STANDARD MOTOR PRODS (SMP) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:SMP - US8536661056 - Common Stock
37.75 USD
+1.72 (+4.77%)
38.5 USD
+0.75 (+1.99%)
We assign a fundamental rating of 4 out of 10 to SMP. SMP was compared to 82 industry peers in the Automobile Components industry. Both the profitability and financial health of SMP have multiple concerns. SMP is showing excellent growth while it is valued at reasonable prices. Keep and eye on this one!
1. Profitability
1.1 Basic Checks
SMP had positive earnings in the past year.
In the past year SMP had a positive cash flow from operations.
SMP had positive earnings in each of the past 5 years.
SMP had a positive operating cash flow in 4 of the past 5 years.
1.2 Ratios
SMP has a Return On Assets of 1.54%. This is in the lower half of the industry: SMP underperforms 69.51% of its industry peers.
Looking at the Return On Equity, with a value of 4.62%, SMP is doing worse than 64.63% of the companies in the same industry.
SMP has a worse Return On Invested Capital (6.33%) than 69.51% of its industry peers.
The Average Return On Invested Capital over the past 3 years for SMP is in line with the industry average of 8.55%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.54% | ||
| ROE | 4.62% | ||
| ROIC | 6.33% |
ROA(3y)2.86%
ROA(5y)4.43%
ROE(3y)6.31%
ROE(5y)8.89%
ROIC(3y)7.06%
ROIC(5y)9.5%
1.3 Margins
SMP has a Profit Margin of 1.79%. This is in the lower half of the industry: SMP underperforms 65.85% of its industry peers.
SMP's Profit Margin has declined in the last couple of years.
With a Operating Margin value of 7.05%, SMP is not doing good in the industry: 62.20% of the companies in the same industry are doing better.
In the last couple of years the Operating Margin of SMP has declined.
SMP has a better Gross Margin (30.78%) than 87.80% of its industry peers.
SMP's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 7.05% | ||
| PM (TTM) | 1.79% | ||
| GM | 30.78% |
OM growth 3Y-12.92%
OM growth 5Y-5.07%
PM growth 3Y-35.49%
PM growth 5Y-18.07%
GM growth 3Y-0.12%
GM growth 5Y-0.17%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so SMP is destroying value.
Compared to 1 year ago, SMP has less shares outstanding
The number of shares outstanding for SMP has been reduced compared to 5 years ago.
Compared to 1 year ago, SMP has a worse debt to assets ratio.
2.2 Solvency
An Altman-Z score of 2.15 indicates that SMP is not a great score, but indicates only limited risk for bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 2.15, SMP is doing worse than 70.73% of the companies in the same industry.
The Debt to FCF ratio of SMP is 13.11, which is on the high side as it means it would take SMP, 13.11 years of fcf income to pay off all of its debts.
SMP's Debt to FCF ratio of 13.11 is on the low side compared to the rest of the industry. SMP is outperformed by 70.73% of its industry peers.
A Debt/Equity ratio of 0.80 indicates that SMP is somewhat dependend on debt financing.
The Debt to Equity ratio of SMP (0.80) is worse than 81.71% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.8 | ||
| Debt/FCF | 13.11 | ||
| Altman-Z | 2.15 |
ROIC/WACC0.79
WACC7.97%
2.3 Liquidity
A Current Ratio of 1.96 indicates that SMP should not have too much problems paying its short term obligations.
Looking at the Current ratio, with a value of 1.96, SMP is in the better half of the industry, outperforming 73.17% of the companies in the same industry.
A Quick Ratio of 0.73 indicates that SMP may have some problems paying its short term obligations.
Looking at the Quick ratio, with a value of 0.73, SMP is doing worse than 86.59% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.96 | ||
| Quick Ratio | 0.73 |
3. Growth
3.1 Past
SMP shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 27.60%, which is quite impressive.
SMP shows a small growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 0.51% yearly.
The Revenue has grown by 23.96% in the past year. This is a very strong growth!
SMP shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 5.17% yearly.
EPS 1Y (TTM)27.6%
EPS 3Y-10.6%
EPS 5Y0.51%
EPS Q2Q%6.25%
Revenue 1Y (TTM)23.96%
Revenue growth 3Y4.07%
Revenue growth 5Y5.17%
Sales Q2Q%24.94%
3.2 Future
The Earnings Per Share is expected to grow by 17.49% on average over the next years. This is quite good.
The Revenue is expected to grow by 13.69% on average over the next years. This is quite good.
EPS Next Y23.61%
EPS Next 2Y17.49%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year27.41%
Revenue Next 2Y15.14%
Revenue Next 3Y13.69%
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.
The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 9.61, the valuation of SMP can be described as reasonable.
Based on the Price/Earnings ratio, SMP is valued a bit cheaper than 75.61% of the companies in the same industry.
Compared to an average S&P500 Price/Earnings ratio of 25.45, SMP is valued rather cheaply.
SMP is valuated reasonably with a Price/Forward Earnings ratio of 8.60.
SMP's Price/Forward Earnings ratio is a bit cheaper when compared to the industry. SMP is cheaper than 71.95% of the companies in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 34.46. SMP is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 9.61 | ||
| Fwd PE | 8.6 |
4.2 Price Multiples
SMP's Enterprise Value to EBITDA ratio is in line with the industry average.
The rest of the industry has a similar Price/Free Cash Flow ratio as SMP.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 18.46 | ||
| EV/EBITDA | 8.07 |
4.3 Compensation for Growth
The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
SMP's earnings are expected to grow with 17.49% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.41
PEG (5Y)18.8
EPS Next 2Y17.49%
EPS Next 3YN/A
5. Dividend
5.1 Amount
SMP has a Yearly Dividend Yield of 3.44%.
Compared to an average industry Dividend Yield of 4.44, SMP has a dividend in line with its industry peers.
SMP's Dividend Yield is a higher than the S&P500 average which is at 2.42.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.44% |
5.2 History
The dividend of SMP has a limited annual growth rate of 4.76%.
SMP has been paying a dividend for at least 10 years, so it has a reliable track record.
SMP has not decreased its dividend in the last 3 years.
Dividend Growth(5Y)4.76%
Div Incr Years0
Div Non Decr Years4
5.3 Sustainability
SMP pays out 85.51% of its income as dividend. This is not a sustainable payout ratio.
The dividend of SMP is growing, but earnings are growing more, so the dividend growth is sustainable.
DP85.51%
EPS Next 2Y17.49%
EPS Next 3YN/A
37.75
+1.72 (+4.77%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupAutomobiles & Components
GICS IndustryAutomobile Components
Earnings (Last)
Earnings (Next)
Inst Owners82.86%
Inst Owner Change-0.41%
Ins Owners5.07%
Ins Owner Change1.32%
Market Cap830.12M
Revenue(TTM)1.75B
Net Income(TTM)31.28M
Analysts82.86
Price Target47.94 (26.99%)
Short Float %2.25%
Short Ratio3.41
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.44% |
Yearly Dividend1.16
Dividend Growth(5Y)4.76%
DP85.51%
Div Incr Years0
Div Non Decr Years4
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)18.8%
Min EPS beat(2)3.16%
Max EPS beat(2)34.45%
EPS beat(4)4
Avg EPS beat(4)31.51%
Min EPS beat(4)3.16%
Max EPS beat(4)82.06%
EPS beat(8)7
Avg EPS beat(8)17.95%
EPS beat(12)10
Avg EPS beat(12)14.14%
EPS beat(16)13
Avg EPS beat(16)13.55%
Revenue beat(2)1
Avg Revenue beat(2)3.37%
Min Revenue beat(2)-1.87%
Max Revenue beat(2)8.61%
Revenue beat(4)3
Avg Revenue beat(4)5.88%
Min Revenue beat(4)-1.87%
Max Revenue beat(4)13%
Revenue beat(8)5
Avg Revenue beat(8)2.8%
Revenue beat(12)5
Avg Revenue beat(12)0.73%
Revenue beat(16)7
Avg Revenue beat(16)1.37%
PT rev (1m)1.44%
PT rev (3m)1.44%
EPS NQ rev (1m)-17.27%
EPS NQ rev (3m)-15.47%
EPS NY rev (1m)0.79%
EPS NY rev (3m)0.79%
Revenue NQ rev (1m)-1.79%
Revenue NQ rev (3m)-0.86%
Revenue NY rev (1m)0.16%
Revenue NY rev (3m)0.16%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 9.61 | ||
| Fwd PE | 8.6 | ||
| P/S | 0.47 | ||
| P/FCF | 18.46 | ||
| P/OCF | 9.86 | ||
| P/B | 1.23 | ||
| P/tB | 7.82 | ||
| EV/EBITDA | 8.07 |
EPS(TTM)3.93
EY10.41%
EPS(NY)4.39
Fwd EY11.63%
FCF(TTM)2.04
FCFY5.42%
OCF(TTM)3.83
OCFY10.14%
SpS79.56
BVpS30.81
TBVpS4.82
PEG (NY)0.41
PEG (5Y)18.8
Graham Number52.19
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.54% | ||
| ROE | 4.62% | ||
| ROCE | 8.37% | ||
| ROIC | 6.33% | ||
| ROICexc | 6.73% | ||
| ROICexgc | 11.45% | ||
| OM | 7.05% | ||
| PM (TTM) | 1.79% | ||
| GM | 30.78% | ||
| FCFM | 2.57% |
ROA(3y)2.86%
ROA(5y)4.43%
ROE(3y)6.31%
ROE(5y)8.89%
ROIC(3y)7.06%
ROIC(5y)9.5%
ROICexc(3y)7.27%
ROICexc(5y)9.88%
ROICexgc(3y)10.31%
ROICexgc(5y)13.94%
ROCE(3y)9.34%
ROCE(5y)12.61%
ROICexgc growth 3Y-25.45%
ROICexgc growth 5Y-8.81%
ROICexc growth 3Y-27.66%
ROICexc growth 5Y-13.65%
OM growth 3Y-12.92%
OM growth 5Y-5.07%
PM growth 3Y-35.49%
PM growth 5Y-18.07%
GM growth 3Y-0.12%
GM growth 5Y-0.17%
F-Score5
Asset Turnover0.86
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.8 | ||
| Debt/FCF | 13.11 | ||
| Debt/EBITDA | 3.26 | ||
| Cap/Depr | 93.82% | ||
| Cap/Sales | 2.24% | ||
| Interest Coverage | 4.01 | ||
| Cash Conversion | 50.97% | ||
| Profit Quality | 143.75% | ||
| Current Ratio | 1.96 | ||
| Quick Ratio | 0.73 | ||
| Altman-Z | 2.15 |
F-Score5
WACC7.97%
ROIC/WACC0.79
Cap/Depr(3y)110.17%
Cap/Depr(5y)98.63%
Cap/Sales(3y)2.34%
Cap/Sales(5y)2.12%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)27.6%
EPS 3Y-10.6%
EPS 5Y0.51%
EPS Q2Q%6.25%
EPS Next Y23.61%
EPS Next 2Y17.49%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)23.96%
Revenue growth 3Y4.07%
Revenue growth 5Y5.17%
Sales Q2Q%24.94%
Revenue Next Year27.41%
Revenue Next 2Y15.14%
Revenue Next 3Y13.69%
Revenue Next 5YN/A
EBIT growth 1Y31.6%
EBIT growth 3Y-9.38%
EBIT growth 5Y-0.17%
EBIT Next Year104.89%
EBIT Next 3Y15.75%
EBIT Next 5YN/A
FCF growth 1Y-71.25%
FCF growth 3Y-18.2%
FCF growth 5Y-11.65%
OCF growth 1Y-53.47%
OCF growth 3Y-3.58%
OCF growth 5Y-0.05%
STANDARD MOTOR PRODS / SMP FAQ
What is the ChartMill fundamental rating of STANDARD MOTOR PRODS (SMP) stock?
ChartMill assigns a fundamental rating of 4 / 10 to SMP.
What is the valuation status for SMP stock?
ChartMill assigns a valuation rating of 6 / 10 to STANDARD MOTOR PRODS (SMP). This can be considered as Fairly Valued.
What is the profitability of SMP stock?
STANDARD MOTOR PRODS (SMP) has a profitability rating of 3 / 10.
Can you provide the financial health for SMP stock?
The financial health rating of STANDARD MOTOR PRODS (SMP) is 3 / 10.
Is the dividend of STANDARD MOTOR PRODS sustainable?
The dividend rating of STANDARD MOTOR PRODS (SMP) is 5 / 10 and the dividend payout ratio is 85.51%.