SOUTH JERSEY INDUSTRIES (SJI) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:SJI - US8385181081 - Common Stock
36.09 USD
-0.02 (-0.06%)
36.1 USD
+0.01 (+0.03%)
Overall SJI gets a fundamental rating of 2 out of 10. We evaluated SJI against 14 industry peers in the Gas Utilities industry. SJI has a bad profitability rating. Also its financial health evaluation is rather negative. SJI is valied quite expensively at the moment, while it does show a decent growth rate.
1. Profitability
1.1 Basic Checks
- In the past year SJI was profitable.
- In the past year SJI had a positive cash flow from operations.
1.2 Ratios
- SJI has a Return On Assets of 1.95%. This is comparable to the rest of the industry: SJI outperforms 47.06% of its industry peers.
- With a Return On Equity value of 7.54%, SJI perfoms like the industry average, outperforming 52.94% of the companies in the same industry.
- The Return On Invested Capital of SJI (4.12%) is comparable to the rest of the industry.
- The Average Return On Invested Capital over the past 3 years for SJI is in line with the industry average of 6.27%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.95% | ||
| ROE | 7.54% | ||
| ROIC | 4.12% |
ROA(3y)N/A
ROA(5y)N/A
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)4.28%
ROIC(5y)N/A
1.3 Margins
- SJI's Profit Margin of 5.99% is in line compared to the rest of the industry. SJI outperforms 41.18% of its industry peers.
- In the last couple of years the Profit Margin of SJI has declined.
- SJI has a Operating Margin of 13.52%. This is in the lower half of the industry: SJI underperforms 64.71% of its industry peers.
- SJI's Operating Margin has been stable in the last couple of years.
- SJI has a Gross Margin of 30.15%. This is in the lower half of the industry: SJI underperforms 76.47% of its industry peers.
- In the last couple of years the Gross Margin of SJI has declined.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 13.52% | ||
| PM (TTM) | 5.99% | ||
| GM | 30.15% |
OM growth 3Y13.89%
OM growth 5Y-1.33%
PM growth 3Y60.06%
PM growth 5Y-17.34%
GM growth 3Y1.44%
GM growth 5Y-3.11%
2. Health
2.1 Basic Checks
- The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so SJI is destroying value.
- Compared to 1 year ago, SJI has more shares outstanding
- The debt/assets ratio for SJI has been reduced compared to a year ago.
2.2 Solvency
- SJI has an Altman-Z score of 0.92. This is a bad value and indicates that SJI is not financially healthy and even has some risk of bankruptcy.
- SJI has a Altman-Z score (0.92) which is in line with its industry peers.
- SJI has a Debt/Equity ratio of 1.74. This is a high value indicating a heavy dependency on external financing.
- Looking at the Debt to Equity ratio, with a value of 1.74, SJI is doing worse than 76.47% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.74 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 0.92 |
ROIC/WACC0.7
WACC5.88%
2.3 Liquidity
- SJI has a Current Ratio of 0.70. This is a bad value and indicates that SJI is not financially healthy enough and could expect problems in meeting its short term obligations.
- SJI has a Current ratio (0.70) which is in line with its industry peers.
- A Quick Ratio of 0.59 indicates that SJI may have some problems paying its short term obligations.
- With a Quick ratio value of 0.59, SJI perfoms like the industry average, outperforming 52.94% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.7 | ||
| Quick Ratio | 0.59 |
3. Growth
3.1 Past
- SJI shows a slight negative growth in Earnings Per Share. In the last year, the EPS has decreased by -1.73%.
- Measured over the past 5 years, SJI shows a small growth in Earnings Per Share. The EPS has been growing by 3.99% on average per year.
- SJI shows a strong growth in Revenue. In the last year, the Revenue has grown by 40.66%.
- The Revenue has been growing by 13.96% on average over the past years. This is quite good.
EPS 1Y (TTM)-1.73%
EPS 3Y5.24%
EPS 5Y3.99%
EPS Q2Q%-5.88%
Revenue 1Y (TTM)40.66%
Revenue growth 3Y6.67%
Revenue growth 5Y13.96%
Sales Q2Q%66.43%
3.2 Future
- The Earnings Per Share is expected to grow by 3.84% on average over the next years.
- SJI is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 5.82% yearly.
EPS Next Y2.99%
EPS Next 2Y3.91%
EPS Next 3Y4.69%
EPS Next 5Y3.84%
Revenue Next Year33.17%
Revenue Next 2Y12.56%
Revenue Next 3Y8.14%
Revenue Next 5Y5.82%
3.3 Evolution
- The EPS growth rate is stable: in the next years the growth will be about the same 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
- A Price/Earnings ratio of 21.23 indicates a rather expensive valuation of SJI.
- Based on the Price/Earnings ratio, SJI is valued a bit more expensive than the industry average as 64.71% of the companies are valued more cheaply.
- SJI is valuated rather cheaply when we compare the Price/Earnings ratio to 27.38, which is the current average of the S&P500 Index.
- A Price/Forward Earnings ratio of 19.78 indicates a rather expensive valuation of SJI.
- The rest of the industry has a similar Price/Forward Earnings ratio as SJI.
- SJI is valuated at similar levels of the S&P average when we compare the Price/Forward Earnings ratio to 24.29, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 21.23 | ||
| Fwd PE | 19.78 |
4.2 Price Multiples
- SJI's Enterprise Value to EBITDA ratio is a bit more expensive when compared to the industry. SJI is more expensive than 70.59% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 14.2 |
4.3 Compensation for Growth
- The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates SJI does not grow enough to justify the current Price/Earnings ratio.
PEG (NY)7.1
PEG (5Y)5.33
EPS Next 2Y3.91%
EPS Next 3Y4.69%
5. Dividend
5.1 Amount
- With a Yearly Dividend Yield of 3.47%, SJI has a reasonable but not impressive dividend return.
- Compared to an average industry Dividend Yield of 3.79, SJI has a dividend in line with its industry peers.
- SJI's Dividend Yield is rather good when compared to the S&P500 average which is at 1.85.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.47% |
5.2 History
- The dividend of SJI has a limited annual growth rate of 2.61%.
- SJI has been paying a dividend for at least 10 years, so it has a reliable track record.
- SJI has not decreased its dividend for at least 10 years, so it has a reliable track record of non decreasing dividend.
Dividend Growth(5Y)2.61%
Div Incr Years16
Div Non Decr Years16
5.3 Sustainability
- SJI pays out 92.56% of its income as dividend. This is not a sustainable payout ratio.
- SJI's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP92.56%
EPS Next 2Y3.91%
EPS Next 3Y4.69%
36.09
-0.02 (-0.06%)
Chartmill FA Rating
GICS SectorUtilities
GICS IndustryGroupUtilities
GICS IndustryGas Utilities
Earnings (Last)11-02 2022-11-02/amc
Earnings (Next)02-22 2023-02-22/amc
Inst OwnersN/A
Inst Owner ChangeN/A
Ins Owners0.34%
Ins Owner Change0%
Market Cap4.42B
Revenue(TTM)2.58B
Net Income(TTM)154.75M
Analysts49.33
Price Target37.01 (2.55%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.47% |
Yearly Dividend1.21
Dividend Growth(5Y)2.61%
DP92.56%
Div Incr Years16
Div Non Decr Years16
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)106.85%
Min EPS beat(2)-1.43%
Max EPS beat(2)215.12%
EPS beat(4)3
Avg EPS beat(4)56.51%
Min EPS beat(4)-1.43%
Max EPS beat(4)215.12%
EPS beat(8)N/A
Avg EPS beat(8)N/A
EPS beat(12)N/A
Avg EPS beat(12)N/A
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)2
Avg Revenue beat(2)52.95%
Min Revenue beat(2)52.11%
Max Revenue beat(2)53.8%
Revenue beat(4)4
Avg Revenue beat(4)37.39%
Min Revenue beat(4)16.92%
Max Revenue beat(4)53.8%
Revenue beat(8)N/A
Avg Revenue beat(8)N/A
Revenue beat(12)N/A
Avg Revenue beat(12)N/A
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)0.79%
PT rev (3m)6.72%
EPS NQ rev (1m)0.28%
EPS NQ rev (3m)0.28%
EPS NY rev (1m)0%
EPS NY rev (3m)-0.96%
Revenue NQ rev (1m)-1.17%
Revenue NQ rev (3m)-1.17%
Revenue NY rev (1m)0%
Revenue NY rev (3m)5.2%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 21.23 | ||
| Fwd PE | 19.78 | ||
| P/S | 1.71 | ||
| P/FCF | N/A | ||
| P/OCF | 11.81 | ||
| P/B | 2.15 | ||
| P/tB | 3.29 | ||
| EV/EBITDA | 14.2 |
EPS(TTM)1.7
EY4.71%
EPS(NY)1.82
Fwd EY5.06%
FCF(TTM)-2.02
FCFYN/A
OCF(TTM)3.05
OCFY8.46%
SpS21.11
BVpS16.76
TBVpS10.98
PEG (NY)7.1
PEG (5Y)5.33
Graham NumberN/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.95% | ||
| ROE | 7.54% | ||
| ROCE | N/A | ||
| ROIC | 4.12% | ||
| ROICexc | 4.15% | ||
| ROICexgc | 4.62% | ||
| OM | 13.52% | ||
| PM (TTM) | 5.99% | ||
| GM | 30.15% | ||
| FCFM | N/A |
ROA(3y)N/A
ROA(5y)N/A
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)4.28%
ROIC(5y)N/A
ROICexc(3y)3.78%
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexgc growth 3Y5.44%
ROICexgc growth 5Y-1.67%
ROICexc growth 3Y7.53%
ROICexc growth 5Y-3.77%
OM growth 3Y13.89%
OM growth 5Y-1.33%
PM growth 3Y60.06%
PM growth 5Y-17.34%
GM growth 3Y1.44%
GM growth 5Y-3.11%
F-Score7
Asset Turnover0.33
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.74 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 6.77 | ||
| Cap/Depr | 293.63% | ||
| Cap/Sales | N/A | ||
| Interest Coverage | N/A | ||
| Cash Conversion | N/A | ||
| Profit Quality | N/A | ||
| Current Ratio | 0.7 | ||
| Quick Ratio | 0.59 | ||
| Altman-Z | 0.92 |
F-Score7
WACC5.88%
ROIC/WACC0.7
Cap/Depr(3y)304.83%
Cap/Depr(5y)278.44%
Cap/Sales(3y)N/A
Cap/Sales(5y)N/A
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-1.73%
EPS 3Y5.24%
EPS 5Y3.99%
EPS Q2Q%-5.88%
EPS Next Y2.99%
EPS Next 2Y3.91%
EPS Next 3Y4.69%
EPS Next 5Y3.84%
Revenue 1Y (TTM)40.66%
Revenue growth 3Y6.67%
Revenue growth 5Y13.96%
Sales Q2Q%66.43%
Revenue Next Year33.17%
Revenue Next 2Y12.56%
Revenue Next 3Y8.14%
Revenue Next 5Y5.82%
EBIT growth 1Y15.84%
EBIT growth 3Y21.49%
EBIT growth 5Y12.45%
EBIT Next Year58.98%
EBIT Next 3Y25.98%
EBIT Next 5Y18.01%
FCF growth 1Y-4.25%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y47.34%
OCF growth 3Y23.9%
OCF growth 5Y0.79%
SOUTH JERSEY INDUSTRIES / SJI FAQ
What is the fundamental rating for SJI stock?
ChartMill assigns a fundamental rating of 3 / 10 to SJI.
What is the valuation status of SOUTH JERSEY INDUSTRIES (SJI) stock?
ChartMill assigns a valuation rating of 0 / 10 to SOUTH JERSEY INDUSTRIES (SJI). This can be considered as Overvalued.
What is the profitability of SJI stock?
SOUTH JERSEY INDUSTRIES (SJI) has a profitability rating of 3 / 10.
Can you provide the expected EPS growth for SJI stock?
The Earnings per Share (EPS) of SOUTH JERSEY INDUSTRIES (SJI) is expected to grow by 2.99% in the next year.
Can you provide the dividend sustainability for SJI stock?
The dividend rating of SOUTH JERSEY INDUSTRIES (SJI) is 5 / 10 and the dividend payout ratio is 92.56%.