SYLVAMO CORP (SLVM) Stock Fundamental Analysis
USA - NYSE:SLVM - US8713321029 - Common Stock
43.37 USD
+0.49 (+1.14%)
43.37 USD
0 (0%)
We assign a fundamental rating of 6 out of 10 to SLVM. SLVM was compared to 9 industry peers in the Paper & Forest Products industry. SLVM has outstanding health and profitabily ratings, belonging to the best of the industry. This is a solid base for any company. SLVM is cheap, but on the other hand it scores bad on growth. This makes SLVM very considerable for value investing!
1. Profitability
1.1 Basic Checks
In the past year SLVM was profitable.
SLVM had a positive operating cash flow in the past year.
In the past 5 years SLVM has always been profitable.
In the past 5 years SLVM always reported a positive cash flow from operatings.
1.2 Ratios
SLVM has a Return On Assets of 8.17%. This is in the better half of the industry: SLVM outperforms 77.78% of its industry peers.
SLVM has a Return On Equity of 22.73%. This is amongst the best in the industry. SLVM outperforms 88.89% of its industry peers.
The Return On Invested Capital of SLVM (11.65%) is better than 88.89% of its industry peers.
SLVM had an Average Return On Invested Capital over the past 3 years of 16.67%. This is significantly above the industry average of 5.72%.
The last Return On Invested Capital (11.65%) for SLVM is well below the 3 year average (16.67%), which needs to be investigated, but indicates that SLVM had better years and this may not be a problem.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 8.17% | ||
| ROE | 22.73% | ||
| ROIC | 11.65% |
ROA(3y)8.25%
ROA(5y)8.67%
ROE(3y)27.05%
ROE(5y)54.21%
ROIC(3y)16.67%
ROIC(5y)13.03%
1.3 Margins
SLVM has a Profit Margin of 6.14%. This is in the better half of the industry: SLVM outperforms 66.67% of its industry peers.
SLVM's Profit Margin has declined in the last couple of years.
SLVM's Operating Margin of 9.52% is fine compared to the rest of the industry. SLVM outperforms 77.78% of its industry peers.
SLVM's Operating Margin has been stable in the last couple of years.
Looking at the Gross Margin, with a value of 23.04%, SLVM is in line with its industry, outperforming 55.56% of the companies in the same industry.
In the last couple of years the Gross Margin of SLVM has declined.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 9.52% | ||
| PM (TTM) | 6.14% | ||
| GM | 23.04% |
OM growth 3Y1.56%
OM growth 5Y-0.5%
PM growth 3Y-11.9%
PM growth 5Y-3.13%
GM growth 3Y1.05%
GM growth 5Y-6.15%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) well above the Cost of Capital (WACC), SLVM is creating value.
The number of shares outstanding for SLVM has been reduced compared to 1 year ago.
The number of shares outstanding for SLVM has been reduced compared to 5 years ago.
SLVM has a better debt/assets ratio than last year.
2.2 Solvency
SLVM has an Altman-Z score of 3.80. This indicates that SLVM is financially healthy and has little risk of bankruptcy at the moment.
SLVM's Altman-Z score of 3.80 is amongst the best of the industry. SLVM outperforms 88.89% of its industry peers.
SLVM has a debt to FCF ratio of 1.96. This is a very positive value and a sign of high solvency as it would only need 1.96 years to pay back of all of its debts.
SLVM has a better Debt to FCF ratio (1.96) than 88.89% of its industry peers.
SLVM has a Debt/Equity ratio of 0.84. This is a neutral value indicating SLVM is somewhat dependend on debt financing.
SLVM has a Debt to Equity ratio of 0.84. This is comparable to the rest of the industry: SLVM outperforms 55.56% of its industry peers.
Although SLVM does not score too well on debt/equity it has very limited outstanding debt, which is well covered by the FCF. We will not put too much weight on the debt/equity number as it may be because of low equity, which could be a consequence of a share buyback program for instance. This needs to be investigated.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.84 | ||
| Debt/FCF | 1.96 | ||
| Altman-Z | 3.8 |
ROIC/WACC1.67
WACC6.96%
2.3 Liquidity
A Current Ratio of 1.54 indicates that SLVM should not have too much problems paying its short term obligations.
SLVM's Current ratio of 1.54 is on the low side compared to the rest of the industry. SLVM is outperformed by 66.67% of its industry peers.
A Quick Ratio of 0.91 indicates that SLVM may have some problems paying its short term obligations.
SLVM's Quick ratio of 0.91 is on the low side compared to the rest of the industry. SLVM is outperformed by 66.67% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.54 | ||
| Quick Ratio | 0.91 |
3. Growth
3.1 Past
The earnings per share for SLVM have decreased by -7.78% in the last year.
Measured over the past years, SLVM shows a decrease in Earnings Per Share. The EPS has been decreasing by -3.34% on average per year.
SLVM shows a decrease in Revenue. In the last year, the revenue decreased by -4.03%.
Measured over the past years, SLVM shows a decrease in Revenue. The Revenue has been decreasing by -1.25% on average per year.
EPS 1Y (TTM)-7.78%
EPS 3Y-1.48%
EPS 5Y-3.34%
EPS Q2Q%-81.31%
Revenue 1Y (TTM)-4.03%
Revenue growth 3Y10.09%
Revenue growth 5Y-1.25%
Sales Q2Q%-14.9%
3.2 Future
SLVM is expected to show a decrease in Earnings Per Share. In the coming years, the EPS will decrease by -2.55% yearly.
The Revenue is expected to decrease by -1.91% on average over the next years.
EPS Next Y-46.24%
EPS Next 2Y-10.12%
EPS Next 3Y-2.55%
EPS Next 5YN/A
Revenue Next Year-11.55%
Revenue Next 2Y-4.88%
Revenue Next 3Y-1.91%
Revenue Next 5YN/A
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better 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 decreasing.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 7.96, the valuation of SLVM can be described as very cheap.
Compared to the rest of the industry, the Price/Earnings ratio of SLVM indicates a rather cheap valuation: SLVM is cheaper than 88.89% of the companies listed in the same industry.
When comparing the Price/Earnings ratio of SLVM to the average of the S&P500 Index (27.08), we can say SLVM is valued rather cheaply.
A Price/Forward Earnings ratio of 7.21 indicates a rather cheap valuation of SLVM.
Based on the Price/Forward Earnings ratio, SLVM is valued cheaper than 100.00% of the companies in the same industry.
SLVM is valuated cheaply when we compare the Price/Forward Earnings ratio to 23.09, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 7.96 | ||
| Fwd PE | 7.21 |
4.2 Price Multiples
88.89% of the companies in the same industry are more expensive than SLVM, based on the Enterprise Value to EBITDA ratio.
SLVM's Price/Free Cash Flow ratio is rather cheap when compared to the industry. SLVM is cheaper than 88.89% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 4.23 | ||
| EV/EBITDA | 4.58 |
4.3 Compensation for Growth
The decent profitability rating of SLVM may justify a higher PE ratio.
SLVM's earnings are expected to decrease with -2.55% in the coming years. This may justify a cheaper valuation.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y-10.12%
EPS Next 3Y-2.55%
5. Dividend
5.1 Amount
SLVM has a Yearly Dividend Yield of 4.14%, which is a nice return.
SLVM's Dividend Yield is rather good when compared to the industry average which is at 4.14. SLVM pays more dividend than 88.89% of the companies in the same industry.
SLVM's Dividend Yield is rather good when compared to the S&P500 average which is at 2.30.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.14% |
5.2 History
SLVM has been paying a dividend for less than 5 years, so it still needs to build a track record.
Dividend Growth(5Y)N/A
Div Incr Years2
Div Non Decr Years2
5.3 Sustainability
SLVM pays out 33.49% of its income as dividend. This is a sustainable payout ratio.
DP33.49%
EPS Next 2Y-10.12%
EPS Next 3Y-2.55%
43.37
+0.49 (+1.14%)
Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryPaper & Forest Products
Earnings (Last)
Earnings (Next)
Inst Owners78.36%
Inst Owner Change-0.24%
Ins Owners1.13%
Ins Owner Change1.17%
Market Cap1.75B
Revenue(TTM)3.55B
Net Income(TTM)218.00M
Analysts50
Price Target54.74 (26.22%)
Short Float %3.78%
Short Ratio3.37
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.14% |
Yearly Dividend1.52
Dividend Growth(5Y)N/A
DP33.49%
Div Incr Years2
Div Non Decr Years2
Ex-Date
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-10.24%
Min EPS beat(2)-17.56%
Max EPS beat(2)-2.91%
EPS beat(4)2
Avg EPS beat(4)-0.74%
Min EPS beat(4)-17.56%
Max EPS beat(4)9.56%
EPS beat(8)6
Avg EPS beat(8)10.31%
EPS beat(12)8
Avg EPS beat(12)6.49%
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)0
Avg Revenue beat(2)-3.67%
Min Revenue beat(2)-5.99%
Max Revenue beat(2)-1.35%
Revenue beat(4)0
Avg Revenue beat(4)-2.58%
Min Revenue beat(4)-5.99%
Max Revenue beat(4)-1.35%
Revenue beat(8)2
Avg Revenue beat(8)-1.26%
Revenue beat(12)3
Avg Revenue beat(12)-2.18%
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)0%
PT rev (3m)-21.46%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-32.75%
EPS NY rev (1m)-3.99%
EPS NY rev (3m)-29.59%
Revenue NQ rev (1m)0.08%
Revenue NQ rev (3m)-4.05%
Revenue NY rev (1m)0.06%
Revenue NY rev (3m)-2.52%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 7.96 | ||
| Fwd PE | 7.21 | ||
| P/S | 0.49 | ||
| P/FCF | 4.23 | ||
| P/OCF | 4.23 | ||
| P/B | 1.83 | ||
| P/tB | 2.1 | ||
| EV/EBITDA | 4.58 |
EPS(TTM)5.45
EY12.57%
EPS(NY)6.02
Fwd EY13.88%
FCF(TTM)10.26
FCFY23.65%
OCF(TTM)10.26
OCFY23.65%
SpS87.94
BVpS23.76
TBVpS20.63
PEG (NY)N/A
PEG (5Y)N/A
Graham Number53.97
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 8.17% | ||
| ROE | 22.73% | ||
| ROCE | 16.63% | ||
| ROIC | 11.65% | ||
| ROICexc | 12.32% | ||
| ROICexgc | 13.17% | ||
| OM | 9.52% | ||
| PM (TTM) | 6.14% | ||
| GM | 23.04% | ||
| FCFM | 11.66% |
ROA(3y)8.25%
ROA(5y)8.67%
ROE(3y)27.05%
ROE(5y)54.21%
ROIC(3y)16.67%
ROIC(5y)13.03%
ROICexc(3y)19.95%
ROICexc(5y)15.29%
ROICexgc(3y)21.59%
ROICexgc(5y)16.56%
ROCE(3y)23.57%
ROCE(5y)18.45%
ROICexgc growth 3Y12.63%
ROICexgc growth 5Y9.08%
ROICexc growth 3Y13.25%
ROICexc growth 5Y9.14%
OM growth 3Y1.56%
OM growth 5Y-0.5%
PM growth 3Y-11.9%
PM growth 5Y-3.13%
GM growth 3Y1.05%
GM growth 5Y-6.15%
F-Score5
Asset Turnover1.33
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.84 | ||
| Debt/FCF | 1.96 | ||
| Debt/EBITDA | 1.6 | ||
| Cap/Depr | N/A | ||
| Cap/Sales | N/A | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 81.82% | ||
| Profit Quality | 189.91% | ||
| Current Ratio | 1.54 | ||
| Quick Ratio | 0.91 | ||
| Altman-Z | 3.8 |
F-Score5
WACC6.96%
ROIC/WACC1.67
Cap/Depr(3y)N/A
Cap/Depr(5y)N/A
Cap/Sales(3y)N/A
Cap/Sales(5y)N/A
Profit Quality(3y)247.83%
Profit Quality(5y)226.82%
High Growth Momentum
Growth
EPS 1Y (TTM)-7.78%
EPS 3Y-1.48%
EPS 5Y-3.34%
EPS Q2Q%-81.31%
EPS Next Y-46.24%
EPS Next 2Y-10.12%
EPS Next 3Y-2.55%
EPS Next 5YN/A
Revenue 1Y (TTM)-4.03%
Revenue growth 3Y10.09%
Revenue growth 5Y-1.25%
Sales Q2Q%-14.9%
Revenue Next Year-11.55%
Revenue Next 2Y-4.88%
Revenue Next 3Y-1.91%
Revenue Next 5YN/A
EBIT growth 1Y-13.11%
EBIT growth 3Y11.8%
EBIT growth 5Y-1.74%
EBIT Next Year1.57%
EBIT Next 3Y10.45%
EBIT Next 5YN/A
FCF growth 1Y-14.99%
FCF growth 3Y-5.34%
FCF growth 5Y-2.19%
OCF growth 1Y-14.99%
OCF growth 3Y-5.34%
OCF growth 5Y-2.19%
SYLVAMO CORP / SLVM FAQ
Can you provide the ChartMill fundamental rating for SYLVAMO CORP?
ChartMill assigns a fundamental rating of 6 / 10 to SLVM.
What is the valuation status for SLVM stock?
ChartMill assigns a valuation rating of 8 / 10 to SYLVAMO CORP (SLVM). This can be considered as Undervalued.
What is the profitability of SLVM stock?
SYLVAMO CORP (SLVM) has a profitability rating of 7 / 10.
What is the valuation of SYLVAMO CORP based on its PE and PB ratios?
The Price/Earnings (PE) ratio for SYLVAMO CORP (SLVM) is 7.96 and the Price/Book (PB) ratio is 1.83.
What is the expected EPS growth for SYLVAMO CORP (SLVM) stock?
The Earnings per Share (EPS) of SYLVAMO CORP (SLVM) is expected to decline by -46.24% in the next year.