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SXP

Supremex TSX:SXP Stock Report

Last Price

CA$4.49

Market Cap

CA$117.2m

7D

6.4%

1Y

87.1%

Updated

18 Aug, 2022

Data

Company Financials +
SXP fundamental analysis
Snowflake Score
Valuation3/6
Future Growth1/6
Past Performance5/6
Financial Health5/6
Dividends3/6

SXP Stock Overview

Supremex Inc. manufactures and markets envelopes, and paper packaging solutions and specialty products to corporations, resellers, government entities, SMEs, and solutions providers in Canada, and the Northeastern and Midwestern United States.

Supremex Competitors

Price History & Performance

Summary of all time highs, changes and price drops for Supremex
Historical stock prices
Current Share PriceCA$4.49
52 Week HighCA$4.67
52 Week LowCA$2.21
Beta1.22
1 Month Change33.23%
3 Month Change25.77%
1 Year Change87.08%
3 Year Change70.08%
5 Year Change6.40%
Change since IPO-55.10%

Recent News & Updates

Shareholder Returns

SXPCA ForestryCA Market
7D6.4%0.7%1.3%
1Y87.1%20.8%3.3%

Return vs Industry: SXP exceeded the Canadian Forestry industry which returned 17.2% over the past year.

Return vs Market: SXP exceeded the Canadian Market which returned 2.1% over the past year.

Price Volatility

Is SXP's price volatile compared to industry and market?
SXP volatility
SXP Average Weekly Movement6.3%
Forestry Industry Average Movement6.5%
Market Average Movement10.5%
10% most volatile stocks in CA Market18.9%
10% least volatile stocks in CA Market4.2%

Stable Share Price: SXP is less volatile than 75% of Canadian stocks over the past 3 months, typically moving +/- 6% a week.

Volatility Over Time: SXP's weekly volatility (6%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
1977800Stewart Emersonhttps://www.supremex.com

Supremex Inc. manufactures and markets envelopes, and paper packaging solutions and specialty products to corporations, resellers, government entities, SMEs, and solutions providers in Canada, and the Northeastern and Midwestern United States. The company offers a range of stock and custom envelopes in various styles, shapes, and colors; corrugated boxes, and folding carton and e-Commerce fulfillment packaging solutions; polyethylene bags for courier applications and bubble mailers. It serves various industries, including food, pharmaceuticals, cosmetics, and personal care products.

Supremex Fundamentals Summary

How do Supremex's earnings and revenue compare to its market cap?
SXP fundamental statistics
Market CapCA$117.16m
Earnings (TTM)CA$21.93m
Revenue (TTM)CA$246.81m

5.3x

P/E Ratio

0.5x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
SXP income statement (TTM)
RevenueCA$246.81m
Cost of RevenueCA$169.21m
Gross ProfitCA$77.60m
Other ExpensesCA$55.67m
EarningsCA$21.93m

Last Reported Earnings

Jun 30, 2022

Next Earnings Date

n/a

Earnings per share (EPS)0.84
Gross Margin31.44%
Net Profit Margin8.88%
Debt/Equity Ratio32.8%

How did SXP perform over the long term?

See historical performance and comparison

Dividends

2.2%

Current Dividend Yield

6%

Payout Ratio

Does SXP pay a reliable dividends?

See SXP dividend history and benchmarks
When do you need to buy SXP by to receive an upcoming dividend?
Supremex dividend dates
Ex Dividend DateSep 07 2022
Dividend Pay DateSep 23 2022
Days until Ex dividend18 days
Days until Dividend pay date34 days

Does SXP pay a reliable dividends?

See SXP dividend history and benchmarks
We’ve recently updated our valuation analysis.

Valuation

Is SXP undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

3/6

Valuation Score 3/6

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Below Fair Value

  • Significantly Below Fair Value

  • Analyst Forecast

Key Valuation Metric

Which metric is best to use when looking at relative valuation for SXP?

Other financial metrics that can be useful for relative valuation.

SXP key valuation metrics and ratios. From Price to Earnings, Price to Sales and Price to Book to Price to Earnings Growth Ratio, Enterprise Value and EBITDA.
Key Statistics
Enterprise Value/Revenue0.7x
Enterprise Value/EBITDA4.2x
PEG Ration/a

Price to Earnings Ratio vs Peers

How does SXP's PE Ratio compare to its peers?

SXP PE Ratio vs Peers
The above table shows the PE ratio for SXP vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyPEEstimated GrowthMarket Cap
Peer Average6.3x
WBE WestBond Enterprises
15.4xn/aCA$10.7m
CFF Conifex Timber
3.9xn/aCA$80.0m
MPVD Mountain Province Diamonds
0.4xn/aCA$118.1m
GEO Geodrill
5.6xn/aCA$117.6m
SXP Supremex
5.3xn/aCA$117.2m

Price-To-Earnings vs Peers: SXP is good value based on its Price-To-Earnings Ratio (5.3x) compared to the peer average (6.3x).


Price to Earnings Ratio vs Industry

How does SXP's PE Ratio compare vs other companies in the Global Forestry Industry?

Price-To-Earnings vs Industry: SXP is expensive based on its Price-To-Earnings Ratio (5.3x) compared to the Canadian Forestry industry average (3.9x)


Price to Earnings Ratio vs Fair Ratio

What is SXP's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

SXP PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio5.3x
Fair PE Ration/a

Price-To-Earnings vs Fair Ratio: Insufficient data to calculate SXP's Price-To-Earnings Fair Ratio for valuation analysis.


Share Price vs Fair Value

What is the Fair Price of SXP when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: SXP (CA$4.49) is trading below our estimate of fair value (CA$17.51)

Significantly Below Fair Value: SXP is trading below fair value by more than 20%.


Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

Analyst Forecast: Insufficient data to show price forecast.


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Future Growth

How is Supremex forecast to perform in the next 1 to 3 years based on estimates from 1 analyst?

Future Growth Score

1/6

Future Growth Score 1/6

  • Earnings vs Savings Rate

  • Earnings vs Market

  • High Growth Earnings

  • Revenue vs Market

  • High Growth Revenue

  • Future ROE


8.3%

Forecasted annual revenue growth

Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: Insufficient data to determine if SXP's forecast earnings growth is above the savings rate (1.6%).

Earnings vs Market: Insufficient data to determine if SXP's earnings are forecast to grow faster than the Canadian market

High Growth Earnings: Insufficient data to determine if SXP's earnings are expected to grow significantly over the next 3 years.

Revenue vs Market: SXP's revenue (8.3% per year) is forecast to grow faster than the Canadian market (6.6% per year).

High Growth Revenue: SXP's revenue (8.3% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: Insufficient data to determine if SXP's Return on Equity is forecast to be high in 3 years time


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Past Performance

How has Supremex performed over the past 5 years?

Past Performance Score

5/6

Past Performance Score 5/6

  • Quality Earnings

  • Growing Profit Margin

  • Earnings Trend

  • Accelerating Growth

  • Earnings vs Industry

  • High ROE


12.4%

Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: SXP has high quality earnings.

Growing Profit Margin: SXP's current net profit margins (8.9%) are higher than last year (5%).


Past Earnings Growth Analysis

Earnings Trend: SXP's earnings have grown by 12.4% per year over the past 5 years.

Accelerating Growth: SXP's earnings growth over the past year (108.2%) exceeds its 5-year average (12.4% per year).

Earnings vs Industry: SXP earnings growth over the past year (108.2%) exceeded the Forestry industry -24.4%.


Return on Equity

High ROE: SXP's Return on Equity (19.8%) is considered low.


Discover strong past performing companies

Financial Health

How is Supremex's financial position?

Financial Health Score

5/6

Financial Health Score 5/6

  • Short Term Liabilities

  • Long Term Liabilities

  • Debt Level

  • Reducing Debt

  • Debt Coverage

  • Interest Coverage

Financial Position Analysis

Short Term Liabilities: SXP's short term assets (CA$63.0M) exceed its short term liabilities (CA$28.4M).

Long Term Liabilities: SXP's short term assets (CA$63.0M) do not cover its long term liabilities (CA$63.0M).


Debt to Equity History and Analysis

Debt Level: SXP's net debt to equity ratio (31.3%) is considered satisfactory.

Reducing Debt: SXP's debt to equity ratio has reduced from 34.7% to 32.8% over the past 5 years.

Debt Coverage: SXP's debt is well covered by operating cash flow (86%).

Interest Coverage: SXP's interest payments on its debt are well covered by EBIT (14.6x coverage).


Balance Sheet


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Dividend

What is Supremex current dividend yield, its reliability and sustainability?

Dividend Score

3/6

Dividend Score 3/6

  • Notable Dividend

  • High Dividend

  • Stable Dividend

  • Growing Dividend

  • Earnings Coverage

  • Cash Flow Coverage


2.23%

Current Dividend Yield

Upcoming Dividend Payment

TodayAug 19 2022Ex Dividend DateSep 07 2022Dividend Pay DateSep 23 202216 days from Ex DividendBuy in the next 18 days to receive the upcoming dividend

Dividend Yield vs Market

Notable Dividend: SXP's dividend (2.23%) is higher than the bottom 25% of dividend payers in the Canadian market (1.86%).

High Dividend: SXP's dividend (2.23%) is low compared to the top 25% of dividend payers in the Canadian market (5.31%).


Stability and Growth of Payments

Stable Dividend: SXP's dividend payments have been volatile in the past 10 years.

Growing Dividend: SXP's dividend payments have fallen over the past 10 years.


Earnings Payout to Shareholders

Earnings Coverage: With its low payout ratio (6.1%), SXP's dividend payments are thoroughly covered by earnings.


Cash Payout to Shareholders

Cash Flow Coverage: With its low cash payout ratio (9.5%), SXP's dividend payments are thoroughly covered by cash flows.


Discover strong dividend paying companies

Management

How experienced are the management team and are they aligned to shareholders interests?

2.4yrs

Average management tenure


CEO

Stewart Emerson

8.25yrs

Tenure

CA$1,200,878

Compensation

Mr. Stewart Emerson has been the President of Supremex Inc. since May 22, 2014 and its Chief Executive Officer since September 2, 2014. He is responsible for defining the Supremex’s strategic direction, gr...


CEO Compensation Analysis

Compensation vs Market: Stewart's total compensation ($USD929.52K) is above average for companies of similar size in the Canadian market ($USD185.51K).

Compensation vs Earnings: Stewart's compensation has been consistent with company performance over the past year.


Leadership Team

Experienced Management: SXP's management team is considered experienced (2.4 years average tenure).


Board Members

Experienced Board: SXP's board of directors are considered experienced (7.7 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: SXP insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

Supremex Inc.'s employee growth, exchange listings and data sources


Key Information

  • Name: Supremex Inc.
  • Ticker: SXP
  • Exchange: TSX
  • Founded: 1977
  • Industry: Paper Products
  • Sector: Materials
  • Implied Market Cap: CA$117.161m
  • Shares outstanding: 26.09m
  • Website: https://www.supremex.com

Number of Employees


Location

  • Supremex Inc.
  • 7213 Cordner
  • Lasalle
  • Quebec
  • H8N 2J7
  • Canada

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2022/08/18 00:00
End of Day Share Price2022/08/18 00:00
Earnings2022/06/30
Annual Earnings2021/12/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.