SYLVAMO CORP (SLVM) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:SLVM - US8713321029 - Common Stock
45.81 USD
-0.89 (-1.91%)
45.81 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. These ratings could make SLVM a good candidate for value investing.
1. Profitability
1.1 Basic Checks
In the past year SLVM was profitable.
In the past year SLVM had a positive cash flow from operations.
Each year in the past 5 years SLVM has been profitable.
SLVM had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
With a decent Return On Assets value of 6.66%, SLVM is doing good in the industry, outperforming 77.78% of the companies in the same industry.
SLVM has a better Return On Equity (18.42%) than 100.00% of its industry peers.
SLVM's Return On Invested Capital of 9.96% is amongst the best of the industry. SLVM outperforms 88.89% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for SLVM is significantly above the industry average of 5.80%.
The last Return On Invested Capital (9.96%) 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 | 6.66% | ||
| ROE | 18.42% | ||
| ROIC | 9.96% |
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
With a decent Profit Margin value of 5.25%, SLVM is doing good in the industry, outperforming 66.67% of the companies in the same industry.
SLVM's Profit Margin has declined in the last couple of years.
SLVM has a better Operating Margin (8.42%) than 77.78% of its industry peers.
SLVM's Operating Margin has been stable in the last couple of years.
The Gross Margin of SLVM (22.59%) is comparable to the rest of the industry.
In the last couple of years the Gross Margin of SLVM has declined.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 8.42% | ||
| PM (TTM) | 5.25% | ||
| GM | 22.59% |
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.
SLVM has less shares outstanding than it did 1 year ago.
Compared to 5 years ago, SLVM has less shares outstanding
SLVM has a better debt/assets ratio than last year.
2.2 Solvency
SLVM has an Altman-Z score of 3.71. This indicates that SLVM is financially healthy and has little risk of bankruptcy at the moment.
SLVM has a better Altman-Z score (3.71) than 88.89% of its industry peers.
The Debt to FCF ratio of SLVM is 2.39, which is a good value as it means it would take SLVM, 2.39 years of fcf income to pay off all of its debts.
With an excellent Debt to FCF ratio value of 2.39, SLVM belongs to the best of the industry, outperforming 100.00% of the companies in the same industry.
SLVM has a Debt/Equity ratio of 0.82. This is a neutral value indicating SLVM is somewhat dependend on debt financing.
The Debt to Equity ratio of SLVM (0.82) is comparable to the rest of the industry.
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 | 0.82 | ||
| Debt/FCF | 2.39 | ||
| Altman-Z | 3.71 |
ROIC/WACC1.41
WACC7.05%
2.3 Liquidity
SLVM has a Current Ratio of 1.52. This is a normal value and indicates that SLVM is financially healthy and should not expect problems in meeting its short term obligations.
SLVM has a worse Current ratio (1.52) than 77.78% of its industry peers.
A Quick Ratio of 0.85 indicates that SLVM may have some problems paying its short term obligations.
SLVM has a Quick ratio of 0.85. This is in the lower half of the industry: SLVM underperforms 77.78% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.52 | ||
| Quick Ratio | 0.85 |
3. Growth
3.1 Past
SLVM shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -33.08%.
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 -8.92%.
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)-33.08%
EPS 3Y-1.48%
EPS 5Y-3.34%
EPS Q2Q%-40.98%
Revenue 1Y (TTM)-8.92%
Revenue growth 3Y10.09%
Revenue growth 5Y-1.25%
Sales Q2Q%-12.33%
3.2 Future
Based on estimates for the next years, SLVM will show a decrease in Earnings Per Share. The EPS will decrease by -2.55% on average per year.
SLVM is expected to show a decrease in Revenue. In the coming years, the Revenue will decrease by -1.91% yearly.
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
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
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 10.29, the valuation of SLVM can be described as very reasonable.
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 (25.65), we can say SLVM is valued rather cheaply.
With a Price/Forward Earnings ratio of 7.61, the valuation of SLVM can be described as very cheap.
Based on the Price/Forward Earnings ratio, SLVM is valued cheaper than 88.89% of the companies in the same industry.
Compared to an average S&P500 Price/Forward Earnings ratio of 34.45, SLVM is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.29 | ||
| Fwd PE | 7.61 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, SLVM is valued cheaper than 88.89% of the companies in the same industry.
88.89% of the companies in the same industry are more expensive than SLVM, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 5.47 | ||
| EV/EBITDA | 5.32 |
4.3 Compensation for Growth
The decent profitability rating of SLVM may justify a higher PE ratio.
A cheap valuation may be justified as SLVM's earnings are expected to decrease with -2.55% in the coming years.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y-10.12%
EPS Next 3Y-2.55%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 4.02%, SLVM is a good candidate for dividend investing.
SLVM's Dividend Yield is a higher than the industry average which is at 6.38.
SLVM's Dividend Yield is rather good when compared to the S&P500 average which is at 2.41.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.02% |
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
41.11% of the earnings are spent on dividend by SLVM. This is a bit on the high side, but may be sustainable.
DP41.11%
EPS Next 2Y-10.12%
EPS Next 3Y-2.55%
45.81
-0.89 (-1.91%)
Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryPaper & Forest Products
Earnings (Last)
Earnings (Next)
Inst Owners78.36%
Inst Owner Change0.58%
Ins Owners1.13%
Ins Owner Change0.72%
Market Cap1.85B
Revenue(TTM)3.43B
Net Income(TTM)180.00M
Analysts50
Price Target56.1 (22.46%)
Short Float %4.03%
Short Ratio3.16
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.02% |
Yearly Dividend1.52
Dividend Growth(5Y)N/A
DP41.11%
Div Incr Years2
Div Non Decr Years2
Ex-Date
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-12.94%
Min EPS beat(2)-17.56%
Max EPS beat(2)-8.33%
EPS beat(4)1
Avg EPS beat(4)-5.21%
Min EPS beat(4)-17.56%
Max EPS beat(4)7.95%
EPS beat(8)5
Avg EPS beat(8)6.16%
EPS beat(12)8
Avg EPS beat(12)6.36%
EPS beat(16)10
Avg EPS beat(16)6.64%
Revenue beat(2)0
Avg Revenue beat(2)-3.59%
Min Revenue beat(2)-5.99%
Max Revenue beat(2)-1.18%
Revenue beat(4)0
Avg Revenue beat(4)-2.5%
Min Revenue beat(4)-5.99%
Max Revenue beat(4)-1.18%
Revenue beat(8)2
Avg Revenue beat(8)-0.84%
Revenue beat(12)2
Avg Revenue beat(12)-2.65%
Revenue beat(16)3
Avg Revenue beat(16)-4.09%
PT rev (1m)2.48%
PT rev (3m)2.48%
EPS NQ rev (1m)-6.68%
EPS NQ rev (3m)-23.53%
EPS NY rev (1m)0%
EPS NY rev (3m)-4.07%
Revenue NQ rev (1m)-1.37%
Revenue NQ rev (3m)-1.3%
Revenue NY rev (1m)0%
Revenue NY rev (3m)0.03%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.29 | ||
| Fwd PE | 7.61 | ||
| P/S | 0.54 | ||
| P/FCF | 5.47 | ||
| P/OCF | 5.47 | ||
| P/B | 1.89 | ||
| P/tB | 2.18 | ||
| EV/EBITDA | 5.32 |
EPS(TTM)4.45
EY9.71%
EPS(NY)6.02
Fwd EY13.14%
FCF(TTM)8.37
FCFY18.28%
OCF(TTM)8.37
OCFY18.28%
SpS84.99
BVpS24.2
TBVpS21.03
PEG (NY)N/A
PEG (5Y)N/A
Graham Number49.23
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.66% | ||
| ROE | 18.42% | ||
| ROCE | 14.1% | ||
| ROIC | 9.96% | ||
| ROICexc | 10.43% | ||
| ROICexgc | 11.15% | ||
| OM | 8.42% | ||
| PM (TTM) | 5.25% | ||
| GM | 22.59% | ||
| FCFM | 9.85% |
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 Turnover1.27
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.82 | ||
| Debt/FCF | 2.39 | ||
| Debt/EBITDA | 1.72 | ||
| Cap/Depr | N/A | ||
| Cap/Sales | N/A | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 72.38% | ||
| Profit Quality | 187.78% | ||
| Current Ratio | 1.52 | ||
| Quick Ratio | 0.85 | ||
| Altman-Z | 3.71 |
F-Score5
WACC7.05%
ROIC/WACC1.41
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)-33.08%
EPS 3Y-1.48%
EPS 5Y-3.34%
EPS Q2Q%-40.98%
EPS Next Y-46.24%
EPS Next 2Y-10.12%
EPS Next 3Y-2.55%
EPS Next 5YN/A
Revenue 1Y (TTM)-8.92%
Revenue growth 3Y10.09%
Revenue growth 5Y-1.25%
Sales Q2Q%-12.33%
Revenue Next Year-11.55%
Revenue Next 2Y-4.88%
Revenue Next 3Y-1.91%
Revenue Next 5YN/A
EBIT growth 1Y-31.03%
EBIT growth 3Y11.8%
EBIT growth 5Y-1.74%
EBIT Next Year1.57%
EBIT Next 3Y10.45%
EBIT Next 5YN/A
FCF growth 1Y-37.52%
FCF growth 3Y-5.34%
FCF growth 5Y-2.19%
OCF growth 1Y-37.52%
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 10.29 and the Price/Book (PB) ratio is 1.89.
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.