SUBURBAN PROPANE PARTNERS LP (SPH) Stock Fundamental Analysis
NYSE:SPH - New York Stock Exchange, Inc. - US8644821048 - Currency: USD
Overall SPH gets a fundamental rating of 4 out of 10. We evaluated SPH against 14 industry peers in the Gas Utilities industry. While SPH is still in line with the averages on profitability rating, there are concerns on its financial health. SPH has a correct valuation and a medium growth rate.
1. Profitability
1.1 Basic Checks
SPH had positive earnings in the past year.
SPH had a positive operating cash flow in the past year.
In the past 5 years SPH has always been profitable.
In the past 5 years SPH always reported a positive cash flow from operatings.
1.2 Ratios
SPH's Return On Assets of 2.90% is in line compared to the rest of the industry. SPH outperforms 50.00% of its industry peers.
SPH has a Return On Equity of 12.68%. This is in the better half of the industry: SPH outperforms 78.57% of its industry peers.
SPH has a Return On Invested Capital of 6.98%. This is in the better half of the industry: SPH outperforms 78.57% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for SPH is in line with the industry average of 7.75%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.9% | ||
| ROE | 12.68% | ||
| ROIC | 6.98% |
ROA(3y)5.12%
ROA(5y)4.86%
ROE(3y)21.43%
ROE(5y)21.99%
ROIC(3y)8.09%
ROIC(5y)7.99%
1.3 Margins
The Profit Margin of SPH (5.18%) is worse than 64.29% of its industry peers.
SPH's Profit Margin has been stable in the last couple of years.
With a Operating Margin value of 13.60%, SPH is not doing good in the industry: 71.43% of the companies in the same industry are doing better.
SPH's Operating Margin has been stable in the last couple of years.
The Gross Margin of SPH (61.32%) is comparable to the rest of the industry.
SPH's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 13.6% | ||
| PM (TTM) | 5.18% | ||
| GM | 61.32% |
OM growth 3Y-7.95%
OM growth 5Y0.58%
PM growth 3Y-16.29%
PM growth 5Y0.65%
GM growth 3Y-0.9%
GM growth 5Y0.4%
2. Health
2.1 Basic Checks
SPH has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
Compared to 1 year ago, SPH has more shares outstanding
SPH has more shares outstanding than it did 5 years ago.
SPH has a worse debt/assets ratio than last year.
2.2 Solvency
The Debt to FCF ratio of SPH is 11.84, which is on the high side as it means it would take SPH, 11.84 years of fcf income to pay off all of its debts.
With an excellent Debt to FCF ratio value of 11.84, SPH belongs to the best of the industry, outperforming 85.71% of the companies in the same industry.
SPH has a Debt/Equity ratio of 2.39. This is a high value indicating a heavy dependency on external financing.
The Debt to Equity ratio of SPH (2.39) is worse than 85.71% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.39 | ||
| Debt/FCF | 11.84 | ||
| Altman-Z | N/A |
ROIC/WACC0.98
WACC7.12%
2.3 Liquidity
SPH has a Current Ratio of 0.70. This is a bad value and indicates that SPH is not financially healthy enough and could expect problems in meeting its short term obligations.
The Current ratio of SPH (0.70) is comparable to the rest of the industry.
SPH has a Quick Ratio of 0.70. This is a bad value and indicates that SPH is not financially healthy enough and could expect problems in meeting its short term obligations.
SPH has a Quick ratio (0.51) which is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.7 | ||
| Quick Ratio | 0.51 |
3. Growth
3.1 Past
The earnings per share for SPH have decreased strongly by -33.33% in the last year.
The Earnings Per Share has been growing slightly by 0.72% on average over the past years.
The Revenue has decreased by -4.50% in the past year.
The Revenue has been growing slightly by 0.92% on average over the past years.
EPS 1Y (TTM)-33.33%
EPS 3Y-20.63%
EPS 5Y0.72%
EPS Q2Q%-21.05%
Revenue 1Y (TTM)-4.5%
Revenue growth 3Y0.98%
Revenue growth 5Y0.92%
Sales Q2Q%2.05%
3.2 Future
SPH is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 30.09% yearly.
SPH is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 3.18% yearly.
EPS Next Y88.71%
EPS Next 2Y49.42%
EPS Next 3Y30.09%
EPS Next 5YN/A
Revenue Next Year-5.4%
Revenue Next 2Y-2.55%
Revenue Next 3Y3.18%
Revenue Next 5YN/A
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
A Price/Earnings ratio of 20.57 indicates a rather expensive valuation of SPH.
SPH's Price/Earnings ratio is a bit more expensive when compared to the industry. SPH is more expensive than 64.29% of the companies in the same industry.
SPH's Price/Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 29.62.
A Price/Forward Earnings ratio of 8.57 indicates a reasonable valuation of SPH.
Based on the Price/Forward Earnings ratio, SPH is valued cheaply inside the industry as 100.00% of the companies are valued more expensively.
The average S&P500 Price/Forward Earnings ratio is at 22.70. SPH is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 20.57 | ||
| Fwd PE | 8.57 |
4.2 Price Multiples
64.29% of the companies in the same industry are cheaper than SPH, based on the Enterprise Value to EBITDA ratio.
Based on the Price/Free Cash Flow ratio, SPH is valued a bit cheaper than 78.57% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 12.78 | ||
| EV/EBITDA | 10.85 |
4.3 Compensation for Growth
SPH's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
SPH's earnings are expected to grow with 30.09% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.23
PEG (5Y)28.69
EPS Next 2Y49.42%
EPS Next 3Y30.09%
5. Dividend
5.1 Amount
SPH has a Yearly Dividend Yield of 5.91%, which is a nice return.
Compared to an average industry Dividend Yield of 3.87, SPH pays a better dividend. On top of this SPH pays more dividend than 100.00% of the companies listed in the same industry.
Compared to an average S&P500 Dividend Yield of 2.27, SPH pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.91% |
5.2 History
The dividend of SPH decreases each year by -11.53%.
SPH has paid a dividend for at least 10 years, which is a reliable track record.
SPH has not decreased its dividend in the last 3 years.
Dividend Growth(5Y)-11.53%
Div Incr Years0
Div Non Decr Years3
5.3 Sustainability
SPH pays out 120.43% of its income as dividend. This is not a sustainable payout ratio.
DP120.43%
EPS Next 2Y49.42%
EPS Next 3Y30.09%
NYSE:SPH (2/21/2025, 8:04:00 PM)
21.8
-0.19 (-0.86%)
Chartmill FA Rating
GICS SectorUtilities
GICS IndustryGroupUtilities
GICS IndustryGas Utilities
Earnings (Last)
Earnings (Next)
Inst Owners37.63%
Inst Owner Change-94.67%
Ins Owners3.16%
Ins Owner Change5.71%
Market Cap1.41B
Analysts48
Price Target17.34 (-20.46%)
Short Float %2.79%
Short Ratio5.98
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.91% |
Yearly Dividend1.3
Dividend Growth(5Y)-11.53%
DP120.43%
Div Incr Years0
Div Non Decr Years3
Ex-Date
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-49.91%
Min EPS beat(2)-56%
Max EPS beat(2)-43.82%
EPS beat(4)0
Avg EPS beat(4)-41.74%
Min EPS beat(4)-57.25%
Max EPS beat(4)-9.9%
EPS beat(8)2
Avg EPS beat(8)-23.64%
EPS beat(12)N/A
Avg EPS beat(12)N/A
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)0
Avg Revenue beat(2)-6.25%
Min Revenue beat(2)-11.34%
Max Revenue beat(2)-1.17%
Revenue beat(4)0
Avg Revenue beat(4)-6.25%
Min Revenue beat(4)-11.34%
Max Revenue beat(4)-1.17%
Revenue beat(8)N/A
Avg Revenue beat(8)N/A
Revenue beat(12)N/A
Avg Revenue beat(12)N/A
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)3.03%
PT rev (3m)3.03%
EPS NQ rev (1m)12.5%
EPS NQ rev (3m)1.41%
EPS NY rev (1m)-1.54%
EPS NY rev (3m)-0.93%
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)25.17%
Revenue NY rev (3m)0.31%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 20.57 | ||
| Fwd PE | 8.57 | ||
| P/S | 1.05 | ||
| P/FCF | 12.78 | ||
| P/OCF | 7.72 | ||
| P/B | 2.58 | ||
| P/tB | N/A | ||
| EV/EBITDA | 10.85 |
EPS(TTM)1.06
EY4.86%
EPS(NY)2.55
Fwd EY11.68%
FCF(TTM)1.71
FCFY7.83%
OCF(TTM)2.82
OCFY12.96%
SpS20.7
BVpS8.45
TBVpS-10.97
PEG (NY)0.23
PEG (5Y)28.69
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.9% | ||
| ROE | 12.68% | ||
| ROCE | 8.83% | ||
| ROIC | 6.98% | ||
| ROICexc | 6.99% | ||
| ROICexgc | 17.97% | ||
| OM | 13.6% | ||
| PM (TTM) | 5.18% | ||
| GM | 61.32% | ||
| FCFM | 8.24% |
ROA(3y)5.12%
ROA(5y)4.86%
ROE(3y)21.43%
ROE(5y)21.99%
ROIC(3y)8.09%
ROIC(5y)7.99%
ROICexc(3y)8.11%
ROICexc(5y)8.01%
ROICexgc(3y)22.07%
ROICexgc(5y)22.37%
ROCE(3y)10.24%
ROCE(5y)10.12%
ROICexcg growth 3Y-12.63%
ROICexcg growth 5Y-4.17%
ROICexc growth 3Y-10.39%
ROICexc growth 5Y-0.47%
OM growth 3Y-7.95%
OM growth 5Y0.58%
PM growth 3Y-16.29%
PM growth 5Y0.65%
GM growth 3Y-0.9%
GM growth 5Y0.4%
F-Score4
Asset Turnover0.56
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.39 | ||
| Debt/FCF | 11.84 | ||
| Debt/EBITDA | 5.23 | ||
| Cap/Depr | 106.56% | ||
| Cap/Sales | 5.4% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 73.08% | ||
| Profit Quality | 159.13% | ||
| Current Ratio | 0.7 | ||
| Quick Ratio | 0.51 | ||
| Altman-Z | N/A |
F-Score4
WACC7.12%
ROIC/WACC0.98
Cap/Depr(3y)78.69%
Cap/Depr(5y)58.5%
Cap/Sales(3y)3.53%
Cap/Sales(5y)3.17%
Profit Quality(3y)136.04%
Profit Quality(5y)171.85%
High Growth Momentum
Growth
EPS 1Y (TTM)-33.33%
EPS 3Y-20.63%
EPS 5Y0.72%
EPS Q2Q%-21.05%
EPS Next Y88.71%
EPS Next 2Y49.42%
EPS Next 3Y30.09%
EPS Next 5YN/A
Revenue 1Y (TTM)-4.5%
Revenue growth 3Y0.98%
Revenue growth 5Y0.92%
Sales Q2Q%2.05%
Revenue Next Year-5.4%
Revenue Next 2Y-2.55%
Revenue Next 3Y3.18%
Revenue Next 5YN/A
EBIT growth 1Y-6.09%
EBIT growth 3Y-7.04%
EBIT growth 5Y1.51%
EBIT Next Year70.69%
EBIT Next 3Y23.81%
EBIT Next 5Y14.05%
FCF growth 1Y-43.75%
FCF growth 3Y-19.88%
FCF growth 5Y-12.01%
OCF growth 1Y-24.14%
OCF growth 3Y-10.84%
OCF growth 5Y-6.67%