STANDARDAERO INC (SARO) Stock Fundamental Analysis
USA - NYSE:SARO - US85423L1035 - Common Stock
28.53 USD
-0.33 (-1.14%)
28.53 USD
0 (0%)
Overall SARO gets a fundamental rating of 4 out of 10. We evaluated SARO against 70 industry peers in the Aerospace & Defense industry. While SARO is still in line with the averages on profitability rating, there are concerns on its financial health. SARO has a correct valuation and a medium growth rate.
1. Profitability
1.1 Basic Checks
In the past year SARO was profitable.
SARO had a positive operating cash flow in the past year.
1.2 Ratios
SARO's Return On Assets of 2.05% is in line compared to the rest of the industry. SARO outperforms 50.00% of its industry peers.
With a Return On Equity value of 5.29%, SARO perfoms like the industry average, outperforming 54.29% of the companies in the same industry.
The Return On Invested Capital of SARO (6.97%) is better than 64.29% of its industry peers.
The Average Return On Invested Capital over the past 3 years for SARO is below the industry average of 8.43%.
The 3 year average ROIC (5.55%) for SARO is below the current ROIC(6.97%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.05% | ||
| ROE | 5.29% | ||
| ROIC | 6.97% |
ROA(3y)-0.27%
ROA(5y)N/A
ROE(3y)-1.45%
ROE(5y)N/A
ROIC(3y)5.55%
ROIC(5y)N/A
1.3 Margins
With a Profit Margin value of 2.37%, SARO perfoms like the industry average, outperforming 51.43% of the companies in the same industry.
SARO's Operating Margin of 8.16% is in line compared to the rest of the industry. SARO outperforms 52.86% of its industry peers.
SARO's Operating Margin has improved in the last couple of years.
The Gross Margin of SARO (14.90%) is worse than 74.29% of its industry peers.
In the last couple of years the Gross Margin of SARO has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 8.16% | ||
| PM (TTM) | 2.37% | ||
| GM | 14.9% |
OM growth 3Y17.41%
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y6.43%
GM growth 5YN/A
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), SARO is destroying value.
Compared to 1 year ago, SARO has about the same amount of shares outstanding.
SARO has a better debt/assets ratio than last year.
2.2 Solvency
An Altman-Z score of 2.52 indicates that SARO is not a great score, but indicates only limited risk for bankruptcy at the moment.
SARO has a worse Altman-Z score (2.52) than 64.29% of its industry peers.
SARO has a Debt/Equity ratio of 0.91. This is a neutral value indicating SARO is somewhat dependend on debt financing.
The Debt to Equity ratio of SARO (0.91) is worse than 72.86% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.91 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 2.52 |
ROIC/WACC0.68
WACC10.21%
2.3 Liquidity
SARO has a Current Ratio of 2.15. This indicates that SARO is financially healthy and has no problem in meeting its short term obligations.
The Current ratio of SARO (2.15) is comparable to the rest of the industry.
SARO has a Quick Ratio of 1.49. This is a normal value and indicates that SARO is financially healthy and should not expect problems in meeting its short term obligations.
The Quick ratio of SARO (1.49) is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.15 | ||
| Quick Ratio | 1.49 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 1452.33% over the past year.
The Revenue has grown by 16.09% in the past year. This is quite good.
Measured over the past years, SARO shows a quite strong growth in Revenue. The Revenue has been growing by 14.60% on average per year.
EPS 1Y (TTM)1452.33%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%913%
Revenue 1Y (TTM)16.09%
Revenue growth 3Y14.6%
Revenue growth 5YN/A
Sales Q2Q%13.49%
3.2 Future
Based on estimates for the next years, SARO will show a very strong growth in Earnings Per Share. The EPS will grow by 64.53% on average per year.
SARO is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 11.41% yearly.
EPS Next Y177.04%
EPS Next 2Y89.79%
EPS Next 3Y64.53%
EPS Next 5YN/A
Revenue Next Year14.66%
Revenue Next 2Y12.51%
Revenue Next 3Y11.41%
Revenue Next 5YN/A
3.3 Evolution
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
Based on the Price/Earnings ratio of 37.54, the valuation of SARO can be described as expensive.
Based on the Price/Earnings ratio, SARO is valued a bit cheaper than the industry average as 70.00% of the companies are valued more expensively.
SARO is valuated rather expensively when we compare the Price/Earnings ratio to 26.83, which is the current average of the S&P500 Index.
Based on the Price/Forward Earnings ratio of 23.77, the valuation of SARO can be described as rather expensive.
Based on the Price/Forward Earnings ratio, SARO is valued a bit cheaper than the industry average as 77.14% of the companies are valued more expensively.
SARO's Price/Forward Earnings ratio indicates a similar valuation than the S&P500 average which is at 22.88.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 37.54 | ||
| Fwd PE | 23.77 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, SARO is valued a bit cheaper than the industry average as 72.86% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 18.28 |
4.3 Compensation for Growth
SARO's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
A more expensive valuation may be justified as SARO's earnings are expected to grow with 64.53% in the coming years.
PEG (NY)0.21
PEG (5Y)N/A
EPS Next 2Y89.79%
EPS Next 3Y64.53%
5. Dividend
5.1 Amount
SARO does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
28.53
-0.33 (-1.14%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryAerospace & Defense
Earnings (Last)
Earnings (Next)
Inst Owners59.57%
Inst Owner Change-0.01%
Ins Owners0.45%
Ins Owner Change-27.2%
Market Cap9.54B
Revenue(TTM)5.62B
Net Income(TTM)133.04M
Analysts81.33
Price Target36.49 (27.9%)
Short Float %3.56%
Short Ratio3.78
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)18.64%
Min EPS beat(2)6.56%
Max EPS beat(2)30.72%
EPS beat(4)4
Avg EPS beat(4)33.39%
Min EPS beat(4)6.56%
Max EPS beat(4)87.55%
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)2
Avg Revenue beat(2)2.64%
Min Revenue beat(2)0.26%
Max Revenue beat(2)5.02%
Revenue beat(4)3
Avg Revenue beat(4)1.46%
Min Revenue beat(4)-0.43%
Max Revenue beat(4)5.02%
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)0.62%
PT rev (3m)2.22%
EPS NQ rev (1m)-6.82%
EPS NQ rev (3m)-3.3%
EPS NY rev (1m)0%
EPS NY rev (3m)6.47%
Revenue NQ rev (1m)-0.14%
Revenue NQ rev (3m)0.21%
Revenue NY rev (1m)-0.41%
Revenue NY rev (3m)0.36%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 37.54 | ||
| Fwd PE | 23.77 | ||
| P/S | 1.7 | ||
| P/FCF | N/A | ||
| P/OCF | 130.04 | ||
| P/B | 3.8 | ||
| P/tB | N/A | ||
| EV/EBITDA | 18.28 |
EPS(TTM)0.76
EY2.66%
EPS(NY)1.2
Fwd EY4.21%
FCF(TTM)-0.24
FCFYN/A
OCF(TTM)0.22
OCFY0.77%
SpS16.8
BVpS7.51
TBVpS-1.2
PEG (NY)0.21
PEG (5Y)N/A
Graham Number11.34
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.05% | ||
| ROE | 5.29% | ||
| ROCE | 8.82% | ||
| ROIC | 6.97% | ||
| ROICexc | 7.09% | ||
| ROICexgc | 16.54% | ||
| OM | 8.16% | ||
| PM (TTM) | 2.37% | ||
| GM | 14.9% | ||
| FCFM | N/A |
ROA(3y)-0.27%
ROA(5y)N/A
ROE(3y)-1.45%
ROE(5y)N/A
ROIC(3y)5.55%
ROIC(5y)N/A
ROICexc(3y)5.66%
ROICexc(5y)N/A
ROICexgc(3y)15.32%
ROICexgc(5y)N/A
ROCE(3y)7.03%
ROCE(5y)N/A
ROICexgc growth 3YN/A
ROICexgc growth 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5YN/A
OM growth 3Y17.41%
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y6.43%
GM growth 5YN/A
F-Score6
Asset Turnover0.87
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.91 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 3.53 | ||
| Cap/Depr | 81.04% | ||
| Cap/Sales | 2.76% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 11.29% | ||
| Profit Quality | N/A | ||
| Current Ratio | 2.15 | ||
| Quick Ratio | 1.49 | ||
| Altman-Z | 2.52 |
F-Score6
WACC10.21%
ROIC/WACC0.68
Cap/Depr(3y)43.93%
Cap/Depr(5y)N/A
Cap/Sales(3y)1.76%
Cap/Sales(5y)N/A
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)1452.33%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%913%
EPS Next Y177.04%
EPS Next 2Y89.79%
EPS Next 3Y64.53%
EPS Next 5YN/A
Revenue 1Y (TTM)16.09%
Revenue growth 3Y14.6%
Revenue growth 5YN/A
Sales Q2Q%13.49%
Revenue Next Year14.66%
Revenue Next 2Y12.51%
Revenue Next 3Y11.41%
Revenue Next 5YN/A
EBIT growth 1Y25.53%
EBIT growth 3Y34.55%
EBIT growth 5YN/A
EBIT Next Year87.66%
EBIT Next 3Y33.2%
EBIT Next 5YN/A
FCF growth 1Y-169.03%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y12.43%
OCF growth 3Y-16.42%
OCF growth 5YN/A
STANDARDAERO INC / SARO FAQ
What is the ChartMill fundamental rating of STANDARDAERO INC (SARO) stock?
ChartMill assigns a fundamental rating of 4 / 10 to SARO.
What is the valuation status of STANDARDAERO INC (SARO) stock?
ChartMill assigns a valuation rating of 4 / 10 to STANDARDAERO INC (SARO). This can be considered as Fairly Valued.
How profitable is STANDARDAERO INC (SARO) stock?
STANDARDAERO INC (SARO) has a profitability rating of 4 / 10.
How financially healthy is STANDARDAERO INC?
The financial health rating of STANDARDAERO INC (SARO) is 3 / 10.