17.44 USD
+0.07 (+0.4%)
17.44 USD
0 (0%)
Overall SHC gets a fundamental rating of 4 out of 10. We evaluated SHC against 58 industry peers in the Life Sciences Tools & Services industry. SHC has an excellent profitability rating, but there are concerns on its financial health. SHC is not valued too expensively and it also shows a decent growth rate.
1. Profitability
1.1 Basic Checks
In the past year SHC was profitable.
SHC had a positive operating cash flow in the past year.
In multiple years SHC reported negative net income over the last 5 years.
SHC had a positive operating cash flow in 4 of the past 5 years.
1.2 Ratios
The Return On Assets of SHC (1.74%) is better than 70.69% of its industry peers.
SHC has a Return On Equity of 10.07%. This is amongst the best in the industry. SHC outperforms 81.03% of its industry peers.
SHC has a Return On Invested Capital of 9.23%. This is amongst the best in the industry. SHC outperforms 82.76% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for SHC is significantly below the industry average of 13.53%.
The 3 year average ROIC (8.04%) for SHC is below the current ROIC(9.23%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.74% | ||
| ROE | 10.07% | ||
| ROIC | 9.23% |
ROA(3y)-1.47%
ROA(5y)-0.34%
ROE(3y)-14.75%
ROE(5y)-6.62%
ROIC(3y)8.04%
ROIC(5y)7.61%
1.3 Margins
With a decent Profit Margin value of 4.82%, SHC is doing good in the industry, outperforming 70.69% of the companies in the same industry.
In the last couple of years the Profit Margin of SHC has declined.
The Operating Margin of SHC (29.89%) is better than 100.00% of its industry peers.
SHC's Operating Margin has improved in the last couple of years.
SHC's Gross Margin of 55.98% is fine compared to the rest of the industry. SHC outperforms 70.69% of its industry peers.
SHC's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 29.89% | ||
| PM (TTM) | 4.82% | ||
| GM | 55.98% |
OM growth 3Y-0.64%
OM growth 5Y2.13%
PM growth 3Y-31.23%
PM growth 5YN/A
GM growth 3Y-0.57%
GM growth 5Y1.5%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so SHC is destroying value.
Compared to 1 year ago, SHC has more shares outstanding
The number of shares outstanding for SHC has been increased compared to 5 years ago.
Compared to 1 year ago, SHC has a worse debt to assets ratio.
2.2 Solvency
Based on the Altman-Z score of 1.72, we must say that SHC is in the distress zone and has some risk of bankruptcy.
SHC has a Altman-Z score (1.72) which is comparable to the rest of the industry.
SHC has a debt to FCF ratio of 25.87. This is a negative value and a sign of low solvency as SHC would need 25.87 years to pay back of all of its debts.
SHC has a Debt to FCF ratio (25.87) which is in line with its industry peers.
A Debt/Equity ratio of 4.04 is on the high side and indicates that SHC has dependencies on debt financing.
Looking at the Debt to Equity ratio, with a value of 4.04, SHC is doing worse than 91.38% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 4.04 | ||
| Debt/FCF | 25.87 | ||
| Altman-Z | 1.72 |
ROIC/WACC0.89
WACC10.35%
2.3 Liquidity
SHC has a Current Ratio of 2.38. This indicates that SHC is financially healthy and has no problem in meeting its short term obligations.
SHC's Current ratio of 2.38 is in line compared to the rest of the industry. SHC outperforms 46.55% of its industry peers.
A Quick Ratio of 2.16 indicates that SHC has no problem at all paying its short term obligations.
SHC has a Quick ratio (2.16) which is in line with its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.38 | ||
| Quick Ratio | 2.16 |
3. Growth
3.1 Past
SHC shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 8.00%, which is quite good.
SHC shows a decrease in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -7.34% yearly.
Looking at the last year, SHC shows a very negative growth in Revenue. The Revenue has decreased by -15.95% in the last year.
SHC shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 7.17% yearly.
EPS 1Y (TTM)8%
EPS 3Y-7.34%
EPS 5YN/A
EPS Q2Q%52.94%
Revenue 1Y (TTM)-15.95%
Revenue growth 3Y5.71%
Revenue growth 5Y7.17%
Sales Q2Q%9.05%
3.2 Future
Based on estimates for the next years, SHC will show a quite strong growth in Earnings Per Share. The EPS will grow by 13.74% on average per year.
SHC is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 6.85% yearly.
EPS Next Y13.43%
EPS Next 2Y13.03%
EPS Next 3Y12.31%
EPS Next 5Y13.74%
Revenue Next Year5.13%
Revenue Next 2Y5.56%
Revenue Next 3Y5.75%
Revenue Next 5Y6.85%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
The Revenue growth rate is stable: in the next years the growth will be about the same than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
SHC is valuated rather expensively with a Price/Earnings ratio of 21.53.
Compared to the rest of the industry, the Price/Earnings ratio of SHC indicates a rather cheap valuation: SHC is cheaper than 86.21% of the companies listed in the same industry.
When comparing the Price/Earnings ratio of SHC to the average of the S&P500 Index (26.15), we can say SHC is valued inline with the index average.
SHC is valuated rather expensively with a Price/Forward Earnings ratio of 19.50.
Compared to the rest of the industry, the Price/Forward Earnings ratio of SHC indicates a rather cheap valuation: SHC is cheaper than 87.93% of the companies listed in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 36.12. SHC is valued slightly cheaper when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 21.53 | ||
| Fwd PE | 19.5 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of SHC indicates a rather cheap valuation: SHC is cheaper than 93.10% of the companies listed in the same industry.
SHC's Price/Free Cash Flow is on the same level as the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 57.19 | ||
| EV/EBITDA | 14.08 |
4.3 Compensation for Growth
SHC's PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
The decent profitability rating of SHC may justify a higher PE ratio.
SHC's earnings are expected to grow with 12.31% in the coming years. This may justify a more expensive valuation.
PEG (NY)1.6
PEG (5Y)N/A
EPS Next 2Y13.03%
EPS Next 3Y12.31%
5. Dividend
5.1 Amount
No dividends for SHC!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
17.44
+0.07 (+0.4%)
Chartmill FA Rating
GICS SectorHealth Care
GICS IndustryGroupPharmaceuticals, Biotechnology & Life Sciences
GICS IndustryLife Sciences Tools & Services
Earnings (Last)
Earnings (Next)
Inst Owners54.34%
Inst Owner Change-3.16%
Ins Owners2.46%
Ins Owner Change-3.65%
Market Cap4.95B
Revenue(TTM)1.15B
Net Income(TTM)55.42M
Analysts81.67
Price Target19.31 (10.72%)
Short Float %4.11%
Short Ratio3.44
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
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)16.17%
Min EPS beat(2)14.56%
Max EPS beat(2)17.78%
EPS beat(4)4
Avg EPS beat(4)12.29%
Min EPS beat(4)3.1%
Max EPS beat(4)17.78%
EPS beat(8)6
Avg EPS beat(8)7.28%
EPS beat(12)9
Avg EPS beat(12)7.47%
EPS beat(16)13
Avg EPS beat(16)7.3%
Revenue beat(2)2
Avg Revenue beat(2)3.57%
Min Revenue beat(2)1.52%
Max Revenue beat(2)5.63%
Revenue beat(4)3
Avg Revenue beat(4)2.11%
Min Revenue beat(4)-1.22%
Max Revenue beat(4)5.63%
Revenue beat(8)6
Avg Revenue beat(8)0.06%
Revenue beat(12)7
Avg Revenue beat(12)-0.33%
Revenue beat(16)10
Avg Revenue beat(16)0.07%
PT rev (1m)15.42%
PT rev (3m)14.85%
EPS NQ rev (1m)3.31%
EPS NQ rev (3m)2.62%
EPS NY rev (1m)0%
EPS NY rev (3m)0%
Revenue NQ rev (1m)-2.11%
Revenue NQ rev (3m)-2.11%
Revenue NY rev (1m)0%
Revenue NY rev (3m)0%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 21.53 | ||
| Fwd PE | 19.5 | ||
| P/S | 4.31 | ||
| P/FCF | 57.19 | ||
| P/OCF | 20.66 | ||
| P/B | 9 | ||
| P/tB | N/A | ||
| EV/EBITDA | 14.08 |
EPS(TTM)0.81
EY4.64%
EPS(NY)0.89
Fwd EY5.13%
FCF(TTM)0.3
FCFY1.75%
OCF(TTM)0.84
OCFY4.84%
SpS4.05
BVpS1.94
TBVpS-2.93
PEG (NY)1.6
PEG (5Y)N/A
Graham Number5.94
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.74% | ||
| ROE | 10.07% | ||
| ROCE | 11.68% | ||
| ROIC | 9.23% | ||
| ROICexc | 10.27% | ||
| ROICexgc | 21.53% | ||
| OM | 29.89% | ||
| PM (TTM) | 4.82% | ||
| GM | 55.98% | ||
| FCFM | 7.53% |
ROA(3y)-1.47%
ROA(5y)-0.34%
ROE(3y)-14.75%
ROE(5y)-6.62%
ROIC(3y)8.04%
ROIC(5y)7.61%
ROICexc(3y)9.2%
ROICexc(5y)8.42%
ROICexgc(3y)32.15%
ROICexgc(5y)28.54%
ROCE(3y)10.18%
ROCE(5y)9.64%
ROICexgc growth 3Y-8.13%
ROICexgc growth 5Y-2.77%
ROICexc growth 3Y3.93%
ROICexc growth 5Y7.64%
OM growth 3Y-0.64%
OM growth 5Y2.13%
PM growth 3Y-31.23%
PM growth 5YN/A
GM growth 3Y-0.57%
GM growth 5Y1.5%
F-Score5
Asset Turnover0.36
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 4.04 | ||
| Debt/FCF | 25.87 | ||
| Debt/EBITDA | 4.55 | ||
| Cap/Depr | 106.02% | ||
| Cap/Sales | 13.32% | ||
| Interest Coverage | 2.06 | ||
| Cash Conversion | 49.11% | ||
| Profit Quality | 156.3% | ||
| Current Ratio | 2.38 | ||
| Quick Ratio | 2.16 | ||
| Altman-Z | 1.72 |
F-Score5
WACC10.35%
ROIC/WACC0.89
Cap/Depr(3y)123.61%
Cap/Depr(5y)95.16%
Cap/Sales(3y)18.31%
Cap/Sales(5y)14.49%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)8%
EPS 3Y-7.34%
EPS 5YN/A
EPS Q2Q%52.94%
EPS Next Y13.43%
EPS Next 2Y13.03%
EPS Next 3Y12.31%
EPS Next 5Y13.74%
Revenue 1Y (TTM)-15.95%
Revenue growth 3Y5.71%
Revenue growth 5Y7.17%
Sales Q2Q%9.05%
Revenue Next Year5.13%
Revenue Next 2Y5.56%
Revenue Next 3Y5.75%
Revenue Next 5Y6.85%
EBIT growth 1Y-6.5%
EBIT growth 3Y5.04%
EBIT growth 5Y9.46%
EBIT Next Year28.63%
EBIT Next 3Y13.25%
EBIT Next 5Y12.14%
FCF growth 1Y122.75%
FCF growth 3Y-36.88%
FCF growth 5Y-13.23%
OCF growth 1Y250.92%
OCF growth 3Y-7.31%
OCF growth 5Y8.51%
SOTERA HEALTH CO / SHC FAQ
What is the fundamental rating for SHC stock?
ChartMill assigns a fundamental rating of 4 / 10 to SHC.
What is the valuation status for SHC stock?
ChartMill assigns a valuation rating of 5 / 10 to SOTERA HEALTH CO (SHC). This can be considered as Fairly Valued.
How profitable is SOTERA HEALTH CO (SHC) stock?
SOTERA HEALTH CO (SHC) has a profitability rating of 7 / 10.
What is the financial health of SOTERA HEALTH CO (SHC) stock?
The financial health rating of SOTERA HEALTH CO (SHC) is 3 / 10.