Snap-On, Inc. (SNA) Stock Recommendation | Score, Valuation, Technicals & Financial Trend

Score

Click here to find our call on this stock

Strong Sell

Sell

Hold

Buy

Strong Buy

Comparison

Company

Score

Quality

Valuation

Financial

Technical

Fastenal Co.

Parker-Hannifin Corp.

Snap-On, Inc.

W.W. Grainger, Inc.

Stanley Black & Decker, Inc.

The L.S. Starrett Co.

Fortive Corp.

Mettler-Toledo International, Inc.

The Eastern Co.

Intelligent Living Application Group, Inc.

P&F Industries, Inc.

Why is Snap-On, Inc. ?

High Management Efficiency with a high ROE of 19.88%

Strong ability to service debt as the company has a low Debt to EBITDA ratio of 0.20 times

Positive results in Jun 25

DEBT-EQUITY RATIO (HY) Lowest at -2.76 %
DIVIDEND PER SHARE(HY) Highest at USD 3.27
DIVIDEND PAYOUT RATIO(Y) Highest at 45.32%

With ROE of 18.79%, it has a fair valuation with a 3.85 Price to Book Value

The stock is trading at a premium compared to its peers' average historical valuations
Over the past year, while the stock has generated a return of -1.22%, its profits have fallen by -0.4% ; the PEG ratio of the company is 20.5

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to Snap-On, Inc. should be less than 10%
Overall Portfolio exposure to Industrial Products should be less than 30%

(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Industrial Products)

When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock

Is Snap-On, Inc. for you?

Low Risk, High Return

Absolute

Risk Adjusted

Volatility

Snap-On, Inc.

13.4%

1.27

24.62%

S&P 500

20.12%

0.70

20.15%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

5.52%

EBIT Growth (5y)

8.26%

EBIT to Interest (avg)

23.72

Debt to EBITDA (avg)

0.20

Net Debt to Equity (avg)

-0.04

Sales to Capital Employed (avg)

0.77

Tax Ratio

22.10%

Dividend Payout Ratio

46.18%

Pledged Shares

Institutional Holding

96.13%

ROCE (avg)

24.48%

ROE (avg)

19.88%

Valuation

Valuation Scorecard

Valuation grade scale :

Very Risky, Risky, Very Expensive, Expensive, Fair, Attractive, Very Attractive

Valuation Key Factors

Factor

Value

P/E Ratio

Industry P/E

Price to Book Value

3.85

EV to EBIT

16.75

EV to EBITDA

15.59

EV to Capital Employed

4.00

EV to Sales

4.32

PEG Ratio

Dividend Yield

2.01%

ROCE (Latest)

23.91%

ROE (Latest)

17.86%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bullish

RSI

No Signal

Bollinger Bands

Mildly Bullish

Moving Averages

Mildly Bullish (Daily)

KST

Bullish

Mildly Bearish

Dow Theory

Mildly Bearish

No Trend

OBV

Mildly Bearish

Mildly Bullish

Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned

Technical Movement

Analyse All Technical Factors

Financial Trend

Financial Trend Scorecard

Financial Trend scale:

Very Negative, Negative, Flat, Positive, Very Positive, Outstanding

10What is working for the Company

DIVIDEND PAYOUT RATIO(Y)

Highest at 49.42%

DEBT-EQUITY RATIO (HY)

Lowest at -5.58 %

DIVIDEND PER SHARE(HY)

Highest at USD 3.28

RAW MATERIAL COST(Y)

Fallen by 0.56% (YoY

CASH AND EQV(HY)

Highest at USD 3,158.6 MM

INVENTORY TURNOVER RATIO(HY)

Highest at 2.53 times

NET SALES(Q)

Highest at USD 1,339.9 MM

-7What is not working for the Company

OPERATING CASH FLOW(Y)

Lowest at USD 1,081.7 MM

ROCE(HY)

Lowest at 17.96%

INTEREST COVERAGE RATIO(Q)

Lowest at 2,625.18

INTEREST(Q)

Highest at USD 13.9 MM

Here's what is working for Snap-On, Inc.

Debt-Equity Ratio

Lowest at -5.58 % and Grown

In each half year in the last five Semi-Annual periods

MOJO Watch

The company has been reducing its borrowing as compared to equity capital

Debt-Equity Ratio

Dividend per share

Highest at USD 3.28 and Grown

In each year in the last five years

MOJO Watch

Company is distributing higher dividend from profits generated

DPS (USD)

Dividend Payout Ratio

Highest at 49.42% and Grown

In each year in the last five years

MOJO Watch

Company is distributing higher proportion of profits generated as dividend

DPR (%)

Net Sales

Highest at USD 1,339.9 MM

in the last five periods

MOJO Watch

Near term sales trend is positive

Net Sales (USD MM)

Cash and Eqv

Highest at USD 3,158.6 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is improving

Cash and Cash Equivalents

Inventory Turnover Ratio

Highest at 2.53 times

in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its inventory faster

Inventory Turnover Ratio

Raw Material Cost

Fallen by 0.56% (YoY)

MOJO Watch

The company's ability to pass on the cost of raw materials to customers has improved; this may lead to a rise in profit margin

Raw Material Cost as a percentage of Sales

Depreciation

Highest at USD 25.3 MM

in the last five periods

MOJO Watch

The expenditure on assets done by the company may have gone into operation

Depreciation (USD MM)

Here's what is not working for Snap-On, Inc.

Interest Coverage Ratio

Lowest at 2,625.18

in the last five periods

MOJO Watch

The company's ability to manage interest payments is deteriorating

Operating Profit to Interest

Operating Cash Flow

Lowest at USD 1,081.7 MM

in the last three years

MOJO Watch

The company's cash revenues from business operations are falling

Operating Cash Flows (USD MM)

Interest

Highest at USD 13.9 MM

in the last five periods and Increased by 8.59% (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (USD MM)