S&P Global Inc (SPGI, Financial) has recently captured the attention of investors and financial analysts, thanks to its strong financial position. With a current share price of $515.81, S&P Global Inc has experienced a slight daily decrease of 0.23%, yet it boasts a significant three-month gain of 19.73%. A detailed evaluation using the GF Score indicates that S&P Global Inc is poised for substantial future growth.
What Is the GF Score?
The GF Score is a proprietary stock performance ranking system from GuruFocus, which evaluates stocks based on five key aspects of valuation. These aspects have shown a strong correlation with long-term stock performance from 2006 to 2021. Stocks with higher GF Scores typically yield higher returns. The GF Score ranges from 0 to 100, with 100 representing the highest potential for outperformance. S&P Global Inc boasts a GF Score of 92, indicating a strong potential for market outperformance.
- Financial strength rank: 7/10
- Profitability rank: 9/10
- Growth rank: 9/10
- GF Value rank: 5/10
- Momentum rank: 10/10
Understanding S&P Global Inc's Business
S&P Global Inc, with a market cap of $161.45 billion and annual sales of $13.28 billion, is a leading provider of data and benchmarks to capital and commodity market participants. Its largest and most profitable segment is its ratings business, recognized as the world's top credit rating agency. The company's market intelligence segment, its largest by revenue, offers a variety of solutions primarily in the financial-services industry. Other segments include commodity insights, mobility, and indexes.
Financial Strength Breakdown
S&P Global Inc's Financial Strength rating is impressive, with an Interest Coverage ratio of 15.15, significantly above the benchmark of 5 set by Benjamin Graham. The company's Altman Z-Score of 5.36 indicates strong financial stability, and a Debt-to-Revenue ratio of 0.9 further solidifies its robust financial health.
Profitability and Growth Metrics
S&P Global Inc's Profitability Rank is outstanding, supported by a Piotroski F-Score that highlights strong financial health. The company's Predictability Rank of 3.0 stars reflects consistent operational performance. Growth is also a strong suit, with a Growth Rank of 9/10 and a 3-Year Revenue Growth Rate of 8.4%, outperforming 56.14% of peers in the Capital Markets industry.
Conclusion
Given S&P Global Inc's robust financial strength, impressive profitability, and consistent growth metrics, the GF Score highlights the company's exceptional position for potential market outperformance. Investors looking for similar opportunities can explore more companies with strong GF Scores using the GF Score Screen.
This article, generated by GuruFocus, is designed to provide general insights and is not tailored financial advice. Our commentary is rooted in historical data and analyst projections, utilizing an impartial methodology, and is not intended to serve as specific investment guidance. It does not formulate a recommendation to purchase or divest any stock and does not consider individual investment objectives or financial circumstances. Our objective is to deliver long-term, fundamental data-driven analysis. Be aware that our analysis might not incorporate the most recent, price-sensitive company announcements or qualitative information. GuruFocus holds no position in the stocks mentioned herein.
