and cemetery arrangements in advance, can provide a stable and predictable revenue stream for Carriage Services. These programs also help to build customer relationships and loyalty. By offering attractive financing options and incentives, the company can encourage more customers to participate in pre-need planning. Increased pre-need sales could contribute an additional 4-7% to annual revenue growth.
• Digital Marketing and Online Services: Enhancing digital marketing efforts and expanding online services can help Carriage Services reach a wider audience and improve customer engagement. This includes developing a user-friendly website, utilizing social media marketing, and offering online memorial platforms and virtual funeral services. Investing in digital technologies and marketing strategies can attract younger generations and increase brand awareness. This digital transformation could lead to a 3-6% increase in revenue over the next 2-3 years.

What Opportunities Does CSV Have?

• Expansion of cremation services to meet changing consumer preferences.
• Increased demand for personalized memorialization options.
• Growth in pre-need sales programs.
• Geographic expansion through acquisitions.

What Threats Does CSV Face?

• Increased competition from online memorial platforms and alternative service providers.
• Changes in regulations affecting the death care industry.
• Economic downturns reducing consumer spending on funeral and cemetery services.
• Shifting consumer preferences away from traditional funeral practices.

What Are CSV's Competitive Advantages?

• Established brand reputation and long-standing relationships with families in local communities.
• Geographically diverse network of funeral homes and cemeteries across multiple states.
• Economies of scale in purchasing and operations.
• Pre-need sales programs that provide a stable and predictable revenue stream.

What Does CSV Do?

Founded in 1991 and headquartered in Houston, Texas, Carriage Services, Inc. has established itself as a prominent player in the death care industry. The company operates through two primary segments: Funeral Home Operations and Cemetery Operations. The Funeral Home Operations segment provides comprehensive funeral services, including consultations, facilities for visitations and memorial services, transportation services, and the preparation of remains. It also offers a range of merchandise, such as caskets and urns. The Cemetery Operations segment focuses on providing interment rights for grave sites, lawn crypts, mausoleum spaces, and niches. Additionally, this segment offers related cemetery merchandise, including outer burial containers, memorial markers, monuments, and floral placements, along with interment, inurnment, and installation services. As of December 31, 2021, Carriage Services operated 170 funeral homes across 26 states and 31 cemeteries in 11 states. The company's strategic focus on personalized services and a wide geographic footprint has contributed to its market position.

What Products and Services Does CSV Offer?

• Provide funeral home facilities for visitations and memorial services.
• Offer transportation services for the deceased.
• Handle the removal and preparation of remains.
• Sell burial and cremation services.
• Offer a range of merchandise, including caskets and urns.
• Provide interment rights for grave sites, lawn crypts, mausoleum spaces, and niches.
• Sell related cemetery merchandise, such as outer burial containers, memorial markers, and monuments.
• Offer interment, inurnment, and installation of cemetery merchandise services.

How Does CSV Make Money?

• Generate revenue through the provision of funeral and cemetery services.
• Earn income from the sale of merchandise, such as caskets, urns, and memorial markers.
• Receive payments for interment rights and related cemetery services.
• Grow through strategic acquisitions of independent funeral homes and cemeteries.

What Industry Does CSV Operate In?

Carriage Services operates within the personal products and services industry, specifically the death care sector. This industry is characterized by stable demand, driven by demographic trends and the inevitability of mortality. The market is moderately competitive, with both large national chains and smaller, independent operators. Carriage Services differentiates itself through its focus on personalized services and a geographically diverse network of funeral homes and cemeteries. The industry is also experiencing a shift in consumer preferences, with increasing demand for cremation services and personalized memorial options.

Who Are CSV's Key Customers?

• Individuals and families seeking funeral and cemetery services for their loved ones.
• Customers planning their own funeral and cemetery arrangements in advance through pre-need sales programs.
• Diverse demographic groups across various geographic locations in the United States.

CSV Valuation & Market Position

With a $589M market cap, Carriage Services, Inc. sits in the small-cap segment of the market. Relative to its peer group, CSV's quantitative score of 57/100 is above the peer average of 46/100.

FY2026 estForward Outlook

Wall Street analysts project Carriage Services, Inc. revenue of about $442.6M for fiscal 2026, with EPS near $3.45. The estimate reflects 4 contributing analysts.

F-Score 6/9Financial Health

Carriage Services, Inc.'s Piotroski F-Score is 6/9, a 9-point checklist of profitability, leverage and efficiency — a middling fundamental profile. Its Altman Z-Score of 1.19 places it in the distress zone, a signal of elevated financial risk.

ROE 18%Key Financial Metrics

Return on equity for Carriage Services, Inc. stands at 17.6%, a gauge of how efficiently it converts shareholder capital into profit. Return on assets is 3.3%, showing how much profit it generates from its asset base. CSV trades at a trailing price-to-earnings ratio of 13.94, below the Consumer Cyclical sector average of ~37x. Its free cash flow yield is 6.6%, a gauge of the cash the business throws off relative to its market value. A current ratio of 1.15 indicates the company holds enough short-term assets to cover its near-term obligations. Its earnings yield is 7.4%, the inverse of the P/E and a quick read on earnings relative to price.

Net buyingInsider Activity

Over the past six months, Carriage Services, Inc. insiders filed 30 SEC Form 4 transactions — 12 sales and 18 purchases. On net that is roughly 114K shares acquired (about $2.3M) — insiders putting money in tends to read as conviction.

CSV Financials

CSV Latest News

CSV Analyst Consensus

CSV MoonshotScore

Common Questions About CSV (Consumer Cyclical)

Disclaimer: This content is for informational purposes only and does not constitute investment advice. Always do your own research and consult a financial advisor.

Official Resources