SURGERY PARTNERS INC (SGRY) Stock Fundamental Analysis
NASDAQ:SGRY - US86881A1007 - Common Stock
22.69 USD
-0.03 (-0.13%)
22.69 USD
0 (0%)
Taking everything into account, SGRY scores 3 out of 10 in our fundamental rating. SGRY was compared to 101 industry peers in the Health Care Providers & Services industry. There are concerns on the financial health of SGRY while its profitability can be described as average. SGRY is quite expensive at the moment. It does show a decent growth rate.
1. Profitability
1.1 Basic Checks
In the past year SGRY was profitable.
SGRY had a positive operating cash flow in the past year.
SGRY had negative earnings in each of the past 5 years.
SGRY had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
SGRY has a worse Return On Assets (-2.27%) than 60.40% of its industry peers.
With a Return On Equity value of -10.32%, SGRY perfoms like the industry average, outperforming 40.59% of the companies in the same industry.
With a Return On Invested Capital value of 5.18%, SGRY perfoms like the industry average, outperforming 59.41% of the companies in the same industry.
The Average Return On Invested Capital over the past 3 years for SGRY is below the industry average of 9.14%.
The 3 year average ROIC (5.03%) for SGRY is below the current ROIC(5.18%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -2.27% | ||
| ROE | -10.32% | ||
| ROIC | 5.18% |
ROA(3y)-1.04%
ROA(5y)-1.46%
ROE(3y)-4.24%
ROE(5y)-9.69%
ROIC(3y)5.03%
ROIC(5y)4.49%
1.3 Margins
SGRY has a better Operating Margin (14.96%) than 88.12% of its industry peers.
In the last couple of years the Operating Margin of SGRY has remained more or less at the same level.
With a Gross Margin value of 26.51%, SGRY perfoms like the industry average, outperforming 54.46% of the companies in the same industry.
In the last couple of years the Gross Margin of SGRY has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 14.96% | ||
| PM (TTM) | N/A | ||
| GM | 26.51% |
OM growth 3Y3.68%
OM growth 5Y1.41%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y0.83%
GM growth 5Y-0.73%
2. Health
2.1 Basic Checks
SGRY has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
SGRY has more shares outstanding than it did 1 year ago.
Compared to 5 years ago, SGRY has more shares outstanding
The debt/assets ratio for SGRY is higher compared to a year ago.
2.2 Solvency
Based on the Altman-Z score of 0.83, we must say that SGRY is in the distress zone and has some risk of bankruptcy.
Looking at the Altman-Z score, with a value of 0.83, SGRY is doing worse than 74.26% of the companies in the same industry.
The Debt to FCF ratio of SGRY is 20.39, which is on the high side as it means it would take SGRY, 20.39 years of fcf income to pay off all of its debts.
SGRY has a Debt to FCF ratio of 20.39. This is comparable to the rest of the industry: SGRY outperforms 41.58% of its industry peers.
A Debt/Equity ratio of 1.98 is on the high side and indicates that SGRY has dependencies on debt financing.
SGRY's Debt to Equity ratio of 1.98 is on the low side compared to the rest of the industry. SGRY is outperformed by 73.27% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.98 | ||
| Debt/FCF | 20.39 | ||
| Altman-Z | 0.83 |
ROIC/WACC0.61
WACC8.44%
2.3 Liquidity
SGRY has a Current Ratio of 1.93. This is a normal value and indicates that SGRY is financially healthy and should not expect problems in meeting its short term obligations.
Looking at the Current ratio, with a value of 1.93, SGRY is in the better half of the industry, outperforming 73.27% of the companies in the same industry.
A Quick Ratio of 1.78 indicates that SGRY should not have too much problems paying its short term obligations.
With a decent Quick ratio value of 1.78, SGRY is doing good in the industry, outperforming 65.35% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.93 | ||
| Quick Ratio | 1.78 |
3. Growth
3.1 Past
SGRY shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -10.64%.
SGRY shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 12.05%.
The Revenue has been growing by 11.20% on average over the past years. This is quite good.
EPS 1Y (TTM)-10.64%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%-19.05%
Revenue 1Y (TTM)12.05%
Revenue growth 3Y11.86%
Revenue growth 5Y11.2%
Sales Q2Q%8.41%
3.2 Future
SGRY is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 21.60% yearly.
Based on estimates for the next years, SGRY will show a quite strong growth in Revenue. The Revenue will grow by 10.15% on average per year.
EPS Next Y-8.14%
EPS Next 2Y8.58%
EPS Next 3Y12.36%
EPS Next 5Y21.6%
Revenue Next Year9.01%
Revenue Next 2Y9.36%
Revenue Next 3Y9.6%
Revenue Next 5Y10.15%
3.3 Evolution
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is stable.
4. Valuation
4.1 Price/Earnings Ratio
SGRY is valuated quite expensively with a Price/Earnings ratio of 27.01.
60.40% of the companies in the same industry are more expensive than SGRY, based on the Price/Earnings ratio.
The average S&P500 Price/Earnings ratio is at 27.08. SGRY is around the same levels.
The Price/Forward Earnings ratio is 20.47, which indicates a rather expensive current valuation of SGRY.
The rest of the industry has a similar Price/Forward Earnings ratio as SGRY.
SGRY's Price/Forward Earnings ratio indicates a similar valuation than the S&P500 average which is at 22.72.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 27.01 | ||
| Fwd PE | 20.47 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, SGRY is valued a bit cheaper than 72.28% of the companies in the same industry.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of SGRY indicates a somewhat cheap valuation: SGRY is cheaper than 71.29% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 16.59 | ||
| EV/EBITDA | 9.67 |
4.3 Compensation for Growth
A more expensive valuation may be justified as SGRY's earnings are expected to grow with 12.36% in the coming years.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y8.58%
EPS Next 3Y12.36%
5. Dividend
5.1 Amount
No dividends for SGRY!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
22.69
-0.03 (-0.13%)
Chartmill FA Rating
GICS SectorHealth Care
GICS IndustryGroupHealth Care Equipment & Services
GICS IndustryHealth Care Providers & Services
Earnings (Last)
Earnings (Next)
Inst Owners72.58%
Inst Owner Change2.44%
Ins Owners1.36%
Ins Owner Change0.39%
Market Cap2.91B
Analysts81.05
Price Target31.99 (40.99%)
Short Float %16.82%
Short Ratio6.93
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly Dividend0
Dividend Growth(5Y)N/A
DP0%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-0.1%
Min EPS beat(2)-24.34%
Max EPS beat(2)24.15%
EPS beat(4)2
Avg EPS beat(4)-2.82%
Min EPS beat(4)-26.04%
Max EPS beat(4)24.15%
EPS beat(8)6
Avg EPS beat(8)7.1%
EPS beat(12)9
Avg EPS beat(12)175.54%
EPS beat(16)11
Avg EPS beat(16)112.22%
Revenue beat(2)0
Avg Revenue beat(2)-1.48%
Min Revenue beat(2)-2.1%
Max Revenue beat(2)-0.85%
Revenue beat(4)1
Avg Revenue beat(4)-0.62%
Min Revenue beat(4)-2.1%
Max Revenue beat(4)2.34%
Revenue beat(8)3
Avg Revenue beat(8)-0.58%
Revenue beat(12)4
Avg Revenue beat(12)-0.9%
Revenue beat(16)6
Avg Revenue beat(16)-0.88%
PT rev (1m)-1.53%
PT rev (3m)-1.33%
EPS NQ rev (1m)-20.86%
EPS NQ rev (3m)-30.6%
EPS NY rev (1m)-3.84%
EPS NY rev (3m)-8.78%
Revenue NQ rev (1m)-1.3%
Revenue NQ rev (3m)-3.21%
Revenue NY rev (1m)-0.58%
Revenue NY rev (3m)-0.73%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 27.01 | ||
| Fwd PE | 20.47 | ||
| P/S | 0.9 | ||
| P/FCF | 16.59 | ||
| P/OCF | 11.02 | ||
| P/B | 1.66 | ||
| P/tB | N/A | ||
| EV/EBITDA | 9.67 |
EPS(TTM)0.84
EY3.7%
EPS(NY)1.11
Fwd EY4.88%
FCF(TTM)1.37
FCFY6.03%
OCF(TTM)2.06
OCFY9.07%
SpS25.25
BVpS13.64
TBVpS-26.45
PEG (NY)N/A
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -2.27% | ||
| ROE | -10.32% | ||
| ROCE | 6.56% | ||
| ROIC | 5.18% | ||
| ROICexc | 5.36% | ||
| ROICexgc | 19.21% | ||
| OM | 14.96% | ||
| PM (TTM) | N/A | ||
| GM | 26.51% | ||
| FCFM | 5.42% |
ROA(3y)-1.04%
ROA(5y)-1.46%
ROE(3y)-4.24%
ROE(5y)-9.69%
ROIC(3y)5.03%
ROIC(5y)4.49%
ROICexc(3y)5.23%
ROICexc(5y)4.72%
ROICexgc(3y)18.5%
ROICexgc(5y)17.9%
ROCE(3y)6.37%
ROCE(5y)5.69%
ROICexcg growth 3Y0.78%
ROICexcg growth 5Y0.88%
ROICexc growth 3Y4.99%
ROICexc growth 5Y3.37%
OM growth 3Y3.68%
OM growth 5Y1.41%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y0.83%
GM growth 5Y-0.73%
F-Score4
Asset Turnover0.41
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.98 | ||
| Debt/FCF | 20.39 | ||
| Debt/EBITDA | 5.37 | ||
| Cap/Depr | 55.13% | ||
| Cap/Sales | 2.74% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 40.92% | ||
| Profit Quality | N/A | ||
| Current Ratio | 1.93 | ||
| Quick Ratio | 1.78 | ||
| Altman-Z | 0.83 |
F-Score4
WACC8.44%
ROIC/WACC0.61
Cap/Depr(3y)68.21%
Cap/Depr(5y)61.64%
Cap/Sales(3y)3.1%
Cap/Sales(5y)2.84%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-10.64%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%-19.05%
EPS Next Y-8.14%
EPS Next 2Y8.58%
EPS Next 3Y12.36%
EPS Next 5Y21.6%
Revenue 1Y (TTM)12.05%
Revenue growth 3Y11.86%
Revenue growth 5Y11.2%
Sales Q2Q%8.41%
Revenue Next Year9.01%
Revenue Next 2Y9.36%
Revenue Next 3Y9.6%
Revenue Next 5Y10.15%
EBIT growth 1Y8.03%
EBIT growth 3Y15.97%
EBIT growth 5Y12.77%
EBIT Next Year47.3%
EBIT Next 3Y22.99%
EBIT Next 5YN/A
FCF growth 1Y138.83%
FCF growth 3Y92.28%
FCF growth 5Y30.27%
OCF growth 1Y61.41%
OCF growth 3Y51.04%
OCF growth 5Y18.3%