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RISK CONCERN
Investment Strategy, Risk Analysis, and Insights by Chartered Professionals
Seaboard Corporation (XNYS:SEB) In-Depth Stock/Fundamental/Options Analysis Today
Primary Facts
SEB
Name:
SEABOARD CORPORATION (XNYS:SEB)
Sector:
- 55000.00K
Industry:
Conglomerates
CEO:
Mr. Steven Bresky
Total Employees:
13,200
Our Technological Advancement Rating
Our Rating:
A+
Technological advancement compared to industry is 488.51% higher
ANALYSIS OF ALL CRITICAL FACTORS & RISKS RELATED TO THE STOCK & FUNDAMENTAL/LONG-TERM ANALYSIS OF SEABOARD CORPORATION(SEB) AS PER DATA ANALYSIS OF LAST 3 YEARS AND COMPARISON WITH COMPETITORS/PEERS, AND CONGLOMERATES INDUSTRY. DATE: 07/09/2022
Primary Targets/Price Insights
Previous Close ($) :
3854.01
One Month Price Target:
$3861.81
Six Month Price Target :
$3900.84
Likely Price in One Year's Time:
Ticker:
$3947.66
Likely Trading Range Today Under (Normal Volatility)
$3840.98
Price Upper limit ($) :
$3867.64
Price Lower limit ($) :
Crash Risk Prep/Key Price Levels (High Volatility/Risk)
Price, as per data analysis, isn't likely to fall below:
Today:
$3693.08
This week:
$3494.16
This month :
$3134.31
Other Primary facts
Market Cap:
4.47B
Market Cap Classification:
Mid Cap
Number of Shares
IPO Date:
1.16M
Best/Worst Daily Performance (Last 3+ Years)
Highest Daily Appreciation:
12.54%
-10.22%
Worst Daily Decline:
Our Options Trading Entry Points
Iron Condor entry points for options expiring in 1 week's time
Low risk (<2%) entry points
Buy Call:
Sell Call:
Buy Put:
Sell Put:
$4,601.18
$4,260.89
$3,106.84
$3,447.13
Medium risk (<10%) entry points
Buy Call
Sell Call
$4,150.14
Buy Put:
Sell Put:
$4,077.49
$3,556.95
$3,630.53
These entry points can be used for other strategies, such as butterflies, straddles, etc.
Risk-Adjusted returns (Sharpe Ratio) of
SEB
Sharpe Ratio:
-0.06%
Comparison:
SEB, is amongst the top 40% stocks with lowest risk-adjusted returns
Sharpe ratio is -114.01% lower than the industry
& is -102.53% lower than the market/S&P 500 average
Average Returns/Yield of
SEB
Daily returns:
0.01%
Weekly returns:
0.04%
Monthly returns:
0.15%
Yearly returns:
4.65%
Comparison of returns:
Average annual returns/yield (last 3 years) is -60.42% below industry average
Classification:
SEB, is amongst the top 40% lowest yielding stocks in terms of daily returns
Results of T-Test of Returns:
0.91
Statistical test of Returns:
SEB has yielded returns statistically similar to the market
Volatility (measured by Standard Deviation)
Daily Volatility:
2.04%
Weekly Volatility:
4.55%
Monthly Volatility:
9.11%
Yearly Volatility:
31.56%
Volitlilty of last five days (Measured by Standard Deviation)
Average Volatility of this Week:
1.18%
Volatility in last five trading days has been -41.85% below long-term volatility
Value at Risk Analysis (VaR)
Daily VaR:
-4.18%
Weekly VaR:
-9.34%
Monthly VaR:
-18.67%
How Much Can the price of
SEB
Decline in a Recession?
Likely price decline in a recession:
Base case (decline):
-16%
Worst case (decline):
-64.69%
This translates to price declining to:
$3,220.84
This translates to price declining to:
$1,360.90
Severe Crash Probability
Risk of crash in next 6/12 months: Medium (<50%)
What is Value at Risk (VaR)?
Risk Fundamentals
SEB is a 31.80% riskier investment compared to the market/S&P 500 & is 12.91% riskier than Nasdaq (IXIC)
Risk (measured by volatility) is -8.01% below industry average
Overall, it is amongst the top 50% most risky stocks
Beta Examination of
SEB
Beta in relation to market/S&P 500--0.36
Expected beta in 1 year's time:
0.464
Expected beta in 3 year's time:
0.656
Unlevered (debt free) Beta:
0.3
Beta in relation to Nasdaq (XNAS):
0.201
Beta in relation to all global stocks::
0.309
Beta Comparison & Analysis
Beta of competitors/peers::
1.631
Beta is -77.83% lower than peers
Average Industry Beta:
0.865
Beta is -58.18% below industry average
Sustainable Growth Rate Analysis
Sustainable growth rate for this stock/firm:
17.29%
Sustainable growth rate is 46.66% above industry average
Alpha provided | Alpha Analysis
Alpha provided:
-0.038
Alpha is -14.33% below industry average alpha yield
Alpha is -241% below the market average
Analysis of Cost of Capital of
SEB
Equity cost of capital:
0.056
Equity cost of capital is -37.98% below industry mean WACC
Unlevered (without debt) cost of capital:
4.67%
Before-tax cost of debt:
1.73%
After-tax cost of debt:
1.37%
Overall debt rating:
Highest AAA investment grade
Weighted average cost of capital (WACC):
1.37%
WACC is -32.80% below industry mean WACC
Key Per-Share Metrics & Analysis
Revenue per share:
$8,510.66
Revenue growth rate per share of (3Y):
0.99
Annual revenue growth rate is 338.11% above the industry average
EPS:
$425.58
Expected Annual growth rate of EPS (3Y):
26.47%
Expected future EPS growth rate is -2985.48% lower than the Conglomerates industry
Free cash flow (FCF) per share:
-
Balance sheet equity growth per share: 44.05%
Equity growth rate per share is -3466.02% lower than the industry
Debt per share
$895.09
EBITDA per share
$663.35
Valuation Analysis Today of
SEB
P/E Ratio:
10.5
P/E Ratio of Competitors/Peers:
12.04
P/E ratio is -12.77% lower than main peers & is -90.74% lower than the industry
Stock price/value with industry average P/E ratio: $48,279.46
SEB is -92.02% undervalued if valued using industry average P/E ratio
Share value as per dividend discount (DDM) model: $178.24
Present value of the expected future dividends only: $159.94
P/S (Price to Sales ratio):
0.45
Price to sales ratio is -72.53% below the industry mean
P/B (Price to book value ratio):
0.99
-
-
Net income growth rate (3Y):
-3481.02%
Net income growth rate is 586.51% higher than the average industry net income growth rate
Dividend Analysis
Dividend payout rate: 0.61%
Dividend yeild: 0.23%
Previous Dividend: $2.25
Previous adjusted dividend: $2.25
Previous Dividend: $9.00
-
-
Average dividend payment (long-term): $2.25
Average dividend increase/decrease (growth rate) % per period: 0.00%
Expected next dividend payment date: 22/08/2022
Expected next dividend record date: 08/11/2022
Expected next dividend declaration date: 08/01/2022
Previous dividend payment date: 23/05/2022
Previous dividend record date: 13/05/2022
Previous dividend declaration date: 05/03/2022
Dividend History:
2022-05-12--$2.25
2021-11-10--$2.25
2021-05-13--$2.25
2022-02-24--$2.25
2021-08-12--$2.25
2021-02-25--$2.25
-
In-depth Debt & Leverage Analysis
Debt to equity ratio:
23.01%
Net debt to equity ratio:
36.37%
Debt to assets ratio:
13.55%
Net debt to assets ratio:
21.41%
Debt-to-asset ratio is -78.12% below industry average
Ability to repay debt:
Interest coverage ratio:
25.67
Interest coverage ratio is 936.49% more than industry average
Looking forward:
Debt growth rate:
24.77%
Annual debt growth is -433% lower than industry average debt growth rate
Debt repayment rate in last quarter: 27.19%
Analysis of Key Statistics
Correlation of price movement with the market:
0.246
Statistical significance of correlation:
SEB has a statistically significant correlation with the market
Average Correlation of the industry with the market:
0.578
Stock price is -57.49% less correlated with the market compared to the industry average correlation
R Squared (percentage of price movement explained by movement of the market):
0.578
Correlation of price movement with Nasdaq (^IXIC):
0.04
Covariance of price movement with the market:
0.048
Kurtosis
5.31
Returns have moderate fat-tails (leptokurtic), i.e., returns considerably higher or lower than the mean returns are more probable, compared to assets with normally distributed returns
Skewness of returns:
0.459
Returns are, approximately, symmetrical
Fundamental Analysis & Dupont Analysis of
SEB
Gross Profit Margin Ratio:
35%
Operating Profit Margin Ratio:
5.18%
Operating profit margin is -32.43% lower than the industry
Net Profit Margin Ratio:
35%
Effective Tax Rate:
10.79%
Effective tax rate is -35.83% lower than the industry
Dupont Method
Net Profit Margin
Return on Equity Ratio (ROE):
×
ROA
=
×
10.94%
Return on equity (ROE) is -43.17% lower than the industry
Financial Leverage
Asset Turnover Ratio (ROA):
6.44%
Return on assets (ROA) is 9.79% higher than the industry
Financial Leverage:
1.2x
Current Ratio:
2.49
Current ratio is 7.11% above industry average
Cash Conversion Cycle (days):
47.9
Cash conversion cycle is 11.78% above industry average
The remaining useful life of property plant & equipment is: 10.1 years
Stock based compensation to net income ratio:
-
In-depth Efficiency Analysis
Revenue generated per employee:
748.4K
Each employee generates 86% more revenue than industry average revenue per employee
EBITDA generated per employee:
58.3K
Each employee generates 0% more EBITDA than industry average revenue per employee
Profit generated per employee:
37.4K
Each employee generates 16% more net income/profit than industry average revenue per employee
Free cash flow (FCF) generated per employee:
- 4.2K
Each employee generates 203% more free cash flow than industry average revenue per employee
Assets/Capital per employee
272.7K
Each employee generates 203% more free cash flow than industry average revenue per employee
Research & Development (R&D) Analysis
-
-
Competitors/Peer firms of
SEB
LADENBURG THALMANN FINANCIAL SERVICES INC. (OTCM:LTSF)
AGEAGLE AERIAL SYSTEMS INC. (XNYS:UAVS)
RADIANT LOGISTICS, INC. (XNYS:RLGT)
COMPX INTERNATIONAL INC. (XNYS:CIX)
SACHEM CAPITAL CORP. (XNYS:SCCB)
Mastech Digital, Inc. (XNYS:MHH)
Deutsche Post AG (XFRA:DPW)
APOLLO TOURISM & LEISURE LTD (XFRA:APT)
VOLT INFORMATION SCIENCES, INC. (XNYS:VOLT)
Current Analyst Ratings
Strong buy�0%
Buy�0%
Hold�0%
Sell�0%
Strong sell�0%
Overall analyst sentiment is: -
Income Statement
Period:
TTM
Date:
3/31/22
Revenue:
9.88B
Cost of Revenue:
Gross Profit:
R&D Expense
General & Admin Expenses:
Selling, General & Admin Expenses
Sales and Marketing Expenses
Other Expenses :
Operating Expenses :
Cost & Expenses :
Interest Income:
Interest Expenses:
Depreciation & Amortization:
EBITDA:
Operating Income:
Other Income Expenses:
Income Before Tax:
Income Tax Expense:
Net Income:
Balance Sheet
Date:
Calendar Year:
Period:
Cash & Cash Equivalents:
Short Term Investments:
Cash & Short Term Investments:
Net Receivables:
Inventory:
Other Current Assets:
Total Current Assets:
PP&E:
Goodwill:
Intangible Assets:
Long Term Investments:
Tax Assets:
Other Non-Current Assets:
Total Non-Current Assets:
Other Assets:
Total Assets:
Accounts Payable:
Short Term Debt:
Tax Payables:
Deferred Revenue:
Other Current Liabilities:
Total Current Liabilities:
Long Term Debt:
Other Non-Current Liabilities:
Total Non Current Liabilities:
Other Liabilities:
Total Liabilities:
Common Stock:
Retained Earnings:
Accumulated Other Comprehensive Loss:
Other Total Stockholders' Equity:
Total Stockholders' Equity:
Total Liabilities and Stockholders' Equity:
Total Investments:
Total Debt:
Net Debt:
9.00B
876.00M
-
-
364.00M
-
-
364.00M
24.00M
30.00M
186.00M
770.00M
512.00M
494.00M
556.00M
60.00M
494.00M
Statement of Cash Flow
Date:
Period:
50.00M
Differed Income Tax :
- 23000.00K
Stock Based Compensation :
-
Change in Working Capital :
- 73000.00K
Accounts Receivables:
-
Other Working Capital:
8.00M
Other Non-Cash Items:
48.00M
Net Cash Provided by Operating Activities:
106.00M
Investments in PP&E:
-
Net Acquisitions:
13.00M
Purchases of Investments:
- 178000.00K
Sales/Maturities of Investments:
Other Investing Activities:
Net Cash Used for Investing Activities:
Debt Repayment:
Common Stock Issued:
Common Stock Repurchased:
Dividend Paid:
Other Financing Activities:
Net Cash Used Provided by Financing Activities:
Effect of FOREX on Changes in Cash:
Net Changes in Cash:
Cash at End of Period:
Cash at Beginning of Period:
Operating Cash Flow:
Capital Expenditure:
Free Cash Flow (FCF):
3/31/22
2022
Q1
94.00M
1.30B
1.39B
843.00M
1.70B
139.00M
4.07B
2.51B
161.00M
42.00M
679.00M
-
204.00M
3.60B
-
7.67B
466.00M
697.00M
-
115.00M
354.00M
1.63B
1.04B
388.00M
1.50B
-
3.14B
1.00M
4.95B
- 433000.0K
-
March 31, 2022 at 6:00:00 AM
9.37B
4.52B
7.65B
1.97B
1.74B
1.6B
227.00M
- 159000.00K
- 97000.00K
- 388000.00K
-
-
- 3000.00K
400.00M
9.00M
1.00M
19.00M
94.00M
75.00M
106.00M
- 161000.00K
- 55000.00K
Our Proprietary Portfolio Rating
Our Rating:
D
Price Forecast/Expected Price in Next 5 Years of
SEB
2023
2024
2025
2026
2027
$3,967.40
$4,063.80
$4,162.55
$4,263.70
$4,367.31