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Market Cap

US$5.0b

Last Updated

2021/05/06 22:09 UTC

Data Sources

Company Financials +

Executive Summary

Simpson Manufacturing Co., Inc., through its subsidiaries, designs, engineers, manufactures, and sells wood and concrete building construction products. More Details


Snowflake Analysis

Flawless balance sheet with solid track record.


Similar Companies

Share Price & News

How has Simpson Manufacturing's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: SSD is less volatile than 75% of US stocks over the past 3 months, typically moving +/- 4% a week.

Volatility Over Time: SSD's weekly volatility (4%) has been stable over the past year.


Market Performance


7 Day Return

3.3%

SSD

1.6%

US Building

-1.7%

US Market


1 Year Return

63.1%

SSD

117.9%

US Building

51.8%

US Market

Return vs Industry: SSD underperformed the US Building industry which returned 118.2% over the past year.

Return vs Market: SSD exceeded the US Market which returned 52.8% over the past year.


Shareholder returns

SSDIndustryMarket
7 Day3.3%1.6%-1.7%
30 Day9.9%6.1%1.5%
90 Day16.5%19.0%3.1%
1 Year64.7%63.1%120.9%117.9%54.4%51.8%
3 Year98.9%91.5%102.6%85.1%63.0%52.8%
5 Year230.1%207.4%153.6%117.1%127.2%101.9%

Long-Term Price Volatility Vs. Market

How volatile is Simpson Manufacturing's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Simpson Manufacturing undervalued compared to its fair value and its price relative to the market?

25.33x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: SSD ($116.73) is trading above our estimate of fair value ($88.51)

Significantly Below Fair Value: SSD is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: SSD's PE Ratio (25.3x) is in line with the US Building industry average.

PE vs Market: SSD is poor value based on its PE Ratio (25.3x) compared to the US market (20.4x).


Price to Earnings Growth Ratio

PEG Ratio: SSD is poor value based on its PEG Ratio (12.2x)


Price to Book Ratio

PB vs Industry: SSD is overvalued based on its PB Ratio (5x) compared to the US Building industry average (3x).


Future Growth

How is Simpson Manufacturing forecast to perform in the next 1 to 3 years based on estimates from 4 analysts?

2.1%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: SSD's forecast earnings growth (2.1% per year) is above the savings rate (2%).

Earnings vs Market: SSD's earnings (2.1% per year) are forecast to grow slower than the US market (15.7% per year).

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

Revenue vs Market: SSD's revenue (10.7% per year) is forecast to grow faster than the US market (9.2% per year).

High Growth Revenue: SSD's revenue (10.7% 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 SSD's Return on Equity is forecast to be high in 3 years time


Past Performance

How has Simpson Manufacturing performed over the past 5 years?

18.2%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: SSD has high quality earnings.

Growing Profit Margin: SSD's current net profit margins (15.1%) are higher than last year (12.8%).


Past Earnings Growth Analysis

Earnings Trend: SSD's earnings have grown by 18.2% per year over the past 5 years.

Accelerating Growth: SSD's earnings growth over the past year (35.4%) exceeds its 5-year average (18.2% per year).

Earnings vs Industry: SSD earnings growth over the past year (35.4%) exceeded the Building industry 20.7%.


Return on Equity

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


Financial Health

How is Simpson Manufacturing's financial position?


Financial Position Analysis

Short Term Liabilities: SSD's short term assets ($819.0M) exceed its short term liabilities ($224.8M).

Long Term Liabilities: SSD's short term assets ($819.0M) exceed its long term liabilities ($55.4M).


Debt to Equity History and Analysis

Debt Level: SSD is debt free.

Reducing Debt: SSD had no debt 5 years ago.

Debt Coverage: SSD has no debt, therefore it does not need to be covered by operating cash flow.

Interest Coverage: SSD has no debt, therefore coverage of interest payments is not a concern.


Balance Sheet


Dividend

What is Simpson Manufacturing current dividend yield, its reliability and sustainability?

0.79%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: SSD's dividend (0.79%) isn’t notable compared to the bottom 25% of dividend payers in the US market (1.24%).

High Dividend: SSD's dividend (0.79%) is low compared to the top 25% of dividend payers in the US market (3.42%).


Stability and Growth of Payments

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

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


Current Payout to Shareholders

Dividend Coverage: With its low payout ratio (20%), SSD'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?

5.2yrs

Average management tenure


CEO

Karen Colonias (63 yo)

9.33yrs

Tenure

US$4,880,856

Compensation

Ms. Karen W. Colonias serves as Chief Executive Officer of Simpson Strong-Tie Company Inc. Ms. Colonias has been the Chief Executive Officer and President at Simpson Manufacturing Co., Inc. since January 2...


CEO Compensation Analysis

Compensation vs Market: Karen's total compensation ($USD4.88M) is about average for companies of similar size in the US market ($USD6.47M).

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


Leadership Team

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


Board Members

Experienced Board: SSD's board of directors are considered experienced (7.6 years average tenure).


Ownership

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


Insider Trading Volume

Insider Buying: SSD insiders have sold more shares than they have bought 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

Simpson Manufacturing Co., Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Simpson Manufacturing Co., Inc.
  • Ticker: SSD
  • Exchange: NYSE
  • Founded: 1956
  • Industry: Building Products
  • Sector: Capital Goods
  • Market Cap: US$5.018b
  • Shares outstanding: 43.43m
  • Website: https://www.simpsonmfg.com

Number of Employees


Location

  • Simpson Manufacturing Co., Inc.
  • 5956 West Las Positas Boulevard
  • Pleasanton
  • California
  • 94588
  • United States

Listings


Biography

Simpson Manufacturing Co., Inc., through its subsidiaries, designs, engineers, manufactures, and sells wood and concrete building construction products. The company offers wood construction products, inclu...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/05/06 22:09
End of Day Share Price2021/05/06 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.