NYSE:SPB

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Spectrum Brands Holdings

Executive Summary

Spectrum Brands Holdings, Inc. operates as a branded consumer products company worldwide.


Snowflake Analysis

Adequate balance sheet and fair value.


Similar Companies

Share Price & News

How has Spectrum Brands Holdings's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: SPB's share price has been volatile over the past 3 months.


Market Performance


7 Day Return

6.0%

SPB

3.0%

US Household Products

2.7%

US Market


1 Year Return

-10.2%

SPB

13.4%

US Household Products

9.1%

US Market

Return vs Industry: SPB underperformed the US Household Products industry which returned 13.4% over the past year.

Return vs Market: SPB underperformed the US Market which returned 9.1% over the past year.


Shareholder returns

SPBIndustryMarket
7 Day6.0%3.0%2.7%
30 Day9.9%0.1%4.5%
90 Day-12.2%4.7%2.3%
1 Year-7.2%-10.2%16.3%13.4%11.5%9.1%
3 Year-58.8%-61.2%41.9%30.3%30.6%22.0%
5 Year-38.1%-41.7%77.6%53.3%57.2%39.5%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

Is Spectrum Brands Holdings undervalued compared to its fair value and its price relative to the market?

48.2%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: SPB ($47.32) is trading below our estimate of fair value ($91.28)

Significantly Below Fair Value: SPB is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: SPB is unprofitable, so we can't compare its PE Ratio to the Household Products industry average.

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


Price to Book Ratio

PB vs Industry: SPB is good value based on its PB Ratio (1.7x) compared to the US Household Products industry average (5.8x).


Next Steps

Future Growth

How is Spectrum Brands Holdings forecast to perform in the next 1 to 3 years based on estimates from 5 analysts?

160.6%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

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

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

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

Revenue vs Market: SPB's revenue (1.1% per year) is forecast to grow slower than the US market (8.8% per year).

High Growth Revenue: SPB's revenue (1.1% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: SPB's Return on Equity is forecast to be low in 3 years time (12.7%).


Next Steps

Past Performance

How has Spectrum Brands Holdings performed over the past 5 years?

25.1%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: SPB is currently unprofitable.

Growing Profit Margin: SPB is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: SPB is unprofitable, but has reduced losses over the past 5 years at a rate of 25.1% per year.

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

Earnings vs Industry: SPB is unprofitable, making it difficult to compare its past year earnings growth to the Household Products industry (14.2%).


Return on Equity

High ROE: SPB has a negative Return on Equity (-16.41%), as it is currently unprofitable.


Next Steps

Financial Health

How is Spectrum Brands Holdings's financial position?


Financial Position Analysis

Short Term Liabilities: SPB's short term assets ($1.7B) exceed its short term liabilities ($706.9M).

Long Term Liabilities: SPB's short term assets ($1.7B) do not cover its long term liabilities ($3.3B).


Debt to Equity History and Analysis

Debt Level: SPB's debt to equity ratio (233.1%) is considered high.

Reducing Debt: SPB's debt to equity ratio has reduced from 301.8% to 233.1% over the past 5 years.


Balance Sheet


Cash Runway Analysis

For companies that have on average been loss making in the past we assess whether they have at least 1 year of cash runway.

Stable Cash Runway: Whilst unprofitable SPB has sufficient cash runway for more than 3 years if it maintains its current positive free cash flow level.

Forecast Cash Runway: SPB is unprofitable but has sufficient cash runway for more than 3 years, even with free cash flow being positive and shrinking by 15.4% per year.


Next Steps

Dividend

What is Spectrum Brands Holdings's current dividend yield, its reliability and sustainability?

3.55%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: SPB's dividend (3.55%) is higher than the bottom 25% of dividend payers in the US market (1.69%).

High Dividend: SPB's dividend (3.55%) is low compared to the top 25% of dividend payers in the US market (4.48%).


Stability and Growth of Payments

Stable Dividend: SPB has been paying a dividend for less than 10 years and during this time payments have been volatile.

Growing Dividend: SPB has only been paying a dividend for 2 years, and since then payments have fallen.


Current Payout to Shareholders

Dividend Coverage: SPB 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.


Next Steps

Management

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

1.3yrs

Average management tenure


CEO

David Maura (47yo)

2.33yrs

Tenure

US$19,688,122

Compensation

Mr. David M. Maura, CFA, has been Chief Executive Officer of Spectrum Brands Legacy, Inc. since April 26, 2018. Mr. Maura served as the Chairman, President and Chief Executive Officer at Vivint Smart Home, ...


CEO Compensation Analysis

Compensation vs Market: David's total compensation ($USD19.69M) is above average for companies of similar size in the US market ($USD4.77M).

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


Leadership Team

NamePositionTenureCompensationOwnership
David Maura
Executive Chairman & CEO2.33yrsUS$19.69m0.90% $18.4m
Randal Lewis
Executive VP & COO1.58yrsUS$5.17m0.061% $1.2m
Ehsan Zargar
Executive VP1.58yrsUS$5.71m0.097% $2.0m
Rebeckah Long
Senior Vice President of Global Human Resources0.67yrUS$930.17k0.0039% $79.1k
Jeremy Smeltser
Executive VP & CFO0.50yrno data0.019% $393.0k
Daniel Karpel
VP, Corporate Controller & Chief Accounting Officer0.17yrno datano data
Kevin Kim
Divisional Vice President of Investor Relations1.33yrsno datano data
David Albert
President of Home & Personal Care Appliances1.17yrsno datano data
Philip Szuba
President of Hardware & Home Improvement2.5yrsno datano data

1.3yrs

Average Tenure

47.5yo

Average Age

Experienced Management: SPB's management team is not considered experienced ( 1.3 years average tenure), which suggests a new team.


Board Members

NamePositionTenureCompensationOwnership
David Maura
Executive Chairman & CEO2.33yrsUS$19.69m0.90% $18.4m
Terry Polistina
Lead Independent Directorno dataUS$326.23k0.065% $1.3m
Norman Matthews
Independent Director1.83yrsUS$250.51k0.068% $1.4m
Hugh Rovit
Independent Director1.83yrsUS$234.86k0.069% $1.4m
Kenneth Ambrecht
Independent Director1.83yrsUS$253.19k0.067% $1.4m
Sherianne James
Independent Director1.58yrsUS$224.46k0.0043% $86.8k

1.8yrs

Average Tenure

57.5yo

Average Age

Experienced Board: SPB's board of directors are not considered experienced ( 1.8 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

Spectrum Brands Holdings, Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Spectrum Brands Holdings, Inc.
  • Ticker: SPB
  • Exchange: NYSE
  • Founded:
  • Industry: Household Products
  • Sector: Household
  • Market Cap: US$2.037b
  • Shares outstanding: 43.06m
  • Website: https://www.spectrumbrands.com

Number of Employees


Location

  • Spectrum Brands Holdings, Inc.
  • 3001 Deming Way
  • Middleton
  • Wisconsin
  • 53562
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
SPBNYSE (New York Stock Exchange)YesCommon StockUSUSDJan 1968
H221DB (Deutsche Boerse AG)YesCommon StockDEEURJan 1968
SPB *BMV (Bolsa Mexicana de Valores)YesCommon StockMXMXNJan 1968

Biography

Spectrum Brands Holdings, Inc. operates as a branded consumer products company worldwide. The company’s Hardware & Home Improvement segment offers hardware products under the National Hardware and FANAL brands; locksets and door hardware under the Kwikset, Weiser, Baldwin, EZSET, and Tell manufacturing brands; and plumbing products under the Pfister brand. Its Home and Personal Care segment provides home appliances under the Black & Decker, Russell Hobbs, George Foreman, Toastmaster, Juiceman, Farberware, and Breadman brands; and personal care products under the Remington and LumaBella brands. The company’s Global Pet Supplies segment provides rawhide chewing, dog and cat clean-up and food, training, health and grooming, small animal food and care, and rawhide-free products under the 8IN1 (8-in-1), Dingo, Nature's Miracle, Wild Harvest, Littermaid, Jungle, Excel, FURminator, IAMS, Eukanuba, Healthy-Hide, DreamBone, SmartBones, ProSense, Perfect Coat, eCOTRITION, Birdola, and Digest-eeze brands. This segment also offers aquarium kits, and aquatics equipment and consumables under the Tetra, Marineland, Whisper, Instant Ocean, and GloFish brand names. Its Home and Garden segment provides outdoor insect and weed control solutions, and animal repellents under the Spectracide, Garden Safe, Liquid Fence, and EcoLogic brands; household pest controls under the Hot Shot, Black Flag, Real-Kill, Ultra Kill, The Ant Trap, and Rid-A-Bug brand names; and personal-use pesticides and insect repellent products under the Cutter and Repel brands. The company sells its products through retailers, e-commerce and online retailers, wholesalers and distributors, construction companies, and original equipment manufacturers. The company was formerly known as HRG Group, Inc. and changed its name to Spectrum Brands Holdings, Inc. in July 2018. Spectrum Brands Holdings, Inc. is headquartered in Middleton, Wisconsin. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/05/30 11:34
End of Day Share Price2020/05/29 00:00
Earnings2020/03/29
Annual Earnings2019/09/30


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.