CIA SANEAMENTO BASICO DE-ADR (SBS) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:SBS - US20441A1025 - ADR
24.54 USD
+0.06 (+0.25%)
24.54 USD
0 (0%)
Overall SBS gets a fundamental rating of 6 out of 10. We evaluated SBS against 14 industry peers in the Water Utilities industry. SBS scores excellent on profitability, but there are some minor concerns on its financial health. SBS has a correct valuation and a medium growth rate.
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.
SBS had positive earnings in each of the past 5 years.
Each year in the past 5 years SBS had a positive operating cash flow.
1.2 Ratios
SBS's Return On Assets of 12.58% is amongst the best of the industry. SBS outperforms 100.00% of its industry peers.
SBS has a better Return On Equity (27.61%) than 100.00% of its industry peers.
Looking at the Return On Invested Capital, with a value of 16.40%, SBS belongs to the top of the industry, outperforming 100.00% of the companies in the same industry.
SBS had an Average Return On Invested Capital over the past 3 years of 10.46%. This is significantly above the industry average of 4.89%.
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
Looking at the Profit Margin, with a value of 27.76%, SBS belongs to the top of the industry, outperforming 85.71% of the companies in the same industry.
SBS's Profit Margin has improved in the last couple of years.
The Operating Margin of SBS (44.20%) is better than 100.00% of its industry peers.
SBS's Operating Margin has improved in the last couple of years.
SBS has a Gross Margin of 52.84%. This is comparable to the rest of the industry: SBS outperforms 57.14% of its industry peers.
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
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), SBS is creating some value.
SBS has about the same amout of shares outstanding than it did 1 year ago.
SBS has about the same amout of shares outstanding than it did 5 years ago.
Compared to 1 year ago, SBS has an improved debt to assets ratio.
2.2 Solvency
SBS has an Altman-Z score of 2.65. This is not the best score and indicates that SBS is in the grey zone with still only limited risk for bankruptcy at the moment.
SBS has a Altman-Z score of 2.65. This is amongst the best in the industry. SBS outperforms 85.71% of its industry peers.
A Debt/Equity ratio of 0.69 indicates that SBS is somewhat dependend on debt financing.
SBS has a Debt to Equity ratio of 0.69. This is amongst the best in the industry. SBS outperforms 85.71% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.69 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 2.65 |
ROIC/WACC1.25
WACC13.13%
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 78.57% 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.
SBS has a Quick ratio of 1.26. This is amongst the best in the industry. SBS outperforms 85.71% of its industry peers.
| 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 -22.72% 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!
The Revenue has been growing by 14.98% on average over the past years. This is quite good.
EPS 1Y (TTM)-22.72%
EPS 3Y60.79%
EPS 5Y23.08%
EPS Q2Q%-64.65%
Revenue 1Y (TTM)41.35%
Revenue growth 3Y22.86%
Revenue growth 5Y14.98%
Sales Q2Q%-37.15%
3.2 Future
Based on estimates for the next years, SBS will show a decrease in Earnings Per Share. The EPS will decrease by -2.87% on average per year.
SBS is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 5.34% yearly.
EPS Next Y-32.3%
EPS Next 2Y-9.85%
EPS Next 3Y-2.87%
EPS Next 5YN/A
Revenue Next Year-19.4%
Revenue Next 2Y-3.98%
Revenue Next 3Y1.41%
Revenue Next 5Y5.34%
3.3 Evolution
The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
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
With a Price/Earnings ratio of 12.85, SBS is valued correctly.
SBS's Price/Earnings ratio is rather cheap when compared to the industry. SBS is cheaper than 100.00% of the companies in the same industry.
SBS's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 26.38.
The Price/Forward Earnings ratio is 11.91, which indicates a very decent valuation of SBS.
SBS's Price/Forward Earnings ratio is rather cheap when compared to the industry. SBS is cheaper than 100.00% of the companies in the same industry.
When comparing the Price/Forward Earnings ratio of SBS to the average of the S&P500 Index (23.83), we can say SBS is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.85 | ||
| Fwd PE | 11.91 |
4.2 Price Multiples
100.00% of the companies in the same industry are more expensive than SBS, based on the Enterprise Value to EBITDA ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 5.63 |
4.3 Compensation for Growth
SBS has an outstanding profitability rating, which may justify a higher PE ratio.
A cheap valuation may be justified as SBS's earnings are expected to decrease with -2.87% in the coming years.
PEG (NY)N/A
PEG (5Y)0.56
EPS Next 2Y-9.85%
EPS Next 3Y-2.87%
5. Dividend
5.1 Amount
With a yearly dividend of 0.48%, SBS is not a good candidate for dividend investing.
SBS's Dividend Yield is slightly below the industry average, which is at 2.93.
Compared to an average S&P500 Dividend Yield of 1.87, SBS's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.48% |
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.
SBS has decreased its dividend 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-9.85%
EPS Next 3Y-2.87%
24.54
+0.06 (+0.25%)
Chartmill FA Rating
GICS SectorUtilities
GICS IndustryGroupUtilities
GICS IndustryWater Utilities
Earnings (Last)
Earnings (Next)
Inst Owners52.51%
Inst Owner Change-4.35%
Ins OwnersN/A
Ins Owner ChangeN/A
Market Cap16.76B
Revenue(TTM)36.15B
Net Income(TTM)11.16B
Analysts83
Price Target27.95 (13.9%)
Short Float %0.6%
Short Ratio2.69
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.48% |
Yearly Dividend0.25
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)2.61%
PT rev (3m)9.54%
EPS NQ rev (1m)0.07%
EPS NQ rev (3m)9.9%
EPS NY rev (1m)7.98%
EPS NY rev (3m)26.97%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-3.69%
Revenue NY rev (1m)0.09%
Revenue NY rev (3m)-12.45%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.85 | ||
| Fwd PE | 11.91 | ||
| P/S | 2.3 | ||
| P/FCF | N/A | ||
| P/OCF | 10.88 | ||
| P/B | 2.29 | ||
| P/tB | N/A | ||
| EV/EBITDA | 5.63 |
EPS(TTM)1.91
EY7.78%
EPS(NY)2.06
Fwd EY8.4%
FCF(TTM)-0.97
FCFYN/A
OCF(TTM)2.25
OCFY9.19%
SpS10.65
BVpS10.71
TBVpS-1.28
PEG (NY)N/A
PEG (5Y)0.56
Graham Number21.45
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 | 2.65 |
F-Score5
WACC13.13%
ROIC/WACC1.25
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)-22.72%
EPS 3Y60.79%
EPS 5Y23.08%
EPS Q2Q%-64.65%
EPS Next Y-32.3%
EPS Next 2Y-9.85%
EPS Next 3Y-2.87%
EPS Next 5YN/A
Revenue 1Y (TTM)41.35%
Revenue growth 3Y22.86%
Revenue growth 5Y14.98%
Sales Q2Q%-37.15%
Revenue Next Year-19.4%
Revenue Next 2Y-3.98%
Revenue Next 3Y1.41%
Revenue Next 5Y5.34%
EBIT growth 1Y130.04%
EBIT growth 3Y56.01%
EBIT growth 5Y22.08%
EBIT Next Year-3.24%
EBIT Next 3Y13.4%
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 12.85 and the Price/Book (PB) ratio is 2.29.
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 -32.3% in the next year.