SYLVAMO CORP (SLVM) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:SLVM - US8713321029 - Common Stock
48.73 USD
+0.87 (+1.82%)
48.73 USD
0 (0%)
We assign a fundamental rating of 6 out of 10 to SLVM. SLVM was compared to 9 industry peers in the Paper & Forest Products industry. SLVM gets an excellent profitability rating and is at the same time showing great financial health properties. SLVM has a bad growth rate and is valued cheaply. With these ratings, SLVM could be worth investigating further for value investing!.
1. Profitability
1.1 Basic Checks
In the past year SLVM was profitable.
SLVM had a positive operating cash flow in the past year.
In the past 5 years SLVM has always been profitable.
In the past 5 years SLVM always reported a positive cash flow from operatings.
1.2 Ratios
SLVM has a better Return On Assets (6.66%) than 77.78% of its industry peers.
Looking at the Return On Equity, with a value of 18.42%, SLVM belongs to the top of the industry, outperforming 100.00% of the companies in the same industry.
The Return On Invested Capital of SLVM (9.96%) is better than 88.89% of its industry peers.
The Average Return On Invested Capital over the past 3 years for SLVM is significantly above the industry average of 5.80%.
The last Return On Invested Capital (9.96%) for SLVM is well below the 3 year average (16.67%), which needs to be investigated, but indicates that SLVM had better years and this may not be a problem.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.66% | ||
| ROE | 18.42% | ||
| ROIC | 9.96% |
ROA(3y)8.25%
ROA(5y)8.67%
ROE(3y)27.05%
ROE(5y)54.21%
ROIC(3y)16.67%
ROIC(5y)13.03%
1.3 Margins
With a decent Profit Margin value of 5.25%, SLVM is doing good in the industry, outperforming 66.67% of the companies in the same industry.
SLVM's Profit Margin has declined in the last couple of years.
The Operating Margin of SLVM (8.42%) is better than 77.78% of its industry peers.
In the last couple of years the Operating Margin of SLVM has remained more or less at the same level.
Looking at the Gross Margin, with a value of 22.59%, SLVM is in line with its industry, outperforming 55.56% of the companies in the same industry.
In the last couple of years the Gross Margin of SLVM has declined.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 8.42% | ||
| PM (TTM) | 5.25% | ||
| GM | 22.59% |
OM growth 3Y1.56%
OM growth 5Y-0.5%
PM growth 3Y-11.9%
PM growth 5Y-3.13%
GM growth 3Y1.05%
GM growth 5Y-6.15%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is well above the Cost of Capital (WACC), so SLVM is creating value.
SLVM has less shares outstanding than it did 1 year ago.
Compared to 5 years ago, SLVM has less shares outstanding
Compared to 1 year ago, SLVM has an improved debt to assets ratio.
2.2 Solvency
An Altman-Z score of 3.72 indicates that SLVM is not in any danger for bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 3.72, SLVM belongs to the top of the industry, outperforming 88.89% of the companies in the same industry.
SLVM has a debt to FCF ratio of 2.39. This is a good value and a sign of high solvency as SLVM would need 2.39 years to pay back of all of its debts.
Looking at the Debt to FCF ratio, with a value of 2.39, SLVM belongs to the top of the industry, outperforming 100.00% of the companies in the same industry.
SLVM has a Debt/Equity ratio of 0.82. This is a neutral value indicating SLVM is somewhat dependend on debt financing.
SLVM has a Debt to Equity ratio (0.82) which is comparable to the rest of the industry.
Although SLVM does not score too well on debt/equity it has very limited outstanding debt, which is well covered by the FCF. We will not put too much weight on the debt/equity number as it may be because of low equity, which could be a consequence of a share buyback program for instance. This needs to be investigated.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.82 | ||
| Debt/FCF | 2.39 | ||
| Altman-Z | 3.72 |
ROIC/WACC1.39
WACC7.14%
2.3 Liquidity
SLVM has a Current Ratio of 1.52. This is a normal value and indicates that SLVM is financially healthy and should not expect problems in meeting its short term obligations.
The Current ratio of SLVM (1.52) is worse than 77.78% of its industry peers.
A Quick Ratio of 0.85 indicates that SLVM may have some problems paying its short term obligations.
SLVM has a worse Quick ratio (0.85) than 77.78% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.52 | ||
| Quick Ratio | 0.85 |
3. Growth
3.1 Past
The earnings per share for SLVM have decreased strongly by -33.08% in the last year.
The Earnings Per Share has been decreasing by -3.34% on average over the past years.
Looking at the last year, SLVM shows a decrease in Revenue. The Revenue has decreased by -8.92% in the last year.
SLVM shows a decrease in Revenue. Measured over the last years, the Revenue has been decreasing by -1.25% yearly.
EPS 1Y (TTM)-33.08%
EPS 3Y-1.48%
EPS 5Y-3.34%
EPS Q2Q%-40.98%
Revenue 1Y (TTM)-8.92%
Revenue growth 3Y10.09%
Revenue growth 5Y-1.25%
Sales Q2Q%-12.33%
3.2 Future
Based on estimates for the next years, SLVM will show a decrease in Earnings Per Share. The EPS will decrease by -2.55% on average per year.
SLVM is expected to show a decrease in Revenue. In the coming years, the Revenue will decrease by -1.91% yearly.
EPS Next Y-46.24%
EPS Next 2Y-10.12%
EPS Next 3Y-2.55%
EPS Next 5YN/A
Revenue Next Year-11.55%
Revenue Next 2Y-4.88%
Revenue Next 3Y-1.91%
Revenue Next 5YN/A
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 decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 10.95 indicates a reasonable valuation of SLVM.
88.89% of the companies in the same industry are more expensive than SLVM, based on the Price/Earnings ratio.
SLVM's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 26.46.
Based on the Price/Forward Earnings ratio of 8.10, the valuation of SLVM can be described as reasonable.
Compared to the rest of the industry, the Price/Forward Earnings ratio of SLVM indicates a rather cheap valuation: SLVM is cheaper than 88.89% of the companies listed in the same industry.
SLVM's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 36.10.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.95 | ||
| Fwd PE | 8.1 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, SLVM is valued cheaply inside the industry as 88.89% of the companies are valued more expensively.
SLVM's Price/Free Cash Flow ratio is rather cheap when compared to the industry. SLVM is cheaper than 88.89% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 5.69 | ||
| EV/EBITDA | 5.4 |
4.3 Compensation for Growth
The decent profitability rating of SLVM may justify a higher PE ratio.
SLVM's earnings are expected to decrease with -2.55% in the coming years. This may justify a cheaper valuation.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y-10.12%
EPS Next 3Y-2.55%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 3.76%, SLVM has a reasonable but not impressive dividend return.
SLVM's Dividend Yield is a higher than the industry average which is at 5.65.
SLVM's Dividend Yield is rather good when compared to the S&P500 average which is at 2.32.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.76% |
5.2 History
SLVM has paid a dividend for less than 5 years, so there is no long track record yet.
Dividend Growth(5Y)N/A
Div Incr Years2
Div Non Decr Years2
5.3 Sustainability
SLVM pays out 41.11% of its income as dividend. This is a bit on the high side, but may be sustainable.
DP41.11%
EPS Next 2Y-10.12%
EPS Next 3Y-2.55%
48.73
+0.87 (+1.82%)
Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryPaper & Forest Products
Earnings (Last)
Earnings (Next)
Inst Owners86.91%
Inst Owner Change0.58%
Ins Owners1.09%
Ins Owner Change0.72%
Market Cap1.92B
Revenue(TTM)3.43B
Net Income(TTM)180.00M
Analysts84.44
Price Target62.22 (27.68%)
Short Float %5.05%
Short Ratio3.87
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.76% |
Yearly Dividend1.52
Dividend Growth(5Y)N/A
DP41.11%
Div Incr Years2
Div Non Decr Years2
Ex-Date
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-12.94%
Min EPS beat(2)-17.56%
Max EPS beat(2)-8.33%
EPS beat(4)1
Avg EPS beat(4)-5.21%
Min EPS beat(4)-17.56%
Max EPS beat(4)7.95%
EPS beat(8)5
Avg EPS beat(8)6.16%
EPS beat(12)8
Avg EPS beat(12)6.36%
EPS beat(16)10
Avg EPS beat(16)6.64%
Revenue beat(2)0
Avg Revenue beat(2)-3.59%
Min Revenue beat(2)-5.99%
Max Revenue beat(2)-1.18%
Revenue beat(4)0
Avg Revenue beat(4)-2.5%
Min Revenue beat(4)-5.99%
Max Revenue beat(4)-1.18%
Revenue beat(8)2
Avg Revenue beat(8)-0.84%
Revenue beat(12)2
Avg Revenue beat(12)-2.65%
Revenue beat(16)3
Avg Revenue beat(16)-4.09%
PT rev (1m)2.48%
PT rev (3m)2.48%
EPS NQ rev (1m)-6.68%
EPS NQ rev (3m)-16.78%
EPS NY rev (1m)0%
EPS NY rev (3m)-4.07%
Revenue NQ rev (1m)-1.37%
Revenue NQ rev (3m)-1.27%
Revenue NY rev (1m)0%
Revenue NY rev (3m)0.03%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.95 | ||
| Fwd PE | 8.1 | ||
| P/S | 0.56 | ||
| P/FCF | 5.69 | ||
| P/OCF | 5.69 | ||
| P/B | 1.97 | ||
| P/tB | 2.26 | ||
| EV/EBITDA | 5.4 |
EPS(TTM)4.45
EY9.13%
EPS(NY)6.02
Fwd EY12.35%
FCF(TTM)8.57
FCFY17.59%
OCF(TTM)8.57
OCFY17.59%
SpS86.99
BVpS24.77
TBVpS21.53
PEG (NY)N/A
PEG (5Y)N/A
Graham Number49.8
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.66% | ||
| ROE | 18.42% | ||
| ROCE | 14.1% | ||
| ROIC | 9.96% | ||
| ROICexc | 10.43% | ||
| ROICexgc | 11.15% | ||
| OM | 8.42% | ||
| PM (TTM) | 5.25% | ||
| GM | 22.59% | ||
| FCFM | 9.85% |
ROA(3y)8.25%
ROA(5y)8.67%
ROE(3y)27.05%
ROE(5y)54.21%
ROIC(3y)16.67%
ROIC(5y)13.03%
ROICexc(3y)19.95%
ROICexc(5y)15.29%
ROICexgc(3y)21.59%
ROICexgc(5y)16.56%
ROCE(3y)23.57%
ROCE(5y)18.45%
ROICexgc growth 3Y12.63%
ROICexgc growth 5Y9.08%
ROICexc growth 3Y13.25%
ROICexc growth 5Y9.14%
OM growth 3Y1.56%
OM growth 5Y-0.5%
PM growth 3Y-11.9%
PM growth 5Y-3.13%
GM growth 3Y1.05%
GM growth 5Y-6.15%
F-Score5
Asset Turnover1.27
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.82 | ||
| Debt/FCF | 2.39 | ||
| Debt/EBITDA | 1.72 | ||
| Cap/Depr | N/A | ||
| Cap/Sales | N/A | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 72.38% | ||
| Profit Quality | 187.78% | ||
| Current Ratio | 1.52 | ||
| Quick Ratio | 0.85 | ||
| Altman-Z | 3.72 |
F-Score5
WACC7.14%
ROIC/WACC1.39
Cap/Depr(3y)N/A
Cap/Depr(5y)N/A
Cap/Sales(3y)N/A
Cap/Sales(5y)N/A
Profit Quality(3y)247.83%
Profit Quality(5y)226.82%
High Growth Momentum
Growth
EPS 1Y (TTM)-33.08%
EPS 3Y-1.48%
EPS 5Y-3.34%
EPS Q2Q%-40.98%
EPS Next Y-46.24%
EPS Next 2Y-10.12%
EPS Next 3Y-2.55%
EPS Next 5YN/A
Revenue 1Y (TTM)-8.92%
Revenue growth 3Y10.09%
Revenue growth 5Y-1.25%
Sales Q2Q%-12.33%
Revenue Next Year-11.55%
Revenue Next 2Y-4.88%
Revenue Next 3Y-1.91%
Revenue Next 5YN/A
EBIT growth 1Y-31.03%
EBIT growth 3Y11.8%
EBIT growth 5Y-1.74%
EBIT Next Year1.57%
EBIT Next 3Y10.45%
EBIT Next 5YN/A
FCF growth 1Y-37.52%
FCF growth 3Y-5.34%
FCF growth 5Y-2.19%
OCF growth 1Y-37.52%
OCF growth 3Y-5.34%
OCF growth 5Y-2.19%
SYLVAMO CORP / SLVM FAQ
Can you provide the ChartMill fundamental rating for SYLVAMO CORP?
ChartMill assigns a fundamental rating of 6 / 10 to SLVM.
What is the valuation status for SLVM stock?
ChartMill assigns a valuation rating of 7 / 10 to SYLVAMO CORP (SLVM). This can be considered as Undervalued.
What is the profitability of SLVM stock?
SYLVAMO CORP (SLVM) has a profitability rating of 7 / 10.
What is the valuation of SYLVAMO CORP based on its PE and PB ratios?
The Price/Earnings (PE) ratio for SYLVAMO CORP (SLVM) is 10.95 and the Price/Book (PB) ratio is 1.97.
What is the expected EPS growth for SYLVAMO CORP (SLVM) stock?
The Earnings per Share (EPS) of SYLVAMO CORP (SLVM) is expected to decline by -46.24% in the next year.