Snap-on
Market Cap
US$8.5b
Last Updated
2020/02/17 23:47 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.
Rewards
Risk Analysis
No risks detected for SNA from our risk checks.
Snowflake Analysis
Flawless 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 has not had significant price volatility in the past 3 months.
Market Performance
7 Day Return
0.4%
SNA
1.0%
US Machinery
0.9%
US Market
1 Year Return
-1.0%
SNA
11.5%
US Machinery
20.0%
US Market
Return vs Industry: SNA underperformed the US Machinery industry which returned 11.4% over the past year.
Return vs Market: SNA underperformed the US Market which returned 20.1% over the past year.
Shareholder returns
| SNA | Industry | Market | |
|---|---|---|---|
| 7 Day | 0.4% | 1.0% | 0.9% |
| 30 Day | -8.1% | -2.1% | 1.4% |
| 90 Day | -3.2% | 2.4% | 8.8% |
| 1 Year | 1.5%-1.0% | 13.6%11.5% | 22.5%20.0% |
| 3 Year | -3.4%-9.5% | 37.0%28.3% | 49.9%40.3% |
| 5 Year | 17.3%7.2% | 63.5%44.3% | 73.2%54.1% |
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
23 hours ago | Simply Wall St
This Insider Has Just Sold Shares In Snap-on Incorporated (NYSE:SNA)1 week ago | Simply Wall St
Did You Miss Snap-on's (NYSE:SNA) 14% Share Price Gain?3 weeks ago | Simply Wall St
Here's How P/E Ratios Can Help Us Understand Snap-on Incorporated (NYSE:SNA)Valuation
Is Snap-on undervalued compared to its fair value and its price relative to the market?
17.4%
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: SNA ($156.26) is trading below our estimate of fair value ($189.19)
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 (12.4x) compared to the Machinery industry average (21.4x).
PE vs Market: SNA is good value based on its PE Ratio (12.4x) compared to the US market (18.4x).
Price to Earnings Growth Ratio
PEG Ratio: SNA is poor value based on its PEG Ratio (10.6x)
Price to Book Ratio
PB vs Industry: SNA is overvalued based on its PB Ratio (2.5x) compared to the US Machinery industry average (2.2x).
Next Steps
Future Growth
How is Snap-on forecast to perform in the next 1 to 3 years based on estimates from 9 analysts?
1.2%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: SNA's forecast earnings growth (1.2% per year) is below the savings rate (1.7%).
Earnings vs Market: SNA's earnings (1.2% per year) are forecast to grow slower than the US market (14.6% per year).
High Growth Earnings: SNA's earnings are forecast to grow, but not significantly.
Revenue vs Market: SNA's revenue is expected to decline over the next 3 years (-1% per year).
High Growth Revenue: SNA's revenue is forecast to decline over the next 3 years (-1% 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 (18.6%).
Next Steps
Past Performance
How has Snap-on performed over the past 5 years?
10.2%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: SNA has high quality earnings.
Growing Profit Margin: SNA's current net profit margins (17%) are higher than last year (16.7%).
Past Earnings Growth Analysis
Earnings Trend: SNA's earnings have grown by 10.2% per year over the past 5 years.
Accelerating Growth: SNA's earnings growth over the past year (2.1%) is below its 5-year average (10.2% per year).
Earnings vs Industry: SNA earnings growth over the past year (2.1%) exceeded the Machinery industry 0.9%.
Return on Equity
High ROE: SNA's Return on Equity (20.7%) is considered high.
Return on Assets
Return on Capital Employed
Next Steps
Financial Health
How is Snap-on's financial position?
Financial Position Analysis
Short Term Liabilities: SNA's short term assets ($2.4B) exceed its short term liabilities ($947.6M).
Long Term Liabilities: SNA's short term assets ($2.4B) exceed its long term liabilities ($1.3B).
Debt to Equity History and Analysis
Debt Level: SNA's debt to equity ratio (33.5%) is considered satisfactory.
Reducing Debt: SNA's debt to equity ratio has reduced from 41.2% to 33.5% over the past 5 years.
Debt Coverage: SNA's debt is well covered by operating cash flow (58.7%).
Interest Coverage: SNA's interest payments on its debt are well covered by EBIT (20.3x coverage).
Balance Sheet
Inventory Level: SNA has a high level of physical assets or inventory.
Debt Coverage by Assets: SNA's debt is covered by short term assets (assets are 2.1x debt).
Next Steps
Dividend
What is Snap-on's current dividend yield, its reliability and sustainability?
2.76%
Current Dividend Yield
Upcoming Dividend Payment
Purchase Snap-on before the 'Buy Limit' to receive their next dividend payment.
Dividend Yield vs Market
Current dividend yield vs market & industry
Notable Dividend: SNA's dividend (2.76%) is higher than the bottom 25% of dividend payers in the US market (1.44%).
High Dividend: SNA's dividend (2.76%) is low compared to the top 25% of dividend payers in the US market (3.69%).
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 (31.2%), 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 (36.2% payout ratio).
Next Steps
Management
How experienced are the management team and are they aligned to shareholders interests?
4.2yrs
Average management tenure
CEO
Nicholas Pinchuk (72yo)
12.2yrs
Tenure
US$8,896,358
Compensation
Mr. Nicholas T. Pinchuk has been the Chief Executive Officer at Snap-on Inc. since December 2007 and its President since April 2007. Mr. Pinchuk served as the President of Worldwide Commercial and Industri ...
CEO Compensation Analysis
Compensation vs Market: Nicholas's total compensation ($USD8.90M) is above average for companies of similar size in the US market ($USD6.26M).
Compensation vs Earnings: Nicholas's compensation has been consistent with company performance over the past year.
Leadership Team
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| Chairman | 12.2yrs | US$8.90m | 0.92% $78.8m | |
| Senior VP of Finance & CFO | 9.9yrs | US$2.75m | 0.088% $7.5m | |
| Senior VP of Human Resources & Chief Development Officer | 4.5yrs | US$2.35m | 0.00099% $84.6k | |
| Senior VP and President of Repair Systems & Information Group | 9.8yrs | US$2.91m | 0.080% $6.8m | |
| Vice President of Operations Development | 0yrs | no data | 0.0099% $843.0k | |
| VP & Chief Information Officer | 2.7yrs | no data | 0.0014% $121.3k | |
| Vice President of Investor Relations | 1.3yrs | no data | no data | |
| VP, General Counsel & Secretary | 0yrs | no data | no data | |
| Chief Marketing Officer & VP | 3.9yrs | no data | no data | |
| Senior VP & President of Snap-on Tools Group | 1yrs | no data | 0.018% $1.5m |
4.2yrs
Average Tenure
60yo
Average Age
Experienced Management: SNA's management team is considered experienced (4.2 years average tenure).
Board Members
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| Chairman | 12.2yrs | US$8.90m | 0.92% $78.8m | |
| Lead Director | 11yrs | US$300.56k | 0.041% $3.5m | |
| Independent Director | 5.1yrs | US$231.31k | 0.012% $1.0m | |
| Independent Director | 5.6yrs | US$238.81k | 0.012% $1.1m | |
| Independent Director | 8.4yrs | US$249.90k | 0.016% $1.4m | |
| Independent Director | 11.6yrs | US$286.46k | 0.0071% $605.6k | |
| Independent Director | 9.2yrs | US$256.50k | 0.014% $1.2m | |
| Independent Director | 14.2yrs | US$291.11k | 0.027% $2.3m | |
| Independent Director | 16.8yrs | US$283.61k | 0.018% $1.6m | |
| Independent Director | 3.7yrs | US$231.31k | 0.0072% $610.7k |
10.0yrs
Average Tenure
65.5yo
Average Age
Experienced Board: SNA's board of directors are seasoned and experienced ( 10 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$8.541b
- Shares outstanding: 54.66m
- Website: https://www.snapon.com
Number of Employees
Location
- Snap-on Incorporated
- 2801 80th Street
- Kenosha
- Wisconsin
- 53143
- United States
Listings
| Ticker | Exchange | Primary Security | Security Type | Country | Currency | Listed on |
|---|---|---|---|---|---|---|
| SNA | NYSE (New York Stock Exchange) | Yes | Common Stock | US | USD | Feb 1978 |
| SPU | DB (Deutsche Boerse AG) | Yes | Common Stock | DE | EUR | Feb 1978 |
| 0L7G | LSE (London Stock Exchange) | Yes | Common Stock | GB | USD | Feb 1978 |
| S1NA34 | BOVESPA (Bolsa de Valores de Sao Paulo) | BDR EACH 4 REPR 1 COM | BR | BRL | Jan 2020 |
Biography
Snap-on Incorporated manufactures and markets tools, equipment, diagnostics, and repair information and systems solutions for professional users worldwide. It operates through Commercial and Industrial Group, Snap-on Tools Group, and Repair Systems & Information Group segments. The company offers hand tools, including wrenches, sockets, ratchet wrenches, pliers, screwdrivers, punches and chisels, saws and cutting tools, pruning tools, torque measuring instruments, and other products; power tools, such as cordless, pneumatic, hydraulic, and corded tools; and tool storage products comprising tool chests, roll cabinets, and other products. It also provides handheld and PC-based diagnostic products, service and repair information products, diagnostic software solutions, electronic parts catalogs, business management systems and services, point-of-sale systems, integrated systems for vehicle service shops, original equipment manufacturer purchasing facilitation services, and warranty management systems and analytics. In addition, the company offers solutions for the service of vehicles and industrial equipment that include wheel alignment equipment, wheel balancers, tire changers, vehicle lifts, test lane systems, collision repair equipment, vehicle air conditioning service equipment, brake service equipment, fluid exchange equipment, transmission troubleshooting equipment, safety testing equipment, battery chargers, and hoists. Further, it provides training programs and after-sales support; and financing programs to facilitate the sales of its products and support its franchise business. The company serves the aviation and aerospace, agriculture, construction, government and military, mining, natural resources, power generation, and technical education industries, as well as vehicle dealerships and repair centers. It distributes its products various channels, such as through mobile vans, distributors, company direct sales, and e-commerce. Snap-on Incorporated was founded in 1920 and is headquartered in Kenosha, Wisconsin.
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2020/02/17 23:47 |
| End of Day Share Price | 2020/02/14 00:00 |
| Earnings | 2019/12/28 |
| Annual Earnings | 2019/12/28 |
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.