📊 SLVM Key Takeaways
Is Sylvamo Corp (SLVM) a Good Investment?
Sylvamo faces severe operational distress with negative operating cash flow (-$10M), negative free cash flow (-$59M), and inability to cover interest expenses from operations (interest coverage -1.2x). The company is unprofitable at both operating and net income levels despite $755M revenue, indicating structural margin deterioration in a commodity-driven paper mill industry. Deteriorating liquidity metrics (quick ratio 0.81x) combined with $766M debt create acute financial vulnerability.
Sylvamo Corp Key Strengths (SLVM)
- Maintains positive current ratio of 1.45x providing near-term liquidity buffer
- Moderate leverage with debt-to-equity of 0.78x suggests balance sheet not critically overleveraged
- Cash position of $130M provides runway for operational improvements
SLVM Stock Risks: Sylvamo Corp Investment Risks
- Negative operating cash flow indicates core business cannot fund operations; unsustainable burn rate of -$59M FCF annually
- Operating margin of -2.0% and net margin of -0.4% show fundamental unprofitability; cannot support interest coverage (1.2x negative)
- Quick ratio of 0.81x reveals heavy reliance on inventory conversion; weak ability to meet short-term obligations in stress scenarios
- Paper mill industry faces secular headwinds from digital substitution and commodity pricing pressure; spin-off transition period masks underlying business challenges
Key Metrics to Watch
- Operating cash flow trend - must return positive to validate sustainability
- Operating margin progression - negative margins unsustainable long-term
- Interest coverage ratio - currently unable to service debt from operations
- Debt reduction or cash preservation - current burn rate threatens covenant compliance
Sylvamo Corp (SLVM) Financial Metrics & Key Ratios
💡 AI Analyst Insight
Sylvamo Corp presents a mixed fundamental picture. Review the detailed metrics above to form your own investment thesis.
SLVM Profit Margin, ROE & Profitability Analysis
SLVM vs Materials Sector: How Sylvamo Corp Compares
How Sylvamo Corp compares to Materials sector averages
Sector benchmarks are approximate industry averages. Actual sector performance may vary.
Is Sylvamo Corp Stock Overvalued? SLVM Valuation Analysis 2026
Based on fundamental analysis, Sylvamo Corp shows some fundamental concerns relative to the Materials 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.
Sylvamo Corp Balance Sheet: SLVM Debt, Cash & Liquidity
SLVM Revenue & Earnings Growth: 5-Year Financial Trend
5-Year Trend Summary: Sylvamo Corp's revenue has remained relatively flat over the 5-year period, with a 6% decline. The most recent EPS of $5.93 reflects profitable operations.
SLVM Revenue Growth, EPS Growth & YoY Performance
SLVM Quarterly Earnings & Performance
| Quarter | Revenue | Net Income | EPS |
|---|---|---|---|
| Q1 2026 | $755.0M | -$3.0M | $-0.08 |
| Q3 2025 | $846.0M | $57.0M | $1.41 |
| Q2 2025 | $794.0M | $15.0M | $0.37 |
| Q1 2025 | $821.0M | $27.0M | $0.65 |
| Q3 2024 | $897.0M | $58.0M | $1.37 |
| Q2 2024 | $919.0M | $49.0M | $1.14 |
| Q1 2024 | $905.0M | $43.0M | $1.02 |
| Q3 2023 | $897.0M | $24.0M | $0.54 |
Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.
Sylvamo Corp Dividends, Buybacks & Capital Allocation
SLVM SEC Filings: Latest 10-K & 10-Q Analysis
Access official SEC EDGAR filings for Sylvamo Corp (CIK: 0001856485)
📋 Recent SEC Filings
❓ Frequently Asked Questions about SLVM
What is the AI rating for SLVM?
Sylvamo Corp (SLVM) has an AI grade of D with 88% confidence, based on fundamental analysis of SEC EDGAR filings.
What are SLVM's key strengths?
Claude: Maintains positive current ratio of 1.45x providing near-term liquidity buffer. Moderate leverage with debt-to-equity of 0.78x suggests balance sheet not critically overleveraged.
What are the risks of investing in SLVM?
Claude: Negative operating cash flow indicates core business cannot fund operations; unsustainable burn rate of -$59M FCF annually. Operating margin of -2.0% and net margin of -0.4% show fundamental unprofitability; cannot support interest coverage (1.2x negative).
What is SLVM's revenue and growth?
Sylvamo Corp reported revenue of $755.0M.
Does SLVM pay dividends?
Sylvamo Corp pays dividends, with $18.0M distributed to shareholders in the trailing twelve months.
Where can I find SLVM SEC filings?
Official SEC filings for Sylvamo Corp (CIK: 0001856485) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.
What is SLVM's EPS?
Sylvamo Corp has a diluted EPS of $-0.08.
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 grade reflects both perspectives for balanced insights.
What is SLVM's fundamental grade?
Based on our AI fundamental analysis in May 2026, Sylvamo Corp has a D grade with 88% confidence. Review the strengths and risks sections above for full context. This is not investment advice.
Is SLVM stock overvalued or undervalued?
Valuation metrics for SLVM: ROE of -0.3% (sector avg: 14%), net margin of -0.4% (sector avg: 10%). Compare these metrics with sector averages to assess valuation.
What is SLVM's AI grade for 2026?
Our dual AI analysis gives Sylvamo Corp a combined D grade for 2026. Revenue is data pending, with profitability at or below sector average. Always conduct your own research.
What is SLVM's free cash flow?
Sylvamo Corp's operating cash flow is $-10.0M, with capital expenditures of $49.0M. FCF margin is -7.8%.
How does SLVM compare to other Materials stocks?
Vs Materials sector averages: Net margin -0.4% (avg: 10%), ROE -0.3% (avg: 14%), current ratio 1.45 (avg: 1.6).