DB:SPD

Stock Analysis Report

Superior Industries International

Executive Summary

Superior Industries International, Inc. designs, manufactures, and sells aluminum wheels to the original equipment manufacturers in North America and Europe.

Rewards

Trading at 26.5% below its fair value

Risk Analysis

Interest payments are not well covered by earnings

Highly volatile share price over past 3 months

Does not have a meaningful market cap (€77M)



Snowflake Analysis

Fair value with imperfect balance sheet.


Similar Companies

Share Price & News

How has Superior Industries International's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: SPD's share price has been volatile over the past 3 months.


Market Performance


7 Day Return

-2.8%

SPD

3.7%

DE Auto Components

1.7%

DE Market


1 Year Return

-37.3%

SPD

-11.5%

DE Auto Components

15.0%

DE Market

Return vs Industry: SPD underperformed the German Auto Components industry which returned -11.5% over the past year.

Return vs Market: SPD underperformed the German Market which returned 15% over the past year.


Shareholder returns

SPDIndustryMarket
7 Day-2.8%3.7%1.7%
30 Day-12.7%-3.0%0.8%
90 Day7.0%-8.2%3.7%
1 Year-34.5%-37.3%-7.9%-11.5%18.5%15.0%
3 Year-85.7%-87.1%-31.5%-37.3%17.1%6.9%
5 Yearn/a-38.4%-45.0%24.3%7.3%

Price Volatility Vs. Market

How volatile is Superior Industries International's share price compared to the market and industry in the last 5 years?


Simply Wall St News

No news available

Valuation

Is Superior Industries International undervalued compared to its fair value and its price relative to the market?

26.5%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: SPD (€2.76) is trading below our estimate of fair value (€3.76)

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


Price To Earnings Ratio

PE vs Industry: SPD is unprofitable, so we can't compare its PE Ratio to the Auto Components industry average.

PE vs Market: SPD is unprofitable, so we can't compare its PE Ratio to the German market.


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate SPD's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: SPD is good value based on its PB Ratio (0.2x) compared to the DE Auto Components industry average (1.1x).


Next Steps

Future Growth

How is Superior Industries International forecast to perform in the next 1 to 3 years based on estimates from 3 analysts?

104.7%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: SPD is forecast to remain unprofitable over the next 3 years.

Earnings vs Market: SPD is forecast to remain unprofitable over the next 3 years.

High Growth Earnings: SPD is forecast to remain unprofitable over the next 3 years.

Revenue vs Market: SPD's revenue (1.8% per year) is forecast to grow slower than the German market (5% per year).

High Growth Revenue: SPD's revenue (1.8% 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 SPD's Return on Equity is forecast to be high in 3 years time


Next Steps

Past Performance

How has Superior Industries International performed over the past 5 years?

-38.9%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: SPD is currently unprofitable.

Growing Profit Margin: SPD is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: SPD is unprofitable, and losses have increased over the past 5 years at a rate of -38.9% per year.

Accelerating Growth: Unable to compare SPD's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: SPD is unprofitable, making it difficult to compare its past year earnings growth to the Auto Components industry (-29.1%).


Return on Equity

High ROE: SPD has a negative Return on Equity (2.18%), as it is currently unprofitable.


Return on Assets


Return on Capital Employed


Next Steps

Financial Health

How is Superior Industries International's financial position?


Financial Position Analysis

Short Term Liabilities: SPD's short term assets ($366.2M) exceed its short term liabilities ($200.4M).

Long Term Liabilities: SPD's short term assets ($366.2M) do not cover its long term liabilities ($709.0M).


Debt to Equity History and Analysis

Debt Level: SPD's debt to equity ratio (126.2%) is considered high.

Reducing Debt: Insufficient data to determine if SPD's debt to equity ratio has reduced over the past 5 years.


Balance Sheet

Inventory Level: SPD has a high level of physical assets or inventory.

Debt Coverage by Assets: SPD's debt is not covered by short term assets (assets are 0.6x debt).


Cash Runway Analysis

For companies that have on average been loss making in the past we assess whether they have at least 1 year of cash runway.

Stable Cash Runway: SPD has been profitable on average in the past, therefore cash runway is not a concern.

Forecast Cash Runway: SPD has been profitable on average in the past, therefore cash runway is not a concern.


Next Steps

Dividend

What is Superior Industries International's current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

company0%marketbottom25%1.3%markettop25%3.6%industryaverage4.2%forecastin3Years0%

Current dividend yield vs market & industry

Notable Dividend: Unable to evaluate SPD's dividend yield against the bottom 25% of dividend payers, as the company has not reported any payouts.

High Dividend: Unable to evaluate SPD's dividend yield against the top 25% of dividend payers, as the company has not reported any payouts.


Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if SPD's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if SPD's dividend payments have been increasing.


Current Payout to Shareholders

Dividend Coverage: SPD is not paying a notable dividend for the German market.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of SPD's dividend in 3 years as they are not forecast to pay a notable one for the German market.


Next Steps

Management

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

1.3yrs

Average management tenure


CEO

Majdi Abulaban (56yo)

0.8yrs

Tenure

0

Mr. Majdi B. Abulaban has been President and Chief Executive Officer of Superior Industries International, Inc. since May 15, 2019. Mr. Abulaban served as Senior Vice President of Aptiv Plc (Formerly, Delp ...


Leadership Team

NamePositionTenureCompensationOwnership
Matti Masanovich
CFO & Executive VP1.4yrsUS$1.49m0.21% $151.2k
Parveen Kakar
Senior VP of Sales6.1yrsUS$1.11m0.12% $87.1k
Majdi Abulaban
CEO & President0.8yrsno datano data
Joanne Finnorn
Senior VP2.3yrsno data0.051% $36.2k
Troy Ford
Vice President of Treasury & Corporate Development0yrsno datano data
Kevin Burke
Senior VP & Chief of Human Resources0.3yrsno datano data
Karsten Obenaus
Senior VP and CFO of Europe2.6yrsno data0.0050% $3.5k
Andreas Meyer
Senior VP & President of Europe0.3yrsno data0.080% $56.3k
Michael Hatzfeld
Vice President of Finance & Corporate Controller1.3yrsno datano data

1.3yrs

Average Tenure

53yo

Average Age

Experienced Management: SPD's management team is not considered experienced ( 1.3 years average tenure), which suggests a new team.


Board Members

NamePositionTenureCompensationOwnership
James McElya
Independent Director6.2yrsUS$176.00k0.30% $215.6k
Ellen Richstone
Independent Director3.3yrsUS$181.00k0.16% $110.1k
Timothy McQuay
Chairman of the Board2.8yrsUS$282.50k0.14% $98.6k
Ransom Langford
Independent Director2.8yrsno datano data
Richard Giromini
Independent Director1.5yrsUS$22.81k0.17% $119.6k
Francisco S. Uranga Thomas
Independent Director13.1yrsUS$174.00k0.11% $78.9k
Paul Humphries
Independent Director5.5yrsUS$180.00k0.072% $50.8k
Michael Bruynesteyn
Independent Director4.3yrsUS$178.00k0.076% $53.7k

3.8yrs

Average Tenure

66yo

Average Age

Experienced Board: SPD's board of directors are considered experienced (3.8 years average tenure).


Ownership

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


Insider Trading Volume

Insider Buying: Insufficient data to determine if 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

Superior Industries International, Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Superior Industries International, Inc.
  • Ticker: SPD
  • Exchange: DB
  • Founded: 1957
  • Industry: Auto Parts and Equipment
  • Sector: Automobiles
  • Market Cap: US$76.641m
  • Listing Market Cap: US$70.686m
  • Shares outstanding: 25.13m
  • Website: https://www.supind.com

Number of Employees


Location

  • Superior Industries International, Inc.
  • 26600 Telegraph Road
  • Suite 400
  • Southfield
  • Michigan
  • 48033
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
SUPNYSE (New York Stock Exchange)YesCommon StockUSUSDMay 1971
SPDDB (Deutsche Boerse AG)YesCommon StockDEEURMay 1971

Biography

Superior Industries International, Inc. designs, manufactures, and sells aluminum wheels to the original equipment manufacturers in North America and Europe. It supplies cast aluminum wheels to the automobile and light truck manufacturers. The company offers its products under the ATS, RIAL, ALUTEC, and ANZIO brand names. Superior Industries International, Inc. was founded in 1957 and is headquartered in Southfield, Michigan. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/02/16 22:46
End of Day Share Price2020/02/14 00:00
Earnings2019/09/30
Annual Earnings2018/12/31


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.