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Market Cap

US$13.3b

Last Updated

2021/05/13 03:38 UTC

Data Sources

Company Financials +

Executive Summary

Snap-on Incorporated manufactures and markets tools, equipment, diagnostics, and repair information and systems solutions for professional users worldwide. More Details


Snowflake Analysis

Excellent balance sheet with solid track record and pays a dividend.


Similar Companies

Share Price & News

How has Snap-on's share price performed over time and what events caused price changes?


Latest Share Price and Events

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

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


Market Performance


7 Day Return

-0.004%

SNA

-1.6%

US Machinery

-2.8%

US Market


1 Year Return

104.5%

SNA

96.2%

US Machinery

49.4%

US Market

Return vs Industry: SNA exceeded the US Machinery industry which returned 96.2% over the past year.

Return vs Market: SNA exceeded the US Market which returned 49.4% over the past year.


Shareholder returns

SNAIndustryMarket
7 Day-0.004%-1.6%-2.8%
30 Day3.9%0.3%-2.3%
90 Day29.3%9.8%-1.3%
1 Year110.5%104.5%100.7%96.2%51.8%49.4%
3 Year75.8%62.8%63.9%54.1%57.5%47.6%
5 Year67.5%50.3%162.9%136.4%121.7%97.1%

Long-Term Price Volatility Vs. Market

How volatile is Snap-on's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Snap-on undervalued compared to its fair value and its price relative to the market?

10.6%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: SNA ($245.48) is trading below our estimate of fair value ($274.45)

Significantly Below Fair Value: SNA is trading below fair value, but not by a significant amount.


Price To Earnings Ratio

PE vs Industry: SNA is good value based on its PE Ratio (19.5x) compared to the US Machinery industry average (33.7x).

PE vs Market: SNA's PE Ratio (19.5x) is in line with the US market.


Price to Earnings Growth Ratio

PEG Ratio: SNA is poor value based on its PEG Ratio (10.9x)


Price to Book Ratio

PB vs Industry: SNA is overvalued based on its PB Ratio (3.4x) compared to the US Machinery industry average (3.2x).


Future Growth

How is Snap-on forecast to perform in the next 1 to 3 years based on estimates from 9 analysts?

1.8%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: SNA's forecast earnings growth (1.8% per year) is below the savings rate (2%).

Earnings vs Market: SNA's earnings (1.8% per year) are forecast to grow slower than the US market (14.7% per year).

High Growth Earnings: SNA's earnings are forecast to grow, but not significantly.

Revenue vs Market: SNA's revenue (2% per year) is forecast to grow slower than the US market (9% per year).

High Growth Revenue: SNA's revenue (2% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: SNA's Return on Equity is forecast to be low in 3 years time (15.8%).


Past Performance

How has Snap-on performed over the past 5 years?

5.0%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: SNA has high quality earnings.

Growing Profit Margin: SNA's current net profit margins (16.6%) are higher than last year (16.3%).


Past Earnings Growth Analysis

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

Accelerating Growth: SNA's earnings growth over the past year (5.4%) exceeds its 5-year average (5% per year).

Earnings vs Industry: SNA earnings growth over the past year (5.4%) exceeded the Machinery industry -7.3%.


Return on Equity

High ROE: SNA's Return on Equity (18%) is considered low.


Financial Health

How is Snap-on's financial position?


Financial Position Analysis

Short Term Liabilities: SNA's short term assets ($3.1B) exceed its short term liabilities ($1.2B).

Long Term Liabilities: SNA's short term assets ($3.1B) exceed its long term liabilities ($1.5B).


Debt to Equity History and Analysis

Debt Level: SNA's debt to equity ratio (37.2%) is considered satisfactory.

Reducing Debt: SNA's debt to equity ratio has increased from 34.9% to 37.2% over the past 5 years.

Debt Coverage: SNA's debt is well covered by operating cash flow (76.8%).

Interest Coverage: SNA's interest payments on its debt are well covered by EBIT (17.8x coverage).


Balance Sheet


Dividend

What is Snap-on current dividend yield, its reliability and sustainability?

2.00%

Current Dividend Yield


Upcoming Dividend Payment

TodayMay 13 2021Ex Dividend DateMay 20 2021Dividend Pay DateJun 10 202121 days from Ex DividendBuy in the next 7 days to receive the upcoming dividend

Dividend Yield vs Market

Notable Dividend: SNA's dividend (2%) is higher than the bottom 25% of dividend payers in the US market (1.28%).

High Dividend: SNA's dividend (2%) is low compared to the top 25% of dividend payers in the US market (3.48%).


Stability and Growth of Payments

Stable Dividend: SNA's dividends per share have been stable in the past 10 years.

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


Current Payout to Shareholders

Dividend Coverage: With its reasonably low payout ratio (36.7%), SNA's dividend payments are well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: SNA's dividends in 3 years are forecast to be well covered by earnings (37.1% payout ratio).


Next Steps

Management

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

5.2yrs

Average management tenure


CEO

Nicholas Pinchuk (73 yo)

13.42yrs

Tenure

US$7,933,529

Compensation

Mr. Nicholas T. Pinchuk has been the Chief Executive Officer at Snap-on Inc. since December 2007 and its President since April 2007. Mr. Pinchuk served as the President of Worldwide Commercial and Industri...


CEO Compensation Analysis

Compensation vs Market: Nicholas's total compensation ($USD7.93M) is about average for companies of similar size in the US market ($USD11.15M).

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


Leadership Team

Experienced Management: SNA's management team is seasoned and experienced (5.2 years average tenure).


Board Members

Experienced Board: SNA's board of directors are seasoned and experienced ( 11.3 years average tenure).


Ownership

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


Insider Trading Volume

Insider Buying: SNA 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

Snap-on Incorporated's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Snap-on Incorporated
  • Ticker: SNA
  • Exchange: NYSE
  • Founded: 1920
  • Industry: Industrial Machinery
  • Sector: Capital Goods
  • Market Cap: US$13.276b
  • Shares outstanding: 54.08m
  • Website: https://www.snapon.com

Number of Employees


Location

  • Snap-on Incorporated
  • 2801 80th Street
  • Kenosha
  • Wisconsin
  • 53143
  • United States

Listings


Biography

Snap-on Incorporated manufactures and markets tools, equipment, diagnostics, and repair information and systems solutions for professional users worldwide. It operates through Commercial & Industrial Group...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/05/13 03:38
End of Day Share Price2021/05/12 00:00
Earnings2021/04/03
Annual Earnings2021/01/02


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.