JM SMUCKER CO/THE (SJM) Stock Fundamental Analysis
USA - NYSE:SJM - US8326964058 - Common Stock
108.53 USD
+1.32 (+1.23%)
108.53 USD
0 (0%)
Overall SJM gets a fundamental rating of 3 out of 10. We evaluated SJM against 86 industry peers in the Food Products industry. SJM has a medium profitability rating, but doesn't score so well on its financial health evaluation. SJM is valued correctly, but it does not seem to be growing.
1. Profitability
1.1 Basic Checks
SJM had positive earnings in the past year.
In the past year SJM had a positive cash flow from operations.
In multiple years SJM reported negative net income over the last 5 years.
In the past 5 years SJM always reported a positive cash flow from operatings.
1.2 Ratios
The Return On Assets of SJM (-8.23%) is worse than 73.26% of its industry peers.
SJM's Return On Equity of -24.63% is on the low side compared to the rest of the industry. SJM is outperformed by 70.93% of its industry peers.
The Return On Invested Capital of SJM (6.49%) is better than 68.60% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for SJM is significantly below the industry average of 28.65%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -8.23% | ||
| ROE | -24.63% | ||
| ROIC | 6.49% |
ROA(3y)-1.32%
ROA(5y)1.07%
ROE(3y)-3.94%
ROE(5y)1.33%
ROIC(3y)7.05%
ROIC(5y)7.03%
1.3 Margins
SJM has a better Operating Margin (15.71%) than 89.53% of its industry peers.
In the last couple of years the Operating Margin of SJM has grown nicely.
Looking at the Gross Margin, with a value of 35.36%, SJM belongs to the top of the industry, outperforming 81.40% of the companies in the same industry.
In the last couple of years the Gross Margin of SJM has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 15.71% | ||
| PM (TTM) | N/A | ||
| GM | 35.36% |
OM growth 3Y8.86%
OM growth 5Y2.85%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y4.83%
GM growth 5Y0.21%
2. Health
2.1 Basic Checks
SJM 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, SJM has more shares outstanding
The number of shares outstanding for SJM has been reduced compared to 5 years ago.
The debt/assets ratio for SJM is higher compared to a year ago.
2.2 Solvency
SJM has an Altman-Z score of 1.32. This is a bad value and indicates that SJM is not financially healthy and even has some risk of bankruptcy.
SJM has a worse Altman-Z score (1.32) than 63.95% of its industry peers.
SJM has a debt to FCF ratio of 11.90. This is a negative value and a sign of low solvency as SJM would need 11.90 years to pay back of all of its debts.
SJM's Debt to FCF ratio of 11.90 is in line compared to the rest of the industry. SJM outperforms 59.30% of its industry peers.
A Debt/Equity ratio of 1.35 is on the high side and indicates that SJM has dependencies on debt financing.
SJM has a Debt to Equity ratio of 1.35. This is amonst the worse of the industry: SJM underperforms 81.40% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.35 | ||
| Debt/FCF | 11.9 | ||
| Altman-Z | 1.32 |
ROIC/WACC0.96
WACC6.74%
2.3 Liquidity
SJM has a Current Ratio of 0.81. This is a bad value and indicates that SJM is not financially healthy enough and could expect problems in meeting its short term obligations.
Looking at the Current ratio, with a value of 0.81, SJM is doing worse than 81.40% of the companies in the same industry.
A Quick Ratio of 0.34 indicates that SJM may have some problems paying its short term obligations.
With a Quick ratio value of 0.34, SJM is not doing good in the industry: 86.05% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.81 | ||
| Quick Ratio | 0.34 |
3. Growth
3.1 Past
SJM shows a slight negative growth in Earnings Per Share. In the last year, the EPS has decreased by -5.80%.
SJM shows a small growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 2.93% yearly.
Looking at the last year, SJM shows a small growth in Revenue. The Revenue has grown by 2.54% in the last year.
The Revenue has been growing slightly by 2.27% on average over the past years.
EPS 1Y (TTM)-5.8%
EPS 3Y4.41%
EPS 5Y2.93%
EPS Q2Q%-22.13%
Revenue 1Y (TTM)2.54%
Revenue growth 3Y2.94%
Revenue growth 5Y2.27%
Sales Q2Q%-0.56%
3.2 Future
The Earnings Per Share is expected to grow by 1.07% on average over the next years.
SJM is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 1.83% yearly.
EPS Next Y-9.4%
EPS Next 2Y-1.07%
EPS Next 3Y1.43%
EPS Next 5Y1.07%
Revenue Next Year3.44%
Revenue Next 2Y2.82%
Revenue Next 3Y2.42%
Revenue Next 5Y1.83%
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 stable.
4. Valuation
4.1 Price/Earnings Ratio
SJM is valuated reasonably with a Price/Earnings ratio of 11.33.
80.23% of the companies in the same industry are more expensive than SJM, based on the Price/Earnings ratio.
SJM's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 26.35.
SJM is valuated reasonably with a Price/Forward Earnings ratio of 10.96.
84.88% of the companies in the same industry are more expensive than SJM, based on the Price/Forward Earnings ratio.
Compared to an average S&P500 Price/Forward Earnings ratio of 33.72, SJM is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.33 | ||
| Fwd PE | 10.96 |
4.2 Price Multiples
SJM's Enterprise Value to EBITDA ratio is in line with the industry average.
70.93% of the companies in the same industry are more expensive than SJM, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 17.22 | ||
| EV/EBITDA | 9.83 |
4.3 Compensation for Growth
PEG (NY)N/A
PEG (5Y)3.87
EPS Next 2Y-1.07%
EPS Next 3Y1.43%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 4.19%, SJM is a good candidate for dividend investing.
Compared to an average industry Dividend Yield of 5.21, SJM pays a bit more dividend than its industry peers.
SJM's Dividend Yield is rather good when compared to the S&P500 average which is at 2.36.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.19% |
5.2 History
The dividend of SJM has a limited annual growth rate of 4.24%.
SJM has been paying a dividend for at least 10 years, so it has a reliable track record.
SJM has not decreased its dividend for at least 10 years, so it has a reliable track record of non decreasing dividend.
Dividend Growth(5Y)4.24%
Div Incr Years22
Div Non Decr Years22
5.3 Sustainability
SJM has negative earnings and hence a negative payout ratio. The dividend may be in danger.
The dividend of SJM is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP-31.36%
EPS Next 2Y-1.07%
EPS Next 3Y1.43%
108.53
+1.32 (+1.23%)
Chartmill FA Rating
GICS SectorConsumer Staples
GICS IndustryGroupFood, Beverage & Tobacco
GICS IndustryFood Products
Earnings (Last)
Earnings (Next)
Inst Owners88.9%
Inst Owner Change-2.02%
Ins Owners2.27%
Ins Owner Change-0.13%
Market Cap11.58B
Revenue(TTM)8.71B
Net Income(TTM)-1.46B
Analysts71.3
Price Target118.88 (9.54%)
Short Float %5.67%
Short Ratio2.83
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.19% |
Yearly Dividend4.28
Dividend Growth(5Y)4.24%
DP-31.36%
Div Incr Years22
Div Non Decr Years22
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-0.35%
Min EPS beat(2)-2.68%
Max EPS beat(2)1.98%
EPS beat(4)3
Avg EPS beat(4)4.36%
Min EPS beat(4)-2.68%
Max EPS beat(4)9.25%
EPS beat(8)7
Avg EPS beat(8)6.72%
EPS beat(12)11
Avg EPS beat(12)6.87%
EPS beat(16)15
Avg EPS beat(16)9.87%
Revenue beat(2)0
Avg Revenue beat(2)-1.96%
Min Revenue beat(2)-2.86%
Max Revenue beat(2)-1.06%
Revenue beat(4)0
Avg Revenue beat(4)-1.87%
Min Revenue beat(4)-2.86%
Max Revenue beat(4)-0.78%
Revenue beat(8)0
Avg Revenue beat(8)-1.67%
Revenue beat(12)2
Avg Revenue beat(12)-1.27%
Revenue beat(16)4
Avg Revenue beat(16)-0.67%
PT rev (1m)0.59%
PT rev (3m)4.38%
EPS NQ rev (1m)0.16%
EPS NQ rev (3m)-11.41%
EPS NY rev (1m)0.07%
EPS NY rev (3m)0.24%
Revenue NQ rev (1m)-0.04%
Revenue NQ rev (3m)0.56%
Revenue NY rev (1m)0%
Revenue NY rev (3m)1.16%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.33 | ||
| Fwd PE | 10.96 | ||
| P/S | 1.33 | ||
| P/FCF | 17.22 | ||
| P/OCF | 11.28 | ||
| P/B | 1.95 | ||
| P/tB | N/A | ||
| EV/EBITDA | 9.83 |
EPS(TTM)9.58
EY8.83%
EPS(NY)9.9
Fwd EY9.13%
FCF(TTM)6.3
FCFY5.81%
OCF(TTM)9.63
OCFY8.87%
SpS81.68
BVpS55.54
TBVpS-56.99
PEG (NY)N/A
PEG (5Y)3.87
Graham Number109.42
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -8.23% | ||
| ROE | -24.63% | ||
| ROCE | 9.26% | ||
| ROIC | 6.49% | ||
| ROICexc | 6.51% | ||
| ROICexgc | 27.67% | ||
| OM | 15.71% | ||
| PM (TTM) | N/A | ||
| GM | 35.36% | ||
| FCFM | 7.72% |
ROA(3y)-1.32%
ROA(5y)1.07%
ROE(3y)-3.94%
ROE(5y)1.33%
ROIC(3y)7.05%
ROIC(5y)7.03%
ROICexc(3y)7.29%
ROICexc(5y)7.22%
ROICexgc(3y)42.35%
ROICexgc(5y)51.81%
ROCE(3y)9.69%
ROCE(5y)9.6%
ROICexgc growth 3Y0.14%
ROICexgc growth 5Y-1.19%
ROICexc growth 3Y8.65%
ROICexc growth 5Y4.85%
OM growth 3Y8.86%
OM growth 5Y2.85%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y4.83%
GM growth 5Y0.21%
F-Score5
Asset Turnover0.49
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.35 | ||
| Debt/FCF | 11.9 | ||
| Debt/EBITDA | 4.26 | ||
| Cap/Depr | 69.67% | ||
| Cap/Sales | 4.07% | ||
| Interest Coverage | 3.36 | ||
| Cash Conversion | 54.7% | ||
| Profit Quality | N/A | ||
| Current Ratio | 0.81 | ||
| Quick Ratio | 0.34 | ||
| Altman-Z | 1.32 |
F-Score5
WACC6.74%
ROIC/WACC0.96
Cap/Depr(3y)108.43%
Cap/Depr(5y)96.8%
Cap/Sales(3y)5.76%
Cap/Sales(5y)5.27%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-5.8%
EPS 3Y4.41%
EPS 5Y2.93%
EPS Q2Q%-22.13%
EPS Next Y-9.4%
EPS Next 2Y-1.07%
EPS Next 3Y1.43%
EPS Next 5Y1.07%
Revenue 1Y (TTM)2.54%
Revenue growth 3Y2.94%
Revenue growth 5Y2.27%
Sales Q2Q%-0.56%
Revenue Next Year3.44%
Revenue Next 2Y2.82%
Revenue Next 3Y2.42%
Revenue Next 5Y1.83%
EBIT growth 1Y-9.56%
EBIT growth 3Y12.06%
EBIT growth 5Y5.19%
EBIT Next Year9.97%
EBIT Next 3Y7.25%
EBIT Next 5Y3.48%
FCF growth 1Y-26.25%
FCF growth 3Y4.34%
FCF growth 5Y-3.69%
OCF growth 1Y-29.24%
OCF growth 3Y2.13%
OCF growth 5Y-0.72%
JM SMUCKER CO/THE / SJM FAQ
What is the fundamental rating for SJM stock?
ChartMill assigns a fundamental rating of 3 / 10 to SJM.
What is the valuation status of JM SMUCKER CO/THE (SJM) stock?
ChartMill assigns a valuation rating of 6 / 10 to JM SMUCKER CO/THE (SJM). This can be considered as Fairly Valued.
Can you provide the profitability details for JM SMUCKER CO/THE?
JM SMUCKER CO/THE (SJM) has a profitability rating of 4 / 10.
What are the PE and PB ratios of JM SMUCKER CO/THE (SJM) stock?
The Price/Earnings (PE) ratio for JM SMUCKER CO/THE (SJM) is 11.33 and the Price/Book (PB) ratio is 1.95.
How financially healthy is JM SMUCKER CO/THE?
The financial health rating of JM SMUCKER CO/THE (SJM) is 1 / 10.