📊 SSD Key Takeaways
Is Simpson Manufacturing Co., Inc. (SSD) a Good Investment?
Simpson Manufacturing demonstrates strong operational profitability with robust 45% gross margins and 19.5% operating margins, supported by accelerating earnings growth (EPS +8.4% YoY). However, significant concerns emerge from weak free cash flow conversion (only $17.9M on $88.2M net income) and extremely low returns on capital (ROE 4.3%, ROA 2.9%), suggesting capital efficiency issues that offset operational strength.
Simpson Manufacturing Co., Inc. Key Strengths (SSD)
- Strong and accelerating profitability: Net income +7.1% YoY, EPS +8.4% YoY on 4.5% revenue growth
- Exceptional gross and operating margins: 45.2% gross margin and 19.5% operating margin indicate pricing power and operational excellence
- Fortress balance sheet: Debt/Equity of 0.14x, current ratio of 3.4x, and $341M cash position provide substantial financial flexibility
SSD Stock Risks: Simpson Manufacturing Co., Inc. Investment Risks
- Severe free cash flow weakness: Only $17.9M FCF generated on $88.2M net income (20% conversion), raising earnings quality concerns
- Critically low returns on capital: ROE of 4.3% and ROA of 2.9% indicate poor capital deployment efficiency and asset productivity
- Large gap between earnings and cash flow: Operating cash flow of only $35.5M on $88.2M net income suggests potential working capital issues or unproven earnings quality
Key Metrics to Watch
- Free cash flow trend and conversion ratio to net income
- Return on equity and asset efficiency improvements
- Operating cash flow sustainability relative to reported net income
Simpson Manufacturing Co., Inc. (SSD) Financial Metrics & Key Ratios
💡 AI Analyst Insight
The relatively thin 3.0% FCF margin may limit capital allocation flexibility. Strong liquidity with a 3.40x current ratio provides a solid financial cushion.
SSD Profit Margin, ROE & Profitability Analysis
SSD vs Market Sector: How Simpson Manufacturing Co., Inc. Compares
How Simpson Manufacturing Co., Inc. compares to Market sector averages
Sector benchmarks are approximate industry averages. Actual sector performance may vary.
Is Simpson Manufacturing Co., Inc. Stock Overvalued? SSD Valuation Analysis 2026
Based on fundamental analysis, Simpson Manufacturing Co., Inc. has mixed fundamental signals relative to the Market 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.
Simpson Manufacturing Co., Inc. Balance Sheet: SSD Debt, Cash & Liquidity
SSD Revenue & Earnings Growth: 5-Year Financial Trend
5-Year Trend Summary: Simpson Manufacturing Co., Inc.'s revenue has grown significantly by 48% over the 5-year period, indicating strong business expansion. The most recent EPS of $8.26 reflects profitable operations.
SSD Revenue Growth, EPS Growth & YoY Performance
SSD Quarterly Earnings & Performance
| Quarter | Revenue | Net Income | EPS |
|---|---|---|---|
| Q1 2026 | $538.9M | $77.9M | $1.85 |
| Q3 2025 | $587.2M | $93.5M | $2.21 |
| Q2 2025 | $597.0M | $97.8M | $2.31 |
| Q1 2025 | $530.6M | $75.4M | $1.77 |
| Q3 2024 | $580.1M | $93.5M | $2.21 |
| Q2 2024 | $597.0M | $97.8M | $2.31 |
| Q1 2024 | $530.6M | $75.4M | $1.77 |
| Q3 2023 | $553.7M | $88.2M | $2.06 |
Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.
Simpson Manufacturing Co., Inc. Dividends, Buybacks & Capital Allocation
SSD SEC Filings: Latest 10-K & 10-Q Analysis
Access official SEC EDGAR filings for Simpson Manufacturing Co., Inc. (CIK: 0000920371)
📋 Recent SEC Filings
❓ Frequently Asked Questions about SSD
What is the AI rating for SSD?
Simpson Manufacturing Co., Inc. (SSD) has an AI grade of B with 70% confidence, based on fundamental analysis of SEC EDGAR filings.
What are SSD's key strengths?
Claude: Strong and accelerating profitability: Net income +7.1% YoY, EPS +8.4% YoY on 4.5% revenue growth. Exceptional gross and operating margins: 45.2% gross margin and 19.5% operating margin indicate pricing power and operational excellence.
What are the risks of investing in SSD?
Claude: Severe free cash flow weakness: Only $17.9M FCF generated on $88.2M net income (20% conversion), raising earnings quality concerns. Critically low returns on capital: ROE of 4.3% and ROA of 2.9% indicate poor capital deployment efficiency and asset productivity.
What is SSD's revenue and growth?
Simpson Manufacturing Co., Inc. reported revenue of $588.0M.
Does SSD pay dividends?
Simpson Manufacturing Co., Inc. pays dividends, with $12.0M distributed to shareholders in the trailing twelve months.
Where can I find SSD SEC filings?
Official SEC filings for Simpson Manufacturing Co., Inc. (CIK: 0000920371) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.
What is SSD's EPS?
Simpson Manufacturing Co., Inc. has a diluted EPS of $2.13.
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 SSD's fundamental grade?
Based on our AI fundamental analysis in May 2026, Simpson Manufacturing Co., Inc. has a B grade with 70% confidence. Review the strengths and risks sections above for full context. This is not investment advice.
Is SSD stock overvalued or undervalued?
Valuation metrics for SSD: ROE of 4.3% (sector avg: 15%), net margin of 15.0% (sector avg: 12%). Compare these metrics with sector averages to assess valuation.
What is SSD's AI grade for 2026?
Our dual AI analysis gives Simpson Manufacturing Co., Inc. a combined B grade for 2026. Revenue is data pending, with profitability above sector average. Always conduct your own research.
What is SSD's free cash flow?
Simpson Manufacturing Co., Inc.'s operating cash flow is $35.5M, with capital expenditures of $17.6M. FCF margin is 3.0%.
How does SSD compare to other Market stocks?
Vs Default sector averages: Net margin 15.0% (avg: 12%), ROE 4.3% (avg: 15%), current ratio 3.40 (avg: 1.8).