SNAP-ON INC (SNA) Stock Fundamental Analysis
USA - NYSE:SNA - US8330341012 - Common Stock
331.03 USD
-2.98 (-0.89%)
331.37 USD
+0.34 (+0.1%)
Overall SNA gets a fundamental rating of 7 out of 10. We evaluated SNA against 128 industry peers in the Machinery industry. SNA has outstanding health and profitabily ratings, belonging to the best of the industry. This is a solid base for any company. SNA has a valuation in line with the averages, but on the other hand it scores bad on growth.
1. Profitability
1.1 Basic Checks
In the past year SNA was profitable.
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
SNA has a Return On Assets of 12.19%. This is amongst the best in the industry. SNA outperforms 89.06% of its industry peers.
SNA's Return On Equity of 17.50% is amongst the best of the industry. SNA outperforms 80.47% of its industry peers.
With an excellent Return On Invested Capital value of 13.91%, SNA belongs to the best of the industry, outperforming 82.81% 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 10.02%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 12.19% | ||
| ROE | 17.5% | ||
| ROIC | 13.91% |
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
SNA has a better Profit Margin (19.72%) than 96.09% of its industry peers.
In the last couple of years the Profit Margin of SNA has grown nicely.
With an excellent Operating Margin value of 25.57%, SNA belongs to the best of the industry, outperforming 97.66% of the companies in the same industry.
In the last couple of years the Operating Margin of SNA has grown nicely.
Looking at the Gross Margin, with a value of 51.96%, SNA belongs to the top of the industry, outperforming 93.75% 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 | 25.57% | ||
| PM (TTM) | 19.72% | ||
| GM | 51.96% |
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.
Compared to 1 year ago, SNA has less shares outstanding
The number of shares outstanding for SNA has been reduced compared to 5 years ago.
The debt/assets ratio for SNA has been reduced compared to a year ago.
2.2 Solvency
SNA has an Altman-Z score of 7.16. This indicates that SNA is financially healthy and has little risk of bankruptcy at the moment.
SNA's Altman-Z score of 7.16 is amongst the best of the industry. SNA outperforms 89.06% of its industry peers.
The Debt to FCF ratio of SNA is 1.18, which is an excellent value as it means it would take SNA, only 1.18 years of fcf income to pay off all of its debts.
SNA's Debt to FCF ratio of 1.18 is amongst the best of the industry. SNA outperforms 85.94% of its industry peers.
A Debt/Equity ratio of 0.21 indicates that SNA is not too dependend on debt financing.
SNA has a better Debt to Equity ratio (0.21) than 71.88% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.21 | ||
| Debt/FCF | 1.18 | ||
| Altman-Z | 7.16 |
ROIC/WACC1.42
WACC9.77%
2.3 Liquidity
A Current Ratio of 4.48 indicates that SNA has no problem at all paying its short term obligations.
The Current ratio of SNA (4.48) is better than 89.06% of its industry peers.
SNA has a Quick Ratio of 3.42. This indicates that SNA is financially healthy and has no problem in meeting its short term obligations.
SNA has a better Quick ratio (3.42) than 91.41% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 4.48 | ||
| Quick Ratio | 3.42 |
3. Growth
3.1 Past
SNA shows a slight negative growth in Earnings Per Share. In the last year, the EPS has decreased by -1.73%.
The Earnings Per Share has been growing by 9.53% on average over the past years. This is quite good.
Looking at the last year, SNA shows a decrease in Revenue. The Revenue has decreased by -0.76% in the last year.
Measured over the past years, SNA shows a small growth in Revenue. The Revenue has been growing by 4.66% on average per year.
EPS 1Y (TTM)-1.73%
EPS 3Y9.01%
EPS 5Y9.53%
EPS Q2Q%-6.9%
Revenue 1Y (TTM)-0.76%
Revenue growth 3Y3.54%
Revenue growth 5Y4.66%
Sales Q2Q%0%
3.2 Future
Based on estimates for the next years, SNA will show a small growth in Earnings Per Share. The EPS will grow by 4.29% on average per year.
Based on estimates for the next years, SNA will show a small growth in Revenue. The Revenue will grow by 2.88% on average per year.
EPS Next Y-2.35%
EPS Next 2Y2.65%
EPS Next 3Y4.42%
EPS Next 5Y4.29%
Revenue Next Year-0.31%
Revenue Next 2Y1.7%
Revenue Next 3Y3.56%
Revenue Next 5Y2.88%
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 decreasing.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 17.65 indicates a rather expensive valuation of SNA.
Based on the Price/Earnings ratio, SNA is valued a bit cheaper than the industry average as 74.22% 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 27.20.
SNA is valuated correctly with a Price/Forward Earnings ratio of 16.24.
71.88% of the companies in the same industry are more expensive than SNA, based on the Price/Forward Earnings ratio.
SNA's Price/Forward Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 22.71.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 17.65 | ||
| Fwd PE | 16.24 |
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 64.06% of the companies listed in the same industry.
77.34% 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 | 16.89 | ||
| EV/EBITDA | 12.32 |
4.3 Compensation for Growth
SNA has an outstanding profitability rating, which may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)1.85
EPS Next 2Y2.65%
EPS Next 3Y4.42%
5. Dividend
5.1 Amount
SNA has a Yearly Dividend Yield of 2.58%. 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 1.74. SNA pays more dividend than 89.84% of the companies in the same industry.
SNA's Dividend Yield is comparable with the S&P500 average which is at 2.38.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.58% |
5.2 History
On average, the dividend of SNA grows each year by 21.21%, 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)21.21%
Div Incr Years15
Div Non Decr Years21
5.3 Sustainability
43.42% of the earnings are spent on dividend by SNA. 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.
DP43.42%
EPS Next 2Y2.65%
EPS Next 3Y4.42%
331.03
-2.98 (-0.89%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryMachinery
Earnings (Last)
Earnings (Next)
Inst Owners94.97%
Inst Owner Change0.84%
Ins Owners2.26%
Ins Owner Change2.9%
Market Cap17.27B
Analysts70.67
Price Target346.02 (4.53%)
Short Float %4.93%
Short Ratio8.67
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.58% |
Yearly Dividend7.74
Dividend Growth(5Y)21.21%
DP43.42%
Div Incr Years15
Div Non Decr Years21
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-3.16%
Min EPS beat(2)-7.21%
Max EPS beat(2)0.89%
EPS beat(4)2
Avg EPS beat(4)-1.41%
Min EPS beat(4)-7.21%
Max EPS beat(4)1.46%
EPS beat(8)6
Avg EPS beat(8)-0.16%
EPS beat(12)10
Avg EPS beat(12)2.06%
EPS beat(16)14
Avg EPS beat(16)3.4%
Revenue beat(2)1
Avg Revenue beat(2)-2.24%
Min Revenue beat(2)-5.46%
Max Revenue beat(2)0.98%
Revenue beat(4)1
Avg Revenue beat(4)-1.8%
Min Revenue beat(4)-5.46%
Max Revenue beat(4)0.98%
Revenue beat(8)2
Avg Revenue beat(8)-1.58%
Revenue beat(12)5
Avg Revenue beat(12)1.2%
Revenue beat(16)9
Avg Revenue beat(16)3.49%
PT rev (1m)0.18%
PT rev (3m)2.16%
EPS NQ rev (1m)0.16%
EPS NQ rev (3m)0.8%
EPS NY rev (1m)-0.07%
EPS NY rev (3m)-0.26%
Revenue NQ rev (1m)0.17%
Revenue NQ rev (3m)1.21%
Revenue NY rev (1m)0.17%
Revenue NY rev (3m)0.59%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 17.65 | ||
| Fwd PE | 16.24 | ||
| P/S | 3.41 | ||
| P/FCF | 16.89 | ||
| P/OCF | 15.65 | ||
| P/B | 3.02 | ||
| P/tB | 3.98 | ||
| EV/EBITDA | 12.32 |
EPS(TTM)18.75
EY5.66%
EPS(NY)20.38
Fwd EY6.16%
FCF(TTM)19.6
FCFY5.92%
OCF(TTM)21.15
OCFY6.39%
SpS97.22
BVpS109.58
TBVpS83.16
PEG (NY)N/A
PEG (5Y)1.85
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 12.19% | ||
| ROE | 17.5% | ||
| ROCE | 17.86% | ||
| ROIC | 13.91% | ||
| ROICexc | 17.4% | ||
| ROICexgc | 22.82% | ||
| OM | 25.57% | ||
| PM (TTM) | 19.72% | ||
| GM | 51.96% | ||
| FCFM | 20.16% |
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%
ROICexcg growth 3Y1.01%
ROICexcg 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 Turnover0.62
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.21 | ||
| Debt/FCF | 1.18 | ||
| Debt/EBITDA | 0.85 | ||
| Cap/Depr | 83.35% | ||
| Cap/Sales | 1.6% | ||
| Interest Coverage | 29.34 | ||
| Cash Conversion | 79.15% | ||
| Profit Quality | 102.23% | ||
| Current Ratio | 4.48 | ||
| Quick Ratio | 3.42 | ||
| Altman-Z | 7.16 |
F-Score7
WACC9.77%
ROIC/WACC1.42
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)-1.73%
EPS 3Y9.01%
EPS 5Y9.53%
EPS Q2Q%-6.9%
EPS Next Y-2.35%
EPS Next 2Y2.65%
EPS Next 3Y4.42%
EPS Next 5Y4.29%
Revenue 1Y (TTM)-0.76%
Revenue growth 3Y3.54%
Revenue growth 5Y4.66%
Sales Q2Q%0%
Revenue Next Year-0.31%
Revenue Next 2Y1.7%
Revenue Next 3Y3.56%
Revenue Next 5Y2.88%
EBIT growth 1Y-4.13%
EBIT growth 3Y6.79%
EBIT growth 5Y7.48%
EBIT Next Year-0.22%
EBIT Next 3Y3.67%
EBIT Next 5Y-1.6%
FCF growth 1Y24.53%
FCF growth 3Y8.15%
FCF growth 5Y14.54%
OCF growth 1Y20.93%
OCF growth 3Y8%
OCF growth 5Y12.53%