SNAP-ON INC (SNA) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:SNA - US8330341012 - Common Stock
353.11 USD
+1.1 (+0.31%)
353.11 USD
0 (0%)
SNA gets a fundamental rating of 7 out of 10. The analysis compared the fundamentals against 132 industry peers in the Machinery industry. SNA scores excellent points on both the profitability and health parts. This is a solid base for a good stock. SNA is not valued too expensively and it also shows a decent growth rate. Finally SNA also has an excellent dividend rating. With these ratings, SNA could be worth investigating further for dividend investing!.
1. Profitability
1.1 Basic Checks
SNA had positive earnings in the past year.
SNA had a positive operating cash flow in the past year.
In the past 5 years SNA has always been profitable.
In the past 5 years SNA always reported a positive cash flow from operatings.
1.2 Ratios
With an excellent Return On Assets value of 12.14%, SNA belongs to the best of the industry, outperforming 86.36% of the companies in the same industry.
SNA has a Return On Equity of 17.43%. This is in the better half of the industry: SNA outperforms 78.79% of its industry peers.
Looking at the Return On Invested Capital, with a value of 13.97%, SNA belongs to the top of the industry, outperforming 85.61% of the companies in the same industry.
Measured over the past 3 years, the Average Return On Invested Capital for SNA is significantly above the industry average of 10.27%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 12.14% | ||
| ROE | 17.43% | ||
| ROIC | 13.97% |
ROA(3y)13.23%
ROA(5y)12.28%
ROE(3y)19.88%
ROE(5y)19.13%
ROIC(3y)15.48%
ROIC(5y)14.92%
1.3 Margins
The Profit Margin of SNA (19.83%) is better than 96.21% of its industry peers.
SNA's Profit Margin has improved in the last couple of years.
SNA has a Operating Margin of 25.80%. This is amongst the best in the industry. SNA outperforms 96.97% of its industry peers.
In the last couple of years the Operating Margin of SNA has grown nicely.
Looking at the Gross Margin, with a value of 51.81%, SNA belongs to the top of the industry, outperforming 93.94% of the companies in the same industry.
In the last couple of years the Gross Margin of SNA has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 25.8% | ||
| PM (TTM) | 19.83% | ||
| GM | 51.81% |
OM growth 3Y3.13%
OM growth 5Y2.7%
PM growth 3Y4.65%
PM growth 5Y3.69%
GM growth 3Y-0.94%
GM growth 5Y-0.63%
2. Health
2.1 Basic Checks
SNA has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
SNA has less shares outstanding than it did 1 year ago.
The number of shares outstanding for SNA has been reduced compared to 5 years ago.
SNA has a better debt/assets ratio than last year.
2.2 Solvency
SNA has an Altman-Z score of 7.29. This indicates that SNA is financially healthy and has little risk of bankruptcy at the moment.
SNA has a better Altman-Z score (7.29) than 89.39% of its industry peers.
SNA has a debt to FCF ratio of 1.18. This is a very positive value and a sign of high solvency as it would only need 1.18 years to pay back of all of its debts.
SNA has a Debt to FCF ratio of 1.18. This is amongst the best in the industry. SNA outperforms 87.12% of its industry peers.
SNA has a Debt/Equity ratio of 0.20. This is a healthy value indicating a solid balance between debt and equity.
SNA's Debt to Equity ratio of 0.20 is fine compared to the rest of the industry. SNA outperforms 71.21% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.2 | ||
| Debt/FCF | 1.18 | ||
| Altman-Z | 7.29 |
ROIC/WACC1.5
WACC9.33%
2.3 Liquidity
A Current Ratio of 4.40 indicates that SNA has no problem at all paying its short term obligations.
Looking at the Current ratio, with a value of 4.40, SNA belongs to the top of the industry, outperforming 89.39% of the companies in the same industry.
SNA has a Quick Ratio of 3.37. This indicates that SNA is financially healthy and has no problem in meeting its short term obligations.
With an excellent Quick ratio value of 3.37, SNA belongs to the best of the industry, outperforming 90.91% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 4.4 | ||
| Quick Ratio | 3.37 |
3. Growth
3.1 Past
SNA shows a slight negative growth in Earnings Per Share. In the last year, the EPS has decreased by -1.04%.
Measured over the past years, SNA shows a quite strong growth in Earnings Per Share. The EPS has been growing by 9.53% on average per year.
SNA shows a small growth in Revenue. In the last year, the Revenue has grown by 0.24%.
The Revenue has been growing slightly by 4.66% on average over the past years.
EPS 1Y (TTM)-1.04%
EPS 3Y9.01%
EPS 5Y9.53%
EPS Q2Q%6.81%
Revenue 1Y (TTM)0.24%
Revenue growth 3Y3.54%
Revenue growth 5Y4.66%
Sales Q2Q%3.82%
3.2 Future
The Earnings Per Share is expected to grow by 8.26% on average over the next years. This is quite good.
SNA is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 4.36% yearly.
EPS Next Y0.07%
EPS Next 2Y2.96%
EPS Next 3Y4.27%
EPS Next 5Y8.26%
Revenue Next Year0.55%
Revenue Next 2Y1.97%
Revenue Next 3Y2.87%
Revenue Next 5Y4.36%
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 stable: in the next years the growth will be about the same than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 18.52, SNA is valued on the expensive side.
SNA's Price/Earnings ratio is a bit cheaper when compared to the industry. SNA is cheaper than 75.76% of the companies in the same industry.
SNA's Price/Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 26.59.
A Price/Forward Earnings ratio of 17.22 indicates a rather expensive valuation of SNA.
72.73% of the companies in the same industry are more expensive than SNA, based on the Price/Forward Earnings ratio.
SNA is valuated rather cheaply when we compare the Price/Forward Earnings ratio to 24.03, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 18.52 | ||
| Fwd PE | 17.22 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of SNA indicates a somewhat cheap valuation: SNA is cheaper than 66.67% of the companies listed in the same industry.
75.76% of the companies in the same industry are more expensive than SNA, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 17.89 | ||
| EV/EBITDA | 12.69 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
The excellent profitability rating of SNA may justify a higher PE ratio.
PEG (NY)268.71
PEG (5Y)1.94
EPS Next 2Y2.96%
EPS Next 3Y4.27%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 2.82%, SNA has a reasonable but not impressive dividend return.
SNA's Dividend Yield is rather good when compared to the industry average which is at 1.04. SNA pays more dividend than 91.67% of the companies in the same industry.
SNA's Dividend Yield is rather good when compared to the S&P500 average which is at 1.87.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.82% |
5.2 History
The dividend of SNA is nicely growing with an annual growth rate of 21.21%!
SNA has paid a dividend for at least 10 years, which is a reliable track record.
SNA has not decreased its dividend for at least 10 years, so it has a reliable track record of non decreasing dividend.
Dividend Growth(5Y)21.21%
Div Incr Years15
Div Non Decr Years21
5.3 Sustainability
SNA pays out 44.15% of its income as dividend. This is a bit on the high side, but may be sustainable.
SNA's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP44.15%
EPS Next 2Y2.96%
EPS Next 3Y4.27%
353.11
+1.1 (+0.31%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryMachinery
Earnings (Last)
Earnings (Next)
Inst Owners94.89%
Inst Owner Change-5.07%
Ins Owners2.29%
Ins Owner Change1.76%
Market Cap18.37B
Revenue(TTM)5.12B
Net Income(TTM)1.01B
Analysts70.67
Price TargetN/A
Short Float %4.39%
Short Ratio6.88
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.82% |
Yearly Dividend7.74
Dividend Growth(5Y)21.21%
DP44.15%
Div Incr Years15
Div Non Decr Years21
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)4.1%
Min EPS beat(2)0.89%
Max EPS beat(2)7.31%
EPS beat(4)2
Avg EPS beat(4)0.05%
Min EPS beat(4)-7.21%
Max EPS beat(4)7.31%
EPS beat(8)6
Avg EPS beat(8)0.68%
EPS beat(12)10
Avg EPS beat(12)2.16%
EPS beat(16)14
Avg EPS beat(16)3.57%
Revenue beat(2)2
Avg Revenue beat(2)1.42%
Min Revenue beat(2)0.98%
Max Revenue beat(2)1.86%
Revenue beat(4)2
Avg Revenue beat(4)-0.87%
Min Revenue beat(4)-5.46%
Max Revenue beat(4)1.86%
Revenue beat(8)2
Avg Revenue beat(8)-1.45%
Revenue beat(12)5
Avg Revenue beat(12)0.54%
Revenue beat(16)9
Avg Revenue beat(16)2.94%
PT rev (1m)3.76%
PT rev (3m)6.63%
EPS NQ rev (1m)0%
EPS NQ rev (3m)0.74%
EPS NY rev (1m)0.04%
EPS NY rev (3m)2.47%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)1.06%
Revenue NY rev (1m)0%
Revenue NY rev (3m)0.86%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 18.52 | ||
| Fwd PE | 17.22 | ||
| P/S | 3.59 | ||
| P/FCF | 17.89 | ||
| P/OCF | 16.59 | ||
| P/B | 3.16 | ||
| P/tB | 4.14 | ||
| EV/EBITDA | 12.69 |
EPS(TTM)19.07
EY5.4%
EPS(NY)20.5
Fwd EY5.81%
FCF(TTM)19.74
FCFY5.59%
OCF(TTM)21.29
OCFY6.03%
SpS98.35
BVpS111.88
TBVpS85.33
PEG (NY)268.71
PEG (5Y)1.94
Graham Number219.1
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 12.14% | ||
| ROE | 17.43% | ||
| ROCE | 17.94% | ||
| ROIC | 13.97% | ||
| ROICexc | 17.65% | ||
| ROICexgc | 23.13% | ||
| OM | 25.8% | ||
| PM (TTM) | 19.83% | ||
| GM | 51.81% | ||
| FCFM | 20.07% |
ROA(3y)13.23%
ROA(5y)12.28%
ROE(3y)19.88%
ROE(5y)19.13%
ROIC(3y)15.48%
ROIC(5y)14.92%
ROICexc(3y)18.4%
ROICexc(5y)17.68%
ROICexgc(3y)24.34%
ROICexgc(5y)23.83%
ROCE(3y)19.9%
ROCE(5y)19.19%
ROICexgc growth 3Y1.01%
ROICexgc growth 5Y4.01%
ROICexc growth 3Y3.09%
ROICexc growth 5Y4.16%
OM growth 3Y3.13%
OM growth 5Y2.7%
PM growth 3Y4.65%
PM growth 5Y3.69%
GM growth 3Y-0.94%
GM growth 5Y-0.63%
F-Score7
Asset Turnover0.61
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.2 | ||
| Debt/FCF | 1.18 | ||
| Debt/EBITDA | 0.84 | ||
| Cap/Depr | 82.67% | ||
| Cap/Sales | 1.58% | ||
| Interest Coverage | 29.86 | ||
| Cash Conversion | 78.1% | ||
| Profit Quality | 101.2% | ||
| Current Ratio | 4.4 | ||
| Quick Ratio | 3.37 | ||
| Altman-Z | 7.29 |
F-Score7
WACC9.33%
ROIC/WACC1.5
Cap/Depr(3y)88.3%
Cap/Depr(5y)79.93%
Cap/Sales(3y)1.74%
Cap/Sales(5y)1.68%
Profit Quality(3y)92.74%
Profit Quality(5y)107.58%
High Growth Momentum
Growth
EPS 1Y (TTM)-1.04%
EPS 3Y9.01%
EPS 5Y9.53%
EPS Q2Q%6.81%
EPS Next Y0.07%
EPS Next 2Y2.96%
EPS Next 3Y4.27%
EPS Next 5Y8.26%
Revenue 1Y (TTM)0.24%
Revenue growth 3Y3.54%
Revenue growth 5Y4.66%
Sales Q2Q%3.82%
Revenue Next Year0.55%
Revenue Next 2Y1.97%
Revenue Next 3Y2.87%
Revenue Next 5Y4.36%
EBIT growth 1Y-3.09%
EBIT growth 3Y6.79%
EBIT growth 5Y7.48%
EBIT Next Year6.34%
EBIT Next 3Y6.06%
EBIT Next 5Y3.26%
FCF growth 1Y5.68%
FCF growth 3Y8.15%
FCF growth 5Y14.54%
OCF growth 1Y3.67%
OCF growth 3Y8%
OCF growth 5Y12.53%
SNAP-ON INC / SNA FAQ
Can you provide the ChartMill fundamental rating for SNAP-ON INC?
ChartMill assigns a fundamental rating of 7 / 10 to SNA.
What is the valuation status of SNAP-ON INC (SNA) stock?
ChartMill assigns a valuation rating of 5 / 10 to SNAP-ON INC (SNA). This can be considered as Fairly Valued.
What is the profitability of SNA stock?
SNAP-ON INC (SNA) has a profitability rating of 9 / 10.
Can you provide the financial health for SNA stock?
The financial health rating of SNAP-ON INC (SNA) is 9 / 10.
Is the dividend of SNAP-ON INC sustainable?
The dividend rating of SNAP-ON INC (SNA) is 7 / 10 and the dividend payout ratio is 44.15%.