SUZANO SA - SPON ADR (SUZ) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:SUZ - US86959K1051 - ADR
8.95 USD
-0.01 (-0.11%)
8.95 USD
0 (0%)
We assign a fundamental rating of 7 out of 10 to SUZ. SUZ was compared to 9 industry peers in the Paper & Forest Products industry. SUZ has an excellent profitability rating, but there are some minor concerns on its financial health. A decent growth rate in combination with a cheap valuation! Better keep an eye on SUZ. Finally SUZ also has an excellent dividend rating. These ratings could make SUZ a good candidate for value and dividend investing.
1. Profitability
1.1 Basic Checks
SUZ had positive earnings in the past year.
In the past year SUZ had a positive cash flow from operations.
In multiple years SUZ reported negative net income over the last 5 years.
SUZ 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 4.91%, SUZ is in the better half of the industry, outperforming 66.67% of the companies in the same industry.
SUZ has a Return On Equity of 18.14%. This is in the better half of the industry: SUZ outperforms 77.78% of its industry peers.
SUZ's Return On Invested Capital of 7.05% is fine compared to the rest of the industry. SUZ outperforms 77.78% of its industry peers.
SUZ had an Average Return On Invested Capital over the past 3 years of 9.38%. This is above the industry average of 5.80%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.91% | ||
| ROE | 18.14% | ||
| ROIC | 7.05% |
ROA(3y)7.7%
ROA(5y)3.96%
ROE(3y)26.78%
ROE(5y)-2.15%
ROIC(3y)9.38%
ROIC(5y)9.39%
1.3 Margins
Looking at the Profit Margin, with a value of 15.26%, SUZ belongs to the top of the industry, outperforming 100.00% of the companies in the same industry.
The Operating Margin of SUZ (25.74%) is better than 100.00% of its industry peers.
SUZ's Operating Margin has improved in the last couple of years.
Looking at the Gross Margin, with a value of 37.73%, SUZ belongs to the top of the industry, outperforming 100.00% of the companies in the same industry.
In the last couple of years the Gross Margin of SUZ has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 25.74% | ||
| PM (TTM) | 15.26% | ||
| GM | 37.73% |
OM growth 3Y-8.96%
OM growth 5Y26.2%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-5.3%
GM growth 5Y15.81%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so SUZ is still creating some value.
Compared to 1 year ago, SUZ has less shares outstanding
The number of shares outstanding for SUZ has been reduced compared to 5 years ago.
Compared to 1 year ago, SUZ has a worse debt to assets ratio.
2.2 Solvency
Based on the Altman-Z score of 1.22, we must say that SUZ is in the distress zone and has some risk of bankruptcy.
Looking at the Altman-Z score, with a value of 1.22, SUZ is in line with its industry, outperforming 44.44% of the companies in the same industry.
SUZ has a debt to FCF ratio of 17.09. This is a negative value and a sign of low solvency as SUZ would need 17.09 years to pay back of all of its debts.
SUZ has a Debt to FCF ratio of 17.09. This is comparable to the rest of the industry: SUZ outperforms 55.56% of its industry peers.
SUZ has a Debt/Equity ratio of 2.20. This is a high value indicating a heavy dependency on external financing.
The Debt to Equity ratio of SUZ (2.20) is worse than 77.78% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.2 | ||
| Debt/FCF | 17.09 | ||
| Altman-Z | 1.22 |
ROIC/WACC1.07
WACC6.56%
2.3 Liquidity
SUZ has a Current Ratio of 3.16. This indicates that SUZ is financially healthy and has no problem in meeting its short term obligations.
SUZ has a Current ratio of 3.16. This is amongst the best in the industry. SUZ outperforms 100.00% of its industry peers.
A Quick Ratio of 2.48 indicates that SUZ has no problem at all paying its short term obligations.
SUZ's Quick ratio of 2.48 is amongst the best of the industry. SUZ outperforms 100.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 3.16 | ||
| Quick Ratio | 2.48 |
3. Growth
3.1 Past
SUZ shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 62.85%, which is quite impressive.
SUZ shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 19.24%.
SUZ shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 12.75% yearly.
EPS 1Y (TTM)62.85%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%-38.52%
Revenue 1Y (TTM)19.24%
Revenue growth 3Y4.99%
Revenue growth 5Y12.75%
Sales Q2Q%-0.98%
3.2 Future
The Earnings Per Share is expected to grow by 50.79% on average over the next years. This is a very strong growth
Based on estimates for the next years, SUZ will show a quite strong growth in Revenue. The Revenue will grow by 11.50% on average per year.
EPS Next Y294.24%
EPS Next 2Y79.11%
EPS Next 3Y50.79%
EPS Next 5YN/A
Revenue Next Year8.71%
Revenue Next 2Y11.81%
Revenue Next 3Y11.54%
Revenue Next 5Y11.5%
3.3 Evolution
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
A Price/Earnings ratio of 8.86 indicates a reasonable valuation of SUZ.
100.00% of the companies in the same industry are more expensive than SUZ, based on the Price/Earnings ratio.
SUZ is valuated cheaply when we compare the Price/Earnings ratio to 26.31, which is the current average of the S&P500 Index.
With a Price/Forward Earnings ratio of 7.13, the valuation of SUZ can be described as very cheap.
Compared to the rest of the industry, the Price/Forward Earnings ratio of SUZ indicates a rather cheap valuation: SUZ is cheaper than 100.00% of the companies listed in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 36.59. SUZ is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 8.86 | ||
| Fwd PE | 7.13 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, SUZ is valued a bit cheaper than the industry average as 77.78% of the companies are valued more expensively.
Based on the Price/Free Cash Flow ratio, SUZ is valued a bit cheaper than 77.78% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 10.26 | ||
| EV/EBITDA | 5.45 |
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.
The decent profitability rating of SUZ may justify a higher PE ratio.
A more expensive valuation may be justified as SUZ's earnings are expected to grow with 50.79% in the coming years.
PEG (NY)0.03
PEG (5Y)N/A
EPS Next 2Y79.11%
EPS Next 3Y50.79%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 4.22%, SUZ is a good candidate for dividend investing.
Compared to an average industry Dividend Yield of 6.30, SUZ pays a better dividend. On top of this SUZ pays more dividend than 88.89% of the companies listed in the same industry.
SUZ's Dividend Yield is rather good when compared to the S&P500 average which is at 2.34.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.22% |
5.2 History
On average, the dividend of SUZ grows each year by 20.94%, which is quite nice.
SUZ has paid a dividend for at least 10 years, which is a reliable track record.
The dividend of SUZ decreased recently.
Dividend Growth(5Y)20.94%
Div Incr Years1
Div Non Decr Years1
5.3 Sustainability
32.13% of the earnings are spent on dividend by SUZ. This is a low number and sustainable payout ratio.
SUZ's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP32.13%
EPS Next 2Y79.11%
EPS Next 3Y50.79%
8.95
-0.01 (-0.11%)
Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryPaper & Forest Products
Earnings (Last)
Earnings (Next)
Inst Owners27.27%
Inst Owner Change-2.35%
Ins Owners15.51%
Ins Owner ChangeN/A
Market Cap11.06B
Revenue(TTM)47.40B
Net Income(TTM)7.83B
Analysts83.81
Price Target14.22 (58.88%)
Short Float %0.62%
Short Ratio2.07
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.22% |
Yearly Dividend0.24
Dividend Growth(5Y)20.94%
DP32.13%
Div Incr Years1
Div Non Decr Years1
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)104.78%
Min EPS beat(2)12.88%
Max EPS beat(2)196.69%
EPS beat(4)3
Avg EPS beat(4)-81.54%
Min EPS beat(4)-569.87%
Max EPS beat(4)196.69%
EPS beat(8)6
Avg EPS beat(8)-62.1%
EPS beat(12)9
Avg EPS beat(12)-31.22%
EPS beat(16)12
Avg EPS beat(16)-21.71%
Revenue beat(2)1
Avg Revenue beat(2)-2.86%
Min Revenue beat(2)-6.63%
Max Revenue beat(2)0.92%
Revenue beat(4)2
Avg Revenue beat(4)-0.34%
Min Revenue beat(4)-6.63%
Max Revenue beat(4)6.32%
Revenue beat(8)5
Avg Revenue beat(8)-0.03%
Revenue beat(12)7
Avg Revenue beat(12)-0.52%
Revenue beat(16)10
Avg Revenue beat(16)-0.12%
PT rev (1m)-1.21%
PT rev (3m)1.91%
EPS NQ rev (1m)0%
EPS NQ rev (3m)40.1%
EPS NY rev (1m)17.37%
EPS NY rev (3m)31.24%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-6.12%
Revenue NY rev (1m)-0.33%
Revenue NY rev (3m)-1.29%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 8.86 | ||
| Fwd PE | 7.13 | ||
| P/S | 1.15 | ||
| P/FCF | 10.26 | ||
| P/OCF | 2.92 | ||
| P/B | 1.37 | ||
| P/tB | 1.99 | ||
| EV/EBITDA | 5.45 |
EPS(TTM)1.01
EY11.28%
EPS(NY)1.25
Fwd EY14.02%
FCF(TTM)0.87
FCFY9.75%
OCF(TTM)3.07
OCFY34.27%
SpS7.77
BVpS6.54
TBVpS4.5
PEG (NY)0.03
PEG (5Y)N/A
Graham Number12.19
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.91% | ||
| ROE | 18.14% | ||
| ROCE | 8.99% | ||
| ROIC | 7.05% | ||
| ROICexc | 8.18% | ||
| ROICexgc | 9.16% | ||
| OM | 25.74% | ||
| PM (TTM) | 15.26% | ||
| GM | 37.73% | ||
| FCFM | 11.22% |
ROA(3y)7.7%
ROA(5y)3.96%
ROE(3y)26.78%
ROE(5y)-2.15%
ROIC(3y)9.38%
ROIC(5y)9.39%
ROICexc(3y)11.06%
ROICexc(5y)11.2%
ROICexgc(3y)12.82%
ROICexgc(5y)13.35%
ROCE(3y)11.96%
ROCE(5y)11.98%
ROICexgc growth 3Y-17.29%
ROICexgc growth 5Y26.8%
ROICexc growth 3Y-14.86%
ROICexc growth 5Y30.34%
OM growth 3Y-8.96%
OM growth 5Y26.2%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-5.3%
GM growth 5Y15.81%
F-Score7
Asset Turnover0.32
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.2 | ||
| Debt/FCF | 17.09 | ||
| Debt/EBITDA | 4 | ||
| Cap/Depr | 138.59% | ||
| Cap/Sales | 28.23% | ||
| Interest Coverage | 2.36 | ||
| Cash Conversion | 85.57% | ||
| Profit Quality | 73.57% | ||
| Current Ratio | 3.16 | ||
| Quick Ratio | 2.48 | ||
| Altman-Z | 1.22 |
F-Score7
WACC6.56%
ROIC/WACC1.07
Cap/Depr(3y)212.09%
Cap/Depr(5y)160.32%
Cap/Sales(3y)37.3%
Cap/Sales(5y)28.77%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)62.85%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%-38.52%
EPS Next Y294.24%
EPS Next 2Y79.11%
EPS Next 3Y50.79%
EPS Next 5YN/A
Revenue 1Y (TTM)19.24%
Revenue growth 3Y4.99%
Revenue growth 5Y12.75%
Sales Q2Q%-0.98%
Revenue Next Year8.71%
Revenue Next 2Y11.81%
Revenue Next 3Y11.54%
Revenue Next 5Y11.5%
EBIT growth 1Y18.91%
EBIT growth 3Y-4.42%
EBIT growth 5Y42.3%
EBIT Next Year55.36%
EBIT Next 3Y26.69%
EBIT Next 5Y20.38%
FCF growth 1Y71.41%
FCF growth 3Y-30.27%
FCF growth 5Y9.93%
OCF growth 1Y-7.35%
OCF growth 3Y5.32%
OCF growth 5Y22.15%
SUZANO SA - SPON ADR / SUZ FAQ
What is the ChartMill fundamental rating of SUZANO SA - SPON ADR (SUZ) stock?
ChartMill assigns a fundamental rating of 7 / 10 to SUZ.
What is the valuation status of SUZANO SA - SPON ADR (SUZ) stock?
ChartMill assigns a valuation rating of 9 / 10 to SUZANO SA - SPON ADR (SUZ). This can be considered as Undervalued.
What is the profitability of SUZ stock?
SUZANO SA - SPON ADR (SUZ) has a profitability rating of 7 / 10.
How financially healthy is SUZANO SA - SPON ADR?
The financial health rating of SUZANO SA - SPON ADR (SUZ) is 5 / 10.
What is the earnings growth outlook for SUZANO SA - SPON ADR?
The Earnings per Share (EPS) of SUZANO SA - SPON ADR (SUZ) is expected to grow by 294.24% in the next year.