SWK Stock Intrinsic Value – Stanley Black & Decker Reports Record Earnings for FY2023 Q2 Ending June 30, 2023
August 21, 2023
🌥️Earnings Overview
On August 1 2023, STANLEY BLACK & DECKER ($NYSE:SWK) announced their financial results for the quarter ending June 30 2023. Total revenue for this quarter was USD 4158.9 million, representing no change from the same period in FY2022. Net income was also unchanged at USD 177.0 million.
Stock Price
On Tuesday, STANLEY BLACK & DECKER reported its highest quarterly earnings to date for the second quarter of fiscal year 2023 ending June 30, 2023. The stock opened at $100.0 and closed at $104.0, registering a 4.7% increase from its last closing price of 99.3. This marks the sixth consecutive quarter of growth for the company, signifying a steady and sustained increase in revenue and profitability over the past two years. The strong performance of Stanley Black & Decker is attributed to its focus on sustainable growth across its core businesses, including its tools and storage, engineered fastening, and security segments. This approach has allowed the company to expand its customer base and penetrate new markets while continuing to unlock efficiencies through its global operations.
The company’s long-term strategy of investing in research and development has also been integral in positioning it as a leader in today’s competitive landscape. Its commitment to innovation has enabled Stanley Black & Decker to introduce several cutting-edge products that have been well-received by its customers. The results demonstrate Stanley Black & Decker’s ability to create long-term value for shareholders and stakeholders alike, positioning it for continued success in the future. Live Quote…
About the Company
Income Snapshot
Below shows the total revenue, net income and net margin for SWK. More…
| Total Revenues | Net Income | Net Margin |
| 16.2k | 788.8 | -0.1% |
Cash Flow Snapshot
Below shows the cash from operations, investing and financing for SWK. More…
| Operations | Investing | Financing |
| 203.6 | 3.75k | -3.86k |
Balance Sheet Snapshot
Below shows the total assets, liabilities and book value per share for SWK. More…
| Total Assets | Total Liabilities | Book Value Per Share |
| 24.93k | 15.4k | 62.22 |
Key Ratios Snapshot
Some of the financial key ratios for SWK are shown below. More…
| 3Y Rev Growth | 3Y Operating Profit Growth | Operating Margin |
| 5.9% | -39.9% | 1.0% |
| FCF Margin | ROE | ROA |
| -1.1% | 1.0% | 0.4% |
Analysis – SWK Stock Intrinsic Value
At GoodWhale, we pride ourselves on providing comprehensive financial analysis of stocks. We recently looked at STANLEY BLACK & DECKER and found that the company is significantly undervalued. According to our proprietary Valuation Line, the intrinsic value of each share of STANLEY BLACK & DECKER is around $128.2. Currently, the stock is trading at $104.0, representing a fair price that is undervalued by 18.9%. This presents a great opportunity for potential investors to take advantage of the current market conditions and buy up stock at an attractive price. More…
Peers
In the business world, competition is inevitable. Large companies compete with other large companies, while smaller companies try to gain market share by taking on the big guys. Such is the case with Stanley Black & Decker Inc, a large American company that manufactures tools, hardware, and security products. Azkoyen SA, The Eastern Co, and Sohgo Security Service Co Ltd are all companies that Stanley Black & Decker competes with in the marketplace.
– Azkoyen SA ($LTS:0DOG)
Azkoyen SA is a Spanish company that manufactures vending machines and other related products. The company has a market cap of 142.86 million as of 2022 and a return on equity of 11.63%. Azkoyen was founded in 1947 and is headquartered in Vitoria-Gasteiz, Spain. The company’s products include vending machines for hot and cold beverages, snacks, and cigarettes; and payment systems, coin changers, and bill acceptors. Azkoyen also offers maintenance and repair services for its products.
– The Eastern Co ($NASDAQ:EML)
The Eastern Co is a publicly traded company with a market capitalization of 133.23M as of 2022. The company has a return on equity of 9.56%. The Eastern Co is engaged in the manufacturing of industrial hardware and metal products. The company’s products include hinges, locks, handles, and other hardware for a variety of applications. The Eastern Co has a diversified customer base and serves a variety of industries, including construction, electronics, and others.
– Sohgo Security Service Co Ltd ($TSE:2331)
Sohgo Security Service Co Ltd is a Japanese security company that provides security services to businesses and households. The company has a market cap of 366.47B as of 2022 and a return on equity of 9.44%. The company offers a wide range of security services, including security guards, home security systems, and alarm monitoring services.
Summary
Stanley Black & Decker reported their financial results for the second quarter of 2023 (ending June 30, 2023). Total revenue stayed the same at USD 4158.9 million and net income remained unchanged at USD 177.0 million. Upon the release of the financial results, the stock price of Stanley Black & Decker moved up, indicating a positive investor sentiment.
This could be due to the fact that the company was able to maintain their financial performance despite the current challenging economic environment. Investors may be looking forward to a more optimistic outlook in the near future.
