NYSE:SOR

Stock Analysis Report

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Executive Summary

Source Capital, Inc. is a close-ended balanced fund launched and managed by First Pacific Advisors, LLC. More Details


Snowflake Analysis

Share Price & News

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


Latest Share Price and Events

Stable Share Price: SOR is less volatile than 75% of US stocks over the past 3 months, typically moving +/- 2% a week.

Volatility Over Time: SOR's weekly volatility (2%) has been stable over the past year.


Market Performance


7 Day Return

2.8%

SOR

1.5%

US Capital Markets

-0.4%

US Market


1 Year Return

16.9%

SOR

45.4%

US Capital Markets

36.2%

US Market

Return vs Industry: SOR underperformed the US Capital Markets industry which returned 45.4% over the past year.

Return vs Market: SOR underperformed the US Market which returned 36.2% over the past year.


Shareholder returns

SORIndustryMarket
7 Day2.8%1.5%-0.4%
30 Day4.1%3.3%-2.3%
90 Day6.6%14.5%5.0%
1 Year21.7%16.9%49.0%45.4%39.1%36.2%
3 Year23.3%2.6%35.9%25.9%48.4%39.0%
5 Year63.8%-37.1%145.9%115.5%116.6%92.4%

Long-Term Price Volatility Vs. Market

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


Simply Wall St News

No news available

Valuation

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

1.07x

Price to Book (PB) ratio


Share Price vs. Fair Value

Below Fair Value: SOR ($43.02) is trading above our estimate of fair value ($37.09)

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


Price To Earnings Ratio

PE vs Industry: SOR is unprofitable, so we can't compare its PE Ratio to the US Capital Markets industry average.

PE vs Market: SOR 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 SOR's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: SOR is good value based on its PB Ratio (1.1x) compared to the US Capital Markets industry average (19.8x).

Future Growth

How is Source Capital forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?

13.5%

Forecasted Diversified Financials industry annual growth in earnings


In this section we usually present revenue and earnings growth projections based on the consensus estimates of professional analysts to help investors understand the company’s ability to generate profit. But as Source Capital has not provided enough past data and has no analyst forecast, its future earnings cannot be reliably calculated by extrapolating past data or using analyst predictions.

This is quite a rare situation as 97% of companies covered by SimplyWall St do have past financial data.

Past Performance

How has Source Capital performed over the past 5 years?

11.2%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: SOR is currently unprofitable.

Growing Profit Margin: SOR is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: SOR is unprofitable, but has reduced losses over the past 5 years at a rate of 11.2% per year.

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

Earnings vs Industry: SOR is unprofitable, making it difficult to compare its past year earnings growth to the Capital Markets industry (10.4%).


Return on Equity

High ROE: SOR has a negative Return on Equity (-3.15%), as it is currently unprofitable.

Financial Health

How is Source Capital's financial position?


Financial Position Analysis

Short Term Liabilities: SOR's short term assets ($58.2M) exceed its short term liabilities ($12.0M).

Long Term Liabilities: SOR has no long term liabilities.


Debt to Equity History and Analysis

Debt Level: SOR is debt free.

Reducing Debt: SOR has not had any debt for past 5 years.

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

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


Balance Sheet

Dividend

What is Source Capital current dividend yield, its reliability and sustainability?

3.39%

Current Dividend Yield


Upcoming Dividend Payment


Dividend Yield vs Market

Notable Dividend: SOR's dividend (3.39%) is higher than the bottom 25% of dividend payers in the US market (1.31%).

High Dividend: SOR's dividend (3.39%) is low compared to the top 25% of dividend payers in the US market (3.64%).


Stability and Growth of Payments

Stable Dividend: SOR's dividend payments have been volatile in the past 10 years.

Growing Dividend: SOR's dividend payments have fallen over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: SOR is paying a dividend but the company is unprofitable.


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.

Management

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

9.7yrs

Average board tenure


CEO

Source Capital has no CEO, or we have no data on them.


Board Members

NamePositionTenureCompensationOwnership
Alfred Osborne
Director8.17yrsno data0.012%
$ 43.0k
Allan Rudnick
Chairmanno datano datano data
A. Pisano
Director8.08yrsno data0.0089%
$ 32.3k
Thomas Merrick
Director15.17yrsUS$32.00kno data
Patrick Purcell
Director11.17yrsno datano data

9.7yrs

Average Tenure

77yo

Average Age

Experienced Board: SOR's board of directors are considered experienced (9.7 years average tenure).


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

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


Key Information

  • Name: Source Capital, Inc.
  • Ticker: SOR
  • Exchange: NYSE
  • Founded: 1968
  • Industry: Asset Management and Custody Banks
  • Sector: Diversified Financials
  • Market Cap: US$364.658m
  • Shares outstanding: 8.48m
  • Website: https://www.fpafunds.com/sourcecapitalfund.asp

Location

  • Source Capital, Inc.
  • 11601 Wilshire Boulevard
  • Suite 1200
  • Los Angeles
  • California
  • 90025
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
SORNYSE (New York Stock Exchange)YesCommon StockUSUSDJan 1973

Biography

Source Capital, Inc. is a close-ended balanced fund launched and managed by First Pacific Advisors, LLC. The fund invests in the public equity markets of the United States. It seeks to invest in the stocks...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/03/06 23:53
End of Day Share Price2021/03/05 00:00
Earnings2020/06/30
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.