S&P GLOBAL INC (SPGI) Stock Fundamental Analysis
NYSE:SPGI - New York Stock Exchange, Inc. - US78409V1044 - Common Stock - Currency: USD
Taking everything into account, SPGI scores 5 out of 10 in our fundamental rating. SPGI was compared to 222 industry peers in the Capital Markets industry. SPGI has an average financial health and profitability rating. While showing a medium growth rate, SPGI is valued expensive at the moment.
1. Profitability
1.1 Basic Checks
SPGI had positive earnings in the past year.
In the past year SPGI had a positive cash flow from operations.
SPGI had positive earnings in each of the past 5 years.
In the past 5 years SPGI always reported a positive cash flow from operatings.
1.2 Ratios
SPGI's Return On Assets of 5.88% is fine compared to the rest of the industry. SPGI outperforms 76.96% of its industry peers.
SPGI has a Return On Equity (10.45%) which is in line with its industry peers.
SPGI has a Return On Invested Capital of 7.73%. This is in the better half of the industry: SPGI outperforms 77.88% of its industry peers.
The Average Return On Invested Capital over the past 3 years for SPGI is significantly above the industry average of 6.67%.
The 3 year average ROIC (14.45%) for SPGI is well above the current ROIC(7.73%). The reason for the recent decline needs to be investigated.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.88% | ||
| ROE | 10.45% | ||
| ROIC | 7.73% |
ROA(3y)9.91%
ROA(5y)13.42%
ROE(3y)55.14%
ROE(5y)213.63%
ROIC(3y)14.45%
ROIC(5y)21.39%
1.3 Margins
SPGI has a better Profit Margin (25.80%) than 63.59% of its industry peers.
SPGI's Profit Margin has declined in the last couple of years.
The Operating Margin of SPGI (40.09%) is better than 68.20% of its industry peers.
SPGI's Operating Margin has declined in the last couple of years.
SPGI has a Gross Margin of 68.70%. This is in the better half of the industry: SPGI outperforms 71.89% of its industry peers.
In the last couple of years the Gross Margin of SPGI has declined.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 40.09% | ||
| PM (TTM) | 25.8% | ||
| GM | 68.7% |
OM growth 3Y-10.61%
OM growth 5Y-4.71%
PM growth 3Y-12.56%
PM growth 5Y-7.65%
GM growth 3Y-2.39%
GM growth 5Y-1.69%
2. Health
2.1 Basic Checks
SPGI has less shares outstanding than it did 1 year ago.
Compared to 5 years ago, SPGI has more shares outstanding
SPGI has a worse debt/assets ratio than last year.
2.2 Solvency
An Altman-Z score of 4.65 indicates that SPGI is not in any danger for bankruptcy at the moment.
SPGI has a Altman-Z score of 4.65. This is amongst the best in the industry. SPGI outperforms 83.87% of its industry peers.
The Debt to FCF ratio of SPGI is 2.22, which is a good value as it means it would take SPGI, 2.22 years of fcf income to pay off all of its debts.
SPGI's Debt to FCF ratio of 2.22 is amongst the best of the industry. SPGI outperforms 83.41% of its industry peers.
A Debt/Equity ratio of 0.34 indicates that SPGI is not too dependend on debt financing.
Looking at the Debt to Equity ratio, with a value of 0.34, SPGI is in the better half of the industry, outperforming 74.65% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.34 | ||
| Debt/FCF | 2.22 | ||
| Altman-Z | 4.65 |
ROIC/WACCN/A
WACCN/A
2.3 Liquidity
A Current Ratio of 0.94 indicates that SPGI may have some problems paying its short term obligations.
Looking at the Current ratio, with a value of 0.94, SPGI is in line with its industry, outperforming 44.24% of the companies in the same industry.
SPGI has a Quick Ratio of 0.94. This is a bad value and indicates that SPGI is not financially healthy enough and could expect problems in meeting its short term obligations.
With a Quick ratio value of 0.94, SPGI perfoms like the industry average, outperforming 44.24% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.94 | ||
| Quick Ratio | 0.94 |
3. Growth
3.1 Past
SPGI shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 25.37%, which is quite impressive.
Measured over the past years, SPGI shows a quite strong growth in Earnings Per Share. The EPS has been growing by 8.21% on average per year.
SPGI shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 12.09%.
Measured over the past years, SPGI shows a quite strong growth in Revenue. The Revenue has been growing by 14.83% on average per year.
EPS 1Y (TTM)25.37%
EPS 3Y2.56%
EPS 5Y8.21%
EPS Q2Q%21.18%
Revenue 1Y (TTM)12.09%
Revenue growth 3Y18.86%
Revenue growth 5Y14.83%
Sales Q2Q%15.92%
3.2 Future
SPGI is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 11.92% yearly.
SPGI is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 7.32% yearly.
EPS Next Y23.56%
EPS Next 2Y16.71%
EPS Next 3Y15.14%
EPS Next 5Y11.92%
Revenue Next Year12.85%
Revenue Next 2Y9.52%
Revenue Next 3Y8.88%
Revenue Next 5Y7.32%
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 decreasing.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 34.84, which means the current valuation is very expensive for SPGI.
Based on the Price/Earnings ratio, SPGI is valued a bit more expensive than the industry average as 73.27% of the companies are valued more cheaply.
SPGI is valuated rather expensively when we compare the Price/Earnings ratio to 28.28, which is the current average of the S&P500 Index.
SPGI is valuated quite expensively with a Price/Forward Earnings ratio of 30.57.
SPGI's Price/Forward Earnings ratio is a bit more expensive when compared to the industry. SPGI is more expensive than 72.81% of the companies in the same industry.
SPGI's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 91.29.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 34.84 | ||
| Fwd PE | 30.57 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, SPGI is valued a bit cheaper than the industry average as 63.59% of the companies are valued more expensively.
SPGI's Price/Free Cash Flow ratio is in line with the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 31.67 | ||
| EV/EBITDA | 25.47 |
4.3 Compensation for Growth
The PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
SPGI has a very decent profitability rating, which may justify a higher PE ratio.
A more expensive valuation may be justified as SPGI's earnings are expected to grow with 15.14% in the coming years.
PEG (NY)1.48
PEG (5Y)4.24
EPS Next 2Y16.71%
EPS Next 3Y15.14%
5. Dividend
5.1 Amount
With a yearly dividend of 0.71%, SPGI is not a good candidate for dividend investing.
Compared to an average industry Dividend Yield of 9.43, SPGI is paying slightly less dividend.
With a Dividend Yield of 0.71, SPGI pays less dividend than the S&P500 average, which is at 2.27.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.71% |
5.2 History
On average, the dividend of SPGI grows each year by 11.99%, which is quite nice.
SPGI has been paying a dividend for at least 10 years, so it has a reliable track record.
SPGI has not decreased their dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)11.99%
Div Incr Years34
Div Non Decr Years34
5.3 Sustainability
32.01% of the earnings are spent on dividend by SPGI. This is a low number and sustainable payout ratio.
SPGI's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP32.01%
EPS Next 2Y16.71%
EPS Next 3Y15.14%
S&P GLOBAL INC
NYSE:SPGI (1/30/2025, 1:46:56 PM)
525.03
+7.81 (+1.51%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupFinancial Services
GICS IndustryCapital Markets
Earnings (Last)
Earnings (Next)
Inst Owners90%
Inst Owner Change0.06%
Ins Owners0.04%
Ins Owner Change-8.57%
Market Cap162.92B
Analysts85.33
Price Target599.07 (14.1%)
Short Float %0.9%
Short Ratio2.21
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.71% |
Yearly Dividend3.52
Dividend Growth(5Y)11.99%
DP32.01%
Div Incr Years34
Div Non Decr Years34
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)6.61%
Min EPS beat(2)4.68%
Max EPS beat(2)8.53%
EPS beat(4)3
Avg EPS beat(4)4.5%
Min EPS beat(4)-2.48%
Max EPS beat(4)8.53%
EPS beat(8)6
Avg EPS beat(8)3.17%
EPS beat(12)7
Avg EPS beat(12)1.3%
EPS beat(16)11
Avg EPS beat(16)3.04%
Revenue beat(2)2
Avg Revenue beat(2)1.93%
Min Revenue beat(2)1.72%
Max Revenue beat(2)2.14%
Revenue beat(4)3
Avg Revenue beat(4)0.64%
Min Revenue beat(4)-1.41%
Max Revenue beat(4)2.14%
Revenue beat(8)5
Avg Revenue beat(8)0.37%
Revenue beat(12)5
Avg Revenue beat(12)-1.9%
Revenue beat(16)9
Avg Revenue beat(16)-0.68%
PT rev (1m)0.57%
PT rev (3m)1.49%
EPS NQ rev (1m)0%
EPS NQ rev (3m)0.69%
EPS NY rev (1m)0%
EPS NY rev (3m)4.46%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)0.78%
Revenue NY rev (1m)0.21%
Revenue NY rev (3m)2.82%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 34.84 | ||
| Fwd PE | 30.57 | ||
| P/S | 11.83 | ||
| P/FCF | 31.67 | ||
| P/OCF | 30.84 | ||
| P/B | 4.79 | ||
| P/tB | N/A | ||
| EV/EBITDA | 25.47 |
EPS(TTM)15.07
EY2.87%
EPS(NY)17.18
Fwd EY3.27%
FCF(TTM)16.58
FCFY3.16%
OCF(TTM)17.03
OCFY3.24%
SpS44.37
BVpS109.55
TBVpS-57.52
PEG (NY)1.48
PEG (5Y)4.24
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.88% | ||
| ROE | 10.45% | ||
| ROCE | 10.06% | ||
| ROIC | 7.73% | ||
| ROICexc | 7.98% | ||
| ROICexgc | 319.64% | ||
| OM | 40.09% | ||
| PM (TTM) | 25.8% | ||
| GM | 68.7% | ||
| FCFM | 37.36% |
ROA(3y)9.91%
ROA(5y)13.42%
ROE(3y)55.14%
ROE(5y)213.63%
ROIC(3y)14.45%
ROIC(5y)21.39%
ROICexc(3y)28.82%
ROICexc(5y)38.93%
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)18.8%
ROCE(5y)27.83%
ROICexcg growth 3YN/A
ROICexcg growth 5YN/A
ROICexc growth 3Y-52.22%
ROICexc growth 5Y-32.13%
OM growth 3Y-10.61%
OM growth 5Y-4.71%
PM growth 3Y-12.56%
PM growth 5Y-7.65%
GM growth 3Y-2.39%
GM growth 5Y-1.69%
F-Score8
Asset Turnover0.23
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.34 | ||
| Debt/FCF | 2.22 | ||
| Debt/EBITDA | 1.71 | ||
| Cap/Depr | 11.95% | ||
| Cap/Sales | 1.01% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 79.06% | ||
| Profit Quality | 144.82% | ||
| Current Ratio | 0.94 | ||
| Quick Ratio | 0.94 | ||
| Altman-Z | 4.65 |
F-Score8
WACCN/A
ROIC/WACCN/A
Cap/Depr(3y)13.65%
Cap/Depr(5y)26.85%
Cap/Sales(3y)0.79%
Cap/Sales(5y)1.02%
Profit Quality(3y)110.35%
Profit Quality(5y)121.13%
High Growth Momentum
Growth
EPS 1Y (TTM)25.37%
EPS 3Y2.56%
EPS 5Y8.21%
EPS Q2Q%21.18%
EPS Next Y23.56%
EPS Next 2Y16.71%
EPS Next 3Y15.14%
EPS Next 5Y11.92%
Revenue 1Y (TTM)12.09%
Revenue growth 3Y18.86%
Revenue growth 5Y14.83%
Sales Q2Q%15.92%
Revenue Next Year12.85%
Revenue Next 2Y9.52%
Revenue Next 3Y8.88%
Revenue Next 5Y7.32%
EBIT growth 1Y11.45%
EBIT growth 3Y6.25%
EBIT growth 5Y9.43%
EBIT Next Year25.84%
EBIT Next 3Y13.91%
EBIT Next 5Y9.82%
FCF growth 1Y117.32%
FCF growth 3Y0.72%
FCF growth 5Y12.83%
OCF growth 1Y117.41%
OCF growth 3Y1.32%
OCF growth 5Y12.44%