39.84 USD
+0.13 (+0.33%)
39.84 USD
0 (0%)
SCSC gets a fundamental rating of 6 out of 10. The analysis compared the fundamentals against 124 industry peers in the Electronic Equipment, Instruments & Components industry. SCSC is in great health and has no worries on liquidiy or solvency at all, but the profibility rating is only average. A decent growth rate in combination with a cheap valuation! Better keep an eye on SCSC. These ratings would make SCSC suitable for value investing!
1. Profitability
1.1 Basic Checks
SCSC had positive earnings in the past year.
In the past year SCSC had a positive cash flow from operations.
Each year in the past 5 years SCSC has been profitable.
In multiple years SCSC reported negative operating cash flow during the last 5 years.
1.2 Ratios
SCSC's Return On Assets of 4.34% is fine compared to the rest of the industry. SCSC outperforms 68.55% of its industry peers.
SCSC has a Return On Equity of 8.15%. This is in the better half of the industry: SCSC outperforms 69.35% of its industry peers.
SCSC has a better Return On Invested Capital (6.46%) than 66.13% of its industry peers.
The Average Return On Invested Capital over the past 3 years for SCSC is below the industry average of 9.30%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.34% | ||
| ROE | 8.15% | ||
| ROIC | 6.46% |
ROA(3y)4.23%
ROA(5y)3.58%
ROE(3y)8.72%
ROE(5y)7.73%
ROIC(3y)6.97%
ROIC(5y)7%
1.3 Margins
SCSC's Profit Margin of 2.48% is in line compared to the rest of the industry. SCSC outperforms 58.06% of its industry peers.
SCSC's Profit Margin has declined in the last couple of years.
SCSC has a Operating Margin (3.12%) which is in line with its industry peers.
SCSC's Operating Margin has improved in the last couple of years.
SCSC has a Gross Margin of 13.79%. This is in the lower half of the industry: SCSC underperforms 74.19% of its industry peers.
SCSC's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 3.12% | ||
| PM (TTM) | 2.48% | ||
| GM | 13.79% |
OM growth 3Y-4.89%
OM growth 5Y10.34%
PM growth 3Y-2.2%
PM growth 5YN/A
GM growth 3Y3.61%
GM growth 5Y2.87%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so SCSC is destroying value.
SCSC has less shares outstanding than it did 1 year ago.
The number of shares outstanding for SCSC has been reduced compared to 5 years ago.
The debt/assets ratio for SCSC has been reduced compared to a year ago.
2.2 Solvency
An Altman-Z score of 3.91 indicates that SCSC is not in any danger for bankruptcy at the moment.
SCSC has a Altman-Z score (3.91) which is in line with its industry peers.
The Debt to FCF ratio of SCSC is 1.62, which is an excellent value as it means it would take SCSC, only 1.62 years of fcf income to pay off all of its debts.
SCSC has a better Debt to FCF ratio (1.62) than 80.65% of its industry peers.
A Debt/Equity ratio of 0.14 indicates that SCSC is not too dependend on debt financing.
Looking at the Debt to Equity ratio, with a value of 0.14, SCSC is in line with its industry, outperforming 50.81% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.14 | ||
| Debt/FCF | 1.62 | ||
| Altman-Z | 3.91 |
ROIC/WACC0.72
WACC8.91%
2.3 Liquidity
SCSC has a Current Ratio of 2.16. This indicates that SCSC is financially healthy and has no problem in meeting its short term obligations.
SCSC has a Current ratio (2.16) which is in line with its industry peers.
SCSC has a Quick Ratio of 1.32. This is a normal value and indicates that SCSC is financially healthy and should not expect problems in meeting its short term obligations.
SCSC has a Quick ratio of 1.32. This is in the lower half of the industry: SCSC underperforms 62.10% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.16 | ||
| Quick Ratio | 1.32 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an nice 19.18% over the past year.
SCSC shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 11.73% yearly.
The Revenue has decreased by -4.88% in the past year.
SCSC shows a decrease in Revenue. Measured over the last years, the Revenue has been decreasing by -0.05% yearly.
EPS 1Y (TTM)19.18%
EPS 3Y-3.4%
EPS 5Y11.73%
EPS Q2Q%26.19%
Revenue 1Y (TTM)-4.88%
Revenue growth 3Y-4.85%
Revenue growth 5Y-0.05%
Sales Q2Q%-4.63%
3.2 Future
SCSC is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 24.78% yearly.
Based on estimates for the next years, SCSC will show a small growth in Revenue. The Revenue will grow by 5.71% on average per year.
EPS Next Y20.91%
EPS Next 2Y16.28%
EPS Next 3Y24.78%
EPS Next 5YN/A
Revenue Next Year4.57%
Revenue Next 2Y4.95%
Revenue Next 3Y5.71%
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.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 10.51 indicates a reasonable valuation of SCSC.
93.55% of the companies in the same industry are more expensive than SCSC, based on the Price/Earnings ratio.
SCSC is valuated cheaply when we compare the Price/Earnings ratio to 26.84, which is the current average of the S&P500 Index.
The Price/Forward Earnings ratio is 8.25, which indicates a very decent valuation of SCSC.
SCSC's Price/Forward Earnings ratio is rather cheap when compared to the industry. SCSC is cheaper than 94.35% of the companies in the same industry.
When comparing the Price/Forward Earnings ratio of SCSC to the average of the S&P500 Index (23.40), we can say SCSC is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.51 | ||
| Fwd PE | 8.25 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, SCSC is valued cheaply inside the industry as 96.77% of the companies are valued more expensively.
SCSC's Price/Free Cash Flow ratio is rather cheap when compared to the industry. SCSC is cheaper than 93.55% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 10.6 | ||
| EV/EBITDA | 7.2 |
4.3 Compensation for Growth
The 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 SCSC's earnings are expected to grow with 24.78% in the coming years.
PEG (NY)0.5
PEG (5Y)0.9
EPS Next 2Y16.28%
EPS Next 3Y24.78%
5. Dividend
5.1 Amount
SCSC does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
39.84
+0.13 (+0.33%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupTechnology Hardware & Equipment
GICS IndustryElectronic Equipment, Instruments & Components
Earnings (Last)
Earnings (Next)
Inst Owners102.62%
Inst Owner Change-1.08%
Ins Owners1.97%
Ins Owner Change12.53%
Market Cap874.09M
Revenue(TTM)3.00B
Net Income(TTM)74.45M
Analysts80
Price Target54.06 (35.69%)
Short Float %1.99%
Short Ratio2.67
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
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)10.02%
Min EPS beat(2)8.3%
Max EPS beat(2)11.74%
EPS beat(4)3
Avg EPS beat(4)5.19%
Min EPS beat(4)-8.09%
Max EPS beat(4)11.74%
EPS beat(8)4
Avg EPS beat(8)-2.86%
EPS beat(12)6
Avg EPS beat(12)-3.26%
EPS beat(16)9
Avg EPS beat(16)1.4%
Revenue beat(2)1
Avg Revenue beat(2)-2.66%
Min Revenue beat(2)-7.9%
Max Revenue beat(2)2.58%
Revenue beat(4)1
Avg Revenue beat(4)-8.36%
Min Revenue beat(4)-14.59%
Max Revenue beat(4)2.58%
Revenue beat(8)1
Avg Revenue beat(8)-8.78%
Revenue beat(12)3
Avg Revenue beat(12)-5.69%
Revenue beat(16)6
Avg Revenue beat(16)-3.32%
PT rev (1m)0%
PT rev (3m)-8.62%
EPS NQ rev (1m)0%
EPS NQ rev (3m)1.02%
EPS NY rev (1m)3.85%
EPS NY rev (3m)7.04%
Revenue NQ rev (1m)-2.04%
Revenue NQ rev (3m)-1%
Revenue NY rev (1m)-1.02%
Revenue NY rev (3m)-1.2%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.51 | ||
| Fwd PE | 8.25 | ||
| P/S | 0.29 | ||
| P/FCF | 10.6 | ||
| P/OCF | 9.63 | ||
| P/B | 0.96 | ||
| P/tB | 1.4 | ||
| EV/EBITDA | 7.2 |
EPS(TTM)3.79
EY9.51%
EPS(NY)4.83
Fwd EY12.12%
FCF(TTM)3.76
FCFY9.43%
OCF(TTM)4.14
OCFY10.38%
SpS136.96
BVpS41.66
TBVpS28.46
PEG (NY)0.5
PEG (5Y)0.9
Graham Number59.6
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.34% | ||
| ROE | 8.15% | ||
| ROCE | 8.44% | ||
| ROIC | 6.46% | ||
| ROICexc | 7.28% | ||
| ROICexgc | 10.3% | ||
| OM | 3.12% | ||
| PM (TTM) | 2.48% | ||
| GM | 13.79% | ||
| FCFM | 2.74% |
ROA(3y)4.23%
ROA(5y)3.58%
ROE(3y)8.72%
ROE(5y)7.73%
ROIC(3y)6.97%
ROIC(5y)7%
ROICexc(3y)7.76%
ROICexc(5y)7.61%
ROICexgc(3y)10.54%
ROICexgc(5y)10.66%
ROCE(3y)9.12%
ROCE(5y)9.15%
ROICexgc growth 3Y-5.14%
ROICexgc growth 5Y7.76%
ROICexc growth 3Y-6.26%
ROICexc growth 5Y9.54%
OM growth 3Y-4.89%
OM growth 5Y10.34%
PM growth 3Y-2.2%
PM growth 5YN/A
GM growth 3Y3.61%
GM growth 5Y2.87%
F-Score7
Asset Turnover1.75
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.14 | ||
| Debt/FCF | 1.62 | ||
| Debt/EBITDA | 1.03 | ||
| Cap/Depr | 28.72% | ||
| Cap/Sales | 0.28% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 73.94% | ||
| Profit Quality | 110.71% | ||
| Current Ratio | 2.16 | ||
| Quick Ratio | 1.32 | ||
| Altman-Z | 3.91 |
F-Score7
WACC8.91%
ROIC/WACC0.72
Cap/Depr(3y)30.98%
Cap/Depr(5y)24.57%
Cap/Sales(3y)0.27%
Cap/Sales(5y)0.21%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)19.18%
EPS 3Y-3.4%
EPS 5Y11.73%
EPS Q2Q%26.19%
EPS Next Y20.91%
EPS Next 2Y16.28%
EPS Next 3Y24.78%
EPS Next 5YN/A
Revenue 1Y (TTM)-4.88%
Revenue growth 3Y-4.85%
Revenue growth 5Y-0.05%
Sales Q2Q%-4.63%
Revenue Next Year4.57%
Revenue Next 2Y4.95%
Revenue Next 3Y5.71%
Revenue Next 5YN/A
EBIT growth 1Y0.53%
EBIT growth 3Y-9.5%
EBIT growth 5Y10.29%
EBIT Next Year37.15%
EBIT Next 3Y18.83%
EBIT Next 5YN/A
FCF growth 1Y-13.87%
FCF growth 3YN/A
FCF growth 5Y-13.9%
OCF growth 1Y-14.57%
OCF growth 3YN/A
OCF growth 5Y-13.07%
SCANSOURCE INC / SCSC FAQ
Can you provide the ChartMill fundamental rating for SCANSOURCE INC?
ChartMill assigns a fundamental rating of 6 / 10 to SCSC.
Can you provide the valuation status for SCANSOURCE INC?
ChartMill assigns a valuation rating of 8 / 10 to SCANSOURCE INC (SCSC). This can be considered as Undervalued.
How profitable is SCANSOURCE INC (SCSC) stock?
SCANSOURCE INC (SCSC) has a profitability rating of 5 / 10.
How financially healthy is SCANSOURCE INC?
The financial health rating of SCANSOURCE INC (SCSC) is 7 / 10.
Can you provide the expected EPS growth for SCSC stock?
The Earnings per Share (EPS) of SCANSOURCE INC (SCSC) is expected to grow by 20.91% in the next year.