SNAP-ON INC (SNA) Stock Fundamental Analysis
USA - NYSE:SNA - US8330341012 - Common Stock
337.78 USD
+2.23 (+0.66%)
337.78 USD
0 (0%)
Taking everything into account, SNA scores 7 out of 10 in our fundamental rating. SNA was compared to 130 industry peers in the Machinery industry. Both the health and profitability get an excellent rating, making SNA a very profitable company, without any liquidiy or solvency issues. SNA has a decent growth rate and is not valued too expensively.
1. Profitability
1.1 Basic Checks
In the past year SNA was profitable.
In the past year SNA had a positive cash flow from operations.
Each year in the past 5 years SNA has been profitable.
SNA had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
Looking at the Return On Assets, with a value of 12.14%, SNA belongs to the top of the industry, outperforming 88.46% of the companies in the same industry.
Looking at the Return On Equity, with a value of 17.43%, SNA is in the better half of the industry, outperforming 79.23% of the companies in the same industry.
SNA has a Return On Invested Capital of 13.97%. This is amongst the best in the industry. SNA outperforms 84.62% of its industry peers.
SNA had an Average Return On Invested Capital over the past 3 years of 15.48%. This is significantly above the industry average of 10.25%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 12.14% | ||
| ROE | 17.43% | ||
| ROIC | 13.97% |
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 19.83% is amongst the best of the industry. SNA outperforms 96.15% of its industry peers.
In the last couple of years the Profit Margin of SNA has grown nicely.
Looking at the Operating Margin, with a value of 25.80%, SNA belongs to the top of the industry, outperforming 97.69% of the companies in the same industry.
In the last couple of years the Operating Margin of SNA has grown nicely.
SNA has a better Gross Margin (51.81%) than 93.08% of its industry peers.
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 | 25.8% | ||
| PM (TTM) | 19.83% | ||
| GM | 51.81% |
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.
Compared to 1 year ago, SNA has less shares outstanding
The number of shares outstanding for SNA has been reduced compared to 5 years ago.
SNA has a better debt/assets ratio than last year.
2.2 Solvency
SNA has an Altman-Z score of 7.09. This indicates that SNA is financially healthy and has little risk of bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 7.09, SNA belongs to the top of the industry, outperforming 88.46% of the companies in the same industry.
The Debt to FCF ratio of SNA is 1.18, which is an excellent value as it means it would take SNA, only 1.18 years of fcf income to pay off all of its debts.
The Debt to FCF ratio of SNA (1.18) is better than 86.92% of its industry peers.
A Debt/Equity ratio of 0.20 indicates that SNA is not too dependend on debt financing.
SNA has a Debt to Equity ratio of 0.20. This is in the better half of the industry: SNA outperforms 72.31% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.2 | ||
| Debt/FCF | 1.18 | ||
| Altman-Z | 7.09 |
ROIC/WACC1.49
WACC9.4%
2.3 Liquidity
A Current Ratio of 4.40 indicates that SNA has no problem at all paying its short term obligations.
SNA has a Current ratio of 4.40. This is amongst the best in the industry. SNA outperforms 90.00% of its industry peers.
A Quick Ratio of 3.37 indicates that SNA has no problem at all paying its short term obligations.
SNA has a Quick ratio of 3.37. This is amongst the best in the industry. SNA outperforms 91.54% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 4.4 | ||
| Quick Ratio | 3.37 |
3. Growth
3.1 Past
SNA shows a slight negative growth in Earnings Per Share. In the last year, the EPS has decreased by -1.04%.
The Earnings Per Share has been growing by 9.53% on average over the past years. This is quite good.
The Revenue has been growing slightly by 0.24% in the past 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)-1.04%
EPS 3Y9.01%
EPS 5Y9.53%
EPS Q2Q%6.81%
Revenue 1Y (TTM)0.24%
Revenue growth 3Y3.54%
Revenue growth 5Y4.66%
Sales Q2Q%3.82%
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.
The Revenue is expected to grow by 4.36% on average over the next years.
EPS Next Y0.02%
EPS Next 2Y3.28%
EPS Next 3Y4.85%
EPS Next 5Y8.26%
Revenue Next Year0.48%
Revenue Next 2Y2.04%
Revenue Next 3Y3.11%
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 17.71.
SNA's Price/Earnings ratio is a bit cheaper when compared to the industry. SNA is cheaper than 72.31% of the companies in the same industry.
Compared to an average S&P500 Price/Earnings ratio of 26.51, SNA is valued a bit cheaper.
SNA is valuated correctly with a Price/Forward Earnings ratio of 16.37.
68.46% of the companies in the same industry are more expensive than SNA, based on the Price/Forward Earnings ratio.
SNA is valuated rather cheaply when we compare the Price/Forward Earnings ratio to 22.53, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 17.71 | ||
| Fwd PE | 16.37 |
4.2 Price Multiples
SNA's Enterprise Value to EBITDA ratio is a bit cheaper when compared to the industry. SNA is cheaper than 65.38% of the companies in the same industry.
Based on the Price/Free Cash Flow ratio, SNA is valued a bit cheaper than 73.85% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 17.11 | ||
| EV/EBITDA | 12.08 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates SNA does not grow enough to justify the current Price/Earnings ratio.
SNA has an outstanding profitability rating, which may justify a higher PE ratio.
PEG (NY)1136.19
PEG (5Y)1.86
EPS Next 2Y3.28%
EPS Next 3Y4.85%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 2.53%, SNA has a reasonable but not impressive dividend return.
SNA's Dividend Yield is rather good when compared to the industry average which is at 1.81. SNA pays more dividend than 89.23% of the companies in the same industry.
Compared to an average S&P500 Dividend Yield of 2.38, SNA has a dividend comparable with the average S&P500 company.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.53% |
5.2 History
On average, the dividend of SNA grows each year by 21.21%, which is quite nice.
SNA has paid a dividend for at least 10 years, which is a reliable track record.
SNA has not decreased its dividend for at least 10 years, so it has a reliable track record of non decreasing dividend.
Dividend Growth(5Y)21.21%
Div Incr Years15
Div Non Decr Years21
5.3 Sustainability
44.15% of the earnings are spent on dividend by SNA. 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.
DP44.15%
EPS Next 2Y3.28%
EPS Next 3Y4.85%
337.78
+2.23 (+0.66%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryMachinery
Earnings (Last)
Earnings (Next)
Inst Owners95.46%
Inst Owner Change-3.42%
Ins Owners2.29%
Ins Owner Change1.95%
Market Cap17.57B
Revenue(TTM)5.12B
Net Income(TTM)1.01B
Analysts70.67
Price Target355.58 (5.27%)
Short Float %4.36%
Short Ratio6.73
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.53% |
Yearly Dividend7.74
Dividend Growth(5Y)21.21%
DP44.15%
Div Incr Years15
Div Non Decr Years21
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)4.1%
Min EPS beat(2)0.89%
Max EPS beat(2)7.31%
EPS beat(4)2
Avg EPS beat(4)0.05%
Min EPS beat(4)-7.21%
Max EPS beat(4)7.31%
EPS beat(8)6
Avg EPS beat(8)0.68%
EPS beat(12)10
Avg EPS beat(12)2.16%
EPS beat(16)14
Avg EPS beat(16)3.57%
Revenue beat(2)2
Avg Revenue beat(2)1.42%
Min Revenue beat(2)0.98%
Max Revenue beat(2)1.86%
Revenue beat(4)2
Avg Revenue beat(4)-0.87%
Min Revenue beat(4)-5.46%
Max Revenue beat(4)1.86%
Revenue beat(8)2
Avg Revenue beat(8)-1.45%
Revenue beat(12)5
Avg Revenue beat(12)0.54%
Revenue beat(16)9
Avg Revenue beat(16)2.94%
PT rev (1m)2.76%
PT rev (3m)4.63%
EPS NQ rev (1m)0.74%
EPS NQ rev (3m)0.74%
EPS NY rev (1m)1.79%
EPS NY rev (3m)2.34%
Revenue NQ rev (1m)1.06%
Revenue NQ rev (3m)1.06%
Revenue NY rev (1m)0.8%
Revenue NY rev (3m)0.97%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 17.71 | ||
| Fwd PE | 16.37 | ||
| P/S | 3.43 | ||
| P/FCF | 17.11 | ||
| P/OCF | 15.87 | ||
| P/B | 3.02 | ||
| P/tB | 3.96 | ||
| EV/EBITDA | 12.08 |
EPS(TTM)19.07
EY5.65%
EPS(NY)20.63
Fwd EY6.11%
FCF(TTM)19.74
FCFY5.84%
OCF(TTM)21.29
OCFY6.3%
SpS98.35
BVpS111.88
TBVpS85.33
PEG (NY)1136.19
PEG (5Y)1.86
Graham Number219.1
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 12.14% | ||
| ROE | 17.43% | ||
| ROCE | 17.94% | ||
| ROIC | 13.97% | ||
| ROICexc | 17.65% | ||
| ROICexgc | 23.13% | ||
| OM | 25.8% | ||
| PM (TTM) | 19.83% | ||
| GM | 51.81% | ||
| FCFM | 20.07% |
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%
ROICexgc growth 3Y1.01%
ROICexgc 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 Turnover0.61
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.2 | ||
| Debt/FCF | 1.18 | ||
| Debt/EBITDA | 0.84 | ||
| Cap/Depr | 82.67% | ||
| Cap/Sales | 1.58% | ||
| Interest Coverage | 29.86 | ||
| Cash Conversion | 78.1% | ||
| Profit Quality | 101.2% | ||
| Current Ratio | 4.4 | ||
| Quick Ratio | 3.37 | ||
| Altman-Z | 7.09 |
F-Score7
WACC9.4%
ROIC/WACC1.49
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)-1.04%
EPS 3Y9.01%
EPS 5Y9.53%
EPS Q2Q%6.81%
EPS Next Y0.02%
EPS Next 2Y3.28%
EPS Next 3Y4.85%
EPS Next 5Y8.26%
Revenue 1Y (TTM)0.24%
Revenue growth 3Y3.54%
Revenue growth 5Y4.66%
Sales Q2Q%3.82%
Revenue Next Year0.48%
Revenue Next 2Y2.04%
Revenue Next 3Y3.11%
Revenue Next 5Y4.36%
EBIT growth 1Y-3.09%
EBIT growth 3Y6.79%
EBIT growth 5Y7.48%
EBIT Next Year0.88%
EBIT Next 3Y5.02%
EBIT Next 5Y3.26%
FCF growth 1Y5.68%
FCF growth 3Y8.15%
FCF growth 5Y14.54%
OCF growth 1Y3.67%
OCF growth 3Y8%
OCF growth 5Y12.53%
SNAP-ON INC / SNA FAQ
Can you provide the ChartMill fundamental rating for SNAP-ON INC?
ChartMill assigns a fundamental rating of 7 / 10 to SNA.
What is the valuation status of SNAP-ON INC (SNA) stock?
ChartMill assigns a valuation rating of 5 / 10 to SNAP-ON INC (SNA). This can be considered as Fairly Valued.
What is the profitability of SNA stock?
SNAP-ON INC (SNA) has a profitability rating of 9 / 10.
Can you provide the financial health for SNA stock?
The financial health rating of SNAP-ON INC (SNA) is 9 / 10.
Is the dividend of SNAP-ON INC sustainable?
The dividend rating of SNAP-ON INC (SNA) is 6 / 10 and the dividend payout ratio is 44.15%.