NasdaqGS:SRCL

Stock Analysis Report

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Executive Summary

Stericycle, Inc., together with its subsidiaries, provides regulated and compliance solutions to the healthcare, retail, and commercial businesses in the United States, Europe, and internationally. More Details


Snowflake Analysis

Moderate growth potential and overvalued.


Similar Companies

Share Price & News

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


Latest Share Price and Events

Stable Share Price: SRCL is less volatile than 75% of US stocks over the past 3 months, typically moving +/- 5% a week.

Volatility Over Time: SRCL's weekly volatility (5%) has been stable over the past year.


Market Performance


7 Day Return

-2.7%

SRCL

-1.6%

US Commercial Services

0.7%

US Market


1 Year Return

8.3%

SRCL

11.6%

US Commercial Services

22.2%

US Market

Return vs Industry: SRCL underperformed the US Commercial Services industry which returned 13.3% over the past year.

Return vs Market: SRCL underperformed the US Market which returned 22.7% over the past year.


Shareholder returns

SRCLIndustryMarket
7 Day-2.7%-1.6%0.7%
30 Day9.1%7.3%11.8%
90 Day10.3%6.4%8.6%
1 Year8.3%8.3%13.4%11.6%25.0%22.2%
3 Year6.2%6.2%52.7%43.0%49.4%39.5%
5 Year-40.1%-40.1%124.4%101.8%100.2%78.1%

Long-Term Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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

5.8%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: SRCL ($69.85) is trading below our estimate of fair value ($74.15)

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


Price To Earnings Ratio

PE vs Industry: SRCL is unprofitable, so we can't compare its PE Ratio to the US Commercial Services industry average.

PE vs Market: SRCL is unprofitable, so we can't compare its PE Ratio to the US market.


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate SRCL's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: SRCL is overvalued based on its PB Ratio (2.7x) compared to the US Commercial Services industry average (1.8x).


Next Steps

Future Growth

How is Stericycle forecast to perform in the next 1 to 3 years based on estimates from 12 analysts?

73.7%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: SRCL is forecast to become profitable over the next 3 years, which is considered faster growth than the savings rate (2.2%).

Earnings vs Market: SRCL is forecast to become profitable over the next 3 years, which is considered above average market growth.

High Growth Earnings: SRCL's is expected to become profitable in the next 3 years.

Revenue vs Market: SRCL's revenue (2.6% per year) is forecast to grow slower than the US market (10.2% per year).

High Growth Revenue: SRCL's revenue (2.6% 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 SRCL's Return on Equity is forecast to be high in 3 years time


Next Steps

Past Performance

How has Stericycle performed over the past 5 years?

-66.7%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: SRCL is currently unprofitable.

Growing Profit Margin: SRCL is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: SRCL is unprofitable, and losses have increased over the past 5 years at a rate of 66.7% per year.

Accelerating Growth: Unable to compare SRCL's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: SRCL is unprofitable, making it difficult to compare its past year earnings growth to the Commercial Services industry (-5.9%).


Return on Equity

High ROE: SRCL has a negative Return on Equity (-13.86%), as it is currently unprofitable.


Next Steps

Financial Health

How is Stericycle's financial position?


Financial Position Analysis

Short Term Liabilities: SRCL's short term assets ($565.7M) do not cover its short term liabilities ($686.9M).

Long Term Liabilities: SRCL's short term assets ($565.7M) do not cover its long term liabilities ($2.6B).


Debt to Equity History and Analysis

Debt Level: SRCL's debt to equity ratio (84.3%) is considered high.

Reducing Debt: SRCL's debt to equity ratio has increased from 56.8% to 84.3% over the past 5 years.

Debt Coverage: SRCL's debt is well covered by operating cash flow (20.9%).

Interest Coverage: SRCL is unprofitable, therefore interest payments are not well covered by earnings.


Balance Sheet


Next Steps

Dividend

What is Stericycle current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

Notable Dividend: Unable to evaluate SRCL's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.

High Dividend: Unable to evaluate SRCL's dividend yield against the top 25% of dividend payers, as the company has not reported any recent payouts.


Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if SRCL's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if SRCL's dividend payments have been increasing.


Current Payout to Shareholders

Dividend Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of SRCL's dividend in 3 years as they are not forecast to pay a notable one for the US market.


Next Steps

Management

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

1.8yrs

Average management tenure


CEO

Cindy Miller (58 yo)

1.58yrs

Tenure

US$3,215,913

Compensation

Ms. Cindy J. Miller has been the President of Stericycle, Inc. since October 1, 2018, Chief Executive Officer since May 2, 2019 and as its Director since February 28, 2019. Ms. Miller serves as Director at...


CEO Compensation Analysis

Compensation vs Market: Cindy's total compensation ($USD3.22M) is below average for companies of similar size in the US market ($USD6.94M).

Compensation vs Earnings: Cindy's compensation has increased whilst the company is unprofitable.


Leadership Team

NamePositionTenureCompensationOwnership
Cindy Miller
President1.58yrsUS$3.22m0.0060%
$ 383.1k
Janet Zelenka
Executive VP1.5yrsUS$1.35m0.0018%
$ 117.0k
Kurt Rogers
Executive VP3.42yrsUS$1.05m0.0019%
$ 121.5k
Joseph Reuter
Executive VP & Chief People Officer1.92yrsUS$938.00k0.00090%
$ 57.6k
Daniel Ginnetti
Executive Vice President of International1.5yrsUS$1.39m0.0080%
$ 514.2k
Richard Hoffman
Senior VP & Chief Accounting Officer3.58yrsno data0.0065%
$ 417.0k
Jennifer Koenig
Vice President of Corporate Communications & Investor Relationsno datano datano data
Michael Weisman
Executive VP and Chief Ethics & Compliance Officer2.67yrsno data0.0015%
$ 95.3k
Richard Moore
Executive Vice President of North American Operations1.92yrsno data0.00072%
$ 46.0k
Stephen White
Executive VP & Chief Commercial Officer1.17yrsno data0.00076%
$ 48.6k
Dominic Culotta
Executive VP & Chief Engineer1.67yrsno data0.00052%
$ 33.3k
Selin Hoboy
Vice President of Government Affairs & Complianceno datano datano data

1.8yrs

Average Tenure

57yo

Average Age

Experienced Management: SRCL's management team is not considered experienced ( 1.8 years average tenure), which suggests a new team.


Board Members

NamePositionTenureCompensationOwnership
Cindy Miller
President1.58yrsUS$3.22m0.0060%
$ 383.1k
Mike Zafirovski
Independent Director8.08yrsUS$212.49k0.0037%
$ 238.5k
Thomas Chen
Independent Director6.58yrsUS$204.99k0.010%
$ 661.9k
Brian Anderson
Independent Director3.92yrsUS$224.99k0.0056%
$ 355.6k
James Martell
Independent Director0.58yrno datano data
Veronica Hagen
Independent Director2.5yrsUS$204.99k0.0020%
$ 127.9k
Kay Priestly
Independent Director2.5yrsUS$204.99k0.0020%
$ 127.9k
Robert Murley
Independent Chairman of the Board2.75yrsUS$304.96k0.0056%
$ 357.5k
James Welch
Independent Director0.58yrno datano data
Stephen Hooley
Independent Director1.75yrsUS$175.52kno data
Lynn Bleil
Independent Director5.58yrsUS$217.46k0.0027%
$ 172.0k
J. Hackney
Independent Director1.75yrsUS$175.54k0%
$ 0

2.5yrs

Average Tenure

65.5yo

Average Age

Experienced Board: SRCL's board of directors are not considered experienced ( 2.5 years average tenure), which suggests a new board.


Ownership

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

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

Stericycle, Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Stericycle, Inc.
  • Ticker: SRCL
  • Exchange: NasdaqGS
  • Founded: 1989
  • Industry: Environmental and Facilities Services
  • Sector: Commercial Services
  • Market Cap: US$6.395b
  • Shares outstanding: 91.55m
  • Website: https://www.stericycle.com

Number of Employees


Location

  • Stericycle, Inc.
  • 2355 Waukegan Road
  • Bannockburn
  • Illinois
  • 60015
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
SRCLNasdaqGS (Nasdaq Global Select)YesCommon StockUSUSDAug 1996
SY9DB (Deutsche Boerse AG)YesCommon StockDEEURAug 1996
0L9OLSE (London Stock Exchange)YesCommon StockGBUSDAug 1996

Biography

Stericycle, Inc., together with its subsidiaries, provides regulated and compliance solutions to the healthcare, retail, and commercial businesses in the United States, Europe, and internationally. It oper...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/12/02 23:41
End of Day Share Price2020/12/02 00:00
Earnings2020/09/30
Annual Earnings2019/12/31


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.