S&P GLOBAL INC (SPGI)
US78409V1044 - Common Stock
SPGI gets a fundamental rating of 5 out of 10. The analysis compared the fundamentals against 218 industry peers in the Capital Markets industry. SPGI has only an average score on both its financial health and profitability. SPGI is quite expensive at the moment. It does show a decent growth rate.
1. Profitability
1.1 Basic Checks
In the past year SPGI was profitable.
In the past year SPGI had a positive cash flow from operations.
In the past 5 years SPGI has always been profitable.
In the past 5 years SPGI always reported a positive cash flow from operatings.
1.2 Ratios
With a decent Return On Assets value of 5.88%, SPGI is doing good in the industry, outperforming 71.63% of the companies in the same industry.
With a Return On Equity value of 10.45%, SPGI perfoms like the industry average, outperforming 55.81% of the companies in the same industry.
The Return On Invested Capital of SPGI (7.73%) is better than 78.14% of its industry peers.
The Average Return On Invested Capital over the past 3 years for SPGI is below the industry average of 17.60%.
The last Return On Invested Capital (7.73%) for SPGI is well below the 3 year average (14.45%), which needs to be investigated, but indicates that SPGI had better years and this may not be a problem.
| 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
With a decent Profit Margin value of 25.80%, SPGI is doing good in the industry, outperforming 62.33% of the companies in the same industry.
SPGI's Profit Margin has declined in the last couple of years.
The Operating Margin of SPGI (40.09%) is better than 67.44% of its industry peers.
SPGI's Operating Margin has declined in the last couple of years.
With a decent Gross Margin value of 68.70%, SPGI is doing good in the industry, outperforming 71.16% of the companies in the same industry.
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 4.44 indicates that SPGI is not in any danger for bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 4.44, SPGI belongs to the top of the industry, outperforming 85.58% of the companies in the same industry.
SPGI has a debt to FCF ratio of 2.22. This is a good value and a sign of high solvency as SPGI would need 2.22 years to pay back of all of its debts.
SPGI has a Debt to FCF ratio of 2.22. This is amongst the best in the industry. SPGI outperforms 80.47% of its industry peers.
A Debt/Equity ratio of 0.34 indicates that SPGI is not too dependend on debt financing.
With a decent Debt to Equity ratio value of 0.34, SPGI is doing good in the industry, outperforming 76.28% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.34 | ||
| Debt/FCF | 2.22 | ||
| Altman-Z | 4.44 |
ROIC/WACCN/A
WACCN/A
2.3 Liquidity
SPGI has a Current 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.
Looking at the Current ratio, with a value of 0.94, SPGI is in line with its industry, outperforming 41.86% 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.
The Quick ratio of SPGI (0.94) is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.94 | ||
| Quick Ratio | 0.94 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 25.37% over the past year.
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.
The Revenue has grown by 12.09% in the past year. This is quite good.
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
Based on estimates for the next years, SPGI will show a quite strong growth in Earnings Per Share. The EPS will grow by 11.93% on average per year.
Based on estimates for the next years, SPGI will show a small growth in Revenue. The Revenue will grow by 6.70% on average per year.
EPS Next Y23.36%
EPS Next 2Y16.4%
EPS Next 3Y15.05%
EPS Next 5Y11.93%
Revenue Next Year12.46%
Revenue Next 2Y9.38%
Revenue Next 3Y8.83%
Revenue Next 5Y6.7%
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 decreasing.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 32.23, SPGI can be considered very expensive at the moment.
Compared to the rest of the industry, the Price/Earnings ratio of SPGI indicates a slightly more expensive valuation: SPGI is more expensive than 72.09% of the companies listed in the same industry.
The average S&P500 Price/Earnings ratio is at 30.20. SPGI is around the same levels.
Based on the Price/Forward Earnings ratio of 28.43, the valuation of SPGI can be described as expensive.
Based on the Price/Forward Earnings ratio, SPGI is valued a bit more expensive than 72.56% of the companies in the same industry.
SPGI's Price/Forward Earnings ratio indicates a valuation a bit more expensive than the S&P500 average which is at 23.28.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 32.23 | ||
| Fwd PE | 28.43 |
4.2 Price Multiples
SPGI's Enterprise Value to EBITDA ratio is a bit cheaper when compared to the industry. SPGI is cheaper than 64.19% of the companies in the same industry.
SPGI's Price/Free Cash Flow ratio is in line with the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 29.56 | ||
| EV/EBITDA | 24.09 |
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.
SPGI's earnings are expected to grow with 15.05% in the coming years. This may justify a more expensive valuation.
PEG (NY)1.38
PEG (5Y)3.93
EPS Next 2Y16.4%
EPS Next 3Y15.05%
5. Dividend
5.1 Amount
SPGI has a yearly dividend return of 0.76%, which is pretty low.
Compared to an average industry Dividend Yield of 8.73, SPGI is paying slightly less dividend.
With a Dividend Yield of 0.76, SPGI pays less dividend than the S&P500 average, which is at 2.26.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.76% |
5.2 History
The dividend of SPGI is nicely growing with an annual growth rate of 11.99%!
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 Years33
Div Non Decr Years33
5.3 Sustainability
SPGI pays out 32.01% of its income as dividend. This is a sustainable payout ratio.
SPGI's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP32.01%
EPS Next 2Y16.4%
EPS Next 3Y15.05%
S&P GLOBAL INC
NYSE:SPGI (11/4/2024, 8:04:00 PM)
After market: 485.77 0 (0%)485.77
+2.46 (+0.51%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupFinancial Services
GICS IndustryCapital Markets
Earnings (Last)
Earnings (Next)
Inst Owners
Inst Owner Change
Ins Owners
Ins Owner Change
Market Cap152.05B
Analysts
Price Target
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.76% |
Dividend Growth(5Y)
DP
Div Incr Years
Div Non Decr Years
Ex-Date
Surprises & Revisions
EPS beat(2)
Avg EPS beat(2)
Min EPS beat(2)
Max EPS beat(2)
EPS beat(4)
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Min EPS beat(4)
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EPS beat(8)
Avg EPS beat(8)
EPS beat(12)
Avg EPS beat(12)
EPS beat(16)
Avg EPS beat(16)
Revenue beat(2)
Avg Revenue beat(2)
Min Revenue beat(2)
Max Revenue beat(2)
Revenue beat(4)
Avg Revenue beat(4)
Min Revenue beat(4)
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Revenue beat(8)
Avg Revenue beat(8)
Revenue beat(12)
Avg Revenue beat(12)
Revenue beat(16)
Avg Revenue beat(16)
PT rev (1m)
PT rev (3m)
EPS NQ rev (1m)
EPS NQ rev (3m)
EPS NY rev (1m)
EPS NY rev (3m)
Revenue NQ rev (1m)
Revenue NQ rev (3m)
Revenue NY rev (1m)
Revenue NY rev (3m)
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 32.23 | ||
| Fwd PE | 28.43 | ||
| P/S | |||
| P/FCF | |||
| P/OCF | |||
| P/B | |||
| P/tB | |||
| EV/EBITDA |
EPS(TTM)
EY
EPS(NY)
Fwd EY
FCF(TTM)
FCFY
OCF(TTM)
OCFY
SpS
BVpS
TBVpS
PEG (NY)1.38
PEG (5Y)3.93
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.88% | ||
| ROE | 10.45% | ||
| ROCE | |||
| ROIC | |||
| ROICexc | |||
| ROICexgc | |||
| OM | 40.09% | ||
| PM (TTM) | 25.8% | ||
| GM | 68.7% | ||
| FCFM |
ROA(3y)
ROA(5y)
ROE(3y)
ROE(5y)
ROIC(3y)
ROIC(5y)
ROICexc(3y)
ROICexc(5y)
ROICexgc(3y)
ROICexgc(5y)
ROCE(3y)
ROCE(5y)
ROICexcg growth 3Y
ROICexcg growth 5Y
ROICexc growth 3Y
ROICexc growth 5Y
OM growth 3Y
OM growth 5Y
PM growth 3Y
PM growth 5Y
GM growth 3Y
GM growth 5Y
F-Score
Asset Turnover0.23
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.34 | ||
| Debt/FCF | |||
| Debt/EBITDA | |||
| Cap/Depr | |||
| Cap/Sales | |||
| Interest Coverage | |||
| Cash Conversion | |||
| Profit Quality | |||
| Current Ratio | 0.94 | ||
| Quick Ratio | 0.94 | ||
| Altman-Z |
F-Score
WACC
ROIC/WACC
Cap/Depr(3y)
Cap/Depr(5y)
Cap/Sales(3y)
Cap/Sales(5y)
Profit Quality(3y)
Profit Quality(5y)
High Growth Momentum
Growth
EPS 1Y (TTM)25.37%
EPS 3Y2.56%
EPS 5Y
EPS Q2Q%
EPS Next Y23.36%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)12.09%
Revenue growth 3Y18.86%
Revenue growth 5Y
Sales Q2Q%
Revenue Next Year
Revenue Next 2Y
Revenue Next 3Y
Revenue Next 5Y
EBIT growth 1Y
EBIT growth 3Y
EBIT growth 5Y
EBIT Next Year
EBIT Next 3Y
EBIT Next 5Y
FCF growth 1Y
FCF growth 3Y
FCF growth 5Y
OCF growth 1Y
OCF growth 3Y
OCF growth 5Y