STEELCASE INC-CL A (SCS) Stock Fundamental Analysis
USA - NYSE:SCS - US8581552036 - Common Stock
16.81 USD
-0.19 (-1.12%)
16.81 USD
0 (0%)
Taking everything into account, SCS scores 5 out of 10 in our fundamental rating. SCS was compared to 84 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 decent growth rate and is not valued too expensively.
1. Profitability
1.1 Basic Checks
SCS had positive earnings in the past year.
SCS had a positive operating cash flow in the past year.
In the past 5 years SCS has always been profitable.
SCS had a positive operating cash flow in 4 of the past 5 years.
1.2 Ratios
SCS has a Return On Assets of 5.29%. This is in the better half of the industry: SCS outperforms 70.24% of its industry peers.
SCS has a better Return On Equity (12.15%) than 70.24% of its industry peers.
SCS's Return On Invested Capital of 8.82% is fine compared to the rest of the industry. SCS outperforms 72.62% of its industry peers.
SCS had an Average Return On Invested Capital over the past 3 years of 6.65%. This is below the industry average of 10.60%.
The last Return On Invested Capital (8.82%) for SCS is above the 3 year average (6.65%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.29% | ||
| ROE | 12.15% | ||
| ROIC | 8.82% |
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
SCS has a better Profit Margin (3.71%) than 60.71% of its industry peers.
SCS's Profit Margin has declined in the last couple of years.
Looking at the Operating Margin, with a value of 5.58%, SCS is in line with its industry, outperforming 50.00% of the companies in the same industry.
SCS's Operating Margin has declined in the last couple of years.
SCS has a Gross Margin (33.57%) which is in line with its industry peers.
In the last couple of years the Gross Margin of SCS has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 5.58% | ||
| PM (TTM) | 3.71% | ||
| GM | 33.57% |
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 just above the Cost of Capital (WACC), which means it is creating some value.
Compared to 1 year ago, SCS has less shares outstanding
The number of shares outstanding for SCS has been reduced compared to 5 years ago.
SCS has a better debt/assets ratio than last year.
2.2 Solvency
An Altman-Z score of 3.41 indicates that SCS is not in any danger for bankruptcy at the moment.
With a decent Altman-Z score value of 3.41, SCS is doing good in the industry, outperforming 65.48% of the companies in the same industry.
The Debt to FCF ratio of SCS is 25.56, which is on the high side as it means it would take SCS, 25.56 years of fcf income to pay off all of its debts.
Looking at the Debt to FCF ratio, with a value of 25.56, SCS is in line with its industry, outperforming 45.24% of the companies in the same industry.
A Debt/Equity ratio of 0.46 indicates that SCS is not too dependend on debt financing.
SCS has a Debt to Equity ratio (0.46) which is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.46 | ||
| Debt/FCF | 25.56 | ||
| Altman-Z | 3.41 |
ROIC/WACC1.07
WACC8.22%
2.3 Liquidity
SCS has a Current Ratio of 1.65. This is a normal value and indicates that SCS is financially healthy and should not expect problems in meeting its short term obligations.
Looking at the Current ratio, with a value of 1.65, SCS is in line with its industry, outperforming 58.33% of the companies in the same industry.
A Quick Ratio of 1.15 indicates that SCS should not have too much problems paying its short term obligations.
Looking at the Quick ratio, with a value of 1.15, SCS is doing worse than 65.48% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.65 | ||
| Quick Ratio | 1.15 |
3. Growth
3.1 Past
SCS shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 15.00%, which is quite good.
SCS shows a decrease in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -5.84% yearly.
SCS shows a small growth in Revenue. In the last year, the Revenue has grown by 2.64%.
SCS shows a decrease in Revenue. Measured over the last years, the Revenue has been decreasing by -3.19% yearly.
EPS 1Y (TTM)15%
EPS 3Y233.22%
EPS 5Y-5.84%
EPS Q2Q%25%
Revenue 1Y (TTM)2.64%
Revenue growth 3Y4.52%
Revenue growth 5Y-3.19%
Sales Q2Q%7.11%
3.2 Future
SCS is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 7.29% yearly.
Based on estimates for the next years, SCS will show a small growth in Revenue. The Revenue will grow by 3.50% on average per year.
EPS Next Y-2.64%
EPS Next 2Y7.29%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year3.48%
Revenue Next 2Y3.5%
Revenue Next 3YN/A
Revenue Next 5YN/A
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 accelerating.
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
The Price/Earnings ratio is 14.62, which indicates a correct valuation of SCS.
SCS's Price/Earnings ratio is rather cheap when compared to the industry. SCS is cheaper than 80.95% of the companies in the same industry.
Compared to an average S&P500 Price/Earnings ratio of 27.30, SCS is valued a bit cheaper.
Based on the Price/Forward Earnings ratio of 13.16, the valuation of SCS can be described as correct.
SCS's Price/Forward Earnings ratio is rather cheap when compared to the industry. SCS is cheaper than 80.95% of the companies in the same industry.
SCS is valuated rather cheaply when we compare the Price/Forward Earnings ratio to 22.73, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 14.62 | ||
| Fwd PE | 13.16 |
4.2 Price Multiples
77.38% of the companies in the same industry are more expensive than SCS, based on the Enterprise Value to EBITDA ratio.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of SCS is on the same level as its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 110.2 | ||
| EV/EBITDA | 8.17 |
4.3 Compensation for Growth
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y7.29%
EPS Next 3YN/A
5. Dividend
5.1 Amount
SCS has a Yearly Dividend Yield of 2.35%. Purely for dividend investing, there may be better candidates out there.
SCS's Dividend Yield is rather good when compared to the industry average which is at 2.27. SCS pays more dividend than 85.71% of the companies in the same industry.
Compared to an average S&P500 Dividend Yield of 2.38, SCS has a dividend comparable with the average S&P500 company.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.35% |
5.2 History
The dividend of SCS decreases each year by -6.70%.
SCS has paid a dividend for at least 10 years, which is 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 39.78% of its income as dividend. This is a sustainable payout ratio.
DP39.78%
EPS Next 2Y7.29%
EPS Next 3YN/A
16.81
-0.19 (-1.12%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCommercial & Professional Services
GICS IndustryCommercial Services & Supplies
Earnings (Last)
Earnings (Next)
Inst Owners97.13%
Inst Owner Change3.55%
Ins Owners2.29%
Ins Owner Change32.19%
Market Cap1.93B
Analysts76.67
Price Target16.58 (-1.37%)
Short Float %1.74%
Short Ratio0.83
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.35% |
Yearly Dividend0.42
Dividend Growth(5Y)-6.7%
DP39.78%
Div Incr Years1
Div Non Decr Years1
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)36.13%
Min EPS beat(2)25.57%
Max EPS beat(2)46.68%
EPS beat(4)4
Avg EPS beat(4)27.73%
Min EPS beat(4)3.66%
Max EPS beat(4)46.68%
EPS beat(8)8
Avg EPS beat(8)33.31%
EPS beat(12)12
Avg EPS beat(12)85.29%
EPS beat(16)13
Avg EPS beat(16)30.04%
Revenue beat(2)1
Avg Revenue beat(2)0.49%
Min Revenue beat(2)-0.18%
Max Revenue beat(2)1.16%
Revenue beat(4)1
Avg Revenue beat(4)-0.66%
Min Revenue beat(4)-1.94%
Max Revenue beat(4)1.16%
Revenue beat(8)2
Avg Revenue beat(8)-0.84%
Revenue beat(12)4
Avg Revenue beat(12)-0.23%
Revenue beat(16)5
Avg Revenue beat(16)-0.5%
PT rev (1m)0%
PT rev (3m)-1.52%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-8.75%
EPS NY rev (1m)0%
EPS NY rev (3m)0.63%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-0.58%
Revenue NY rev (1m)0%
Revenue NY rev (3m)0.09%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 14.62 | ||
| Fwd PE | 13.16 | ||
| P/S | 0.6 | ||
| P/FCF | 110.2 | ||
| P/OCF | 29 | ||
| P/B | 1.96 | ||
| P/tB | 3.05 | ||
| EV/EBITDA | 8.17 |
EPS(TTM)1.15
EY6.84%
EPS(NY)1.28
Fwd EY7.6%
FCF(TTM)0.15
FCFY0.91%
OCF(TTM)0.58
OCFY3.45%
SpS28.05
BVpS8.57
TBVpS5.52
PEG (NY)N/A
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.29% | ||
| ROE | 12.15% | ||
| ROCE | 10.65% | ||
| ROIC | 8.82% | ||
| ROICexc | 10.19% | ||
| ROICexgc | 13.4% | ||
| OM | 5.58% | ||
| PM (TTM) | 3.71% | ||
| GM | 33.57% | ||
| FCFM | 0.54% |
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%
ROICexcg growth 3Y119.71%
ROICexcg 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 Turnover1.43
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.46 | ||
| Debt/FCF | 25.56 | ||
| Debt/EBITDA | 1.73 | ||
| Cap/Depr | 62.66% | ||
| Cap/Sales | 1.52% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 25.79% | ||
| Profit Quality | 14.66% | ||
| Current Ratio | 1.65 | ||
| Quick Ratio | 1.15 | ||
| Altman-Z | 3.41 |
F-Score7
WACC8.22%
ROIC/WACC1.07
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)15%
EPS 3Y233.22%
EPS 5Y-5.84%
EPS Q2Q%25%
EPS Next Y-2.64%
EPS Next 2Y7.29%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)2.64%
Revenue growth 3Y4.52%
Revenue growth 5Y-3.19%
Sales Q2Q%7.11%
Revenue Next Year3.48%
Revenue Next 2Y3.5%
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y20.77%
EBIT growth 3Y103.3%
EBIT growth 5Y-8.09%
EBIT Next Year51.82%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y-82.25%
FCF growth 3YN/A
FCF growth 5Y-18.81%
OCF growth 1Y-57.32%
OCF growth 3YN/A
OCF growth 5Y-16.27%