SNAP-ON INC (SNA) Stock Fundamental Analysis
USA - NYSE:SNA - US8330341012 - Common Stock
347.42 USD
-1.71 (-0.49%)
347.42 USD
0 (0%)
Overall SNA gets a fundamental rating of 7 out of 10. We evaluated SNA against 129 industry peers in the Machinery industry. SNA scores excellent points on both the profitability and health parts. This is a solid base for a good stock. SNA has a correct valuation and a medium growth rate.
1. Profitability
1.1 Basic Checks
SNA had positive earnings in the past year.
SNA had a positive operating cash flow in the past year.
Each year in the past 5 years SNA has been profitable.
In the past 5 years SNA always reported a positive cash flow from operatings.
1.2 Ratios
SNA's Return On Assets of 12.19% is amongst the best of the industry. SNA outperforms 89.15% of its industry peers.
SNA has a better Return On Equity (17.50%) than 80.62% of its industry peers.
SNA has a Return On Invested Capital of 13.91%. This is amongst the best in the industry. SNA outperforms 83.72% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for SNA is significantly above the industry average of 10.04%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 12.19% | ||
| ROE | 17.5% | ||
| ROIC | 13.91% |
ROA(3y)13.23%
ROA(5y)12.28%
ROE(3y)19.88%
ROE(5y)19.13%
ROIC(3y)15.48%
ROIC(5y)14.92%
1.3 Margins
SNA's Profit Margin of 19.72% is amongst the best of the industry. SNA outperforms 96.12% of its industry peers.
In the last couple of years the Profit Margin of SNA has grown nicely.
SNA's Operating Margin of 25.57% is amongst the best of the industry. SNA outperforms 97.67% of its industry peers.
In the last couple of years the Operating Margin of SNA has grown nicely.
Looking at the Gross Margin, with a value of 51.96%, SNA belongs to the top of the industry, outperforming 93.80% of the companies in the same industry.
In the last couple of years the Gross Margin of SNA has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 25.57% | ||
| PM (TTM) | 19.72% | ||
| GM | 51.96% |
OM growth 3Y3.13%
OM growth 5Y2.7%
PM growth 3Y4.65%
PM growth 5Y3.69%
GM growth 3Y-0.94%
GM growth 5Y-0.63%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), SNA is creating some value.
SNA has less shares outstanding than it did 1 year ago.
Compared to 5 years ago, SNA has less shares outstanding
Compared to 1 year ago, SNA has an improved debt to assets ratio.
2.2 Solvency
SNA has an Altman-Z score of 7.33. This indicates that SNA is financially healthy and has little risk of bankruptcy at the moment.
SNA has a Altman-Z score of 7.33. This is amongst the best in the industry. SNA outperforms 89.92% of its industry peers.
SNA has a debt to FCF ratio of 1.18. This is a very positive value and a sign of high solvency as it would only need 1.18 years to pay back of all of its debts.
With an excellent Debt to FCF ratio value of 1.18, SNA belongs to the best of the industry, outperforming 86.82% of the companies in the same industry.
A Debt/Equity ratio of 0.21 indicates that SNA is not too dependend on debt financing.
SNA has a better Debt to Equity ratio (0.21) than 72.09% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.21 | ||
| Debt/FCF | 1.18 | ||
| Altman-Z | 7.33 |
ROIC/WACC1.44
WACC9.66%
2.3 Liquidity
A Current Ratio of 4.48 indicates that SNA has no problem at all paying its short term obligations.
With an excellent Current ratio value of 4.48, SNA belongs to the best of the industry, outperforming 90.70% of the companies in the same industry.
A Quick Ratio of 3.42 indicates that SNA has no problem at all paying its short term obligations.
With an excellent Quick ratio value of 3.42, SNA belongs to the best of the industry, outperforming 92.25% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 4.48 | ||
| Quick Ratio | 3.42 |
3. Growth
3.1 Past
The earnings per share for SNA have decreased by -1.73% in the last year.
SNA shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 9.53% yearly.
Looking at the last year, SNA shows a decrease in Revenue. The Revenue has decreased by -0.76% in the last year.
SNA shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 4.66% yearly.
EPS 1Y (TTM)-1.73%
EPS 3Y9.01%
EPS 5Y9.53%
EPS Q2Q%-6.9%
Revenue 1Y (TTM)-0.76%
Revenue growth 3Y3.54%
Revenue growth 5Y4.66%
Sales Q2Q%0%
3.2 Future
SNA is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 8.26% yearly.
Based on estimates for the next years, SNA will show a small growth in Revenue. The Revenue will grow by 4.36% on average per year.
EPS Next Y-1.74%
EPS Next 2Y3.08%
EPS Next 3Y5.82%
EPS Next 5Y8.26%
Revenue Next Year-0.31%
Revenue Next 2Y1.73%
Revenue Next 3Y3.56%
Revenue Next 5Y4.36%
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 stable.
The Revenue growth rate is stable: in the next years the growth will be about the same than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
SNA is valuated rather expensively with a Price/Earnings ratio of 18.53.
Compared to the rest of the industry, the Price/Earnings ratio of SNA indicates a somewhat cheap valuation: SNA is cheaper than 69.77% of the companies listed in the same industry.
Compared to an average S&P500 Price/Earnings ratio of 27.86, SNA is valued a bit cheaper.
SNA is valuated correctly with a Price/Forward Earnings ratio of 16.91.
Compared to the rest of the industry, the Price/Forward Earnings ratio of SNA indicates a somewhat cheap valuation: SNA is cheaper than 65.89% of the companies listed in the same industry.
SNA's Price/Forward Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 23.32.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 18.53 | ||
| Fwd PE | 16.91 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of SNA indicates a somewhat cheap valuation: SNA is cheaper than 61.24% of the companies listed in the same industry.
73.64% of the companies in the same industry are more expensive than SNA, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 17.73 | ||
| EV/EBITDA | 12.82 |
4.3 Compensation for Growth
The excellent profitability rating of SNA may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)1.94
EPS Next 2Y3.08%
EPS Next 3Y5.82%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 2.45%, SNA has a reasonable but not impressive dividend return.
Compared to an average industry Dividend Yield of 1.77, SNA pays a better dividend. On top of this SNA pays more dividend than 89.15% of the companies listed in the same industry.
SNA's Dividend Yield is comparable with the S&P500 average which is at 2.44.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.45% |
5.2 History
On average, the dividend of SNA grows each year by 21.21%, which is quite nice.
SNA has been paying a dividend for at least 10 years, so it has a reliable track record.
SNA has not decreased their dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)21.21%
Div Incr Years15
Div Non Decr Years21
5.3 Sustainability
SNA pays out 43.42% of its income as dividend. This is a bit on the high side, but may be sustainable.
The dividend of SNA is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP43.42%
EPS Next 2Y3.08%
EPS Next 3Y5.82%
347.42
-1.71 (-0.49%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryMachinery
Earnings (Last)
Earnings (Next)
Inst Owners95.46%
Inst Owner Change0.01%
Ins Owners2.29%
Ins Owner Change1.96%
Market Cap18.12B
Analysts70.67
Price Target346.02 (-0.4%)
Short Float %4.85%
Short Ratio8.78
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.45% |
Yearly Dividend7.74
Dividend Growth(5Y)21.21%
DP43.42%
Div Incr Years15
Div Non Decr Years21
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-3.16%
Min EPS beat(2)-7.21%
Max EPS beat(2)0.89%
EPS beat(4)2
Avg EPS beat(4)-1.41%
Min EPS beat(4)-7.21%
Max EPS beat(4)1.46%
EPS beat(8)6
Avg EPS beat(8)-0.16%
EPS beat(12)10
Avg EPS beat(12)2.06%
EPS beat(16)14
Avg EPS beat(16)3.4%
Revenue beat(2)1
Avg Revenue beat(2)-2.24%
Min Revenue beat(2)-5.46%
Max Revenue beat(2)0.98%
Revenue beat(4)1
Avg Revenue beat(4)-1.8%
Min Revenue beat(4)-5.46%
Max Revenue beat(4)0.98%
Revenue beat(8)2
Avg Revenue beat(8)-1.58%
Revenue beat(12)5
Avg Revenue beat(12)1.2%
Revenue beat(16)9
Avg Revenue beat(16)3.49%
PT rev (1m)0.18%
PT rev (3m)2.16%
EPS NQ rev (1m)0.16%
EPS NQ rev (3m)0.8%
EPS NY rev (1m)0.62%
EPS NY rev (3m)0.53%
Revenue NQ rev (1m)0.17%
Revenue NQ rev (3m)1.21%
Revenue NY rev (1m)0.17%
Revenue NY rev (3m)0.59%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 18.53 | ||
| Fwd PE | 16.91 | ||
| P/S | 3.57 | ||
| P/FCF | 17.73 | ||
| P/OCF | 16.42 | ||
| P/B | 3.17 | ||
| P/tB | 4.18 | ||
| EV/EBITDA | 12.82 |
EPS(TTM)18.75
EY5.4%
EPS(NY)20.55
Fwd EY5.91%
FCF(TTM)19.6
FCFY5.64%
OCF(TTM)21.15
OCFY6.09%
SpS97.22
BVpS109.58
TBVpS83.16
PEG (NY)N/A
PEG (5Y)1.94
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 12.19% | ||
| ROE | 17.5% | ||
| ROCE | 17.86% | ||
| ROIC | 13.91% | ||
| ROICexc | 17.4% | ||
| ROICexgc | 22.82% | ||
| OM | 25.57% | ||
| PM (TTM) | 19.72% | ||
| GM | 51.96% | ||
| FCFM | 20.16% |
ROA(3y)13.23%
ROA(5y)12.28%
ROE(3y)19.88%
ROE(5y)19.13%
ROIC(3y)15.48%
ROIC(5y)14.92%
ROICexc(3y)18.4%
ROICexc(5y)17.68%
ROICexgc(3y)24.34%
ROICexgc(5y)23.83%
ROCE(3y)19.9%
ROCE(5y)19.19%
ROICexcg growth 3Y1.01%
ROICexcg growth 5Y4.01%
ROICexc growth 3Y3.09%
ROICexc growth 5Y4.16%
OM growth 3Y3.13%
OM growth 5Y2.7%
PM growth 3Y4.65%
PM growth 5Y3.69%
GM growth 3Y-0.94%
GM growth 5Y-0.63%
F-Score7
Asset Turnover0.62
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.21 | ||
| Debt/FCF | 1.18 | ||
| Debt/EBITDA | 0.85 | ||
| Cap/Depr | 83.35% | ||
| Cap/Sales | 1.6% | ||
| Interest Coverage | 29.34 | ||
| Cash Conversion | 79.15% | ||
| Profit Quality | 102.23% | ||
| Current Ratio | 4.48 | ||
| Quick Ratio | 3.42 | ||
| Altman-Z | 7.33 |
F-Score7
WACC9.66%
ROIC/WACC1.44
Cap/Depr(3y)88.3%
Cap/Depr(5y)79.93%
Cap/Sales(3y)1.74%
Cap/Sales(5y)1.68%
Profit Quality(3y)92.74%
Profit Quality(5y)107.58%
High Growth Momentum
Growth
EPS 1Y (TTM)-1.73%
EPS 3Y9.01%
EPS 5Y9.53%
EPS Q2Q%-6.9%
EPS Next Y-1.74%
EPS Next 2Y3.08%
EPS Next 3Y5.82%
EPS Next 5Y8.26%
Revenue 1Y (TTM)-0.76%
Revenue growth 3Y3.54%
Revenue growth 5Y4.66%
Sales Q2Q%0%
Revenue Next Year-0.31%
Revenue Next 2Y1.73%
Revenue Next 3Y3.56%
Revenue Next 5Y4.36%
EBIT growth 1Y-4.13%
EBIT growth 3Y6.79%
EBIT growth 5Y7.48%
EBIT Next Year0.88%
EBIT Next 3Y5.02%
EBIT Next 5Y3.26%
FCF growth 1Y24.53%
FCF growth 3Y8.15%
FCF growth 5Y14.54%
OCF growth 1Y20.93%
OCF growth 3Y8%
OCF growth 5Y12.53%