SASOL LTD-SPONSORED ADR (SSL) Stock Fundamental Analysis
NYSE:SSL - New York Stock Exchange, Inc. - US8038663006 - ADR - Currency: USD
Overall SSL gets a fundamental rating of 4 out of 10. We evaluated SSL against 85 industry peers in the Chemicals industry. While SSL is still in line with the averages on profitability rating, there are concerns on its financial health. SSL is cheap, but on the other hand it scores bad on growth.
1. Profitability
1.1 Basic Checks
In the past year SSL was profitable.
SSL had a positive operating cash flow in the past year.
In multiple years SSL reported negative net income over the last 5 years.
SSL had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
The Return On Assets of SSL (-12.13%) is worse than 85.54% of its industry peers.
The Return On Equity of SSL (-30.96%) is worse than 86.75% of its industry peers.
SSL's Return On Invested Capital of 9.59% is amongst the best of the industry. SSL outperforms 85.54% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -12.13% | ||
| ROE | -30.96% | ||
| ROIC | 9.59% |
ROA(3y)N/A
ROA(5y)N/A
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
SSL has a Operating Margin of 16.83%. This is amongst the best in the industry. SSL outperforms 87.95% of its industry peers.
In the last couple of years the Operating Margin of SSL has grown nicely.
SSL has a better Gross Margin (49.85%) than 92.77% of its industry peers.
SSL's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 16.83% | ||
| PM (TTM) | N/A | ||
| GM | 49.85% |
OM growth 3Y1.72%
OM growth 5Y2.63%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-4.77%
GM growth 5Y-2.12%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so SSL is destroying value.
SSL has no outstanding debt. Therefor its Debt/Equity and Debt/FCF ratios are 0 and belong to the best of the industry.
2.2 Solvency
An Altman-Z score of 1.89 indicates that SSL is not a great score, but indicates only limited risk for bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 1.89, SSL is in line with its industry, outperforming 46.99% of the companies in the same industry.
SSL has a Debt/Equity ratio of 0.92. This is a neutral value indicating SSL is somewhat dependend on debt financing.
Looking at the Debt to Equity ratio, with a value of 0.92, SSL is doing worse than 67.47% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.92 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 1.89 |
ROIC/WACC0.64
WACC14.91%
2.3 Liquidity
A Current Ratio of 2.32 indicates that SSL has no problem at all paying its short term obligations.
SSL has a Current ratio of 2.32. This is comparable to the rest of the industry: SSL outperforms 55.42% of its industry peers.
A Quick Ratio of 1.58 indicates that SSL should not have too much problems paying its short term obligations.
SSL has a Quick ratio of 1.58. This is in the better half of the industry: SSL outperforms 65.06% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.32 | ||
| Quick Ratio | 1.58 |
3. Growth
3.1 Past
The earnings per share for SSL have decreased strongly by -67.04% in the last year.
The earnings per share for SSL have been decreasing by -11.34% on average. This is quite bad
SSL shows a decrease in Revenue. In the last year, the revenue decreased by -4.39%.
The Revenue has been growing slightly by 6.21% on average over the past years.
EPS 1Y (TTM)-67.04%
EPS 3Y-24.6%
EPS 5Y-11.34%
EPS Q2Q%-108.15%
Revenue 1Y (TTM)-4.39%
Revenue growth 3Y10.86%
Revenue growth 5Y6.21%
Sales Q2Q%0.64%
3.2 Future
Based on estimates for the next years, SSL will show a very strong growth in Earnings Per Share. The EPS will grow by 42.23% on average per year.
Based on estimates for the next years, SSL will show a small growth in Revenue. The Revenue will grow by 1.48% on average per year.
EPS Next Y103.56%
EPS Next 2Y58.22%
EPS Next 3Y42.23%
EPS Next 5YN/A
Revenue Next Year-6.66%
Revenue Next 2Y-0.78%
Revenue Next 3Y1.48%
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.
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
The Price/Earnings ratio is 5.42, which indicates a rather cheap valuation of SSL.
SSL's Price/Earnings ratio is rather cheap when compared to the industry. SSL is cheaper than 97.59% of the companies in the same industry.
Compared to an average S&P500 Price/Earnings ratio of 28.47, SSL is valued rather cheaply.
A Price/Forward Earnings ratio of 2.66 indicates a rather cheap valuation of SSL.
Based on the Price/Forward Earnings ratio, SSL is valued cheaply inside the industry as 98.80% of the companies are valued more expensively.
SSL is valuated cheaply when we compare the Price/Forward Earnings ratio to 92.74, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 5.42 | ||
| Fwd PE | 2.66 |
4.2 Price Multiples
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | N/A |
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.
SSL's earnings are expected to grow with 42.23% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.05
PEG (5Y)N/A
EPS Next 2Y58.22%
EPS Next 3Y42.23%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 2.36%, SSL has a reasonable but not impressive dividend return.
Compared to an average industry Dividend Yield of 3.24, SSL pays a bit more dividend than its industry peers.
SSL's Dividend Yield is comparable with the S&P500 average which is at 2.28.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.36% |
5.2 History
SSL has been paying a dividend for at least 10 years, so it has a reliable track record.
The dividend of SSL decreased recently.
Dividend Growth(5Y)N/A
Div Incr Years1
Div Non Decr Years1
5.3 Sustainability
DPN/A
EPS Next 2Y58.22%
EPS Next 3Y42.23%
SASOL LTD-SPONSORED ADR
NYSE:SSL (2/4/2025, 8:09:17 PM)
Premarket: 4.9 +0.08 (+1.66%)4.82
+0.04 (+0.84%)
Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryChemicals
Earnings (Last)
Earnings (Next)
Inst Owners56.24%
Inst Owner Change1.02%
Ins Owners0%
Ins Owner ChangeN/A
Market Cap3.07B
Analysts80
Price Target11.06 (129.46%)
Short Float %1.22%
Short Ratio5.49
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.36% |
Yearly Dividend0.66
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years1
Div Non Decr Years1
Ex-DateN/A
Surprises & Revisions
EPS beat(2)N/A
Avg EPS beat(2)N/A
Min EPS beat(2)N/A
Max EPS beat(2)N/A
EPS beat(4)N/A
Avg EPS beat(4)N/A
Min EPS beat(4)N/A
Max EPS beat(4)N/A
EPS beat(8)N/A
Avg EPS beat(8)N/A
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)N/A
Avg Revenue beat(2)N/A
Min Revenue beat(2)N/A
Max Revenue beat(2)N/A
Revenue beat(4)N/A
Avg Revenue beat(4)N/A
Min Revenue beat(4)N/A
Max Revenue beat(4)N/A
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)-9.56%
PT rev (3m)-17.04%
EPS NQ rev (1m)N/A
EPS NQ rev (3m)N/A
EPS NY rev (1m)-13.85%
EPS NY rev (3m)-13.85%
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)-2.27%
Revenue NY rev (3m)-2.27%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 5.42 | ||
| Fwd PE | 2.66 | ||
| P/S | 0.21 | ||
| P/FCF | N/A | ||
| P/OCF | 1.94 | ||
| P/B | 0.4 | ||
| P/tB | 0.41 | ||
| EV/EBITDA | N/A |
EPS(TTM)0.89
EY18.46%
EPS(NY)1.81
Fwd EY37.55%
FCF(TTM)-0.03
FCFYN/A
OCF(TTM)2.49
OCFY51.66%
SpS23.02
BVpS11.97
TBVpS11.76
PEG (NY)0.05
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -12.13% | ||
| ROE | -30.96% | ||
| ROCE | 14.91% | ||
| ROIC | 9.59% | ||
| ROICexc | 11.38% | ||
| ROICexgc | 11.49% | ||
| OM | 16.83% | ||
| PM (TTM) | N/A | ||
| GM | 49.85% | ||
| FCFM | N/A |
ROA(3y)N/A
ROA(5y)N/A
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexcg growth 3YN/A
ROICexcg growth 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5YN/A
OM growth 3Y1.72%
OM growth 5Y2.63%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-4.77%
GM growth 5Y-2.12%
F-Score5
Asset Turnover0.75
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.92 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | N/A | ||
| Cap/Depr | N/A | ||
| Cap/Sales | 10.96% | ||
| Interest Coverage | -5.36 | ||
| Cash Conversion | N/A | ||
| Profit Quality | N/A | ||
| Current Ratio | 2.32 | ||
| Quick Ratio | 1.58 | ||
| Altman-Z | 1.89 |
F-Score5
WACC14.91%
ROIC/WACC0.64
Cap/Depr(3y)N/A
Cap/Depr(5y)N/A
Cap/Sales(3y)9.98%
Cap/Sales(5y)11.26%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-67.04%
EPS 3Y-24.6%
EPS 5Y-11.34%
EPS Q2Q%-108.15%
EPS Next Y103.56%
EPS Next 2Y58.22%
EPS Next 3Y42.23%
EPS Next 5YN/A
Revenue 1Y (TTM)-4.39%
Revenue growth 3Y10.86%
Revenue growth 5Y6.21%
Sales Q2Q%0.64%
Revenue Next Year-6.66%
Revenue Next 2Y-0.78%
Revenue Next 3Y1.48%
Revenue Next 5YN/A
EBIT growth 1Y-12.09%
EBIT growth 3Y12.77%
EBIT growth 5Y9.01%
EBIT Next Year33.72%
EBIT Next 3Y17.59%
EBIT Next 5YN/A
FCF growth 1Y-108.93%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y-16.01%
OCF growth 3Y-3.38%
OCF growth 5Y-1.38%