Simpson Manufacturing Co., Inc. (SSD)
Basic Materials · NYQ · US
Fundamentals
Valuation and ratings
Simpson Manufacturing Co., Inc. trades at USD193.80, which is 37% below the USD265.09 our discounted cash flow model puts on the business. On that measure alone it screens as undervalued, though a DCF is an argument rather than a measurement, and the market is frequently right about why something is cheap.
Our moat model scores it 63 out of 100, which is a moat, but not a deep one. A moat is a structural reason competitors cannot take the profits away, and it matters more to a long holding period than any single quarter's numbers do.
It changes hands at 21.8 times earnings. Be careful reading that in isolation: for a cyclical business a low P/E arrives at the top of the cycle, when profits are peaking and about to fall, which is exactly when the shares look cheapest and are not.
About Simpson Manufacturing Co., Inc.
Simpson Manufacturing Co., Inc., together with its subsidiaries, designs, engineers, manufactures, and sells structural solutions for wood, concrete, and steel connections in the North America, Europe, and the Asia Pacific. The company provides structural products for wood construction, such as connectors, fasteners, and lateral-force resisting systems; anchor, repair, protection and strengthening products including coatings, sealers, mortars, fiberglass and fiber-reinforced polymer systems and asphalt products. In addition, the company offers engineering and design services, as well as software solutions. It markets its products to the residential construction, industrial, commercial and infrastructure construction, remodeling and do-it-yourself markets. It offers engineering and design services. It serves its products to dealers, home centers, wood component manufacturers, OEM-relationships, distributors, and contractors industries. The company was founded in 1956 and is headquartered in Pleasanton, California.
SSD passes 3 of our 30 screens today
Each screen prints the exact criteria it used, and the circumstances in which it is wrong.
Smart money ownership
12 of the funds we track reported a position in their latest SEC 13F filing. Largest first:
- ValueAct Capital, ValueAct Holdings, L.P.$239.93M · 4.2% of book
- Burgundy Asset Management, Burgundy Asset Management Ltd.$131.85M · 1.2% of book
- John Rogers, ARIEL INVESTMENTS, LLC$31.49M · 0.2% of book
- Cliff Asness, AQR CAPITAL MANAGEMENT LLC$30.41M · 0.0% of book
- Joel Greenblatt, Gotham Asset Management, LLC$21.57M · 0.1% of book
A word of warning on reading these figures: a 13F reports the market value of a holding, so a fund that traded nothing at all still appears to have sold when the price fell. We found 102 companies where the standard reading gives the opposite answer. Only the share count is honest.
Common questions
Is Simpson Manufacturing Co., Inc. (SSD) undervalued?
Against our discounted cash flow estimate of USD265.09, SSD at USD193.80 is 37% below fair value. That is one model's answer, not a recommendation, and most of a DCF's output sits in a terminal value nobody can forecast.
Which funds own SSD?
12 of the institutions we track reported a position in SSD in their most recent SEC 13F filing. A 13F is filed up to 45 days after quarter end, so it tells you what a fund held then, not what it holds now.
What is SSD's P/E ratio?
SSD trades at 21.8 times earnings. A low P/E is not automatically cheap: on a cyclical company it is usually a warning that earnings are at a peak.
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Data from company filings, exchange quotes and SEC EDGAR 13F disclosures. Quotes are delayed. Metrics we do not have are left out rather than estimated. Educational information, not financial advice.