Shaw Communications Inc (SJR-B.CA) Fundamental Analysis & Valuation

TSX:SJR-B • CA82028K2002

Current stock price

40.48 CAD
+0.01 (+0.02%)
Last:

This SJR-B.CA fundamental analysis includes valuation metrics, fair value assessment, financial health analysis, profitability trends, growth metrics and dividend sustainability analysis.

6

1. SJR-B.CA Profitability Analysis

1.1 Basic Checks

  • In the past year SJR-B was profitable.
  • In the past year SJR-B had a positive cash flow from operations.
SJR-B.CA Yearly Net Income VS EBIT VS OCF VS FCFSJR-B.CA Yearly Net Income VS EBIT VS OCF VS FCFYearly Net Income VS EBIT VS OCF VS FCF 2016 2017 2018 2019 2020 2021 2022 0 500M 1B 1.5B

1.2 Ratios

  • SJR-B has a Return On Assets of 4.68%. This is in the better half of the industry: SJR-B outperforms 63.16% of its industry peers.
  • SJR-B has a Return On Equity of 11.48%. This is comparable to the rest of the industry: SJR-B outperforms 57.89% of its industry peers.
  • The Return On Invested Capital of SJR-B (7.72%) is better than 84.21% of its industry peers.
  • The Average Return On Invested Capital over the past 3 years for SJR-B is significantly above the industry average of 7.66%.
  • The 3 year average ROIC (18.64%) for SJR-B is well above the current ROIC(7.72%). The reason for the recent decline needs to be investigated.
Industry RankSector Rank
ROA 4.68%
ROE 11.48%
ROIC 7.72%
ROA(3y)N/A
ROA(5y)N/A
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)18.64%
ROIC(5y)N/A
SJR-B.CA Yearly ROA, ROE, ROICSJR-B.CA Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2016 2017 2018 2019 2020 2021 2022 5 10 15 20

1.3 Margins

  • SJR-B's Profit Margin of 13.55% is fine compared to the rest of the industry. SJR-B outperforms 73.68% of its industry peers.
  • In the last couple of years the Profit Margin of SJR-B has declined.
  • SJR-B has a Operating Margin of 23.55%. This is in the better half of the industry: SJR-B outperforms 73.68% of its industry peers.
  • In the last couple of years the Operating Margin of SJR-B has grown nicely.
  • With a decent Gross Margin value of 46.34%, SJR-B is doing good in the industry, outperforming 63.16% of the companies in the same industry.
  • In the last couple of years the Gross Margin of SJR-B has grown nicely.
Industry RankSector Rank
OM 23.55%
PM (TTM) 13.55%
GM 46.34%
OM growth 3Y4.71%
OM growth 5Y2.15%
PM growth 3Y1.22%
PM growth 5Y-4.08%
GM growth 3Y4.86%
GM growth 5Y2.6%
SJR-B.CA Yearly Profit, Operating, Gross MarginsSJR-B.CA Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2016 2017 2018 2019 2020 2021 2022 10 20 30 40

More info and screens

ROAROEROICOperating and Profit MarginShow most profitable peers

4

2. SJR-B.CA Health Analysis

2.1 Basic Checks

  • The Return on Invested Capital (ROIC) is well above the Cost of Capital (WACC), so SJR-B is creating value.
  • The number of shares outstanding for SJR-B remains at a similar level compared to 1 year ago.
  • SJR-B has a better debt/assets ratio than last year.
SJR-B.CA Yearly Shares OutstandingSJR-B.CA Yearly Shares OutstandingYearly Shares Outstanding 2016 2017 2018 2019 2020 2021 2022 100M 200M 300M 400M 500M
SJR-B.CA Yearly Total Debt VS Total AssetsSJR-B.CA Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2016 2017 2018 2019 2020 2021 2022 5B 10B 15B

2.2 Solvency

  • An Altman-Z score of 2.06 indicates that SJR-B is not a great score, but indicates only limited risk for bankruptcy at the moment.
  • SJR-B has a better Altman-Z score (2.06) than 84.21% of its industry peers.
  • SJR-B has a debt to FCF ratio of 8.85. This is a slightly negative value and a sign of low solvency as SJR-B would need 8.85 years to pay back of all of its debts.
  • SJR-B's Debt to FCF ratio of 8.85 is fine compared to the rest of the industry. SJR-B outperforms 73.68% of its industry peers.
  • A Debt/Equity ratio of 0.79 indicates that SJR-B is somewhat dependend on debt financing.
  • Looking at the Debt to Equity ratio, with a value of 0.79, SJR-B is in line with its industry, outperforming 47.37% of the companies in the same industry.
Industry RankSector Rank
Debt/Equity 0.79
Debt/FCF 8.85
Altman-Z 2.06
ROIC/WACC0.92
WACC8.41%
SJR-B.CA Yearly LT Debt VS Equity VS FCFSJR-B.CA Yearly LT Debt VS Equity VS FCFYearly LT Debt VS Equity VS FCF 2016 2017 2018 2019 2020 2021 2022 0 2B 4B 6B

2.3 Liquidity

  • A Current Ratio of 0.68 indicates that SJR-B may have some problems paying its short term obligations.
  • Looking at the Current ratio, with a value of 0.68, SJR-B is doing worse than 89.47% of the companies in the same industry.
  • SJR-B has a Quick Ratio of 0.68. This is a bad value and indicates that SJR-B is not financially healthy enough and could expect problems in meeting its short term obligations.
  • SJR-B has a worse Quick ratio (0.63) than 78.95% of its industry peers.
Industry RankSector Rank
Current Ratio 0.68
Quick Ratio 0.63
SJR-B.CA Yearly Current Assets VS Current LiabilitesSJR-B.CA Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2016 2017 2018 2019 2020 2021 2022 500M 1B 1.5B 2B 2.5B

More info and screens

WACCDebt/EquityHow to determine the health of a companyAltman-Z scoreShow peers with great health

1

3. SJR-B.CA Growth Analysis

3.1 Past

  • SJR-B shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -27.23%.
  • SJR-B shows a small growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 3.50% yearly.
  • The Revenue has decreased by -1.68% in the past year.
  • The Revenue has been growing slightly by 2.22% on average over the past years.
EPS 1Y (TTM)-27.23%
EPS 3Y-2.5%
EPS 5Y3.5%
EPS Q2Q%-12.82%
Revenue 1Y (TTM)-1.68%
Revenue growth 3Y0.67%
Revenue growth 5Y2.22%
Sales Q2Q%-1.15%

3.2 Future

  • SJR-B is expected to show a decrease in Earnings Per Share. In the coming years, the EPS will decrease by -0.36% yearly.
  • The Revenue is expected to decrease by -0.60% on average over the next years.
EPS Next Y-1.83%
EPS Next 2Y0.48%
EPS Next 3Y-0.36%
EPS Next 5YN/A
Revenue Next Year-0.82%
Revenue Next 2Y-0.57%
Revenue Next 3Y-0.6%
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.
  • When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
SJR-B.CA Yearly Revenue VS EstimatesSJR-B.CA Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 1B 2B 3B 4B 5B
SJR-B.CA Yearly EPS VS EstimatesSJR-B.CA Yearly EPS VS EstimatesYearly EPS VS Estimates 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 0.5 1 1.5

More info and screens

Find the best growth stocksShow best growing peers

2

4. SJR-B.CA Valuation Analysis

4.1 Price/Earnings Ratio

  • SJR-B is valuated quite expensively with a Price/Earnings ratio of 27.54.
  • SJR-B's Price/Earnings is on the same level as the industry average.
  • SJR-B's Price/Earnings ratio indicates a similar valuation than the S&P500 average which is at 24.89.
  • With a Price/Forward Earnings ratio of 26.38, SJR-B can be considered very expensive at the moment.
  • Compared to the rest of the industry, the Price/Forward Earnings ratio of SJR-B is on the same level as its industry peers.
  • SJR-B's Price/Forward Earnings ratio indicates a similar valuation than the S&P500 average which is at 22.19.
Industry RankSector Rank
PE 27.54
Fwd PE 26.38
SJR-B.CA Price Earnings VS Forward Price EarningsSJR-B.CA Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 5 10 15 20 25

4.2 Price Multiples

  • SJR-B's Enterprise Value to EBITDA ratio is in line with the industry average.
  • Compared to the rest of the industry, the Price/Free Cash Flow ratio of SJR-B is on the same level as its industry peers.
Industry RankSector Rank
P/FCF 30.56
EV/EBITDA 10.16
SJR-B.CA Per share dataSJR-B.CA EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 0 5 10

4.3 Compensation for Growth

  • SJR-B has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)7.88
EPS Next 2Y0.48%
EPS Next 3Y-0.36%

More info and screens

Price/EarningsPrice/FCFFCF per shareEV/EBITDAPEG RATIOShow best valued peers

3

5. SJR-B.CA Dividend Analysis

5.1 Amount

  • SJR-B has a Yearly Dividend Yield of 1.26%.
  • Compared to an average industry Dividend Yield of 0.20, SJR-B pays a bit more dividend than its industry peers.
  • Compared to the average S&P500 Dividend Yield of 1.89, SJR-B is paying slightly less dividend.
Industry RankSector Rank
Dividend Yield 1.26%

5.2 History

  • SJR-B has been paying a dividend for over 5 years, so it has already some track record.
  • As SJR-B did not decrease their dividend in the past 5 years, we can say the dividend looks stable.
Dividend Growth(5Y)N/A
Div Incr Years1
Div Non Decr Years6
SJR-B.CA Yearly Dividends per shareSJR-B.CA Yearly Dividends per shareYearly Dividends per share 2017 2018 2019 2020 2021 2022 2023 0.2 0.4 0.6 0.8 1

5.3 Sustainability

  • 80.43% of the earnings are spent on dividend by SJR-B. This is not a sustainable payout ratio.
DP80.43%
EPS Next 2Y0.48%
EPS Next 3Y-0.36%
SJR-B.CA Yearly Income VS Free CF VS DividendSJR-B.CA Yearly Income VS Free CF VS DividendYearly Income VS Free CF VS Dividend 2016 2017 2018 2019 2020 2021 2022 0 500M 1B
SJR-B.CA Dividend Payout.SJR-B.CA Dividend Payout, showing the Payout Ratio.SJR-B.CA Dividend Payout.PayoutRetained Earnings

More info and screens

Find the best dividend stocksShow peers with best dividend

SJR-B.CA Fundamentals: All Metrics, Ratios and Statistics

Shaw Communications Inc

TSX:SJR-B (4/4/2023, 7:00:00 PM)

40.48

+0.01 (+0.02%)

Chartmill FA Rating
GICS IndustryGroupMedia & Entertainment
GICS IndustryMedia
Earnings (Last)N/A
Earnings (Next)01-12
Inst Owners27.26%
Inst Owner ChangeN/A
Ins OwnersN/A
Ins Owner ChangeN/A
Market Cap20.23B
Revenue(TTM)5.43B
Net Income(TTM)736.00M
Analysts51.25
Price Target41.31 (2.05%)
Short Float %N/A
Short RatioN/A
Dividend
Industry RankSector Rank
Dividend Yield 1.26%
Yearly Dividend0.3
Dividend Growth(5Y)N/A
DP80.43%
Div Incr Years1
Div Non Decr Years6
Ex-DateN/A
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-12.3%
Min EPS beat(2)-13.59%
Max EPS beat(2)-11%
EPS beat(4)1
Avg EPS beat(4)-7%
Min EPS beat(4)-13.59%
Max EPS beat(4)2.95%
EPS beat(8)N/A
Avg EPS beat(8)N/A
EPS beat(12)N/A
Avg EPS beat(12)N/A
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)0
Avg Revenue beat(2)-3.5%
Min Revenue beat(2)-3.62%
Max Revenue beat(2)-3.39%
Revenue beat(4)0
Avg Revenue beat(4)-3.62%
Min Revenue beat(4)-3.82%
Max Revenue beat(4)-3.39%
Revenue beat(8)N/A
Avg Revenue beat(8)N/A
Revenue beat(12)N/A
Avg Revenue beat(12)N/A
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)0%
PT rev (3m)0.75%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-5.01%
EPS NY rev (1m)0%
EPS NY rev (3m)-5.31%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-0.57%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-0.96%
Valuation
Industry RankSector Rank
PE 27.54
Fwd PE 26.38
P/S 3.72
P/FCF 30.56
P/OCF 11.18
P/B 3.16
P/tB N/A
EV/EBITDA 10.16
EPS(TTM)1.47
EY3.63%
EPS(NY)1.53
Fwd EY3.79%
FCF(TTM)1.32
FCFY3.27%
OCF(TTM)3.62
OCFY8.94%
SpS10.87
BVpS12.83
TBVpS-3.74
PEG (NY)N/A
PEG (5Y)7.88
Graham NumberN/A
Profitability
Industry RankSector Rank
ROA 4.68%
ROE 11.48%
ROCE N/A
ROIC 7.72%
ROICexc 7.88%
ROICexgc 19.66%
OM 23.55%
PM (TTM) 13.55%
GM 46.34%
FCFM N/A
ROA(3y)N/A
ROA(5y)N/A
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)18.64%
ROIC(5y)N/A
ROICexc(3y)7.63%
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexgc growth 3Y-13.79%
ROICexgc growth 5Y0.54%
ROICexc growth 3Y-1.62%
ROICexc growth 5Y1.99%
OM growth 3Y4.71%
OM growth 5Y2.15%
PM growth 3Y1.22%
PM growth 5Y-4.08%
GM growth 3Y4.86%
GM growth 5Y2.6%
F-Score5
Asset Turnover0.35
Health
Industry RankSector Rank
Debt/Equity 0.79
Debt/FCF 8.85
Debt/EBITDA 2.32
Cap/Depr 92.43%
Cap/Sales N/A
Interest Coverage N/A
Cash Conversion N/A
Profit Quality 89.95%
Current Ratio 0.68
Quick Ratio 0.63
Altman-Z 2.06
F-Score5
WACC8.41%
ROIC/WACC0.92
Cap/Depr(3y)88.91%
Cap/Depr(5y)113.54%
Cap/Sales(3y)N/A
Cap/Sales(5y)N/A
Profit Quality(3y)100.67%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-27.23%
EPS 3Y-2.5%
EPS 5Y3.5%
EPS Q2Q%-12.82%
EPS Next Y-1.83%
EPS Next 2Y0.48%
EPS Next 3Y-0.36%
EPS Next 5YN/A
Revenue 1Y (TTM)-1.68%
Revenue growth 3Y0.67%
Revenue growth 5Y2.22%
Sales Q2Q%-1.15%
Revenue Next Year-0.82%
Revenue Next 2Y-0.57%
Revenue Next 3Y-0.6%
Revenue Next 5YN/A
EBIT growth 1Y-2.59%
EBIT growth 3Y5.41%
EBIT growth 5Y4.42%
EBIT Next Year88.73%
EBIT Next 3Y23.6%
EBIT Next 5YN/A
FCF growth 1Y-16.62%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y-3.83%
OCF growth 3Y5.3%
OCF growth 5Y4.04%

Shaw Communications Inc / SJR-B.CA Fundamental Analysis FAQ

What is the ChartMill fundamental rating of Shaw Communications Inc (SJR-B.CA) stock?

ChartMill assigns a fundamental rating of 3 / 10 to SJR-B.CA.


What is the valuation status of Shaw Communications Inc (SJR-B.CA) stock?

ChartMill assigns a valuation rating of 0 / 10 to Shaw Communications Inc (SJR-B.CA). This can be considered as Overvalued.


How profitable is Shaw Communications Inc (SJR-B.CA) stock?

Shaw Communications Inc (SJR-B.CA) has a profitability rating of 4 / 10.


What are the PE and PB ratios of Shaw Communications Inc (SJR-B.CA) stock?

The Price/Earnings (PE) ratio for Shaw Communications Inc (SJR-B.CA) is 27.54 and the Price/Book (PB) ratio is 3.16.


Can you provide the expected EPS growth for SJR-B stock?

The Earnings per Share (EPS) of Shaw Communications Inc (SJR-B.CA) is expected to decline by -1.83% in the next year.