SHUTTERSTOCK INC (SSTK) Stock Fundamental Analysis
NYSE:SSTK - New York Stock Exchange, Inc. - US8256901005 - Common Stock - Currency: USD
SSTK gets a fundamental rating of 5 out of 10. The analysis compared the fundamentals against 70 industry peers in the Interactive Media & Services industry. While SSTK is still in line with the averages on profitability rating, there are concerns on its financial health. SSTK may be a bit undervalued, certainly considering the very reasonable score on growth
1. Profitability
1.1 Basic Checks
In the past year SSTK was profitable.
SSTK had a positive operating cash flow in the past year.
SSTK had positive earnings in each of the past 5 years.
SSTK had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
SSTK's Return On Assets of 2.91% is fine compared to the rest of the industry. SSTK outperforms 62.86% of its industry peers.
SSTK has a better Return On Equity (7.04%) than 72.86% of its industry peers.
SSTK has a better Return On Invested Capital (6.47%) than 75.71% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for SSTK is below the industry average of 12.03%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.91% | ||
| ROE | 7.04% | ||
| ROIC | 6.47% |
ROA(3y)7.34%
ROA(5y)8.53%
ROE(3y)14.95%
ROE(5y)16.3%
ROIC(3y)9.8%
ROIC(5y)11.62%
1.3 Margins
The Profit Margin of SSTK (4.00%) is better than 62.86% of its industry peers.
SSTK's Profit Margin has improved in the last couple of years.
The Operating Margin of SSTK (6.45%) is better than 67.14% of its industry peers.
SSTK's Operating Margin has improved in the last couple of years.
The Gross Margin of SSTK (57.56%) is worse than 60.00% of its industry peers.
In the last couple of years the Gross Margin of SSTK has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 6.45% | ||
| PM (TTM) | 4% | ||
| GM | 57.56% |
OM growth 3Y-19.3%
OM growth 5Y18.79%
PM growth 3Y-31.36%
PM growth 5Y4.45%
GM growth 3Y-3.49%
GM growth 5Y0.14%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), SSTK is creating some value.
The number of shares outstanding for SSTK has been reduced compared to 1 year ago.
Compared to 5 years ago, SSTK has less shares outstanding
SSTK has a worse debt/assets ratio than last year.
2.2 Solvency
SSTK has an Altman-Z score of 1.42. This is a bad value and indicates that SSTK is not financially healthy and even has some risk of bankruptcy.
Looking at the Altman-Z score, with a value of 1.42, SSTK is in line with its industry, outperforming 52.86% of the companies in the same industry.
The Debt to FCF ratio of SSTK is 45.92, which is on the high side as it means it would take SSTK, 45.92 years of fcf income to pay off all of its debts.
With a Debt to FCF ratio value of 45.92, SSTK perfoms like the industry average, outperforming 47.14% of the companies in the same industry.
SSTK has a Debt/Equity ratio of 0.22. This is a healthy value indicating a solid balance between debt and equity.
SSTK has a Debt to Equity ratio of 0.22. This is comparable to the rest of the industry: SSTK outperforms 44.29% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.22 | ||
| Debt/FCF | 45.92 | ||
| Altman-Z | 1.42 |
ROIC/WACC0.71
WACC9.08%
2.3 Liquidity
A Current Ratio of 0.43 indicates that SSTK may have some problems paying its short term obligations.
With a Current ratio value of 0.43, SSTK is not doing good in the industry: 92.86% of the companies in the same industry are doing better.
SSTK has a Quick Ratio of 0.43. This is a bad value and indicates that SSTK is not financially healthy enough and could expect problems in meeting its short term obligations.
With a Quick ratio value of 0.43, SSTK is not doing good in the industry: 91.43% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.43 | ||
| Quick Ratio | 0.43 |
3. Growth
3.1 Past
SSTK shows a slight negative growth in Earnings Per Share. In the last year, the EPS has decreased by -4.07%.
SSTK shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 27.29% yearly.
Looking at the last year, SSTK shows a quite strong growth in Revenue. The Revenue has grown by 10.31% in the last year.
Measured over the past years, SSTK shows a small growth in Revenue. The Revenue has been growing by 7.53% on average per year.
EPS 1Y (TTM)-4.07%
EPS 3Y5.8%
EPS 5Y27.29%
EPS Q2Q%-8.85%
Revenue 1Y (TTM)10.31%
Revenue growth 3Y6.54%
Revenue growth 5Y7.53%
Sales Q2Q%13.21%
3.2 Future
Based on estimates for the next years, SSTK will show a quite strong growth in Earnings Per Share. The EPS will grow by 8.75% on average per year.
The Revenue is expected to grow by 5.87% on average over the next years.
EPS Next Y15.03%
EPS Next 2Y11.73%
EPS Next 3Y8.38%
EPS Next 5Y8.75%
Revenue Next Year7.86%
Revenue Next 2Y5.5%
Revenue Next 3Y8.05%
Revenue Next 5Y5.87%
3.3 Evolution
The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
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
Based on the Price/Earnings ratio of 4.58, the valuation of SSTK can be described as very cheap.
Based on the Price/Earnings ratio, SSTK is valued cheaply inside the industry as 92.86% of the companies are valued more expensively.
SSTK's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 27.46.
The Price/Forward Earnings ratio is 3.58, which indicates a rather cheap valuation of SSTK.
Based on the Price/Forward Earnings ratio, SSTK is valued cheaper than 100.00% of the companies in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 36.44. SSTK is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 4.58 | ||
| Fwd PE | 3.58 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of SSTK indicates a rather cheap valuation: SSTK is cheaper than 91.43% of the companies listed in the same industry.
SSTK's Price/Free Cash Flow ratio is in line with the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 107.37 | ||
| EV/EBITDA | 5.33 |
4.3 Compensation for Growth
SSTK's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
SSTK has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)0.3
PEG (5Y)0.17
EPS Next 2Y11.73%
EPS Next 3Y8.38%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 7.13%, SSTK is a good candidate for dividend investing.
SSTK's Dividend Yield is rather good when compared to the industry average which is at 2.93. SSTK pays more dividend than 98.57% of the companies in the same industry.
Compared to an average S&P500 Dividend Yield of 2.34, SSTK pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 7.13% |
5.2 History
SSTK has been paying a dividend for over 5 years, so it has already some track record.
SSTK has not decreased its dividend in the last 3 years.
Dividend Growth(5Y)N/A
Div Incr Years4
Div Non Decr Years4
5.3 Sustainability
SSTK pays out 112.27% of its income as dividend. This is not a sustainable payout ratio.
DP112.27%
EPS Next 2Y11.73%
EPS Next 3Y8.38%
18.37
+0.2 (+1.1%)
Chartmill FA Rating
GICS SectorCommunication Services
GICS IndustryGroupMedia & Entertainment
GICS IndustryInteractive Media & Services
Earnings (Last)
Earnings (Next)
Inst Owners69.92%
Inst Owner Change-0.17%
Ins Owners31.36%
Ins Owner Change2.09%
Market Cap647.54M
Analysts76
Price Target29.19 (58.9%)
Short Float %9.75%
Short Ratio8.86
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 7.13% |
Yearly Dividend1.2
Dividend Growth(5Y)N/A
DP112.27%
Div Incr Years4
Div Non Decr Years4
Ex-Date
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-15.89%
Min EPS beat(2)-26.74%
Max EPS beat(2)-5.03%
EPS beat(4)1
Avg EPS beat(4)-4.94%
Min EPS beat(4)-26.74%
Max EPS beat(4)13.99%
EPS beat(8)5
Avg EPS beat(8)6.5%
EPS beat(12)8
Avg EPS beat(12)6.29%
EPS beat(16)12
Avg EPS beat(16)12.9%
Revenue beat(2)0
Avg Revenue beat(2)-4.71%
Min Revenue beat(2)-5.68%
Max Revenue beat(2)-3.74%
Revenue beat(4)2
Avg Revenue beat(4)-1.59%
Min Revenue beat(4)-5.68%
Max Revenue beat(4)2.02%
Revenue beat(8)4
Avg Revenue beat(8)-1.05%
Revenue beat(12)5
Avg Revenue beat(12)-1.21%
Revenue beat(16)7
Avg Revenue beat(16)-0.73%
PT rev (1m)0%
PT rev (3m)-5.5%
EPS NQ rev (1m)0%
EPS NQ rev (3m)2.37%
EPS NY rev (1m)0%
EPS NY rev (3m)2.24%
Revenue NQ rev (1m)-1.53%
Revenue NQ rev (3m)-2.76%
Revenue NY rev (1m)-0.77%
Revenue NY rev (3m)-1.99%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 4.58 | ||
| Fwd PE | 3.58 | ||
| P/S | 0.67 | ||
| P/FCF | 107.37 | ||
| P/OCF | 13.06 | ||
| P/B | 1.18 | ||
| P/tB | N/A | ||
| EV/EBITDA | 5.33 |
EPS(TTM)4.01
EY21.83%
EPS(NY)5.13
Fwd EY27.93%
FCF(TTM)0.17
FCFY0.93%
OCF(TTM)1.41
OCFY7.66%
SpS27.34
BVpS15.52
TBVpS-7.48
PEG (NY)0.3
PEG (5Y)0.17
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.91% | ||
| ROE | 7.04% | ||
| ROCE | 8.77% | ||
| ROIC | 6.47% | ||
| ROICexc | 7.68% | ||
| ROICexgc | N/A | ||
| OM | 6.45% | ||
| PM (TTM) | 4% | ||
| GM | 57.56% | ||
| FCFM | 0.63% |
ROA(3y)7.34%
ROA(5y)8.53%
ROE(3y)14.95%
ROE(5y)16.3%
ROIC(3y)9.8%
ROIC(5y)11.62%
ROICexc(3y)11.98%
ROICexc(5y)43.54%
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)14.78%
ROCE(5y)16.65%
ROICexcg growth 3YN/A
ROICexcg growth 5YN/A
ROICexc growth 3Y-43.74%
ROICexc growth 5Y-17.59%
OM growth 3Y-19.3%
OM growth 5Y18.79%
PM growth 3Y-31.36%
PM growth 5Y4.45%
GM growth 3Y-3.49%
GM growth 5Y0.14%
F-Score3
Asset Turnover0.73
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.22 | ||
| Debt/FCF | 45.92 | ||
| Debt/EBITDA | 0.79 | ||
| Cap/Depr | 48.93% | ||
| Cap/Sales | 4.52% | ||
| Interest Coverage | 5.32 | ||
| Cash Conversion | 32.8% | ||
| Profit Quality | 15.67% | ||
| Current Ratio | 0.43 | ||
| Quick Ratio | 0.43 | ||
| Altman-Z | 1.42 |
F-Score3
WACC9.08%
ROIC/WACC0.71
Cap/Depr(3y)59.35%
Cap/Depr(5y)72.49%
Cap/Sales(3y)5.26%
Cap/Sales(5y)5.47%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-4.07%
EPS 3Y5.8%
EPS 5Y27.29%
EPS Q2Q%-8.85%
EPS Next Y15.03%
EPS Next 2Y11.73%
EPS Next 3Y8.38%
EPS Next 5Y8.75%
Revenue 1Y (TTM)10.31%
Revenue growth 3Y6.54%
Revenue growth 5Y7.53%
Sales Q2Q%13.21%
Revenue Next Year7.86%
Revenue Next 2Y5.5%
Revenue Next 3Y8.05%
Revenue Next 5Y5.87%
EBIT growth 1Y38.85%
EBIT growth 3Y-14.02%
EBIT growth 5Y27.74%
EBIT Next Year233.23%
EBIT Next 3Y60.19%
EBIT Next 5Y36.28%
FCF growth 1Y-96.12%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y-75.52%
OCF growth 3Y-46.77%
OCF growth 5Y-20.47%