SWK Stock Overview
Stanley Black & Decker, Inc. engages in the tools and storage and industrial businesses in the United States, Canada, rest of Americas, France, rest of Europe, and Asia.
Stanley Black & Decker Competitors
Price History & Performance
|Historical stock prices|
|Current Share Price||US$109.23|
|52 Week High||US$210.92|
|52 Week Low||US$99.43|
|1 Month Change||-8.73%|
|3 Month Change||-25.37%|
|1 Year Change||-46.68%|
|3 Year Change||-25.82%|
|5 Year Change||-22.96%|
|Change since IPO||449.59%|
Recent News & Updates
Stanley Black & Decker: This Dividend King Could Potentially Triple In 5 Years
SWK was founded in 1843 in New Britain, Connecticut, and hasn't missed a dividend payment in 146 years (since 1876). SWK has the most trusted brands with the #1 market share globally. If SWK grows as analysts expect by 2024 and returns to historical mid-range fair value, it could deliver 125% total returns or 38% annually.
These 4 Measures Indicate That Stanley Black & Decker (NYSE:SWK) Is Using Debt Extensively
Howard Marks put it nicely when he said that, rather than worrying about share price volatility, 'The possibility of...
Stanley Black & Decker Restated Its Earnings - Cause For Concern?
Stanley Black & Decker restated its 2018 to 2020 consolidated financial statements because of incorrect accounting for forward stock purchase contracts and convertible preferred stock. However, this only had a negative impact on diluted earnings per share of 3-4% - I will explain why it is highly unlikely that the accounting misstatement was intentional. Stanley Black & Decker continues to deliver strong results, but understandably faces industry-specific headwinds. However, these should not be overemphasized in my opinion. In this article, I present the results of my due diligence regarding accounting manipulation by discussing a number of accounting tests in detail.
|SWK||US Machinery||US Market|
Return vs Industry: SWK underperformed the US Machinery industry which returned -20.1% over the past year.
Return vs Market: SWK underperformed the US Market which returned -18.4% over the past year.
|SWK Average Weekly Movement||6.3%|
|Machinery Industry Average Movement||6.0%|
|Market Average Movement||8.1%|
|10% most volatile stocks in US Market||16.7%|
|10% least volatile stocks in US Market||3.2%|
Stable Share Price: SWK is not significantly more volatile than the rest of US stocks over the past 3 months, typically moving +/- 6% a week.
Volatility Over Time: SWK's weekly volatility (6%) has been stable over the past year.
About the Company
Stanley Black & Decker, Inc. engages in the tools and storage and industrial businesses in the United States, Canada, rest of Americas, France, rest of Europe, and Asia. Its Tools & Storage segment offers professional products, including professional grade corded and cordless electric power tools and equipment, and pneumatic tools and fasteners; and consumer products, such as corded and cordless electric power tools primarily under the BLACK+DECKER brand, as well as corded and cordless lawn and garden products and related accessories; home products; and hand tools, power tool accessories, and storage products. This segment sells its products through retailers, distributors, dealers, and a direct sales force to professional end users, distributors, dealers, retail consumers, and industrial customers in various industries.
Stanley Black & Decker Fundamentals Summary
|SWK fundamental statistics|
Is SWK overvalued?See Fair Value and valuation analysis
Earnings & Revenue
|SWK income statement (TTM)|
|Cost of Revenue||US$11.11b|
Last Reported Earnings
Apr 02, 2022
Next Earnings Date
|Earnings per share (EPS)||8.55|
|Net Profit Margin||7.90%|
How did SWK perform over the long term?See historical performance and comparison
2.9%Current Dividend Yield
Is SWK undervalued compared to its fair value, analyst forecasts and its price relative to the market?
Valuation Score 6/6
Price-To-Earnings vs Peers
Price-To-Earnings vs Industry
Price-To-Earnings vs Fair Ratio
Below Fair Value
Significantly Below Fair Value
Key Valuation Metric
Which metric is best to use when looking at relative valuation for SWK?
Other financial metrics that can be useful for relative valuation.
|What is SWK's n/a Ratio?|
Price to Earnings Ratio vs Peers
How does SWK's PE Ratio compare to its peers?
|SWK PE Ratio vs Peers|
|Company||PE||Estimated Growth||Market Cap|
SWK Stanley Black & Decker
Price-To-Earnings vs Peers: SWK is good value based on its Price-To-Earnings Ratio (12.8x) compared to the peer average (25.9x).
Price to Earnings Ratio vs Industry
How does SWK's PE Ratio compare vs other companies in the US Machinery Industry?
Price-To-Earnings vs Industry: SWK is good value based on its Price-To-Earnings Ratio (12.8x) compared to the US Machinery industry average (21.7x)
Price to Earnings Ratio vs Fair Ratio
What is SWK's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.
|Current PE Ratio||12.8x|
|Fair PE Ratio||24.9x|
Price-To-Earnings vs Fair Ratio: SWK is good value based on its Price-To-Earnings Ratio (12.8x) compared to the estimated Fair Price-To-Earnings Ratio (24.9x).
Share Price vs Fair Value
What is the Fair Price of SWK when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.
Below Fair Value: SWK ($109.23) is trading below our estimate of fair value ($210.81)
Significantly Below Fair Value: SWK is trading below fair value by more than 20%.
Price to Earnings Growth Ratio
PEG Ratio: SWK is good value based on its PEG Ratio (0.8x)
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How is Stanley Black & Decker forecast to perform in the next 1 to 3 years based on estimates from 15 analysts?
Future Growth Score2/6
Future Growth Score 2/6
Earnings vs Savings Rate
Earnings vs Market
High Growth Earnings
Revenue vs Market
High Growth Revenue
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: SWK's forecast earnings growth (15.2% per year) is above the savings rate (1.9%).
Earnings vs Market: SWK's earnings (15.2% per year) are forecast to grow faster than the US market (13.9% per year).
High Growth Earnings: SWK's earnings are forecast to grow, but not significantly.
Revenue vs Market: SWK's revenue (4.7% per year) is forecast to grow slower than the US market (8.4% per year).
High Growth Revenue: SWK's revenue (4.7% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: SWK's Return on Equity is forecast to be low in 3 years time (17.8%).
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How has Stanley Black & Decker performed over the past 5 years?
Past Performance Score1/6
Past Performance Score 1/6
Growing Profit Margin
Earnings vs Industry
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: SWK has a large one-off loss of $460.3M impacting its April 2 2022 financial results.
Growing Profit Margin: SWK's current net profit margins (7.9%) are lower than last year (10.8%).
Past Earnings Growth Analysis
Earnings Trend: SWK's earnings have grown by 8.3% per year over the past 5 years.
Accelerating Growth: SWK's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.
Earnings vs Industry: SWK had negative earnings growth (-12.5%) over the past year, making it difficult to compare to the Machinery industry average (24%).
Return on Equity
High ROE: SWK's Return on Equity (13.8%) is considered low.
Discover strong past performing companies
How is Stanley Black & Decker's financial position?
Financial Health Score2/6
Financial Health Score 2/6
Short Term Liabilities
Long Term Liabilities
Financial Position Analysis
Short Term Liabilities: SWK's short term assets ($9.7B) do not cover its short term liabilities ($11.0B).
Long Term Liabilities: SWK's short term assets ($9.7B) exceed its long term liabilities ($9.0B).
Debt to Equity History and Analysis
Debt Level: SWK's net debt to equity ratio (109.9%) is considered high.
Reducing Debt: SWK's debt to equity ratio has increased from 73.3% to 111.6% over the past 5 years.
Debt Coverage: SWK's operating cash flow is negative, therefore debt is not well covered.
Interest Coverage: SWK's interest payments on its debt are well covered by EBIT (9.9x coverage).
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What is Stanley Black & Decker current dividend yield, its reliability and sustainability?
Dividend Score 5/6
Future Dividend Coverage
Current Dividend Yield
Dividend Yield vs Market
Notable Dividend: SWK's dividend (2.89%) is higher than the bottom 25% of dividend payers in the US market (1.57%).
High Dividend: SWK's dividend (2.89%) is low compared to the top 25% of dividend payers in the US market (4.23%).
Stability and Growth of Payments
Stable Dividend: SWK's dividends per share have been stable in the past 10 years.
Growing Dividend: SWK's dividend payments have increased over the past 10 years.
Earnings Payout to Shareholders
Earnings Coverage: With its reasonably low payout ratio (37.6%), SWK's dividend payments are well covered by earnings.
Cash Payout to Shareholders
Cash Flow Coverage: SWK is paying a dividend but the company has no free cash flows.
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How experienced are the management team and are they aligned to shareholders interests?
Average management tenure
Jim Loree (63 yo)
Mr. James M. Loree, also known as Jim, has been the Chief Executive Officer of Stanley Black & Decker, Inc. since August 2016. Mr. Loree had been the President of Stanley Black & Decker, Inc. since January...
CEO Compensation Analysis
Compensation vs Market: Jim's total compensation ($USD13.17M) is about average for companies of similar size in the US market ($USD13.43M).
Compensation vs Earnings: Jim's compensation has been consistent with company performance over the past year.
Experienced Management: SWK's management team is seasoned and experienced (7.4 years average tenure).
Experienced Board: SWK's board of directors are considered experienced (6.2 years average tenure).
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.
Recent Insider Transactions
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
Stanley Black & Decker, Inc.'s employee growth, exchange listings and data sources
- Name: Stanley Black & Decker, Inc.
- Ticker: SWK
- Exchange: NYSE
- Founded: 1843
- Industry: Industrial Machinery
- Sector: Capital Goods
- Implied Market Cap: US$16.490b
- Shares outstanding: 150.96m
- Website: https://www.stanleyblackanddecker.com
Number of Employees
- Stanley Black & Decker, Inc.
- 1000 Stanley Drive
- New Britain
- United States
Company Analysis and Financial Data Status
|Data||Last Updated (UTC time)|
|Company Analysis||2022/06/27 00:00|
|End of Day Share Price||2022/06/27 00:00|
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.