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Simpson Manufacturing

NYSE:SSD
Snowflake Description

Excellent balance sheet with solid track record.

The Snowflake is generated from 30 checks in 5 different areas, read more below.
SSD
NYSE
$3B
Market Cap
  1. Home
  2. US
  3. Capital Goods
Company description

Simpson Manufacturing Co., Inc., through its subsidiaries, designs, engineers, manufactures, and sells building construction products. The last earnings update was 38 days ago. More info.


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SSD Share Price and Events
7 Day Returns
1.8%
NYSE:SSD
2%
US Building
0.5%
US Market
1 Year Returns
-0.2%
NYSE:SSD
-1.2%
US Building
0.8%
US Market
SSD Shareholder Return
  7 Day 30 Day 90 Day 1 Year 3 Year 5 Year
Simpson Manufacturing (SSD) 1.8% 1% 10.9% -0.2% 68.9% 80%
US Building 2% 2% 8.6% -1.2% 11.8% 16.1%
US Market 0.5% 0.2% 1.1% 0.8% 37.4% 37.5%
1 Year Return vs Industry and Market
  • SSD outperformed the Building industry which returned -1.2% over the past year.
  • SSD underperformed the Market in United States of America which returned 0.8% over the past year.
Price Volatility
SSD
Industry
5yr Volatility vs Market
Related Companies

Value

 Is Simpson Manufacturing undervalued based on future cash flows and its price relative to the stock market?

Value is all about what a company is worth versus what price it is available for. If you went into a grocery store and all the bananas were on sale at half price, they could be considered undervalued.
INTRINSIC VALUE BASED ON FUTURE CASH FLOWS
Here we compare the current share price of Simpson Manufacturing to its discounted cash flow analysis.value.

The discounted cash flow value is simply looking at what the company is worth today, based on estimates of how much money it is expected to make in the future.
Raw Data

Below are the data sources, inputs and calculation used to determine the intrinsic value for Simpson Manufacturing.

NYSE:SSD Discounted Cash Flow Data Sources
Data Point Source Value
Valuation Model 2 Stage Free Cash Flow to Equity
Levered Free Cash Flow Average of 4 Analyst Estimates (S&P Global) See below
Discount Rate (Cost of Equity) See below 9.2%
Perpetual Growth Rate 10-Year US Government Bond Rate 2.7%

An important part of a discounted cash flow is the discount rate, below we explain how it has been calculated.

Calculation of Discount Rate/ Cost of Equity for NYSE:SSD
Data Point Calculation/ Source Result
Risk-Free Rate 10-Year US Govt Bond Rate 2.7%
Equity Risk Premium S&P Global 6%
Building Unlevered Beta Simply Wall St/ S&P Global 1.11
Re-levered Beta = Unlevered beta (1 + (1- tax rate) (Debt/Equity))
= 1.114 (1 + (1- 21%) (1.28%))
1.084
Levered Beta Levered Beta limited to 0.8 to 2.0
(practical range for a stable firm)
1.08
Discount Rate/ Cost of Equity = Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= 2.73% + (1.084 * 5.96%)
9.19%

Discounted Cash Flow Calculation for NYSE:SSD using 2 Stage Free Cash Flow to Equity Model

The calculations below outline how an intrinsic value for Simpson Manufacturing is arrived at by discounting future cash flows to their present value using the 2 stage method. We try to start with analysts estimates of free cash flow, however if these are not available we use the most recent financial results. In the 1st stage we continue to grow the free cash flow over a 10 year period, with the growth rate trending towards the perpetual growth rate used in the 2nd stage. The 2nd stage assumes the company grows at a stable rate into perpetuity.

NYSE:SSD DCF 1st Stage: Next 10 year cash flow forecast
Levered FCF (USD, Millions) Source Present Value
Discounted (@ 9.19%)
2019 170.85 Analyst x2 156.47
2020 185.40 Analyst x2 155.51
2021 197.50 Est @ 6.53% 151.71
2022 208.14 Est @ 5.39% 146.43
2023 217.69 Est @ 4.59% 140.26
2024 226.46 Est @ 4.03% 133.63
2025 234.71 Est @ 3.64% 126.84
2026 242.62 Est @ 3.37% 120.08
2027 250.32 Est @ 3.18% 113.47
2028 257.94 Est @ 3.04% 107.08
Present value of next 10 years cash flows $1,351.49
NYSE:SSD DCF 2nd Stage: Terminal Value
Calculation Result
Terminal Value = FCF2028 × (1 + g) ÷ (Discount Rate – g)
= $257.94 × (1 + 2.73%) ÷ (9.19% – 2.73%)
$4,102.28
Present Value of Terminal Value = Terminal Value ÷ (1 + r)10
= $4,102.28 ÷ (1 + 9.19%)10
$1,703.03
NYSE:SSD Total Equity Value
Calculation Result
Total Equity Value = Present value of next 10 years cash flows + Terminal Value
= $1,351.49 + $1,703.03
$3,054.52
Equity Value per Share
(USD)
= Total value / Shares Outstanding
= $3,054.52 / 44.66
$68.39
NYSE:SSD Discount to Share Price
Calculation Result
Value per share (USD) From above. $68.39
Current discount Discount to share price of $65.89
= -1 x ($65.89 - $68.39) / $68.39
3.7%

Learn more about our DCF calculations in Simply Wall St’s analysis model .

Current Discount
Amount off the current price Simpson Manufacturing is available for.
Intrinsic value
4%
Share price is $65.89 vs Future cash flow value of $68.39
Current Discount Checks
For Simpson Manufacturing to be considered undervalued it must be available for at least 20% below the current price. Less than 40% is even better.
  • Simpson Manufacturing's share price is below the future cash flow value, but not at a moderate discount (< 20%).
  • Simpson Manufacturing's share price is below the future cash flow value, but not at a substantial discount (< 40%).
PRICE RELATIVE TO MARKET
We can also value a company based on what the stock market is willing to pay for it. This is similar to the price of fruit (e.g. Mangoes or Avocados) increasing when they are out of season, or how much your home is worth.

The amount the stock market is willing to pay for Simpson Manufacturing's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are Simpson Manufacturing's earnings available for a low price, and how does this compare to other companies in the same industry?
Raw Data
NYSE:SSD PE (Price to Earnings) Ratio Data Sources
Data Point Source Value
Earnings Per Share * Company Filings (2019-03-31) in USD $2.71
NYSE:SSD Share Price ** NYSE (2019-06-14) in USD $65.89
United States of America Building Industry PE Ratio Median Figure of 30 Publicly-Listed Building Companies 17.88x
United States of America Market PE Ratio Median Figure of 3,091 Publicly-Listed Companies 17.68x

* Trailing twelve months (TTM) annual GAAP earnings per share excluding extraordinary items.

** Primary Listing of Simpson Manufacturing.

NYSE:SSD PE (Price to Earnings) Ratio Calculation
Calculation Outcome
PE Ratio

= NYSE:SSD Share Price ÷ EPS (both in USD)

= 65.89 ÷ 2.71

24.35x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Simpson Manufacturing is overvalued based on earnings compared to the US Building industry average.
  • Simpson Manufacturing is overvalued based on earnings compared to the United States of America market.
Price based on expected Growth
Does Simpson Manufacturing's expected growth come at a high price?
Raw Data
NYSE:SSD PEG (Price to Earnings to Growth) Ratio Data Sources
Data Point Source Value
PE Ratio See PE Ratio Section 24.35x
Net Income Annual Growth Rate See Future Growth Section.
Line of Best Fit* through Consensus Estimate Earnings of 4 Analysts
16.3%per year
United States of America Building Industry PEG Ratio Median Figure of 26 Publicly-Listed Building Companies 1.32x
United States of America Market PEG Ratio Median Figure of 2,125 Publicly-Listed Companies 1.52x

*Line of best fit is calculated by linear regression .

NYSE:SSD PEG (Price to Earnings to Growth) Ratio Calculation
Calculation Outcome
PEG Ratio

= PE Ratio ÷ Net Income Annual Growth Rate

= 24.35x ÷ 16.3%

1.49x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Simpson Manufacturing is poor value based on expected growth next year.
Price based on value of assets
What value do investors place on Simpson Manufacturing's assets?
Raw Data
NYSE:SSD PB (Price to Book) Ratio Data Sources
Data Point Source Value
Book Value per Share Company Filings (2019-03-31) in USD $18.71
NYSE:SSD Share Price * NYSE (2019-06-14) in USD $65.89
United States of America Building Industry PB Ratio Median Figure of 37 Publicly-Listed Building Companies 2.11x
United States of America Market PB Ratio Median Figure of 5,244 Publicly-Listed Companies 1.79x
NYSE:SSD PB (Price to Book) Ratio Calculation
Calculation Outcome
PB Ratio

= NYSE:SSD Share Price ÷ Book Value per Share (both in USD)

= 65.89 ÷ 18.71

3.52x

* Primary Listing of Simpson Manufacturing.

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Simpson Manufacturing is overvalued based on assets compared to the US Building industry average.
X
Value checks
We assess Simpson Manufacturing's value by looking at:
  1. Is the discounted cash flow value less than 20%, or 40% of the share price? (2 checks) ( Click here or on bar chart for details of DCF calculation. )
  2. Is the PE ratio less than the market average, and/ or less than the Building industry average (and greater than 0)? (2 checks)
  3. Is the PEG ratio within a reasonable range (0 to 1)? (1 check)
  4. Is the PB ratio less than the Building industry average (and greater than 0)? (1 check)
  5. Simpson Manufacturing has a total score of 0/6, see the detailed checks below.

    Note: We use GAAP Earnings per Share in all our calculations including PE and PEG Ratio.

    Full details on the Value part of the Simply Wall St company analysis model.

Future Performance

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

The future performance of a company is measured in the same way as past performance, by looking at estimated growth and how much profit it is expected to make.

Future estimates come from professional analysts. Just like forecasting the weather, they don’t always get it right!
Annual Growth Rate
16.3%
Expected annual growth in earnings.
Earnings growth vs Low Risk Savings
Is Simpson Manufacturing expected to grow at an attractive rate?
  • Simpson Manufacturing's earnings growth is expected to exceed the low risk savings rate of 2.7%.
Growth vs Market Checks
  • Simpson Manufacturing's earnings growth is expected to exceed the United States of America market average.
  • Simpson Manufacturing's revenue growth is positive but not above the United States of America market average.
Annual Growth Rates Comparison
Raw Data
NYSE:SSD Future Growth Rates Data Sources
Data Point Source Value (per year)
NYSE:SSD Future Earnings Growth Rate Line of Best Fit* through Consensus Estimate Earnings of 4 Analysts 16.3%
NYSE:SSD Future Revenue Growth Rate Line of Best Fit* through Consensus Estimate Revenue of 4 Analysts 6%
United States of America Building Industry Earnings Growth Rate Market Cap Weighted Average 12.4%
United States of America Building Industry Revenue Growth Rate Market Cap Weighted Average 4.1%
United States of America Market Earnings Growth Rate Market Cap Weighted Average 13.9%
United States of America Market Revenue Growth Rate Market Cap Weighted Average 7.3%

*Line of best fit is calculated by linear regression .

Industry and Market average data is calculated daily.

Learn more about our growth rate calculations in Simply Wall St’s analysis model.

Analysts growth expectations
Raw Data
NYSE:SSD Analysts Growth Expectations Data Sources
Data Point Source Value
Past Financials Company Filings (2 months ago) See Below
Future Estimates Average of up to 4 Analyst Estimates (S&P Global) See Below
All numbers in USD Millions and using Trailing twelve months (TTM) annual period rather than quarterly.
NYSE:SSD Future Estimates Data
Date (Data in USD Millions) Revenue Cash Flow Net Income * Avg. No. Analysts
2020-12-31 1,216 220 165 4
2019-12-31 1,148 201 142 4
NYSE:SSD Past Financials Data
Date (Data in USD Millions) Revenue Cash Flow Net Income *
2019-03-31 1,093 153 124
2018-12-31 1,079 160 127
2018-09-30 1,069 142 127
2018-06-30 1,047 167 111
2018-03-31 1,002 144 95
2017-12-31 977 119 93
2017-09-30 946 117 97
2017-06-30 914 85 99
2017-03-31 881 101 97
2016-12-31 861 99 90
2016-09-30 845 109 87
2016-06-30 830 111 79

*GAAP earnings excluding extraordinary items.

Super high growth metrics
High Growth Checks
  • Simpson Manufacturing's earnings are expected to grow by 16.3% yearly, however this is not considered high growth (20% yearly).
  • Simpson Manufacturing's revenue is expected to grow by 6% yearly, however this is not considered high growth (20% yearly).
Past and Future Earnings per Share
The accuracy of the analysts who estimate the future performance data can be gauged below. We look back 3 years and see if they were any good at predicting what actually occurred. We also show the highest and lowest estimates looking forward to see if there is a wide range.
Raw Data
NYSE:SSD Past and Future Earnings per Share
Data Point Source Value
Past Financials Company Filings (2 months ago) See Below
Future Estimates Average of up to 4 Analyst Estimates (S&P Global) See Below

All data from Simpson Manufacturing Company Filings, last reported 2 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

NYSE:SSD Future Estimates Data
Date (Data in USD Millions) EPS * EPS High Estimate EPS Low Estimate Avg. No. Analysts
2020-12-31 3.75 3.95 3.60 3.00
2019-12-31 3.15 3.18 3.10 3.00
NYSE:SSD Past Financials Data
Date (Data in USD Millions) EPS *
2019-03-31 2.71
2018-12-31 2.74
2018-09-30 2.72
2018-06-30 2.36
2018-03-31 2.01
2017-12-31 1.95
2017-09-30 2.04
2017-06-30 2.06
2017-03-31 2.01
2016-12-31 1.87
2016-09-30 1.80
2016-06-30 1.63

*GAAP earnings excluding extraordinary items.

Performance in 3 years
In the same way as past performance we look at the future estimated return (profit) compared to the available funds. We do this looking forward 3 years.
  • Unable to establish if Simpson Manufacturing will efficiently use shareholders’ funds in the future without estimates of Return on Equity.
X
Future performance checks
We assess Simpson Manufacturing's future performance by looking at:
  1. Is the annual earnings growth rate expected to beat the low risk savings rate, plus a premium to keep pace with inflation?
  2. Is the annual earnings growth rate expected to beat the average growth rate in earnings of the United States of America market? (1 check)
  3. Is the annual revenue growth rate expected to beat the average growth rate in revenue of the United States of America market? (1 check)
  4. Is the annual earnings growth rate expected to be above 20%? (1 check)
  5. Is the annual revenue growth rate expected to be above 20%? (1 check)
  6. Is the Return on Equity in 3 years expected to be over 20%? (1 check)
Some of the above checks will fail if the company is expected to be loss making in the relevant year.
Simpson Manufacturing has a total score of 2/6, see the detailed checks below.

Note 1: We use GAAP Net Income Excluding Exceptional Items for our Earnings in all our calculations.

Full details on the Future part of the Simply Wall St company analysis model.

Past Performance

  How has Simpson Manufacturing performed over the past 5 years?

The past performance of a company can be measured by how much growth it has experienced and how much profit it makes relative to the funds and assets it has available.
Past earnings growth
Below we compare Simpson Manufacturing's growth in the last year to its industry (Building).
Past Earnings growth analysis
We also check if the company has grown in the past 5 years, and whether it has maintained that growth in the year.
  • Simpson Manufacturing's year on year earnings growth rate has been positive over the past 5 years.
  • Simpson Manufacturing's 1-year earnings growth exceeds its 5-year average (30.5% vs 16.7%)
  • Simpson Manufacturing's earnings growth has exceeded the US Building industry average in the past year (30.5% vs 24.6%).
Earnings and Revenue History
Simpson Manufacturing's revenue and profit over the past 5 years is shown below, any years where they have experienced a loss will show up in red.
Raw Data

All data from Simpson Manufacturing Company Filings, last reported 2 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

NYSE:SSD Past Revenue, Cash Flow and Net Income Data
Date (Data in USD Millions) Revenue Net Income * G+A Expenses R&D Expenses
2019-03-31 1,093.27 123.87 271.71 44.17
2018-12-31 1,078.81 126.63 269.02 43.06
2018-09-30 1,068.64 126.96 263.46 45.41
2018-06-30 1,046.94 110.80 260.45 46.23
2018-03-31 1,001.94 94.93 257.22 46.95
2017-12-31 977.03 92.62 258.01 47.62
2017-09-30 945.54 96.93 248.52 45.28
2017-06-30 914.03 98.53 245.38 44.95
2017-03-31 881.01 96.51 238.78 44.43
2016-12-31 860.66 89.73 223.20 46.25
2016-09-30 845.23 87.07 220.40 43.56
2016-06-30 830.40 78.87 214.74 42.46
2016-03-31 817.09 74.18 207.78 41.52
2015-12-31 794.06 67.89 204.34 43.06
2015-09-30 775.93 63.54 203.49 40.06
2015-06-30 769.11 62.55 205.46 39.94
2015-03-31 760.35 61.50 206.38 39.52
2014-12-31 752.15 63.53 203.53 39.02
2014-09-30 745.59 60.82 202.23 39.33
2014-06-30 731.89 60.21 198.23 38.85
2014-03-31 719.33 58.26 194.51 38.24
2013-12-31 705.32 50.97 192.15 36.84
2013-09-30 689.93 49.19 188.80 35.78
2013-06-30 666.43 42.16 184.43 35.47
2013-03-31 652.78 39.51 181.40 35.03
2012-12-31 656.23 41.92 181.53 35.92
2012-09-30 643.28 40.99 178.88 33.30
2012-06-30 633.54 47.39 179.00 31.19

*GAAP earnings excluding extraordinary items.

Performance last year
We want to ensure a company is making the most of what it has available. This is done by comparing the return (profit) to a company's available funds, assets and capital.
  • Simpson Manufacturing has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).
  • Simpson Manufacturing used its assets more efficiently than the US Building industry average last year based on Return on Assets.
  • Simpson Manufacturing has significantly improved its use of capital last year versus 3 years ago (Return on Capital Employed).
X
Past performance checks
We assess Simpson Manufacturing's performance over the past 5 years by checking for:
  1. Has earnings increased in past 5 years? (1 check)
  2. Has the earnings growth in the last year exceeded that of the Building industry? (1 check)
  3. Is the recent earnings growth over the last year higher than the average annual growth over the past 5 years? (1 check)
  4. Is the Return on Equity (ROE) higher than 20%? (1 check)
  5. Is the Return on Assets (ROA) above industry average? (1 check)
  6. Has the Return on Capital Employed (ROCE) increased from 3 years ago? (1 check)
The above checks will fail if the company has reported a loss in the most recent earnings report. Some checks require at least 3 or 5 years worth of data.
Simpson Manufacturing has a total score of 5/6, see the detailed checks below.

Note: We use GAAP Net Income excluding extraordinary items in all our calculations.

Full details on the Past part of the Simply Wall St company analysis model.

Health

 How is Simpson Manufacturing's financial health and their level of debt?

A company's financial position is much like your own financial position, it includes everything you own (assets) and owe (liabilities).

The boxes below represent the relative size of what makes up Simpson Manufacturing's finances.

The net worth of a company is the difference between its assets and liabilities.
Net Worth
  • Simpson Manufacturing is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.
  • Simpson Manufacturing's cash and other short term assets cover its long term commitments.
Balance sheet
This treemap shows a more detailed breakdown of Simpson Manufacturing's finances. If any of them are yellow this indicates they may be out of proportion and red means they relate to one of the checks below.
Assets
Liabilities and shares
The 'shares' portion represents any funds contributed by the owners (shareholders) and any profits.
  • High level of physical assets or inventory.
  • Debt is covered by short term assets, assets are 238.2x debt.
Historical Debt
Nearly all companies have debt. Debt in itself isn’t bad, however if the debt is too high, or the company can’t afford to pay the interest on its debts this may have impacts in the future.

The graphic below shows equity (available funds) and debt, we ideally want to see the red area (debt) decreasing.

If there is any debt we look at the companies capability to repay it, and whether the level has increased over the past 5 years.
Raw Data

All data from Simpson Manufacturing Company Filings, last reported 2 months ago.

NYSE:SSD Past Debt and Equity Data
Date (Data in USD Millions) Total Equity Total Debt Cash & Short Term Investments
2019-03-31 835.47 37.55 113.41
2018-12-31 855.51 1.60 160.18
2018-09-30 913.42 1.08 166.96
2018-06-30 903.80 3.23 155.04
2018-03-31 879.06 3.49 137.41
2017-12-31 884.78 0.00 168.51
2017-09-30 916.04 3.92 204.17
2017-06-30 899.41 2.00 140.95
2017-03-31 886.95 2.13 167.06
2016-12-31 865.84 0.00 226.54
2016-09-30 861.10 0.00 218.72
2016-06-30 882.28 0.00 246.34
2016-03-31 864.26 0.00 232.03
2015-12-31 849.82 0.00 258.83
2015-09-30 844.38 0.00 242.80
2015-06-30 871.34 0.00 248.61
2015-03-31 855.29 0.00 233.59
2014-12-31 863.47 0.02 260.31
2014-09-30 864.12 0.04 258.24
2014-06-30 865.28 0.06 221.20
2014-03-31 847.51 0.08 211.99
2013-12-31 841.28 0.10 251.21
2013-09-30 822.46 0.96 215.76
2013-06-30 793.03 1.20 165.28
2013-03-31 788.42 1.21 141.97
2012-12-31 789.57 0.18 175.55
2012-09-30 786.16 0.19 187.47
2012-06-30 772.94 4.84 162.72
  • Simpson Manufacturing's level of debt (0.3%) compared to net worth is satisfactory (less than 40%).
  • The level of debt compared to net worth has increased over the past 5 years (0% vs 0.3% today).
  • Debt is well covered by operating cash flow (6314%, greater than 20% of total debt).
  • Interest payments on debt are well covered by earnings (EBIT is 247.1x coverage).
X
Financial health checks
We assess Simpson Manufacturing's financial health by checking for:
  1. Are short term assets greater than short term liabilities? (1 check)
  2. Are short term assets greater than long term liabilities? (1 check)
  3. Has the debt to equity ratio increased in the past 5 years? (1 check)
  4. Is the debt to equity ratio over 40%? (1 check)
  5. Is the debt covered by operating cash flow? (1 check)
  6. Are earnings greater than 5x the interest on debt (if company pays interest at all)? (1 check)
  7. Simpson Manufacturing has a total score of 5/6, see the detailed checks below.
For companies that are loss making and have been so on average in the past we replace the last 2 checks with:
  1. Does cash and short term investments cover stable operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)
  2. Does cash and short term investments cover growing operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)


Full details on the Health part of the Simply Wall St company analysis model.

Dividends

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

Dividends are regular cash payments to you from the company, similar to a bank paying you interest on a savings account.
Annual Dividend Income
Dividend payments
1.4%
Current annual income from Simpson Manufacturing dividends. Estimated to be 1.4% next year.
If you bought $2,000 of Simpson Manufacturing shares you are expected to receive $28 in your first year as a dividend.
Dividend Amount
Here we look how much dividend is being paid, if any. Is it above what you can get in a savings account? It is up there with the best dividend paying companies?
  • Simpson Manufacturing's pays a lower dividend yield than the bottom 25% of dividend payers in United States of America (1.47%).
  • Simpson Manufacturing's dividend is below the markets top 25% of dividend payers in United States of America (3.71%).
Upcoming dividend payment

Purchase Simpson Manufacturing before the 'Buy Limit' to receive their next dividend payment.

Dividends are usually paid every 3 or 6 months, you can time your share purchase to take advantage of upcoming dividend payments.
Dividend payment calendar
Annualized Historical and Future Dividends
It is important to see if the dividend for a company is stable, and not wildly increasing/decreasing each year. This graph shows you the historical rate to count toward your assessment of the stock.

We also check to see if the dividend has increased in the past 10 years.
Raw Data
NYSE:SSD Annualized Past and Future Dividends
Data Point Source Value
Past Annualized Dividend Yield S&P Global Market Data See Below
Past Dividends per Share Company Filings/ Annualized Dividend Payments See Below
Future Dividends per Share Estimates Average of up to 4 Analyst Estimates (S&P Global) See Below
United States of America Building Industry Average Dividend Yield Market Cap Weighted Average of 16 Stocks 1.8%
United States of America Market Average Dividend Yield Market Cap Weighted Average of 2011 Stocks 2.5%
United States of America Minimum Threshold Dividend Yield 10th Percentile 0.8%
United States of America Bottom 25% Dividend Yield 25th Percentile 1.5%
United States of America Top 25% Dividend Yield 75th Percentile 3.7%

Industry and Market average data is calculated daily.

Note all dividend per share amounts are annualized and not quarterly or other period.

NYSE:SSD Future Dividends Estimate Data
Date (Data in $) Dividend per Share (annual) Avg. No. Analysts
2020-12-31 0.94 2.00
2019-12-31 0.91 2.00
NYSE:SSD Past Annualized Dividends Data
Date (Data in $) Dividend per share (annual) Avg. Yield (%)
2019-04-29 0.920 1.426
2018-10-29 0.880 1.509
2018-08-07 0.880 1.249
2018-07-30 0.880 1.237
2018-05-09 0.880 1.391
2018-04-30 0.880 1.499
2018-03-01 0.840 1.478
2018-02-05 0.840 1.474
2017-07-27 0.840 1.630
2017-05-10 0.840 1.977
2017-04-27 0.840 2.005
2016-10-27 0.720 1.645
2016-08-05 0.720 1.654
2016-07-28 0.720 1.750
2016-05-04 0.720 1.830
2016-04-21 0.720 1.891
2016-02-29 0.640 1.736
2016-02-04 0.640 1.920
2015-07-23 0.640 1.832
2015-04-23 0.640 1.875
2014-10-23 0.560 1.622
2014-07-24 0.560 1.795
2014-04-24 0.560 1.635
2013-10-28 0.500 1.442
2013-07-25 0.500 1.556
2012-12-11 0.500 1.643
2012-10-25 0.500 1.594
2012-07-26 0.500 1.830
2012-04-26 0.500 1.753
2012-02-02 0.500 1.581
2011-10-27 0.500 1.542
2011-07-28 0.500 1.857
2011-04-28 0.500 1.775
2011-02-03 0.500 1.750
2010-10-28 0.400 1.400
2010-07-29 0.400 1.616
2010-04-29 0.400 1.467
2010-02-02 0.400 1.472
2009-10-29 0.400 1.562
2009-08-03 0.400 1.518

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Dividends per share have been stable in the past 10 years.
  • Dividends per share have increased over the past 10 years.
Current Payout to shareholders
What portion of Simpson Manufacturing's earnings are paid to the shareholders as a dividend.
  • Dividends paid are well covered by earnings (3.1x coverage).
Future Payout to shareholders
  • Insufficient estimate data to determine if a dividend will be paid in 3 years and that it will be sustainable.
X
Income/ dividend checks
We assess Simpson Manufacturing's dividend by checking for:
  1. Firstly is the company paying a notable dividend (greater than 0.8%) - if not then the rest of the checks are ignored.
  2. Is current dividend yield above the bottom 25% of dividend payers? (1 check)
  3. Is current dividend yield above the top 25% of dividend payers? (1 check)
  4. Have they paid a dividend for 10 years, and during this period has the dividend been volatile (drop of more than 25%)? (1 check)
  5. If they have paid a dividend for 10 years has it increased in this time? (1 check)
  6. How sustainable is the dividend, can Simpson Manufacturing afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks)
  7. Simpson Manufacturing has a total score of 3/6, see the detailed checks below.


Full details on the Dividends part of the Simply Wall St company analysis model.

Management

 What is the CEO of Simpson Manufacturing's salary, the management and board of directors tenure and is there insider trading?

Management is one of the most important areas of a company. We look at unreasonable CEO compensation, how long the team and board of directors have been around for and insider trading.
CEO
Karen Colonias
COMPENSATION $2,957,788
AGE 61
TENURE AS CEO 7.4 years
CEO Bio

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 2012. Ms. Colonias served as the Chief Financial Officer, Treasurer and Secretary of Simpson Manufacturing Co., Inc. from May 11, 2009 to January 2012. Ms. Colonias served as Vice President and Branch Manager of Simpson Strong-Tie Company Inc. since 2004 until 2009. Ms. Colonias has served as the Branch Manager of Simpson Strong-Tie's manufacturing facility in Stockton, California. She joined Simpson Strong-Tie in 1984 as an engineer in the research and development department, where she was responsible for the design and testing of new products and code development. Since 1998, she served as Vice President of Engineering at Simpson Strong-Tie and responsible for Simpson Strong-Tie's research and development efforts. She served as a Civil Engineer for the Bechtel Corporation. She has been an Independent Director at Reliance Steel & Aluminum Co. since October 05, 2016. She has been a Director of Simpson Manufacturing Co., Inc. since July 17, 2013. A licensed professional civil engineer, Ms. Colonias received a Bachelor of Science degree in Civil Engineering from California State University, Sacramento and a Master of Business Administration degree from California State University, East Bay.

CEO Compensation
  • Karen's compensation has been consistent with company performance over the past year, both up more than 20%.
  • Karen's remuneration is lower than average for companies of similar size in United States of America.
Management Team Tenure

Average tenure and age of the Simpson Manufacturing management team in years:

6.2
Average Tenure
53
Average Age
  • The average tenure for the Simpson Manufacturing management team is over 5 years, this suggests they are a seasoned and experienced team.
Management Team

Karen Colonias

TITLE
President
COMPENSATION
$3M
AGE
61
TENURE
7.4 yrs

Brian Magstadt

TITLE
CFO, Treasurer & Secretary
COMPENSATION
$1M
AGE
51
TENURE
7.4 yrs

Kevin Swartzendruber

TITLE
Senior Vice President of Finance
COMPENSATION
$633K
AGE
52
TENURE
1.7 yrs

Roger Dankel

TITLE
President of North American Sales - Simpson Strong-Tie Company Inc
COMPENSATION
$1M
AGE
54
TENURE
4.9 yrs
Board of Directors Tenure

Average tenure and age of the Simpson Manufacturing board of directors in years:

5.9
Average Tenure
61
Average Age
  • The tenure for the Simpson Manufacturing board of directors is about average.
Board of Directors

Robin MacGillivray

TITLE
Director
COMPENSATION
$173K
AGE
63
TENURE
15.3 yrs

Karen Colonias

TITLE
President
COMPENSATION
$3M
AGE
61
TENURE
5.9 yrs

Jennifer Chatman

TITLE
Director
COMPENSATION
$159K
AGE
59
TENURE
15.3 yrs

Gary Cusumano

TITLE
Director
COMPENSATION
$167K
AGE
74
TENURE
12.1 yrs

Celeste Ford

TITLE
Director
COMPENSATION
$157K
AGE
61
TENURE
5.4 yrs

Mike Bless

TITLE
Director
COMPENSATION
$147K
AGE
53
TENURE
2.1 yrs

Phil Donaldson

TITLE
Independent Director
COMPENSATION
$130K
AGE
56
TENURE
1.2 yrs
Who owns this company?
Recent Insider Trading
  • Simpson Manufacturing insiders have only sold shares in the past 3 months.
Recent Insider Transactions
Announced Type Name Entity Role Start End Shares Max Price ($) Value ($)
04. Jun 19 Sell Robin MacGillivray Individual 31. May 19 31. May 19 -1,475 $61.56 $-90,794
20. May 19 Sell Roger Dankel Individual 05. Mar 19 05. Mar 19 -2,200 $59.75 $-131,450
06. Aug 18 Sell James Andrasick Individual 03. Aug 18 03. Aug 18 -1,950 $73.43 $-143,189
X
Management checks
We assess Simpson Manufacturing's management by checking for:
  1. Is the CEO's compensation unreasonable compared to market cap? (1 check)
  2. Has the CEO's compensation increased more than 20% whilst the EPS is down more then 20%? (1 check)
  3. Is the average tenure of the management team less than 2 years? (1 check)
  4. Is the average tenure of the board of directors team less than 3 years? (1 check)
  5. Simpson Manufacturing has a total score of 0/6, this is not included on the snowflake, see the detailed checks below.


Note: We use the top 6 management executives and board members in our calculations.

Note 2: Insider trading include any internal stakeholders and these transactions .

Full details on the Management part of the Simply Wall St company analysis model.

News

Simply Wall St News

Simpson Manufacturing Co., Inc. (NYSE:SSD): Commentary On Fundamentals

NYSE:SSD Income Statement, June 7th 2019 Next Steps: For Simpson Manufacturing, there are three fundamental aspects you should look at: Future Outlook: What are well-informed industry analysts predicting for SSD’s future growth? … Take a look at our free research report of analyst consensus for SSD’s outlook. … The intrinsic value infographic in our free research report helps visualize whether SSD is currently mispriced by the market.

Simply Wall St -

The Simpson Manufacturing (NYSE:SSD) Share Price Has Gained 81% And Shareholders Are Hoping For More

(NYSE:SSD) share price is up 81% in the last 5 years, clearly besting than the market return of around 35% (ignoring dividends). … Over half a decade, Simpson Manufacturing managed to grow its earnings per share at 18% a year. … So for companies that pay a generous dividend, the TSR is often a lot higher than the share price return.

Simply Wall St -

What Can We Make Of Simpson Manufacturing Co., Inc.’s (NYSE:SSD) High Return On Capital?

Analysts use this formula to calculate return on capital employed: Return on Capital Employed = Earnings Before Interest and Tax (EBIT) ÷ (Total Assets - Current Liabilities) Or for Simpson Manufacturing: 0.19 = US$167m ÷ (US$1.0b - US$151m) (Based on the trailing twelve months to March 2019.) Therefore, Simpson Manufacturing has an ROCE of 19%. … How Simpson Manufacturing's Current Liabilities Impact Its ROCE Current liabilities are short term bills and invoices that need to be paid in 12 months or less. … Due to the way the ROCE equation works, having large bills due in the near term can make it look as though a company has less capital employed, and thus a higher ROCE than usual.

Simply Wall St -

Is Simpson Manufacturing Co., Inc. (NYSE:SSD) A Financially Strong Company?

Today we will look at SSD’s financial liquidity and debt levels, which are strong indicators for whether the company can weather economic downturns or fund strategic acquisitions for future growth. … On top of this, SSD has produced cash from operations of US$153m over the same time period, resulting in an operating cash to total debt ratio of 406%, signalling that SSD’s current level of operating cash is high enough to cover debt. … Next Steps: SSD has demonstrated its ability to generate sufficient levels of cash flow, while its debt hovers at a safe level.

Simply Wall St -

There's An Opportunity With Simpson Manufacturing Co., Inc. (NYSE:SSD)

High quality stocks such as Simpson Manufacturing Co., Inc. … has fared well over time in a fickle stock market, which is why I want to bring it into light amongst all the chaos. … So, large-cap stocks are a safe bet to buy more of when the stock market is selling off.

Simply Wall St -

Why Dividend Hunters Love Simpson Manufacturing Co., Inc. (NYSE:SSD)

(NYSE:SSD) a good dividend stock? … Yet sometimes, investors buy a stock for its dividend and lose money because the share price falls by more than they earned in dividend payments. … When buying stocks for their dividends, you should always run through the checks below, to see if the dividend looks sustainable.

Simply Wall St -

Does Simpson Manufacturing Co., Inc.'s (NYSE:SSD) 37% Earnings Growth Reflect The Long-Term Trend?

Understanding Simpson Manufacturing Co., Inc.'s (NYSE:SSD) performance as a company requires examining more than earnings from one point in time. … Today I will take you through a basic sense check to gain perspective on how Simpson Manufacturing is doing by evaluating its latest earnings with its longer term trend as well as its industry peers' performance over the same period. … Did SSD beat its long-term earnings growth trend and its industry.

Simply Wall St -

How Does Investing In Simpson Manufacturing Co., Inc. (NYSE:SSD) Impact The Volatility Of Your Portfolio?

Volatility is considered to be a measure of risk in modern finance theory. … Some investors use beta as a measure of how much a certain stock is impacted by market risk (volatility). … Any stock with a beta of greater than one is considered more volatile than the market, while those with a beta below one are either less volatile or poorly correlated with the market.

Simply Wall St -

Is Simpson Manufacturing Co., Inc.'s (NYSE:SSD) High P/E Ratio A Problem For Investors?

To keep it practical, we'll show how Simpson Manufacturing Co., Inc.'s (NYSE:SSD) P/E ratio could help you assess the value on offer. … Based on the last twelve months, Simpson Manufacturing's P/E ratio is 22.35. … Price to Earnings Ratio = Share Price ÷ Earnings per Share (EPS)

Simply Wall St -

Should You Investigate Simpson Manufacturing Co., Inc. (NYSE:SSD) At US$59.27?

Simpson Manufacturing Co., Inc. … As a mid-cap stock with high coverage by analysts, you could assume any recent changes in the company’s outlook is already priced into the stock? … Let’s examine Simpson Manufacturing’s valuation and outlook in more detail to determine if there’s still a bargain opportunity

Simply Wall St -

Company Info

Description

Simpson Manufacturing Co., Inc., through its subsidiaries, designs, engineers, manufactures, and sells building construction products. The company offers wood construction products, including connectors, truss plates, fastening systems, fasteners, shearwalls, and pre-fabricated lateral systems used in light-frame construction; and concrete construction products comprising adhesives, chemicals, mechanical anchors, carbide drill bits, powder actuated tools, and fiber reinforced materials for use in concrete, masonry, and steel construction, as well as for concrete repair, protection, and strengthening applications, which include grouts, coatings, sealers, mortars, fiberglass and fiber-reinforced polymer systems, and asphalt products. It also provides connectors for cross laminated timber, mid-rise steel construction, wood framing, decking, and cold formed steel applications; fasteners, which include various nails, and screws and staples for decking, subfloors, drywall, and roofing applications; and fiber reinforced cementitious mortar products. In addition, the company offers engineering and design services, as well as software solutions that facilitates the specification, selection, and use of its products. The company markets its products to the residential construction, light industrial and commercial construction, remodeling, and do-it-yourself markets in the United States, Canada, the United Kingdom, Germany, France, Poland, Sweden, Denmark, Norway, Switzerland, Australia, Belgium, the Netherlands, New Zealand, Chile, and internationally. Simpson Manufacturing Co., Inc. was founded in 1956 and is headquartered in Pleasanton, California.

Details
Name: Simpson Manufacturing Co., Inc.
SSD
Exchange: NYSE
Founded: 1956
$2,942,773,052
44,661,907
Website: http://www.simpsonmfg.com
Address: Simpson Manufacturing Co., Inc.
5956 West Las Positas Boulevard,
Pleasanton,
California, 94588,
United States
Listings
Exchange Symbol Ticker Symbol Security Exchange Country Currency Listed on
NYSE SSD Common Stock New York Stock Exchange US USD 26. May 1994
DB TWL Common Stock Deutsche Boerse AG DE EUR 26. May 1994
Number of employees
Current staff
Staff numbers
3,135
Simpson Manufacturing employees.
Industry
Building Products
Capital Goods
Company Analysis and Financial Data Status
Area Date (UTC time)
Company Analysis updated: 2019/06/15 23:49
End of day share price update: 2019/06/14 00:00
Last estimates confirmation: 2019/04/30
Last earnings filing: 2019/05/08
Last earnings reported: 2019/03/31
Last annual earnings reported: 2018/12/31


All dates and times in UTC. All financial data provided by Standard & Poor’s Capital IQ.

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.