SENDAS DISTRIBUIDORA SA (ASAI) Stock Fundamental Analysis
NYSE:ASAI - New York Stock Exchange, Inc. - US81689T1043 - ADR - Currency: USD
Overall ASAI gets a fundamental rating of 4 out of 10. We evaluated ASAI against 40 industry peers in the Consumer Staples Distribution & Retail industry. While ASAI is still in line with the averages on profitability rating, there are concerns on its financial health. ASAI scores decently on growth, while it is valued quite cheap. This could make an interesting combination.
1. Profitability
1.1 Basic Checks
In the past year ASAI was profitable.
ASAI had a positive operating cash flow in the past year.
Each year in the past 5 years ASAI has been profitable.
Each year in the past 5 years ASAI had a positive operating cash flow.
1.2 Ratios
The Return On Assets of ASAI (1.45%) is comparable to the rest of the industry.
With a decent Return On Equity value of 12.73%, ASAI is doing good in the industry, outperforming 64.29% of the companies in the same industry.
ASAI has a Return On Invested Capital of 12.72%. This is amongst the best in the industry. ASAI outperforms 85.71% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for ASAI is above the industry average of 8.22%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.45% | ||
| ROE | 12.73% | ||
| ROIC | 12.72% |
ROA(3y)3.9%
ROA(5y)4.41%
ROE(3y)34.95%
ROE(5y)43.75%
ROIC(3y)12.81%
ROIC(5y)13.33%
1.3 Margins
ASAI has a Profit Margin of 0.88%. This is comparable to the rest of the industry: ASAI outperforms 45.24% of its industry peers.
In the last couple of years the Profit Margin of ASAI has declined.
ASAI has a Operating Margin of 5.03%. This is amongst the best in the industry. ASAI outperforms 88.10% of its industry peers.
In the last couple of years the Operating Margin of ASAI has declined.
ASAI has a worse Gross Margin (16.48%) than 78.57% of its industry peers.
ASAI's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 5.03% | ||
| PM (TTM) | 0.88% | ||
| GM | 16.48% |
OM growth 3Y-9.55%
OM growth 5Y-7.56%
PM growth 3Y-34.95%
PM growth 5Y-25.57%
GM growth 3Y-0.28%
GM growth 5Y-2.14%
2. Health
2.1 Basic Checks
ASAI has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
The number of shares outstanding for ASAI remains at a similar level compared to 1 year ago.
ASAI has more shares outstanding than it did 5 years ago.
ASAI has a worse debt/assets ratio than last year.
2.2 Solvency
An Altman-Z score of 2.08 indicates that ASAI is not a great score, but indicates only limited risk for bankruptcy at the moment.
ASAI has a Altman-Z score of 2.08. This is in the lower half of the industry: ASAI underperforms 69.05% of its industry peers.
The Debt to FCF ratio of ASAI is 10.95, which is on the high side as it means it would take ASAI, 10.95 years of fcf income to pay off all of its debts.
ASAI has a Debt to FCF ratio (10.95) which is in line with its industry peers.
ASAI has a Debt/Equity ratio of 4.15. This is a high value indicating a heavy dependency on external financing.
ASAI's Debt to Equity ratio of 4.15 is on the low side compared to the rest of the industry. ASAI is outperformed by 92.86% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 4.15 | ||
| Debt/FCF | 10.95 | ||
| Altman-Z | 2.08 |
ROIC/WACC1.44
WACC8.84%
2.3 Liquidity
A Current Ratio of 0.86 indicates that ASAI may have some problems paying its short term obligations.
Looking at the Current ratio, with a value of 0.86, ASAI is doing worse than 78.57% of the companies in the same industry.
A Quick Ratio of 0.43 indicates that ASAI may have some problems paying its short term obligations.
ASAI has a worse Quick ratio (0.43) than 64.29% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.86 | ||
| Quick Ratio | 0.43 |
3. Growth
3.1 Past
ASAI shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -21.14%.
ASAI shows a very negative growth in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -33.43% yearly.
The Revenue has grown by 12.56% in the past year. This is quite good.
ASAI shows a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 23.64% yearly.
EPS 1Y (TTM)-21.14%
EPS 3Y-20.41%
EPS 5Y-33.43%
EPS Q2Q%-11.76%
Revenue 1Y (TTM)12.56%
Revenue growth 3Y22.65%
Revenue growth 5Y23.64%
Sales Q2Q%9.18%
3.2 Future
ASAI is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 26.98% yearly.
Based on estimates for the next years, ASAI will show a quite strong growth in Revenue. The Revenue will grow by 10.96% on average per year.
EPS Next Y1.06%
EPS Next 2Y20.92%
EPS Next 3Y27.27%
EPS Next 5Y26.98%
Revenue Next Year11.26%
Revenue Next 2Y10.07%
Revenue Next 3Y9.61%
Revenue Next 5Y10.96%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
The estimated forward Revenue growth is still strong, although it is decreasing when compared to the stronger growth in the past years.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 11.97, the valuation of ASAI can be described as very reasonable.
Based on the Price/Earnings ratio, ASAI is valued cheaply inside the industry as 80.95% of the companies are valued more expensively.
ASAI is valuated cheaply when we compare the Price/Earnings ratio to 26.84, which is the current average of the S&P500 Index.
A Price/Forward Earnings ratio of 7.49 indicates a rather cheap valuation of ASAI.
ASAI's Price/Forward Earnings ratio is rather cheap when compared to the industry. ASAI is cheaper than 95.24% of the companies in the same industry.
ASAI is valuated cheaply when we compare the Price/Forward Earnings ratio to 34.94, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.97 | ||
| Fwd PE | 7.49 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, ASAI is valued cheaply inside the industry as 80.95% of the companies are valued more expensively.
Based on the Price/Free Cash Flow ratio, ASAI is valued cheaply inside the industry as 97.62% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 3.23 | ||
| EV/EBITDA | 5.65 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
A more expensive valuation may be justified as ASAI's earnings are expected to grow with 27.27% in the coming years.
PEG (NY)11.26
PEG (5Y)N/A
EPS Next 2Y20.92%
EPS Next 3Y27.27%
5. Dividend
5.1 Amount
ASAI has a Yearly Dividend Yield of 2.53%.
The stock price of ASAI dropped by -22.55% 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.
ASAI's Dividend Yield is rather good when compared to the industry average which is at 2.04. ASAI pays more dividend than 80.95% of the companies in the same industry.
Compared to an average S&P500 Dividend Yield of 2.36, ASAI has a dividend comparable with the average S&P500 company.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.53% |
5.2 History
ASAI has been paying a dividend for less than 5 years, so it still needs to build a track record.
Dividend Growth(5Y)N/A
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
DP0%
EPS Next 2Y20.92%
EPS Next 3Y27.27%
4.67
+0.08 (+1.74%)
Chartmill FA Rating
GICS SectorConsumer Staples
GICS IndustryGroupConsumer Staples Distribution & Retail
GICS IndustryConsumer Staples Distribution & Retail
Earnings (Last)
Earnings (Next)
Inst Owners77.46%
Inst Owner Change-95.88%
Ins OwnersN/A
Ins Owner ChangeN/A
Market Cap1.26B
Analysts79.13
Price Target5.69 (21.84%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.53% |
Yearly Dividend0.09
Dividend Growth(5Y)N/A
DP0%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-9.27%
Min EPS beat(2)-16.94%
Max EPS beat(2)-1.6%
EPS beat(4)0
Avg EPS beat(4)-11.78%
Min EPS beat(4)-18.24%
Max EPS beat(4)-1.6%
EPS beat(8)2
Avg EPS beat(8)-9.57%
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)-3.66%
Min Revenue beat(2)-3.85%
Max Revenue beat(2)-3.46%
Revenue beat(4)0
Avg Revenue beat(4)-3.84%
Min Revenue beat(4)-4.14%
Max Revenue beat(4)-3.46%
Revenue beat(8)0
Avg Revenue beat(8)-3.57%
Revenue beat(12)0
Avg Revenue beat(12)-3.59%
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)-9.06%
PT rev (3m)-33.49%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-17.14%
EPS NY rev (1m)0%
EPS NY rev (3m)-16.19%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-1.5%
Revenue NY rev (1m)-0.36%
Revenue NY rev (3m)-1.11%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.97 | ||
| Fwd PE | 7.49 | ||
| P/S | 0.11 | ||
| P/FCF | 3.23 | ||
| P/OCF | 1.74 | ||
| P/B | 1.53 | ||
| P/tB | N/A | ||
| EV/EBITDA | 5.65 |
EPS(TTM)0.39
EY8.35%
EPS(NY)0.62
Fwd EY13.34%
FCF(TTM)1.45
FCFY31%
OCF(TTM)2.68
OCFY57.36%
SpS44.02
BVpS3.05
TBVpS-0.11
PEG (NY)11.26
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.45% | ||
| ROE | 12.73% | ||
| ROCE | 13.91% | ||
| ROIC | 12.72% | ||
| ROICexc | 15.04% | ||
| ROICexgc | 19.66% | ||
| OM | 5.03% | ||
| PM (TTM) | 0.88% | ||
| GM | 16.48% | ||
| FCFM | 3.29% |
ROA(3y)3.9%
ROA(5y)4.41%
ROE(3y)34.95%
ROE(5y)43.75%
ROIC(3y)12.81%
ROIC(5y)13.33%
ROICexc(3y)16.11%
ROICexc(5y)25.39%
ROICexgc(3y)20.68%
ROICexgc(5y)35.73%
ROCE(3y)14.02%
ROCE(5y)14.59%
ROICexcg growth 3Y-43.85%
ROICexcg growth 5Y-16.36%
ROICexc growth 3Y-41.47%
ROICexc growth 5Y-16.63%
OM growth 3Y-9.55%
OM growth 5Y-7.56%
PM growth 3Y-34.95%
PM growth 5Y-25.57%
GM growth 3Y-0.28%
GM growth 5Y-2.14%
F-Score7
Asset Turnover1.64
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 4.15 | ||
| Debt/FCF | 10.95 | ||
| Debt/EBITDA | 3.96 | ||
| Cap/Depr | 125.3% | ||
| Cap/Sales | 2.8% | ||
| Interest Coverage | 3.47 | ||
| Cash Conversion | 83.73% | ||
| Profit Quality | 372.64% | ||
| Current Ratio | 0.86 | ||
| Quick Ratio | 0.43 | ||
| Altman-Z | 2.08 |
F-Score7
WACC8.84%
ROIC/WACC1.44
Cap/Depr(3y)363.94%
Cap/Depr(5y)300.55%
Cap/Sales(3y)6.64%
Cap/Sales(5y)5.9%
Profit Quality(3y)156.49%
Profit Quality(5y)153.84%
High Growth Momentum
Growth
EPS 1Y (TTM)-21.14%
EPS 3Y-20.41%
EPS 5Y-33.43%
EPS Q2Q%-11.76%
EPS Next Y1.06%
EPS Next 2Y20.92%
EPS Next 3Y27.27%
EPS Next 5Y26.98%
Revenue 1Y (TTM)12.56%
Revenue growth 3Y22.65%
Revenue growth 5Y23.64%
Sales Q2Q%9.18%
Revenue Next Year11.26%
Revenue Next 2Y10.07%
Revenue Next 3Y9.61%
Revenue Next 5Y10.96%
EBIT growth 1Y19.34%
EBIT growth 3Y10.93%
EBIT growth 5Y14.29%
EBIT Next Year65.73%
EBIT Next 3Y25.23%
EBIT Next 5Y22.86%
FCF growth 1Y2235.14%
FCF growth 3Y13.04%
FCF growth 5Y35.01%
OCF growth 1Y-13.22%
OCF growth 3Y19.46%
OCF growth 5Y31.01%