STEELCASE INC-CL A (SCS) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:SCS - US8581552036 - Common Stock
16.14 USD
-0.09 (-0.55%)
16.3 USD
+0.16 (+0.99%)
Taking everything into account, SCS scores 5 out of 10 in our fundamental rating. SCS was compared to 82 industry peers in the Commercial Services & Supplies industry. Both the profitability and the financial health of SCS get a neutral evaluation. Nothing too spectacular is happening here. SCS has a correct valuation and a medium growth rate.
1. Profitability
1.1 Basic Checks
SCS had positive earnings in the past year.
In the past year SCS had a positive cash flow from operations.
Each year in the past 5 years SCS has been profitable.
Of the past 5 years SCS 4 years had a positive operating cash flow.
1.2 Ratios
SCS has a better Return On Assets (3.92%) than 65.85% of its industry peers.
With a decent Return On Equity value of 9.07%, SCS is doing good in the industry, outperforming 65.85% of the companies in the same industry.
SCS has a Return On Invested Capital of 7.24%. This is in the better half of the industry: SCS outperforms 63.41% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for SCS is below the industry average of 10.51%.
The last Return On Invested Capital (7.24%) for SCS is above the 3 year average (6.65%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.92% | ||
| ROE | 9.07% | ||
| ROIC | 7.24% |
ROA(3y)3.35%
ROA(5y)2.26%
ROE(3y)8.39%
ROE(5y)5.66%
ROIC(3y)6.65%
ROIC(5y)4.99%
1.3 Margins
The Profit Margin of SCS (2.83%) is comparable to the rest of the industry.
In the last couple of years the Profit Margin of SCS has declined.
SCS has a Operating Margin (4.68%) which is comparable to the rest of the industry.
SCS's Operating Margin has declined in the last couple of years.
SCS has a Gross Margin of 33.60%. This is comparable to the rest of the industry: SCS outperforms 52.44% of its industry peers.
SCS's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 4.68% | ||
| PM (TTM) | 2.83% | ||
| GM | 33.6% |
OM growth 3Y94.51%
OM growth 5Y-5.06%
PM growth 3Y197.03%
PM growth 5Y-6.86%
GM growth 3Y6.72%
GM growth 5Y0.45%
2. Health
2.1 Basic Checks
SCS has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
Compared to 1 year ago, SCS has less shares outstanding
Compared to 5 years ago, SCS has less shares outstanding
The debt/assets ratio for SCS has been reduced compared to a year ago.
2.2 Solvency
An Altman-Z score of 3.24 indicates that SCS is not in any danger for bankruptcy at the moment.
SCS's Altman-Z score of 3.24 is fine compared to the rest of the industry. SCS outperforms 67.07% of its industry peers.
A Debt/Equity ratio of 0.44 indicates that SCS is not too dependend on debt financing.
SCS has a Debt to Equity ratio (0.44) which is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.44 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 3.24 |
ROIC/WACC0.9
WACC8.07%
2.3 Liquidity
SCS has a Current Ratio of 1.66. This is a normal value and indicates that SCS is financially healthy and should not expect problems in meeting its short term obligations.
SCS's Current ratio of 1.66 is fine compared to the rest of the industry. SCS outperforms 60.98% of its industry peers.
A Quick Ratio of 1.18 indicates that SCS should not have too much problems paying its short term obligations.
With a Quick ratio value of 1.18, SCS perfoms like the industry average, outperforming 42.68% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.66 | ||
| Quick Ratio | 1.18 |
3. Growth
3.1 Past
SCS shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 12.04%, which is quite good.
The Earnings Per Share has been decreasing by -5.84% on average over the past years.
SCS shows a small growth in Revenue. In the last year, the Revenue has grown by 3.92%.
SCS shows a decrease in Revenue. Measured over the last years, the Revenue has been decreasing by -3.19% yearly.
EPS 1Y (TTM)12.04%
EPS 3Y233.22%
EPS 5Y-5.84%
EPS Q2Q%15.38%
Revenue 1Y (TTM)3.92%
Revenue growth 3Y4.52%
Revenue growth 5Y-3.19%
Sales Q2Q%4.83%
3.2 Future
The Earnings Per Share is expected to grow by 7.07% on average over the next years.
SCS is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 3.54% yearly.
EPS Next Y2.36%
EPS Next 2Y7.07%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year4.26%
Revenue Next 2Y3.54%
Revenue Next 3YN/A
Revenue Next 5YN/A
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 13.34, SCS is valued correctly.
Compared to the rest of the industry, the Price/Earnings ratio of SCS indicates a rather cheap valuation: SCS is cheaper than 81.71% of the companies listed in the same industry.
Compared to an average S&P500 Price/Earnings ratio of 26.46, SCS is valued a bit cheaper.
A Price/Forward Earnings ratio of 12.68 indicates a correct valuation of SCS.
Compared to the rest of the industry, the Price/Forward Earnings ratio of SCS indicates a rather cheap valuation: SCS is cheaper than 80.49% of the companies listed in the same industry.
Compared to an average S&P500 Price/Forward Earnings ratio of 36.10, SCS is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 13.34 | ||
| Fwd PE | 12.68 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of SCS indicates a somewhat cheap valuation: SCS is cheaper than 74.39% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 8.75 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
PEG (NY)5.64
PEG (5Y)N/A
EPS Next 2Y7.07%
EPS Next 3YN/A
5. Dividend
5.1 Amount
SCS has a Yearly Dividend Yield of 2.47%.
SCS's Dividend Yield is rather good when compared to the industry average which is at 2.48. SCS pays more dividend than 87.80% of the companies in the same industry.
Compared to an average S&P500 Dividend Yield of 2.32, SCS has a dividend comparable with the average S&P500 company.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.47% |
5.2 History
The dividend of SCS decreases each year by -6.70%.
SCS has been paying a dividend for at least 10 years, so it has a reliable track record.
SCS has decreased its dividend recently.
Dividend Growth(5Y)-6.7%
Div Incr Years1
Div Non Decr Years1
5.3 Sustainability
SCS pays out 51.74% of its income as dividend. This is a bit on the high side, but may be sustainable.
DP51.74%
EPS Next 2Y7.07%
EPS Next 3YN/A
16.14
-0.09 (-0.55%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCommercial & Professional Services
GICS IndustryCommercial Services & Supplies
Earnings (Last)
Earnings (Next)
Inst Owners82.56%
Inst Owner Change17.93%
Ins Owners3.67%
Ins Owner Change24.67%
Market Cap1.85B
Revenue(TTM)3.26B
Net Income(TTM)92.20M
Analysts76.67
Price Target17.16 (6.32%)
Short Float %3.04%
Short Ratio1.99
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.47% |
Yearly Dividend0.42
Dividend Growth(5Y)-6.7%
DP51.74%
Div Incr Years1
Div Non Decr Years1
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)34.37%
Min EPS beat(2)22.07%
Max EPS beat(2)46.68%
EPS beat(4)4
Avg EPS beat(4)32.33%
Min EPS beat(4)22.07%
Max EPS beat(4)46.68%
EPS beat(8)8
Avg EPS beat(8)29.15%
EPS beat(12)12
Avg EPS beat(12)81.87%
EPS beat(16)14
Avg EPS beat(16)31.96%
Revenue beat(2)2
Avg Revenue beat(2)1.41%
Min Revenue beat(2)1.16%
Max Revenue beat(2)1.66%
Revenue beat(4)2
Avg Revenue beat(4)0.24%
Min Revenue beat(4)-1.69%
Max Revenue beat(4)1.66%
Revenue beat(8)2
Avg Revenue beat(8)-0.89%
Revenue beat(12)5
Avg Revenue beat(12)0.18%
Revenue beat(16)6
Avg Revenue beat(16)-0.04%
PT rev (1m)3.54%
PT rev (3m)3.54%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-2.06%
EPS NY rev (1m)0%
EPS NY rev (3m)5.14%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)0.43%
Revenue NY rev (1m)0%
Revenue NY rev (3m)0.76%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 13.34 | ||
| Fwd PE | 12.68 | ||
| P/S | 0.57 | ||
| P/FCF | N/A | ||
| P/OCF | 107.14 | ||
| P/B | 1.82 | ||
| P/tB | 2.77 | ||
| EV/EBITDA | 8.75 |
EPS(TTM)1.21
EY7.5%
EPS(NY)1.27
Fwd EY7.88%
FCF(TTM)-0.32
FCFYN/A
OCF(TTM)0.15
OCFY0.93%
SpS28.38
BVpS8.85
TBVpS5.83
PEG (NY)5.64
PEG (5Y)N/A
Graham Number15.52
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.92% | ||
| ROE | 9.07% | ||
| ROCE | 8.74% | ||
| ROIC | 7.24% | ||
| ROICexc | 8.49% | ||
| ROICexgc | 11.08% | ||
| OM | 4.68% | ||
| PM (TTM) | 2.83% | ||
| GM | 33.6% | ||
| FCFM | N/A |
ROA(3y)3.35%
ROA(5y)2.26%
ROE(3y)8.39%
ROE(5y)5.66%
ROIC(3y)6.65%
ROIC(5y)4.99%
ROICexc(3y)8.17%
ROICexc(5y)6.22%
ROICexgc(3y)11.25%
ROICexgc(5y)8.46%
ROCE(3y)8.02%
ROCE(5y)6.02%
ROICexgc growth 3Y119.71%
ROICexgc growth 5Y-6.65%
ROICexc growth 3Y114.39%
ROICexc growth 5Y-7.23%
OM growth 3Y94.51%
OM growth 5Y-5.06%
PM growth 3Y197.03%
PM growth 5Y-6.86%
GM growth 3Y6.72%
GM growth 5Y0.45%
F-Score7
Asset Turnover1.39
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.44 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 1.95 | ||
| Cap/Depr | 70.45% | ||
| Cap/Sales | 1.68% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 7.52% | ||
| Profit Quality | N/A | ||
| Current Ratio | 1.66 | ||
| Quick Ratio | 1.18 | ||
| Altman-Z | 3.24 |
F-Score7
WACC8.07%
ROIC/WACC0.9
Cap/Depr(3y)60.1%
Cap/Depr(5y)60.3%
Cap/Sales(3y)1.6%
Cap/Sales(5y)1.72%
Profit Quality(3y)170.46%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)12.04%
EPS 3Y233.22%
EPS 5Y-5.84%
EPS Q2Q%15.38%
EPS Next Y2.36%
EPS Next 2Y7.07%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)3.92%
Revenue growth 3Y4.52%
Revenue growth 5Y-3.19%
Sales Q2Q%4.83%
Revenue Next Year4.26%
Revenue Next 2Y3.54%
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y-20.61%
EBIT growth 3Y103.3%
EBIT growth 5Y-8.09%
EBIT Next Year51.82%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y-115.51%
FCF growth 3YN/A
FCF growth 5Y-18.81%
OCF growth 1Y-94.14%
OCF growth 3YN/A
OCF growth 5Y-16.27%
STEELCASE INC-CL A / SCS FAQ
What is the ChartMill fundamental rating of STEELCASE INC-CL A (SCS) stock?
ChartMill assigns a fundamental rating of 5 / 10 to SCS.
What is the valuation status for SCS stock?
ChartMill assigns a valuation rating of 4 / 10 to STEELCASE INC-CL A (SCS). This can be considered as Fairly Valued.
How profitable is STEELCASE INC-CL A (SCS) stock?
STEELCASE INC-CL A (SCS) has a profitability rating of 5 / 10.
How financially healthy is STEELCASE INC-CL A?
The financial health rating of STEELCASE INC-CL A (SCS) is 5 / 10.
Can you provide the dividend sustainability for SCS stock?
The dividend rating of STEELCASE INC-CL A (SCS) is 4 / 10 and the dividend payout ratio is 51.74%.