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SASOL LTD-SPONSORED ADR (SSL) Stock Fundamental Analysis

NYSE:SSL - New York Stock Exchange, Inc. - US8038663006 - ADR - Currency: USD

4.44  -0.17 (-3.69%)

After market: 4.44 0 (0%)

Fundamental Rating

4

Taking everything into account, SSL scores 4 out of 10 in our fundamental rating. SSL was compared to 85 industry peers in the Chemicals industry. While SSL is still in line with the averages on profitability rating, there are concerns on its financial health. SSL is valued quite cheap, but it does not seem to be growing.


Dividend Valuation Growth Profitability Health

4

1. Profitability

1.1 Basic Checks

In the past year SSL was profitable.
In the past year SSL had a positive cash flow from operations.
In multiple years SSL reported negative net income over the last 5 years.
In the past 5 years SSL always reported a positive cash flow from operatings.
SSL Yearly Net Income VS EBIT VS OCF VS FCFSSL Yearly Net Income VS EBIT VS OCF VS FCFYearly Net Income VS EBIT VS OCF VS FCF 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 50B -50B

1.2 Ratios

SSL has a Return On Assets of -13.40%. This is in the lower half of the industry: SSL underperforms 77.65% of its industry peers.
With a Return On Equity value of -33.26%, SSL is not doing good in the industry: 80.00% of the companies in the same industry are doing better.
The Return On Invested Capital of SSL (8.78%) is better than 75.29% of its industry peers.
Industry RankSector Rank
ROA -13.4%
ROE -33.26%
ROIC 8.78%
ROA(3y)N/A
ROA(5y)N/A
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)N/A
ROIC(5y)N/A
SSL Yearly ROA, ROE, ROICSSL Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 20 -20 -40 -60

1.3 Margins

Looking at the Operating Margin, with a value of 15.82%, SSL is in the better half of the industry, outperforming 80.00% of the companies in the same industry.
In the last couple of years the Operating Margin of SSL has grown nicely.
SSL has a better Gross Margin (50.05%) than 94.12% of its industry peers.
SSL's Gross Margin has declined in the last couple of years.
Industry RankSector Rank
OM 15.82%
PM (TTM) N/A
GM 50.05%
OM growth 3Y1.72%
OM growth 5Y2.63%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-4.77%
GM growth 5Y-2.12%
SSL Yearly Profit, Operating, Gross MarginsSSL Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 20 -20 40 -40

3

2. Health

2.1 Basic Checks

The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so SSL is destroying value.
There is no outstanding debt for SSL. This means it has a Debt/Equity and Debt/FCF ratio of 0 and it is amongst the best of the sector and industry.
SSL Yearly Shares OutstandingSSL Yearly Shares OutstandingYearly Shares Outstanding 2015 2016 2017 2018 2019 2020 2021 2022 200M 400M 600M
SSL Yearly Total Debt VS Total AssetsSSL Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2015 2016 2017 2018 2019 2020 2021 2022 100B 200B 300B 400B

2.2 Solvency

SSL has an Altman-Z score of 1.74. This is a bad value and indicates that SSL is not financially healthy and even has some risk of bankruptcy.
With a Altman-Z score value of 1.74, SSL perfoms like the industry average, outperforming 43.53% of the companies in the same industry.
SSL has a debt to FCF ratio of 11.43. This is a negative value and a sign of low solvency as SSL would need 11.43 years to pay back of all of its debts.
Looking at the Debt to FCF ratio, with a value of 11.43, SSL is in the better half of the industry, outperforming 62.35% of the companies in the same industry.
SSL has a Debt/Equity ratio of 0.79. This is a neutral value indicating SSL is somewhat dependend on debt financing.
SSL has a Debt to Equity ratio (0.79) which is in line with its industry peers.
Industry RankSector Rank
Debt/Equity 0.79
Debt/FCF 11.43
Altman-Z 1.74
ROIC/WACC0.56
WACC15.64%
SSL Yearly LT Debt VS Equity VS FCFSSL Yearly LT Debt VS Equity VS FCFYearly LT Debt VS Equity VS FCF 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 50B 100B 150B 200B

2.3 Liquidity

A Current Ratio of 1.83 indicates that SSL should not have too much problems paying its short term obligations.
SSL has a Current ratio of 1.83. This is comparable to the rest of the industry: SSL outperforms 43.53% of its industry peers.
A Quick Ratio of 1.16 indicates that SSL should not have too much problems paying its short term obligations.
The Quick ratio of SSL (1.16) is comparable to the rest of the industry.
Industry RankSector Rank
Current Ratio 1.83
Quick Ratio 1.16
SSL Yearly Current Assets VS Current LiabilitesSSL Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2015 2016 2017 2018 2019 2020 2021 2022 20B 40B 60B 80B 100B

3

3. Growth

3.1 Past

The earnings per share for SSL have decreased strongly by -68.13% in the last year.
Measured over the past years, SSL shows a very negative growth in Earnings Per Share. The EPS has been decreasing by -11.34% on average per year.
Looking at the last year, SSL shows a decrease in Revenue. The Revenue has decreased by -4.85% in the last year.
SSL shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 6.21% yearly.
EPS 1Y (TTM)-68.13%
EPS 3Y-24.6%
EPS 5Y-11.34%
EPS Q2Q%-23.59%
Revenue 1Y (TTM)-4.85%
Revenue growth 3Y10.86%
Revenue growth 5Y6.21%
Sales Q2Q%-10.41%

3.2 Future

Based on estimates for the next years, SSL will show a very strong growth in Earnings Per Share. The EPS will grow by 39.52% on average per year.
SSL is expected to show a decrease in Revenue. In the coming years, the Revenue will decrease by -0.01% yearly.
EPS Next Y80.59%
EPS Next 2Y46.14%
EPS Next 3Y39.52%
EPS Next 5YN/A
Revenue Next Year-8.84%
Revenue Next 2Y-3.22%
Revenue Next 3Y-0.01%
Revenue Next 5YN/A

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.
SSL Yearly Revenue VS EstimatesSSL Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 50B 100B 150B 200B 250B
SSL Yearly EPS VS EstimatesSSL Yearly EPS VS EstimatesYearly EPS VS Estimates 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 0 20 40 60

8

4. Valuation

4.1 Price/Earnings Ratio

Based on the Price/Earnings ratio of 6.34, the valuation of SSL can be described as very cheap.
Based on the Price/Earnings ratio, SSL is valued cheaper than 95.29% of the companies in the same industry.
SSL's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 26.25.
SSL is valuated cheaply with a Price/Forward Earnings ratio of 2.21.
100.00% of the companies in the same industry are more expensive than SSL, based on the Price/Forward Earnings ratio.
When comparing the Price/Forward Earnings ratio of SSL to the average of the S&P500 Index (22.15), we can say SSL is valued rather cheaply.
Industry RankSector Rank
PE 6.34
Fwd PE 2.21
SSL Price Earnings VS Forward Price EarningsSSL Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 5 10 15 20 25

4.2 Price Multiples

94.12% of the companies in the same industry are more expensive than SSL, based on the Price/Free Cash Flow ratio.
Industry RankSector Rank
P/FCF 4.31
EV/EBITDA N/A
SSL Per share dataSSL EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 5 10 15 20

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.
A more expensive valuation may be justified as SSL's earnings are expected to grow with 39.52% in the coming years.
PEG (NY)0.08
PEG (5Y)N/A
EPS Next 2Y46.14%
EPS Next 3Y39.52%

5

5. Dividend

5.1 Amount

SSL has a Yearly Dividend Yield of 8.02%, which is a nice return.
SSL's Dividend Yield is rather good when compared to the industry average which is at 3.75. SSL pays more dividend than 88.24% of the companies in the same industry.
Compared to an average S&P500 Dividend Yield of 2.38, SSL pays a better dividend.
Industry RankSector Rank
Dividend Yield 8.02%

5.2 History

SSL has been paying a dividend for at least 10 years, so it has a reliable track record.
Dividend Growth(5Y)N/A
Div Incr Years0
Div Non Decr Years0
SSL Yearly Dividends per shareSSL Yearly Dividends per shareYearly Dividends per share 2015 2016 2017 2018 2019 2022 2023 2024 5 10 15

5.3 Sustainability

DPN/A
EPS Next 2Y46.14%
EPS Next 3Y39.52%
SSL Yearly Income VS Free CF VS DividendSSL Yearly Income VS Free CF VS DividendYearly Income VS Free CF VS Dividend 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 20B -20B -40B -60B -80B

SASOL LTD-SPONSORED ADR

NYSE:SSL (5/30/2025, 8:04:01 PM)

After market: 4.44 0 (0%)

4.44

-0.17 (-3.69%)

Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryChemicals
Earnings (Last)02-24 2025-02-24/bmo
Earnings (Next)08-18 2025-08-18/amc
Inst Owners56.02%
Inst Owner Change-0.09%
Ins Owners0%
Ins Owner ChangeN/A
Market Cap2.83B
Analysts78.57
Price Target8.63 (94.37%)
Short Float %1.45%
Short Ratio6.88
Dividend
Industry RankSector Rank
Dividend Yield 8.02%
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)N/A
Avg EPS beat(2)N/A
Min EPS beat(2)N/A
Max EPS beat(2)N/A
EPS beat(4)N/A
Avg EPS beat(4)N/A
Min EPS beat(4)N/A
Max EPS beat(4)N/A
EPS beat(8)N/A
Avg EPS beat(8)N/A
EPS beat(12)N/A
Avg EPS beat(12)N/A
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)N/A
Avg Revenue beat(2)N/A
Min Revenue beat(2)N/A
Max Revenue beat(2)N/A
Revenue beat(4)N/A
Avg Revenue beat(4)N/A
Min Revenue beat(4)N/A
Max Revenue beat(4)N/A
Revenue beat(8)N/A
Avg Revenue beat(8)N/A
Revenue beat(12)N/A
Avg Revenue beat(12)N/A
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)-7.3%
PT rev (3m)-21.93%
EPS NQ rev (1m)N/A
EPS NQ rev (3m)N/A
EPS NY rev (1m)0%
EPS NY rev (3m)-3%
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)-0.33%
Revenue NY rev (3m)-0.59%
Valuation
Industry RankSector Rank
PE 6.34
Fwd PE 2.21
P/S 0.19
P/FCF 4.31
P/OCF 1.23
P/B 0.34
P/tB 0.35
EV/EBITDA N/A
EPS(TTM)0.7
EY15.77%
EPS(NY)2.01
Fwd EY45.27%
FCF(TTM)1.03
FCFY23.22%
OCF(TTM)3.6
OCFY81.06%
SpS22.91
BVpS13.01
TBVpS12.8
PEG (NY)0.08
PEG (5Y)N/A
Profitability
Industry RankSector Rank
ROA -13.4%
ROE -33.26%
ROCE 13.66%
ROIC 8.78%
ROICexc 10.13%
ROICexgc 10.22%
OM 15.82%
PM (TTM) N/A
GM 50.05%
FCFM 4.5%
ROA(3y)N/A
ROA(5y)N/A
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexcg growth 3YN/A
ROICexcg growth 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5YN/A
OM growth 3Y1.72%
OM growth 5Y2.63%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-4.77%
GM growth 5Y-2.12%
F-Score5
Asset Turnover0.71
Health
Industry RankSector Rank
Debt/Equity 0.79
Debt/FCF 11.43
Debt/EBITDA N/A
Cap/Depr N/A
Cap/Sales 11.21%
Interest Coverage -4.64
Cash Conversion N/A
Profit Quality N/A
Current Ratio 1.83
Quick Ratio 1.16
Altman-Z 1.74
F-Score5
WACC15.64%
ROIC/WACC0.56
Cap/Depr(3y)N/A
Cap/Depr(5y)N/A
Cap/Sales(3y)9.98%
Cap/Sales(5y)11.26%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-68.13%
EPS 3Y-24.6%
EPS 5Y-11.34%
EPS Q2Q%-23.59%
EPS Next Y80.59%
EPS Next 2Y46.14%
EPS Next 3Y39.52%
EPS Next 5YN/A
Revenue 1Y (TTM)-4.85%
Revenue growth 3Y10.86%
Revenue growth 5Y6.21%
Sales Q2Q%-10.41%
Revenue Next Year-8.84%
Revenue Next 2Y-3.22%
Revenue Next 3Y-0.01%
Revenue Next 5YN/A
EBIT growth 1Y-3.31%
EBIT growth 3Y12.77%
EBIT growth 5Y9.01%
EBIT Next Year8.36%
EBIT Next 3Y9.57%
EBIT Next 5YN/A
FCF growth 1Y12725.8%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y42.79%
OCF growth 3Y-3.38%
OCF growth 5Y-1.38%