Spire Inc. Fundamental Analysis (NYSE: SR)
Spire Inc. (NYSE: SR) shows strong financial fundamentals with a PE ratio of 9.16, profit margin of 21.62%, and ROE of 21.42%. The company generates $2.5B in annual revenue with weak year-over-year growth of -4.50%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 27.2/100 based on profitability, valuation, growth, and balance sheet metrics. The F grade reflects weak fundamentals and significant financial concerns.
Fundamental Health Score
We analyze SR's fundamental strength across five key dimensions:
Efficiency Score
ExcellentSR demonstrates superior asset utilization.
Valuation Score
ExcellentSR trades at attractive valuation levels.
Growth Score
WeakSR faces weak or negative growth trends.
Financial Health Score
WeakSR carries high financial risk with limited liquidity.
Profitability Score
ModerateSR maintains healthy but balanced margins.
Key Financial Metrics
Is SR Expensive or Cheap?
P/E Ratio
SR trades at 9.16 times earnings. This suggests potential undervaluation.
PEG Ratio
When adjusting for growth, SR's PEG of 0.10 indicates potential undervaluation.
Price to Book
The market values Spire Inc. at 1356522.47 times its book value. This suggests the stock is fully valued or overvalued on an asset basis.
EV/EBITDA
Enterprise value stands at 5.59 times EBITDA. This is generally considered low.
How Well Does SR Make Money?
Net Profit Margin
For every $100 in sales, Spire Inc. keeps $21.62 as profit after all expenses.
Operating Margin
Core operations generate 19.71 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $21.42 in profit for every $100 of shareholder equity.
ROA
Spire Inc. generates $38911.36 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Spire Inc. produces operating cash flow of $609.91M, showing steady but balanced cash generation.
Free Cash Flow
Spire Inc. generates weak or negative free cash flow of $-203.30M, restricting financial flexibility.
FCF Per Share
Each share generates $-3.44 in free cash annually.
FCF Yield
SR converts -4.16% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
9.16
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
0.10
vs 25 benchmark
P/B Ratio
Price to book value ratio
1356522.47
vs 25 benchmark
P/S Ratio
Price to sales ratio
1.92
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
2.03
vs 25 benchmark
Current Ratio
Current assets to current liabilities
0.37
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.21
vs 25 benchmark
ROA
Return on assets percentage
38911.36
vs 25 benchmark
ROCE
Return on capital employed
41802.90
vs 25 benchmark
How SR Stacks Against Its Sector Peers
| Metric | SR Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 9.16 | 20.26 | Better (Cheaper) |
| ROE | 21.42% | 1019.00% | Weak |
| Net Margin | 21.62% | -658.00% (disorted) | Strong |
| Debt/Equity | 2.03 | 1.64 | Weak (High Leverage) |
| Current Ratio | 0.37 | 1.70 | Weak Liquidity |
| ROA | 3891136.19% | 4578088.00% | Neutral |
SR outperforms its industry in 2 out of 6 key metrics, particularly excelling in Net Margin, but lagging in ROE.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews Spire Inc.'s 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
16.81%
Industry Style: Defensive, Dividend, Income
High GrowthEPS CAGR
168.39%
Industry Style: Defensive, Dividend, Income
High GrowthFCF CAGR
7.66%
Industry Style: Defensive, Dividend, Income
Growing