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SSTK

Shutterstock NYSE:SSTK Stock Report

Last Price

US$52.71

Market Cap

US$1.9b

7D

3.4%

1Y

-53.7%

Updated

05 Oct, 2022

Data

Company Financials +
SSTK fundamental analysis
Snowflake Score
Valuation3/6
Future Growth5/6
Past Performance2/6
Financial Health4/6
Dividends3/6

SSTK Stock Overview

Shutterstock, Inc., a technology company, provides quality content, and creative workflow solutions in North America, Europe, and internationally.

Shutterstock Competitors

Price History & Performance

Summary of all time highs, changes and price drops for Shutterstock
Historical stock prices
Current Share PriceUS$52.71
52 Week HighUS$128.36
52 Week LowUS$48.64
Beta1.13
1 Month Change-5.44%
3 Month Change-15.13%
1 Year Change-53.66%
3 Year Change49.36%
5 Year Change55.67%
Change since IPO143.35%

Recent News & Updates

Sep 12

Shuttestock has a new Chief Technology Officer

Shutterstock (NYSE:SSTK) appoints more than 20 years of global leadership, product and technology experienced Sejal Amin as the Chief Technology Officer (CTO), effective September 12, 2022. Most recently, she was Chief Product and Technology Officer for Khoros, a Vista Portfolio company.

Sep 11
At US$57.88, Is Shutterstock, Inc. (NYSE:SSTK) Worth Looking At Closely?

At US$57.88, Is Shutterstock, Inc. (NYSE:SSTK) Worth Looking At Closely?

Shutterstock, Inc. ( NYSE:SSTK ), is not the largest company out there, but it saw a decent share price growth in the...

Aug 24

Shutterstock: Valuable Internet Content Service; Near-Term Cap-Gain Investment

Summary Shutterstock is not like other internet content, intended to appear that way. But institutional investors recognize the differences. 110% of Shutterstock’s float is held by 337 institutions. What may they know that you may not? Today’s capital gained at a 142% annual rate. 31 times in the last 5 years. They know how to own more than 100% of it, and they know where and when to move on to better-investing prospects at proper times. But you should learn how they view this one first. Investment Thesis Knowing when and which stocks to own, actively and selectively, provides a continuing series of net capital gain opportunities delivering wealth accumulation or spendable income at rates which are multiples of what market-index ETFs offer. You can know what winning institutions know about capital-building stock situations by listening to what the markets tell as capital is being invested. Because today's markets pay active investors for being in the right places at the right times. They feed off the indolence of passive-strategy investing buy and holders who frequently pass-up timely points of profitable position liquidation. Increased information technology, communication capabilities, and rapidly evolving competitive practices make this century's investing markets far more opportune with pricing activity than the 20th century offered. But an active investment strategy requires reasonably-accurate forecasts of what to expect. Fortunately, the conditions creating the "hazards" feared by the buy and holders are what provide the needed forecasts. The markets themselves, in their interactions, define what the best-informed professional practitioners see as coming-price limits. In both directions. Instead of forecasts by analysts of what may be hoped for as price/earnings targets to be sought, the markets define ranges within which prices are reasonably being expected. Ranges which warn of currently un-maintainable excesses, and of price depressions unlikely to present buying bargains for long. But if this is not a suitable practice for your situation, continue to ignore it. We are pleased to have your persistent support, rather than competition which might erode our wealth-building competitive productivity. Risk and Reward Balances Among Internet Content Competitors Let's look at an "Opportunity Set" of comparable companies ranging from most to least attractive to consider in one particular area of activity today - the Internet as a means of getting things done. Our best-buy bet is Shutterstock, Inc. (SSTK). Here in Figure 1 is how the markets currently appraise their Reward-Risk trade-offs. Figure 1 blockdesk.com (used with permission) Upside price rewards are from the behavioral analysis (of what system transactions require to be done, not of emotional investor errors) by Market-Makers (MMs) as they protect their at-risk capital from possible damaging future price moves. Their potential reward forecasts are measured by the green horizontal scale. The risk dimension is of actual price drawdowns at their most extreme point while being held in previous pursuit of upside rewards similar to the ones currently being seen. They are measured on the red vertical scale. Both scales are of percent change from zero to 25%. Any stock or ETF whose present risk exposure exceeds its reward prospect will be above the dotted diagonal line. Capital-gain attractive to-buy issues are in the directions down and to the right. Our principal interest is in SSTK at location [14]. A "market index" norm of reward~risk tradeoffs is offered by SPY at [6]. Most appealing by this Figure 1 view is SSTK. Description of Subject Company "Shutterstock, Inc., a technology company, provides quality content, and creative workflow solutions in North America, Europe, and internationally. It offers image services consisting of photographs, vectors, and illustrations, which are used in visual communications, footage services, including video clips, filmed by industry experts and cinema-grade video effects; and music services which are used to complement images and footage. It serves corporate professionals and organizations, media and broadcast companies, and small and medium-sized businesses, and individual creators. The company was founded in 2003 and is headquartered in New York, New York." Source: Yahoo Finance Yahoo Finance These growth estimates have been made by and are collected from Wall Street analysts to suggest what conventional methodology currently produces. The typical variations across forecast horizons of different time periods illustrate the difficulty of making value comparisons when the forecast horizon is not clearly defined. The Figure 1 map provides a good visual comparison of the two most important aspects of every equity investment in the short term. There are other aspects of comparison which this map sometimes does not communicate well, particularly when general market perspectives like those of SPY are involved. Where questions of "how likely' are present other comparative tables, like Figure 2, may be useful. Figure 2 blockdesk.com (used with permission) Why Do All This Math? Figure 2's purpose is to attempt universally comparable answers, stock by stock, of a) How BIG the prospective price gain payoff may be, b) how LIKELY the payoff will be a profitable experience, c) how SOON it may happen, and d) what price drawdown RISK may be encountered during its active holding period. Readers familiar with our analysis methods after a quick examination of Figure 2 may wish to skip to the next section viewing price range forecast trends for SSTK. Column headers for Figure 2 define investment-choice preference elements for each row stock whose symbol appears at the left in column [A]. The elements are derived or calculated separately for each stock, based on the specifics of its situation and current-day MM price-range forecasts. Data in red numerals are negative, usually undesirable to "long" holding positions. Table cells with yellow fills are of data for the stocks of principal interest and of all issues at the ranking column, [R]. The price-range forecast limits of columns [B] and [C] get defined by MM hedging actions to protect firm capital required to be put at risk of price changes from volume trade orders placed by big-$ "institutional" clients. [E] measures potential upside risks for MM short positions created to fill such orders, and reward potentials for the buy-side positions so created. Prior forecasts like the present provide a history of relevant price draw-down risks for buyers. The most severe ones actually encountered are in [F], during holding periods in an effort to reach [E] gains. Those are where buyers are emotionally most likely to accept losses. The Range Index [G] tells where today's price lies relative to the MM community's forecast of upper and lower limits of coming prices. Its numeric is the percentage proportion of the full low to high forecast seen below the current market price. [H] tells what proportion of the [L] sample of prior like-balance forecasts have earned gains by either having price reach its [B] target or be above its [D] entry cost at the end of a 3-month max-patience holding period limit. [ I ] gives the net gains-losses of those [L] experiences. What makes SSTK most attractive in the group at this point in time is its ability to produce capital gains most consistently at its present operating balance between share price risk and reward at the Range Index [G]. At a RI of zero, today's price is at the bottom of its forecast range, with price expectations all to the upside. Not our expectations, but those of Market-Makers acting in support of Institutional Investment organization clients building the values of their typical multi-billion-$ portfolios. Credibility of the [E] upside prospect as achieved previously at today's RI in the [I] payoff at +16% is shown in [N]. Further Reward~Risk tradeoffs involve using the [H] odds for gains with the 100 - H loss odds as weights for N-conditioned [E] and for [F], for a combined-return score [Q]. The typical position holding period [J] on [Q] provides a figure of merit [fom] ranking measure [R] useful in portfolio position preferencing. Figure 2 is row-ranked on [R] among alternative candidate securities, with SSTK in top rank. One important notion from this analysis is that much of internet content, despite its appealing presence and enthusiastic presentation provides little revenue-generating investment opportunity. Hot spots may get intense, but they are relatively few and are likely to vacillate through time. Along with the candidate-specific stocks these selection considerations are provided for the averages of some 3,300 stocks for which MM price-range forecasts are available today, and 20 of the best-ranked (by fom) of those forecasts, as well as the forecast for S&P500 Index ETF as an equity-market proxy. Current-market index SPY is only moderately competitive as an investment alternative. Its Range Index of 34 indicates some two-thirds of its forecast range is to the upside while only a bit more than three-quarters of previous SPY forecasts at this range index produced profitable outcomes.

Shareholder Returns

SSTKUS Interactive Media and ServicesUS Market
7D3.4%4.8%4.4%
1Y-53.7%-38.3%-18.2%

Return vs Industry: SSTK underperformed the US Interactive Media and Services industry which returned -39.1% over the past year.

Return vs Market: SSTK underperformed the US Market which returned -20% over the past year.

Price Volatility

Is SSTK's price volatile compared to industry and market?
SSTK volatility
SSTK Average Weekly Movement6.6%
Interactive Media and Services Industry Average Movement8.4%
Market Average Movement6.9%
10% most volatile stocks in US Market15.5%
10% least volatile stocks in US Market2.8%

Stable Share Price: SSTK is not significantly more volatile than the rest of US stocks over the past 3 months, typically moving +/- 7% a week.

Volatility Over Time: SSTK's weekly volatility (7%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
20031,148Paul Hennessyhttps://www.shutterstock.com

Shutterstock, Inc., a technology company, provides quality content, and creative workflow solutions in North America, Europe, and internationally. It offers image services consisting of photographs, vectors, and illustrations, which is used in visual communications, such as websites, digital and print marketing materials, corporate communications, books, publications, and others; footage services, including video clips, filmed by industry experts and cinema grade video effects, and HD and 4K formats that are integrated into Websites, social media, marketing campaigns, and cinematic productions; and music services comprising music tracks and sound effects, which are used to complement images and footage. The company provides its services under the Shutterstock, Bigstock, Offset, TurboSquid,PremiumBeat brand names, as well as Application programming interface to enhance workflow and project management needs, and search capabilities.

Shutterstock Fundamentals Summary

How do Shutterstock's earnings and revenue compare to its market cap?
SSTK fundamental statistics
Market CapUS$1.90b
Earnings (TTM)US$78.93m
Revenue (TTM)US$806.23m

24.0x

P/E Ratio

2.4x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
SSTK income statement (TTM)
RevenueUS$806.23m
Cost of RevenueUS$294.54m
Gross ProfitUS$511.69m
Other ExpensesUS$432.75m
EarningsUS$78.93m

Last Reported Earnings

Jun 30, 2022

Next Earnings Date

Oct 25, 2022

Earnings per share (EPS)2.19
Gross Margin63.47%
Net Profit Margin9.79%
Debt/Equity Ratio11.7%

How did SSTK perform over the long term?

See historical performance and comparison

Dividends

1.8%

Current Dividend Yield

41%

Payout Ratio
We’ve recently updated our valuation analysis.

Valuation

Is SSTK undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

3/6

Valuation Score 3/6

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Below Fair Value

  • Significantly Below Fair Value

  • Analyst Forecast

Key Valuation Metric

Which metric is best to use when looking at relative valuation for SSTK?

Other financial metrics that can be useful for relative valuation.

SSTK key valuation metrics and ratios. From Price to Earnings, Price to Sales and Price to Book to Price to Earnings Growth Ratio, Enterprise Value and EBITDA.
Key Statistics
Enterprise Value/Revenue2.4x
Enterprise Value/EBITDA14.7x
PEG Ratio1.1x

Price to Earnings Ratio vs Peers

How does SSTK's PE Ratio compare to its peers?

SSTK PE Ratio vs Peers
The above table shows the PE ratio for SSTK vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyPEEstimated GrowthMarket Cap
Peer Average39.4x
YY JOYY
33.3x86.2%US$2.1b
ZIP ZipRecruiter
31.5x21.9%US$2.0b
YELP Yelp
52x27.7%US$2.5b
GETY Getty Images Holdings
41.6xn/aUS$2.6b
SSTK Shutterstock
24.1x21.9%US$1.9b

Price-To-Earnings vs Peers: SSTK is good value based on its Price-To-Earnings Ratio (24.1x) compared to the peer average (39.6x).


Price to Earnings Ratio vs Industry

How does SSTK's PE Ratio compare vs other companies in the US Interactive Media and Services Industry?

Price-To-Earnings vs Industry: SSTK is expensive based on its Price-To-Earnings Ratio (24.1x) compared to the US Interactive Media and Services industry average (23.3x)


Price to Earnings Ratio vs Fair Ratio

What is SSTK'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.

SSTK PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio24x
Fair PE Ratio22.3x

Price-To-Earnings vs Fair Ratio: SSTK is expensive based on its Price-To-Earnings Ratio (24.1x) compared to the estimated Fair Price-To-Earnings Ratio (22.3x).


Share Price vs Fair Value

What is the Fair Price of SSTK when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: SSTK ($52.84) is trading below our estimate of fair value ($127.86)

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


Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

Analyst Forecast: Target price is more than 20% higher than the current share price, but analysts are not within a statistically confident range of agreement.


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Future Growth

How is Shutterstock forecast to perform in the next 1 to 3 years based on estimates from 6 analysts?

Future Growth Score

5/6

Future Growth Score 5/6

  • Earnings vs Savings Rate

  • Earnings vs Market

  • High Growth Earnings

  • Revenue vs Market

  • High Growth Revenue

  • Future ROE


21.9%

Forecasted annual earnings growth

Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: SSTK's forecast earnings growth (21.9% per year) is above the savings rate (1.9%).

Earnings vs Market: SSTK's earnings (21.9% per year) are forecast to grow faster than the US market (14.7% per year).

High Growth Earnings: SSTK's earnings are expected to grow significantly over the next 3 years.

Revenue vs Market: SSTK's revenue (7.7% per year) is forecast to grow faster than the US market (7.6% per year).

High Growth Revenue: SSTK's revenue (7.7% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: SSTK's Return on Equity is forecast to be high in 3 years time (21.9%)


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Past Performance

How has Shutterstock performed over the past 5 years?

Past Performance Score

2/6

Past Performance Score 2/6

  • Quality Earnings

  • Growing Profit Margin

  • Earnings Trend

  • Accelerating Growth

  • Earnings vs Industry

  • High ROE


28.7%

Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: SSTK has high quality earnings.

Growing Profit Margin: SSTK's current net profit margins (9.8%) are lower than last year (14.9%).


Past Earnings Growth Analysis

Earnings Trend: SSTK's earnings have grown significantly by 28.7% per year over the past 5 years.

Accelerating Growth: SSTK's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: SSTK had negative earnings growth (-26.5%) over the past year, making it difficult to compare to the Interactive Media and Services industry average (18.6%).


Return on Equity

High ROE: SSTK's Return on Equity (18.4%) is considered low.


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Financial Health

How is Shutterstock's financial position?

Financial Health Score

4/6

Financial Health Score 4/6

  • Short Term Liabilities

  • Long Term Liabilities

  • Debt Level

  • Reducing Debt

  • Debt Coverage

  • Interest Coverage

Financial Position Analysis

Short Term Liabilities: SSTK's short term assets ($163.3M) do not cover its short term liabilities ($368.0M).

Long Term Liabilities: SSTK's short term assets ($163.3M) exceed its long term liabilities ($51.5M).


Debt to Equity History and Analysis

Debt Level: SSTK has more cash than its total debt.

Reducing Debt: Insufficient data to determine if SSTK's debt to equity ratio has reduced over the past 5 years.

Debt Coverage: SSTK's debt is well covered by operating cash flow (337.5%).

Interest Coverage: SSTK's interest payments on its debt are well covered by EBIT (1422.9x coverage).


Balance Sheet


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Dividend

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

Dividend Score

3/6

Dividend Score 3/6

  • Notable Dividend

  • High Dividend

  • Stable Dividend

  • Growing Dividend

  • Earnings Coverage

  • Cash Flow Coverage


1.82%

Current Dividend Yield

Dividend Yield vs Market

Shutterstock Dividend Yield vs Market
How does Shutterstock dividend yield compare to the market?
SegmentDividend Yield
Company (Shutterstock)1.8%
Market Bottom 25% (US)1.6%
Market Top 25% (US)4.5%
Industry Average (Interactive Media and Services)4.0%
Analyst forecast in 3 Years (Shutterstock)1.9%

Notable Dividend: SSTK's dividend (1.82%) is higher than the bottom 25% of dividend payers in the US market (1.64%).

High Dividend: SSTK's dividend (1.82%) is low compared to the top 25% of dividend payers in the US market (4.63%).


Stability and Growth of Payments

Stable Dividend: Whilst dividend payments have been stable, SSTK has been paying a dividend for less than 10 years.

Growing Dividend: SSTK's dividend payments have increased, but the company has only paid a dividend for 3 years.


Earnings Payout to Shareholders

Earnings Coverage: With its reasonably low payout ratio (41.5%), SSTK's dividend payments are well covered by earnings.


Cash Payout to Shareholders

Cash Flow Coverage: With its reasonably low cash payout ratio (37.9%), SSTK's dividend payments are well covered by cash flows.


Discover strong dividend paying companies

Management

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

1.9yrs

Average management tenure


CEO

Paul Hennessy (57 yo)

7.5yrs

Tenure

US$216,094

Compensation

Mr. Paul J. Hennessy serves as Chief Executive Officer at Shutterstock, Inc. since May 2022 and serves as its Director since May 2022. He served as Chief Executive Officer of Vroom, Inc. since June 8, 2016...


Leadership Team

Experienced Management: SSTK's management team is not considered experienced ( 1.9 years average tenure), which suggests a new team.


Board Members

Experienced Board: SSTK's board of directors are considered experienced (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

NYSE:SSTK Recent Insider Transactions by Companies or Individuals
DateValueNameEntityRoleSharesMax Price
10 Jun 22BuyUS$564,700Paul HennessyIndividual10,000US$56.47
09 Mar 22SellUS$138,238Steven CiardielloIndividual1,557US$88.79
05 Nov 21SellUS$312,101Thomas EvansIndividual2,570US$121.44

Ownership Breakdown

What is the ownership structure of SSTK?
Owner TypeNumber of SharesOwnership Percentage
Individual Insiders11,916,69231.0%
Institutions26,505,63469.0%

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


Top Shareholders

Top 25 shareholders own 86.9% of the company
OwnershipNameSharesCurrent ValueChange %Portfolio %
32.34%
Jonathan Oringer
11,632,325$613.1m-2.05%no data
10.58%
BlackRock, Inc.
3,805,026$200.6m0.32%no data
7.89%
The Vanguard Group, Inc.
2,837,243$149.6m3.46%no data
3.17%
Macquarie Investment Management Business Trust
1,140,635$60.1m11.17%0.06%
3%
Conestoga Capital Advisors, LLC
1,078,061$56.8m-0.88%1.01%
2.77%
Renaissance Technologies LLC
994,901$52.4m9.39%0.06%
2.71%
Wellington Management Group LLP
974,386$51.4m-54.31%0.01%
2.43%
State Street Global Advisors, Inc.
873,576$46.0m6.78%no data
2.18%
Dimensional Fund Advisors LP
783,865$41.3m-0.62%0.01%
2.06%
Invesco Ltd.
741,366$39.1m4.93%0.01%
2.01%
Copeland Capital Management, LLC
723,006$38.1m25.61%1.21%
1.93%
ArrowMark Colorado Holdings, LLC
693,214$36.5m0.33%0.42%
1.6%
Loomis Sayles & Company, L.P.
575,822$30.4m-17.83%0.05%
1.48%
Millennium Management LLC
531,933$28.0m119.86%0.04%
1.38%
Bernzott Capital Advisors
494,850$26.1m11.14%3.13%
1.26%
Geode Capital Management, LLC
453,731$23.9m8.76%no data
1.17%
D. E. Shaw & Co., L.P.
419,043$22.1m219.7%0.04%
1.01%
Rice Hall James & Associates, LLC
363,211$19.1m25.9%0.9%
1.01%
Pembroke Management Ltd.
361,738$19.1m-0.38%1.65%
0.98%
Boston Trust Walden Company
352,698$18.6m0.34%0.17%
0.96%
Assenagon Asset Management S.A.
345,783$18.2m247.05%0.06%
0.91%
Numeric Investors LLC
327,687$17.3m96.18%0.1%
0.76%
Northern Trust Global Investments
273,343$14.4m-8.08%no data
0.67%
BNY Mellon Asset Management
240,854$12.7m-4.33%no data
0.66%
Morgan Stanley, Investment Banking and Brokerage Investments
237,496$12.5m93.95%no data

Company Information

Shutterstock, Inc.'s employee growth, exchange listings and data sources


Key Information

  • Name: Shutterstock, Inc.
  • Ticker: SSTK
  • Exchange: NYSE
  • Founded: 2003
  • Industry: Interactive Media and Services
  • Sector: Media
  • Implied Market Cap: US$1.901b
  • Shares outstanding: 35.97m
  • Website: https://www.shutterstock.com

Number of Employees


Location

  • Shutterstock, Inc.
  • Empire State Building
  • 21st Floor
  • New York
  • New York
  • 10118
  • United States


Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
SSTKNYSE (New York Stock Exchange)YesCommon StockUSUSDOct 2012
S3TBST (Boerse-Stuttgart)YesCommon StockDEEUROct 2012
S3TDB (Deutsche Boerse AG)YesCommon StockDEEUROct 2012

Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2022/10/05 00:00
End of Day Share Price2022/10/05 00:00
Earnings2022/06/30
Annual Earnings2021/12/31


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.