STIFEL FINANCIAL CORP (SF) Stock Fundamental Analysis
NYSE:SF - New York Stock Exchange, Inc. - US8606301021 - Common Stock - Currency: USD
Overall SF gets a fundamental rating of 4 out of 10. We evaluated SF against 233 industry peers in the Capital Markets industry. SF has a medium profitability rating, but doesn't score so well on its financial health evaluation. SF has a correct valuation and a medium growth rate.
1. Profitability
1.1 Basic Checks
In the past year SF was profitable.
SF had a positive operating cash flow in the past year.
In the past 5 years SF has always been profitable.
In the past 5 years SF always reported a positive cash flow from operatings.
1.2 Ratios
SF has a Return On Assets of 1.44%. This is comparable to the rest of the industry: SF outperforms 42.06% of its industry peers.
The Return On Equity of SF (10.54%) is better than 61.37% of its industry peers.
Looking at the Return On Invested Capital, with a value of 3.50%, SF is in line with its industry, outperforming 41.63% of the companies in the same industry.
The Average Return On Invested Capital over the past 3 years for SF is below the industry average of 7.84%.
The last Return On Invested Capital (3.50%) for SF is above the 3 year average (3.24%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.44% | ||
| ROE | 10.54% | ||
| ROIC | 3.5% |
ROA(3y)1.57%
ROA(5y)1.76%
ROE(3y)11.03%
ROE(5y)12%
ROIC(3y)3.24%
ROIC(5y)2.97%
1.3 Margins
With a Profit Margin value of 9.72%, SF is not doing good in the industry: 61.37% of the companies in the same industry are doing better.
In the last couple of years the Profit Margin of SF has remained more or less at the same level.
The Operating Margin of SF (28.54%) is comparable to the rest of the industry.
In the last couple of years the Operating Margin of SF has grown nicely.
With an excellent Gross Margin value of 98.94%, SF belongs to the best of the industry, outperforming 98.71% of the companies in the same industry.
SF's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 28.54% | ||
| PM (TTM) | 9.72% | ||
| GM | 98.94% |
OM growth 3Y11.3%
OM growth 5Y7.74%
PM growth 3Y-10.93%
PM growth 5Y-1%
GM growth 3Y0.06%
GM growth 5Y0.04%
2. Health
2.1 Basic Checks
Compared to 1 year ago, SF has more shares outstanding
Compared to 5 years ago, SF has more shares outstanding
The debt/assets ratio for SF has been reduced compared to a year ago.
2.2 Solvency
SF has an Altman-Z score of -0.29. This is a bad value and indicates that SF is not financially healthy and even has some risk of bankruptcy.
SF's Altman-Z score of -0.29 is on the low side compared to the rest of the industry. SF is outperformed by 80.26% of its industry peers.
The Debt to FCF ratio of SF is 39.38, which is on the high side as it means it would take SF, 39.38 years of fcf income to pay off all of its debts.
SF has a Debt to FCF ratio (39.38) which is in line with its industry peers.
SF has a Debt/Equity ratio of 5.75. This is a high value indicating a heavy dependency on external financing.
Looking at the Debt to Equity ratio, with a value of 5.75, SF is doing worse than 86.70% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 5.75 | ||
| Debt/FCF | 39.38 | ||
| Altman-Z | -0.29 |
ROIC/WACCN/A
WACCN/A
2.3 Liquidity
A Current Ratio of 0.12 indicates that SF may have some problems paying its short term obligations.
The Current ratio of SF (0.12) is worse than 93.13% of its industry peers.
SF has a Quick Ratio of 0.12. This is a bad value and indicates that SF is not financially healthy enough and could expect problems in meeting its short term obligations.
SF has a worse Quick ratio (0.12) than 92.70% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.12 | ||
| Quick Ratio | 0.12 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 21.50% over the past year.
Measured over the past years, SF shows a quite strong growth in Earnings Per Share. The EPS has been growing by 10.86% on average per year.
Looking at the last year, SF shows a quite strong growth in Revenue. The Revenue has grown by 12.94% in the last year.
SF shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 11.11% yearly.
EPS 1Y (TTM)21.5%
EPS 3Y-1.24%
EPS 5Y10.86%
EPS Q2Q%-67.11%
Revenue 1Y (TTM)12.94%
Revenue growth 3Y7.56%
Revenue growth 5Y11.11%
Sales Q2Q%7.95%
3.2 Future
The Earnings Per Share is expected to grow by 8.15% on average over the next years. This is quite good.
The Revenue is expected to grow by 4.89% on average over the next years.
EPS Next Y-3.4%
EPS Next 2Y15.39%
EPS Next 3Y16.12%
EPS Next 5Y8.15%
Revenue Next Year5.29%
Revenue Next 2Y7.59%
Revenue Next 3Y8.46%
Revenue Next 5Y4.89%
3.3 Evolution
The EPS growth rate is decreasing: in the next years the growth will be less 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 decreasing.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 18.76, which indicates a rather expensive current valuation of SF.
The rest of the industry has a similar Price/Earnings ratio as SF.
SF is valuated rather cheaply when we compare the Price/Earnings ratio to 27.45, which is the current average of the S&P500 Index.
Based on the Price/Forward Earnings ratio of 12.03, the valuation of SF can be described as correct.
Based on the Price/Forward Earnings ratio, SF is valued a bit cheaper than 62.66% of the companies in the same industry.
When comparing the Price/Forward Earnings ratio of SF to the average of the S&P500 Index (21.90), we can say SF is valued slightly cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 18.76 | ||
| Fwd PE | 12.03 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, SF is valued cheaply inside the industry as 94.42% of the companies are valued more expensively.
69.53% of the companies in the same industry are more expensive than SF, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 13.92 | ||
| EV/EBITDA | 5.01 |
4.3 Compensation for Growth
SF has a very decent profitability rating, which may justify a higher PE ratio.
SF's earnings are expected to grow with 16.12% in the coming years. This may justify a more expensive valuation.
PEG (NY)N/A
PEG (5Y)1.73
EPS Next 2Y15.39%
EPS Next 3Y16.12%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 1.78%, SF has a reasonable but not impressive dividend return.
Compared to an average industry Dividend Yield of 8.00, SF is paying slightly less dividend.
SF's Dividend Yield is slightly below the S&P500 average, which is at 2.42.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.78% |
5.2 History
The dividend of SF is nicely growing with an annual growth rate of 26.83%!
SF has paid a dividend for at least 10 years, which is a reliable track record.
SF has not decreased its dividend in the past 5 years, so it has a somewhat stable track record.
Dividend Growth(5Y)26.83%
Div Incr Years7
Div Non Decr Years7
5.3 Sustainability
38.91% of the earnings are spent on dividend by SF. This is a low number and sustainable payout ratio.
SF's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP38.91%
EPS Next 2Y15.39%
EPS Next 3Y16.12%
109.2
+1.85 (+1.72%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupFinancial Services
GICS IndustryCapital Markets
Earnings (Last)
Earnings (Next)
Inst Owners88.54%
Inst Owner Change2.17%
Ins Owners3.26%
Ins Owner Change4.19%
Market Cap11.25B
Analysts76.47
Price Target107.39 (-1.66%)
Short Float %2.48%
Short Ratio3.36
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.78% |
Yearly Dividend2.24
Dividend Growth(5Y)26.83%
DP38.91%
Div Incr Years7
Div Non Decr Years7
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-31.05%
Min EPS beat(2)-71.13%
Max EPS beat(2)9.03%
EPS beat(4)2
Avg EPS beat(4)-17.64%
Min EPS beat(4)-71.13%
Max EPS beat(4)9.03%
EPS beat(8)3
Avg EPS beat(8)-16.01%
EPS beat(12)3
Avg EPS beat(12)-14.26%
EPS beat(16)6
Avg EPS beat(16)-8.18%
Revenue beat(2)1
Avg Revenue beat(2)-0.84%
Min Revenue beat(2)-4.53%
Max Revenue beat(2)2.84%
Revenue beat(4)1
Avg Revenue beat(4)-0.69%
Min Revenue beat(4)-4.53%
Max Revenue beat(4)2.84%
Revenue beat(8)2
Avg Revenue beat(8)-1.3%
Revenue beat(12)4
Avg Revenue beat(12)-0.27%
Revenue beat(16)7
Avg Revenue beat(16)0.23%
PT rev (1m)0%
PT rev (3m)-16.88%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-12.74%
EPS NY rev (1m)0%
EPS NY rev (3m)-21.43%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-8.94%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-7.94%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 18.76 | ||
| Fwd PE | 12.03 | ||
| P/S | 1.87 | ||
| P/FCF | 13.92 | ||
| P/OCF | 12.66 | ||
| P/B | 2.03 | ||
| P/tB | 2.79 | ||
| EV/EBITDA | 5.01 |
EPS(TTM)5.82
EY5.33%
EPS(NY)9.08
Fwd EY8.32%
FCF(TTM)7.84
FCFY7.18%
OCF(TTM)8.63
OCFY7.9%
SpS58.26
BVpS53.75
TBVpS39.16
PEG (NY)N/A
PEG (5Y)1.73
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.44% | ||
| ROE | 10.54% | ||
| ROCE | 27.57% | ||
| ROIC | 3.5% | ||
| ROICexc | 3.78% | ||
| ROICexgc | 4.11% | ||
| OM | 28.54% | ||
| PM (TTM) | 9.72% | ||
| GM | 98.94% | ||
| FCFM | 13.46% |
ROA(3y)1.57%
ROA(5y)1.76%
ROE(3y)11.03%
ROE(5y)12%
ROIC(3y)3.24%
ROIC(5y)2.97%
ROICexc(3y)3.52%
ROICexc(5y)3.22%
ROICexgc(3y)3.83%
ROICexgc(5y)3.53%
ROCE(3y)23.39%
ROCE(5y)18.24%
ROICexcg growth 3Y13.05%
ROICexcg growth 5Y6.85%
ROICexc growth 3Y13.05%
ROICexc growth 5Y7.88%
OM growth 3Y11.3%
OM growth 5Y7.74%
PM growth 3Y-10.93%
PM growth 5Y-1%
GM growth 3Y0.06%
GM growth 5Y0.04%
F-Score8
Asset Turnover0.15
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 5.75 | ||
| Debt/FCF | 39.38 | ||
| Debt/EBITDA | 17.7 | ||
| Cap/Depr | 95.12% | ||
| Cap/Sales | 1.34% | ||
| Interest Coverage | 1.8 | ||
| Cash Conversion | 49.43% | ||
| Profit Quality | 138.51% | ||
| Current Ratio | 0.12 | ||
| Quick Ratio | 0.12 | ||
| Altman-Z | -0.29 |
F-Score8
WACCN/A
ROIC/WACCN/A
Cap/Depr(3y)88.97%
Cap/Depr(5y)136.67%
Cap/Sales(3y)1.35%
Cap/Sales(5y)1.98%
Profit Quality(3y)108.09%
Profit Quality(5y)148.9%
High Growth Momentum
Growth
EPS 1Y (TTM)21.5%
EPS 3Y-1.24%
EPS 5Y10.86%
EPS Q2Q%-67.11%
EPS Next Y-3.4%
EPS Next 2Y15.39%
EPS Next 3Y16.12%
EPS Next 5Y8.15%
Revenue 1Y (TTM)12.94%
Revenue growth 3Y7.56%
Revenue growth 5Y11.11%
Sales Q2Q%7.95%
Revenue Next Year5.29%
Revenue Next 2Y7.59%
Revenue Next 3Y8.46%
Revenue Next 5Y4.89%
EBIT growth 1Y5.41%
EBIT growth 3Y19.72%
EBIT growth 5Y19.71%
EBIT Next Year-12.57%
EBIT Next 3Y1.63%
EBIT Next 5Y2.66%
FCF growth 1Y-40.69%
FCF growth 3Y-15.23%
FCF growth 5Y-2.34%
OCF growth 1Y-38.6%
OCF growth 3Y-17.46%
OCF growth 5Y-4.79%