CIA SANEAMENTO BASICO DE-ADR (SBS) Stock Fundamental Analysis
USA - NYSE:SBS - US20441A1025 - ADR
26.83 USD
+0.26 (+0.98%)
26.83 USD
0 (0%)
We assign a fundamental rating of 6 out of 10 to SBS. SBS was compared to 15 industry peers in the Water Utilities industry. While SBS has a great profitability rating, there are some minor concerns on its financial health. SBS has a decent growth rate and is not valued too expensively.
1. Profitability
1.1 Basic Checks
SBS had positive earnings in the past year.
SBS had a positive operating cash flow in the past year.
Each year in the past 5 years SBS has been profitable.
In the past 5 years SBS always reported a positive cash flow from operatings.
1.2 Ratios
The Return On Assets of SBS (12.58%) is better than 100.00% of its industry peers.
SBS has a Return On Equity of 27.61%. This is amongst the best in the industry. SBS outperforms 100.00% of its industry peers.
The Return On Invested Capital of SBS (16.40%) is better than 100.00% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for SBS is significantly above the industry average of 4.87%.
The last Return On Invested Capital (16.40%) for SBS is above the 3 year average (10.46%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 12.58% | ||
| ROE | 27.61% | ||
| ROIC | 16.4% |
ROA(3y)7.67%
ROA(5y)5.86%
ROE(3y)16.39%
ROE(5y)12.54%
ROIC(3y)10.46%
ROIC(5y)8.95%
1.3 Margins
SBS has a Profit Margin of 27.76%. This is amongst the best in the industry. SBS outperforms 86.67% of its industry peers.
In the last couple of years the Profit Margin of SBS has grown nicely.
SBS's Operating Margin of 44.20% is amongst the best of the industry. SBS outperforms 100.00% of its industry peers.
In the last couple of years the Operating Margin of SBS has grown nicely.
The Gross Margin of SBS (52.84%) is comparable to the rest of the industry.
SBS's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 44.2% | ||
| PM (TTM) | 27.76% | ||
| GM | 52.84% |
OM growth 3Y26.98%
OM growth 5Y6.17%
PM growth 3Y30.85%
PM growth 5Y7.19%
GM growth 3Y16.63%
GM growth 5Y4.49%
2. Health
2.1 Basic Checks
SBS has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
The number of shares outstanding for SBS remains at a similar level compared to 1 year ago.
Compared to 5 years ago, SBS has about the same amount of shares outstanding.
The debt/assets ratio for SBS has been reduced compared to a year ago.
2.2 Solvency
An Altman-Z score of 2.69 indicates that SBS is not a great score, but indicates only limited risk for bankruptcy at the moment.
SBS has a Altman-Z score of 2.69. This is amongst the best in the industry. SBS outperforms 86.67% of its industry peers.
A Debt/Equity ratio of 0.69 indicates that SBS is somewhat dependend on debt financing.
SBS has a better Debt to Equity ratio (0.69) than 86.67% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.69 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 2.69 |
ROIC/WACC1.22
WACC13.41%
2.3 Liquidity
SBS has a Current Ratio of 1.26. This is a normal value and indicates that SBS is financially healthy and should not expect problems in meeting its short term obligations.
SBS's Current ratio of 1.26 is fine compared to the rest of the industry. SBS outperforms 66.67% of its industry peers.
SBS has a Quick Ratio of 1.26. This is a normal value and indicates that SBS is financially healthy and should not expect problems in meeting its short term obligations.
Looking at the Quick ratio, with a value of 1.26, SBS is in the better half of the industry, outperforming 73.33% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.26 | ||
| Quick Ratio | 1.26 |
3. Growth
3.1 Past
The earnings per share for SBS have decreased strongly by -32.69% in the last year.
SBS shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 23.08% yearly.
The Revenue has grown by 41.35% in the past year. This is a very strong growth!
SBS shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 14.98% yearly.
EPS 1Y (TTM)-32.69%
EPS 3Y60.79%
EPS 5Y23.08%
EPS Q2Q%-79.88%
Revenue 1Y (TTM)41.35%
Revenue growth 3Y22.86%
Revenue growth 5Y14.98%
Sales Q2Q%-38.96%
3.2 Future
The Earnings Per Share is expected to decrease by -2.95% on average over the next years.
Based on estimates for the next years, SBS will show a small growth in Revenue. The Revenue will grow by 5.34% on average per year.
EPS Next Y-37.26%
EPS Next 2Y-11.42%
EPS Next 3Y-2.95%
EPS Next 5YN/A
Revenue Next Year-19.47%
Revenue Next 2Y-5.06%
Revenue Next 3Y0.57%
Revenue Next 5Y5.34%
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
SBS is valuated correctly with a Price/Earnings ratio of 15.42.
86.67% of the companies in the same industry are more expensive than SBS, based on the Price/Earnings ratio.
SBS is valuated rather cheaply when we compare the Price/Earnings ratio to 25.89, which is the current average of the S&P500 Index.
A Price/Forward Earnings ratio of 12.89 indicates a correct valuation of SBS.
Based on the Price/Forward Earnings ratio, SBS is valued cheaper than 100.00% of the companies in the same industry.
SBS is valuated cheaply when we compare the Price/Forward Earnings ratio to 34.59, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 15.42 | ||
| Fwd PE | 12.89 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, SBS is valued cheaper than 100.00% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 5.79 |
4.3 Compensation for Growth
The excellent profitability rating of SBS may justify a higher PE ratio.
A cheap valuation may be justified as SBS's earnings are expected to decrease with -2.95% in the coming years.
PEG (NY)N/A
PEG (5Y)0.67
EPS Next 2Y-11.42%
EPS Next 3Y-2.95%
5. Dividend
5.1 Amount
SBS has a yearly dividend return of 0.47%, which is pretty low.
Compared to an average industry Dividend Yield of 3.39, SBS is paying slightly less dividend.
With a Dividend Yield of 0.47, SBS pays less dividend than the S&P500 average, which is at 2.36.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.47% |
5.2 History
The dividend of SBS has a limited annual growth rate of 4.65%.
SBS has paid a dividend for at least 10 years, which is a reliable track record.
The dividend of SBS decreased recently.
Dividend Growth(5Y)4.65%
Div Incr Years1
Div Non Decr Years1
5.3 Sustainability
21.17% of the earnings are spent on dividend by SBS. This is a low number and sustainable payout ratio.
DP21.17%
EPS Next 2Y-11.42%
EPS Next 3Y-2.95%
26.83
+0.26 (+0.98%)
Chartmill FA Rating
GICS SectorUtilities
GICS IndustryGroupUtilities
GICS IndustryWater Utilities
Earnings (Last)
Earnings (Next)
Inst Owners51.61%
Inst Owner Change3.52%
Ins OwnersN/A
Ins Owner ChangeN/A
Market Cap18.34B
Revenue(TTM)36.15B
Net Income(TTM)11.16B
Analysts83
Price Target26.31 (-1.94%)
Short Float %0.68%
Short Ratio3.09
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.47% |
Yearly Dividend0.26
Dividend Growth(5Y)4.65%
DP21.17%
Div Incr Years1
Div Non Decr Years1
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)42.79%
Min EPS beat(2)5.76%
Max EPS beat(2)79.82%
EPS beat(4)3
Avg EPS beat(4)119.57%
Min EPS beat(4)-19.39%
Max EPS beat(4)412.07%
EPS beat(8)5
Avg EPS beat(8)59.86%
EPS beat(12)7
Avg EPS beat(12)46.68%
EPS beat(16)8
Avg EPS beat(16)31.39%
Revenue beat(2)2
Avg Revenue beat(2)27.07%
Min Revenue beat(2)23.03%
Max Revenue beat(2)31.12%
Revenue beat(4)4
Avg Revenue beat(4)52.59%
Min Revenue beat(4)20.14%
Max Revenue beat(4)136.1%
Revenue beat(8)8
Avg Revenue beat(8)36.33%
Revenue beat(12)12
Avg Revenue beat(12)29.49%
Revenue beat(16)16
Avg Revenue beat(16)26.84%
PT rev (1m)1.34%
PT rev (3m)11.09%
EPS NQ rev (1m)2.91%
EPS NQ rev (3m)1.98%
EPS NY rev (1m)7.38%
EPS NY rev (3m)23.31%
Revenue NQ rev (1m)0.52%
Revenue NQ rev (3m)1.09%
Revenue NY rev (1m)-12.32%
Revenue NY rev (3m)-12.19%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 15.42 | ||
| Fwd PE | 12.89 | ||
| P/S | 2.41 | ||
| P/FCF | N/A | ||
| P/OCF | 11.38 | ||
| P/B | 2.4 | ||
| P/tB | N/A | ||
| EV/EBITDA | 5.79 |
EPS(TTM)1.74
EY6.49%
EPS(NY)2.08
Fwd EY7.76%
FCF(TTM)-1.01
FCFYN/A
OCF(TTM)2.36
OCFY8.79%
SpS11.14
BVpS11.2
TBVpS-1.34
PEG (NY)N/A
PEG (5Y)0.67
Graham Number20.94
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 12.58% | ||
| ROE | 27.61% | ||
| ROCE | 22.72% | ||
| ROIC | 16.4% | ||
| ROICexc | 18.24% | ||
| ROICexgc | 51.18% | ||
| OM | 44.2% | ||
| PM (TTM) | 27.76% | ||
| GM | 52.84% | ||
| FCFM | N/A |
ROA(3y)7.67%
ROA(5y)5.86%
ROE(3y)16.39%
ROE(5y)12.54%
ROIC(3y)10.46%
ROIC(5y)8.95%
ROICexc(3y)11.27%
ROICexc(5y)9.66%
ROICexgc(3y)60.48%
ROICexgc(5y)53.53%
ROCE(3y)14.49%
ROCE(5y)12.4%
ROICexgc growth 3Y19.27%
ROICexgc growth 5Y-4.83%
ROICexc growth 3Y38.93%
ROICexc growth 5Y9.98%
OM growth 3Y26.98%
OM growth 5Y6.17%
PM growth 3Y30.85%
PM growth 5Y7.19%
GM growth 3Y16.63%
GM growth 5Y4.49%
F-Score5
Asset Turnover0.45
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.69 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 1.4 | ||
| Cap/Depr | 543.25% | ||
| Cap/Sales | 30.26% | ||
| Interest Coverage | 7.68 | ||
| Cash Conversion | 42.54% | ||
| Profit Quality | N/A | ||
| Current Ratio | 1.26 | ||
| Quick Ratio | 1.26 | ||
| Altman-Z | 2.69 |
F-Score5
WACC13.41%
ROIC/WACC1.22
Cap/Depr(3y)198.74%
Cap/Depr(5y)185.31%
Cap/Sales(3y)18.28%
Cap/Sales(5y)18.57%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-32.69%
EPS 3Y60.79%
EPS 5Y23.08%
EPS Q2Q%-79.88%
EPS Next Y-37.26%
EPS Next 2Y-11.42%
EPS Next 3Y-2.95%
EPS Next 5YN/A
Revenue 1Y (TTM)41.35%
Revenue growth 3Y22.86%
Revenue growth 5Y14.98%
Sales Q2Q%-38.96%
Revenue Next Year-19.47%
Revenue Next 2Y-5.06%
Revenue Next 3Y0.57%
Revenue Next 5Y5.34%
EBIT growth 1Y130.04%
EBIT growth 3Y56.01%
EBIT growth 5Y22.08%
EBIT Next Year-4.64%
EBIT Next 3Y13.15%
EBIT Next 5Y15.05%
FCF growth 1Y-5806.73%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y129.11%
OCF growth 3Y23.68%
OCF growth 5Y12.02%
CIA SANEAMENTO BASICO DE-ADR / SBS FAQ
Can you provide the ChartMill fundamental rating for CIA SANEAMENTO BASICO DE-ADR?
ChartMill assigns a fundamental rating of 6 / 10 to SBS.
What is the valuation status of CIA SANEAMENTO BASICO DE-ADR (SBS) stock?
ChartMill assigns a valuation rating of 5 / 10 to CIA SANEAMENTO BASICO DE-ADR (SBS). This can be considered as Fairly Valued.
Can you provide the profitability details for CIA SANEAMENTO BASICO DE-ADR?
CIA SANEAMENTO BASICO DE-ADR (SBS) has a profitability rating of 9 / 10.
What are the PE and PB ratios of CIA SANEAMENTO BASICO DE-ADR (SBS) stock?
The Price/Earnings (PE) ratio for CIA SANEAMENTO BASICO DE-ADR (SBS) is 15.42 and the Price/Book (PB) ratio is 2.4.
What is the expected EPS growth for CIA SANEAMENTO BASICO DE-ADR (SBS) stock?
The Earnings per Share (EPS) of CIA SANEAMENTO BASICO DE-ADR (SBS) is expected to decline by -37.26% in the next year.