
Service Corporation International SCI
100.33 USD (+30.5%)
6 analysts
What does it do?
Service Corporation International is the largest provider of funeral and cemetery services in North America, operating a network of funeral homes and cemeteries that generate recurring and defensive revenue.
Key points
from its scores- ✓Favourable backdrop7.3
- ✕Fragile balance sheet4.2
- !Moderate growth5.3
- !Average business quality5.6
AI analysis
bottom line, main risk, context and newsThe defensive business and solid profitability offset the high leverage, but the lack of growth catalysts and sensitivity to interest rates limit the upside potential.
SCI presents a defensive profile with an ROE of 34.71% and an operating margin of 21%, although its high leverage (Net Debt/EBITDA of 3.81) and low liquidity (0.53) are the main drags on its financial health. Valuation is reasonable (P/E 20.12, forward 16.72) and the dividend is well covered with a payout of 35.6%.
The main risk is the high financial leverage (Net Debt/EBITDA of 3.81) with a low liquidity ratio (0.53), which could strain the balance sheet if interest rates remain high or cash flow weakens.
Context and risks
SCI's funeral services business is highly defensive and generates stable cash flows, with low sensitivity to interest rates despite its leverage. The rise in long-term US rates is a general context factor that does not materially alter the demand for its services or its competitive position.
Is Service Corporation International stock cheap or expensive?
at the analysis dateOn P/E and EV / EBITDA, it trades in line with the Consumer Cyclical median (within 15%).
| Multiple | Company | Sector | Difference |
|---|---|---|---|
| P/E | 20.1 | 17.8 | +13% |
| EV / EBITDA | 11.7 | 11.2 | +4% |
| Price / book | 6.8 | 2.9 | +138% |
| Price / sales | 2.4 | 1.3 | +91% |
Sector: median of the 228 Consumer Cyclical companies analysed. In bold, the multiples used for the comparison.
Valuation score: 6.3 out of 10 (median for Consumer Cyclical: 6.6).
Average analyst target: 100.33 USD, +30.5% versus the price.
Classic formulas with standard assumptions (10.0% growth, 8-9% discount rate). Indicative only: they change a lot with the assumptions and are not a recommendation.
Work out its fair value yourself →How much would you have made investing every month? →
Comparing it with its sector does not say whether it is a good buy: this is not investment advice.
Score by category
0 to 10 · hover overtap each one to see what it measuresKey metrics
at the analysis date · compared with the Consumer Cyclical medianValuation
- P/E
- 20.1
- Forward P/E
- 16.7
- EV / EBITDA
- 11.7
- Price / book
- 6.8
- Price / sales
- 2.4
- PEG
- 1.39
- Market cap
- 10.5B USD
- Enterprise value
- 15.5B USD
Profitability
- ROE
- 34.7%
- ROA
- 3.3%
- ROIC (approx.)
- 13.4%
- Gross margin
- 26.0%
- Operating margin
- 21.0%
- Net margin
- 12.3%
- Free cash flow
- 315.9M USD
- FCF yield
- 3.0%
- Cash conversion
- 24%
Solvency
- Total debt
- 5.3B USD
- Net debt
- 5.0B USD
- Cash
- 260.4M USD
- EBITDA
- 1.3B USD
- Net debt / EBITDA
- 3.81
- Debt / equity
- 344.86
- Current ratio
- 0.53
- Quick ratio
- 0.43
Growth
- Revenue growth
- +3.6%
- Earnings growth
- +4.7%
- EPS (TTM)
- 3.82 USD
- EPS (forward)
- 4.60 USD
Dividend
- Dividend yield
- 1.9%
- Payout
- 35.6%
Risk and market
- Beta
- 0.82
- Analyst consensus
- none (6)
- Target price
- 100.33 USD
- 52-week range
- 68.41 – 90.99
Recent news
All SCI news →Compare it with its sector
All 228 in Consumer Cyclical →Frequently asked questions about Service Corporation International
Is Service Corporation International stock cheap or expensive?
On P/E and EV / EBITDA, it trades in line with the Consumer Cyclical median (within 15%). Valuation score: 6.3 out of 10 (median for Consumer Cyclical: 6.6). Average analyst target: 100.33 USD, +30.5% versus the price. This is not investment advice.
What score does Service Corporation International get on MeridIAn Screener?
It scores 5.9 out of 10, rank 1,103 of 2,130 (better than 47% of the companies analysed). Its strongest category is Risk & Context (7.3) and its weakest, Financial health (4.2). Analysis of 08/10/2026.
What is Service Corporation International's P/E ratio?
Its P/E is 20.1: the share price equals 20.1 times earnings per share over the last 12 months. The Consumer Cyclical median is 17.8. Based on the earnings analysts expect, the forward P/E is 16.7.
How much is Service Corporation International worth on the stock market?
Its market capitalisation is 10.5B USD and its enterprise value, debt included, is 15.5B USD.
How much debt does Service Corporation International have?
Its net debt (debt minus cash) is 5.0B USD. That is 3.81 times its EBITDA; the Consumer Cyclical median is 1.91.
Does Service Corporation International pay a dividend?
Yes: its dividend yield is 1.87% and it pays out 36% of its earnings.
How has Service Corporation International stock performed over the last year?
It has fallen 3.2% over the last year, excluding dividends. Over the last 52 weeks it has traded between 68.41 and 90.99 USD. Past performance does not guarantee future results.
What do analysts think of Service Corporation International?
6 analysts cover it; their average recommendation is “none” and their average target is 100.33 USD (+30.5% versus the price). It is an estimate, not market data.
