STANDARD MOTOR PRODS (SMP) Stock Fundamental Analysis
USA - NYSE:SMP - US8536661056 - Common Stock
40.53 USD
+0.37 (+0.92%)
40.53 USD
0 (0%)
Overall SMP gets a fundamental rating of 4 out of 10. We evaluated SMP against 80 industry peers in the Automobile Components industry. Both the profitability and financial health of SMP have multiple concerns. SMP has a decent growth rate and is not valued too expensively.
1. Profitability
1.1 Basic Checks
In the past year SMP was profitable.
SMP had a positive operating cash flow in the past year.
In the past 5 years SMP has always been profitable.
Of the past 5 years SMP 4 years had a positive operating cash flow.
1.2 Ratios
SMP has a Return On Assets of 1.96%. This is in the lower half of the industry: SMP underperforms 67.50% of its industry peers.
SMP has a Return On Equity of 5.72%. This is in the lower half of the industry: SMP underperforms 67.50% of its industry peers.
SMP has a Return On Invested Capital of 5.75%. This is in the lower half of the industry: SMP underperforms 72.50% of its industry peers.
SMP had an Average Return On Invested Capital over the past 3 years of 7.06%. This is in line with the industry average of 8.51%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.96% | ||
| ROE | 5.72% | ||
| ROIC | 5.75% |
ROA(3y)2.86%
ROA(5y)4.43%
ROE(3y)6.31%
ROE(5y)8.89%
ROIC(3y)7.06%
ROIC(5y)9.5%
1.3 Margins
SMP has a Profit Margin of 2.39%. This is in the lower half of the industry: SMP underperforms 66.25% of its industry peers.
In the last couple of years the Profit Margin of SMP has declined.
SMP has a Operating Margin of 6.98%. This is in the lower half of the industry: SMP underperforms 65.00% of its industry peers.
In the last couple of years the Operating Margin of SMP has declined.
The Gross Margin of SMP (30.18%) is better than 87.50% of its industry peers.
In the last couple of years the Gross Margin of SMP has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 6.98% | ||
| PM (TTM) | 2.39% | ||
| GM | 30.18% |
OM growth 3Y-12.92%
OM growth 5Y-5.07%
PM growth 3Y-35.49%
PM growth 5Y-18.07%
GM growth 3Y-0.12%
GM growth 5Y-0.17%
2. Health
2.1 Basic Checks
SMP has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
SMP has less shares outstanding than it did 1 year ago.
SMP has less shares outstanding than it did 5 years ago.
The debt/assets ratio for SMP is higher compared to a year ago.
2.2 Solvency
SMP has an Altman-Z score of 2.18. This is not the best score and indicates that SMP is in the grey zone with still only limited risk for bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 2.18, SMP is doing worse than 72.50% of the companies in the same industry.
SMP has a debt to FCF ratio of 15.70. This is a negative value and a sign of low solvency as SMP would need 15.70 years to pay back of all of its debts.
SMP's Debt to FCF ratio of 15.70 is on the low side compared to the rest of the industry. SMP is outperformed by 73.75% of its industry peers.
A Debt/Equity ratio of 0.88 indicates that SMP is somewhat dependend on debt financing.
The Debt to Equity ratio of SMP (0.88) is worse than 83.75% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.88 | ||
| Debt/FCF | 15.7 | ||
| Altman-Z | 2.18 |
ROIC/WACC0.64
WACC8.96%
2.3 Liquidity
A Current Ratio of 2.16 indicates that SMP has no problem at all paying its short term obligations.
SMP has a better Current ratio (2.16) than 78.75% of its industry peers.
A Quick Ratio of 0.83 indicates that SMP may have some problems paying its short term obligations.
With a Quick ratio value of 0.83, SMP is not doing good in the industry: 85.00% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.16 | ||
| Quick Ratio | 0.83 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 32.30% over the past year.
SMP shows a small growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 0.51% yearly.
SMP shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 17.98%.
Measured over the past years, SMP shows a small growth in Revenue. The Revenue has been growing by 5.17% on average per year.
EPS 1Y (TTM)32.3%
EPS 3Y-10.6%
EPS 5Y0.51%
EPS Q2Q%31.63%
Revenue 1Y (TTM)17.98%
Revenue growth 3Y4.07%
Revenue growth 5Y5.17%
Sales Q2Q%26.68%
3.2 Future
The Earnings Per Share is expected to grow by 17.18% on average over the next years. This is quite good.
The Revenue is expected to grow by 13.69% on average over the next years. This is quite good.
EPS Next Y22.65%
EPS Next 2Y17.18%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year27.2%
Revenue Next 2Y14.99%
Revenue Next 3Y13.69%
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.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
4. Valuation
4.1 Price/Earnings Ratio
SMP is valuated reasonably with a Price/Earnings ratio of 10.53.
SMP's Price/Earnings ratio is a bit cheaper when compared to the industry. SMP is cheaper than 75.00% of the companies in the same industry.
Compared to an average S&P500 Price/Earnings ratio of 27.41, SMP is valued rather cheaply.
SMP is valuated reasonably with a Price/Forward Earnings ratio of 9.28.
Based on the Price/Forward Earnings ratio, SMP is valued a bit cheaper than 65.00% of the companies in the same industry.
Compared to an average S&P500 Price/Forward Earnings ratio of 22.88, SMP is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.53 | ||
| Fwd PE | 9.28 |
4.2 Price Multiples
The rest of the industry has a similar Enterprise Value to EBITDA ratio as SMP.
SMP's Price/Free Cash Flow ratio is in line with the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 21.98 | ||
| EV/EBITDA | 9.6 |
4.3 Compensation for Growth
The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
SMP's earnings are expected to grow with 17.18% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.46
PEG (5Y)20.61
EPS Next 2Y17.18%
EPS Next 3YN/A
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 3.03%, SMP has a reasonable but not impressive dividend return.
SMP's Dividend Yield is comparable with the industry average which is at 3.89.
SMP's Dividend Yield is a higher than the S&P500 average which is at 2.38.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.03% |
5.2 History
The dividend of SMP has a limited annual growth rate of 4.76%.
SMP has paid a dividend for at least 10 years, which is a reliable track record.
SMP has not decreased its dividend in the last 3 years.
Dividend Growth(5Y)4.76%
Div Incr Years0
Div Non Decr Years4
5.3 Sustainability
SMP pays out 66.53% of its income as dividend. This is not a sustainable payout ratio.
SMP's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP66.53%
EPS Next 2Y17.18%
EPS Next 3YN/A
40.53
+0.37 (+0.92%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupAutomobiles & Components
GICS IndustryAutomobile Components
Earnings (Last)
Earnings (Next)
Inst Owners81.71%
Inst Owner Change1.56%
Ins Owners5.07%
Ins Owner Change1.87%
Market Cap891.25M
Analysts82.86
Price Target47.26 (16.6%)
Short Float %2.75%
Short Ratio3.13
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.03% |
Yearly Dividend1.16
Dividend Growth(5Y)4.76%
DP66.53%
Div Incr Years0
Div Non Decr Years4
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)58.25%
Min EPS beat(2)34.45%
Max EPS beat(2)82.06%
EPS beat(4)4
Avg EPS beat(4)34.26%
Min EPS beat(4)6.36%
Max EPS beat(4)82.06%
EPS beat(8)7
Avg EPS beat(8)19.03%
EPS beat(12)10
Avg EPS beat(12)14.52%
EPS beat(16)13
Avg EPS beat(16)14.53%
Revenue beat(2)2
Avg Revenue beat(2)6.19%
Min Revenue beat(2)3.78%
Max Revenue beat(2)8.61%
Revenue beat(4)3
Avg Revenue beat(4)6.32%
Min Revenue beat(4)-0.1%
Max Revenue beat(4)13%
Revenue beat(8)5
Avg Revenue beat(8)2.74%
Revenue beat(12)5
Avg Revenue beat(12)0.87%
Revenue beat(16)8
Avg Revenue beat(16)1.92%
PT rev (1m)13.01%
PT rev (3m)14.4%
EPS NQ rev (1m)6.73%
EPS NQ rev (3m)-3.31%
EPS NY rev (1m)7.56%
EPS NY rev (3m)7.56%
Revenue NQ rev (1m)0.64%
Revenue NQ rev (3m)4.68%
Revenue NY rev (1m)3.81%
Revenue NY rev (3m)5.13%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.53 | ||
| Fwd PE | 9.28 | ||
| P/S | 0.54 | ||
| P/FCF | 21.98 | ||
| P/OCF | 11.01 | ||
| P/B | 1.29 | ||
| P/tB | 7.96 | ||
| EV/EBITDA | 9.6 |
EPS(TTM)3.85
EY9.5%
EPS(NY)4.37
Fwd EY10.77%
FCF(TTM)1.84
FCFY4.55%
OCF(TTM)3.68
OCFY9.08%
SpS75.03
BVpS31.32
TBVpS5.09
PEG (NY)0.46
PEG (5Y)20.61
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.96% | ||
| ROE | 5.72% | ||
| ROCE | 7.6% | ||
| ROIC | 5.75% | ||
| ROICexc | 5.98% | ||
| ROICexgc | 9.9% | ||
| OM | 6.98% | ||
| PM (TTM) | 2.39% | ||
| GM | 30.18% | ||
| FCFM | 2.46% |
ROA(3y)2.86%
ROA(5y)4.43%
ROE(3y)6.31%
ROE(5y)8.89%
ROIC(3y)7.06%
ROIC(5y)9.5%
ROICexc(3y)7.27%
ROICexc(5y)9.88%
ROICexgc(3y)10.31%
ROICexgc(5y)13.94%
ROCE(3y)9.34%
ROCE(5y)12.61%
ROICexcg growth 3Y-25.45%
ROICexcg growth 5Y-8.81%
ROICexc growth 3Y-27.66%
ROICexc growth 5Y-13.65%
OM growth 3Y-12.92%
OM growth 5Y-5.07%
PM growth 3Y-35.49%
PM growth 5Y-18.07%
GM growth 3Y-0.12%
GM growth 5Y-0.17%
F-Score5
Asset Turnover0.82
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.88 | ||
| Debt/FCF | 15.7 | ||
| Debt/EBITDA | 3.96 | ||
| Cap/Depr | 106.28% | ||
| Cap/Sales | 2.45% | ||
| Interest Coverage | 4.53 | ||
| Cash Conversion | 52.87% | ||
| Profit Quality | 102.88% | ||
| Current Ratio | 2.16 | ||
| Quick Ratio | 0.83 | ||
| Altman-Z | 2.18 |
F-Score5
WACC8.96%
ROIC/WACC0.64
Cap/Depr(3y)110.17%
Cap/Depr(5y)98.63%
Cap/Sales(3y)2.34%
Cap/Sales(5y)2.12%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)32.3%
EPS 3Y-10.6%
EPS 5Y0.51%
EPS Q2Q%31.63%
EPS Next Y22.65%
EPS Next 2Y17.18%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)17.98%
Revenue growth 3Y4.07%
Revenue growth 5Y5.17%
Sales Q2Q%26.68%
Revenue Next Year27.2%
Revenue Next 2Y14.99%
Revenue Next 3Y13.69%
Revenue Next 5YN/A
EBIT growth 1Y29.95%
EBIT growth 3Y-9.38%
EBIT growth 5Y-0.17%
EBIT Next Year57.84%
EBIT Next 3Y15.75%
EBIT Next 5YN/A
FCF growth 1Y-52.23%
FCF growth 3Y-18.2%
FCF growth 5Y-11.65%
OCF growth 1Y-24.51%
OCF growth 3Y-3.58%
OCF growth 5Y-0.05%