STEELCASE INC-CL A (SCS) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:SCS - US8581552036 - Common Stock
16.14 USD
+0.02 (+0.12%)
16.1596 USD
+0.02 (+0.12%)
We assign a fundamental rating of 5 out of 10 to SCS. SCS was compared to 82 industry peers in the Commercial Services & Supplies industry. SCS has an average financial health and profitability rating. SCS has a correct valuation and a medium growth rate.
1. Profitability
1.1 Basic Checks
In the past year SCS was profitable.
In the past year SCS had a positive cash flow from operations.
In the past 5 years SCS has always been profitable.
SCS had a positive operating cash flow in 4 of the past 5 years.
1.2 Ratios
The Return On Assets of SCS (3.92%) is better than 65.85% of its industry peers.
SCS has a better Return On Equity (9.07%) than 65.85% of its industry peers.
SCS has a better Return On Invested Capital (7.24%) than 63.41% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for SCS is below the industry average of 10.25%.
The last Return On Invested Capital (7.24%) for SCS is above the 3 year average (6.65%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.92% | ||
| ROE | 9.07% | ||
| ROIC | 7.24% |
ROA(3y)3.35%
ROA(5y)2.26%
ROE(3y)8.39%
ROE(5y)5.66%
ROIC(3y)6.65%
ROIC(5y)4.99%
1.3 Margins
Looking at the Profit Margin, with a value of 2.83%, SCS is in line with its industry, outperforming 57.32% of the companies in the same industry.
In the last couple of years the Profit Margin of SCS has declined.
Looking at the Operating Margin, with a value of 4.68%, SCS is in line with its industry, outperforming 48.78% of the companies in the same industry.
SCS's Operating Margin has declined in the last couple of years.
With a Gross Margin value of 33.60%, SCS perfoms like the industry average, outperforming 52.44% of the companies in the same industry.
SCS's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 4.68% | ||
| PM (TTM) | 2.83% | ||
| GM | 33.6% |
OM growth 3Y94.51%
OM growth 5Y-5.06%
PM growth 3Y197.03%
PM growth 5Y-6.86%
GM growth 3Y6.72%
GM growth 5Y0.45%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so SCS is destroying value.
SCS has less shares outstanding than it did 1 year ago.
Compared to 5 years ago, SCS has less shares outstanding
SCS has a better debt/assets ratio than last year.
2.2 Solvency
SCS has an Altman-Z score of 3.24. This indicates that SCS is financially healthy and has little risk of bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 3.24, SCS is in the better half of the industry, outperforming 65.85% of the companies in the same industry.
SCS has a Debt/Equity ratio of 0.44. This is a healthy value indicating a solid balance between debt and equity.
SCS has a Debt to Equity ratio (0.44) which is in line with its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.44 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 3.24 |
ROIC/WACC0.89
WACC8.13%
2.3 Liquidity
SCS has a Current Ratio of 1.66. This is a normal value and indicates that SCS is financially healthy and should not expect problems in meeting its short term obligations.
With a Current ratio value of 1.66, SCS perfoms like the industry average, outperforming 59.76% of the companies in the same industry.
A Quick Ratio of 1.18 indicates that SCS should not have too much problems paying its short term obligations.
SCS has a Quick ratio (1.18) which is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.66 | ||
| Quick Ratio | 1.18 |
3. Growth
3.1 Past
SCS shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 12.04%, which is quite good.
SCS shows a decrease in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -5.84% yearly.
SCS shows a small growth in Revenue. In the last year, the Revenue has grown by 3.92%.
The Revenue has been decreasing by -3.19% on average over the past years.
EPS 1Y (TTM)12.04%
EPS 3Y233.22%
EPS 5Y-5.84%
EPS Q2Q%15.38%
Revenue 1Y (TTM)3.92%
Revenue growth 3Y4.52%
Revenue growth 5Y-3.19%
Sales Q2Q%4.83%
3.2 Future
Based on estimates for the next years, SCS will show a small growth in Earnings Per Share. The EPS will grow by 7.07% on average per year.
Based on estimates for the next years, SCS will show a small growth in Revenue. The Revenue will grow by 3.54% on average per year.
EPS Next Y2.36%
EPS Next 2Y7.07%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year4.26%
Revenue Next 2Y3.54%
Revenue Next 3YN/A
Revenue Next 5YN/A
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
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
SCS is valuated correctly with a Price/Earnings ratio of 13.34.
82.93% of the companies in the same industry are more expensive than SCS, based on the Price/Earnings ratio.
The average S&P500 Price/Earnings ratio is at 26.28. SCS is valued slightly cheaper when compared to this.
A Price/Forward Earnings ratio of 12.68 indicates a correct valuation of SCS.
SCS's Price/Forward Earnings ratio is rather cheap when compared to the industry. SCS is cheaper than 81.71% of the companies in the same industry.
SCS's Price/Forward Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 23.52.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 13.34 | ||
| Fwd PE | 12.68 |
4.2 Price Multiples
73.17% of the companies in the same industry are more expensive than SCS, based on the Enterprise Value to EBITDA ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 8.69 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates SCS does not grow enough to justify the current Price/Earnings ratio.
PEG (NY)5.64
PEG (5Y)N/A
EPS Next 2Y7.07%
EPS Next 3YN/A
5. Dividend
5.1 Amount
SCS has a Yearly Dividend Yield of 2.46%.
Compared to an average industry Dividend Yield of 2.46, SCS pays a better dividend. On top of this SCS pays more dividend than 87.80% of the companies listed in the same industry.
SCS's Dividend Yield is comparable with the S&P500 average which is at 2.31.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.46% |
5.2 History
The dividend of SCS decreases each year by -6.70%.
SCS has been paying a dividend for at least 10 years, so it has a reliable track record.
SCS has decreased its dividend recently.
Dividend Growth(5Y)-6.7%
Div Incr Years1
Div Non Decr Years1
5.3 Sustainability
SCS pays out 51.74% of its income as dividend. This is a bit on the high side, but may be sustainable.
DP51.74%
EPS Next 2Y7.07%
EPS Next 3YN/A
16.14
+0.02 (+0.12%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCommercial & Professional Services
GICS IndustryCommercial Services & Supplies
Earnings (Last)
Earnings (Next)
Inst Owners89.81%
Inst Owner Change17.93%
Ins Owners3.66%
Ins Owner Change24.67%
Market Cap1.85B
Revenue(TTM)3.26B
Net Income(TTM)92.20M
Analysts76.67
Price Target17.16 (6.32%)
Short Float %3.04%
Short Ratio1.99
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.46% |
Yearly Dividend0.42
Dividend Growth(5Y)-6.7%
DP51.74%
Div Incr Years1
Div Non Decr Years1
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)34.37%
Min EPS beat(2)22.07%
Max EPS beat(2)46.68%
EPS beat(4)4
Avg EPS beat(4)32.33%
Min EPS beat(4)22.07%
Max EPS beat(4)46.68%
EPS beat(8)8
Avg EPS beat(8)29.15%
EPS beat(12)12
Avg EPS beat(12)81.87%
EPS beat(16)14
Avg EPS beat(16)31.96%
Revenue beat(2)2
Avg Revenue beat(2)1.41%
Min Revenue beat(2)1.16%
Max Revenue beat(2)1.66%
Revenue beat(4)2
Avg Revenue beat(4)0.24%
Min Revenue beat(4)-1.69%
Max Revenue beat(4)1.66%
Revenue beat(8)2
Avg Revenue beat(8)-0.89%
Revenue beat(12)5
Avg Revenue beat(12)0.18%
Revenue beat(16)6
Avg Revenue beat(16)-0.04%
PT rev (1m)0%
PT rev (3m)3.54%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-2.06%
EPS NY rev (1m)0%
EPS NY rev (3m)5.14%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)0.43%
Revenue NY rev (1m)0%
Revenue NY rev (3m)0.76%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 13.34 | ||
| Fwd PE | 12.68 | ||
| P/S | 0.57 | ||
| P/FCF | N/A | ||
| P/OCF | 107.14 | ||
| P/B | 1.82 | ||
| P/tB | 2.77 | ||
| EV/EBITDA | 8.69 |
EPS(TTM)1.21
EY7.5%
EPS(NY)1.27
Fwd EY7.88%
FCF(TTM)-0.32
FCFYN/A
OCF(TTM)0.15
OCFY0.93%
SpS28.38
BVpS8.85
TBVpS5.83
PEG (NY)5.64
PEG (5Y)N/A
Graham Number15.52
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.92% | ||
| ROE | 9.07% | ||
| ROCE | 8.74% | ||
| ROIC | 7.24% | ||
| ROICexc | 8.49% | ||
| ROICexgc | 11.08% | ||
| OM | 4.68% | ||
| PM (TTM) | 2.83% | ||
| GM | 33.6% | ||
| FCFM | N/A |
ROA(3y)3.35%
ROA(5y)2.26%
ROE(3y)8.39%
ROE(5y)5.66%
ROIC(3y)6.65%
ROIC(5y)4.99%
ROICexc(3y)8.17%
ROICexc(5y)6.22%
ROICexgc(3y)11.25%
ROICexgc(5y)8.46%
ROCE(3y)8.02%
ROCE(5y)6.02%
ROICexgc growth 3Y119.71%
ROICexgc growth 5Y-6.65%
ROICexc growth 3Y114.39%
ROICexc growth 5Y-7.23%
OM growth 3Y94.51%
OM growth 5Y-5.06%
PM growth 3Y197.03%
PM growth 5Y-6.86%
GM growth 3Y6.72%
GM growth 5Y0.45%
F-Score7
Asset Turnover1.39
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.44 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 1.95 | ||
| Cap/Depr | 70.45% | ||
| Cap/Sales | 1.68% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 7.52% | ||
| Profit Quality | N/A | ||
| Current Ratio | 1.66 | ||
| Quick Ratio | 1.18 | ||
| Altman-Z | 3.24 |
F-Score7
WACC8.13%
ROIC/WACC0.89
Cap/Depr(3y)60.1%
Cap/Depr(5y)60.3%
Cap/Sales(3y)1.6%
Cap/Sales(5y)1.72%
Profit Quality(3y)170.46%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)12.04%
EPS 3Y233.22%
EPS 5Y-5.84%
EPS Q2Q%15.38%
EPS Next Y2.36%
EPS Next 2Y7.07%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)3.92%
Revenue growth 3Y4.52%
Revenue growth 5Y-3.19%
Sales Q2Q%4.83%
Revenue Next Year4.26%
Revenue Next 2Y3.54%
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y-20.61%
EBIT growth 3Y103.3%
EBIT growth 5Y-8.09%
EBIT Next Year59.62%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y-115.51%
FCF growth 3YN/A
FCF growth 5Y-18.81%
OCF growth 1Y-94.14%
OCF growth 3YN/A
OCF growth 5Y-16.27%
STEELCASE INC-CL A / SCS FAQ
What is the ChartMill fundamental rating of STEELCASE INC-CL A (SCS) stock?
ChartMill assigns a fundamental rating of 5 / 10 to SCS.
What is the valuation status for SCS stock?
ChartMill assigns a valuation rating of 4 / 10 to STEELCASE INC-CL A (SCS). This can be considered as Fairly Valued.
How profitable is STEELCASE INC-CL A (SCS) stock?
STEELCASE INC-CL A (SCS) has a profitability rating of 5 / 10.
How financially healthy is STEELCASE INC-CL A?
The financial health rating of STEELCASE INC-CL A (SCS) is 5 / 10.
Can you provide the dividend sustainability for SCS stock?
The dividend rating of STEELCASE INC-CL A (SCS) is 4 / 10 and the dividend payout ratio is 51.74%.