STEELCASE INC-CL A (SCS) Stock Fundamental Analysis
USA - NYSE:SCS - US8581552036 - Common Stock
15.75 USD
+0.01 (+0.06%)
15.75 USD
0 (0%)
SCS gets a fundamental rating of 5 out of 10. The analysis compared the fundamentals against 82 industry peers in the Commercial Services & Supplies industry. SCS has an average financial health and profitability rating. SCS has a decent growth rate and is not valued too expensively.
1. Profitability
1.1 Basic Checks
In the past year SCS was profitable.
In the past year SCS had a positive cash flow from operations.
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's Return On Assets of 3.92% is fine compared to the rest of the industry. SCS outperforms 65.85% of its industry peers.
SCS's Return On Equity of 9.07% is fine compared to the rest of the industry. SCS outperforms 65.85% of its industry peers.
With a decent Return On Invested Capital value of 7.24%, SCS is doing good in the industry, outperforming 63.41% of the companies in the same industry.
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
With a Profit Margin value of 2.83%, SCS perfoms like the industry average, outperforming 57.32% of the companies in the same industry.
SCS's Profit Margin has declined in the last couple of years.
Looking at the Operating Margin, with a value of 4.68%, SCS is in line with its industry, outperforming 48.78% of the companies in the same industry.
SCS's Operating Margin has declined in the last couple of years.
SCS has a Gross Margin (33.60%) which is comparable to the rest of the industry.
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
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so SCS is destroying value.
SCS has less shares outstanding than it did 1 year ago.
Compared to 5 years ago, SCS has less shares outstanding
Compared to 1 year ago, SCS has an improved debt to assets ratio.
2.2 Solvency
SCS has an Altman-Z score of 3.22. This indicates that SCS is financially healthy and has little risk of bankruptcy at the moment.
SCS's Altman-Z score of 3.22 is fine compared to the rest of the industry. SCS outperforms 68.29% of its industry peers.
A Debt/Equity ratio of 0.44 indicates that SCS is not too dependend on debt financing.
SCS's Debt to Equity ratio of 0.44 is in line compared to the rest of the industry. SCS outperforms 57.32% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.44 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 3.22 |
ROIC/WACC0.92
WACC7.86%
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.
With a decent Current ratio value of 1.66, SCS is doing good in the industry, outperforming 60.98% of the companies in the same industry.
SCS has a Quick Ratio of 1.18. 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 Quick ratio, with a value of 1.18, SCS is in line with its industry, outperforming 40.24% 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.
Looking at the last year, SCS shows a small growth in Revenue. The Revenue has grown by 3.92% in the last year.
Measured over the past years, SCS shows a decrease in Revenue. The Revenue has been decreasing by -3.19% on average per year.
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.
Based on estimates for the next years, SCS will show a small growth in Revenue. The Revenue will grow by 3.54% on average per year.
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
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.
The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 13.02, the valuation of SCS can be described as correct.
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.
SCS is valuated cheaply when we compare the Price/Earnings ratio to 26.28, which is the current average of the S&P500 Index.
The Price/Forward Earnings ratio is 12.38, which indicates a correct valuation of SCS.
80.49% of the companies in the same industry are more expensive than SCS, based on the Price/Forward Earnings ratio.
Compared to an average S&P500 Price/Forward Earnings ratio of 33.61, SCS is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 13.02 | ||
| Fwd PE | 12.38 |
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 71.95% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 8.5 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates SCS does not grow enough to justify the current Price/Earnings ratio.
PEG (NY)5.5
PEG (5Y)N/A
EPS Next 2Y7.07%
EPS Next 3YN/A
5. Dividend
5.1 Amount
SCS has a Yearly Dividend Yield of 2.54%.
Compared to an average industry Dividend Yield of 2.54, SCS pays a better dividend. On top of this SCS pays more dividend than 86.59% of the companies listed in the same industry.
SCS's Dividend Yield is comparable with the S&P500 average which is at 2.36.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.54% |
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
51.74% of the earnings are spent on dividend by SCS. This is a bit on the high side, but may be sustainable.
DP51.74%
EPS Next 2Y7.07%
EPS Next 3YN/A
15.75
+0.01 (+0.06%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCommercial & Professional Services
GICS IndustryCommercial Services & Supplies
Earnings (Last)
Earnings (Next)
Inst Owners82.56%
Inst Owner Change2.72%
Ins Owners3.67%
Ins Owner Change24.67%
Market Cap1.81B
Revenue(TTM)3.26B
Net Income(TTM)92.20M
Analysts76.67
Price Target17.16 (8.95%)
Short Float %2.41%
Short Ratio1.58
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.54% |
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)-2.06%
EPS NQ rev (3m)-2.06%
EPS NY rev (1m)5.14%
EPS NY rev (3m)5.14%
Revenue NQ rev (1m)0.43%
Revenue NQ rev (3m)0.43%
Revenue NY rev (1m)0%
Revenue NY rev (3m)0.76%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 13.02 | ||
| Fwd PE | 12.38 | ||
| P/S | 0.55 | ||
| P/FCF | N/A | ||
| P/OCF | 104.46 | ||
| P/B | 1.78 | ||
| P/tB | 2.7 | ||
| EV/EBITDA | 8.5 |
EPS(TTM)1.21
EY7.68%
EPS(NY)1.27
Fwd EY8.08%
FCF(TTM)-0.33
FCFYN/A
OCF(TTM)0.15
OCFY0.96%
SpS28.4
BVpS8.86
TBVpS5.84
PEG (NY)5.5
PEG (5Y)N/A
Graham Number15.53
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 | 3.22 |
F-Score7
WACC7.86%
ROIC/WACC0.92
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%.