SPECTRUM BRANDS HOLDINGS INC (SPB) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:SPB - US84790A1051 - Common Stock
59.63 USD
+0.77 (+1.31%)
59.63 USD
0 (0%)
We assign a fundamental rating of 4 out of 10 to SPB. SPB was compared to 12 industry peers in the Household Products industry. SPB scores quite bad on profitability, while its financial health is fine. Not spectacular, but in line with the averages. SPB has a decent growth rate and is not valued too expensively.
1. Profitability
1.1 Basic Checks
SPB had positive earnings in the past year.
In the past year SPB had a positive cash flow from operations.
In the past 5 years SPB has always been profitable.
In multiple years SPB reported negative operating cash flow during the last 5 years.
1.2 Ratios
SPB has a worse Return On Assets (2.96%) than 91.67% of its industry peers.
SPB has a Return On Equity of 5.23%. This is amonst the worse of the industry: SPB underperforms 83.33% of its industry peers.
SPB has a worse Return On Invested Capital (3.56%) than 91.67% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for SPB is significantly below the industry average of 14.85%.
The 3 year average ROIC (2.40%) for SPB is below the current ROIC(3.56%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.96% | ||
| ROE | 5.23% | ||
| ROIC | 3.56% |
ROA(3y)13.49%
ROA(5y)9.05%
ROE(3y)27.54%
ROE(5y)20.23%
ROIC(3y)2.4%
ROIC(5y)2.07%
1.3 Margins
Looking at the Profit Margin, with a value of 3.56%, SPB is doing worse than 91.67% of the companies in the same industry.
In the last couple of years the Profit Margin of SPB has grown nicely.
SPB has a Operating Margin of 5.96%. This is amonst the worse of the industry: SPB underperforms 91.67% of its industry peers.
SPB's Operating Margin has declined in the last couple of years.
With a Gross Margin value of 36.74%, SPB perfoms like the industry average, outperforming 50.00% of the companies in the same industry.
SPB's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 5.96% | ||
| PM (TTM) | 3.56% | ||
| GM | 36.74% |
OM growth 3Y92.89%
OM growth 5Y-11.59%
PM growth 3Y15.88%
PM growth 5Y7.59%
GM growth 3Y5.13%
GM growth 5Y1.02%
2. Health
2.1 Basic Checks
SPB has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
The number of shares outstanding for SPB has been reduced compared to 1 year ago.
SPB has less shares outstanding than it did 5 years ago.
Compared to 1 year ago, SPB has a worse debt to assets ratio.
2.2 Solvency
The Debt to FCF ratio of SPB is 3.44, which is a good value as it means it would take SPB, 3.44 years of fcf income to pay off all of its debts.
The Debt to FCF ratio of SPB (3.44) is comparable to the rest of the industry.
A Debt/Equity ratio of 0.29 indicates that SPB is not too dependend on debt financing.
With an excellent Debt to Equity ratio value of 0.29, SPB belongs to the best of the industry, outperforming 91.67% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.29 | ||
| Debt/FCF | 3.44 | ||
| Altman-Z | N/A |
ROIC/WACC0.5
WACC7.06%
2.3 Liquidity
A Current Ratio of 2.26 indicates that SPB has no problem at all paying its short term obligations.
Looking at the Current ratio, with a value of 2.26, SPB is in the better half of the industry, outperforming 66.67% of the companies in the same industry.
SPB has a Quick Ratio of 1.41. This is a normal value and indicates that SPB is financially healthy and should not expect problems in meeting its short term obligations.
Looking at the Quick ratio, with a value of 1.41, SPB is in the better half of the industry, outperforming 66.67% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.26 | ||
| Quick Ratio | 1.41 |
3. Growth
3.1 Past
SPB shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 24.16%, which is quite impressive.
SPB shows a small growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 5.78% yearly.
Looking at the last year, SPB shows a decrease in Revenue. The Revenue has decreased by -5.22% in the last year.
The Revenue has been decreasing by -6.66% on average over the past years.
EPS 1Y (TTM)24.16%
EPS 3Y59.41%
EPS 5Y5.78%
EPS Q2Q%169.07%
Revenue 1Y (TTM)-5.22%
Revenue growth 3Y-3.57%
Revenue growth 5Y-6.66%
Sales Q2Q%-5.2%
3.2 Future
Based on estimates for the next years, SPB will show a quite strong growth in Earnings Per Share. The EPS will grow by 19.16% on average per year.
Based on estimates for the next years, SPB will show a small growth in Revenue. The Revenue will grow by 2.35% on average per year.
EPS Next Y-18.2%
EPS Next 2Y-7.15%
EPS Next 3Y3.9%
EPS Next 5Y19.16%
Revenue Next Year0.67%
Revenue Next 2Y0.65%
Revenue Next 3Y1.21%
Revenue Next 5Y2.35%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 10.74, the valuation of SPB can be described as reasonable.
Based on the Price/Earnings ratio, SPB is valued cheaper than 91.67% of the companies in the same industry.
SPB is valuated cheaply when we compare the Price/Earnings ratio to 26.15, which is the current average of the S&P500 Index.
A Price/Forward Earnings ratio of 13.13 indicates a correct valuation of SPB.
Based on the Price/Forward Earnings ratio, SPB is valued a bit cheaper than the industry average as 75.00% of the companies are valued more expensively.
SPB's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 36.12.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.74 | ||
| Fwd PE | 13.13 |
4.2 Price Multiples
Based on the Price/Free Cash Flow ratio, SPB is valued cheaper than 83.33% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 8.73 | ||
| EV/EBITDA | N/A |
4.3 Compensation for Growth
PEG (NY)N/A
PEG (5Y)1.86
EPS Next 2Y-7.15%
EPS Next 3Y3.9%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 3.46%, SPB has a reasonable but not impressive dividend return.
Compared to an average industry Dividend Yield of 3.42, SPB pays a bit more dividend than its industry peers.
SPB's Dividend Yield is a higher than the S&P500 average which is at 2.41.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.46% |
5.2 History
The dividend of SPB has a limited annual growth rate of 2.43%.
SPB has paid a dividend for at least 10 years, which is a reliable track record.
SPB has decreased its dividend recently.
Dividend Growth(5Y)2.43%
Div Incr Years1
Div Non Decr Years1
5.3 Sustainability
48.25% of the earnings are spent on dividend by SPB. This is a bit on the high side, but may be sustainable.
The dividend of SPB is growing, but earnings are growing more, so the dividend growth is sustainable.
DP48.25%
EPS Next 2Y-7.15%
EPS Next 3Y3.9%
59.63
+0.77 (+1.31%)
Chartmill FA Rating
GICS SectorConsumer Staples
GICS IndustryGroupHousehold & Personal Products
GICS IndustryHousehold Products
Earnings (Last)
Earnings (Next)
Inst Owners112.82%
Inst Owner Change-4.52%
Ins Owners3.51%
Ins Owner Change0%
Market Cap1.44B
Revenue(TTM)2.81B
Net Income(TTM)99.90M
Analysts77.14
Price Target79.31 (33%)
Short Float %14.09%
Short Ratio9.28
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.46% |
Yearly Dividend1.84
Dividend Growth(5Y)2.43%
DP48.25%
Div Incr Years1
Div Non Decr Years1
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)90.29%
Min EPS beat(2)-4.18%
Max EPS beat(2)184.76%
EPS beat(4)2
Avg EPS beat(4)34.34%
Min EPS beat(4)-51.95%
Max EPS beat(4)184.76%
EPS beat(8)4
Avg EPS beat(8)44.48%
EPS beat(12)6
Avg EPS beat(12)23.5%
EPS beat(16)6
Avg EPS beat(16)4.11%
Revenue beat(2)0
Avg Revenue beat(2)-4.52%
Min Revenue beat(2)-6.67%
Max Revenue beat(2)-2.37%
Revenue beat(4)0
Avg Revenue beat(4)-3.62%
Min Revenue beat(4)-6.67%
Max Revenue beat(4)-1.64%
Revenue beat(8)4
Avg Revenue beat(8)-0.94%
Revenue beat(12)4
Avg Revenue beat(12)-2.21%
Revenue beat(16)6
Avg Revenue beat(16)-2.53%
PT rev (1m)-1.11%
PT rev (3m)-1.11%
EPS NQ rev (1m)14.18%
EPS NQ rev (3m)12.48%
EPS NY rev (1m)-0.28%
EPS NY rev (3m)0.98%
Revenue NQ rev (1m)-1.57%
Revenue NQ rev (3m)-0.21%
Revenue NY rev (1m)-0.21%
Revenue NY rev (3m)0.14%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.74 | ||
| Fwd PE | 13.13 | ||
| P/S | 0.51 | ||
| P/FCF | 8.73 | ||
| P/OCF | 7.09 | ||
| P/B | 0.76 | ||
| P/tB | 13.71 | ||
| EV/EBITDA | N/A |
EPS(TTM)5.55
EY9.31%
EPS(NY)4.54
Fwd EY7.61%
FCF(TTM)6.83
FCFY11.45%
OCF(TTM)8.41
OCFY14.1%
SpS116.03
BVpS78.88
TBVpS4.35
PEG (NY)N/A
PEG (5Y)1.86
Graham Number99.25
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.96% | ||
| ROE | 5.23% | ||
| ROCE | 5.86% | ||
| ROIC | 3.56% | ||
| ROICexc | 3.72% | ||
| ROICexgc | 10.95% | ||
| OM | 5.96% | ||
| PM (TTM) | 3.56% | ||
| GM | 36.74% | ||
| FCFM | 5.88% |
ROA(3y)13.49%
ROA(5y)9.05%
ROE(3y)27.54%
ROE(5y)20.23%
ROIC(3y)2.4%
ROIC(5y)2.07%
ROICexc(3y)2.72%
ROICexc(5y)2.29%
ROICexgc(3y)8.28%
ROICexgc(5y)6.32%
ROCE(3y)3.96%
ROCE(5y)3.4%
ROICexgc growth 3Y147.57%
ROICexgc growth 5Y-18.62%
ROICexc growth 3Y117.08%
ROICexc growth 5Y-12.66%
OM growth 3Y92.89%
OM growth 5Y-11.59%
PM growth 3Y15.88%
PM growth 5Y7.59%
GM growth 3Y5.13%
GM growth 5Y1.02%
F-Score5
Asset Turnover0.83
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.29 | ||
| Debt/FCF | 3.44 | ||
| Debt/EBITDA | N/A | ||
| Cap/Depr | N/A | ||
| Cap/Sales | 1.36% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | N/A | ||
| Profit Quality | 165.47% | ||
| Current Ratio | 2.26 | ||
| Quick Ratio | 1.41 | ||
| Altman-Z | N/A |
F-Score5
WACC7.06%
ROIC/WACC0.5
Cap/Depr(3y)N/A
Cap/Depr(5y)N/A
Cap/Sales(3y)1.62%
Cap/Sales(5y)1.67%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)24.16%
EPS 3Y59.41%
EPS 5Y5.78%
EPS Q2Q%169.07%
EPS Next Y-18.2%
EPS Next 2Y-7.15%
EPS Next 3Y3.9%
EPS Next 5Y19.16%
Revenue 1Y (TTM)-5.22%
Revenue growth 3Y-3.57%
Revenue growth 5Y-6.66%
Sales Q2Q%-5.2%
Revenue Next Year0.67%
Revenue Next 2Y0.65%
Revenue Next 3Y1.21%
Revenue Next 5Y2.35%
EBIT growth 1Y-7.15%
EBIT growth 3Y86%
EBIT growth 5Y-17.48%
EBIT Next Year116.55%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y39.38%
FCF growth 3YN/A
FCF growth 5Y-6.34%
OCF growth 1Y25.22%
OCF growth 3YN/A
OCF growth 5Y-6.85%
SPECTRUM BRANDS HOLDINGS INC / SPB FAQ
Can you provide the ChartMill fundamental rating for SPECTRUM BRANDS HOLDINGS INC?
ChartMill assigns a fundamental rating of 4 / 10 to SPB.
What is the valuation status of SPECTRUM BRANDS HOLDINGS INC (SPB) stock?
ChartMill assigns a valuation rating of 5 / 10 to SPECTRUM BRANDS HOLDINGS INC (SPB). This can be considered as Fairly Valued.
What is the profitability of SPB stock?
SPECTRUM BRANDS HOLDINGS INC (SPB) has a profitability rating of 3 / 10.
Can you provide the financial health for SPB stock?
The financial health rating of SPECTRUM BRANDS HOLDINGS INC (SPB) is 5 / 10.
Can you provide the dividend sustainability for SPB stock?
The dividend rating of SPECTRUM BRANDS HOLDINGS INC (SPB) is 5 / 10 and the dividend payout ratio is 48.25%.