SSM
CyclicalsValuation Breakdown
Cyclical companies (chemicals, oil & gas, basic resources) have earnings that swing dramatically with commodity prices and economic cycles. Valuing them on a single year's earnings is misleading: they look cheap at peaks and expensive at troughs. This model uses 7-year median EBITDA ("mid-cycle" earnings) and a 7-year median EV/EBITDA multiple to estimate what the firm is worth at a normal point in the cycle.
Valuation Track Record
Retroactive intrinsic value vs actual close price — SSM
Earnings Quality
Fiscal year 2025
Financial Forensics
Beneish M-Score · 2019
The Beneish M-Score of -0.4689 indicates a low likelihood of earnings manipulation, but several concerning metrics suggest potential issues with earnings quality. The high SGI of 2.0423 and low earnings quality score of 25.3/100 raise red flags regarding revenue growth sustainability and cash conversion.
- SGI of 2.0423 indicates aggressive revenue growth that may not be sustainable.
- Earnings Quality Score of 25.3/100, particularly low eq_cash_conv of 0.0/100, suggests significant issues with cash flow relative to reported earnings.
- Beneish M-Score of -0.4689 is below the manipulation threshold of -1.78, indicating a lower likelihood of earnings manipulation.
- High eq_receivables score of 100.0/100 suggests effective management of receivables.
The ownership structure is concentrated among a few individuals, with the top five shareholders holding over 65% of the company. This concentration may lead to governance risks and potential conflicts of interest.
Investors should closely monitor cash flow metrics and revenue sustainability before making investment decisions. Consider diversifying exposure or waiting for improved earnings quality indicators.
Generated by AI based on quantitative data. Not financial advice.
Quantitative Scores
Key Ratios
Company Overview
// OWNERSHIP_NETWORK
> mapping common ownership for SSM — hover nodes for intel, click to navigate