SYLVAMO CORP (SLVM) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:SLVM - US8713321029 - Common Stock
50.6 USD
+0.06 (+0.12%)
50.6 USD
0 (0%)
We assign a fundamental rating of 5 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 is cheap, but on the other hand it scores bad on growth. These ratings would make SLVM suitable for value investing!
1. Profitability
1.1 Basic Checks
In the past year SLVM was profitable.
In the past year SLVM had a positive cash flow from operations.
SLVM had positive earnings in each of the past 5 years.
Each year in the past 5 years SLVM had a positive operating cash flow.
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.
Looking at the Return On Invested Capital, with a value of 9.96%, SLVM belongs to the top of the industry, outperforming 88.89% of the companies in the same industry.
Measured over the past 3 years, the Average Return On Invested Capital for SLVM is significantly above the industry average of 5.94%.
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
SLVM's Profit Margin of 5.25% is fine compared to the rest of the industry. SLVM outperforms 66.67% of its industry peers.
In the last couple of years the Profit Margin of SLVM has declined.
SLVM's Operating Margin of 8.42% is fine compared to the rest of the industry. SLVM outperforms 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.
The Gross Margin of SLVM (22.59%) is comparable to the rest of the 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
SLVM has a Return on Invested Capital (ROIC), which is well above the Cost of Capital (WACC), which means it is creating value.
Compared to 1 year ago, SLVM has less shares outstanding
The number of shares outstanding for SLVM has been reduced compared to 5 years ago.
Compared to 1 year ago, SLVM has an improved debt to assets ratio.
2.2 Solvency
SLVM has an Altman-Z score of 3.76. This indicates that SLVM is financially healthy and has little risk of bankruptcy at the moment.
SLVM has a Altman-Z score of 3.76. This is amongst the best in the industry. SLVM outperforms 88.89% of its industry peers.
The Debt to FCF ratio of SLVM is 2.39, which is a good value as it means it would take SLVM, 2.39 years of fcf income to pay off all of its debts.
The Debt to FCF ratio of SLVM (2.39) is better than 100.00% of its industry peers.
A Debt/Equity ratio of 0.82 indicates that SLVM is somewhat dependend on debt financing.
SLVM has a Debt to Equity ratio of 0.82. This is comparable to the rest of the industry: SLVM outperforms 55.56% of its industry peers.
Even though the debt/equity ratio score it not favorable for SLVM, it has very limited outstanding debt, so we won't put too much weight on the DE evaluation.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.82 | ||
| Debt/FCF | 2.39 | ||
| Altman-Z | 3.76 |
ROIC/WACC1.38
WACC7.21%
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.
SLVM has a Quick Ratio of 1.52. This is a bad value and indicates that SLVM is not financially healthy enough and could expect problems in meeting its short term obligations.
With a Quick ratio value of 0.85, SLVM is not doing good in the industry: 77.78% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.52 | ||
| Quick Ratio | 0.85 |
3. Growth
3.1 Past
SLVM shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -33.08%.
Measured over the past years, SLVM shows a decrease in Earnings Per Share. The EPS has been decreasing by -3.34% on average per year.
SLVM shows a decrease in Revenue. In the last year, the revenue decreased by -8.92%.
The Revenue has been decreasing by -1.25% on average over the past years.
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
The Earnings Per Share is expected to decrease by -3.86% on average over the next years.
Based on estimates for the next years, SLVM will show a decrease in Revenue. The Revenue will decrease by -5.09% on average per year.
EPS Next Y-49.8%
EPS Next 2Y-12.75%
EPS Next 3Y-3.86%
EPS Next 5YN/A
Revenue Next Year-11.97%
Revenue Next 2Y-7.4%
Revenue Next 3Y-5.09%
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 stable.
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
Based on the Price/Earnings ratio of 11.37, the valuation of SLVM can be described as reasonable.
Compared to the rest of the industry, the Price/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/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 27.25.
The Price/Forward Earnings ratio is 8.92, which indicates a very decent valuation of SLVM.
Based on the Price/Forward Earnings ratio, SLVM is valued cheaply inside the industry as 88.89% of the companies are valued more expensively.
Compared to an average S&P500 Price/Forward Earnings ratio of 23.98, SLVM is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.37 | ||
| Fwd PE | 8.92 |
4.2 Price Multiples
SLVM's Enterprise Value to EBITDA ratio is rather cheap when compared to the industry. SLVM is cheaper than 88.89% of the companies in the same industry.
Based on the Price/Free Cash Flow ratio, SLVM is valued cheaper than 88.89% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 5.9 | ||
| EV/EBITDA | 5.63 |
4.3 Compensation for Growth
The decent profitability rating of SLVM may justify a higher PE ratio.
A cheap valuation may be justified as SLVM's earnings are expected to decrease with -3.86% in the coming years.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y-12.75%
EPS Next 3Y-3.86%
5. Dividend
5.1 Amount
SLVM has a Yearly Dividend Yield of 3.72%.
Compared to an average industry Dividend Yield of 2.64, SLVM pays a bit more dividend than its industry peers.
SLVM's Dividend Yield is rather good when compared to the S&P500 average which is at 1.92.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.72% |
5.2 History
SLVM has been paying a dividend for over 5 years, so it has already some track record.
The dividend of SLVM decreased in the last 3 years.
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-12.75%
EPS Next 3Y-3.86%
50.6
+0.06 (+0.12%)
Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryPaper & Forest Products
Earnings (Last)
Earnings (Next)
Inst Owners86.91%
Inst Owner Change0.48%
Ins Owners1.09%
Ins Owner Change-0.06%
Market Cap2.00B
Revenue(TTM)3.43B
Net Income(TTM)180.00M
Analysts84.44
Price Target62.22 (22.96%)
Short Float %5.72%
Short Ratio4.24
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.72% |
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)0%
PT rev (3m)13.66%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-21.63%
EPS NY rev (1m)0%
EPS NY rev (3m)-10.35%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-1.27%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-0.41%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.37 | ||
| Fwd PE | 8.92 | ||
| P/S | 0.58 | ||
| P/FCF | 5.9 | ||
| P/OCF | 5.9 | ||
| P/B | 2.04 | ||
| P/tB | 2.35 | ||
| EV/EBITDA | 5.63 |
EPS(TTM)4.45
EY8.79%
EPS(NY)5.67
Fwd EY11.21%
FCF(TTM)8.57
FCFY16.94%
OCF(TTM)8.57
OCFY16.94%
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 | 3.76 |
F-Score5
WACC7.21%
ROIC/WACC1.38
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-49.8%
EPS Next 2Y-12.75%
EPS Next 3Y-3.86%
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-11.97%
Revenue Next 2Y-7.4%
Revenue Next 3Y-5.09%
Revenue Next 5YN/A
EBIT growth 1Y-31.03%
EBIT growth 3Y11.8%
EBIT growth 5Y-1.74%
EBIT Next Year-4.05%
EBIT Next 3Y8.41%
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 5 / 10 to SLVM.
What is the valuation status of SYLVAMO CORP (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 11.37 and the Price/Book (PB) ratio is 2.04.
What is the financial health of SYLVAMO CORP (SLVM) stock?
The financial health rating of SYLVAMO CORP (SLVM) is 7 / 10.