SURGERY PARTNERS INC (SGRY)
US86881A1007 - Common Stock
Taking everything into account, SGRY scores 3 out of 10 in our fundamental rating. SGRY was compared to 111 industry peers in the Health Care Providers & Services industry. There are concerns on the financial health of SGRY while its profitability can be described as average. SGRY is not valued too expensively and it also shows a decent growth rate.
1. Profitability
1.1 Basic Checks
SGRY had positive earnings in the past year.
In the past year SGRY had a positive cash flow from operations.
In the past 5 years SGRY always reported negative net income.
Each year in the past 5 years SGRY had a positive operating cash flow.
1.2 Ratios
SGRY's Return On Assets of -0.80% is in line compared to the rest of the industry. SGRY outperforms 53.57% of its industry peers.
The Return On Equity of SGRY (-3.20%) is comparable to the rest of the industry.
SGRY's Return On Invested Capital of 5.07% is fine compared to the rest of the industry. SGRY outperforms 63.39% of its industry peers.
SGRY had an Average Return On Invested Capital over the past 3 years of 4.74%. This is below the industry average of 8.05%.
The 3 year average ROIC (4.74%) for SGRY is below the current ROIC(5.07%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -0.8% | ||
| ROE | -3.2% | ||
| ROIC | 5.07% |
ROA(3y)-0.77%
ROA(5y)-1.48%
ROE(3y)-3.6%
ROE(5y)-11.01%
ROIC(3y)4.74%
ROIC(5y)4.35%
1.3 Margins
SGRY's Operating Margin of 14.98% is amongst the best of the industry. SGRY outperforms 91.96% of its industry peers.
SGRY's Operating Margin has been stable in the last couple of years.
SGRY's Gross Margin of 26.59% is in line compared to the rest of the industry. SGRY outperforms 53.57% of its industry peers.
SGRY's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 14.98% | ||
| PM (TTM) | N/A | ||
| GM | 26.59% |
OM growth 3Y14.22%
OM growth 5Y1.47%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y2.06%
GM growth 5Y-0.98%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so SGRY is destroying value.
Compared to 1 year ago, SGRY has more shares outstanding
Compared to 5 years ago, SGRY has more shares outstanding
SGRY has a worse debt/assets ratio than last year.
2.2 Solvency
SGRY has an Altman-Z score of 0.86. This is a bad value and indicates that SGRY is not financially healthy and even has some risk of bankruptcy.
The Altman-Z score of SGRY (0.86) is worse than 64.29% of its industry peers.
The Debt to FCF ratio of SGRY is 19.53, which is on the high side as it means it would take SGRY, 19.53 years of fcf income to pay off all of its debts.
SGRY's Debt to FCF ratio of 19.53 is in line compared to the rest of the industry. SGRY outperforms 58.04% of its industry peers.
A Debt/Equity ratio of 1.63 is on the high side and indicates that SGRY has dependencies on debt financing.
With a Debt to Equity ratio value of 1.63, SGRY is not doing good in the industry: 73.21% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.63 | ||
| Debt/FCF | 19.53 | ||
| Altman-Z | 0.86 |
ROIC/WACC0.69
WACC7.32%
2.3 Liquidity
A Current Ratio of 1.80 indicates that SGRY should not have too much problems paying its short term obligations.
SGRY has a Current ratio of 1.80. This is in the better half of the industry: SGRY outperforms 68.75% of its industry peers.
SGRY has a Quick Ratio of 1.66. This is a normal value and indicates that SGRY is financially healthy and should not expect problems in meeting its short term obligations.
The Quick ratio of SGRY (1.66) is better than 64.29% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.8 | ||
| Quick Ratio | 1.66 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an nice 14.63% over the past year.
Looking at the last year, SGRY shows a quite strong growth in Revenue. The Revenue has grown by 9.96% in the last year.
The Revenue has been growing by 9.14% on average over the past years. This is quite good.
EPS 1Y (TTM)14.63%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%0%
Revenue 1Y (TTM)9.96%
Revenue growth 3Y13.83%
Revenue growth 5Y9.14%
Sales Q2Q%14.29%
3.2 Future
Based on estimates for the next years, SGRY will show a quite strong growth in Earnings Per Share. The EPS will grow by 19.06% on average per year.
Based on estimates for the next years, SGRY will show a quite strong growth in Revenue. The Revenue will grow by 9.81% on average per year.
EPS Next Y9.32%
EPS Next 2Y14.16%
EPS Next 3Y17.11%
EPS Next 5Y19.06%
Revenue Next Year12.19%
Revenue Next 2Y10.87%
Revenue Next 3Y10.34%
Revenue Next 5Y9.81%
3.3 Evolution
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is stable.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 24.48, which indicates a rather expensive current valuation of SGRY.
SGRY's Price/Earnings ratio is a bit cheaper when compared to the industry. SGRY is cheaper than 66.96% of the companies in the same industry.
The average S&P500 Price/Earnings ratio is at 29.29. SGRY is around the same levels.
With a Price/Forward Earnings ratio of 17.83, SGRY is valued on the expensive side.
Based on the Price/Forward Earnings ratio, SGRY is valued a bit cheaper than the industry average as 68.75% of the companies are valued more expensively.
Compared to an average S&P500 Price/Forward Earnings ratio of 24.01, SGRY is valued a bit cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 24.48 | ||
| Fwd PE | 17.83 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of SGRY indicates a somewhat cheap valuation: SGRY is cheaper than 77.68% of the companies listed in the same industry.
Based on the Price/Free Cash Flow ratio, SGRY is valued a bit cheaper than the industry average as 78.57% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 17.9 | ||
| EV/EBITDA | 9.87 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates SGRY does not grow enough to justify the current Price/Earnings ratio.
SGRY's earnings are expected to grow with 17.11% in the coming years. This may justify a more expensive valuation.
PEG (NY)2.63
PEG (5Y)N/A
EPS Next 2Y14.16%
EPS Next 3Y17.11%
5. Dividend
5.1 Amount
SGRY does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
SURGERY PARTNERS INC
NASDAQ:SGRY (11/22/2024, 8:04:38 PM)
After market: 23.01 0 (0%)23.01
-0.34 (-1.46%)
Chartmill FA Rating
GICS SectorHealth Care
GICS IndustryGroupHealth Care Equipment & Services
GICS IndustryHealth Care Providers & Services
Earnings (Last)
Earnings (Next)
Inst Owners
Inst Owner Change
Ins Owners
Ins Owner Change
Market Cap2.92B
Analysts
Price Target
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Dividend Growth(5Y)
DP
Div Incr Years
Div Non Decr Years
Ex-Date
Surprises & Revisions
EPS beat(2)
Avg EPS beat(2)
Min EPS beat(2)
Max EPS beat(2)
EPS beat(4)
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EPS beat(8)
Avg EPS beat(8)
EPS beat(12)
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EPS beat(16)
Avg EPS beat(16)
Revenue beat(2)
Avg Revenue beat(2)
Min Revenue beat(2)
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Revenue beat(4)
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Revenue beat(8)
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Revenue beat(12)
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Revenue beat(16)
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PT rev (1m)
PT rev (3m)
EPS NQ rev (1m)
EPS NQ rev (3m)
EPS NY rev (1m)
EPS NY rev (3m)
Revenue NQ rev (1m)
Revenue NQ rev (3m)
Revenue NY rev (1m)
Revenue NY rev (3m)
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 24.48 | ||
| Fwd PE | 17.83 | ||
| P/S | |||
| P/FCF | |||
| P/OCF | |||
| P/B | |||
| P/tB | |||
| EV/EBITDA |
EPS(TTM)
EY
EPS(NY)
Fwd EY
FCF(TTM)
FCFY
OCF(TTM)
OCFY
SpS
BVpS
TBVpS
PEG (NY)2.63
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -0.8% | ||
| ROE | -3.2% | ||
| ROCE | |||
| ROIC | |||
| ROICexc | |||
| ROICexgc | |||
| OM | 14.98% | ||
| PM (TTM) | N/A | ||
| GM | 26.59% | ||
| FCFM |
ROA(3y)
ROA(5y)
ROE(3y)
ROE(5y)
ROIC(3y)
ROIC(5y)
ROICexc(3y)
ROICexc(5y)
ROICexgc(3y)
ROICexgc(5y)
ROCE(3y)
ROCE(5y)
ROICexcg growth 3Y
ROICexcg growth 5Y
ROICexc growth 3Y
ROICexc growth 5Y
OM growth 3Y
OM growth 5Y
PM growth 3Y
PM growth 5Y
GM growth 3Y
GM growth 5Y
F-Score
Asset Turnover0.4
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.63 | ||
| Debt/FCF | |||
| Debt/EBITDA | |||
| Cap/Depr | |||
| Cap/Sales | |||
| Interest Coverage | |||
| Cash Conversion | |||
| Profit Quality | |||
| Current Ratio | 1.8 | ||
| Quick Ratio | 1.66 | ||
| Altman-Z |
F-Score
WACC
ROIC/WACC
Cap/Depr(3y)
Cap/Depr(5y)
Cap/Sales(3y)
Cap/Sales(5y)
Profit Quality(3y)
Profit Quality(5y)
High Growth Momentum
Growth
EPS 1Y (TTM)14.63%
EPS 3YN/A
EPS 5Y
EPS Q2Q%
EPS Next Y9.32%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)9.96%
Revenue growth 3Y13.83%
Revenue growth 5Y
Sales Q2Q%
Revenue Next Year
Revenue Next 2Y
Revenue Next 3Y
Revenue Next 5Y
EBIT growth 1Y
EBIT growth 3Y
EBIT growth 5Y
EBIT Next Year
EBIT Next 3Y
EBIT Next 5Y
FCF growth 1Y
FCF growth 3Y
FCF growth 5Y
OCF growth 1Y
OCF growth 3Y
OCF growth 5Y