S&P GLOBAL INC (SPGI) Stock Fundamental Analysis
USA - NYSE:SPGI - US78409V1044 - Common Stock
476.63 USD
-5.04 (-1.05%)
546.67 USD
+70.04 (+14.69%)
SPGI gets a fundamental rating of 5 out of 10. The analysis compared the fundamentals against 237 industry peers in the Capital Markets industry. SPGI has an excellent profitability rating, but there are some minor concerns on its financial health. SPGI is quite expensive at the moment. It does show a decent growth rate.
1. Profitability
1.1 Basic Checks
In the past year SPGI was profitable.
SPGI had a positive operating cash flow in the past year.
SPGI had positive earnings in each of the past 5 years.
SPGI 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 6.64%, SPGI is in the better half of the industry, outperforming 78.90% of the companies in the same industry.
SPGI has a Return On Equity of 11.98%. This is in the better half of the industry: SPGI outperforms 65.40% of its industry peers.
SPGI has a better Return On Invested Capital (8.65%) than 83.97% of its industry peers.
SPGI had an Average Return On Invested Capital over the past 3 years of 7.04%. This is in line with the industry average of 7.59%.
The 3 year average ROIC (7.04%) for SPGI is below the current ROIC(8.65%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.64% | ||
| ROE | 11.98% | ||
| ROIC | 8.65% |
ROA(3y)5.33%
ROA(5y)10.95%
ROE(3y)9.41%
ROE(5y)127.31%
ROIC(3y)7.04%
ROIC(5y)17.3%
1.3 Margins
The Profit Margin of SPGI (27.30%) is better than 70.04% of its industry peers.
SPGI's Profit Margin has declined in the last couple of years.
SPGI has a Operating Margin of 40.70%. This is in the better half of the industry: SPGI outperforms 71.31% of its industry peers.
SPGI's Operating Margin has declined in the last couple of years.
SPGI has a better Gross Margin (62.19%) than 72.15% of its industry peers.
SPGI's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 40.7% | ||
| PM (TTM) | 27.3% | ||
| GM | 62.19% |
OM growth 3Y-9.24%
OM growth 5Y-3.73%
PM growth 3Y-9.39%
PM growth 5Y-3.07%
GM growth 3Y-2.06%
GM growth 5Y-1.12%
2. Health
2.1 Basic Checks
SPGI has less shares outstanding than it did 1 year ago.
SPGI has more shares outstanding than it did 5 years ago.
SPGI has about the same debt/assets ratio as last year.
2.2 Solvency
SPGI has a debt to FCF ratio of 2.10. This is a good value and a sign of high solvency as SPGI would need 2.10 years to pay back of all of its debts.
Looking at the Debt to FCF ratio, with a value of 2.10, SPGI belongs to the top of the industry, outperforming 86.92% of the companies in the same industry.
A Debt/Equity ratio of 0.34 indicates that SPGI is not too dependend on debt financing.
SPGI has a better Debt to Equity ratio (0.34) than 70.46% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.34 | ||
| Debt/FCF | 2.1 | ||
| Altman-Z | N/A |
ROIC/WACCN/A
WACCN/A
2.3 Liquidity
A Current Ratio of 0.98 indicates that SPGI may have some problems paying its short term obligations.
SPGI's Current ratio of 0.98 is in line compared to the rest of the industry. SPGI outperforms 42.19% of its industry peers.
A Quick Ratio of 0.98 indicates that SPGI may have some problems paying its short term obligations.
SPGI has a Quick ratio of 0.98. This is comparable to the rest of the industry: SPGI outperforms 45.99% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.98 | ||
| Quick Ratio | 0.98 |
3. Growth
3.1 Past
SPGI shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 14.38%, which is quite good.
The Earnings Per Share has been growing by 10.51% on average over the past years. This is quite good.
SPGI shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 10.72%.
The Revenue has been growing by 16.23% on average over the past years. This is quite good.
EPS 1Y (TTM)14.38%
EPS 3Y4.67%
EPS 5Y10.51%
EPS Q2Q%9.65%
Revenue 1Y (TTM)10.72%
Revenue growth 3Y19.64%
Revenue growth 5Y16.23%
Sales Q2Q%5.8%
3.2 Future
Based on estimates for the next years, SPGI will show a quite strong growth in Earnings Per Share. The EPS will grow by 10.84% on average per year.
SPGI is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 6.38% yearly.
EPS Next Y11.92%
EPS Next 2Y11.85%
EPS Next 3Y11.89%
EPS Next 5Y10.84%
Revenue Next Year7.05%
Revenue Next 2Y7.12%
Revenue Next 3Y7.23%
Revenue Next 5Y6.38%
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 decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 28.96, which means the current valuation is very expensive for SPGI.
Based on the Price/Earnings ratio, SPGI is valued a bit more expensive than 71.31% of the companies in the same industry.
SPGI's Price/Earnings ratio indicates a similar valuation than the S&P500 average which is at 27.86.
With a Price/Forward Earnings ratio of 24.25, SPGI is valued on the expensive side.
64.98% of the companies in the same industry are cheaper than SPGI, based on the Price/Forward Earnings ratio.
The average S&P500 Price/Forward Earnings ratio is at 23.29. SPGI is around the same levels.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 28.96 | ||
| Fwd PE | 24.25 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of SPGI indicates a somewhat cheap valuation: SPGI is cheaper than 70.04% of the companies listed in the same industry.
The rest of the industry has a similar Price/Free Cash Flow ratio as SPGI.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 26.87 | ||
| EV/EBITDA | 21.86 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates SPGI does not grow enough to justify the current Price/Earnings ratio.
The decent profitability rating of SPGI may justify a higher PE ratio.
PEG (NY)2.43
PEG (5Y)2.75
EPS Next 2Y11.85%
EPS Next 3Y11.89%
5. Dividend
5.1 Amount
SPGI has a yearly dividend return of 0.78%, which is pretty low.
SPGI's Dividend Yield is slightly below the industry average, which is at 8.30.
With a Dividend Yield of 0.78, SPGI pays less dividend than the S&P500 average, which is at 2.41.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.78% |
5.2 History
The dividend of SPGI is nicely growing with an annual growth rate of 9.40%!
SPGI has paid a dividend for at least 10 years, which is a reliable track record.
SPGI has not decreased their dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)9.4%
Div Incr Years34
Div Non Decr Years34
5.3 Sustainability
SPGI pays out 28.68% of its income as dividend. This is a sustainable payout ratio.
SPGI's earnings are growing around the same pace than its dividend. As long as the earnings growth is kept the dividend growth is sustainable.
DP28.68%
EPS Next 2Y11.85%
EPS Next 3Y11.89%
476.63
-5.04 (-1.05%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupFinancial Services
GICS IndustryCapital Markets
Earnings (Last)
Earnings (Next)
Inst Owners90.16%
Inst Owner Change-0.07%
Ins Owners0.03%
Ins Owner Change-4.6%
Market Cap145.52B
Analysts85.16
Price Target634.81 (33.19%)
Short Float %1.1%
Short Ratio2.51
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.78% |
Yearly Dividend3.56
Dividend Growth(5Y)9.4%
DP28.68%
Div Incr Years34
Div Non Decr Years34
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)2.62%
Min EPS beat(2)2.35%
Max EPS beat(2)2.89%
EPS beat(4)4
Avg EPS beat(4)4.04%
Min EPS beat(4)2.35%
Max EPS beat(4)6.25%
EPS beat(8)7
Avg EPS beat(8)4.11%
EPS beat(12)10
Avg EPS beat(12)3.3%
EPS beat(16)11
Avg EPS beat(16)2.33%
Revenue beat(2)2
Avg Revenue beat(2)0.23%
Min Revenue beat(2)0.13%
Max Revenue beat(2)0.32%
Revenue beat(4)4
Avg Revenue beat(4)0.78%
Min Revenue beat(4)0.13%
Max Revenue beat(4)2.14%
Revenue beat(8)7
Avg Revenue beat(8)0.44%
Revenue beat(12)8
Avg Revenue beat(12)0%
Revenue beat(16)9
Avg Revenue beat(16)-1.17%
PT rev (1m)0.08%
PT rev (3m)5.72%
EPS NQ rev (1m)0.05%
EPS NQ rev (3m)0.71%
EPS NY rev (1m)0.06%
EPS NY rev (3m)1.73%
Revenue NQ rev (1m)0.05%
Revenue NQ rev (3m)0.97%
Revenue NY rev (1m)0.02%
Revenue NY rev (3m)1.16%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 28.96 | ||
| Fwd PE | 24.25 | ||
| P/S | 9.9 | ||
| P/FCF | 26.87 | ||
| P/OCF | 26.06 | ||
| P/B | 4.34 | ||
| P/tB | N/A | ||
| EV/EBITDA | 21.86 |
EPS(TTM)16.46
EY3.45%
EPS(NY)19.65
Fwd EY4.12%
FCF(TTM)17.74
FCFY3.72%
OCF(TTM)18.29
OCFY3.84%
SpS48.15
BVpS109.72
TBVpS-57.83
PEG (NY)2.43
PEG (5Y)2.75
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.64% | ||
| ROE | 11.98% | ||
| ROCE | 10.99% | ||
| ROIC | 8.65% | ||
| ROICexc | 8.95% | ||
| ROICexgc | 331.58% | ||
| OM | 40.7% | ||
| PM (TTM) | 27.3% | ||
| GM | 62.19% | ||
| FCFM | 36.84% |
ROA(3y)5.33%
ROA(5y)10.95%
ROE(3y)9.41%
ROE(5y)127.31%
ROIC(3y)7.04%
ROIC(5y)17.3%
ROICexc(3y)7.24%
ROICexc(5y)31.92%
ROICexgc(3y)428.86%
ROICexgc(5y)N/A
ROCE(3y)8.95%
ROCE(5y)21.99%
ROICexcg growth 3YN/A
ROICexcg growth 5Y-1.07%
ROICexc growth 3Y-51.31%
ROICexc growth 5Y-29.01%
OM growth 3Y-9.24%
OM growth 5Y-3.73%
PM growth 3Y-9.39%
PM growth 5Y-3.07%
GM growth 3Y-2.06%
GM growth 5Y-1.12%
F-Score6
Asset Turnover0.24
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.34 | ||
| Debt/FCF | 2.1 | ||
| Debt/EBITDA | 1.59 | ||
| Cap/Depr | 14.21% | ||
| Cap/Sales | 1.14% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 77.93% | ||
| Profit Quality | 134.94% | ||
| Current Ratio | 0.98 | ||
| Quick Ratio | 0.98 | ||
| Altman-Z | N/A |
F-Score6
WACCN/A
ROIC/WACCN/A
Cap/Depr(3y)10.62%
Cap/Depr(5y)17.68%
Cap/Sales(3y)0.94%
Cap/Sales(5y)0.85%
Profit Quality(3y)119.24%
Profit Quality(5y)124.96%
High Growth Momentum
Growth
EPS 1Y (TTM)14.38%
EPS 3Y4.67%
EPS 5Y10.51%
EPS Q2Q%9.65%
EPS Next Y11.92%
EPS Next 2Y11.85%
EPS Next 3Y11.89%
EPS Next 5Y10.84%
Revenue 1Y (TTM)10.72%
Revenue growth 3Y19.64%
Revenue growth 5Y16.23%
Sales Q2Q%5.8%
Revenue Next Year7.05%
Revenue Next 2Y7.12%
Revenue Next 3Y7.23%
Revenue Next 5Y6.38%
EBIT growth 1Y14.01%
EBIT growth 3Y8.58%
EBIT growth 5Y11.89%
EBIT Next Year12.93%
EBIT Next 3Y9.71%
EBIT Next 5Y8.69%
FCF growth 1Y70.18%
FCF growth 3Y16.02%
FCF growth 5Y15.9%
OCF growth 1Y69.7%
OCF growth 3Y16.5%
OCF growth 5Y15.43%