SPECTRUM BRANDS HOLDINGS INC (SPB) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:SPB - US84790A1051 - Common Stock
62.39 USD
-0.1 (-0.16%)
62.39 USD
0 (0%)
We assign a fundamental rating of 5 out of 10 to SPB. SPB was compared to 12 industry peers in the Household Products industry. The financial health of SPB is average, but 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.
In multiple years SPB reported negative operating cash flow during the last 5 years.
1.2 Ratios
Looking at the Return On Assets, with a value of 2.96%, SPB is doing worse than 91.67% of the companies in the same industry.
SPB's Return On Equity of 5.23% is on the low side compared to the rest of the industry. SPB is outperformed by 83.33% of its industry peers.
SPB has a worse Return On Invested Capital (3.81%) 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 14.87%.
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
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.
With a Operating Margin value of 6.38%, SPB is not doing good in the industry: 91.67% of the companies in the same industry are doing better.
SPB's Operating Margin has declined in the last couple of years.
SPB has a Gross Margin (36.74%) which is in line with its industry peers.
In the last couple of years the Gross Margin of SPB has remained more or less at the same level.
| 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
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so SPB is destroying value.
Compared to 1 year ago, SPB has less shares outstanding
Compared to 5 years ago, SPB has less shares outstanding
Compared to 1 year ago, SPB has a worse debt to assets ratio.
2.2 Solvency
An Altman-Z score of 2.76 indicates that SPB is not a great score, but indicates only limited risk for bankruptcy at the moment.
SPB's Altman-Z score of 2.76 is in line compared to the rest of the industry. SPB outperforms 41.67% of 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.
A Debt/Equity ratio of 0.29 indicates that SPB is not too dependend on debt financing.
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 | 2.76 |
ROIC/WACC0.53
WACC7.15%
2.3 Liquidity
A Current Ratio of 2.26 indicates that SPB has no problem at all paying its short term obligations.
SPB has a Current ratio of 2.26. This is in the better half of the industry: SPB outperforms 66.67% of its industry peers.
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.
The Quick ratio of SPB (1.41) is better than 66.67% of its industry peers.
| 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.
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.
The Revenue has decreased by -5.22% in the past year.
SPB shows a decrease in Revenue. Measured over the last years, the Revenue has been decreasing by -6.66% yearly.
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
SPB is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 20.96% yearly.
Based on estimates for the next years, SPB will show a small growth in Revenue. The Revenue will grow by 2.10% on average per year.
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
SPB is valuated reasonably with a Price/Earnings ratio of 11.24.
83.33% of the companies in the same industry are more expensive than SPB, based on the Price/Earnings ratio.
When comparing the Price/Earnings ratio of SPB to the average of the S&P500 Index (26.92), we can say SPB is valued rather cheaply.
A Price/Forward Earnings ratio of 13.46 indicates a correct valuation of SPB.
SPB's Price/Forward Earnings ratio is in line with the industry average.
The average S&P500 Price/Forward Earnings ratio is at 23.57. SPB is valued slightly cheaper when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.24 | ||
| Fwd PE | 13.46 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, SPB is valued cheaply inside the industry as 83.33% of the companies are valued more expensively.
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 | 8.82 | ||
| EV/EBITDA | 6.86 |
4.3 Compensation for Growth
PEG (NY)N/A
PEG (5Y)1.94
EPS Next 2Y-2.99%
EPS Next 3Y3.82%
5. Dividend
5.1 Amount
SPB has a Yearly Dividend Yield of 3.18%. Purely for dividend investing, there may be better candidates out there.
SPB's Dividend Yield is a higher than the industry average which is at 2.82.
Compared to an average S&P500 Dividend Yield of 1.94, SPB pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.18% |
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.
The dividend of SPB decreased 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.
The dividend of SPB is growing, but earnings are growing more, so the dividend growth is sustainable.
DP48.25%
EPS Next 2Y-2.99%
EPS Next 3Y3.82%
62.39
-0.1 (-0.16%)
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 Cap1.46B
Revenue(TTM)2.81B
Net Income(TTM)99.90M
Analysts77.14
Price Target79.31 (27.12%)
Short Float %13.34%
Short Ratio9.43
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.18% |
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 | 11.24 | ||
| Fwd PE | 13.46 | ||
| P/S | 0.52 | ||
| P/FCF | 8.82 | ||
| P/OCF | 7.16 | ||
| P/B | 0.76 | ||
| P/tB | 13.85 | ||
| EV/EBITDA | 6.86 |
EPS(TTM)5.55
EY8.9%
EPS(NY)4.64
Fwd EY7.43%
FCF(TTM)7.07
FCFY11.33%
OCF(TTM)8.71
OCFY13.96%
SpS120.15
BVpS81.68
TBVpS4.5
PEG (NY)N/A
PEG (5Y)1.94
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 | 2.76 |
F-Score5
WACC7.15%
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 11.24 and the Price/Book (PB) ratio is 0.76.
How financially healthy is SPECTRUM BRANDS HOLDINGS INC?
The financial health rating of SPECTRUM BRANDS HOLDINGS INC (SPB) is 6 / 10.