S&P Global Inc. (SPGI:NYE) Analysts rate as a Strong Buy, $461 Target

Based on the S&P Global Inc. stock forecasts from 13 analysts, the average analyst target price for S&P Global Inc. is USD 461.12 over the next 12 months. S&P Global Inc.’s average analyst rating is Strong Buy. Stock Target Advisor’s own stock analysis of S&P Global Inc. is Slightly Bullish, which is based on 10 positive signals and 8 negative signals. At the last closing, S&P Global Inc.’s stock price was USD 343.04. S&P Global Inc.’s stock price has changed by -9.43% over the past week, -24.28% over the past month and -10.05% over the last year.
Recently the target was lowered by UBS Securities to $407 from $441, and the Buy rating was maintained.
Credit ratings, benchmarks, analytics, and workflow solutions are provided by S&P Global Inc. and its subsidiaries in the global capital, commodities, and automobile markets. S&P Global Inc. is based in New York, New York, and was formed in 1860.
What we like:
High market capitalization
This is one of the largest entities in its sector and is among the top quartile. Such companies tend to be more stable.
Low volatility
The stock’s annual returns have been stable and consistent compared to its sector peers (for a hold period of at least 12 months) and are in the top quartile. Although stability is good, also keep in mind it can limit returns.
High dividend returns
The stock has outperformed its sector peers on average annual dividend returns basis in the past 5 years (for a hold period of at least 12 months) and is in the top quartile. This can be a good buy, especially if it is outperforming on a total return basis, for investors seeking high-income yields.
Underpriced compared to earnings
The stock is trading low compared to its peers on a price to earning basis and is in the top quartile. It may be underpriced but do check its financial performance to make sure there is no specific reason.
Underpriced compared to book value
The stock is trading low compared to its peers on a price-to-book value basis and is in the top quartile. It may be underpriced but do check its financial performance to make sure there is no specific reason.
Superior capital utilization
The company management has delivered a better return on invested capital in the most recent 4 quarters than its peers, placing it in the top quartile.
Positive cash flow
The company had positive total cash flow in the most recent four quarters.
Positive free cash flow
The company had positive total free cash flow in the most recent four quarters.
Superior Dividend Growth
This stock has shown top quartile dividend growth in the previous 5 years compared to its sector
High Gross Profit to Asset Ratio
This stock is in the top quartile compared to its peers on Gross Profit to Asset Ratio. This is a popular measure among value investors for showing superior returns in the long run.
What we don’t like:
Below median total returns
The company has underperformed its peers on annual average total returns in the past 5 years.
Overpriced on a cash flow basis
The stock is trading high compared to its peers on a price to cash flow basis. It is priced above the median for its sectors. Proceed with caution if you are considering buying.
Poor return on equity
The company management has delivered below median return on equity in the most recent 4 quarters compared to its peers.
Poor return on assets
The company management has delivered below median return on assets in the most recent 4 quarters compared to its peers.
Highly leveraged
Compared to its sector peers on debt to equity, the company is in the bottom half and is highly leveraged. However, do check the news and look at its sector and management statements. Sometimes this is high because the company is trying to grow aggressively.
Overpriced on a free cash flow basis
The stock is trading high compared to its peers on a price to free cash flow basis. It is priced above the median for its sectors. Proceed with caution if you are considering buying.
Low Earnings Growth
This stock has shown below median earnings growth in the previous 5 years compared to its sector
Low Revenue Growth
This stock has shown below median revenue growth in the previous 5 years compared to its sector.
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