SDN
ConstructionValuation Breakdown
Construction and industrial firms have characteristics of both cyclical businesses (lumpy project-based revenue) and growth companies (expanding order books). This model blends two approaches 50/50: EV/EBITDA valuation (captures current earning power relative to peers) and FCF-based DCF (captures future cash generation potential). If EV/EBITDA produces a negative value (debt exceeds enterprise value), only DCF is used.
Valuation Track Record
Retroactive intrinsic value vs actual close price — SDN
Earnings Quality
Fiscal year 2025
Financial Forensics
Beneish M-Score · 2024
The Beneish M-Score of -2.081 indicates a low likelihood of earnings manipulation, as it is below the threshold of -1.78. However, the earnings quality score of 49.5/100, particularly low cash conversion and revenue metrics, raises concerns about the sustainability of reported earnings.
- Earnings Quality Score of 49.5/100, with eq_cash_conv at 35.2/100 indicating poor cash conversion efficiency.
- Revenue quality score of 0.0/100 suggests potential issues with revenue recognition or sustainability.
- Beneish M-Score of -2.081 indicates a lower risk of manipulation compared to the threshold of -1.78.
- DSRI of 1.1847 suggests inventory levels are in line with sales growth, which can indicate operational stability.
The top shareholders include significant institutional ownership (40.8%), which can provide stability, but the presence of individual shareholders with smaller stakes may lead to potential governance issues.
Investors should closely monitor cash flow metrics and revenue recognition practices, while considering a cautious approach to investment due to the elevated risk level.
Generated by AI based on quantitative data. Not financial advice.
Quantitative Scores
Key Ratios
Company Overview
// OWNERSHIP_NETWORK
> mapping common ownership for SDN — hover nodes for intel, click to navigate