SPIRE INC (SR) Stock Fundamental Analysis
NYSE:SR - New York Stock Exchange, Inc. - US84857L1017 - Common Stock - Currency: USD
SR gets a fundamental rating of 3 out of 10. The analysis compared the fundamentals against 14 industry peers in the Gas Utilities industry. SR has a medium profitability rating, but doesn't score so well on its financial health evaluation. SR is valied quite expensively at the moment, while it does show a decent growth rate. Finally SR also has an excellent dividend rating.
1. Profitability
1.1 Basic Checks
In the past year SR was profitable.
In the past year SR had a positive cash flow from operations.
In the past 5 years SR has always been profitable.
Each year in the past 5 years SR had a positive operating cash flow.
1.2 Ratios
SR's Return On Assets of 2.09% is on the low side compared to the rest of the industry. SR is outperformed by 64.29% of its industry peers.
SR's Return On Equity of 6.75% is on the low side compared to the rest of the industry. SR is outperformed by 71.43% of its industry peers.
SR has a Return On Invested Capital of 4.09%. This is in the lower half of the industry: SR underperforms 78.57% of its industry peers.
SR had an Average Return On Invested Capital over the past 3 years of 3.84%. This is below the industry average of 6.29%.
The last Return On Invested Capital (4.09%) for SR is above the 3 year average (3.84%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.09% | ||
| ROE | 6.75% | ||
| ROIC | 4.09% |
ROA(3y)2.06%
ROA(5y)1.96%
ROE(3y)7.18%
ROE(5y)6.82%
ROIC(3y)3.84%
ROIC(5y)3.98%
1.3 Margins
SR has a Profit Margin of 9.76%. This is in the better half of the industry: SR outperforms 64.29% of its industry peers.
In the last couple of years the Profit Margin of SR has remained more or less at the same level.
Looking at the Operating Margin, with a value of 20.83%, SR is in line with its industry, outperforming 57.14% of the companies in the same industry.
SR's Operating Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 20.83% | ||
| PM (TTM) | 9.76% | ||
| GM | N/A |
OM growth 3Y-2.21%
OM growth 5Y3.99%
PM growth 3Y-7.46%
PM growth 5Y-0.15%
GM growth 3YN/A
GM growth 5YN/A
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), SR is destroying value.
Compared to 1 year ago, SR has more shares outstanding
Compared to 5 years ago, SR has more shares outstanding
SR has a better debt/assets ratio than last year.
2.2 Solvency
Based on the Altman-Z score of 0.71, we must say that SR is in the distress zone and has some risk of bankruptcy.
SR has a Altman-Z score of 0.71. This is in the lower half of the industry: SR underperforms 64.29% of its industry peers.
A Debt/Equity ratio of 1.24 is on the high side and indicates that SR has dependencies on debt financing.
SR has a Debt to Equity ratio (1.24) which is in line with its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.24 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 0.71 |
ROIC/WACC0.65
WACC6.28%
2.3 Liquidity
A Current Ratio of 0.43 indicates that SR may have some problems paying its short term obligations.
SR has a worse Current ratio (0.43) than 92.86% of its industry peers.
A Quick Ratio of 0.34 indicates that SR may have some problems paying its short term obligations.
Looking at the Quick ratio, with a value of 0.34, SR is doing worse than 92.86% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.43 | ||
| Quick Ratio | 0.34 |
3. Growth
3.1 Past
SR shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 14.52%, which is quite good.
SR shows a small growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 2.60% yearly.
SR shows a decrease in Revenue. In the last year, the revenue decreased by -7.10%.
Measured over the past years, SR shows a small growth in Revenue. The Revenue has been growing by 5.84% on average per year.
EPS 1Y (TTM)14.52%
EPS 3Y-4.51%
EPS 5Y2.6%
EPS Q2Q%4.35%
Revenue 1Y (TTM)-7.1%
Revenue growth 3Y5.07%
Revenue growth 5Y5.84%
Sales Q2Q%-6.84%
3.2 Future
The Earnings Per Share is expected to grow by 6.35% on average over the next years.
The Revenue is expected to grow by 2.06% on average over the next years.
EPS Next Y9.13%
EPS Next 2Y11.03%
EPS Next 3Y9.15%
EPS Next 5Y6.35%
Revenue Next Year-5.01%
Revenue Next 2Y0.95%
Revenue Next 3Y0.82%
Revenue Next 5Y2.06%
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.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 17.56, SR is valued on the expensive side.
SR's Price/Earnings ratio is in line with the industry average.
The average S&P500 Price/Earnings ratio is at 26.20. SR is valued slightly cheaper when compared to this.
A Price/Forward Earnings ratio of 14.31 indicates a correct valuation of SR.
Based on the Price/Forward Earnings ratio, SR is valued a bit cheaper than the industry average as 64.29% of the companies are valued more expensively.
Compared to an average S&P500 Price/Forward Earnings ratio of 22.13, SR is valued a bit cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 17.56 | ||
| Fwd PE | 14.31 |
4.2 Price Multiples
SR's Enterprise Value to EBITDA ratio is a bit more expensive when compared to the industry. SR is more expensive than 64.29% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 10.11 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
PEG (NY)1.92
PEG (5Y)6.76
EPS Next 2Y11.03%
EPS Next 3Y9.15%
5. Dividend
5.1 Amount
SR has a Yearly Dividend Yield of 4.23%, which is a nice return.
Compared to an average industry Dividend Yield of 3.98, SR pays a bit more dividend than its industry peers.
SR's Dividend Yield is rather good when compared to the S&P500 average which is at 2.40.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.23% |
5.2 History
On average, the dividend of SR grows each year by 6.49%, which is quite nice.
SR has paid a dividend for at least 10 years, which is a reliable track record.
SR has not decreased their dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)6.49%
Div Incr Years10
Div Non Decr Years10
5.3 Sustainability
80.76% of the earnings are spent on dividend by SR. This is not a sustainable payout ratio.
SR's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP80.76%
EPS Next 2Y11.03%
EPS Next 3Y9.15%
74.79
+1.05 (+1.42%)
Chartmill FA Rating
GICS SectorUtilities
GICS IndustryGroupUtilities
GICS IndustryGas Utilities
Earnings (Last)
Earnings (Next)
Inst Owners90.25%
Inst Owner Change-0.11%
Ins Owners0.34%
Ins Owner Change0.32%
Market Cap4.36B
Analysts76.67
Price Target80.69 (7.89%)
Short Float %2.93%
Short Ratio3.51
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.23% |
Yearly Dividend3.29
Dividend Growth(5Y)6.49%
DP80.76%
Div Incr Years10
Div Non Decr Years10
Ex-Date
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-6.43%
Min EPS beat(2)-8.17%
Max EPS beat(2)-4.7%
EPS beat(4)1
Avg EPS beat(4)0.95%
Min EPS beat(4)-8.17%
Max EPS beat(4)16.78%
EPS beat(8)2
Avg EPS beat(8)-4092.72%
EPS beat(12)5
Avg EPS beat(12)-2729.25%
EPS beat(16)8
Avg EPS beat(16)-2040.39%
Revenue beat(2)0
Avg Revenue beat(2)-15.97%
Min Revenue beat(2)-17.8%
Max Revenue beat(2)-14.13%
Revenue beat(4)1
Avg Revenue beat(4)-11.59%
Min Revenue beat(4)-25.44%
Max Revenue beat(4)11.01%
Revenue beat(8)2
Avg Revenue beat(8)-8.37%
Revenue beat(12)6
Avg Revenue beat(12)3.47%
Revenue beat(16)9
Avg Revenue beat(16)3.05%
PT rev (1m)3.34%
PT rev (3m)9.79%
EPS NQ rev (1m)0.77%
EPS NQ rev (3m)-15.18%
EPS NY rev (1m)-0.08%
EPS NY rev (3m)-0.04%
Revenue NQ rev (1m)2.62%
Revenue NQ rev (3m)20.56%
Revenue NY rev (1m)-3.15%
Revenue NY rev (3m)-2.09%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 17.56 | ||
| Fwd PE | 14.31 | ||
| P/S | 1.8 | ||
| P/FCF | N/A | ||
| P/OCF | 5.41 | ||
| P/B | 1.24 | ||
| P/tB | 1.87 | ||
| EV/EBITDA | 10.11 |
EPS(TTM)4.26
EY5.7%
EPS(NY)5.23
Fwd EY6.99%
FCF(TTM)-2.13
FCFYN/A
OCF(TTM)13.83
OCFY18.49%
SpS41.62
BVpS60.13
TBVpS40.05
PEG (NY)1.92
PEG (5Y)6.76
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.09% | ||
| ROE | 6.75% | ||
| ROCE | 5.48% | ||
| ROIC | 4.09% | ||
| ROICexc | 4.1% | ||
| ROICexgc | 4.63% | ||
| OM | 20.83% | ||
| PM (TTM) | 9.76% | ||
| GM | N/A | ||
| FCFM | N/A |
ROA(3y)2.06%
ROA(5y)1.96%
ROE(3y)7.18%
ROE(5y)6.82%
ROIC(3y)3.84%
ROIC(5y)3.98%
ROICexc(3y)3.84%
ROICexc(5y)3.98%
ROICexgc(3y)4.39%
ROICexgc(5y)4.6%
ROCE(3y)5.17%
ROCE(5y)5.31%
ROICexcg growth 3Y-4.17%
ROICexcg growth 5Y0.67%
ROICexc growth 3Y-3.31%
ROICexc growth 5Y1.95%
OM growth 3Y-2.21%
OM growth 5Y3.99%
PM growth 3Y-7.46%
PM growth 5Y-0.15%
GM growth 3YN/A
GM growth 5YN/A
F-Score6
Asset Turnover0.21
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.24 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 5.49 | ||
| Cap/Depr | 322.77% | ||
| Cap/Sales | 38.35% | ||
| Interest Coverage | 2.48 | ||
| Cash Conversion | 101.59% | ||
| Profit Quality | N/A | ||
| Current Ratio | 0.43 | ||
| Quick Ratio | 0.34 | ||
| Altman-Z | 0.71 |
F-Score6
WACC6.28%
ROIC/WACC0.65
Cap/Depr(3y)267.36%
Cap/Depr(5y)283.77%
Cap/Sales(3y)27.73%
Cap/Sales(5y)29.11%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)14.52%
EPS 3Y-4.51%
EPS 5Y2.6%
EPS Q2Q%4.35%
EPS Next Y9.13%
EPS Next 2Y11.03%
EPS Next 3Y9.15%
EPS Next 5Y6.35%
Revenue 1Y (TTM)-7.1%
Revenue growth 3Y5.07%
Revenue growth 5Y5.84%
Sales Q2Q%-6.84%
Revenue Next Year-5.01%
Revenue Next 2Y0.95%
Revenue Next 3Y0.82%
Revenue Next 5Y2.06%
EBIT growth 1Y13.41%
EBIT growth 3Y2.74%
EBIT growth 5Y10.07%
EBIT Next Year71.86%
EBIT Next 3Y24.6%
EBIT Next 5Y16.25%
FCF growth 1Y75.33%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y911.03%
OCF growth 3Y54%
OCF growth 5Y15.14%