SP PLUS CORP (SP) Stock Fundamental Analysis
NASDAQ:SP - Nasdaq - US78469C1036 - Common Stock - Currency: USD
We assign a fundamental rating of 4 out of 10 to SP. SP was compared to 84 industry peers in the Commercial Services & Supplies industry. There are concerns on the financial health of SP while its profitability can be described as average. SP has a correct valuation and a medium growth rate.
1. Profitability
1.1 Basic Checks
In the past year SP was profitable.
SP had a positive operating cash flow in the past year.
Of the past 5 years SP 4 years were profitable.
Each year in the past 5 years SP had a positive operating cash flow.
1.2 Ratios
With a decent Return On Assets value of 2.65%, SP is doing good in the industry, outperforming 63.10% of the companies in the same industry.
SP's Return On Equity of 11.63% is fine compared to the rest of the industry. SP outperforms 73.81% of its industry peers.
With a decent Return On Invested Capital value of 8.70%, SP is doing good in the industry, outperforming 78.57% of the companies in the same industry.
SP had an Average Return On Invested Capital over the past 3 years of 7.88%. This is below the industry average of 10.12%.
The last Return On Invested Capital (8.70%) for SP is above the 3 year average (7.88%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.65% | ||
| ROE | 11.63% | ||
| ROIC | 8.7% |
ROA(3y)3.19%
ROA(5y)-0.46%
ROE(3y)15.55%
ROE(5y)-6.94%
ROIC(3y)7.88%
ROIC(5y)6.28%
1.3 Margins
SP's Profit Margin of 1.68% is in line compared to the rest of the industry. SP outperforms 50.00% of its industry peers.
SP's Profit Margin has declined in the last couple of years.
The Operating Margin of SP (5.43%) is comparable to the rest of the industry.
SP's Operating Margin has been stable in the last couple of years.
SP has a worse Gross Margin (14.26%) than 76.19% of its industry peers.
SP's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 5.43% | ||
| PM (TTM) | 1.68% | ||
| GM | 14.26% |
OM growth 3Y40.67%
OM growth 5Y-1.13%
PM growth 3YN/A
PM growth 5Y-13.59%
GM growth 3Y6.65%
GM growth 5Y2.57%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so SP is still creating some value.
SP has about the same amout of shares outstanding than it did 1 year ago.
Compared to 5 years ago, SP has less shares outstanding
Compared to 1 year ago, SP has an improved debt to assets ratio.
2.2 Solvency
SP has an Altman-Z score of 2.61. This is not the best score and indicates that SP is in the grey zone with still only limited risk for bankruptcy at the moment.
The Altman-Z score of SP (2.61) is comparable to the rest of the industry.
SP has a debt to FCF ratio of 8.26. This is a slightly negative value and a sign of low solvency as SP would need 8.26 years to pay back of all of its debts.
Looking at the Debt to FCF ratio, with a value of 8.26, SP is in line with its industry, outperforming 53.57% of the companies in the same industry.
SP has a Debt/Equity ratio of 1.27. This is a high value indicating a heavy dependency on external financing.
SP has a Debt to Equity ratio of 1.27. This is in the lower half of the industry: SP underperforms 71.43% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.27 | ||
| Debt/FCF | 8.26 | ||
| Altman-Z | 2.61 |
ROIC/WACC1.03
WACC8.49%
2.3 Liquidity
A Current Ratio of 0.65 indicates that SP may have some problems paying its short term obligations.
SP has a Current ratio of 0.65. This is amonst the worse of the industry: SP underperforms 90.48% of its industry peers.
A Quick Ratio of 0.65 indicates that SP may have some problems paying its short term obligations.
With a Quick ratio value of 0.65, SP is not doing good in the industry: 86.90% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.65 | ||
| Quick Ratio | 0.65 |
3. Growth
3.1 Past
The Earnings Per Share has been growing slightly by 1.09% over the past year.
The Earnings Per Share has been growing slightly by 3.37% on average over the past years.
Looking at the last year, SP shows a quite strong growth in Revenue. The Revenue has grown by 11.04% in the last year.
SP shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 3.95% yearly.
EPS 1Y (TTM)1.09%
EPS 3Y66.11%
EPS 5Y3.37%
EPS Q2Q%5.17%
Revenue 1Y (TTM)11.04%
Revenue growth 3Y17.92%
Revenue growth 5Y3.95%
Sales Q2Q%2.78%
3.2 Future
SP is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 21.32% yearly.
SP is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 6.17% yearly.
EPS Next Y25.1%
EPS Next 2Y21.32%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year5.93%
Revenue Next 2Y6.17%
Revenue Next 3YN/A
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
SP is valuated rather expensively with a Price/Earnings ratio of 19.42.
Compared to the rest of the industry, the Price/Earnings ratio of SP indicates a somewhat cheap valuation: SP is cheaper than 71.43% of the companies listed in the same industry.
When comparing the Price/Earnings ratio of SP to the average of the S&P500 Index (29.62), we can say SP is valued slightly cheaper.
Based on the Price/Forward Earnings ratio of 13.34, the valuation of SP can be described as correct.
Based on the Price/Forward Earnings ratio, SP is valued a bit cheaper than 77.38% of the companies in the same industry.
SP is valuated rather cheaply when we compare the Price/Forward Earnings ratio to 22.70, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 19.42 | ||
| Fwd PE | 13.34 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, SP is valued a bit cheaper than the industry average as 61.90% of the companies are valued more expensively.
66.67% of the companies in the same industry are more expensive than SP, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 25.21 | ||
| EV/EBITDA | 10.38 |
4.3 Compensation for Growth
SP's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
SP's earnings are expected to grow with 21.32% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.77
PEG (5Y)5.76
EPS Next 2Y21.32%
EPS Next 3YN/A
5. Dividend
5.1 Amount
No dividends for SP!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
53.99
+0.02 (+0.04%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCommercial & Professional Services
GICS IndustryCommercial Services & Supplies
Earnings (Last)
Earnings (Next)
Inst Owners8.01%
Inst Owner Change-5.78%
Ins Owners10.72%
Ins Owner Change0%
Market Cap1.07B
Analysts42
Price Target65.28 (20.91%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-21.54%
Min EPS beat(2)-31.47%
Max EPS beat(2)-11.61%
EPS beat(4)2
Avg EPS beat(4)-6.76%
Min EPS beat(4)-31.47%
Max EPS beat(4)10.96%
EPS beat(8)4
Avg EPS beat(8)-3.63%
EPS beat(12)7
Avg EPS beat(12)10.24%
EPS beat(16)9
Avg EPS beat(16)399.76%
Revenue beat(2)0
Avg Revenue beat(2)-6.78%
Min Revenue beat(2)-7.51%
Max Revenue beat(2)-6.05%
Revenue beat(4)2
Avg Revenue beat(4)-3.1%
Min Revenue beat(4)-7.51%
Max Revenue beat(4)1%
Revenue beat(8)5
Avg Revenue beat(8)35.21%
Revenue beat(12)9
Avg Revenue beat(12)58.57%
Revenue beat(16)13
Avg Revenue beat(16)63.41%
PT rev (1m)0%
PT rev (3m)0%
EPS NQ rev (1m)-9.88%
EPS NQ rev (3m)-15.12%
EPS NY rev (1m)0%
EPS NY rev (3m)-6.18%
Revenue NQ rev (1m)-5.06%
Revenue NQ rev (3m)-5.46%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-0.73%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 19.42 | ||
| Fwd PE | 13.34 | ||
| P/S | 0.59 | ||
| P/FCF | 25.21 | ||
| P/OCF | 17.05 | ||
| P/B | 4.1 | ||
| P/tB | N/A | ||
| EV/EBITDA | 10.38 |
EPS(TTM)2.78
EY5.15%
EPS(NY)4.05
Fwd EY7.5%
FCF(TTM)2.14
FCFY3.97%
OCF(TTM)3.17
OCFY5.87%
SpS91.36
BVpS13.16
TBVpS-17.2
PEG (NY)0.77
PEG (5Y)5.76
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.65% | ||
| ROE | 11.63% | ||
| ROCE | 12.04% | ||
| ROIC | 8.7% | ||
| ROICexc | 8.9% | ||
| ROICexgc | 35.96% | ||
| OM | 5.43% | ||
| PM (TTM) | 1.68% | ||
| GM | 14.26% | ||
| FCFM | 2.34% |
ROA(3y)3.19%
ROA(5y)-0.46%
ROE(3y)15.55%
ROE(5y)-6.94%
ROIC(3y)7.88%
ROIC(5y)6.28%
ROICexc(3y)8.04%
ROICexc(5y)6.41%
ROICexgc(3y)35.7%
ROICexgc(5y)26.6%
ROCE(3y)10.9%
ROCE(5y)8.69%
ROICexcg growth 3Y72.93%
ROICexcg growth 5Y-37.11%
ROICexc growth 3Y66.63%
ROICexc growth 5Y2.52%
OM growth 3Y40.67%
OM growth 5Y-1.13%
PM growth 3YN/A
PM growth 5Y-13.59%
GM growth 3Y6.65%
GM growth 5Y2.57%
F-Score5
Asset Turnover1.58
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.27 | ||
| Debt/FCF | 8.26 | ||
| Debt/EBITDA | 2.46 | ||
| Cap/Depr | 55.31% | ||
| Cap/Sales | 1.12% | ||
| Interest Coverage | 3.51 | ||
| Cash Conversion | 46.44% | ||
| Profit Quality | 139.93% | ||
| Current Ratio | 0.65 | ||
| Quick Ratio | 0.65 | ||
| Altman-Z | 2.61 |
F-Score5
WACC8.49%
ROIC/WACC1.03
Cap/Depr(3y)59.11%
Cap/Depr(5y)51.71%
Cap/Sales(3y)1.18%
Cap/Sales(5y)1.06%
Profit Quality(3y)134.26%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)1.09%
EPS 3Y66.11%
EPS 5Y3.37%
EPS Q2Q%5.17%
EPS Next Y25.1%
EPS Next 2Y21.32%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)11.04%
Revenue growth 3Y17.92%
Revenue growth 5Y3.95%
Sales Q2Q%2.78%
Revenue Next Year5.93%
Revenue Next 2Y6.17%
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y9.96%
EBIT growth 3Y65.88%
EBIT growth 5Y2.77%
EBIT Next Year48.85%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y-40.78%
FCF growth 3Y5.61%
FCF growth 5Y-10.8%
OCF growth 1Y-22.4%
OCF growth 3Y11.55%
OCF growth 5Y-4.68%