ES&P Global Stock Analysis, Valuation (NYSE:SPGI)
SPGI Stock Analysis
View ES&P Global stock analysis video. This is our analyst opinion covering the buy and sell arguments for SPGI stock.
S&P Global Inc Stock Rating 3.7/5
Our ES&P Global stock opinion is based on fundamentals of the company. This ES&P Global stock analysis is based on latest 2017 Q2 earnings. The stock price analysis takes into account the company's valuation metrics.
Should you buy SPGI stock?
- The TTM operating margin was good at 60.1% for ES&P Global.
- Net margins stood at a healthy 38.8% (average) for ES&P Global in the Trailing Twelve Months.
- ES&P Global generates a high return on invested capital of 65.9%.
- ES&P Global has a good Return On Equity (ROE) of 316.4%.
- ES&P Global has a healthy FCF (Free Cash Flow) margin of 19.1%.
Should you sell SPGI stock?
- 2017 Q2 revenue growth of 1.8% YoY was meagre.
- Revenue declined at a CAGR of -1.7% over the last 5 years.
- With a debt/equity ratio of 3.32, ES&P Global is highly leveraged in comparison to Business Services peers.
- The company is trading at a price to sales multiple of 6.9, which is higher in comparison to the Business Information Services industry average of 1.6, making SPGI stock expensive.