SYNEOS HEALTH INC (SYNH) Stock Fundamental Analysis
USA - NASDAQ:SYNH - US87166B1026 - Common Stock
42.98 USD
+0.01 (+0.02%)
42.97 USD
-0.01 (-0.02%)
Overall SYNH gets a fundamental rating of 4 out of 10. We evaluated SYNH against 56 industry peers in the Life Sciences Tools & Services industry. There are concerns on the financial health of SYNH while its profitability can be described as average. A decent growth rate in combination with a cheap valuation! Better keep an eye on SYNH.
1. Profitability
1.1 Basic Checks
In the past year SYNH was profitable.
SYNH had a positive operating cash flow in the past year.
SYNH had positive earnings in each of the past 5 years.
Each year in the past 5 years SYNH had a positive operating cash flow.
1.2 Ratios
With a decent Return On Assets value of 0.88%, SYNH is doing good in the industry, outperforming 70.31% of the companies in the same industry.
With a decent Return On Equity value of 2.04%, SYNH is doing good in the industry, outperforming 71.88% of the companies in the same industry.
Looking at the Return On Invested Capital, with a value of 4.23%, SYNH is in the better half of the industry, outperforming 70.31% of the companies in the same industry.
SYNH had an Average Return On Invested Capital over the past 3 years of 4.99%. This is significantly below the industry average of 14.93%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.88% | ||
| ROE | 2.04% | ||
| ROIC | 4.23% |
ROA(3y)2.83%
ROA(5y)2.12%
ROE(3y)6.82%
ROE(5y)5.13%
ROIC(3y)4.99%
ROIC(5y)4.67%
1.3 Margins
SYNH's Profit Margin of 1.31% is fine compared to the rest of the industry. SYNH outperforms 70.31% of its industry peers.
In the last couple of years the Profit Margin of SYNH has grown nicely.
SYNH has a Operating Margin of 6.33%. This is in the better half of the industry: SYNH outperforms 65.63% of its industry peers.
In the last couple of years the Operating Margin of SYNH has grown nicely.
SYNH has a worse Gross Margin (22.14%) than 84.38% of its industry peers.
In the last couple of years the Gross Margin of SYNH has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 6.33% | ||
| PM (TTM) | 1.31% | ||
| GM | 22.14% |
OM growth 3Y5.34%
OM growth 5Y13.1%
PM growth 3Y20.73%
PM growth 5YN/A
GM growth 3Y1.57%
GM growth 5Y0.02%
2. Health
2.1 Basic Checks
SYNH has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
The number of shares outstanding for SYNH has been reduced compared to 1 year ago.
Compared to 1 year ago, SYNH has an improved debt to assets ratio.
2.2 Solvency
Based on the Altman-Z score of 1.46, we must say that SYNH is in the distress zone and has some risk of bankruptcy.
The Altman-Z score of SYNH (1.46) is comparable to the rest of the industry.
SYNH has a debt to FCF ratio of 16.71. This is a negative value and a sign of low solvency as SYNH would need 16.71 years to pay back of all of its debts.
SYNH has a better Debt to FCF ratio (16.71) than 65.63% of its industry peers.
A Debt/Equity ratio of 0.77 indicates that SYNH is somewhat dependend on debt financing.
SYNH has a worse Debt to Equity ratio (0.77) than 79.69% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.77 | ||
| Debt/FCF | 16.71 | ||
| Altman-Z | 1.46 |
ROIC/WACC0.39
WACC10.92%
2.3 Liquidity
A Current Ratio of 1.20 indicates that SYNH should not have too much problems paying its short term obligations.
SYNH has a worse Current ratio (1.20) than 93.75% of its industry peers.
A Quick Ratio of 1.20 indicates that SYNH should not have too much problems paying its short term obligations.
The Quick ratio of SYNH (1.20) is worse than 82.81% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.2 | ||
| Quick Ratio | 1.2 |
3. Growth
3.1 Past
The earnings per share for SYNH have decreased strongly by -23.79% in the last year.
SYNH shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 13.74% yearly.
The Revenue has been growing slightly by 0.01% in the past year.
Measured over the past years, SYNH shows a quite strong growth in Revenue. The Revenue has been growing by 15.08% on average per year.
EPS 1Y (TTM)-23.79%
EPS 3Y13.48%
EPS 5Y13.74%
EPS Q2Q%-54.4%
Revenue 1Y (TTM)0.01%
Revenue growth 3Y4.87%
Revenue growth 5Y15.08%
Sales Q2Q%0.39%
3.2 Future
Based on estimates for the next years, SYNH will show a small growth in Earnings Per Share. The EPS will grow by 3.17% on average per year.
Based on estimates for the next years, SYNH will show a small growth in Revenue. The Revenue will grow by 1.71% on average per year.
EPS Next Y-25.43%
EPS Next 2Y-6.79%
EPS Next 3Y-1.2%
EPS Next 5Y3.17%
Revenue Next Year-2.82%
Revenue Next 2Y-0.54%
Revenue Next 3Y1.03%
Revenue Next 5Y1.71%
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 decreasing.
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
With a Price/Earnings ratio of 11.37, the valuation of SYNH can be described as very reasonable.
SYNH's Price/Earnings ratio is rather cheap when compared to the industry. SYNH is cheaper than 100.00% of the companies in the same industry.
Compared to an average S&P500 Price/Earnings ratio of 27.29, SYNH is valued rather cheaply.
SYNH is valuated reasonably with a Price/Forward Earnings ratio of 10.48.
SYNH's Price/Forward Earnings ratio is rather cheap when compared to the industry. SYNH is cheaper than 100.00% of the companies in the same industry.
SYNH's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 22.85.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.37 | ||
| Fwd PE | 10.48 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of SYNH indicates a rather cheap valuation: SYNH is cheaper than 95.31% of the companies listed in the same industry.
85.94% of the companies in the same industry are more expensive than SYNH, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 27.53 | ||
| EV/EBITDA | 12.05 |
4.3 Compensation for Growth
The decent profitability rating of SYNH may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)0.83
EPS Next 2Y-6.79%
EPS Next 3Y-1.2%
5. Dividend
5.1 Amount
No dividends for SYNH!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
42.98
+0.01 (+0.02%)
Chartmill FA Rating
GICS SectorHealth Care
GICS IndustryGroupPharmaceuticals, Biotechnology & Life Sciences
GICS IndustryLife Sciences Tools & Services
Earnings (Last)
Earnings (Next)
Inst Owners0%
Inst Owner Change0%
Ins Owners0.49%
Ins Owner Change0%
Market Cap4.46B
Analysts53.75
Price Target43.35 (0.86%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly Dividend0
Dividend Growth(5Y)N/A
DP0%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-9.02%
Min EPS beat(2)-29.57%
Max EPS beat(2)11.52%
EPS beat(4)2
Avg EPS beat(4)-6.43%
Min EPS beat(4)-29.57%
Max EPS beat(4)11.52%
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)2
Avg Revenue beat(2)4.57%
Min Revenue beat(2)3.81%
Max Revenue beat(2)5.33%
Revenue beat(4)3
Avg Revenue beat(4)1.96%
Min Revenue beat(4)-4.69%
Max Revenue beat(4)5.33%
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)0%
PT rev (3m)-0.13%
EPS NQ rev (1m)-1.52%
EPS NQ rev (3m)0.41%
EPS NY rev (1m)1.03%
EPS NY rev (3m)4.38%
Revenue NQ rev (1m)0.31%
Revenue NQ rev (3m)1.89%
Revenue NY rev (1m)0.55%
Revenue NY rev (3m)2.45%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.37 | ||
| Fwd PE | 10.48 | ||
| P/S | 0.82 | ||
| P/FCF | 27.53 | ||
| P/OCF | 17.62 | ||
| P/B | 1.28 | ||
| P/tB | N/A | ||
| EV/EBITDA | 12.05 |
EPS(TTM)3.78
EY8.79%
EPS(NY)4.1
Fwd EY9.54%
FCF(TTM)1.56
FCFY3.63%
OCF(TTM)2.44
OCFY5.67%
SpS52.25
BVpS33.68
TBVpS-19.54
PEG (NY)N/A
PEG (5Y)0.83
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.88% | ||
| ROE | 2.04% | ||
| ROCE | 5.32% | ||
| ROIC | 4.23% | ||
| ROICexc | 4.29% | ||
| ROICexgc | 32.26% | ||
| OM | 6.33% | ||
| PM (TTM) | 1.31% | ||
| GM | 22.14% | ||
| FCFM | 2.99% |
ROA(3y)2.83%
ROA(5y)2.12%
ROE(3y)6.82%
ROE(5y)5.13%
ROIC(3y)4.99%
ROIC(5y)4.67%
ROICexc(3y)5.11%
ROICexc(5y)4.79%
ROICexgc(3y)50.55%
ROICexgc(5y)76.43%
ROCE(3y)6.27%
ROCE(5y)5.87%
ROICexcg growth 3Y-8.19%
ROICexcg growth 5Y1.51%
ROICexc growth 3Y6.95%
ROICexc growth 5Y27.79%
OM growth 3Y5.34%
OM growth 5Y13.1%
PM growth 3Y20.73%
PM growth 5YN/A
GM growth 3Y1.57%
GM growth 5Y0.02%
F-Score6
Asset Turnover0.67
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.77 | ||
| Debt/FCF | 16.71 | ||
| Debt/EBITDA | 4.56 | ||
| Cap/Depr | 37.2% | ||
| Cap/Sales | 1.68% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 43.05% | ||
| Profit Quality | 227.34% | ||
| Current Ratio | 1.2 | ||
| Quick Ratio | 1.2 | ||
| Altman-Z | 1.46 |
F-Score6
WACC10.92%
ROIC/WACC0.39
Cap/Depr(3y)28.14%
Cap/Depr(5y)26.15%
Cap/Sales(3y)1.32%
Cap/Sales(5y)1.31%
Profit Quality(3y)162.48%
Profit Quality(5y)341.03%
High Growth Momentum
Growth
EPS 1Y (TTM)-23.79%
EPS 3Y13.48%
EPS 5Y13.74%
EPS Q2Q%-54.4%
EPS Next Y-25.43%
EPS Next 2Y-6.79%
EPS Next 3Y-1.2%
EPS Next 5Y3.17%
Revenue 1Y (TTM)0.01%
Revenue growth 3Y4.87%
Revenue growth 5Y15.08%
Sales Q2Q%0.39%
Revenue Next Year-2.82%
Revenue Next 2Y-0.54%
Revenue Next 3Y1.03%
Revenue Next 5Y1.71%
EBIT growth 1Y-27.25%
EBIT growth 3Y10.47%
EBIT growth 5Y30.16%
EBIT Next Year-2.87%
EBIT Next 3Y4.37%
EBIT Next 5Y3.5%
FCF growth 1Y-63.52%
FCF growth 3Y9.43%
FCF growth 5Y16.65%
OCF growth 1Y-47.97%
OCF growth 3Y10.26%
OCF growth 5Y16.58%