Service Story

SCI -- USA Stock

USD 47.76 0.34 0.71%

Macroaxis Story

Service Internation Enterprise Value is most likely to increase significantly in the upcoming years. The preceding year's Enterprise Value was reported at 7.65 Billion. The current Invested Capital is estimated to increase to about 7.7 B, while Net Income Per Employee is projected to decrease to roughly 11.6 K. In this post, we will concentrate on Service Internation. Why are we still confident in hope for a quick recovery. In this post, I will also go over some essential variables affecting Service Internation's products, and show how it may impact Service Internation outlook for active traders this year.

Published over a week ago

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Is Service Internation overvalued?

Service Internation has performance score of 7 on a scale of 0 to 100. The entity has a beta of 0.9387, which indicates possible diversification benefits within a given portfolio. Let's try to break down what Service's beta means in this case. Service Internation returns are very sensitive to returns on the market. As the market goes up or down, Service Internation is expected to follow. Although it is extremely important to respect Service Internation current price movements, it is better to be realistic regarding the information on equity historical returns. The philosophy towards measuring future performance of any stock is to evaluate the business as a whole together with its past performance, including all available fundamental and technical indicators. By inspecting Service Internation technical indicators, you can presently evaluate if the expected return of 0.14% will be sustainable into the future. Service Internation right now has a risk of 1.35%. Please validate Service Internation information ratio, value at risk, as well as the relationship between the Value At Risk and expected short fall to decide if Service Internation will be following its existing price patterns.

And What about dividends?

A dividend is the distribution of a portion of Service Corp earnings, decided and managed by the company's board of directors and paid to a class of its shareholders. Note, announcements of dividend payouts are generally accompanied by a proportional increase or decrease in a company's stock price. Service Corp dividend payments follow a chronological order of events, and the associated dates are important to determine the shareholders who qualify for receiving the dividend payment. Service one year expected dividend income is about $0.37 per share.

The current Dividends per Basic Common Share is estimated to increase to 0.49, while Payment of Dividends and Other Cash Distributions is projected to decrease to (122.1 M).

	Last Reported	Projected for 2021
Payment of Dividends and Other Cash Distributions	-113.2 M	-122.1 M
Dividend Yield	0.0162	0.0158
Dividends per Basic Common Share	0.46	0.49

Investing in dividend-paying stocks, such as Service Corp International is one of the few strategies that are good for long-term investment. Ex-dividend dates are significant because investors in Service Corp must own a stock before its ex-dividend date to receive its next dividend.

This type of analysis is very useful when you want to generate a past dividend schedule and payout information for Service Corp. Then that information in the form of graph and calendar can be used to fully explain how Du Pont dividends can provide a real clue to its valuation.

How important is Service Corp's Liquidity

Service Corp financial leverage refers to using borrowed capital as a funding source to finance Service Corp International ongoing operations. It is usually used to expand the firm's asset base and generate returns on borrowed capital. Service Corp financial leverage is typically calculated by taking the company's all interest-bearing debt and dividing it by total capital. So the higher the debt-to-capital ratio (i.e., financial leverage), the riskier the company. Please check the breakdown between Service Corp's total debt and its cash.

How Service utilizes its cash?

To perform a cash flow analysis of Service Corp, investors first need to understand how to read the cash flow statement. A cash flow statement shows the amount of cash Service Corp is receiving and how much cash it distributes out in a given period. The Service Corp cash flow statement breaks down these inflows and outflows into different buckets, including operating activities, investing activities, and financing activities.

Service Corp Net Cash Flow from Operations is most likely to increase significantly in the upcoming years. The last year's value of Net Cash Flow from Operations was reported at 565.88 Million

Acquisition by Steven Tidwell of 38000 shares of Service Corp subject to Rule 16b-3

Legal trades by Service Corp insiders are very common, as founders, directors, or employees of any publicly traded firm often have stock or stock options. These trades are made public in the United States through the filing of Form 4 of the Securities and Exchange Commission. Below entry was recorded recently and is publicly available as an insider trade:

Service insider trading alert for grant of employee stock option (right to buy) by Steven Tidwell, Sr.V.P. Sales & Marketing, on 19th of February 2021. This event was filed by Service Corp Internationa with SEC on 2021-02-19. Statement of changes in beneficial ownership - SEC Form 4. Steven Tidwell currently serves as senior vice president - sales and merchandising of Service Corp Interna [view details]

Note, although insider trading is legal, in the United States, Canada, Australia, and Germany, for mandatory reporting purposes, corporate insiders are defined as a company's officers, directors, and any beneficial owners of more than 10% of a class of the company's equity securities.

Breaking down the case for Service Corp

The asset utilization indicator refers to the revenue earned for every dollar of assets a company currently reports. Service Internation has an asset utilization ratio of 29.03 percent. This implies that the company is making $0.29 for each dollar of assets. An increasing asset utilization means that Service Internation is more efficient with each dollar of assets it utilizes for everyday operations.

Service may start a reversion in March

Coefficient of variation is down to 888.92. It may hint to a possible volatility drop. Service Internation has relatively low volatility with skewness of 0.0 and kurtosis of 0.52. However, we advise all investors to independently investigate Service Internation to ensure all accessible information is consistent with the expectations about its upside potential and future expected returns.

Our Conclusion on Service Internation

While some other firms under the personal services industry are still a bit expensive, Service Internation may offer a potential longer-term growth to stockholders. With a less-than optimistic outlook for your 30 days horizon, it may be a good time to exit some or all of your Service Internation holdings as it seems the potential growth was already fully factored into the current price. Please use our equity advice module to run different scenarios to ensure your current risk level and investment horizon are fully reflective of your current investing preferences in regards to Service Internation.

About Contributor

Ellen Johnson is a Member of Macroaxs Editorial Board. Ellen covers public companies in North America, focusing primarily on valuation and volatility. Six years of experience in predictive investment analytics and risk management. View Profile

This story should be regarded as informational only and should not be considered a solicitation to sell or buy any financial products. Macroaxis does not express any opinion as to the present or future value of any investments referred to in this post. This post may not be reproduced without the consent of Macroaxis LLC. Macroaxis LLC and Ellen Johnson do not own shares of Service Corp International. Please refer to our Terms of Use for any information regarding our disclosure principles.

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