How Has Spectrum Brands Holdings Performed Compared to Its Peers?

Spectrum Brands Reports Mixed Fiscal 4Q15 Earnings

(Continued from Prior Part)

Spectrum Brands and its peers

In this article, we’ll compare Spectrum Brands Holdings (SPB) to its industry peers:

• The PE (price-to-earnings) ratios of Spectrum Brands, Whirlpool Corporation (WHR), Jarden (JAH), Masco (MAS), and Scotts Miracle-Gro Company (SMG) are 30.3x, 18.7x, 39.6x, 27.0x, and 26.8x, respectively, as of November 19, 2015.

• The PBV (price-to-book value) ratios of Spectrum Brands, Whirlpool, Jarden, and Scotts Miracle-Gro are 3.3x, 2.6x, 3.5x, and 6.6x, respectively.

• The PS (price-to-sales) ratios of Spectrum Brands, Whirlpool, Jarden, Masco, and Scotts Miracle-Gro are 1.2x, 0.59x, 1.2x, 1.3x, and 1.4x, respectively.

According to the above findings, Spectrum Brands’ peers are ahead of it based on PBV and PS. However, the company has outperformed most of its peers based on PE.

ETFs that invest in Spectrum Brands Holdings

The PowerShares DWA Consumer Staples Momentum ETF (PSL) invests 1.8% of its holdings in Spectrum Brands. The ETF tracks an index of US consumer cyclical companies selected and weighted by price momentum.

The IQ Canada Small Cap ETF (CNDA) invests 1.2% of its holdings in Spectrum Brands. The ETF tracks a market-cap–weighted index of small-cap (small capitalization) Canadian stocks. The index only invests in companies in the bottom 15% by market capitalization worth at least $150 million.

The First Trust Value Line 100 ETF (FVL) invests 0.96% of its holdings in Spectrum Brands. The ETF tracks an equally weighted index of 100 US stocks selected by proprietary price and earnings screen.

Spectrum Brands and its ETFs

Now let’s look at Spectrum Brands Holdings compared to the ETFs that invest in it:

• The year-to-date price movements of Spectrum Brands, PSL, CNDA, and FVL are 0.45%, 12.2%, -29.7%, and -3.1%, respectively,

• The PE ratios of Spectrum Brands, PSL, and FVL are 30.3x, 24.1x, and 30.0x, respectively.

• The PBV ratios of Spectrum Brands, PSL, CNDA, and FVL are 3.3x, 5.3x, 1.0x, and 6.3x, respectively.

According to the above findings, Spectrum Brands’ ETFs are ahead of it based on PBV. However, the company has outperformed its ETFs based on price movement and PE.

Browse this series on Market Realist:

• Part 1 - Spectrum Brands’ Revenue Rises, Income Falls in Fiscal 4Q15