SNAP-ON INC (SNA)
US8330341012 - Common Stock
Taking everything into account, SNA scores 7 out of 10 in our fundamental rating. SNA was compared to 131 industry peers in the Machinery industry. Both the health and profitability get an excellent rating, making SNA a very profitable company, without any liquidiy or solvency issues. SNA has a decent growth rate and is not valued too expensively. Finally SNA also has an excellent dividend rating. This makes SNA very considerable for dividend investing!
1. Profitability
1.1 Basic Checks
SNA had positive earnings in the past year.
In the past year SNA had a positive cash flow from operations.
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
SNA has a better Return On Assets (13.09%) than 90.55% of its industry peers.
SNA's Return On Equity of 19.02% is amongst the best of the industry. SNA outperforms 80.31% of its industry peers.
SNA has a Return On Invested Capital of 15.11%. This is amongst the best in the industry. SNA outperforms 85.83% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for SNA is above the industry average of 11.01%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 13.09% | ||
| ROE | 19.02% | ||
| ROIC | 15.11% |
ROA(3y)12.87%
ROA(5y)12.07%
ROE(3y)19.97%
ROE(5y)19.33%
ROIC(3y)15.36%
ROIC(5y)14.82%
1.3 Margins
SNA's Profit Margin of 20.40% is amongst the best of the industry. SNA outperforms 96.85% of its industry peers.
In the last couple of years the Profit Margin of SNA has grown nicely.
SNA's Operating Margin of 26.69% is amongst the best of the industry. SNA outperforms 98.43% of its industry peers.
In the last couple of years the Operating Margin of SNA has grown nicely.
SNA has a Gross Margin of 51.69%. This is amongst the best in the industry. SNA outperforms 94.49% of its industry peers.
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 | 26.69% | ||
| PM (TTM) | 20.4% | ||
| GM | 51.69% |
OM growth 3Y3.67%
OM growth 5Y1.82%
PM growth 3Y7.56%
PM growth 5Y3.45%
GM growth 3Y-1.44%
GM growth 5Y-1.04%
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.
The number of shares outstanding for SNA has been reduced compared to 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
An Altman-Z score of 7.57 indicates that SNA is not in any danger for bankruptcy at the moment.
SNA has a better Altman-Z score (7.57) than 85.83% of its industry peers.
The Debt to FCF ratio of SNA is 1.06, which is an excellent value as it means it would take SNA, only 1.06 years of fcf income to pay off all of its debts.
SNA has a better Debt to FCF ratio (1.06) than 90.55% of its industry peers.
A Debt/Equity ratio of 0.22 indicates that SNA is not too dependend on debt financing.
SNA's Debt to Equity ratio of 0.22 is fine compared to the rest of the industry. SNA outperforms 68.50% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.22 | ||
| Debt/FCF | 1.06 | ||
| Altman-Z | 7.57 |
ROIC/WACC1.66
WACC9.09%
2.3 Liquidity
SNA has a Current Ratio of 4.18. This indicates that SNA is financially healthy and has no problem in meeting its short term obligations.
The Current ratio of SNA (4.18) is better than 88.98% of its industry peers.
SNA has a Quick Ratio of 3.14. This indicates that SNA is financially healthy and has no problem in meeting its short term obligations.
SNA has a better Quick ratio (3.14) than 88.19% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 4.18 | ||
| Quick Ratio | 3.14 |
3. Growth
3.1 Past
SNA shows a small growth in Earnings Per Share. In the last year, the EPS has grown by 4.61%.
The Earnings Per Share has been growing by 9.69% on average over the past years. This is quite good.
SNA shows a small growth in Revenue. In the last year, the Revenue has grown by 0.88%.
Measured over the past years, SNA shows a small growth in Revenue. The Revenue has been growing by 4.65% on average per year.
EPS 1Y (TTM)4.61%
EPS 3Y17.26%
EPS 5Y9.69%
EPS Q2Q%4.21%
Revenue 1Y (TTM)0.88%
Revenue growth 3Y9.02%
Revenue growth 5Y4.65%
Sales Q2Q%-1.06%
3.2 Future
The Earnings Per Share is expected to grow by 4.87% on average over the next years.
SNA is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 3.73% yearly.
EPS Next Y4.59%
EPS Next 2Y4.1%
EPS Next 3Y4.83%
EPS Next 5Y4.87%
Revenue Next Year-0.36%
Revenue Next 2Y1.73%
Revenue Next 3Y2.56%
Revenue Next 5Y3.73%
3.3 Evolution
The EPS growth rate is decreasing: in the next years the growth will be less 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 stable.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 18.99, which indicates a rather expensive current valuation of SNA.
Based on the Price/Earnings ratio, SNA is valued a bit cheaper than the industry average as 70.08% of the companies are valued more expensively.
SNA's Price/Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 29.20.
SNA is valuated rather expensively with a Price/Forward Earnings ratio of 18.01.
70.08% of the companies in the same industry are more expensive than SNA, based on the Price/Forward Earnings ratio.
Compared to an average S&P500 Price/Forward Earnings ratio of 24.00, SNA is valued a bit cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 18.99 | ||
| Fwd PE | 18.01 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, SNA is valued a bit cheaper than 62.99% of the companies in the same industry.
Based on the Price/Free Cash Flow ratio, SNA is valued cheaper than 82.68% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 16.94 | ||
| EV/EBITDA | 12.9 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates SNA does not grow enough to justify the current Price/Earnings ratio.
The excellent profitability rating of SNA may justify a higher PE ratio.
PEG (NY)4.13
PEG (5Y)1.96
EPS Next 2Y4.1%
EPS Next 3Y4.83%
5. Dividend
5.1 Amount
SNA has a Yearly Dividend Yield of 2.39%. Purely for dividend investing, there may be better candidates out there.
SNA's Dividend Yield is rather good when compared to the industry average which is at 1.54. SNA pays more dividend than 91.34% of the companies in the same industry.
Compared to an average S&P500 Dividend Yield of 2.23, SNA has a dividend comparable with the average S&P500 company.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.39% |
5.2 History
On average, the dividend of SNA grows each year by 25.04%, which is quite nice.
SNA has paid a dividend for at least 10 years, which is a reliable track record.
SNA has not decreased their dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)25.04%
Div Incr Years14
Div Non Decr Years20
5.3 Sustainability
37.66% of the earnings are spent on dividend by SNA. This is a low number and sustainable payout ratio.
The dividend of SNA is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP37.66%
EPS Next 2Y4.1%
EPS Next 3Y4.83%
SNAP-ON INC
NYSE:SNA (11/22/2024, 8:05:32 PM)
After market: 365.97 0 (0%)365.97
+4.57 (+1.26%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryMachinery
Earnings (Last)
Earnings (Next)
Inst Owners
Inst Owner Change
Ins Owners
Ins Owner Change
Market Cap19.22B
Analysts
Price Target
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.39% |
Dividend Growth(5Y)
DP
Div Incr Years
Div Non Decr Years
Ex-Date
Surprises & Revisions
EPS beat(2)
Avg EPS beat(2)
Min EPS beat(2)
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EPS beat(4)
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EPS beat(8)
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EPS beat(16)
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Revenue beat(2)
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PT rev (1m)
PT rev (3m)
EPS NQ rev (1m)
EPS NQ rev (3m)
EPS NY rev (1m)
EPS NY rev (3m)
Revenue NQ rev (1m)
Revenue NQ rev (3m)
Revenue NY rev (1m)
Revenue NY rev (3m)
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 18.99 | ||
| Fwd PE | 18.01 | ||
| P/S | |||
| P/FCF | |||
| P/OCF | |||
| P/B | |||
| P/tB | |||
| EV/EBITDA |
EPS(TTM)
EY
EPS(NY)
Fwd EY
FCF(TTM)
FCFY
OCF(TTM)
OCFY
SpS
BVpS
TBVpS
PEG (NY)4.13
PEG (5Y)1.96
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 13.09% | ||
| ROE | 19.02% | ||
| ROCE | |||
| ROIC | |||
| ROICexc | |||
| ROICexgc | |||
| OM | 26.69% | ||
| PM (TTM) | 20.4% | ||
| GM | 51.69% | ||
| FCFM |
ROA(3y)
ROA(5y)
ROE(3y)
ROE(5y)
ROIC(3y)
ROIC(5y)
ROICexc(3y)
ROICexc(5y)
ROICexgc(3y)
ROICexgc(5y)
ROCE(3y)
ROCE(5y)
ROICexcg growth 3Y
ROICexcg growth 5Y
ROICexc growth 3Y
ROICexc growth 5Y
OM growth 3Y
OM growth 5Y
PM growth 3Y
PM growth 5Y
GM growth 3Y
GM growth 5Y
F-Score
Asset Turnover0.64
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.22 | ||
| Debt/FCF | |||
| Debt/EBITDA | |||
| Cap/Depr | |||
| Cap/Sales | |||
| Interest Coverage | |||
| Cash Conversion | |||
| Profit Quality | |||
| Current Ratio | 4.18 | ||
| Quick Ratio | 3.14 | ||
| Altman-Z |
F-Score
WACC
ROIC/WACC
Cap/Depr(3y)
Cap/Depr(5y)
Cap/Sales(3y)
Cap/Sales(5y)
Profit Quality(3y)
Profit Quality(5y)
High Growth Momentum
Growth
EPS 1Y (TTM)4.61%
EPS 3Y17.26%
EPS 5Y
EPS Q2Q%
EPS Next Y4.59%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)0.88%
Revenue growth 3Y9.02%
Revenue growth 5Y
Sales Q2Q%
Revenue Next Year
Revenue Next 2Y
Revenue Next 3Y
Revenue Next 5Y
EBIT growth 1Y
EBIT growth 3Y
EBIT growth 5Y
EBIT Next Year
EBIT Next 3Y
EBIT Next 5Y
FCF growth 1Y
FCF growth 3Y
FCF growth 5Y
OCF growth 1Y
OCF growth 3Y
OCF growth 5Y