Simpson Manufacturing Co IncFind Ratings Reports
SIMPSON MANUFACTURING INC's gross profit margin for the second quarter of its fiscal year 2016 has increased when compared to the same period a year ago. The company has grown sales and net income during the past quarter when compared with the same quarter a year ago, however, it was unable to keep up with the growth of the average competitor within its industry. SIMPSON MANUFACTURING INC is extremely liquid. Currently, the Quick Ratio is 3.48 which clearly shows the ability to cover any short-term cash needs. The company's liquidity has decreased from the same period last year, indicating deteriorating cash flow.
At the same time, stockholders' equity ("net worth") has remained virtually unchanged only increasing by 1.25% from the same quarter last year. Overall, the key liquidity measurements indicate that the company is very unlikely to face financial difficulties in the near future.
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|Income Statement||Q2 FY16||Q2 FY15|
|Net Sales ($mil)||229.97||216.67|
|Net Income ($mil)||26.2||21.51|
|Balance Sheet||Q2 FY16||Q2 FY15|
|Cash & Equiv. ($mil)||246.34||248.61|
|Total Assets ($mil)||999.54||995.86|
|Total Debt ($mil)||0.0||0.0|
|Profitability||Q2 FY16||Q2 FY15|
|Gross Profit Margin||51.71||48.75|
|Return on Assets||7.89||6.28|
|Return on Equity||8.93||7.17|
|Debt||Q2 FY16||Q2 FY15|
|Share Data||Q2 FY16||Q2 FY15|
|Shares outstanding (mil)||48.39||49.12|
|Div / share||0.16||0.16|
|Book value / share||18.23||17.74|
|Institutional Own %||n/a||n/a|
|Avg Daily Volume||147604.0||158988.0|
BUY. The current P/E ratio indicates a discount compared to an average of 31.13 for the Building Products industry and a premium compared to the S&P 500 average of 25.19. To use another comparison, its price-to-book ratio of 2.48 indicates a discount versus the S&P 500 average of 2.82 and a significant discount versus the industry average of 31.78. The price-to-sales ratio is well above both the S&P 500 average and the industry average, indicating a premium. Upon assessment of these and other key valuation criteria, SIMPSON MANUFACTURING INC proves to trade at a discount to investment alternatives within the industry.
|SSD 27.94||Peers 31.13||SSD 20.27||Peers 15.60|
Discount. A lower P/E ratio than its peers can signify a less expensive stock or lower growth expectations.
SSD is trading at a discount to its peers.
Premium. The P/CF ratio, a stock’s price divided by the company's cash flow from operations, is useful for comparing companies with different capital requirements or financing structures.
SSD is trading at a significant premium to its peers.
|SSD 23.83||Peers 21.15||SSD 1.04||Peers 0.77|
Premium. A higher price-to-projected earnings ratio than its peers can signify a more expensive stock or higher future growth expectations.
SSD is trading at a premium to its peers.
Premium. The PEG ratio is the stock’s P/E divided by the consensus estimate of long-term earnings growth. Faster growth can justify higher price multiples.
SSD trades at a significant premium to its peers.
|SSD 2.48||Peers 31.78||SSD 28.57||Peers 177.32|
Discount. A lower price-to-book ratio makes a stock more attractive to investors seeking stocks with lower market values per dollar of equity on the balance sheet.
SSD is trading at a significant discount to its peers.
Lower. Elevated earnings growth rates can lead to capital appreciation and justify higher price-to-earnings ratios.
However, SSD is expected to significantly trail its peers on the basis of its earnings growth rate.
|SSD 2.64||Peers 1.84||SSD 7.96||Peers 12.37|
Premium. In the absence of P/E and P/B multiples, the price-to-sales ratio can display the value investors are placing on each dollar of sales.
SSD is trading at a significant premium to its industry.
Lower. A sales growth rate that trails the industry implies that a company is losing market share.
SSD significantly trails its peers on the basis of sales growth