SAPUTO INC (SAP.CA) Stock Fundamental Analysis
TSX:SAP - Toronto Stock Exchange - CA8029121057 - Common Stock - Currency: CAD
Overall SAP gets a fundamental rating of 4 out of 10. We evaluated SAP against 19 industry peers in the Food Products industry. SAP has an average financial health and profitability rating. SAP has a correct valuation and a medium growth rate.
1. Profitability
1.1 Basic Checks
In the past year SAP was profitable.
In the past year SAP had a positive cash flow from operations.
In the past 5 years SAP has always been profitable.
In the past 5 years SAP always reported a positive cash flow from operatings.
1.2 Ratios
Looking at the Return On Assets, with a value of -1.14%, SAP is doing worse than 63.16% of the companies in the same industry.
SAP has a Return On Equity (-2.26%) which is in line with its industry peers.
SAP's Return On Invested Capital of 5.04% is on the low side compared to the rest of the industry. SAP is outperformed by 63.16% of its industry peers.
The Average Return On Invested Capital over the past 3 years for SAP is in line with the industry average of 6.53%.
The last Return On Invested Capital (5.04%) for SAP is above the 3 year average (4.96%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -1.14% | ||
| ROE | -2.26% | ||
| ROIC | 5.04% |
ROA(3y)2.72%
ROA(5y)3.43%
ROE(3y)5.56%
ROE(5y)7.06%
ROIC(3y)4.96%
ROIC(5y)5.43%
1.3 Margins
In the last couple of years the Profit Margin of SAP has declined.
Looking at the Operating Margin, with a value of 4.08%, SAP is doing worse than 63.16% of the companies in the same industry.
SAP's Operating Margin has declined in the last couple of years.
SAP has a Gross Margin of 29.53%. This is amongst the best in the industry. SAP outperforms 100.00% of its industry peers.
SAP's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 4.08% | ||
| PM (TTM) | N/A | ||
| GM | 29.53% |
OM growth 3Y-12.2%
OM growth 5Y-8.54%
PM growth 3Y-29.6%
PM growth 5Y-22.85%
GM growth 3Y-2.11%
GM growth 5Y-0.67%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so SAP is destroying value.
Compared to 1 year ago, SAP has more shares outstanding
SAP has more shares outstanding than it did 5 years ago.
The debt/assets ratio for SAP has remained at the same level compared to a year ago.
2.2 Solvency
SAP has an Altman-Z score of 3.05. This indicates that SAP is financially healthy and has little risk of bankruptcy at the moment.
SAP has a better Altman-Z score (3.05) than 89.47% of its industry peers.
SAP has a debt to FCF ratio of 5.85. This is a neutral value as SAP would need 5.85 years to pay back of all of its debts.
The Debt to FCF ratio of SAP (5.85) is better than 78.95% of its industry peers.
SAP has a Debt/Equity ratio of 0.44. This is a healthy value indicating a solid balance between debt and equity.
With an excellent Debt to Equity ratio value of 0.44, SAP belongs to the best of the industry, outperforming 84.21% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.44 | ||
| Debt/FCF | 5.85 | ||
| Altman-Z | 3.05 |
ROIC/WACC0.78
WACC6.45%
2.3 Liquidity
SAP has a Current Ratio of 1.53. This is a normal value and indicates that SAP is financially healthy and should not expect problems in meeting its short term obligations.
The Current ratio of SAP (1.53) is better than 63.16% of its industry peers.
SAP has a Quick Ratio of 1.53. This is a bad value and indicates that SAP is not financially healthy enough and could expect problems in meeting its short term obligations.
SAP has a Quick ratio of 0.60. This is in the better half of the industry: SAP outperforms 68.42% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.53 | ||
| Quick Ratio | 0.6 |
3. Growth
3.1 Past
The earnings per share for SAP have decreased by -7.32% in the last year.
SAP shows a decrease in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -0.64% yearly.
The Revenue has grown by 9.20% in the past year. This is quite good.
The Revenue has been growing slightly by 5.13% on average over the past years.
EPS 1Y (TTM)-7.32%
EPS 3Y-0.22%
EPS 5Y-0.64%
EPS Q2Q%2.63%
Revenue 1Y (TTM)9.2%
Revenue growth 3Y6.66%
Revenue growth 5Y5.13%
Sales Q2Q%17.04%
3.2 Future
SAP is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 8.62% yearly.
Based on estimates for the next years, SAP will show a small growth in Revenue. The Revenue will grow by 3.61% on average per year.
EPS Next Y1.39%
EPS Next 2Y11.86%
EPS Next 3Y13.26%
EPS Next 5Y8.62%
Revenue Next Year11.15%
Revenue Next 2Y7.06%
Revenue Next 3Y4.92%
Revenue Next 5Y3.61%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
SAP is valuated rather expensively with a Price/Earnings ratio of 17.09.
Compared to the rest of the industry, the Price/Earnings ratio of SAP indicates a somewhat cheap valuation: SAP is cheaper than 78.95% of the companies listed in the same industry.
The average S&P500 Price/Earnings ratio is at 28.22. SAP is valued slightly cheaper when compared to this.
The Price/Forward Earnings ratio is 13.48, which indicates a correct valuation of SAP.
84.21% of the companies in the same industry are more expensive than SAP, based on the Price/Forward Earnings ratio.
SAP is valuated rather cheaply when we compare the Price/Forward Earnings ratio to 20.86, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 17.09 | ||
| Fwd PE | 13.48 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, SAP is valued a bit cheaper than the industry average as 63.16% of the companies are valued more expensively.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of SAP indicates a somewhat cheap valuation: SAP is cheaper than 73.68% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 17.56 | ||
| EV/EBITDA | 9.86 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates SAP does not grow enough to justify the current Price/Earnings ratio.
A more expensive valuation may be justified as SAP's earnings are expected to grow with 13.26% in the coming years.
PEG (NY)12.33
PEG (5Y)N/A
EPS Next 2Y11.86%
EPS Next 3Y13.26%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 2.95%, SAP has a reasonable but not impressive dividend return.
SAP's Dividend Yield is comparable with the industry average which is at 4.39.
SAP's Dividend Yield is a higher than the S&P500 average which is at 2.44.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.95% |
5.2 History
The dividend of SAP decreases each year by -2.45%.
SAP has been paying a dividend for at least 10 years, so it has a reliable track record.
SAP has not decreased its dividend for at least 10 years, so it has a reliable track record of non decreasing dividend.
Dividend Growth(5Y)-2.45%
Div Incr Years26
Div Non Decr Years26
5.3 Sustainability
The earnings of SAP are negative and hence is the payout ratio. SAP will probably not be able to sustain this dividend level.
DP-201.9%
EPS Next 2Y11.86%
EPS Next 3Y13.26%
TSX:SAP (5/2/2025, 7:00:00 PM)
25.98
+0.19 (+0.74%)
Chartmill FA Rating
GICS SectorConsumer Staples
GICS IndustryGroupFood, Beverage & Tobacco
GICS IndustryFood Products
Earnings (Last)
Earnings (Next)
Inst Owners25.42%
Inst Owner ChangeN/A
Ins Owners0.14%
Ins Owner ChangeN/A
Market Cap10.87B
Analysts76
Price Target30.94 (19.09%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.95% |
Yearly Dividend0.58
Dividend Growth(5Y)-2.45%
DP-201.9%
Div Incr Years26
Div Non Decr Years26
Ex-Date
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-4.38%
Min EPS beat(2)-4.49%
Max EPS beat(2)-4.28%
EPS beat(4)2
Avg EPS beat(4)-0.37%
Min EPS beat(4)-4.49%
Max EPS beat(4)5.01%
EPS beat(8)4
Avg EPS beat(8)1%
EPS beat(12)8
Avg EPS beat(12)5.22%
EPS beat(16)10
Avg EPS beat(16)1.6%
Revenue beat(2)2
Avg Revenue beat(2)2.94%
Min Revenue beat(2)1.75%
Max Revenue beat(2)4.13%
Revenue beat(4)4
Avg Revenue beat(4)3.7%
Min Revenue beat(4)1.75%
Max Revenue beat(4)4.63%
Revenue beat(8)5
Avg Revenue beat(8)0.48%
Revenue beat(12)8
Avg Revenue beat(12)1.35%
Revenue beat(16)10
Avg Revenue beat(16)0.65%
PT rev (1m)-0.95%
PT rev (3m)-4.38%
EPS NQ rev (1m)-1.73%
EPS NQ rev (3m)-13.93%
EPS NY rev (1m)-0.21%
EPS NY rev (3m)-3.08%
Revenue NQ rev (1m)-0.98%
Revenue NQ rev (3m)-0.42%
Revenue NY rev (1m)-0.17%
Revenue NY rev (3m)1.67%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 17.09 | ||
| Fwd PE | 13.48 | ||
| P/S | 0.58 | ||
| P/FCF | 17.56 | ||
| P/OCF | 9.95 | ||
| P/B | 1.55 | ||
| P/tB | 3.27 | ||
| EV/EBITDA | 9.86 |
EPS(TTM)1.52
EY5.85%
EPS(NY)1.93
Fwd EY7.42%
FCF(TTM)1.48
FCFY5.69%
OCF(TTM)2.61
OCFY10.05%
SpS45.05
BVpS16.74
TBVpS7.93
PEG (NY)12.33
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -1.14% | ||
| ROE | -2.26% | ||
| ROCE | 7.22% | ||
| ROIC | 5.04% | ||
| ROICexc | 5.2% | ||
| ROICexgc | 7.88% | ||
| OM | 4.08% | ||
| PM (TTM) | N/A | ||
| GM | 29.53% | ||
| FCFM | 3.28% |
ROA(3y)2.72%
ROA(5y)3.43%
ROE(3y)5.56%
ROE(5y)7.06%
ROIC(3y)4.96%
ROIC(5y)5.43%
ROICexc(3y)5.09%
ROICexc(5y)5.58%
ROICexgc(3y)8.46%
ROICexgc(5y)9.46%
ROCE(3y)7.04%
ROCE(5y)7.68%
ROICexcg growth 3Y-9.45%
ROICexcg growth 5Y-11.52%
ROICexc growth 3Y-7.31%
ROICexc growth 5Y-9.97%
OM growth 3Y-12.2%
OM growth 5Y-8.54%
PM growth 3Y-29.6%
PM growth 5Y-22.85%
GM growth 3Y-2.11%
GM growth 5Y-0.67%
F-Score5
Asset Turnover1.36
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.44 | ||
| Debt/FCF | 5.85 | ||
| Debt/EBITDA | 2.23 | ||
| Cap/Depr | 76.58% | ||
| Cap/Sales | 2.51% | ||
| Interest Coverage | 4.18 | ||
| Cash Conversion | 78.69% | ||
| Profit Quality | N/A | ||
| Current Ratio | 1.53 | ||
| Quick Ratio | 0.6 | ||
| Altman-Z | 3.05 |
F-Score5
WACC6.45%
ROIC/WACC0.78
Cap/Depr(3y)102.99%
Cap/Depr(5y)103.28%
Cap/Sales(3y)3.56%
Cap/Sales(5y)3.51%
Profit Quality(3y)120.61%
Profit Quality(5y)110.16%
High Growth Momentum
Growth
EPS 1Y (TTM)-7.32%
EPS 3Y-0.22%
EPS 5Y-0.64%
EPS Q2Q%2.63%
EPS Next Y1.39%
EPS Next 2Y11.86%
EPS Next 3Y13.26%
EPS Next 5Y8.62%
Revenue 1Y (TTM)9.2%
Revenue growth 3Y6.66%
Revenue growth 5Y5.13%
Sales Q2Q%17.04%
Revenue Next Year11.15%
Revenue Next 2Y7.06%
Revenue Next 3Y4.92%
Revenue Next 5Y3.61%
EBIT growth 1Y-11.39%
EBIT growth 3Y-6.36%
EBIT growth 5Y-3.84%
EBIT Next Year70.19%
EBIT Next 3Y26.78%
EBIT Next 5Y14.98%
FCF growth 1Y95.27%
FCF growth 3Y-6.69%
FCF growth 5Y2.95%
OCF growth 1Y27.09%
OCF growth 3Y2.87%
OCF growth 5Y5.76%