📊 SCI Key Takeaways
Is Service Corp. International (SCI) a Good Investment?
SCI demonstrates strong operational profitability with 22.7% operating margins and exceptional ROE of 33.1%, supported by robust free cash flow generation of $554.2M. While high leverage (3.14x debt/equity) and weak liquidity ratios present balance sheet risks, the company's stable recurring revenues in the defensive funeral services industry and solid 3.8x interest coverage provide a foundation for continued value creation.
Why Buy Service Corp. International Stock? SCI Key Strengths
- Exceptional Return on Equity of 33.1% demonstrating highly efficient capital deployment
- Strong profitability margins across the board (26.5% gross, 22.7% operating, 12.6% net) indicating pricing power
- Robust free cash flow generation of $554.2M with 12.9% FCF margin exceeding capital requirements
- Defensive industry with recurring revenue streams in funeral and cemetery services
- Growing diluted EPS (+7.6% YoY) despite flat net income shows shareholder-friendly capital allocation
SCI Stock Risks: Service Corp. International Investment Risks
- High financial leverage at 3.14x debt/equity ratio with modest 3.8x interest coverage limiting financial flexibility
- Weak liquidity position with current ratio of 0.55x and quick ratio of 0.50x creating short-term refinancing risk
- Slow revenue growth of only 2.9% YoY with net income flat YoY suggests market saturation or margin pressure
- Elevated leverage amplifies downside risk if operating cash flows decline or economic conditions deteriorate
Key Metrics to Watch
- Free cash flow sustainability and operating cash flow trends
- Debt-to-equity ratio progression and interest coverage ratio changes
- Revenue growth acceleration and operating margin stability
- Current ratio improvement indicating working capital position strengthening
- Net income growth relative to revenue to confirm operational leverage
Service Corp. International (SCI) Financial Metrics & Key Ratios
💡 AI Analyst Insight
The current ratio below 1.0x warrants monitoring of short-term liquidity.
SCI Profit Margin, ROE & Profitability Analysis
SCI vs Services Sector: How Service Corp. International Compares
How Service Corp. International compares to Services sector averages
Sector benchmarks are approximate industry averages. Actual sector performance may vary.
Is Service Corp. International Stock Overvalued? SCI Valuation Analysis 2026
Based on fundamental analysis, Service Corp. International has mixed fundamental signals relative to the Services sector in 2026.
Note: This is a fundamental analysis based on SEC filings. For P/E ratio, price targets, and market-based valuation, consult financial data providers. This is not investment advice.
Service Corp. International Balance Sheet: SCI Debt, Cash & Liquidity
SCI Revenue & Earnings Growth: 5-Year Financial Trend
5-Year Trend Summary: Service Corp. International's revenue has shown modest growth of 4% over the 5-year period. The most recent EPS of $3.53 reflects profitable operations.
SCI Revenue Growth, EPS Growth & YoY Performance
SCI Quarterly Earnings & Performance
| Quarter | Revenue | Net Income | EPS |
|---|---|---|---|
| Q3 2025 | $1.0B | $117.5M | $0.81 |
| Q2 2025 | $1.0B | $118.2M | $0.81 |
| Q1 2025 | $1.0B | $131.3M | $0.89 |
| Q3 2024 | $1.0B | $117.8M | $0.80 |
| Q2 2024 | $1.0B | $118.2M | $0.81 |
| Q1 2024 | $1.0B | $131.3M | $0.89 |
| Q1 2023 | $977.7M | $120.9M | $0.76 |
| Q3 2022 | $977.7M | $120.9M | $0.76 |
Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.
Service Corp. International Dividends, Buybacks & Capital Allocation
SCI SEC Filings: Latest 10-K & 10-Q Analysis
Access official SEC EDGAR filings for Service Corp. International (CIK: 0000089089)
📋 Recent SEC Filings
❓ Frequently Asked Questions about SCI
What is the AI rating for SCI?
Service Corp. International (SCI) has an AI rating of BUY with 72% confidence, based on fundamental analysis of SEC EDGAR filings.
What are SCI's key strengths?
Claude: Exceptional Return on Equity of 33.1% demonstrating highly efficient capital deployment. Strong profitability margins across the board (26.5% gross, 22.7% operating, 12.6% net) indicating pricing power.
What are the risks of investing in SCI?
Claude: High financial leverage at 3.14x debt/equity ratio with modest 3.8x interest coverage limiting financial flexibility. Weak liquidity position with current ratio of 0.55x and quick ratio of 0.50x creating short-term refinancing risk.
What is SCI's revenue and growth?
Service Corp. International reported revenue of $4.3B.
Does SCI pay dividends?
Service Corp. International pays dividends, with $183.6M distributed to shareholders in the trailing twelve months.
Where can I find SCI SEC filings?
Official SEC filings for Service Corp. International (CIK: 0000089089) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.
What is SCI's EPS?
Service Corp. International has a diluted EPS of $3.80.
How is the AI analysis conducted?
Two independent AI systems — Claude (Anthropic) and ChatGPT (OpenAI) — analyze SEC EDGAR filings including 10-K annual reports and 10-Q quarterly reports. Each AI evaluates financial health, profitability ratios, balance sheet strength, and growth metrics. The combined rating reflects both perspectives for balanced insights.
Is SCI a good stock to buy right now?
Based on our AI fundamental analysis in April 2026, Service Corp. International has a BUY rating with 72% confidence. The AI analysis suggests favorable fundamentals based on SEC filings. This is not investment advice.
Is SCI stock overvalued or undervalued?
Valuation metrics for SCI: ROE of 33.1% (sector avg: 16%), net margin of 12.6% (sector avg: 10%). Higher ROE suggests strong returns relative to peers.
Should I buy SCI stock in 2026?
Our dual AI analysis gives Service Corp. International a combined BUY rating for 2026. Revenue is data pending, with profitability above sector average. Always conduct your own research.
What is SCI's free cash flow?
Service Corp. International's operating cash flow is $942.8M, with capital expenditures of $388.6M. FCF margin is 12.9%.
How does SCI compare to other Services stocks?
Vs Services sector averages: Net margin 12.6% (avg: 10%), ROE 33.1% (avg: 16%), current ratio 0.55 (avg: 1.5).
Is Service Corp. International carrying too much debt?
SCI has a debt-to-equity ratio of 3.14x, which is above the Services sector average of 0.7x. Combined with a current ratio below 1, this warrants careful monitoring of the balance sheet.
Why is SCI's return on equity (ROE) so high?
Service Corp. International has a return on equity of 33.1%, significantly above the Services sector average of 16%. A high ROE indicates the company is efficient at generating profits from shareholder equity. This is supported by a 12.6% net margin.