JM SMUCKER CO/THE (SJM) Stock Fundamental Analysis
USA - NYSE:SJM - US8326964058 - Common Stock
107.21 USD
+0.15 (+0.14%)
107.21 USD
0 (0%)
SJM gets a fundamental rating of 3 out of 10. The analysis compared the fundamentals against 86 industry peers in the Food Products industry. While SJM is still in line with the averages on profitability rating, there are concerns on its financial health. SJM has a valuation in line with the averages, but on the other hand it scores bad on growth.
1. Profitability
1.1 Basic Checks
In the past year SJM was profitable.
In the past year SJM had a positive cash flow from operations.
The reported net income has been mixed in the past 5 years: SJM reported negative net income in multiple years.
In the past 5 years SJM always reported a positive cash flow from operatings.
1.2 Ratios
SJM has a Return On Assets of -8.23%. This is in the lower half of the industry: SJM underperforms 73.26% of its industry peers.
The Return On Equity of SJM (-24.63%) is worse than 70.93% of its industry peers.
SJM has a Return On Invested Capital of 6.49%. This is in the better half of the industry: SJM outperforms 68.60% of its industry peers.
SJM had an Average Return On Invested Capital over the past 3 years of 7.05%. This 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
With an excellent Operating Margin value of 15.71%, SJM belongs to the best of the industry, outperforming 89.53% of the companies in the same industry.
SJM's Operating Margin has improved in the last couple of years.
With an excellent Gross Margin value of 35.36%, SJM belongs to the best of the industry, outperforming 81.40% of the companies in the same industry.
SJM's Gross Margin has been stable in the last couple of years.
| 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.
The number of shares outstanding for SJM has been increased compared to 1 year ago.
The number of shares outstanding for SJM has been reduced compared to 5 years ago.
SJM has a worse debt/assets ratio than last year.
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 Altman-Z score of 1.32. This is in the lower half of the industry: SJM underperforms 63.95% of its industry peers.
The Debt to FCF ratio of SJM is 11.90, which is on the high side as it means it would take SJM, 11.90 years of fcf income to pay off all of its debts.
The Debt to FCF ratio of SJM (11.90) is comparable to the rest of the industry.
A Debt/Equity ratio of 1.35 is on the high side and indicates that SJM has dependencies on debt financing.
With a Debt to Equity ratio value of 1.35, SJM is not doing good in the industry: 81.40% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.35 | ||
| Debt/FCF | 11.9 | ||
| Altman-Z | 1.32 |
ROIC/WACC0.97
WACC6.71%
2.3 Liquidity
A Current Ratio of 0.81 indicates that SJM may have some problems paying its short term obligations.
SJM has a worse Current ratio (0.81) than 81.40% of its industry peers.
A Quick Ratio of 0.34 indicates that SJM may have some problems paying its short term obligations.
SJM has a Quick ratio of 0.34. This is amonst the worse of the industry: SJM underperforms 86.05% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.81 | ||
| Quick Ratio | 0.34 |
3. Growth
3.1 Past
The earnings per share for SJM have decreased by -5.80% in the last year.
Measured over the past 5 years, SJM shows a small growth in Earnings Per Share. The EPS has been growing by 2.93% on average per year.
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.
Based on estimates for the next years, SJM will show a small growth in Revenue. The Revenue will grow by 1.83% on average per year.
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
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 stable: in the next years the growth will be about the same than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 11.19 indicates a reasonable valuation of SJM.
Based on the Price/Earnings ratio, SJM is valued cheaper than 80.23% of the companies in the same industry.
When comparing the Price/Earnings ratio of SJM to the average of the S&P500 Index (26.28), we can say SJM is valued rather cheaply.
A Price/Forward Earnings ratio of 10.83 indicates a reasonable valuation of SJM.
SJM's Price/Forward Earnings ratio is rather cheap when compared to the industry. SJM is cheaper than 84.88% of the companies in the same industry.
When comparing the Price/Forward Earnings ratio of SJM to the average of the S&P500 Index (33.61), we can say SJM is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.19 | ||
| Fwd PE | 10.83 |
4.2 Price Multiples
SJM's Enterprise Value to EBITDA ratio is in line with the industry average.
SJM's Price/Free Cash Flow ratio is a bit cheaper when compared to the industry. SJM is cheaper than 70.93% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 17.01 | ||
| EV/EBITDA | 9.83 |
4.3 Compensation for Growth
PEG (NY)N/A
PEG (5Y)3.82
EPS Next 2Y-1.07%
EPS Next 3Y1.43%
5. Dividend
5.1 Amount
SJM has a Yearly Dividend Yield of 4.19%, which is a nice return.
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 paid a dividend for at least 10 years, which is a reliable track record.
SJM has not decreased their dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)4.24%
Div Incr Years22
Div Non Decr Years22
5.3 Sustainability
The earnings of SJM are negative and hence is the payout ratio. SJM will probably not be able to sustain this dividend level.
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%
107.21
+0.15 (+0.14%)
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 Cap11.44B
Revenue(TTM)8.71B
Net Income(TTM)-1.46B
Analysts71.3
Price Target118.88 (10.89%)
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 | 11.19 | ||
| Fwd PE | 10.83 | ||
| P/S | 1.31 | ||
| P/FCF | 17.01 | ||
| P/OCF | 11.14 | ||
| P/B | 1.93 | ||
| P/tB | N/A | ||
| EV/EBITDA | 9.83 |
EPS(TTM)9.58
EY8.94%
EPS(NY)9.9
Fwd EY9.24%
FCF(TTM)6.3
FCFY5.88%
OCF(TTM)9.63
OCFY8.98%
SpS81.68
BVpS55.54
TBVpS-56.99
PEG (NY)N/A
PEG (5Y)3.82
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
WACC6.71%
ROIC/WACC0.97
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 11.19 and the Price/Book (PB) ratio is 1.93.
How financially healthy is JM SMUCKER CO/THE?
The financial health rating of JM SMUCKER CO/THE (SJM) is 1 / 10.