STAR GROUP LP (SGU) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:SGU - US85512C1053 - Common Stock
12.76 USD
+0.22 (+1.75%)
Overall SGU gets a fundamental rating of 5 out of 10. We evaluated SGU against 14 industry peers in the Gas Utilities industry. SGU has an average financial health and profitability rating. SGU is valued correctly, but it does not seem to be growing. Finally SGU also has an excellent dividend rating. These ratings could make SGU a good candidate for dividend investing.
1. Profitability
1.1 Basic Checks
- In the past year SGU was profitable.
- SGU had a positive operating cash flow in the past year.
- Each year in the past 5 years SGU has been profitable.
- Each year in the past 5 years SGU had a positive operating cash flow.
1.2 Ratios
- SGU has a better Return On Assets (6.23%) than 100.00% of its industry peers.
- SGU has a better Return On Equity (19.66%) than 100.00% of its industry peers.
- SGU's Return On Invested Capital of 12.37% is amongst the best of the industry. SGU outperforms 100.00% of its industry peers.
- SGU had an Average Return On Invested Capital over the past 3 years of 10.55%. This is above the industry average of 6.27%.
- The last Return On Invested Capital (12.37%) for SGU is above the 3 year average (10.55%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.23% | ||
| ROE | 19.66% | ||
| ROIC | 12.37% |
ROA(3y)4.46%
ROA(5y)5.1%
ROE(3y)14.7%
ROE(5y)16.6%
ROIC(3y)10.55%
ROIC(5y)10.98%
1.3 Margins
- The Profit Margin of SGU (3.27%) is worse than 85.71% of its industry peers.
- In the last couple of years the Profit Margin of SGU has remained more or less at the same level.
- Looking at the Operating Margin, with a value of 5.66%, SGU is doing worse than 92.86% of the companies in the same industry.
- SGU's Operating Margin has declined in the last couple of years.
- SGU has a worse Gross Margin (31.54%) than 85.71% of its industry peers.
- In the last couple of years the Gross Margin of SGU has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 5.66% | ||
| PM (TTM) | 3.27% | ||
| GM | 31.54% |
OM growth 3Y13.5%
OM growth 5Y-2.8%
PM growth 3Y30.27%
PM growth 5Y1.07%
GM growth 3Y9.34%
GM growth 5Y-0.51%
2. Health
2.1 Basic Checks
- SGU has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
- The number of shares outstanding for SGU has been reduced compared to 1 year ago.
- SGU has less shares outstanding than it did 5 years ago.
- The debt/assets ratio for SGU has been reduced compared to a year ago.
2.2 Solvency
- SGU has a debt to FCF ratio of 3.36. This is a good value and a sign of high solvency as SGU would need 3.36 years to pay back of all of its debts.
- SGU has a Debt to FCF ratio of 3.36. This is amongst the best in the industry. SGU outperforms 100.00% of its industry peers.
- SGU has a Debt/Equity ratio of 0.56. This is a neutral value indicating SGU is somewhat dependend on debt financing.
- With an excellent Debt to Equity ratio value of 0.56, SGU belongs to the best of the industry, outperforming 100.00% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.56 | ||
| Debt/FCF | 3.36 | ||
| Altman-Z | N/A |
ROIC/WACC1.49
WACC8.28%
2.3 Liquidity
- A Current Ratio of 0.59 indicates that SGU may have some problems paying its short term obligations.
- The Current ratio of SGU (0.59) is comparable to the rest of the industry.
- A Quick Ratio of 0.46 indicates that SGU may have some problems paying its short term obligations.
- Looking at the Quick ratio, with a value of 0.46, SGU is in line with its industry, outperforming 57.14% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.59 | ||
| Quick Ratio | 0.46 |
3. Growth
3.1 Past
- SGU shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 159.65%, which is quite impressive.
- Measured over the past years, SGU shows a quite strong growth in Earnings Per Share. The EPS has been growing by 11.24% on average per year.
- Looking at the last year, SGU shows a very negative growth in Revenue. The Revenue has decreased by -22.22% in the last year.
- SGU shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 3.99% yearly.
EPS 1Y (TTM)159.65%
EPS 3Y28.95%
EPS 5Y11.24%
EPS Q2Q%16%
Revenue 1Y (TTM)-22.22%
Revenue growth 3Y-3.84%
Revenue growth 5Y3.99%
Sales Q2Q%3.06%
3.2 Future
- No EPS estimates are available, so we could not analyze the future EPS growth and evolution.
- No Revenue estimates are available, so we could not analyze the future revenue growth and evolution.
EPS Next YN/A
EPS Next 2YN/A
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next YearN/A
Revenue Next 2YN/A
Revenue Next 3YN/A
Revenue Next 5YN/A
3.3 Evolution
- No EPS estimates are available, so we could not analyze the future EPS growth and evolution.
- No Revenue estimates are available, so we could not analyze the future revenue growth and evolution.
4. Valuation
4.1 Price/Earnings Ratio
- A Price/Earnings ratio of 8.62 indicates a reasonable valuation of SGU.
- Based on the Price/Earnings ratio, SGU is valued cheaper than 100.00% of the companies in the same industry.
- SGU is valuated cheaply when we compare the Price/Earnings ratio to 27.30, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 8.62 | ||
| Fwd PE | N/A |
4.2 Price Multiples
- Based on the Enterprise Value to EBITDA ratio, SGU is valued cheaply inside the industry as 100.00% of the companies are valued more expensively.
- Based on the Price/Free Cash Flow ratio, SGU is valued cheaply inside the industry as 100.00% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 7.65 | ||
| EV/EBITDA | 4.25 |
4.3 Compensation for Growth
- SGU has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)0.77
EPS Next 2YN/A
EPS Next 3YN/A
5. Dividend
5.1 Amount
- With a Yearly Dividend Yield of 5.99%, SGU is a good candidate for dividend investing.
- Compared to an average industry Dividend Yield of 3.79, SGU pays a better dividend. On top of this SGU pays more dividend than 92.86% of the companies listed in the same industry.
- SGU's Dividend Yield is rather good when compared to the S&P500 average which is at 1.82.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.99% |
5.2 History
- The dividend of SGU is nicely growing with an annual growth rate of 7.36%!
- SGU has been paying a dividend for at least 10 years, so it has a reliable track record.
- SGU has not decreased their dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)7.36%
Div Incr Years12
Div Non Decr Years15
5.3 Sustainability
- 44.76% of the earnings are spent on dividend by SGU. This is a bit on the high side, but may be sustainable.
- SGU's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP44.76%
EPS Next 2YN/A
EPS Next 3YN/A
STAR GROUP LP / SGU FAQ
What is the ChartMill fundamental rating of STAR GROUP LP (SGU) stock?
ChartMill assigns a fundamental rating of 5 / 10 to SGU.
What is the valuation status of STAR GROUP LP (SGU) stock?
ChartMill assigns a valuation rating of 5 / 10 to STAR GROUP LP (SGU). This can be considered as Fairly Valued.
How profitable is STAR GROUP LP (SGU) stock?
STAR GROUP LP (SGU) has a profitability rating of 6 / 10.
Can you provide the dividend sustainability for SGU stock?
The dividend rating of STAR GROUP LP (SGU) is 9 / 10 and the dividend payout ratio is 44.76%.