CIA SANEAMENTO BASICO DE-ADR (SBS) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:SBS - US20441A1025 - ADR
25.22 USD
-0.09 (-0.36%)
25 USD
-0.22 (-0.87%)
SBS gets a fundamental rating of 6 out of 10. The analysis compared the fundamentals against 14 industry peers in the Water Utilities industry. While SBS has a great profitability rating, there are some minor concerns on its financial health. SBS is not valued too expensively and it also shows a decent growth rate.
1. Profitability
1.1 Basic Checks
SBS had positive earnings in the past year.
In the past year SBS had a positive cash flow from operations.
In the past 5 years SBS has always been profitable.
SBS had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
SBS has a better Return On Assets (12.58%) than 100.00% of its industry peers.
With an excellent Return On Equity value of 27.61%, SBS belongs to the best of the industry, outperforming 100.00% of the companies in the same industry.
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
The Profit Margin of SBS (27.76%) is better than 85.71% of its industry peers.
SBS's Profit Margin has improved in the last couple of years.
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.
SBS has a Gross Margin (52.84%) which is comparable to the rest of the industry.
In the last couple of years the Gross Margin of SBS has grown nicely.
| 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.
Compared to 1 year ago, SBS has about the same amount of shares outstanding.
The number of shares outstanding for SBS remains at a similar level compared to 5 years ago.
The debt/assets ratio for SBS has been reduced compared to a year ago.
2.2 Solvency
SBS has an Altman-Z score of 2.68. 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.
Looking at the Altman-Z score, with a value of 2.68, SBS belongs to the top of the industry, outperforming 85.71% of the companies in the same industry.
A Debt/Equity ratio of 0.69 indicates that SBS is somewhat dependend on debt financing.
With an excellent Debt to Equity ratio value of 0.69, SBS belongs to the best of the industry, outperforming 85.71% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.69 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 2.68 |
ROIC/WACC1.25
WACC13.11%
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.
A Quick Ratio of 1.26 indicates that SBS should not have too much problems paying its short term obligations.
Looking at the Quick ratio, with a value of 1.26, SBS belongs to the top of the industry, outperforming 85.71% 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 -22.72% in the last year.
Measured over the past years, SBS shows a very strong growth in Earnings Per Share. The EPS has been growing by 23.08% on average per year.
SBS shows a strong growth in Revenue. In the last year, the Revenue has grown by 41.35%.
Measured over the past years, SBS shows a quite strong growth in Revenue. The Revenue has been growing by 14.98% on average per year.
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
SBS is expected to show a decrease in Earnings Per Share. In the coming years, the EPS will decrease by -0.53% yearly.
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-25.44%
EPS Next 2Y-9.14%
EPS Next 3Y-0.53%
EPS Next 5YN/A
Revenue Next Year-19.33%
Revenue Next 2Y-4.07%
Revenue Next 3Y1.7%
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
A Price/Earnings ratio of 13.56 indicates a correct valuation of SBS.
Based on the Price/Earnings ratio, SBS is valued cheaper than 100.00% of the companies in the same industry.
SBS's Price/Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 26.92.
SBS is valuated correctly with a Price/Forward Earnings ratio of 12.39.
Based on the Price/Forward Earnings ratio, SBS is valued cheaply inside the industry as 100.00% of the companies are valued more expensively.
SBS's Price/Forward Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 23.46.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 13.56 | ||
| Fwd PE | 12.39 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, SBS is valued cheaply inside the industry as 100.00% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 5.75 |
4.3 Compensation for Growth
SBS has an outstanding profitability rating, which may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)0.59
EPS Next 2Y-9.14%
EPS Next 3Y-0.53%
5. Dividend
5.1 Amount
With a yearly dividend of 0.47%, SBS is not a good candidate for dividend investing.
Compared to an average industry Dividend Yield of 2.96, SBS is paying slightly less dividend.
Compared to an average S&P500 Dividend Yield of 2.00, SBS's dividend is way lower than the S&P500 average.
| 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
SBS pays out 21.17% of its income as dividend. This is a sustainable payout ratio.
DP21.17%
EPS Next 2Y-9.14%
EPS Next 3Y-0.53%
25.22
-0.09 (-0.36%)
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 Cap17.23B
Revenue(TTM)36.15B
Net Income(TTM)11.16B
Analysts83
Price Target27.81 (10.27%)
Short Float %0.6%
Short Ratio2.69
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.47% |
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)2.1%
PT rev (3m)9%
EPS NQ rev (1m)-2.88%
EPS NQ rev (3m)6.74%
EPS NY rev (1m)15.41%
EPS NY rev (3m)24.03%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-3.69%
Revenue NY rev (1m)0.17%
Revenue NY rev (3m)-12.38%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 13.56 | ||
| Fwd PE | 12.39 | ||
| P/S | 2.36 | ||
| P/FCF | N/A | ||
| P/OCF | 11.17 | ||
| P/B | 2.35 | ||
| P/tB | N/A | ||
| EV/EBITDA | 5.75 |
EPS(TTM)1.86
EY7.38%
EPS(NY)2.04
Fwd EY8.07%
FCF(TTM)-0.97
FCFYN/A
OCF(TTM)2.26
OCFY8.95%
SpS10.67
BVpS10.73
TBVpS-1.28
PEG (NY)N/A
PEG (5Y)0.59
Graham Number21.19
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 | 2.68 |
F-Score5
WACC13.11%
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-25.44%
EPS Next 2Y-9.14%
EPS Next 3Y-0.53%
EPS Next 5YN/A
Revenue 1Y (TTM)41.35%
Revenue growth 3Y22.86%
Revenue growth 5Y14.98%
Sales Q2Q%-37.15%
Revenue Next Year-19.33%
Revenue Next 2Y-4.07%
Revenue Next 3Y1.7%
Revenue Next 5Y5.34%
EBIT growth 1Y130.04%
EBIT growth 3Y56.01%
EBIT growth 5Y22.08%
EBIT Next Year-2.12%
EBIT Next 3Y14.82%
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 13.56 and the Price/Book (PB) ratio is 2.35.
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 -25.44% in the next year.