NYSE:SMP

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Standard Motor Products

Market Cap

US$994.4m

Last Updated

2021/06/19 03:37 UTC

Data Sources

Company Financials +

Executive Summary

Standard Motor Products, Inc. manufactures and distributes replacement parts for motor vehicles in the automotive aftermarket industry. More Details


Snowflake Analysis

Flawless balance sheet and undervalued.


Similar Companies

Share Price & News

How has Standard Motor Products's share price performed over time and what events caused price changes?


Latest Share Price and Events

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

Volatility Over Time: SMP's weekly volatility (3%) has been stable over the past year.


Market Performance


7 Day Return

-4.6%

SMP

-3.9%

US Auto Components

-0.2%

US Market


1 Year Return

12.3%

SMP

74.6%

US Auto Components

39.4%

US Market

Return vs Industry: SMP underperformed the US Auto Components industry which returned 74.6% over the past year.

Return vs Market: SMP underperformed the US Market which returned 39.4% over the past year.


Shareholder returns

SMPIndustryMarket
7 Day-4.6%-3.9%-0.2%
30 Day-1.2%-0.1%3.1%
90 Day2.0%-10.0%5.6%
1 Year14.2%12.3%75.6%74.6%41.7%39.4%
3 Year-7.1%-11.5%21.2%13.2%59.7%49.9%
5 Year28.3%18.3%82.5%56.9%122.6%97.6%

Long-Term Price Volatility Vs. Market

How volatile is Standard Motor Products's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Standard Motor Products undervalued compared to its fair value and its price relative to the market?

27.7%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: SMP ($44.82) is trading below our estimate of fair value ($61.95)

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


Price To Earnings Ratio

PE vs Industry: SMP is good value based on its PE Ratio (10.8x) compared to the US Auto Components industry average (32.2x).

PE vs Market: SMP is good value based on its PE Ratio (10.8x) compared to the US market (19.4x).


Price to Earnings Growth Ratio

PEG Ratio: SMP's earnings are forecast to decline next year, so we can't calculate its PEG ratio.


Price to Book Ratio

PB vs Industry: SMP is good value based on its PB Ratio (1.8x) compared to the US Auto Components industry average (2.4x).


Future Growth

How is Standard Motor Products forecast to perform in the next 1 to 3 years based on estimates from 3 analysts?

-8.1%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: SMP's earnings are forecast to decline over the next 3 years (-8.1% per year).

Earnings vs Market: SMP's earnings are forecast to decline over the next 3 years (-8.1% per year).

High Growth Earnings: SMP's earnings are forecast to decline over the next 3 years.

Revenue vs Market: SMP's revenue is expected to decline over the next 3 years (-0.9% per year).

High Growth Revenue: SMP's revenue is forecast to decline over the next 3 years (-0.9% per year).


Earnings per Share Growth Forecasts


Future Return on Equity

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


Past Performance

How has Standard Motor Products performed over the past 5 years?

7.5%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: SMP has high quality earnings.

Growing Profit Margin: SMP's current net profit margins (8.1%) are higher than last year (5.9%).


Past Earnings Growth Analysis

Earnings Trend: SMP's earnings have grown by 7.5% per year over the past 5 years.

Accelerating Growth: SMP's earnings growth over the past year (41.8%) exceeds its 5-year average (7.5% per year).

Earnings vs Industry: SMP earnings growth over the past year (41.8%) exceeded the Auto Components industry 39.8%.


Return on Equity

High ROE: SMP's Return on Equity (16.7%) is considered low.


Financial Health

How is Standard Motor Products's financial position?


Financial Position Analysis

Short Term Liabilities: SMP's short term assets ($617.0M) exceed its short term liabilities ($313.4M).

Long Term Liabilities: SMP's short term assets ($617.0M) exceed its long term liabilities ($106.1M).


Debt to Equity History and Analysis

Debt Level: SMP's debt to equity ratio (7.6%) is considered satisfactory.

Reducing Debt: SMP's debt to equity ratio has reduced from 12.4% to 7.6% over the past 5 years.

Debt Coverage: SMP's debt is well covered by operating cash flow (280.2%).

Interest Coverage: SMP's interest payments on its debt are well covered by EBIT (81.5x coverage).


Balance Sheet


Dividend

What is Standard Motor Products's current dividend yield, its reliability and sustainability?

2.23%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: SMP's dividend (2.23%) is higher than the bottom 25% of dividend payers in the US market (1.29%).

High Dividend: SMP's dividend (2.23%) is low compared to the top 25% of dividend payers in the US market (3.43%).


Stability and Growth of Payments

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

Growing Dividend: SMP's dividend payments have increased over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: With its low payout ratio (18%), SMP's dividend payments are well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: Insufficient data to determine if a dividend will be paid in 3 years and that it will be covered by earnings.


Next Steps

Management

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

5.4yrs

Average management tenure


CEO

Eric Sills (51 yo)

5.25yrs

Tenure

US$1,638,568

Compensation

Mr. Eric Philip Sills has been the President and Chief Executive Officer of Standard Motor Products, Inc. since February 2, 2015 and March 31, 2016 respectively. Mr. Sills served as a Vice President of Glo...


CEO Compensation Analysis

Compensation vs Market: Eric's total compensation ($USD1.64M) is below average for companies of similar size in the US market ($USD2.38M).

Compensation vs Earnings: Eric's compensation has increased by more than 20% in the past year.


Leadership Team

Experienced Management: SMP's management team is seasoned and experienced (5.4 years average tenure).


Board Members

Experienced Board: SMP's board of directors are considered experienced (8.7 years average tenure).


Ownership

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


Insider Trading Volume

Insider Buying: SMP insiders have only sold shares 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

Standard Motor Products, Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Standard Motor Products, Inc.
  • Ticker: SMP
  • Exchange: NYSE
  • Founded: 1919
  • Industry: Auto Parts and Equipment
  • Sector: Automobiles
  • Market Cap: US$994.407m
  • Shares outstanding: 22.19m
  • Website: https://www.smpcorp.com

Number of Employees


Location

  • Standard Motor Products, Inc.
  • 37-18 Northern Boulevard
  • Long Island City
  • New York
  • 11101
  • United States

Listings


Biography

Standard Motor Products, Inc. manufactures and distributes replacement parts for motor vehicles in the automotive aftermarket industry. The Engine Management segment offers components for the ignition, ele...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/06/19 03:37
End of Day Share Price2021/06/18 00:00
Earnings2021/03/31
Annual Earnings2020/12/31


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.