STELLA-JONES INC (SJ.CA) Stock Fundamental Analysis
TSX:SJ - Toronto Stock Exchange - CA85853F1053 - Common Stock - Currency: CAD
Overall SJ gets a fundamental rating of 7 out of 10. We evaluated SJ against 12 industry peers in the Paper & Forest Products industry. SJ gets an excellent profitability rating and is at the same time showing great financial health properties. SJ has a correct valuation and a medium growth rate.
1. Profitability
1.1 Basic Checks
In the past year SJ was profitable.
In the past year SJ had a positive cash flow from operations.
In the past 5 years SJ has always been profitable.
In the past 5 years SJ always reported a positive cash flow from operatings.
1.2 Ratios
The Return On Assets of SJ (7.85%) is better than 100.00% of its industry peers.
SJ's Return On Equity of 16.77% is amongst the best of the industry. SJ outperforms 100.00% of its industry peers.
SJ's Return On Invested Capital of 9.52% is amongst the best of the industry. SJ outperforms 100.00% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for SJ is significantly above the industry average of 4.47%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 7.85% | ||
| ROE | 16.77% | ||
| ROIC | 9.52% |
ROA(3y)8.14%
ROA(5y)8.32%
ROE(3y)17.22%
ROE(5y)16.52%
ROIC(3y)10.41%
ROIC(5y)10.53%
1.3 Margins
SJ has a better Profit Margin (9.66%) than 91.67% of its industry peers.
SJ's Profit Margin has improved in the last couple of years.
With an excellent Operating Margin value of 14.25%, SJ belongs to the best of the industry, outperforming 91.67% of the companies in the same industry.
In the last couple of years the Operating Margin of SJ has grown nicely.
SJ's Gross Margin of 20.77% is in line compared to the rest of the industry. SJ outperforms 58.33% of its industry peers.
In the last couple of years the Gross Margin of SJ has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 14.25% | ||
| PM (TTM) | 9.66% | ||
| GM | 20.77% |
OM growth 3Y6.62%
OM growth 5Y5.57%
PM growth 3Y3.66%
PM growth 5Y4.31%
GM growth 3Y7.97%
GM growth 5Y5%
2. Health
2.1 Basic Checks
SJ has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
Compared to 1 year ago, SJ has less shares outstanding
SJ has less shares outstanding than it did 5 years ago.
The debt/assets ratio for SJ has been reduced compared to a year ago.
2.2 Solvency
An Altman-Z score of 3.40 indicates that SJ is not in any danger for bankruptcy at the moment.
SJ's Altman-Z score of 3.40 is amongst the best of the industry. SJ outperforms 91.67% of its industry peers.
SJ has a debt to FCF ratio of 5.72. This is a neutral value as SJ would need 5.72 years to pay back of all of its debts.
SJ's Debt to FCF ratio of 5.72 is in line compared to the rest of the industry. SJ outperforms 58.33% of its industry peers.
A Debt/Equity ratio of 0.86 indicates that SJ is somewhat dependend on debt financing.
SJ has a Debt to Equity ratio of 0.86. This is amonst the worse of the industry: SJ underperforms 91.67% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.86 | ||
| Debt/FCF | 5.72 | ||
| Altman-Z | 3.4 |
ROIC/WACC1.42
WACC6.68%
2.3 Liquidity
SJ has a Current Ratio of 7.51. This indicates that SJ is financially healthy and has no problem in meeting its short term obligations.
With an excellent Current ratio value of 7.51, SJ belongs to the best of the industry, outperforming 100.00% of the companies in the same industry.
A Quick Ratio of 1.67 indicates that SJ should not have too much problems paying its short term obligations.
With an excellent Quick ratio value of 1.67, SJ belongs to the best of the industry, outperforming 91.67% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 7.51 | ||
| Quick Ratio | 1.67 |
3. Growth
3.1 Past
The earnings per share for SJ have decreased by -0.17% in the last year.
The Earnings Per Share has been growing by 18.88% on average over the past years. This is quite good.
The Revenue has been growing slightly by 2.45% in the past year.
The Revenue has been growing by 9.65% on average over the past years. This is quite good.
EPS 1Y (TTM)-0.17%
EPS 3Y16.65%
EPS 5Y18.88%
EPS Q2Q%22.79%
Revenue 1Y (TTM)2.45%
Revenue growth 3Y8.05%
Revenue growth 5Y9.65%
Sales Q2Q%-0.26%
3.2 Future
SJ is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 7.71% yearly.
Based on estimates for the next years, SJ will show a small growth in Revenue. The Revenue will grow by 4.56% on average per year.
EPS Next Y3.48%
EPS Next 2Y5.76%
EPS Next 3Y6.52%
EPS Next 5Y7.71%
Revenue Next Year5.35%
Revenue Next 2Y4.56%
Revenue Next 3YN/A
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 decreasing.
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
SJ is valuated correctly with a Price/Earnings ratio of 12.95.
Compared to the rest of the industry, the Price/Earnings ratio of SJ indicates a rather cheap valuation: SJ is cheaper than 91.67% of the companies listed in the same industry.
SJ is valuated cheaply when we compare the Price/Earnings ratio to 26.55, which is the current average of the S&P500 Index.
With a Price/Forward Earnings ratio of 12.22, SJ is valued correctly.
SJ's Price/Forward Earnings ratio is in line with the industry average.
Compared to an average S&P500 Price/Forward Earnings ratio of 22.30, SJ is valued a bit cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.95 | ||
| Fwd PE | 12.22 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of SJ is on the same level as its industry peers.
Based on the Price/Free Cash Flow ratio, SJ is valued a bit cheaper than the industry average as 66.67% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 13.66 | ||
| EV/EBITDA | 9.56 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates SJ does not grow enough to justify the current Price/Earnings ratio.
SJ has an outstanding profitability rating, which may justify a higher PE ratio.
PEG (NY)3.72
PEG (5Y)0.69
EPS Next 2Y5.76%
EPS Next 3Y6.52%
5. Dividend
5.1 Amount
SJ has a Yearly Dividend Yield of 1.61%.
Compared to an average industry Dividend Yield of 5.82, SJ pays a bit more dividend than its industry peers.
SJ's Dividend Yield is slightly below the S&P500 average, which is at 2.39.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.61% |
5.2 History
On average, the dividend of SJ grows each year by 14.68%, which is quite nice.
SJ has been paying a dividend for at least 10 years, so it has a reliable track record.
SJ has not decreased its dividend for at least 10 years, so it has a reliable track record of non decreasing dividend.
Dividend Growth(5Y)14.68%
Div Incr Years20
Div Non Decr Years21
5.3 Sustainability
18.81% of the earnings are spent on dividend by SJ. This is a low number and sustainable payout ratio.
SJ's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP18.81%
EPS Next 2Y5.76%
EPS Next 3Y6.52%
TSX:SJ (6/6/2025, 7:00:00 PM)
77.21
+0.07 (+0.09%)
Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryPaper & Forest Products
Earnings (Last)
Earnings (Next)
Inst Owners61.89%
Inst Owner ChangeN/A
Ins Owners0.07%
Ins Owner ChangeN/A
Market Cap4.29B
Analysts77.5
Price Target86.45 (11.97%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.61% |
Yearly Dividend1.12
Dividend Growth(5Y)14.68%
DP18.81%
Div Incr Years20
Div Non Decr Years21
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)33.32%
Min EPS beat(2)26.72%
Max EPS beat(2)39.92%
EPS beat(4)2
Avg EPS beat(4)11.05%
Min EPS beat(4)-20.99%
Max EPS beat(4)39.92%
EPS beat(8)6
Avg EPS beat(8)15.36%
EPS beat(12)10
Avg EPS beat(12)14.68%
EPS beat(16)13
Avg EPS beat(16)12.41%
Revenue beat(2)1
Avg Revenue beat(2)-2.33%
Min Revenue beat(2)-6.88%
Max Revenue beat(2)2.22%
Revenue beat(4)1
Avg Revenue beat(4)-4.83%
Min Revenue beat(4)-11.08%
Max Revenue beat(4)2.22%
Revenue beat(8)2
Avg Revenue beat(8)-3.74%
Revenue beat(12)5
Avg Revenue beat(12)-1.28%
Revenue beat(16)7
Avg Revenue beat(16)-1.06%
PT rev (1m)1.35%
PT rev (3m)-0.15%
EPS NQ rev (1m)-3.62%
EPS NQ rev (3m)-3.37%
EPS NY rev (1m)0%
EPS NY rev (3m)-0.48%
Revenue NQ rev (1m)-3.58%
Revenue NQ rev (3m)-3.07%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-1.61%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.95 | ||
| Fwd PE | 12.22 | ||
| P/S | 1.24 | ||
| P/FCF | 13.66 | ||
| P/OCF | 9.45 | ||
| P/B | 2.15 | ||
| P/tB | 3.01 | ||
| EV/EBITDA | 9.56 |
EPS(TTM)5.96
EY7.72%
EPS(NY)6.32
Fwd EY8.18%
FCF(TTM)5.65
FCFY7.32%
OCF(TTM)8.17
OCFY10.59%
SpS62.41
BVpS35.97
TBVpS25.67
PEG (NY)3.72
PEG (5Y)0.69
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 7.85% | ||
| ROE | 16.77% | ||
| ROCE | 12.48% | ||
| ROIC | 9.52% | ||
| ROICexc | 9.72% | ||
| ROICexgc | 11.4% | ||
| OM | 14.25% | ||
| PM (TTM) | 9.66% | ||
| GM | 20.77% | ||
| FCFM | 9.06% |
ROA(3y)8.14%
ROA(5y)8.32%
ROE(3y)17.22%
ROE(5y)16.52%
ROIC(3y)10.41%
ROIC(5y)10.53%
ROICexc(3y)10.41%
ROICexc(5y)10.53%
ROICexgc(3y)12.52%
ROICexgc(5y)12.82%
ROCE(3y)13.65%
ROCE(5y)13.81%
ROICexcg growth 3Y-3.18%
ROICexcg growth 5Y1.74%
ROICexc growth 3Y-0.99%
ROICexc growth 5Y2.71%
OM growth 3Y6.62%
OM growth 5Y5.57%
PM growth 3Y3.66%
PM growth 5Y4.31%
GM growth 3Y7.97%
GM growth 5Y5%
F-Score6
Asset Turnover0.81
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.86 | ||
| Debt/FCF | 5.72 | ||
| Debt/EBITDA | 2.75 | ||
| Cap/Depr | 104.48% | ||
| Cap/Sales | 4.04% | ||
| Interest Coverage | 5.61 | ||
| Cash Conversion | 72.29% | ||
| Profit Quality | 93.73% | ||
| Current Ratio | 7.51 | ||
| Quick Ratio | 1.67 | ||
| Altman-Z | 3.4 |
F-Score6
WACC6.68%
ROIC/WACC1.42
Cap/Depr(3y)127.58%
Cap/Depr(5y)108.32%
Cap/Sales(3y)4.21%
Cap/Sales(5y)3.42%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-0.17%
EPS 3Y16.65%
EPS 5Y18.88%
EPS Q2Q%22.79%
EPS Next Y3.48%
EPS Next 2Y5.76%
EPS Next 3Y6.52%
EPS Next 5Y7.71%
Revenue 1Y (TTM)2.45%
Revenue growth 3Y8.05%
Revenue growth 5Y9.65%
Sales Q2Q%-0.26%
Revenue Next Year5.35%
Revenue Next 2Y4.56%
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y-6.62%
EBIT growth 3Y15.2%
EBIT growth 5Y15.76%
EBIT Next Year28.68%
EBIT Next 3Y10.47%
EBIT Next 5Y8.66%
FCF growth 1Y119.58%
FCF growth 3Y12.32%
FCF growth 5Y64.2%
OCF growth 1Y75.29%
OCF growth 3Y17.58%
OCF growth 5Y35.33%