STIFEL FINANCIAL CORP (SF) Stock Fundamental Analysis
NYSE:SF - New York Stock Exchange, Inc. - US8606301021 - Common Stock - Currency: USD
Overall SF gets a fundamental rating of 4 out of 10. We evaluated SF against 237 industry peers in the Capital Markets industry. SF has a medium profitability rating, but doesn't score so well on its financial health evaluation. SF has a correct valuation and a medium growth rate.
1. Profitability
1.1 Basic Checks
In the past year SF was profitable.
In the past year SF had a positive cash flow from operations.
In the past 5 years SF has always been profitable.
Each year in the past 5 years SF had a positive operating cash flow.
1.2 Ratios
Looking at the Return On Assets, with a value of 1.44%, SF is in line with its industry, outperforming 40.93% of the companies in the same industry.
SF has a better Return On Equity (10.54%) than 61.18% of its industry peers.
SF has a Return On Invested Capital of 3.50%. This is comparable to the rest of the industry: SF outperforms 45.15% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for SF is below the industry average of 7.83%.
The 3 year average ROIC (3.24%) for SF is below the current ROIC(3.50%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.44% | ||
| ROE | 10.54% | ||
| ROIC | 3.5% |
ROA(3y)1.57%
ROA(5y)1.76%
ROE(3y)11.03%
ROE(5y)12%
ROIC(3y)3.24%
ROIC(5y)2.97%
1.3 Margins
SF has a worse Profit Margin (9.72%) than 61.60% of its industry peers.
In the last couple of years the Profit Margin of SF has remained more or less at the same level.
Looking at the Operating Margin, with a value of 28.54%, SF is in line with its industry, outperforming 51.05% of the companies in the same industry.
In the last couple of years the Operating Margin of SF has grown nicely.
SF has a better Gross Margin (98.94%) than 98.73% of its industry peers.
In the last couple of years the Gross Margin of SF has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 28.54% | ||
| PM (TTM) | 9.72% | ||
| GM | 98.94% |
OM growth 3Y11.3%
OM growth 5Y7.74%
PM growth 3Y-10.93%
PM growth 5Y-1%
GM growth 3Y0.06%
GM growth 5Y0.04%
2. Health
2.1 Basic Checks
Compared to 1 year ago, SF has more shares outstanding
Compared to 5 years ago, SF has more shares outstanding
Compared to 1 year ago, SF has an improved debt to assets ratio.
2.2 Solvency
Based on the Altman-Z score of -0.28, we must say that SF is in the distress zone and has some risk of bankruptcy.
SF's Altman-Z score of -0.28 is on the low side compared to the rest of the industry. SF is outperformed by 77.64% of its industry peers.
The Debt to FCF ratio of SF is 39.38, which is on the high side as it means it would take SF, 39.38 years of fcf income to pay off all of its debts.
The Debt to FCF ratio of SF (39.38) is comparable to the rest of the industry.
A Debt/Equity ratio of 5.75 is on the high side and indicates that SF has dependencies on debt financing.
Looking at the Debt to Equity ratio, with a value of 5.75, SF is doing worse than 86.08% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 5.75 | ||
| Debt/FCF | 39.38 | ||
| Altman-Z | -0.28 |
ROIC/WACCN/A
WACCN/A
2.3 Liquidity
SF has a Current Ratio of 0.12. This is a bad value and indicates that SF is not financially healthy enough and could expect problems in meeting its short term obligations.
The Current ratio of SF (0.12) is worse than 91.98% of its industry peers.
A Quick Ratio of 0.12 indicates that SF may have some problems paying its short term obligations.
SF has a worse Quick ratio (0.12) than 91.56% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.12 | ||
| Quick Ratio | 0.12 |
3. Growth
3.1 Past
SF shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 36.61%, which is quite impressive.
Measured over the past years, SF shows a quite strong growth in Earnings Per Share. The EPS has been growing by 10.86% on average per year.
SF shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 8.85%.
Measured over the past years, SF shows a quite strong growth in Revenue. The Revenue has been growing by 11.11% on average per year.
EPS 1Y (TTM)36.61%
EPS 3Y-1.24%
EPS 5Y10.86%
EPS Q2Q%6.87%
Revenue 1Y (TTM)8.85%
Revenue growth 3Y7.56%
Revenue growth 5Y11.11%
Sales Q2Q%5.45%
3.2 Future
The Earnings Per Share is expected to grow by 8.15% on average over the next years. This is quite good.
SF is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 4.89% yearly.
EPS Next Y12.6%
EPS Next 2Y16.73%
EPS Next 3Y16.89%
EPS Next 5Y8.15%
Revenue Next Year6.31%
Revenue Next 2Y8.43%
Revenue Next 3Y8.98%
Revenue Next 5Y4.89%
3.3 Evolution
The EPS growth rate is decreasing: in the next years the growth will be less 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
The Price/Earnings ratio is 15.75, which indicates a correct valuation of SF.
The rest of the industry has a similar Price/Earnings ratio as SF.
When comparing the Price/Earnings ratio of SF to the average of the S&P500 Index (26.48), we can say SF is valued slightly cheaper.
SF is valuated correctly with a Price/Forward Earnings ratio of 12.01.
Based on the Price/Forward Earnings ratio, SF is valued a bit cheaper than the industry average as 63.29% of the companies are valued more expensively.
SF's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 34.04.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 15.75 | ||
| Fwd PE | 12.01 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, SF is valued cheaper than 94.09% of the companies in the same industry.
68.78% of the companies in the same industry are more expensive than SF, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 14.23 | ||
| EV/EBITDA | 5.26 |
4.3 Compensation for Growth
SF's PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
The decent profitability rating of SF may justify a higher PE ratio.
A more expensive valuation may be justified as SF's earnings are expected to grow with 16.89% in the coming years.
PEG (NY)1.25
PEG (5Y)1.45
EPS Next 2Y16.73%
EPS Next 3Y16.89%
5. Dividend
5.1 Amount
SF has a Yearly Dividend Yield of 1.67%.
SF's Dividend Yield is slightly below the industry average, which is at 8.19.
Compared to the average S&P500 Dividend Yield of 2.39, SF is paying slightly less dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.67% |
5.2 History
On average, the dividend of SF grows each year by 26.83%, which is quite nice.
SF has paid a dividend for at least 10 years, which is a reliable track record.
As SF did not decrease their dividend in the past 5 years, we can say the dividend looks stable.
Dividend Growth(5Y)26.83%
Div Incr Years7
Div Non Decr Years7
5.3 Sustainability
38.91% of the earnings are spent on dividend by SF. This is a low number and sustainable payout ratio.
The dividend of SF is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP38.91%
EPS Next 2Y16.73%
EPS Next 3Y16.89%
111.64
+1.34 (+1.21%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupFinancial Services
GICS IndustryCapital Markets
Earnings (Last)
Earnings (Next)
Inst Owners88.54%
Inst Owner Change0.61%
Ins Owners3.31%
Ins Owner Change0.18%
Market Cap11.50B
Analysts78.75
Price Target128.52 (15.12%)
Short Float %2.2%
Short Ratio3.37
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.67% |
Yearly Dividend2.24
Dividend Growth(5Y)26.83%
DP38.91%
Div Incr Years7
Div Non Decr Years7
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)3.13%
Min EPS beat(2)-2.78%
Max EPS beat(2)9.03%
EPS beat(4)2
Avg EPS beat(4)-0.56%
Min EPS beat(4)-9.13%
Max EPS beat(4)9.03%
EPS beat(8)3
Avg EPS beat(8)-7.46%
EPS beat(12)3
Avg EPS beat(12)-8.57%
EPS beat(16)6
Avg EPS beat(16)-3.91%
Revenue beat(2)1
Avg Revenue beat(2)-0.84%
Min Revenue beat(2)-4.53%
Max Revenue beat(2)2.84%
Revenue beat(4)1
Avg Revenue beat(4)-0.69%
Min Revenue beat(4)-4.53%
Max Revenue beat(4)2.84%
Revenue beat(8)2
Avg Revenue beat(8)-1.3%
Revenue beat(12)4
Avg Revenue beat(12)-0.27%
Revenue beat(16)7
Avg Revenue beat(16)0.23%
PT rev (1m)19.67%
PT rev (3m)18.13%
EPS NQ rev (1m)-1.11%
EPS NQ rev (3m)-3.1%
EPS NY rev (1m)0%
EPS NY rev (3m)-1.94%
Revenue NQ rev (1m)-0.31%
Revenue NQ rev (3m)-0.78%
Revenue NY rev (1m)0.32%
Revenue NY rev (3m)-3.92%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 15.75 | ||
| Fwd PE | 12.01 | ||
| P/S | 1.92 | ||
| P/FCF | 14.23 | ||
| P/OCF | 12.94 | ||
| P/B | 2.08 | ||
| P/tB | 2.85 | ||
| EV/EBITDA | 5.26 |
EPS(TTM)7.09
EY6.35%
EPS(NY)9.29
Fwd EY8.32%
FCF(TTM)7.84
FCFY7.03%
OCF(TTM)8.63
OCFY7.73%
SpS58.26
BVpS53.75
TBVpS39.16
PEG (NY)1.25
PEG (5Y)1.45
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.44% | ||
| ROE | 10.54% | ||
| ROCE | 27.57% | ||
| ROIC | 3.5% | ||
| ROICexc | 3.78% | ||
| ROICexgc | 4.11% | ||
| OM | 28.54% | ||
| PM (TTM) | 9.72% | ||
| GM | 98.94% | ||
| FCFM | 13.46% |
ROA(3y)1.57%
ROA(5y)1.76%
ROE(3y)11.03%
ROE(5y)12%
ROIC(3y)3.24%
ROIC(5y)2.97%
ROICexc(3y)3.52%
ROICexc(5y)3.22%
ROICexgc(3y)3.83%
ROICexgc(5y)3.53%
ROCE(3y)23.39%
ROCE(5y)18.24%
ROICexcg growth 3Y13.05%
ROICexcg growth 5Y6.85%
ROICexc growth 3Y13.05%
ROICexc growth 5Y7.88%
OM growth 3Y11.3%
OM growth 5Y7.74%
PM growth 3Y-10.93%
PM growth 5Y-1%
GM growth 3Y0.06%
GM growth 5Y0.04%
F-Score8
Asset Turnover0.15
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 5.75 | ||
| Debt/FCF | 39.38 | ||
| Debt/EBITDA | 17.7 | ||
| Cap/Depr | 95.12% | ||
| Cap/Sales | 1.34% | ||
| Interest Coverage | 1.8 | ||
| Cash Conversion | 49.43% | ||
| Profit Quality | 138.51% | ||
| Current Ratio | 0.12 | ||
| Quick Ratio | 0.12 | ||
| Altman-Z | -0.28 |
F-Score8
WACCN/A
ROIC/WACCN/A
Cap/Depr(3y)88.97%
Cap/Depr(5y)136.67%
Cap/Sales(3y)1.35%
Cap/Sales(5y)1.98%
Profit Quality(3y)108.09%
Profit Quality(5y)148.9%
High Growth Momentum
Growth
EPS 1Y (TTM)36.61%
EPS 3Y-1.24%
EPS 5Y10.86%
EPS Q2Q%6.87%
EPS Next Y12.6%
EPS Next 2Y16.73%
EPS Next 3Y16.89%
EPS Next 5Y8.15%
Revenue 1Y (TTM)8.85%
Revenue growth 3Y7.56%
Revenue growth 5Y11.11%
Sales Q2Q%5.45%
Revenue Next Year6.31%
Revenue Next 2Y8.43%
Revenue Next 3Y8.98%
Revenue Next 5Y4.89%
EBIT growth 1Y5.41%
EBIT growth 3Y19.72%
EBIT growth 5Y19.71%
EBIT Next Year-12.57%
EBIT Next 3Y1.63%
EBIT Next 5Y2.66%
FCF growth 1Y-40.69%
FCF growth 3Y-15.23%
FCF growth 5Y-2.34%
OCF growth 1Y-38.6%
OCF growth 3Y-17.46%
OCF growth 5Y-4.79%