SIENNA SENIOR LIVING INC (SIA.CA) Stock Fundamental Analysis
Canada - Toronto Stock Exchange - TSX:SIA - CA82621K1021 - Common Stock
21.32 CAD
-0.38 (-1.75%)
SIA gets a fundamental rating of 4 out of 10. The analysis compared the fundamentals against 15 industry peers in the Health Care Providers & Services industry. There are concerns on the financial health of SIA while its profitability can be described as average. While showing a medium growth rate, SIA is valued expensive at the moment. SIA also has an excellent dividend rating.
1. Profitability
1.1 Basic Checks
- In the past year SIA was profitable.
- SIA had a positive operating cash flow in the past year.
- SIA had positive earnings in 4 of the past 5 years.
- SIA had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
- SIA's Return On Assets of 1.68% is fine compared to the rest of the industry. SIA outperforms 73.33% of its industry peers.
- SIA's Return On Equity of 6.31% is amongst the best of the industry. SIA outperforms 86.67% of its industry peers.
- The Return On Invested Capital of SIA (3.45%) is better than 66.67% of its industry peers.
- SIA had an Average Return On Invested Capital over the past 3 years of 3.57%. This is below the industry average of 6.98%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.68% | ||
| ROE | 6.31% | ||
| ROIC | 3.45% |
ROA(3y)1.04%
ROA(5y)0.59%
ROE(3y)4.11%
ROE(5y)2.39%
ROIC(3y)3.57%
ROIC(5y)3%
1.3 Margins
- The Profit Margin of SIA (4.08%) is better than 80.00% of its industry peers.
- SIA's Profit Margin has improved in the last couple of years.
- SIA has a Operating Margin of 9.04%. This is amongst the best in the industry. SIA outperforms 86.67% of its industry peers.
- In the last couple of years the Operating Margin of SIA has grown nicely.
- SIA has a worse Gross Margin (19.16%) than 66.67% of its industry peers.
- In the last couple of years the Gross Margin of SIA has declined.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 9.04% | ||
| PM (TTM) | 4.08% | ||
| GM | 19.16% |
OM growth 3Y9.25%
OM growth 5Y7.87%
PM growth 3Y11.74%
PM growth 5Y30.87%
GM growth 3Y-0.12%
GM growth 5Y-2%
2. Health
2.1 Basic Checks
- The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so SIA is destroying value.
- SIA has more shares outstanding than it did 1 year ago.
- Compared to 5 years ago, SIA has more shares outstanding
- Compared to 1 year ago, SIA has an improved debt to assets ratio.
2.2 Solvency
- SIA has an Altman-Z score of 0.67. This is a bad value and indicates that SIA is not financially healthy and even has some risk of bankruptcy.
- SIA has a Altman-Z score of 0.67. This is in the lower half of the industry: SIA underperforms 66.67% of its industry peers.
- SIA has a Debt/Equity ratio of 1.82. This is a high value indicating a heavy dependency on external financing.
- With a Debt to Equity ratio value of 1.82, SIA is not doing good in the industry: 60.00% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.82 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 0.67 |
ROIC/WACC0.46
WACC7.45%
2.3 Liquidity
- SIA has a Current Ratio of 0.34. This is a bad value and indicates that SIA is not financially healthy enough and could expect problems in meeting its short term obligations.
- SIA has a worse Current ratio (0.34) than 73.33% of its industry peers.
- A Quick Ratio of 0.34 indicates that SIA may have some problems paying its short term obligations.
- Looking at the Quick ratio, with a value of 0.34, SIA is doing worse than 73.33% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.34 | ||
| Quick Ratio | 0.34 |
3. Growth
3.1 Past
- SIA shows a small growth in Earnings Per Share. In the last year, the EPS has grown by 6.43%.
- The Earnings Per Share has been growing by 35.55% on average over the past years. This is a very strong growth
- SIA shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 11.47%.
- The Revenue has been growing slightly by 5.93% on average over the past years.
EPS 1Y (TTM)6.43%
EPS 3Y17.54%
EPS 5Y35.55%
EPS Q2Q%80.58%
Revenue 1Y (TTM)11.47%
Revenue growth 3Y10.14%
Revenue growth 5Y5.93%
Sales Q2Q%17.35%
3.2 Future
- SIA is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 8.66% yearly.
- The Revenue is expected to grow by 9.17% on average over the next years. This is quite good.
EPS Next Y-9.43%
EPS Next 2Y4.61%
EPS Next 3Y8.66%
EPS Next 5YN/A
Revenue Next Year14.79%
Revenue Next 2Y12.93%
Revenue Next 3Y9.17%
Revenue Next 5YN/A
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 accelerating.
4. Valuation
4.1 Price/Earnings Ratio
- SIA is valuated quite expensively with a Price/Earnings ratio of 47.38.
- SIA's Price/Earnings is on the same level as the industry average.
- SIA's Price/Earnings ratio indicates a rather expensive valuation when compared to the S&P500 average which is at 27.21.
- Based on the Price/Forward Earnings ratio of 36.39, the valuation of SIA can be described as expensive.
- Compared to the rest of the industry, the Price/Forward Earnings ratio of SIA indicates a somewhat cheap valuation: SIA is cheaper than 66.67% of the companies listed in the same industry.
- Compared to an average S&P500 Price/Forward Earnings ratio of 24.26, SIA is valued quite expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 47.38 | ||
| Fwd PE | 36.39 |
4.2 Price Multiples
- SIA's Enterprise Value to EBITDA is on the same level as the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 22.9 |
4.3 Compensation for Growth
- The decent profitability rating of SIA may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)1.33
EPS Next 2Y4.61%
EPS Next 3Y8.66%
5. Dividend
5.1 Amount
- SIA has a Yearly Dividend Yield of 4.37%, which is a nice return.
- Compared to an average industry Dividend Yield of 1.30, SIA pays a better dividend. On top of this SIA pays more dividend than 93.33% of the companies listed in the same industry.
- Compared to an average S&P500 Dividend Yield of 1.82, SIA pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.37% |
5.2 History
- The dividend of SIA has a limited annual growth rate of 4.67%.
- SIA has paid a dividend for at least 10 years, which is a reliable track record.
- SIA has not decreased its dividend for at least 10 years, so it has a reliable track record of non decreasing dividend.
Dividend Growth(5Y)4.67%
Div Incr Years1
Div Non Decr Years14
5.3 Sustainability
- SIA pays out 173.50% of its income as dividend. This is not a sustainable payout ratio.
- The dividend of SIA is growing, but earnings are growing more, so the dividend growth is sustainable.
DP173.5%
EPS Next 2Y4.61%
EPS Next 3Y8.66%
SIENNA SENIOR LIVING INC / SIA.CA FAQ
Can you provide the ChartMill fundamental rating for SIENNA SENIOR LIVING INC?
ChartMill assigns a fundamental rating of 4 / 10 to SIA.CA.
Can you provide the valuation status for SIENNA SENIOR LIVING INC?
ChartMill assigns a valuation rating of 2 / 10 to SIENNA SENIOR LIVING INC (SIA.CA). This can be considered as Overvalued.
What is the profitability of SIA stock?
SIENNA SENIOR LIVING INC (SIA.CA) has a profitability rating of 6 / 10.
Can you provide the PE and PB ratios for SIA stock?
The Price/Earnings (PE) ratio for SIENNA SENIOR LIVING INC (SIA.CA) is 47.38 and the Price/Book (PB) ratio is 3.21.
What is the earnings growth outlook for SIENNA SENIOR LIVING INC?
The Earnings per Share (EPS) of SIENNA SENIOR LIVING INC (SIA.CA) is expected to decline by -9.43% in the next year.