SPH Intrinsic Stock Value – Suburban Propane Partners Reports Fourth Quarter Earnings for FY2023
November 29, 2023
🌥️Earnings Overview
On September 30th, 2023, SUBURBAN PROPANE PARTNERS ($NYSE:SPH) announced their quarterly earnings report for the fourth quarter of FY2023. With total revenue amounting to USD 226.6 million, a 4.6% decrease from the same quarter in the previous fiscal year was observed. The company reported net income of USD -20.9 million, a marked improvement when compared to the figure of -54.2 million for the same quarter in the prior year.
Share Price
Their stock opened at $16.3 and closed at $16.5, representing a 1.4% decrease from the previous closing price of $16.8. Suburban Propane Partners ended the quarter on a high note, with a healthy balance sheet and a solid portfolio of long-term assets. With a healthy financial position and increasing sales volumes, the company is in a good position to continue growing in the future. Live Quote…
About the Company
Income Snapshot
Below shows the total revenue, net income and net margin for SPH. More…
| Total Revenues | Net Income | Net Margin |
| 1.43k | 123.75 | 8.7% |
Cash Flow Snapshot
Below shows the cash from operations, investing and financing for SPH. More…
| Operations | Investing | Financing |
| 216.8 | -94.44 | -127.82 |
Balance Sheet Snapshot
Below shows the total assets, liabilities and book value per share for SPH. More…
| Total Assets | Total Liabilities | Book Value Per Share |
| 2.28k | 1.7k | 9.2 |
Key Ratios Snapshot
Some of the financial key ratios for SPH are shown below. More…
| 3Y Rev Growth | 3Y Operating Profit Growth | Operating Margin |
| 8.9% | 13.8% | 13.8% |
| FCF Margin | ROE | ROA |
| 12.1% | 21.2% | 5.4% |
Analysis – SPH Intrinsic Stock Value
GoodWhale has conducted an analysis of SUBURBAN PROPANE PARTNERS’s wellbeing and have arrived at a fair value of $15.6 per share, calculated by our proprietary Valuation Line. The Valuation Line is a proprietary tool for determining a company’s fair market value. Currently, SUBURBAN PROPANE PARTNERS shares are trading at $16.5, which is a 5.5% overvaluation of the stock according to our assessment. It is important to note that the fair price for a stock can fluctuate due to external factors, such as supply and demand, which may cause the market price to be higher or lower than the value determined by our Valuation Line. Therefore, we suggest investors assess all available information before making any investment decisions. More…
Peers
The company faces competition from other large propane companies such as Atmos Energy Corp, Spire Inc and Unimot SA, who all strive to provide competitively priced and efficient services to their respective customers.
– Atmos Energy Corp ($NYSE:ATO)
Atmos Energy Corp is an integrated natural gas company that provides natural gas distribution and related services to over three million residential, commercial, public authority, and industrial customers in eight states. As of 2023, Atmos Energy Corp had a market cap of 15.35 billion and a Return on Equity (ROE) of 6.44%. The market cap of a company is the total value of its outstanding shares of stock and is calculated by multiplying the number of outstanding shares by the current market price of the stock. Atmos Energy Corp’s market cap indicates that it is a large and stable company that has been able to generate consistent returns for its investors. The company’s ROE is a measure of how efficiently it is using its shareholders’ investments to generate profits. Atmos Energy Corp’s 6.44% ROE indicates that it is using its resources to generate a relatively stable and consistent return for its investors.
– Spire Inc ($NYSE:SR)
Spire Inc is a leading energy services company that operates natural gas infrastructure, utility services, and renewable energy solutions in the United States. With a market cap of 3.68B as of 2023, Spire Inc is well positioned to continue to capitalize on energy markets for the foreseeable future. Its Return on Equity (ROE) has also been strong at 8.82%, indicating that the company is generating a healthy return for shareholders. This healthy return has allowed the company to make strategic investments in new technologies and services that have kept it competitive in the ever-changing energy market.
– Unimot SA ($LTS:0ROK)
Unimot SA is a Polish fuel and energy company that operates in the retail fuel and energy sector. The company has a market capitalization of 746M as of 2023, which ranks it among the largest publicly-traded companies in Poland. Unimot SA has also maintained a strong Return on Equity (ROE) of 37.34%, a sign of the company’s strong financial performance. Unimot SA has been able to generate strong returns for its stockholders thanks to its successful business model and efficient management. The company is well-positioned to continue delivering growth in the years to come.
Summary
Suburban Propane Partners reported their fourth quarter FY2023 earnings results on September 30, 2023. Total revenue decreased 4.6% year-over-year to USD 226.6 million, however net income improved from -54.2 million to -20.9 million. The company’s stock is currently trading at a discount to its 5-year average price-earnings ratio, indicating that there may be value in investing in Suburban Propane Partners at the current time. Furthermore, Suburban Propane Partners has a long history of dividend payments, with a current dividend yield of over 6%, creating a potential income opportunity for investors.
Additionally, the company has a low debt-to-equity ratio and strong cash flow from operations, suggesting that it has the ability to generate growth over the long term.
Related Posts
Recent Posts
Investing Everyone Can Do.
Investing shouldn’t be exclusive to a select few. We believe everyone should have the opportunity to grow their wealth. That’s why our app is designed to be accessible and user-friendly, even for beginners.
