SYLVAMO CORP (SLVM) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:SLVM - US8713321029 - Common Stock
47.81 USD
+0.44 (+0.93%)
47.81 USD
0 (0%)
SLVM gets a fundamental rating of 6 out of 10. The analysis compared the fundamentals against 9 industry peers in the Paper & Forest Products industry. SLVM has outstanding health and profitabily ratings, belonging to the best of the industry. This is a solid base for any company. SLVM has a bad growth rate and is valued cheaply. These ratings could make SLVM a good candidate 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's Return On Assets of 6.66% is fine compared to the rest of the industry. SLVM outperforms 77.78% of its industry peers.
SLVM's Return On Equity of 18.42% is amongst the best of the industry. SLVM outperforms 100.00% of its industry peers.
SLVM has a Return On Invested Capital of 9.96%. This is amongst the best in the industry. SLVM outperforms 88.89% of its industry peers.
SLVM had an Average Return On Invested Capital over the past 3 years of 16.67%. This is significantly above the industry average of 5.80%.
The 3 year average ROIC (16.67%) for SLVM is well above the current ROIC(9.96%). The reason for the recent decline needs to be investigated.
| 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 has a better Profit Margin (5.25%) than 66.67% of its industry peers.
SLVM's Profit Margin has declined in the last couple of years.
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.
With a Gross Margin value of 22.59%, SLVM perfoms like the industry average, outperforming 55.56% of the companies in the same industry.
SLVM's Gross Margin has declined in the last couple of years.
| 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.
Compared to 1 year ago, SLVM has less shares outstanding
SLVM has less shares outstanding than it did 5 years ago.
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.
SLVM has a Altman-Z score of 3.72. 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.
With an excellent Debt to FCF ratio value of 2.39, SLVM belongs to the best 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.
The Debt to Equity ratio of SLVM (0.82) 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/WACC1.41
WACC7.04%
2.3 Liquidity
A Current Ratio of 1.52 indicates that SLVM should not have too much problems paying 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's Quick ratio of 0.85 is on the low side compared to the rest of the industry. SLVM is outperformed by 77.78% of its industry peers.
| 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%.
SLVM shows a decrease in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -3.34% yearly.
The Revenue has decreased by -8.92% in the past year.
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
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.
Based on estimates for the next years, SLVM will show a decrease in Revenue. The Revenue will decrease by -1.91% on average per year.
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 10.74 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.
Compared to an average S&P500 Price/Earnings ratio of 26.11, SLVM is valued rather cheaply.
The Price/Forward Earnings ratio is 7.94, which indicates a rather cheap valuation of SLVM.
88.89% of the companies in the same industry are more expensive than SLVM, based on the Price/Forward Earnings ratio.
SLVM is valuated cheaply when we compare the Price/Forward Earnings ratio to 36.21, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.74 | ||
| Fwd PE | 7.94 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, SLVM is valued cheaper than 88.89% of the companies in the same industry.
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 | 5.58 | ||
| EV/EBITDA | 5.4 |
4.3 Compensation for Growth
SLVM has a very decent profitability rating, which 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%
47.81
+0.44 (+0.93%)
Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryPaper & Forest Products
Earnings (Last)
Earnings (Next)
Inst Owners78.36%
Inst Owner Change0.58%
Ins Owners1.13%
Ins Owner Change0.72%
Market Cap1.89B
Revenue(TTM)3.43B
Net Income(TTM)180.00M
Analysts50
Price Target56.1 (17.34%)
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 | 10.74 | ||
| Fwd PE | 7.94 | ||
| P/S | 0.55 | ||
| P/FCF | 5.58 | ||
| P/OCF | 5.58 | ||
| P/B | 1.93 | ||
| P/tB | 2.22 | ||
| EV/EBITDA | 5.4 |
EPS(TTM)4.45
EY9.31%
EPS(NY)6.02
Fwd EY12.59%
FCF(TTM)8.57
FCFY17.93%
OCF(TTM)8.57
OCFY17.93%
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
WACC7.04%
ROIC/WACC1.41
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 8 / 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 10.74 and the Price/Book (PB) ratio is 1.93.
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.