SIMPLY GOOD FOODS CO/THE (SMPL)
US82900L1026 - Common Stock
Overall SMPL gets a fundamental rating of 6 out of 10. We evaluated SMPL against 89 industry peers in the Food Products industry. SMPL has outstanding health and profitabily ratings, belonging to the best of the industry. This is a solid base for any company. SMPL has a correct valuation and a medium growth rate. With these ratings, SMPL could be worth investigating further for quality investing!.
1. Profitability
1.1 Basic Checks
SMPL had positive earnings in the past year.
In the past year SMPL had a positive cash flow from operations.
SMPL had positive earnings in each of the past 5 years.
SMPL had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
Looking at the Return On Assets, with a value of 5.72%, SMPL is in the better half of the industry, outperforming 67.47% of the companies in the same industry.
SMPL has a Return On Equity of 8.06%. This is comparable to the rest of the industry: SMPL outperforms 57.83% of its industry peers.
SMPL has a Return On Invested Capital of 7.17%. This is in the better half of the industry: SMPL outperforms 67.47% of its industry peers.
SMPL had an Average Return On Invested Capital over the past 3 years of 7.52%. This is in line with the industry average of 8.88%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.72% | ||
| ROE | 8.06% | ||
| ROIC | 7.17% |
ROA(3y)5.76%
ROA(5y)4.51%
ROE(3y)8.04%
ROE(5y)6.66%
ROIC(3y)7.52%
ROIC(5y)6.79%
1.3 Margins
The Profit Margin of SMPL (10.46%) is better than 84.34% of its industry peers.
SMPL's Profit Margin has improved in the last couple of years.
SMPL has a better Operating Margin (16.60%) than 87.95% of its industry peers.
In the last couple of years the Operating Margin of SMPL has grown nicely.
SMPL has a better Gross Margin (38.43%) than 85.54% of its industry peers.
SMPL's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 16.6% | ||
| PM (TTM) | 10.46% | ||
| GM | 38.43% |
OM growth 3Y-2.21%
OM growth 5Y1.61%
PM growth 3Y37.02%
PM growth 5YN/A
GM growth 3Y-1.94%
GM growth 5Y-1.56%
2. Health
2.1 Basic Checks
SMPL has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
Compared to 1 year ago, SMPL has more shares outstanding
Compared to 5 years ago, SMPL has more shares outstanding
SMPL has a worse debt/assets ratio than last year.
2.2 Solvency
SMPL has an Altman-Z score of 4.35. This indicates that SMPL is financially healthy and has little risk of bankruptcy at the moment.
The Altman-Z score of SMPL (4.35) is better than 84.34% of its industry peers.
SMPL has a debt to FCF ratio of 1.90. This is a very positive value and a sign of high solvency as it would only need 1.90 years to pay back of all of its debts.
Looking at the Debt to FCF ratio, with a value of 1.90, SMPL is in the better half of the industry, outperforming 78.31% of the companies in the same industry.
A Debt/Equity ratio of 0.23 indicates that SMPL is not too dependend on debt financing.
The Debt to Equity ratio of SMPL (0.23) is better than 60.24% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.23 | ||
| Debt/FCF | 1.9 | ||
| Altman-Z | 4.35 |
ROIC/WACC0.8
WACC9%
2.3 Liquidity
A Current Ratio of 4.05 indicates that SMPL has no problem at all paying its short term obligations.
SMPL has a better Current ratio (4.05) than 91.57% of its industry peers.
SMPL has a Quick Ratio of 2.75. This indicates that SMPL is financially healthy and has no problem in meeting its short term obligations.
SMPL has a Quick ratio of 2.75. This is amongst the best in the industry. SMPL outperforms 90.36% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 4.05 | ||
| Quick Ratio | 2.75 |
3. Growth
3.1 Past
SMPL shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 15.24%, which is quite good.
Measured over the past years, SMPL shows a very strong growth in Earnings Per Share. The EPS has been growing by 27.18% on average per year.
The Revenue has been growing slightly by 7.13% in the past year.
Measured over the past years, SMPL shows a very strong growth in Revenue. The Revenue has been growing by 20.51% on average per year.
EPS 1Y (TTM)15.24%
EPS 3Y13.25%
EPS 5Y27.18%
EPS Q2Q%13.95%
Revenue 1Y (TTM)7.13%
Revenue growth 3Y9.8%
Revenue growth 5Y20.51%
Sales Q2Q%10.56%
3.2 Future
SMPL is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 6.30% yearly.
Based on estimates for the next years, SMPL will show a small growth in Revenue. The Revenue will grow by 6.11% on average per year.
EPS Next Y6.9%
EPS Next 2Y8.99%
EPS Next 3Y8.47%
EPS Next 5Y6.3%
Revenue Next Year9.88%
Revenue Next 2Y7.98%
Revenue Next 3Y7.13%
Revenue Next 5Y6.11%
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 decreasing.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 18.96, the valuation of SMPL can be described as rather expensive.
SMPL's Price/Earnings is on the same level as the industry average.
Compared to an average S&P500 Price/Earnings ratio of 27.34, SMPL is valued a bit cheaper.
Based on the Price/Forward Earnings ratio of 16.49, the valuation of SMPL can be described as correct.
Based on the Price/Forward Earnings ratio, SMPL is valued a bit cheaper than the industry average as 69.88% of the companies are valued more expensively.
The average S&P500 Price/Forward Earnings ratio is at 23.61. SMPL is valued slightly cheaper when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 18.96 | ||
| Fwd PE | 16.49 |
4.2 Price Multiples
The rest of the industry has a similar Enterprise Value to EBITDA ratio as SMPL.
Based on the Price/Free Cash Flow ratio, SMPL is valued a bit cheaper than 61.45% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 17.31 | ||
| EV/EBITDA | 16.06 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates SMPL does not grow enough to justify the current Price/Earnings ratio.
SMPL has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)2.75
PEG (5Y)0.7
EPS Next 2Y8.99%
EPS Next 3Y8.47%
5. Dividend
5.1 Amount
No dividends for SMPL!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
SIMPLY GOOD FOODS CO/THE
NASDAQ:SMPL (1/8/2025, 8:00:01 PM)
After market: 35.86 +0.02 (+0.06%)35.84
-0.92 (-2.5%)
Chartmill FA Rating
GICS SectorConsumer Staples
GICS IndustryGroupFood, Beverage & Tobacco
GICS IndustryFood Products
Earnings (Last)
Earnings (Next)
Inst Owners91.39%
Inst Owner Change-0.01%
Ins Owners8.46%
Ins Owner Change-5.74%
Market Cap3.62B
Analysts82.35
Price Target39.27 (9.57%)
Short Float %4.56%
Short Ratio4.71
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)0.27%
Min EPS beat(2)-1.08%
Max EPS beat(2)1.62%
EPS beat(4)3
Avg EPS beat(4)1.46%
Min EPS beat(4)-1.08%
Max EPS beat(4)3.44%
EPS beat(8)6
Avg EPS beat(8)2.26%
EPS beat(12)10
Avg EPS beat(12)9.89%
EPS beat(16)14
Avg EPS beat(16)13.94%
Revenue beat(2)0
Avg Revenue beat(2)-2.07%
Min Revenue beat(2)-2.8%
Max Revenue beat(2)-1.34%
Revenue beat(4)0
Avg Revenue beat(4)-2.54%
Min Revenue beat(4)-3.86%
Max Revenue beat(4)-1.34%
Revenue beat(8)0
Avg Revenue beat(8)-2%
Revenue beat(12)4
Avg Revenue beat(12)0.1%
Revenue beat(16)6
Avg Revenue beat(16)1.33%
PT rev (1m)1.32%
PT rev (3m)-2.67%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-0.25%
EPS NY rev (1m)0.05%
EPS NY rev (3m)-1.2%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)5.99%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-1.13%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 18.96 | ||
| Fwd PE | 16.49 | ||
| P/S | 2.72 | ||
| P/FCF | 17.31 | ||
| P/OCF | 16.79 | ||
| P/B | 2.1 | ||
| P/tB | N/A | ||
| EV/EBITDA | 16.06 |
EPS(TTM)1.89
EY5.27%
EPS(NY)2.17
Fwd EY6.07%
FCF(TTM)2.07
FCFY5.78%
OCF(TTM)2.14
OCFY5.96%
SpS13.18
BVpS17.1
TBVpS-1.99
PEG (NY)2.75
PEG (5Y)0.7
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.72% | ||
| ROE | 8.06% | ||
| ROCE | 9.5% | ||
| ROIC | 7.17% | ||
| ROICexc | 7.6% | ||
| ROICexgc | 62.5% | ||
| OM | 16.6% | ||
| PM (TTM) | 10.46% | ||
| GM | 38.43% | ||
| FCFM | 15.72% |
ROA(3y)5.76%
ROA(5y)4.51%
ROE(3y)8.04%
ROE(5y)6.66%
ROIC(3y)7.52%
ROIC(5y)6.79%
ROICexc(3y)7.87%
ROICexc(5y)7.1%
ROICexgc(3y)59.82%
ROICexgc(5y)63.27%
ROCE(3y)9.96%
ROCE(5y)9%
ROICexcg growth 3Y-5.63%
ROICexcg growth 5Y-12.44%
ROICexc growth 3Y1.67%
ROICexc growth 5Y0.74%
OM growth 3Y-2.21%
OM growth 5Y1.61%
PM growth 3Y37.02%
PM growth 5YN/A
GM growth 3Y-1.94%
GM growth 5Y-1.56%
F-Score4
Asset Turnover0.55
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.23 | ||
| Debt/FCF | 1.9 | ||
| Debt/EBITDA | 1.64 | ||
| Cap/Depr | 30.83% | ||
| Cap/Sales | 0.49% | ||
| Interest Coverage | 8.61 | ||
| Cash Conversion | 89.13% | ||
| Profit Quality | 150.19% | ||
| Current Ratio | 4.05 | ||
| Quick Ratio | 2.75 | ||
| Altman-Z | 4.35 |
F-Score4
WACC9%
ROIC/WACC0.8
Cap/Depr(3y)40.33%
Cap/Depr(5y)34.93%
Cap/Sales(3y)0.65%
Cap/Sales(5y)0.59%
Profit Quality(3y)121.88%
Profit Quality(5y)151.58%
High Growth Momentum
Growth
EPS 1Y (TTM)15.24%
EPS 3Y13.25%
EPS 5Y27.18%
EPS Q2Q%13.95%
EPS Next Y6.9%
EPS Next 2Y8.99%
EPS Next 3Y8.47%
EPS Next 5Y6.3%
Revenue 1Y (TTM)7.13%
Revenue growth 3Y9.8%
Revenue growth 5Y20.51%
Sales Q2Q%10.56%
Revenue Next Year9.88%
Revenue Next 2Y7.98%
Revenue Next 3Y7.13%
Revenue Next 5Y6.11%
EBIT growth 1Y7.87%
EBIT growth 3Y7.38%
EBIT growth 5Y22.45%
EBIT Next Year18.23%
EBIT Next 3Y10.17%
EBIT Next 5Y7.11%
FCF growth 1Y31.67%
FCF growth 3Y18.61%
FCF growth 5Y23.78%
OCF growth 1Y26.07%
OCF growth 3Y17.76%
OCF growth 5Y24.2%