SPECTRUM BRANDS HOLDINGS INC (SPB) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:SPB - US84790A1051 - Common Stock
64.75 USD
+0.81 (+1.27%)
64.75 USD
0 (0%)
Taking everything into account, SPB scores 5 out of 10 in our fundamental rating. SPB was compared to 12 industry peers in the Household Products industry. While SPB seems to be doing ok healthwise, there are quite some concerns on its profitability. SPB is not valued too expensively and it also shows a decent growth rate.
1. Profitability
1.1 Basic Checks
SPB had positive earnings in the past year.
SPB had a positive operating cash flow in the past year.
In the past 5 years SPB has always been profitable.
The reported operating cash flow has been mixed in the past 5 years: SPB reported negative operating cash flow in multiple years.
1.2 Ratios
SPB has a Return On Assets of 2.96%. This is amonst the worse of the industry: SPB underperforms 91.67% of its industry peers.
With a Return On Equity value of 5.23%, SPB is not doing good in the industry: 83.33% of the companies in the same industry are doing better.
SPB's Return On Invested Capital of 3.81% is on the low side compared to the rest of the industry. SPB is outperformed by 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 14.87%.
The last Return On Invested Capital (3.81%) for SPB is above the 3 year average (2.62%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.96% | ||
| ROE | 5.23% | ||
| ROIC | 3.81% |
ROA(3y)13.49%
ROA(5y)9.05%
ROE(3y)27.54%
ROE(5y)20.23%
ROIC(3y)2.62%
ROIC(5y)2.19%
1.3 Margins
The Profit Margin of SPB (3.56%) is worse than 91.67% of its industry peers.
SPB's Profit Margin has improved in the last couple of years.
SPB has a Operating Margin of 6.38%. 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.
SPB's Gross Margin of 36.74% is in line compared to the rest of the industry. SPB outperforms 50.00% of its industry peers.
SPB's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 6.38% | ||
| PM (TTM) | 3.56% | ||
| GM | 36.74% |
OM growth 3Y105.03%
OM growth 5Y-8.29%
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.
Compared to 1 year ago, SPB has less shares outstanding
The number of shares outstanding for SPB has been reduced compared to 5 years ago.
Compared to 1 year ago, SPB has a worse debt to assets ratio.
2.2 Solvency
An Altman-Z score of 2.78 indicates that SPB is not a great score, but indicates only limited risk for bankruptcy at the moment.
SPB has a Altman-Z score (2.78) which is in line with its industry peers.
SPB has a debt to FCF ratio of 3.44. This is a good value and a sign of high solvency as SPB would need 3.44 years to pay back of all of its debts.
SPB has a Debt to FCF ratio (3.44) which is comparable to the rest of the industry.
SPB has a Debt/Equity ratio of 0.29. This is a healthy value indicating a solid balance between debt and equity.
SPB has a better Debt to Equity ratio (0.29) than 91.67% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.29 | ||
| Debt/FCF | 3.44 | ||
| Altman-Z | 2.78 |
ROIC/WACC0.53
WACC7.2%
2.3 Liquidity
SPB has a Current Ratio of 2.26. This indicates that SPB is financially healthy and has no problem in meeting its short term obligations.
With a decent Current ratio value of 2.26, SPB is doing good in the industry, outperforming 66.67% of the companies in the same industry.
A Quick Ratio of 1.41 indicates that SPB should not have too much problems paying 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
The Earnings Per Share has grown by an impressive 24.16% over the past year.
Measured over the past 5 years, SPB shows a small growth in Earnings Per Share. The EPS has been growing by 5.78% on average per year.
SPB shows a decrease in Revenue. In the last year, the revenue decreased by -5.22%.
Measured over the past years, SPB shows a decrease in Revenue. The Revenue has been decreasing by -6.66% on average per year.
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 very strong growth in Earnings Per Share. The EPS will grow by 20.96% on average per year.
SPB is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 2.10% yearly.
EPS Next Y-16.47%
EPS Next 2Y-2.99%
EPS Next 3Y3.82%
EPS Next 5Y20.96%
Revenue Next Year0.28%
Revenue Next 2Y0.87%
Revenue Next 3Y0.96%
Revenue Next 5Y2.1%
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 accelerating.
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
The Price/Earnings ratio is 11.67, which indicates a very decent valuation of SPB.
Based on the Price/Earnings ratio, SPB is valued cheaper than 83.33% of the companies in the same industry.
The average S&P500 Price/Earnings ratio is at 27.19. SPB is valued rather cheaply when compared to this.
A Price/Forward Earnings ratio of 13.97 indicates a correct valuation of SPB.
Compared to the rest of the industry, the Price/Forward Earnings ratio of SPB is on the same level as its industry peers.
SPB's Price/Forward Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 23.88.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.67 | ||
| Fwd PE | 13.97 |
4.2 Price Multiples
83.33% of the companies in the same industry are more expensive than SPB, based on the Enterprise Value to EBITDA ratio.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of SPB indicates a rather cheap valuation: SPB is cheaper than 83.33% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 9.16 | ||
| EV/EBITDA | 7.06 |
4.3 Compensation for Growth
PEG (NY)N/A
PEG (5Y)2.02
EPS Next 2Y-2.99%
EPS Next 3Y3.82%
5. Dividend
5.1 Amount
SPB has a Yearly Dividend Yield of 2.94%. Purely for dividend investing, there may be better candidates out there.
SPB's Dividend Yield is comparable with the industry average which is at 2.75.
SPB's Dividend Yield is rather good when compared to the S&P500 average which is at 1.90.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.94% |
5.2 History
The dividend of SPB has a limited annual growth rate of 2.59%.
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)2.59%
Div Incr Years1
Div Non Decr Years1
5.3 Sustainability
SPB pays out 48.25% of its income as dividend. This is a bit on the high side, but may be sustainable.
SPB's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP48.25%
EPS Next 2Y-2.99%
EPS Next 3Y3.82%
64.75
+0.81 (+1.27%)
Chartmill FA Rating
GICS SectorConsumer Staples
GICS IndustryGroupHousehold & Personal Products
GICS IndustryHousehold Products
Earnings (Last)
Earnings (Next)
Inst Owners114.39%
Inst Owner Change0%
Ins Owners4.09%
Ins Owner Change0.16%
Market Cap1.51B
Revenue(TTM)2.81B
Net Income(TTM)99.90M
Analysts77.14
Price Target79.31 (22.49%)
Short Float %13.34%
Short Ratio9.43
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.94% |
Yearly Dividend1.86
Dividend Growth(5Y)2.59%
DP48.25%
Div Incr Years1
Div Non Decr Years1
Ex-DateN/A
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)0%
PT rev (3m)-1.11%
EPS NQ rev (1m)0%
EPS NQ rev (3m)5.8%
EPS NY rev (1m)0%
EPS NY rev (3m)1.83%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-1.67%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-0.59%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.67 | ||
| Fwd PE | 13.97 | ||
| P/S | 0.54 | ||
| P/FCF | 9.16 | ||
| P/OCF | 7.44 | ||
| P/B | 0.79 | ||
| P/tB | 14.38 | ||
| EV/EBITDA | 7.06 |
EPS(TTM)5.55
EY8.57%
EPS(NY)4.64
Fwd EY7.16%
FCF(TTM)7.07
FCFY10.92%
OCF(TTM)8.71
OCFY13.45%
SpS120.15
BVpS81.68
TBVpS4.5
PEG (NY)N/A
PEG (5Y)2.02
Graham Number101
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.96% | ||
| ROE | 5.23% | ||
| ROCE | 6.28% | ||
| ROIC | 3.81% | ||
| ROICexc | 3.98% | ||
| ROICexgc | 11.72% | ||
| OM | 6.38% | ||
| 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)2.62%
ROIC(5y)2.19%
ROICexc(3y)2.94%
ROICexc(5y)2.42%
ROICexgc(3y)8.93%
ROICexgc(5y)6.71%
ROCE(3y)4.31%
ROCE(5y)3.61%
ROICexgc growth 3Y163.15%
ROICexgc growth 5Y-15.58%
ROICexc growth 3Y130.74%
ROICexc growth 5Y-9.4%
OM growth 3Y105.03%
OM growth 5Y-8.29%
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 | 2.01 | ||
| Cap/Depr | 39.08% | ||
| Cap/Sales | 1.36% | ||
| Interest Coverage | 6.79 | ||
| Cash Conversion | 73.42% | ||
| Profit Quality | 165.47% | ||
| Current Ratio | 2.26 | ||
| Quick Ratio | 1.41 | ||
| Altman-Z | 2.78 |
F-Score5
WACC7.2%
ROIC/WACC0.53
Cap/Depr(3y)49%
Cap/Depr(5y)49.74%
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-16.47%
EPS Next 2Y-2.99%
EPS Next 3Y3.82%
EPS Next 5Y20.96%
Revenue 1Y (TTM)-5.22%
Revenue growth 3Y-3.57%
Revenue growth 5Y-6.66%
Sales Q2Q%-5.2%
Revenue Next Year0.28%
Revenue Next 2Y0.87%
Revenue Next 3Y0.96%
Revenue Next 5Y2.1%
EBIT growth 1Y-0.61%
EBIT growth 3Y97.71%
EBIT growth 5Y-14.4%
EBIT Next Year117.52%
EBIT Next 3Y30.24%
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 5 / 10 to SPB.
What is the valuation status for SPB stock?
ChartMill assigns a valuation rating of 6 / 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.
What are the PE and PB ratios of SPECTRUM BRANDS HOLDINGS INC (SPB) stock?
The Price/Earnings (PE) ratio for SPECTRUM BRANDS HOLDINGS INC (SPB) is 11.67 and the Price/Book (PB) ratio is 0.79.
How financially healthy is SPECTRUM BRANDS HOLDINGS INC?
The financial health rating of SPECTRUM BRANDS HOLDINGS INC (SPB) is 6 / 10.