SYLVAMO CORP (SLVM) Stock Fundamental Analysis
USA - NYSE:SLVM - US8713321029 - Common Stock
42.88 USD
-0.63 (-1.45%)
42.88 USD
0 (0%)
SLVM gets a fundamental rating of 6 out of 10. The analysis compared the fundamentals against 9 industry peers in the Paper & Forest Products industry. Both the health and profitability get an excellent rating, making SLVM a very profitable company, without any liquidiy or solvency issues. SLVM has a bad growth rate and is valued cheaply. 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.
SLVM had positive earnings in each of the past 5 years.
Each year in the past 5 years SLVM had a positive operating cash flow.
1.2 Ratios
SLVM's Return On Assets of 8.17% is fine compared to the rest 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.
Looking at the Return On Invested Capital, with a value of 11.65%, SLVM belongs to the top of the industry, outperforming 88.89% of the companies in the same industry.
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
Looking at the Profit Margin, with a value of 6.14%, SLVM is in the better half of the industry, outperforming 66.67% of the companies in the same industry.
In the last couple of years the Profit Margin of SLVM has declined.
SLVM has a better Operating Margin (9.52%) than 77.78% of its industry peers.
SLVM's Operating Margin has been stable in the last couple of years.
SLVM has a Gross Margin (23.04%) which is in line with its industry peers.
SLVM's Gross Margin has declined in the last couple of years.
| 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
SLVM has a Return on Invested Capital (ROIC), which is well above the Cost of Capital (WACC), which means it is creating value.
Compared to 1 year ago, SLVM has less shares outstanding
Compared to 5 years ago, SLVM has less shares outstanding
The debt/assets ratio for SLVM has been reduced compared to a year ago.
2.2 Solvency
SLVM has an Altman-Z score of 3.81. This indicates that SLVM is financially healthy and has little risk of bankruptcy at the moment.
SLVM has a Altman-Z score of 3.81. This is amongst the best in 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's Debt to FCF ratio of 1.96 is amongst the best of the industry. SLVM outperforms 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 | 3.81 |
ROIC/WACC1.68
WACC6.95%
2.3 Liquidity
SLVM has a Current Ratio of 1.54. 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 (1.54) than 66.67% of its industry peers.
SLVM has a Quick Ratio of 1.54. This is a bad value and indicates that SLVM is not financially healthy enough and could expect problems in meeting its short term obligations.
Looking at the Quick ratio, with a value of 0.91, SLVM is doing worse than 66.67% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.54 | ||
| Quick Ratio | 0.91 |
3. Growth
3.1 Past
SLVM shows a slight negative growth in Earnings Per Share. In the last year, the EPS has decreased by -7.78%.
SLVM shows a decrease in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -3.34% yearly.
The Revenue has decreased by -4.03% in the past year.
The Revenue has been decreasing by -1.25% on average over the past years.
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-44%
EPS Next 2Y-9.62%
EPS Next 3Y-2.55%
EPS Next 5YN/A
Revenue Next Year-11.6%
Revenue Next 2Y-5.06%
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.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 7.87 indicates a rather cheap valuation of SLVM.
Based on the Price/Earnings ratio, SLVM is valued cheaply inside the industry as 88.89% of the companies are valued more expensively.
SLVM's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 26.91.
A Price/Forward Earnings ratio of 7.05 indicates a rather cheap valuation of SLVM.
Based on the Price/Forward Earnings ratio, SLVM is valued cheaply inside the industry as 88.89% of the companies are valued more expensively.
When comparing the Price/Forward Earnings ratio of SLVM to the average of the S&P500 Index (22.92), we can say SLVM is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 7.87 | ||
| Fwd PE | 7.05 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of SLVM indicates a rather cheap valuation: SLVM is cheaper than 88.89% of the companies listed in the same industry.
Based on the Price/Free Cash Flow ratio, SLVM is valued cheaply inside the industry as 88.89% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 4.18 | ||
| EV/EBITDA | 4.63 |
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-9.62%
EPS Next 3Y-2.55%
5. Dividend
5.1 Amount
SLVM has a Yearly Dividend Yield of 4.14%, which is a nice return.
Compared to an average industry Dividend Yield of 4.15, SLVM pays a better dividend. On top of this SLVM pays more dividend than 88.89% of the companies listed in the same industry.
Compared to an average S&P500 Dividend Yield of 2.34, SLVM pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.14% |
5.2 History
SLVM has paid a dividend for less than 5 years, so there is no long track record yet.
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-9.62%
EPS Next 3Y-2.55%
42.88
-0.63 (-1.45%)
Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryPaper & Forest Products
Earnings (Last)
Earnings (Next)
Inst Owners78.36%
Inst Owner Change-0.3%
Ins Owners1.13%
Ins Owner Change1.17%
Market Cap1.73B
Revenue(TTM)3.55B
Net Income(TTM)218.00M
Analysts50
Price Target54.74 (27.66%)
Short Float %3.53%
Short Ratio3.14
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)-33.14%
EPS NY rev (1m)-0.08%
EPS NY rev (3m)-26.66%
Revenue NQ rev (1m)0.08%
Revenue NQ rev (3m)-3.87%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-2.58%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 7.87 | ||
| Fwd PE | 7.05 | ||
| P/S | 0.49 | ||
| P/FCF | 4.18 | ||
| P/OCF | 4.18 | ||
| P/B | 1.81 | ||
| P/tB | 2.08 | ||
| EV/EBITDA | 4.63 |
EPS(TTM)5.45
EY12.71%
EPS(NY)6.09
Fwd EY14.19%
FCF(TTM)10.26
FCFY23.92%
OCF(TTM)10.26
OCFY23.92%
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 | 3.81 |
F-Score5
WACC6.95%
ROIC/WACC1.68
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-44%
EPS Next 2Y-9.62%
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-11.6%
Revenue Next 2Y-5.06%
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 7.87 and the Price/Book (PB) ratio is 1.81.
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 -44% in the next year.