SDI Limited
SDI Limited Fundamental Analysis
SDI Limited (SDI.AX) shows moderate financial fundamentals with a PE ratio of 12.88, profit margin of 10.36%, and ROE of 11.23%. The company generates $0.1B in annual revenue with weak year-over-year growth of -0.74%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 46.7/100 based on profitability, valuation, growth, and balance sheet metrics. The D grade reflects weak fundamentals and significant financial concerns.
Fundamental Health Score
We analyze SDI.AX's fundamental strength across five key dimensions:
Efficiency Score
WeakSDI.AX struggles to generate sufficient returns from assets.
Valuation Score
ExcellentSDI.AX trades at attractive valuation levels.
Growth Score
ModerateSDI.AX shows steady but slowing expansion.
Financial Health Score
ExcellentSDI.AX maintains a strong and stable balance sheet.
Profitability Score
WeakSDI.AX struggles to sustain strong margins.
Key Financial Metrics
Is SDI.AX Expensive or Cheap?
P/E Ratio
SDI.AX trades at 12.88 times earnings. This suggests potential undervaluation.
PEG Ratio
When adjusting for growth, SDI.AX's PEG of -4.96 indicates potential undervaluation.
Price to Book
The market values SDI Limited at 1.44 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at 6.61 times EBITDA. This is generally considered low.
How Well Does SDI.AX Make Money?
Net Profit Margin
For every $100 in sales, SDI Limited keeps $10.36 as profit after all expenses.
Operating Margin
Core operations generate 14.57 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $11.23 in profit for every $100 of shareholder equity.
ROA
SDI Limited generates $8.52 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
SDI Limited produces operating cash flow of $14.58M, showing steady but balanced cash generation.
Free Cash Flow
SDI Limited produces free cash flow of $10.90M, offering steady but limited capital for shareholder returns and expansion.
FCF Per Share
Each share generates $0.09 in free cash annually.
FCF Yield
SDI.AX converts 7.28% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
12.88
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
-4.96
vs 25 benchmark
P/B Ratio
Price to book value ratio
1.44
vs 25 benchmark
P/S Ratio
Price to sales ratio
1.33
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
0.17
vs 25 benchmark
Current Ratio
Current assets to current liabilities
3.83
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.11
vs 25 benchmark
ROA
Return on assets percentage
0.09
vs 25 benchmark
ROCE
Return on capital employed
0.13
vs 25 benchmark
How SDI.AX Stacks Against Its Sector Peers
| Metric | SDI.AX Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 12.88 | 28.25 | Better (Cheaper) |
| ROE | 11.23% | 780.00% | Weak |
| Net Margin | 10.36% | -20122.00% (disorted) | Strong |
| Debt/Equity | 0.17 | 0.30 | Strong (Low Leverage) |
| Current Ratio | 3.83 | 4.66 | Strong Liquidity |
| ROA | 8.52% | -14687.00% (disorted) | Weak |
SDI.AX outperforms its industry in 4 out of 6 key metrics, particularly excelling in Net Margin, but lagging in ROE.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews SDI Limited's 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
63.84%
Industry Style: Defensive, Growth, Innovation
High GrowthEPS CAGR
187.00%
Industry Style: Defensive, Growth, Innovation
High GrowthFCF CAGR
172.92%
Industry Style: Defensive, Growth, Innovation
High Growth