SAVARIA CORP (SIS.CA) Stock Fundamental Analysis
TSX:SIS - Toronto Stock Exchange - CA8051121090 - Common Stock - Currency: CAD
Overall SIS gets a fundamental rating of 6 out of 10. We evaluated SIS against 22 industry peers in the Machinery industry. While SIS has a great profitability rating, there are some minor concerns on its financial health. A decent growth rate in combination with a cheap valuation! Better keep an eye on SIS. These ratings would make SIS suitable for value investing!
1. Profitability
1.1 Basic Checks
SIS had positive earnings in the past year.
In the past year SIS had a positive cash flow from operations.
In the past 5 years SIS has always been profitable.
Each year in the past 5 years SIS had a positive operating cash flow.
1.2 Ratios
SIS's Return On Assets of 4.44% is amongst the best of the industry. SIS outperforms 95.45% of its industry peers.
The Return On Equity of SIS (8.44%) is better than 95.45% of its industry peers.
SIS's Return On Invested Capital of 8.78% is fine compared to the rest of the industry. SIS outperforms 72.73% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for SIS is in line with the industry average of 8.29%.
The 3 year average ROIC (6.79%) for SIS is below the current ROIC(8.78%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.44% | ||
| ROE | 8.44% | ||
| ROIC | 8.78% |
ROA(3y)3.66%
ROA(5y)3.57%
ROE(3y)7.71%
ROE(5y)7.05%
ROIC(3y)6.79%
ROIC(5y)6.45%
1.3 Margins
With an excellent Profit Margin value of 5.68%, SIS belongs to the best of the industry, outperforming 95.45% of the companies in the same industry.
SIS's Profit Margin has declined in the last couple of years.
With an excellent Operating Margin value of 12.65%, SIS belongs to the best of the industry, outperforming 100.00% of the companies in the same industry.
SIS's Operating Margin has improved in the last couple of years.
With an excellent Gross Margin value of 37.51%, SIS belongs to the best of the industry, outperforming 86.36% of the companies in the same industry.
SIS's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 12.65% | ||
| PM (TTM) | 5.68% | ||
| GM | 37.51% |
OM growth 3Y18.06%
OM growth 5Y3.5%
PM growth 3Y47.56%
PM growth 5Y-4.03%
GM growth 3Y4.38%
GM growth 5Y2.06%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so SIS is still creating some value.
The number of shares outstanding for SIS remains at a similar level compared to 1 year ago.
The number of shares outstanding for SIS has been increased compared to 5 years ago.
Compared to 1 year ago, SIS has an improved debt to assets ratio.
2.2 Solvency
An Altman-Z score of 2.87 indicates that SIS is not a great score, but indicates only limited risk for bankruptcy at the moment.
SIS's Altman-Z score of 2.87 is amongst the best of the industry. SIS outperforms 81.82% of its industry peers.
The Debt to FCF ratio of SIS is 2.73, which is a good value as it means it would take SIS, 2.73 years of fcf income to pay off all of its debts.
With a decent Debt to FCF ratio value of 2.73, SIS is doing good in the industry, outperforming 72.73% of the companies in the same industry.
SIS has a Debt/Equity ratio of 0.46. This is a healthy value indicating a solid balance between debt and equity.
Looking at the Debt to Equity ratio, with a value of 0.46, SIS is in line with its industry, outperforming 50.00% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.46 | ||
| Debt/FCF | 2.73 | ||
| Altman-Z | 2.87 |
ROIC/WACC1.02
WACC8.6%
2.3 Liquidity
A Current Ratio of 1.80 indicates that SIS should not have too much problems paying its short term obligations.
SIS has a Current ratio of 1.80. This is in the better half of the industry: SIS outperforms 77.27% of its industry peers.
A Quick Ratio of 0.99 indicates that SIS may have some problems paying its short term obligations.
Looking at the Quick ratio, with a value of 0.99, SIS is in line with its industry, outperforming 54.55% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.8 | ||
| Quick Ratio | 0.99 |
3. Growth
3.1 Past
SIS shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 37.50%, which is quite impressive.
The Earnings Per Share has been growing by 9.69% on average over the past years. This is quite good.
The Revenue has been growing slightly by 5.24% in the past year.
Measured over the past years, SIS shows a quite strong growth in Revenue. The Revenue has been growing by 18.31% on average per year.
EPS 1Y (TTM)37.5%
EPS 3Y29.85%
EPS 5Y9.69%
EPS Q2Q%43.75%
Revenue 1Y (TTM)5.24%
Revenue growth 3Y9.5%
Revenue growth 5Y18.31%
Sales Q2Q%5.15%
3.2 Future
SIS is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 21.91% yearly.
The Revenue is expected to grow by 6.00% on average over the next years.
EPS Next Y25.52%
EPS Next 2Y21.91%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year5.98%
Revenue Next 2Y5.75%
Revenue Next 3Y6%
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 decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 22.44, SIS is valued on the expensive side.
Compared to the rest of the industry, the Price/Earnings ratio of SIS indicates a rather cheap valuation: SIS is cheaper than 95.45% of the companies listed in the same industry.
The average S&P500 Price/Earnings ratio is at 27.45. SIS is around the same levels.
SIS is valuated correctly with a Price/Forward Earnings ratio of 16.40.
Based on the Price/Forward Earnings ratio, SIS is valued cheaper than 86.36% of the companies in the same industry.
SIS's Price/Forward Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 21.90.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 22.44 | ||
| Fwd PE | 16.4 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, SIS is valued cheaper than 81.82% of the companies in the same industry.
Based on the Price/Free Cash Flow ratio, SIS is valued cheaper than 90.91% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 13.59 | ||
| EV/EBITDA | 10.07 |
4.3 Compensation for Growth
SIS's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
SIS has an outstanding profitability rating, which may justify a higher PE ratio.
SIS's earnings are expected to grow with 21.91% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.88
PEG (5Y)2.32
EPS Next 2Y21.91%
EPS Next 3YN/A
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 2.84%, SIS has a reasonable but not impressive dividend return.
Compared to an average industry Dividend Yield of 8.76, SIS pays a better dividend. On top of this SIS pays more dividend than 95.45% of the companies listed in the same industry.
Compared to an average S&P500 Dividend Yield of 2.42, SIS has a dividend comparable with the average S&P500 company.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.84% |
5.2 History
The dividend of SIS has a limited annual growth rate of 3.49%.
SIS has been paying a dividend for at least 10 years, so it has a reliable track record.
SIS has not decreased its dividend for at least 10 years, so it has a reliable track record of non decreasing dividend.
Dividend Growth(5Y)3.49%
Div Incr Years10
Div Non Decr Years10
5.3 Sustainability
75.57% of the earnings are spent on dividend by SIS. This is not a sustainable payout ratio.
The dividend of SIS is growing, but earnings are growing more, so the dividend growth is sustainable.
DP75.57%
EPS Next 2Y21.91%
EPS Next 3YN/A
TSX:SIS (7/4/2025, 7:00:00 PM)
19.75
-0.01 (-0.05%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryMachinery
Earnings (Last)
Earnings (Next)
Inst Owners31.36%
Inst Owner ChangeN/A
Ins Owners1.49%
Ins Owner ChangeN/A
Market Cap1.41B
Analysts80
Price Target24.63 (24.71%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.84% |
Yearly Dividend0.53
Dividend Growth(5Y)3.49%
DP75.57%
Div Incr Years10
Div Non Decr Years10
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)3.24%
Min EPS beat(2)2.97%
Max EPS beat(2)3.51%
EPS beat(4)3
Avg EPS beat(4)-3.95%
Min EPS beat(4)-23.84%
Max EPS beat(4)3.51%
EPS beat(8)4
Avg EPS beat(8)-4.58%
EPS beat(12)4
Avg EPS beat(12)-10.99%
EPS beat(16)4
Avg EPS beat(16)-20.22%
Revenue beat(2)0
Avg Revenue beat(2)-1.48%
Min Revenue beat(2)-1.96%
Max Revenue beat(2)-1%
Revenue beat(4)1
Avg Revenue beat(4)-1.31%
Min Revenue beat(4)-4.63%
Max Revenue beat(4)2.36%
Revenue beat(8)1
Avg Revenue beat(8)-1.97%
Revenue beat(12)4
Avg Revenue beat(12)-0.89%
Revenue beat(16)6
Avg Revenue beat(16)-0.4%
PT rev (1m)1.81%
PT rev (3m)-6.89%
EPS NQ rev (1m)0%
EPS NQ rev (3m)9.91%
EPS NY rev (1m)0%
EPS NY rev (3m)-16.46%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)0.42%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-2.31%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 22.44 | ||
| Fwd PE | 16.4 | ||
| P/S | 1.61 | ||
| P/FCF | 13.59 | ||
| P/OCF | 11.3 | ||
| P/B | 2.38 | ||
| P/tB | N/A | ||
| EV/EBITDA | 10.07 |
EPS(TTM)0.88
EY4.46%
EPS(NY)1.2
Fwd EY6.1%
FCF(TTM)1.45
FCFY7.36%
OCF(TTM)1.75
OCFY8.85%
SpS12.3
BVpS8.29
TBVpS-0.7
PEG (NY)0.88
PEG (5Y)2.32
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.44% | ||
| ROE | 8.44% | ||
| ROCE | 11.78% | ||
| ROIC | 8.78% | ||
| ROICexc | 9.16% | ||
| ROICexgc | 31.64% | ||
| OM | 12.65% | ||
| PM (TTM) | 5.68% | ||
| GM | 37.51% | ||
| FCFM | 11.81% |
ROA(3y)3.66%
ROA(5y)3.57%
ROE(3y)7.71%
ROE(5y)7.05%
ROIC(3y)6.79%
ROIC(5y)6.45%
ROICexc(3y)6.88%
ROICexc(5y)6.83%
ROICexgc(3y)22.58%
ROICexgc(5y)21.26%
ROCE(3y)9.11%
ROCE(5y)8.66%
ROICexcg growth 3Y15.71%
ROICexcg growth 5Y5.03%
ROICexc growth 3Y26.66%
ROICexc growth 5Y-0.46%
OM growth 3Y18.06%
OM growth 5Y3.5%
PM growth 3Y47.56%
PM growth 5Y-4.03%
GM growth 3Y4.38%
GM growth 5Y2.06%
F-Score7
Asset Turnover0.78
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.46 | ||
| Debt/FCF | 2.73 | ||
| Debt/EBITDA | 1.64 | ||
| Cap/Depr | 39.63% | ||
| Cap/Sales | 2.4% | ||
| Interest Coverage | 7.97 | ||
| Cash Conversion | 75.98% | ||
| Profit Quality | 207.76% | ||
| Current Ratio | 1.8 | ||
| Quick Ratio | 0.99 | ||
| Altman-Z | 2.87 |
F-Score7
WACC8.6%
ROIC/WACC1.02
Cap/Depr(3y)39.6%
Cap/Depr(5y)38.18%
Cap/Sales(3y)2.39%
Cap/Sales(5y)2.3%
Profit Quality(3y)179.84%
Profit Quality(5y)212.14%
High Growth Momentum
Growth
EPS 1Y (TTM)37.5%
EPS 3Y29.85%
EPS 5Y9.69%
EPS Q2Q%43.75%
EPS Next Y25.52%
EPS Next 2Y21.91%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)5.24%
Revenue growth 3Y9.5%
Revenue growth 5Y18.31%
Sales Q2Q%5.15%
Revenue Next Year5.98%
Revenue Next 2Y5.75%
Revenue Next 3Y6%
Revenue Next 5YN/A
EBIT growth 1Y35.3%
EBIT growth 3Y29.27%
EBIT growth 5Y22.46%
EBIT Next Year78.95%
EBIT Next 3Y28.87%
EBIT Next 5YN/A
FCF growth 1Y62.13%
FCF growth 3Y33.97%
FCF growth 5Y37.01%
OCF growth 1Y46.03%
OCF growth 3Y27.99%
OCF growth 5Y31.7%