SCCI (Shimmick Construction Company) Earnings Power Value (EPV): $0.89 (As of Dec14)


What is Shimmick Construction Company Earnings Power Value (EPV)?

Shimmick Construction Company SCCI Earnings Power Value (EPV) is $0.89 as of Dec14.

As of Dec14, Shimmick Construction Company's earnings power value is $0.89. *

* GuruFocus does not store EPV value into our database if Average Maintenance CAPEX is 0.

Margin of Safety is N/A.

The basic concept of EPV is that one should value a stock based on the current free cash flow of a company and not on future projections which may, or may not, come true. It is arguably a better way to analyze stocks than Discounted Cash Flow analysis that relies on highly speculative growth assumptions many years into the future. Assumption: Current profitability is sustainable.

Shimmick Construction Company  (NAS:SCCI) Earnings Power Value (EPV) Explanation

Assumption: Current profitability is sustainable.

Earnings power value (EPV) uses a very basic equation which assumes no growth, although it does rely on an assumption about the cost of capital as well as the fact that current earnings are sustainable. It also involves several adjustments to clean up the underlying Earnings figures.

Be Aware

Though using today's earnings in calculating Earnings Power Value, GuruFocus is normalizing these earnings to the business cycle. This eliminates the effects on profitability of valuing the firm at different points in the business cycle. This means that we are considering the average earnings over 5 years.

Shimmick Construction Company Earnings Power Value (EPV) Related Terms

Shimmick Construction Company Earnings Power Value (EPV) Historical Data

* Premium members only.

The historical data trend for Shimmick Construction Company's Earnings Power Value (EPV) can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Shimmick Construction Company Earnings Power Value (EPV) Chart

Shimmick Construction Company Annual Data
Trend Dec13 Dec14
Earnings Power Value (EPV)
0.00 0.00

Shimmick Construction Company Semi-Annual Data
Dec13 Jun14 Dec14 Jun15
Earnings Power Value (EPV) 0.00 0.00 0.00 0.00

SCCI vs TSSI, SWMM, SFHI: Earnings Power Value (EPV) Comparison

For the Engineering & Construction subindustry, Shimmick Construction Company's Earnings Power Value (EPV), along with its competitors' market caps and Earnings Power Value (EPV) data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.

Shimmick Construction Company Earnings Power Value (EPV) vs Construction Industry

For the Construction industry and Industrials sector, Shimmick Construction Company's Earnings Power Value (EPV) distribution charts can be found below:

* The bar in red indicates where Shimmick Construction Company's Earnings Power Value (EPV) falls into.


Shimmick Construction Company Earnings Power Value (EPV) Calculation

Earnings Power Value also known as just Earnings Power is a valuation technique popularised by Bruce Greenwald, an authority on value investing at Columbia University. It is arguably a better way to analyze stocks than Discounted Cash Flow analysis that relies on highly speculative growth assumptions many years into the future.

The basic concept of EPV is that one should value a stock based on the current free cash flow of a company and not on future projections which may, or may not, come true. This valuation tool excludes the potential growth that a company may have so that needs to be looked at separately. Since future growth is excluded from the analysis, only the maintenance capital expenditures are subtracted from after-tax EBIT (earnings before interest and taxes) and growth capex is ignored.

What does a Earnings Power Value (EPV) of $0.89 mean?
Shimmick Construction Company (SCCI) has a Earnings Power Value (EPV) of $0.89 as of Dec14. Bruce Greenwald's earnings power value focuses on current earnings without factoring in future growth. View historical data on Shimmick Construction Company and its competitors.
Is Shimmick Construction Company's Earnings Power Value (EPV) too high?
Shimmick Construction Company's current Earnings Power Value (EPV) is $0.89.
How does Shimmick Construction Company's Earnings Power Value (EPV) compare to TSSI and SWMM?
Shimmick Construction Company's Earnings Power Value (EPV) of $0.89 can be compared against companies in the Construction industry. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Earnings Power Value (EPV) for a Construction company?
A good Earnings Power Value (EPV) depends on the Construction industry context. However, Earnings Power Value (EPV) should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Earnings Power Value (EPV) mean?
A high Earnings Power Value (EPV) can signal that a stock is expensive relative to its fundamentals. Bruce Greenwald's earnings power value focuses on current earnings without factoring in future growth. View historical data on Shimmick Construction Company and its competitors. Shimmick Construction Company's current Earnings Power Value (EPV) is $0.89. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Shimmick Construction Company stock overvalued right now?
Shimmick Construction Company (SCCI) has a current Earnings Power Value (EPV) of $0.89. The current Earnings Power Value (EPV) is $0.89. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Earnings Power Value (EPV) calculated?
Earnings Power Value (EPV) is calculated from a company's financial statements. For Shimmick Construction Company (SCCI), the current Earnings Power Value (EPV) is $0.89 as of Dec14. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.

Shimmick Construction Company Business Description

Shimmick Construction Company Inc is a heavy civil construction company founded in 1990. The Company is engaged in construction activities in the western United States, with operations in California. The Company offers general construction, construction management, and design-build services to federal, state, and local public agencies and private customers in California and the Western United States. The Company operates in two segments including construction Projects and Construction Materials. The Construction Projects segment performs construction projects including new construction and improvement of streets, roads, highways, bridges, site work, underground, power-related facilities, utilities and other infrastructure projects. The Construction Materials segment mines and processes aggregates and operates plants that produce construction materials for internal use and for sale to third parties. The Company's customers include Caltrans, City of San Francisco, Port of Long Beach, Port of Los Angeles, City of Los Angeles, LA MTA, BART, VTA, and the Metropolitan Water District of Southern California (MWD). The Company faces competition from competitors including Balfour Beatty plc, Barnard Construction Company, Inc., Dragados S.A., Flatiron Construction Corp., Fluor Corporation, Granite Construction Incorporated, Kiewit Corporation, Obayashi Corporation, Skanska AB, Traylor Bros., Inc., Tutor Perini Corporation, and Walsh Construction Co. The Company's business is subject to various federal, state and local laws and regulations relating to the environment, including those relating to discharges to air, water and land, the handling and disposal of solid and hazardous waste, the handling of underground storage tanks and the cleanup of properties affected by hazardous substances.