39.06 USD
-0.48 (-1.21%)
39.06 USD
0 (0%)
SCSC gets a fundamental rating of 6 out of 10. The analysis compared the fundamentals against 124 industry peers in the Electronic Equipment, Instruments & Components industry. SCSC has an excellent financial health rating, but there are some minor concerns on its profitability. SCSC is valued quite cheap, while showing a decent growth score. This is a good combination! This makes SCSC very considerable for value investing!
1. Profitability
1.1 Basic Checks
SCSC had positive earnings in the past year.
In the past year SCSC had a positive cash flow from operations.
Each year in the past 5 years SCSC has been profitable.
The reported operating cash flow has been mixed in the past 5 years: SCSC reported negative operating cash flow in multiple years.
1.2 Ratios
Looking at the Return On Assets, with a value of 4.34%, SCSC is in the better half of the industry, outperforming 69.35% of the companies in the same industry.
SCSC has a Return On Equity of 8.15%. This is in the better half of the industry: SCSC outperforms 69.35% of its industry peers.
SCSC has a better Return On Invested Capital (6.46%) than 66.94% of its industry peers.
SCSC had an Average Return On Invested Capital over the past 3 years of 6.97%. This is below the industry average of 9.30%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.34% | ||
| ROE | 8.15% | ||
| ROIC | 6.46% |
ROA(3y)4.23%
ROA(5y)3.58%
ROE(3y)8.72%
ROE(5y)7.73%
ROIC(3y)6.97%
ROIC(5y)7%
1.3 Margins
The Profit Margin of SCSC (2.48%) is comparable to the rest of the industry.
In the last couple of years the Profit Margin of SCSC has declined.
SCSC has a Operating Margin (3.12%) which is in line with its industry peers.
In the last couple of years the Operating Margin of SCSC has grown nicely.
SCSC has a worse Gross Margin (13.79%) than 72.58% of its industry peers.
SCSC's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 3.12% | ||
| PM (TTM) | 2.48% | ||
| GM | 13.79% |
OM growth 3Y-4.89%
OM growth 5Y10.34%
PM growth 3Y-2.2%
PM growth 5YN/A
GM growth 3Y3.61%
GM growth 5Y2.87%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), SCSC is destroying value.
SCSC has less shares outstanding than it did 1 year ago.
The number of shares outstanding for SCSC has been reduced compared to 5 years ago.
Compared to 1 year ago, SCSC has an improved debt to assets ratio.
2.2 Solvency
SCSC has an Altman-Z score of 3.90. This indicates that SCSC is financially healthy and has little risk of bankruptcy at the moment.
The Altman-Z score of SCSC (3.90) is comparable to the rest of the industry.
SCSC has a debt to FCF ratio of 1.62. This is a very positive value and a sign of high solvency as it would only need 1.62 years to pay back of all of its debts.
Looking at the Debt to FCF ratio, with a value of 1.62, SCSC belongs to the top of the industry, outperforming 80.65% of the companies in the same industry.
SCSC has a Debt/Equity ratio of 0.14. This is a healthy value indicating a solid balance between debt and equity.
SCSC's Debt to Equity ratio of 0.14 is in line compared to the rest of the industry. SCSC outperforms 50.81% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.14 | ||
| Debt/FCF | 1.62 | ||
| Altman-Z | 3.9 |
ROIC/WACC0.72
WACC8.94%
2.3 Liquidity
A Current Ratio of 2.16 indicates that SCSC has no problem at all paying its short term obligations.
The Current ratio of SCSC (2.16) is comparable to the rest of the industry.
SCSC has a Quick Ratio of 1.32. This is a normal value and indicates that SCSC is financially healthy and should not expect problems in meeting its short term obligations.
SCSC has a worse Quick ratio (1.32) than 62.10% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.16 | ||
| Quick Ratio | 1.32 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an nice 19.18% over the past year.
SCSC shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 11.73% yearly.
The Revenue has decreased by -4.88% in the past year.
The Revenue has been decreasing by -0.05% on average over the past years.
EPS 1Y (TTM)19.18%
EPS 3Y-3.4%
EPS 5Y11.73%
EPS Q2Q%26.19%
Revenue 1Y (TTM)-4.88%
Revenue growth 3Y-4.85%
Revenue growth 5Y-0.05%
Sales Q2Q%-4.63%
3.2 Future
The Earnings Per Share is expected to grow by 24.78% on average over the next years. This is a very strong growth
SCSC is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 5.71% yearly.
EPS Next Y20.91%
EPS Next 2Y16.28%
EPS Next 3Y24.78%
EPS Next 5YN/A
Revenue Next Year4.57%
Revenue Next 2Y4.95%
Revenue Next 3Y5.71%
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
SCSC is valuated reasonably with a Price/Earnings ratio of 10.31.
Based on the Price/Earnings ratio, SCSC is valued cheaper than 94.35% of the companies in the same industry.
Compared to an average S&P500 Price/Earnings ratio of 26.51, SCSC is valued rather cheaply.
A Price/Forward Earnings ratio of 8.09 indicates a reasonable valuation of SCSC.
SCSC's Price/Forward Earnings ratio is rather cheap when compared to the industry. SCSC is cheaper than 94.35% of the companies in the same industry.
SCSC is valuated cheaply when we compare the Price/Forward Earnings ratio to 23.13, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.31 | ||
| Fwd PE | 8.09 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, SCSC is valued cheaply inside the industry as 95.97% of the companies are valued more expensively.
Based on the Price/Free Cash Flow ratio, SCSC is valued cheaper than 94.35% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 10.4 | ||
| EV/EBITDA | 7.06 |
4.3 Compensation for Growth
The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
SCSC's earnings are expected to grow with 24.78% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.49
PEG (5Y)0.88
EPS Next 2Y16.28%
EPS Next 3Y24.78%
5. Dividend
5.1 Amount
No dividends for SCSC!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
39.06
-0.48 (-1.21%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupTechnology Hardware & Equipment
GICS IndustryElectronic Equipment, Instruments & Components
Earnings (Last)
Earnings (Next)
Inst Owners102.62%
Inst Owner Change-1.08%
Ins Owners1.97%
Ins Owner Change12.53%
Market Cap856.98M
Revenue(TTM)3.00B
Net Income(TTM)74.45M
Analysts80
Price Target54.06 (38.4%)
Short Float %2%
Short Ratio2.45
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)10.02%
Min EPS beat(2)8.3%
Max EPS beat(2)11.74%
EPS beat(4)3
Avg EPS beat(4)5.19%
Min EPS beat(4)-8.09%
Max EPS beat(4)11.74%
EPS beat(8)4
Avg EPS beat(8)-2.86%
EPS beat(12)6
Avg EPS beat(12)-3.26%
EPS beat(16)9
Avg EPS beat(16)1.4%
Revenue beat(2)1
Avg Revenue beat(2)-2.66%
Min Revenue beat(2)-7.9%
Max Revenue beat(2)2.58%
Revenue beat(4)1
Avg Revenue beat(4)-8.36%
Min Revenue beat(4)-14.59%
Max Revenue beat(4)2.58%
Revenue beat(8)1
Avg Revenue beat(8)-8.78%
Revenue beat(12)3
Avg Revenue beat(12)-5.69%
Revenue beat(16)6
Avg Revenue beat(16)-3.32%
PT rev (1m)0%
PT rev (3m)-8.62%
EPS NQ rev (1m)0%
EPS NQ rev (3m)1.02%
EPS NY rev (1m)3.85%
EPS NY rev (3m)7.04%
Revenue NQ rev (1m)-2.04%
Revenue NQ rev (3m)-1%
Revenue NY rev (1m)-1.02%
Revenue NY rev (3m)-1.2%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.31 | ||
| Fwd PE | 8.09 | ||
| P/S | 0.29 | ||
| P/FCF | 10.4 | ||
| P/OCF | 9.45 | ||
| P/B | 0.94 | ||
| P/tB | 1.37 | ||
| EV/EBITDA | 7.06 |
EPS(TTM)3.79
EY9.7%
EPS(NY)4.83
Fwd EY12.36%
FCF(TTM)3.76
FCFY9.62%
OCF(TTM)4.14
OCFY10.59%
SpS136.96
BVpS41.66
TBVpS28.46
PEG (NY)0.49
PEG (5Y)0.88
Graham Number59.6
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.34% | ||
| ROE | 8.15% | ||
| ROCE | 8.44% | ||
| ROIC | 6.46% | ||
| ROICexc | 7.28% | ||
| ROICexgc | 10.3% | ||
| OM | 3.12% | ||
| PM (TTM) | 2.48% | ||
| GM | 13.79% | ||
| FCFM | 2.74% |
ROA(3y)4.23%
ROA(5y)3.58%
ROE(3y)8.72%
ROE(5y)7.73%
ROIC(3y)6.97%
ROIC(5y)7%
ROICexc(3y)7.76%
ROICexc(5y)7.61%
ROICexgc(3y)10.54%
ROICexgc(5y)10.66%
ROCE(3y)9.12%
ROCE(5y)9.15%
ROICexgc growth 3Y-5.14%
ROICexgc growth 5Y7.76%
ROICexc growth 3Y-6.26%
ROICexc growth 5Y9.54%
OM growth 3Y-4.89%
OM growth 5Y10.34%
PM growth 3Y-2.2%
PM growth 5YN/A
GM growth 3Y3.61%
GM growth 5Y2.87%
F-Score7
Asset Turnover1.75
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.14 | ||
| Debt/FCF | 1.62 | ||
| Debt/EBITDA | 1.03 | ||
| Cap/Depr | 28.72% | ||
| Cap/Sales | 0.28% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 73.94% | ||
| Profit Quality | 110.71% | ||
| Current Ratio | 2.16 | ||
| Quick Ratio | 1.32 | ||
| Altman-Z | 3.9 |
F-Score7
WACC8.94%
ROIC/WACC0.72
Cap/Depr(3y)30.98%
Cap/Depr(5y)24.57%
Cap/Sales(3y)0.27%
Cap/Sales(5y)0.21%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)19.18%
EPS 3Y-3.4%
EPS 5Y11.73%
EPS Q2Q%26.19%
EPS Next Y20.91%
EPS Next 2Y16.28%
EPS Next 3Y24.78%
EPS Next 5YN/A
Revenue 1Y (TTM)-4.88%
Revenue growth 3Y-4.85%
Revenue growth 5Y-0.05%
Sales Q2Q%-4.63%
Revenue Next Year4.57%
Revenue Next 2Y4.95%
Revenue Next 3Y5.71%
Revenue Next 5YN/A
EBIT growth 1Y0.53%
EBIT growth 3Y-9.5%
EBIT growth 5Y10.29%
EBIT Next Year37.15%
EBIT Next 3Y18.83%
EBIT Next 5YN/A
FCF growth 1Y-13.87%
FCF growth 3YN/A
FCF growth 5Y-13.9%
OCF growth 1Y-14.57%
OCF growth 3YN/A
OCF growth 5Y-13.07%
SCANSOURCE INC / SCSC FAQ
Can you provide the ChartMill fundamental rating for SCANSOURCE INC?
ChartMill assigns a fundamental rating of 6 / 10 to SCSC.
What is the valuation status of SCANSOURCE INC (SCSC) stock?
ChartMill assigns a valuation rating of 8 / 10 to SCANSOURCE INC (SCSC). This can be considered as Undervalued.
How profitable is SCANSOURCE INC (SCSC) stock?
SCANSOURCE INC (SCSC) has a profitability rating of 5 / 10.
Can you provide the financial health for SCSC stock?
The financial health rating of SCANSOURCE INC (SCSC) is 7 / 10.