
NYSE:SCI
This summary was created by AI, based on 2 opinions in the last 12 months.
Service Corp International (SCI-N) operates as a dominant player in a fragmented industry, specifically in funeral homes and cemeteries across Canada and the US, capturing a notable 17% market share. While recent quarters post-COVID have shown some weakness, the company remains financially robust and is recognized for its innovative pre-need strategies. Analysts expect it to return to a normal earnings growth rate of 8-10%, attributing to its size and scale a premium level of profitability reflected in a strong 30% ROE that is on the rise. The stock's performance is starting to improve, showcasing its resilience in the current market landscape with a steady dividend yield of 1.60%. Most experts view this stock as a potential reliable addition to investment portfolios amidst market fluctuations, especially considering the analysts' price target set at $101.00.
Largest funeral home in North America. A sector where there has been a lot of consolidation. Likes the sector. Excellent management team that were very successfully at buying companies. You will see a lot of benefit over the next year or two from free cash flow.