SUPERIOR GROUP OF COS INC (SGC) Stock Fundamental Analysis
NASDAQ:SGC - Nasdaq - US8683581024 - Common Stock - Currency: USD
We assign a fundamental rating of 5 out of 10 to SGC. SGC was compared to 50 industry peers in the Textiles, Apparel & Luxury Goods industry. Both the profitability and the financial health of SGC get a neutral evaluation. Nothing too spectacular is happening here. SGC is not valued too expensively and it also shows a decent growth rate. Finally SGC also has an excellent dividend rating.
1. Profitability
1.1 Basic Checks
SGC had positive earnings in the past year.
SGC had a positive operating cash flow in the past year.
Of the past 5 years SGC 4 years were profitable.
SGC had a positive operating cash flow in 4 of the past 5 years.
1.2 Ratios
SGC has a Return On Assets (2.89%) which is in line with its industry peers.
The Return On Equity of SGC (6.04%) is comparable to the rest of the industry.
SGC has a Return On Invested Capital of 5.73%. This is comparable to the rest of the industry: SGC outperforms 44.00% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for SGC is significantly below the industry average of 13.61%.
The 3 year average ROIC (4.82%) for SGC is below the current ROIC(5.73%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.89% | ||
| ROE | 6.04% | ||
| ROIC | 5.73% |
ROA(3y)-0.68%
ROA(5y)2.93%
ROE(3y)-2.05%
ROE(5y)5.64%
ROIC(3y)4.82%
ROIC(5y)8.02%
1.3 Margins
The Profit Margin of SGC (2.12%) is comparable to the rest of the industry.
SGC's Profit Margin has declined in the last couple of years.
SGC has a Operating Margin of 3.65%. This is in the lower half of the industry: SGC underperforms 64.00% of its industry peers.
In the last couple of years the Operating Margin of SGC has declined.
SGC's Gross Margin of 38.99% is on the low side compared to the rest of the industry. SGC is outperformed by 76.00% of its industry peers.
SGC's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 3.65% | ||
| PM (TTM) | 2.12% | ||
| GM | 38.99% |
OM growth 3Y-22.49%
OM growth 5Y-6.94%
PM growth 3Y-27.09%
PM growth 5Y-7.96%
GM growth 3Y4.03%
GM growth 5Y2.65%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so SGC is destroying value.
Compared to 1 year ago, SGC has less shares outstanding
Compared to 5 years ago, SGC has more shares outstanding
Compared to 1 year ago, SGC has an improved debt to assets ratio.
2.2 Solvency
An Altman-Z score of 2.89 indicates that SGC is not a great score, but indicates only limited risk for bankruptcy at the moment.
With a Altman-Z score value of 2.89, SGC perfoms like the industry average, outperforming 58.00% of the companies in the same industry.
The Debt to FCF ratio of SGC is 2.97, which is a good value as it means it would take SGC, 2.97 years of fcf income to pay off all of its debts.
The Debt to FCF ratio of SGC (2.97) is better than 64.00% of its industry peers.
A Debt/Equity ratio of 0.40 indicates that SGC is not too dependend on debt financing.
Looking at the Debt to Equity ratio, with a value of 0.40, SGC is in line with its industry, outperforming 48.00% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.4 | ||
| Debt/FCF | 2.97 | ||
| Altman-Z | 2.89 |
ROIC/WACC0.57
WACC10.04%
2.3 Liquidity
SGC has a Current Ratio of 2.68. This indicates that SGC is financially healthy and has no problem in meeting its short term obligations.
With a decent Current ratio value of 2.68, SGC is doing good in the industry, outperforming 76.00% of the companies in the same industry.
A Quick Ratio of 1.73 indicates that SGC should not have too much problems paying its short term obligations.
Looking at the Quick ratio, with a value of 1.73, SGC belongs to the top of the industry, outperforming 88.00% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.68 | ||
| Quick Ratio | 1.73 |
3. Growth
3.1 Past
SGC shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 34.55%, which is quite impressive.
Measured over the past years, SGC shows a decrease in Earnings Per Share. The EPS has been decreasing by -1.55% on average per year.
Looking at the last year, SGC shows a small growth in Revenue. The Revenue has grown by 4.11% in the last year.
The Revenue has been growing by 8.47% on average over the past years. This is quite good.
EPS 1Y (TTM)34.55%
EPS 3Y-29.81%
EPS 5Y-1.55%
EPS Q2Q%-40.91%
Revenue 1Y (TTM)4.11%
Revenue growth 3Y1.75%
Revenue growth 5Y8.47%
Sales Q2Q%-1.24%
3.2 Future
Based on estimates for the next years, SGC will show a quite strong growth in Earnings Per Share. The EPS will grow by 16.02% on average per year.
Based on estimates for the next years, SGC will show a small growth in Revenue. The Revenue will grow by 3.66% on average per year.
EPS Next Y5.09%
EPS Next 2Y22.71%
EPS Next 3Y17.55%
EPS Next 5Y16.02%
Revenue Next Year3.51%
Revenue Next 2Y4.26%
Revenue Next 3Y4.11%
Revenue Next 5Y3.66%
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 decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 13.80, which indicates a correct valuation of SGC.
SGC's Price/Earnings is on the same level as the industry average.
When comparing the Price/Earnings ratio of SGC to the average of the S&P500 Index (28.29), we can say SGC is valued rather cheaply.
A Price/Forward Earnings ratio of 13.13 indicates a correct valuation of SGC.
SGC's Price/Forward Earnings is on the same level as the industry average.
Compared to an average S&P500 Price/Forward Earnings ratio of 21.32, SGC is valued a bit cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 13.8 | ||
| Fwd PE | 13.13 |
4.2 Price Multiples
68.00% of the companies in the same industry are more expensive than SGC, based on the Enterprise Value to EBITDA ratio.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of SGC indicates a somewhat cheap valuation: SGC is cheaper than 80.00% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 5.8 | ||
| EV/EBITDA | 6.97 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
SGC's earnings are expected to grow with 17.55% in the coming years. This may justify a more expensive valuation.
PEG (NY)2.71
PEG (5Y)N/A
EPS Next 2Y22.71%
EPS Next 3Y17.55%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 5.47%, SGC is a good candidate for dividend investing.
In the last 3 months the price of SGC has falen by -35.17%. A price decline artificially increases the dividend yield. It may be a sign investors do not expect the dividend to last.
SGC's Dividend Yield is rather good when compared to the industry average which is at 4.29. SGC pays more dividend than 90.00% of the companies in the same industry.
SGC's Dividend Yield is rather good when compared to the S&P500 average which is at 2.51.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.47% |
5.2 History
On average, the dividend of SGC grows each year by 7.14%, which is quite nice.
SGC has been paying a dividend for at least 10 years, so it has a reliable track record.
SGC has not decreased their dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)7.14%
Div Incr Years10
Div Non Decr Years11
5.3 Sustainability
SGC pays out 77.34% of its income as dividend. This is not a sustainable payout ratio.
The dividend of SGC is growing, but earnings are growing more, so the dividend growth is sustainable.
DP77.34%
EPS Next 2Y22.71%
EPS Next 3Y17.55%
NASDAQ:SGC (4/21/2025, 3:47:12 PM)
10.21
-0.02 (-0.2%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Durables & Apparel
GICS IndustryTextiles, Apparel & Luxury Goods
Earnings (Last)
Earnings (Next)
Inst Owners46.44%
Inst Owner Change-0.13%
Ins Owners16.44%
Ins Owner Change5.93%
Market Cap168.26M
Analysts85.71
Price Target21.93 (114.79%)
Short Float %2.27%
Short Ratio5.63
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.47% |
Yearly Dividend0.56
Dividend Growth(5Y)7.14%
DP77.34%
Div Incr Years10
Div Non Decr Years11
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)16.22%
Min EPS beat(2)-23.16%
Max EPS beat(2)55.59%
EPS beat(4)2
Avg EPS beat(4)52.18%
Min EPS beat(4)-63.16%
Max EPS beat(4)239.46%
EPS beat(8)4
Avg EPS beat(8)31.23%
EPS beat(12)5
Avg EPS beat(12)20.28%
EPS beat(16)7
Avg EPS beat(16)93.31%
Revenue beat(2)1
Avg Revenue beat(2)0.91%
Min Revenue beat(2)-1.76%
Max Revenue beat(2)3.58%
Revenue beat(4)2
Avg Revenue beat(4)-0.2%
Min Revenue beat(4)-4.39%
Max Revenue beat(4)3.58%
Revenue beat(8)3
Avg Revenue beat(8)-1.87%
Revenue beat(12)6
Avg Revenue beat(12)-0.66%
Revenue beat(16)9
Avg Revenue beat(16)1.59%
PT rev (1m)0%
PT rev (3m)-7.53%
EPS NQ rev (1m)-47.5%
EPS NQ rev (3m)-45.96%
EPS NY rev (1m)-18.95%
EPS NY rev (3m)-18.95%
Revenue NQ rev (1m)-1.32%
Revenue NQ rev (3m)-3.25%
Revenue NY rev (1m)-0.35%
Revenue NY rev (3m)-0.35%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 13.8 | ||
| Fwd PE | 13.13 | ||
| P/S | 0.3 | ||
| P/FCF | 5.8 | ||
| P/OCF | 5.03 | ||
| P/B | 0.85 | ||
| P/tB | 1.16 | ||
| EV/EBITDA | 6.97 |
EPS(TTM)0.74
EY7.25%
EPS(NY)0.78
Fwd EY7.62%
FCF(TTM)1.76
FCFY17.23%
OCF(TTM)2.03
OCFY19.87%
SpS34.33
BVpS12.07
TBVpS8.82
PEG (NY)2.71
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.89% | ||
| ROE | 6.04% | ||
| ROCE | 6.59% | ||
| ROIC | 5.73% | ||
| ROICexc | 6.09% | ||
| ROICexgc | 7.44% | ||
| OM | 3.65% | ||
| PM (TTM) | 2.12% | ||
| GM | 38.99% | ||
| FCFM | 5.13% |
ROA(3y)-0.68%
ROA(5y)2.93%
ROE(3y)-2.05%
ROE(5y)5.64%
ROIC(3y)4.82%
ROIC(5y)8.02%
ROICexc(3y)5.12%
ROICexc(5y)8.3%
ROICexgc(3y)6.18%
ROICexgc(5y)11.34%
ROCE(3y)5.55%
ROCE(5y)9.23%
ROICexcg growth 3Y-20.14%
ROICexcg growth 5Y-4.61%
ROICexc growth 3Y-16.46%
ROICexc growth 5Y-0.04%
OM growth 3Y-22.49%
OM growth 5Y-6.94%
PM growth 3Y-27.09%
PM growth 5Y-7.96%
GM growth 3Y4.03%
GM growth 5Y2.65%
F-Score8
Asset Turnover1.36
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.4 | ||
| Debt/FCF | 2.97 | ||
| Debt/EBITDA | 2.38 | ||
| Cap/Depr | 33.64% | ||
| Cap/Sales | 0.78% | ||
| Interest Coverage | 3.49 | ||
| Cash Conversion | 98.79% | ||
| Profit Quality | 241.53% | ||
| Current Ratio | 2.68 | ||
| Quick Ratio | 1.73 | ||
| Altman-Z | 2.89 |
F-Score8
WACC10.04%
ROIC/WACC0.57
Cap/Depr(3y)51.29%
Cap/Depr(5y)98.06%
Cap/Sales(3y)1.2%
Cap/Sales(5y)1.83%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)34.55%
EPS 3Y-29.81%
EPS 5Y-1.55%
EPS Q2Q%-40.91%
EPS Next Y5.09%
EPS Next 2Y22.71%
EPS Next 3Y17.55%
EPS Next 5Y16.02%
Revenue 1Y (TTM)4.11%
Revenue growth 3Y1.75%
Revenue growth 5Y8.47%
Sales Q2Q%-1.24%
Revenue Next Year3.51%
Revenue Next 2Y4.26%
Revenue Next 3Y4.11%
Revenue Next 5Y3.66%
EBIT growth 1Y6.27%
EBIT growth 3Y-21.13%
EBIT growth 5Y0.95%
EBIT Next Year53.57%
EBIT Next 3Y22.73%
EBIT Next 5Y15.52%
FCF growth 1Y-60.8%
FCF growth 3YN/A
FCF growth 5Y22.9%
OCF growth 1Y-57.65%
OCF growth 3Y25.09%
OCF growth 5Y10.81%