NasdaqGS:SYNH

Stock Analysis Report

NOT FOR DISTRIBUTION
Header cover image

Executive Summary

Syneos Health, Inc. operates as an integrated biopharmaceutical solutions company in North America, Europe, the Middle East, Africa, the Asia-Pacific, and Latin America. More Details


Snowflake Analysis

Proven track record and fair value.


Similar Companies

Share Price & News

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


Latest Share Price and Events

Stable Share Price: SYNH has not had significant price volatility in the past 3 months.


Market Performance


7 Day Return

-3.2%

SYNH

1.5%

US Life Sciences

-1.1%

US Market


1 Year Return

3.7%

SYNH

46.2%

US Life Sciences

15.0%

US Market

Return vs Industry: SYNH underperformed the US Life Sciences industry which returned 46.2% over the past year.

Return vs Market: SYNH underperformed the US Market which returned 15.6% over the past year.


Shareholder returns

SYNHIndustryMarket
7 Day-3.2%1.5%-1.1%
30 Day4.7%9.9%2.9%
90 Day-10.8%9.9%5.7%
1 Year3.7%3.7%46.5%46.2%17.6%15.0%
3 Year-2.2%-2.2%96.6%95.3%38.9%29.7%
5 Year27.6%27.6%194.7%190.8%78.4%58.4%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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

9.9%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: SYNH ($55.92) is trading below our estimate of fair value ($62.09)

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


Price To Earnings Ratio

PE vs Industry: SYNH is good value based on its PE Ratio (31x) compared to the US Life Sciences industry average (42.9x).

PE vs Market: SYNH is poor value based on its PE Ratio (31x) compared to the US market (18.9x).


Price to Earnings Growth Ratio

PEG Ratio: SYNH is poor value based on its PEG Ratio (1.3x)


Price to Book Ratio

PB vs Industry: SYNH is good value based on its PB Ratio (1.9x) compared to the US Life Sciences industry average (6.8x).


Next Steps

Future Growth

How is Syneos Health forecast to perform in the next 1 to 3 years based on estimates from 13 analysts?

23.6%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: SYNH's forecast earnings growth (23.6% per year) is above the savings rate (2.2%).

Earnings vs Market: SYNH's earnings (23.6% per year) are forecast to grow faster than the US market (22.2% per year).

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

Revenue vs Market: SYNH's revenue (6.8% per year) is forecast to grow slower than the US market (10% per year).

High Growth Revenue: SYNH's revenue (6.8% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: SYNH's Return on Equity is forecast to be low in 3 years time (12.5%).


Next Steps

Past Performance

How has Syneos Health performed over the past 5 years?

3.8%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: SYNH has a large one-off loss of $65.9M impacting its June 30 2020 financial results.

Growing Profit Margin: SYNH's current net profit margins (4.1%) are higher than last year (0.4%).


Past Earnings Growth Analysis

Earnings Trend: SYNH's earnings have grown by 3.8% per year over the past 5 years.

Accelerating Growth: SYNH's earnings growth over the past year (982.5%) exceeds its 5-year average (3.8% per year).

Earnings vs Industry: SYNH earnings growth over the past year (982.5%) exceeded the Life Sciences industry 17%.


Return on Equity

High ROE: SYNH's Return on Equity (6.2%) is considered low.


Next Steps

Financial Health

How is Syneos Health's financial position?


Financial Position Analysis

Short Term Liabilities: SYNH's short term assets ($1.6B) exceed its short term liabilities ($1.4B).

Long Term Liabilities: SYNH's short term assets ($1.6B) do not cover its long term liabilities ($3.0B).


Debt to Equity History and Analysis

Debt Level: SYNH's debt to equity ratio (92.6%) is considered high.

Reducing Debt: SYNH's debt to equity ratio has reduced from 166.9% to 92.6% over the past 5 years.

Debt Coverage: SYNH's debt is not well covered by operating cash flow (14.1%).

Interest Coverage: SYNH's interest payments on its debt are well covered by EBIT (3x coverage).


Balance Sheet


Next Steps

Dividend

What is Syneos Health current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

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

High Dividend: Unable to evaluate SYNH'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 SYNH's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if SYNH'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 SYNH'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?

3.0yrs

Average management tenure


CEO

Alistair Macdonald (50 yo)

4yrs

Tenure

US$7,646,359

Compensation

Mr. Alistair Macdonald has been the Chief Executive Officer and Director of Syneos Health, Inc. (formerly, INC Research Holdings, Inc.) since October 1, 2016. Mr. Macdonald served as the Chief Operating Of ...


CEO Compensation Analysis

Compensation vs Market: Alistair's total compensation ($USD7.65M) is about average for companies of similar size in the US market ($USD7.37M).

Compensation vs Earnings: Alistair's compensation has been consistent with company performance over the past year.


Leadership Team

NamePositionTenureCompensationOwnership
Alistair Macdonald
CEO & Director4yrsUS$7.65m0.11%
$ 6.5m
Jason Meggs
Chief Financial Officer2.17yrsUS$2.25m0.029%
$ 1.7m
Jonathan Olefson
General Counsel & Corporate Secretary1.92yrsUS$1.73m0.0053%
$ 307.0k
Michelle Keefe
President of Commercial Solutions2.83yrsUS$2.04m0.011%
$ 614.5k
Paul Colvin
President of Clinical Solutions1.83yrsUS$2.07m0.0046%
$ 266.3k
Robert Parks
Executive VP & Chief Accounting Officer1.92yrsno data0.012%
$ 695.9k
Judith Ng-Cashin
Chief Scientific Officer4.58yrsno datano data
Ronnie Speight
Senior Vice President of Investor Relationsno datano datano data
Kristen Spensieri
Global Head of Corporate Communications & Marketing3.17yrsno datano data
Lisa Van Capelle
Chief Human Resources Officerno datano datano data
Neil Ferguson
Chief Business Officer4.67yrsno datano data
Bekki Brown
Executive VP of Clinical Development for General Medicine & GM5.17yrsno datano data

3.0yrs

Average Tenure

50yo

Average Age

Experienced Management: SYNH's management team is considered experienced (3 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Alistair Macdonald
CEO & Director4yrsUS$7.65m0.11%
$ 6.5m
Todd Abbrecht
Independent Director3.17yrsUS$255.00kno data
Kenneth Meyers
Independent Director4yrsUS$275.00k0.012%
$ 679.1k
Linda Harty
Independent Director3.58yrsUS$269.75k0.011%
$ 639.5k
William Klitgaard
Independent Director3.58yrsUS$278.50k0.011%
$ 639.5k
John Maldonado
Independent Director3.17yrsUS$82.75kno data
Joshua Nelson
Independent Director3.17yrsUS$257.75kno data
Matthew Monaghan
Independent Director4yrsUS$267.00k0.012%
$ 679.1k
Thomas Allen
Independent Director3.17yrsUS$90.00kno data
John Dineen
Independent Chairman1.83yrsUS$375.00k0.014%
$ 817.4k
Bernadette Connaughton
Independent Director0.92yrUS$113.20k0.0018%
$ 107.0k

3.2yrs

Average Tenure

52yo

Average Age

Experienced Board: SYNH's board of directors are considered experienced (3.2 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

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


Key Information

  • Name: Syneos Health, Inc.
  • Ticker: SYNH
  • Exchange: NasdaqGS
  • Founded: 2010
  • Industry: Life Sciences Tools and Services
  • Sector: Pharmaceuticals & Biotech
  • Market Cap: US$5.814b
  • Shares outstanding: 103.97m
  • Website: https://www.syneoshealth.com

Number of Employees


Location

  • Syneos Health, Inc.
  • 1030 Sync Street
  • Morrisville
  • North Carolina
  • 27560
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
SYNHNasdaqGS (Nasdaq Global Select)YesNew Class A Common StockUSUSDNov 2014
8INDB (Deutsche Boerse AG)YesNew Class A Common StockDEEURNov 2014

Biography

Syneos Health, Inc. operates as an integrated biopharmaceutical solutions company in North America, Europe, the Middle East, Africa, the Asia-Pacific, and Latin America. It operates through two segments, C ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/10/28 00:03
End of Day Share Price2020/10/27 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.