SPIRE INC (SR) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:SR - US84857L1017 - Common Stock
82.18 USD
-1.19 (-1.43%)
82.18 USD
0 (0%)
We assign a fundamental rating of 3 out of 10 to SR. SR was compared to 14 industry peers in the Gas Utilities industry. While SR is still in line with the averages on profitability rating, there are concerns on its financial health. SR is quite expensive at the moment. It does show a decent growth rate.
1. Profitability
1.1 Basic Checks
In the past year SR was profitable.
SR had a positive operating cash flow in the past year.
Each year in the past 5 years SR has been profitable.
Each year in the past 5 years SR had a positive operating cash flow.
1.2 Ratios
SR's Return On Assets of 2.22% is on the low side compared to the rest of the industry. SR is outperformed by 78.57% of its industry peers.
SR has a Return On Equity of 7.57%. This is in the lower half of the industry: SR underperforms 71.43% of its industry peers.
SR's Return On Invested Capital of 4.13% is on the low side compared to the rest of the industry. SR is outperformed by 78.57% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for SR is below the industry average of 6.27%.
The last Return On Invested Capital (4.13%) for SR is above the 3 year average (3.88%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.22% | ||
| ROE | 7.57% | ||
| ROIC | 4.13% |
ROA(3y)2.12%
ROA(5y)2.23%
ROE(3y)7.27%
ROE(5y)7.75%
ROIC(3y)3.88%
ROIC(5y)3.96%
1.3 Margins
SR has a Profit Margin of 10.36%. This is comparable to the rest of the industry: SR outperforms 50.00% of its industry peers.
In the last couple of years the Profit Margin of SR has grown nicely.
SR has a Operating Margin of 21.16%. This is in the better half of the industry: SR outperforms 64.29% of its industry peers.
In the last couple of years the Operating Margin of SR has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 21.16% | ||
| PM (TTM) | 10.36% | ||
| GM | N/A |
OM growth 3Y4.45%
OM growth 5Y2.03%
PM growth 3Y3.46%
PM growth 5Y21.14%
GM growth 3YN/A
GM growth 5YN/A
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so SR is destroying value.
The number of shares outstanding for SR has been increased compared to 1 year ago.
SR has more shares outstanding than it did 5 years ago.
Compared to 1 year ago, SR has a worse debt to assets ratio.
2.2 Solvency
SR has an Altman-Z score of 0.67. This is a bad value and indicates that SR is not financially healthy and even has some risk of bankruptcy.
SR's Altman-Z score of 0.67 is on the low side compared to the rest of the industry. SR is outperformed by 64.29% of its industry peers.
A Debt/Equity ratio of 1.38 is on the high side and indicates that SR has dependencies on debt financing.
SR has a Debt to Equity ratio (1.38) which is in line with its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.38 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 0.67 |
ROIC/WACC0.68
WACC6.1%
2.3 Liquidity
SR has a Current Ratio of 0.32. This is a bad value and indicates that SR is not financially healthy enough and could expect problems in meeting its short term obligations.
SR has a Current ratio of 0.32. This is amonst the worse of the industry: SR underperforms 92.86% of its industry peers.
SR has a Quick Ratio of 0.32. This is a bad value and indicates that SR is not financially healthy enough and could expect problems in meeting its short term obligations.
The Quick ratio of SR (0.21) is worse than 92.86% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.32 | ||
| Quick Ratio | 0.21 |
3. Growth
3.1 Past
SR shows a small growth in Earnings Per Share. In the last year, the EPS has grown by 5.66%.
Measured over the past 5 years, SR shows a small growth in Earnings Per Share. The EPS has been growing by 3.46% on average per year.
Looking at the last year, SR shows a decrease in Revenue. The Revenue has decreased by -4.50% in the last year.
Measured over the past years, SR shows a small growth in Revenue. The Revenue has been growing by 5.94% on average per year.
EPS 1Y (TTM)5.66%
EPS 3Y4.64%
EPS 5Y3.46%
EPS Q2Q%12.96%
Revenue 1Y (TTM)-4.5%
Revenue growth 3Y4.05%
Revenue growth 5Y5.94%
Sales Q2Q%13.72%
3.2 Future
Based on estimates for the next years, SR will show a quite strong growth in Earnings Per Share. The EPS will grow by 9.11% on average per year.
The Revenue is expected to grow by 2.02% on average over the next years.
EPS Next Y20.43%
EPS Next 2Y14.69%
EPS Next 3Y12.47%
EPS Next 5Y9.11%
Revenue Next Year7.59%
Revenue Next 2Y8.5%
Revenue Next 3Y7.83%
Revenue Next 5Y2.02%
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.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 18.34 indicates a rather expensive valuation of SR.
The rest of the industry has a similar Price/Earnings ratio as SR.
When comparing the Price/Earnings ratio of SR to the average of the S&P500 Index (27.19), we can say SR is valued slightly cheaper.
SR is valuated correctly with a Price/Forward Earnings ratio of 15.23.
Compared to the rest of the industry, the Price/Forward Earnings ratio of SR is on the same level as its industry peers.
The average S&P500 Price/Forward Earnings ratio is at 23.92. SR is valued slightly cheaper when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 18.34 | ||
| Fwd PE | 15.23 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of SR is on the same level as its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 10.59 |
4.3 Compensation for Growth
The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
SR's earnings are expected to grow with 12.47% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.9
PEG (5Y)5.31
EPS Next 2Y14.69%
EPS Next 3Y12.47%
5. Dividend
5.1 Amount
SR has a Yearly Dividend Yield of 3.96%. Purely for dividend investing, there may be better candidates out there.
Compared to an average industry Dividend Yield of 3.88, SR has a dividend in line with its industry peers.
Compared to an average S&P500 Dividend Yield of 1.92, SR pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.96% |
5.2 History
The dividend of SR has a limited annual growth rate of 4.02%.
SR has paid a dividend for at least 10 years, which is a reliable track record.
SR has not decreased their dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)4.02%
Div Incr Years10
Div Non Decr Years10
5.3 Sustainability
76.77% of the earnings are spent on dividend by SR. This is not a sustainable payout ratio.
The dividend of SR is growing, but earnings are growing more, so the dividend growth is sustainable.
DP76.77%
EPS Next 2Y14.69%
EPS Next 3Y12.47%
82.18
-1.19 (-1.43%)
Chartmill FA Rating
GICS SectorUtilities
GICS IndustryGroupUtilities
GICS IndustryGas Utilities
Earnings (Last)
Earnings (Next)
Inst Owners95.61%
Inst Owner Change0.16%
Ins Owners0.31%
Ins Owner Change0.94%
Market Cap4.85B
Revenue(TTM)2.48B
Net Income(TTM)256.60M
Analysts82.35
Price Target95.37 (16.05%)
Short Float %3.84%
Short Ratio4.99
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.96% |
Yearly Dividend3.38
Dividend Growth(5Y)4.02%
DP76.77%
Div Incr Years10
Div Non Decr Years10
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)51.26%
Min EPS beat(2)-7.62%
Max EPS beat(2)110.14%
EPS beat(4)1
Avg EPS beat(4)22.37%
Min EPS beat(4)-8.17%
Max EPS beat(4)110.14%
EPS beat(8)3
Avg EPS beat(8)12.77%
EPS beat(12)5
Avg EPS beat(12)-2715.86%
EPS beat(16)7
Avg EPS beat(16)-2041.12%
Revenue beat(2)1
Avg Revenue beat(2)-11.11%
Min Revenue beat(2)-23.15%
Max Revenue beat(2)0.93%
Revenue beat(4)1
Avg Revenue beat(4)-13.54%
Min Revenue beat(4)-23.15%
Max Revenue beat(4)0.93%
Revenue beat(8)3
Avg Revenue beat(8)-9.42%
Revenue beat(12)5
Avg Revenue beat(12)-2.18%
Revenue beat(16)9
Avg Revenue beat(16)1.33%
PT rev (1m)0%
PT rev (3m)16.36%
EPS NQ rev (1m)1.83%
EPS NQ rev (3m)7.86%
EPS NY rev (1m)0.35%
EPS NY rev (3m)2.69%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-2.51%
Revenue NY rev (1m)0%
Revenue NY rev (3m)2.25%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 18.34 | ||
| Fwd PE | 15.23 | ||
| P/S | 1.96 | ||
| P/FCF | N/A | ||
| P/OCF | 8.39 | ||
| P/B | 1.43 | ||
| P/tB | 2.19 | ||
| EV/EBITDA | 10.59 |
EPS(TTM)4.48
EY5.45%
EPS(NY)5.4
Fwd EY6.57%
FCF(TTM)-5.83
FCFYN/A
OCF(TTM)9.79
OCFY11.91%
SpS41.94
BVpS57.41
TBVpS37.56
PEG (NY)0.9
PEG (5Y)5.31
Graham Number76.07
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.22% | ||
| ROE | 7.57% | ||
| ROCE | 5.8% | ||
| ROIC | 4.13% | ||
| ROICexc | 4.13% | ||
| ROICexgc | 4.66% | ||
| OM | 21.16% | ||
| PM (TTM) | 10.36% | ||
| GM | N/A | ||
| FCFM | N/A |
ROA(3y)2.12%
ROA(5y)2.23%
ROE(3y)7.27%
ROE(5y)7.75%
ROIC(3y)3.88%
ROIC(5y)3.96%
ROICexc(3y)3.89%
ROICexc(5y)3.96%
ROICexgc(3y)4.4%
ROICexgc(5y)4.53%
ROCE(3y)5.34%
ROCE(5y)5.42%
ROICexgc growth 3Y2.04%
ROICexgc growth 5Y0.17%
ROICexc growth 3Y2.84%
ROICexc growth 5Y1.2%
OM growth 3Y4.45%
OM growth 5Y2.03%
PM growth 3Y3.46%
PM growth 5Y21.14%
GM growth 3YN/A
GM growth 5YN/A
F-Score6
Asset Turnover0.21
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.38 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 5.7 | ||
| Cap/Depr | 309.32% | ||
| Cap/Sales | 37.25% | ||
| Interest Coverage | 2.53 | ||
| Cash Conversion | 70.31% | ||
| Profit Quality | N/A | ||
| Current Ratio | 0.32 | ||
| Quick Ratio | 0.21 | ||
| Altman-Z | 0.67 |
F-Score6
WACC6.1%
ROIC/WACC0.68
Cap/Depr(3y)292.9%
Cap/Depr(5y)280.92%
Cap/Sales(3y)31.77%
Cap/Sales(5y)29.68%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)5.66%
EPS 3Y4.64%
EPS 5Y3.46%
EPS Q2Q%12.96%
EPS Next Y20.43%
EPS Next 2Y14.69%
EPS Next 3Y12.47%
EPS Next 5Y9.11%
Revenue 1Y (TTM)-4.5%
Revenue growth 3Y4.05%
Revenue growth 5Y5.94%
Sales Q2Q%13.72%
Revenue Next Year7.59%
Revenue Next 2Y8.5%
Revenue Next 3Y7.83%
Revenue Next 5Y2.02%
EBIT growth 1Y7.29%
EBIT growth 3Y8.67%
EBIT growth 5Y8.09%
EBIT Next Year71.03%
EBIT Next 3Y27.6%
EBIT Next 5Y14.8%
FCF growth 1Y-773.97%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y-36.65%
OCF growth 3Y119.04%
OCF growth 5Y4.23%
SPIRE INC / SR FAQ
Can you provide the ChartMill fundamental rating for SPIRE INC?
ChartMill assigns a fundamental rating of 3 / 10 to SR.
What is the valuation status of SPIRE INC (SR) stock?
ChartMill assigns a valuation rating of 4 / 10 to SPIRE INC (SR). This can be considered as Fairly Valued.
How profitable is SPIRE INC (SR) stock?
SPIRE INC (SR) has a profitability rating of 4 / 10.
Can you provide the PE and PB ratios for SR stock?
The Price/Earnings (PE) ratio for SPIRE INC (SR) is 18.34 and the Price/Book (PB) ratio is 1.43.
Can you provide the dividend sustainability for SR stock?
The dividend rating of SPIRE INC (SR) is 6 / 10 and the dividend payout ratio is 76.77%.