SYLVAMO CORP (SLVM) Stock Fundamental Analysis
USA - NYSE:SLVM - US8713321029 - Common Stock
40.64 USD
+0.74 (+1.85%)
40.64 USD
0 (0%)
Overall SLVM gets a fundamental rating of 6 out of 10. We evaluated SLVM against 9 industry peers in the Paper & Forest Products industry. SLVM scores excellent points on both the profitability and health parts. This is a solid base for a good stock. SLVM is cheap, but on the other hand it scores bad on growth. These ratings could make SLVM a good candidate for value investing.
1. Profitability
1.1 Basic Checks
SLVM had positive earnings in the past year.
In the past year SLVM had a positive cash flow from operations.
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
Looking at the Return On Assets, with a value of 8.17%, SLVM is in the better half of the industry, outperforming 77.78% of the companies in the same industry.
With an excellent Return On Equity value of 22.73%, SLVM belongs to the best of the industry, outperforming 88.89% of the companies in the same industry.
SLVM has a Return On Invested Capital of 11.65%. This is amongst the best in the industry. SLVM outperforms 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 5.72%.
The 3 year average ROIC (16.67%) for SLVM is well above the current ROIC(11.65%). The reason for the recent decline needs to be investigated.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 8.17% | ||
| ROE | 22.73% | ||
| ROIC | 11.65% |
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
The Profit Margin of SLVM (6.14%) is better than 66.67% of its industry peers.
SLVM's Profit Margin has declined in the last couple of years.
Looking at the Operating Margin, with a value of 9.52%, SLVM is in the better half of the industry, outperforming 77.78% of the companies in the same industry.
SLVM's Operating Margin has been stable in the last couple of years.
SLVM has a Gross Margin (23.04%) which is in line with its industry peers.
SLVM's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 9.52% | ||
| PM (TTM) | 6.14% | ||
| GM | 23.04% |
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.
The debt/assets ratio for SLVM has been reduced compared to a year ago.
2.2 Solvency
An Altman-Z score of 3.77 indicates that SLVM is not in any danger for bankruptcy at the moment.
SLVM has a better Altman-Z score (3.77) than 88.89% of its industry peers.
The Debt to FCF ratio of SLVM is 1.96, which is an excellent value as it means it would take SLVM, only 1.96 years of fcf income to pay off all of its debts.
SLVM has a better Debt to FCF ratio (1.96) than 88.89% of its industry peers.
A Debt/Equity ratio of 0.84 indicates that SLVM is somewhat dependend on debt financing.
SLVM has a Debt to Equity ratio of 0.84. This is comparable to the rest of the industry: SLVM outperforms 55.56% of its industry peers.
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 | 0.84 | ||
| Debt/FCF | 1.96 | ||
| Altman-Z | 3.77 |
ROIC/WACC1.68
WACC6.94%
2.3 Liquidity
SLVM has a Current Ratio of 1.54. 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 (1.54) is worse than 66.67% of its industry peers.
A Quick Ratio of 0.91 indicates that SLVM may have some problems paying its short term obligations.
SLVM has a Quick ratio of 0.91. This is in the lower half of the industry: SLVM underperforms 66.67% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.54 | ||
| Quick Ratio | 0.91 |
3. Growth
3.1 Past
The earnings per share for SLVM have decreased by -7.78% in the last year.
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 -4.03%.
SLVM shows a decrease in Revenue. Measured over the last years, the Revenue has been decreasing by -1.25% yearly.
EPS 1Y (TTM)-7.78%
EPS 3Y-1.48%
EPS 5Y-3.34%
EPS Q2Q%-81.31%
Revenue 1Y (TTM)-4.03%
Revenue growth 3Y10.09%
Revenue growth 5Y-1.25%
Sales Q2Q%-14.9%
3.2 Future
SLVM is expected to show a decrease in Earnings Per Share. In the coming years, the EPS will decrease by -2.55% yearly.
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
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
SLVM is valuated cheaply with a Price/Earnings ratio of 7.46.
Based on the Price/Earnings ratio, SLVM is valued cheaply inside the industry as 100.00% of the companies are valued more expensively.
Compared to an average S&P500 Price/Earnings ratio of 26.13, SLVM is valued rather cheaply.
The Price/Forward Earnings ratio is 6.75, which indicates a rather cheap valuation of SLVM.
100.00% 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 22.35, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 7.46 | ||
| Fwd PE | 6.75 |
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.
Based on the Price/Free Cash Flow ratio, SLVM is valued cheaply inside the industry as 88.89% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 3.96 | ||
| EV/EBITDA | 4.4 |
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 4.38%, SLVM is a good candidate for dividend investing.
SLVM's Dividend Yield is rather good when compared to the industry average which is at 4.77. SLVM pays more dividend than 88.89% of the companies in the same industry.
SLVM's Dividend Yield is rather good when compared to the S&P500 average which is at 2.39.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.38% |
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 33.49% of its income as dividend. This is a sustainable payout ratio.
DP33.49%
EPS Next 2Y-10.12%
EPS Next 3Y-2.55%
40.64
+0.74 (+1.85%)
Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryPaper & Forest Products
Earnings (Last)
Earnings (Next)
Inst Owners78.36%
Inst Owner Change-0.69%
Ins Owners1.13%
Ins Owner Change1.17%
Market Cap1.64B
Revenue(TTM)3.55B
Net Income(TTM)218.00M
Analysts50
Price Target53.72 (32.19%)
Short Float %3.78%
Short Ratio3.37
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.38% |
Yearly Dividend1.52
Dividend Growth(5Y)N/A
DP33.49%
Div Incr Years2
Div Non Decr Years2
Ex-Date
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-10.24%
Min EPS beat(2)-17.56%
Max EPS beat(2)-2.91%
EPS beat(4)2
Avg EPS beat(4)-0.74%
Min EPS beat(4)-17.56%
Max EPS beat(4)9.56%
EPS beat(8)6
Avg EPS beat(8)10.31%
EPS beat(12)8
Avg EPS beat(12)6.49%
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)0
Avg Revenue beat(2)-3.67%
Min Revenue beat(2)-5.99%
Max Revenue beat(2)-1.35%
Revenue beat(4)0
Avg Revenue beat(4)-2.58%
Min Revenue beat(4)-5.99%
Max Revenue beat(4)-1.35%
Revenue beat(8)2
Avg Revenue beat(8)-1.26%
Revenue beat(12)3
Avg Revenue beat(12)-2.18%
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)-1.86%
PT rev (3m)-22.93%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-32.75%
EPS NY rev (1m)-3.99%
EPS NY rev (3m)-29.59%
Revenue NQ rev (1m)0.08%
Revenue NQ rev (3m)-4.05%
Revenue NY rev (1m)0.06%
Revenue NY rev (3m)-2.55%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 7.46 | ||
| Fwd PE | 6.75 | ||
| P/S | 0.46 | ||
| P/FCF | 3.96 | ||
| P/OCF | 3.96 | ||
| P/B | 1.71 | ||
| P/tB | 1.97 | ||
| EV/EBITDA | 4.4 |
EPS(TTM)5.45
EY13.41%
EPS(NY)6.02
Fwd EY14.81%
FCF(TTM)10.26
FCFY25.23%
OCF(TTM)10.26
OCFY25.23%
SpS87.94
BVpS23.76
TBVpS20.63
PEG (NY)N/A
PEG (5Y)N/A
Graham Number53.97
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 8.17% | ||
| ROE | 22.73% | ||
| ROCE | 16.63% | ||
| ROIC | 11.65% | ||
| ROICexc | 12.32% | ||
| ROICexgc | 13.17% | ||
| OM | 9.52% | ||
| PM (TTM) | 6.14% | ||
| GM | 23.04% | ||
| FCFM | 11.66% |
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 Turnover1.33
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.84 | ||
| Debt/FCF | 1.96 | ||
| Debt/EBITDA | 1.6 | ||
| Cap/Depr | N/A | ||
| Cap/Sales | N/A | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 81.82% | ||
| Profit Quality | 189.91% | ||
| Current Ratio | 1.54 | ||
| Quick Ratio | 0.91 | ||
| Altman-Z | 3.77 |
F-Score5
WACC6.94%
ROIC/WACC1.68
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)-7.78%
EPS 3Y-1.48%
EPS 5Y-3.34%
EPS Q2Q%-81.31%
EPS Next Y-46.24%
EPS Next 2Y-10.12%
EPS Next 3Y-2.55%
EPS Next 5YN/A
Revenue 1Y (TTM)-4.03%
Revenue growth 3Y10.09%
Revenue growth 5Y-1.25%
Sales Q2Q%-14.9%
Revenue Next Year-11.55%
Revenue Next 2Y-4.88%
Revenue Next 3Y-1.91%
Revenue Next 5YN/A
EBIT growth 1Y-13.11%
EBIT growth 3Y11.8%
EBIT growth 5Y-1.74%
EBIT Next Year1.57%
EBIT Next 3Y10.45%
EBIT Next 5YN/A
FCF growth 1Y-14.99%
FCF growth 3Y-5.34%
FCF growth 5Y-2.19%
OCF growth 1Y-14.99%
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 7.46 and the Price/Book (PB) ratio is 1.71.
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.