STANDEX INTERNATIONAL CORP (SXI) Stock Fundamental Analysis
NYSE:SXI - New York Stock Exchange, Inc. - US8542311076 - Common Stock - Currency: USD
We assign a fundamental rating of 6 out of 10 to SXI. SXI was compared to 128 industry peers in the Machinery industry. SXI has an average financial health and profitability rating. SXI has a decent growth rate and is not valued too expensively.
1. Profitability
1.1 Basic Checks
SXI had positive earnings in the past year.
In the past year SXI had a positive cash flow from operations.
SXI had positive earnings in each of the past 5 years.
SXI had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
Looking at the Return On Assets, with a value of 3.67%, SXI is in line with its industry, outperforming 49.22% of the companies in the same industry.
SXI has a Return On Equity of 8.30%. This is comparable to the rest of the industry: SXI outperforms 50.00% of its industry peers.
The Return On Invested Capital of SXI (6.49%) is comparable to the rest of the industry.
The Average Return On Invested Capital over the past 3 years for SXI is in line with the industry average of 10.74%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.67% | ||
| ROE | 8.3% | ||
| ROIC | 6.49% |
ROA(3y)9.13%
ROA(5y)6.67%
ROE(3y)15.64%
ROE(5y)11.7%
ROIC(3y)10.38%
ROIC(5y)9.12%
1.3 Margins
SXI's Profit Margin of 7.59% is fine compared to the rest of the industry. SXI outperforms 61.72% of its industry peers.
SXI's Profit Margin has been stable in the last couple of years.
SXI has a Operating Margin of 15.00%. This is in the better half of the industry: SXI outperforms 71.09% of its industry peers.
In the last couple of years the Operating Margin of SXI has grown nicely.
SXI's Gross Margin of 38.90% is fine compared to the rest of the industry. SXI outperforms 71.88% of its industry peers.
SXI's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 15% | ||
| PM (TTM) | 7.59% | ||
| GM | 38.9% |
OM growth 3Y9.35%
OM growth 5Y3.51%
PM growth 3Y22.19%
PM growth 5Y-0.9%
GM growth 3Y2.1%
GM growth 5Y1.3%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), SXI is creating some value.
Compared to 1 year ago, SXI has about the same amount of shares outstanding.
The number of shares outstanding for SXI has been reduced compared to 5 years ago.
SXI has a better debt/assets ratio than last year.
2.2 Solvency
An Altman-Z score of 3.19 indicates that SXI is not in any danger for bankruptcy at the moment.
SXI's Altman-Z score of 3.19 is in line compared to the rest of the industry. SXI outperforms 54.69% of its industry peers.
The Debt to FCF ratio of SXI is 9.87, which is on the high side as it means it would take SXI, 9.87 years of fcf income to pay off all of its debts.
SXI has a worse Debt to FCF ratio (9.87) than 60.16% of its industry peers.
A Debt/Equity ratio of 0.81 indicates that SXI is somewhat dependend on debt financing.
SXI's Debt to Equity ratio of 0.81 is on the low side compared to the rest of the industry. SXI is outperformed by 72.66% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.81 | ||
| Debt/FCF | 9.87 | ||
| Altman-Z | 3.19 |
ROIC/WACC0.67
WACC9.75%
2.3 Liquidity
A Current Ratio of 3.37 indicates that SXI has no problem at all paying its short term obligations.
SXI has a Current ratio of 3.37. This is in the better half of the industry: SXI outperforms 79.69% of its industry peers.
SXI has a Quick Ratio of 2.61. This indicates that SXI is financially healthy and has no problem in meeting its short term obligations.
SXI has a Quick ratio of 2.61. This is amongst the best in the industry. SXI outperforms 84.38% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 3.37 | ||
| Quick Ratio | 2.61 |
3. Growth
3.1 Past
SXI shows a small growth in Earnings Per Share. In the last year, the EPS has grown by 2.89%.
The Earnings Per Share has been growing by 11.94% on average over the past years. This is quite good.
SXI shows a decrease in Revenue. In the last year, the revenue decreased by -2.46%.
The Revenue has been growing slightly by 2.40% on average over the past years.
EPS 1Y (TTM)2.89%
EPS 3Y15.19%
EPS 5Y11.94%
EPS Q2Q%7.3%
Revenue 1Y (TTM)-2.46%
Revenue growth 3Y3.17%
Revenue growth 5Y2.4%
Sales Q2Q%6.4%
3.2 Future
SXI is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 15.56% yearly.
SXI is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 9.95% yearly.
EPS Next Y11.7%
EPS Next 2Y16.75%
EPS Next 3Y15.56%
EPS Next 5YN/A
Revenue Next Year8.78%
Revenue Next 2Y11.25%
Revenue Next 3Y9.95%
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 accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 19.47 indicates a rather expensive valuation of SXI.
SXI's Price/Earnings is on the same level as the industry average.
The average S&P500 Price/Earnings ratio is at 28.92. SXI is valued slightly cheaper when compared to this.
Based on the Price/Forward Earnings ratio of 14.49, the valuation of SXI can be described as correct.
Based on the Price/Forward Earnings ratio, SXI is valued a bit cheaper than 75.00% of the companies in the same industry.
When comparing the Price/Forward Earnings ratio of SXI to the average of the S&P500 Index (21.65), we can say SXI is valued slightly cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 19.47 | ||
| Fwd PE | 14.49 |
4.2 Price Multiples
The rest of the industry has a similar Enterprise Value to EBITDA ratio as SXI.
The rest of the industry has a similar Price/Free Cash Flow ratio as SXI.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 30.52 | ||
| EV/EBITDA | 14.66 |
4.3 Compensation for Growth
The PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
SXI has a very decent profitability rating, which may justify a higher PE ratio.
SXI's earnings are expected to grow with 15.56% in the coming years. This may justify a more expensive valuation.
PEG (NY)1.66
PEG (5Y)1.63
EPS Next 2Y16.75%
EPS Next 3Y15.56%
5. Dividend
5.1 Amount
With a yearly dividend of 0.94%, SXI is not a good candidate for dividend investing.
The stock price of SXI dropped by -27.24% in the last 3 months. With lower prices the dividend yield is higher, but it may be a sign investors do not trust the long term dividend.
Compared to an average industry Dividend Yield of 2.12, SXI has a dividend in line with its industry peers.
Compared to an average S&P500 Dividend Yield of 2.51, SXI's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.94% |
5.2 History
On average, the dividend of SXI grows each year by 8.51%, which is quite nice.
SXI has paid a dividend for at least 10 years, which is a reliable track record.
SXI has not decreased its dividend for at least 10 years, so it has a reliable track record of non decreasing dividend.
Dividend Growth(5Y)8.51%
Div Incr Years14
Div Non Decr Years14
5.3 Sustainability
26.49% of the earnings are spent on dividend by SXI. This is a low number and sustainable payout ratio.
The dividend of SXI is growing, but earnings are growing more, so the dividend growth is sustainable.
DP26.49%
EPS Next 2Y16.75%
EPS Next 3Y15.56%
138.84
+4.32 (+3.21%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryMachinery
Earnings (Last)
Earnings (Next)
Inst Owners97.08%
Inst Owner Change0.45%
Ins Owners1.63%
Ins Owner Change-1.96%
Market Cap1.65B
Analysts84.44
Price Target226.7 (63.28%)
Short Float %2.09%
Short Ratio4.35
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.94% |
Yearly Dividend1.18
Dividend Growth(5Y)8.51%
DP26.49%
Div Incr Years14
Div Non Decr Years14
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)6.44%
Min EPS beat(2)-0.7%
Max EPS beat(2)13.58%
EPS beat(4)3
Avg EPS beat(4)4.46%
Min EPS beat(4)-0.7%
Max EPS beat(4)13.58%
EPS beat(8)7
Avg EPS beat(8)4.09%
EPS beat(12)11
Avg EPS beat(12)3.76%
EPS beat(16)15
Avg EPS beat(16)4.39%
Revenue beat(2)0
Avg Revenue beat(2)-3.88%
Min Revenue beat(2)-6.95%
Max Revenue beat(2)-0.81%
Revenue beat(4)0
Avg Revenue beat(4)-2.98%
Min Revenue beat(4)-6.95%
Max Revenue beat(4)-0.81%
Revenue beat(8)2
Avg Revenue beat(8)-1.63%
Revenue beat(12)5
Avg Revenue beat(12)-1.2%
Revenue beat(16)9
Avg Revenue beat(16)-0.08%
PT rev (1m)0%
PT rev (3m)0.79%
EPS NQ rev (1m)-0.39%
EPS NQ rev (3m)-8.04%
EPS NY rev (1m)-1.71%
EPS NY rev (3m)-2.32%
Revenue NQ rev (1m)-0.23%
Revenue NQ rev (3m)-2.64%
Revenue NY rev (1m)0.2%
Revenue NY rev (3m)-2.08%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 19.47 | ||
| Fwd PE | 14.49 | ||
| P/S | 2.3 | ||
| P/FCF | 30.52 | ||
| P/OCF | 20.77 | ||
| P/B | 2.52 | ||
| P/tB | N/A | ||
| EV/EBITDA | 14.66 |
EPS(TTM)7.13
EY5.14%
EPS(NY)9.58
Fwd EY6.9%
FCF(TTM)4.55
FCFY3.28%
OCF(TTM)6.68
OCFY4.81%
SpS60.31
BVpS55.13
TBVpS-11.61
PEG (NY)1.66
PEG (5Y)1.63
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.67% | ||
| ROE | 8.3% | ||
| ROCE | 8.01% | ||
| ROIC | 6.49% | ||
| ROICexc | 7.14% | ||
| ROICexgc | 20.34% | ||
| OM | 15% | ||
| PM (TTM) | 7.59% | ||
| GM | 38.9% | ||
| FCFM | 7.54% |
ROA(3y)9.13%
ROA(5y)6.67%
ROE(3y)15.64%
ROE(5y)11.7%
ROIC(3y)10.38%
ROIC(5y)9.12%
ROICexc(3y)12.64%
ROICexc(5y)11.02%
ROICexgc(3y)25.49%
ROICexgc(5y)22.94%
ROCE(3y)12.8%
ROCE(5y)11.24%
ROICexcg growth 3Y6.45%
ROICexcg growth 5Y1.12%
ROICexc growth 3Y10.64%
ROICexc growth 5Y4.92%
OM growth 3Y9.35%
OM growth 5Y3.51%
PM growth 3Y22.19%
PM growth 5Y-0.9%
GM growth 3Y2.1%
GM growth 5Y1.3%
F-Score5
Asset Turnover0.48
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.81 | ||
| Debt/FCF | 9.87 | ||
| Debt/EBITDA | 3.89 | ||
| Cap/Depr | 85.42% | ||
| Cap/Sales | 3.54% | ||
| Interest Coverage | 19.86 | ||
| Cash Conversion | 57.89% | ||
| Profit Quality | 99.45% | ||
| Current Ratio | 3.37 | ||
| Quick Ratio | 2.61 | ||
| Altman-Z | 3.19 |
F-Score5
WACC9.75%
ROIC/WACC0.67
Cap/Depr(3y)79.27%
Cap/Depr(5y)73.98%
Cap/Sales(3y)3.11%
Cap/Sales(5y)3.24%
Profit Quality(3y)78.19%
Profit Quality(5y)106.28%
High Growth Momentum
Growth
EPS 1Y (TTM)2.89%
EPS 3Y15.19%
EPS 5Y11.94%
EPS Q2Q%7.3%
EPS Next Y11.7%
EPS Next 2Y16.75%
EPS Next 3Y15.56%
EPS Next 5YN/A
Revenue 1Y (TTM)-2.46%
Revenue growth 3Y3.17%
Revenue growth 5Y2.4%
Sales Q2Q%6.4%
Revenue Next Year8.78%
Revenue Next 2Y11.25%
Revenue Next 3Y9.95%
Revenue Next 5YN/A
EBIT growth 1Y-6.51%
EBIT growth 3Y12.82%
EBIT growth 5Y6%
EBIT Next Year53.21%
EBIT Next 3Y25.52%
EBIT Next 5YN/A
FCF growth 1Y25.26%
FCF growth 3Y5.38%
FCF growth 5Y13.17%
OCF growth 1Y16.25%
OCF growth 3Y3.5%
OCF growth 5Y4.78%