On the stock market since 1998, it operates in the world of money and finance. Now — the numbers.
This is an established company with proven profits.
No real growth (5% a year).
The stock trades near its peak today. For long-term holders the ride has paid off so far — though past performance guarantees nothing about the future.
The net profit margin is 18% — the profit kept from each dollar of revenue is the company’s cushion in hard quarters.
It pays out $1.03 per share each year — regular cash for whoever holds the stock.
Over the last 3 years, sales fell about 2% a year on average. Profit is holding up, but a shrinking business is a risk worth watching.
On our five-subject report card, SCSCX sits behind the class. A low grade doesn’t mean “doomed” — it means “big claim, small proof.”
The takeaway: SCSCX is an established business that has proven its profits for years. The real debate isn’t the quality of the business — it’s whether the price paid for the stock is too high.