Bull case
SCI would need investors to value it at roughly 32x earnings — about 13x more generous than today's 19x forward P/E. That requires meaningful multiple expansion on top of continued earnings growth.
Wall Street verdict, consensus price target, and analyst rating breakdown — everything needed to frame the risk/reward at today's price.
Three scenarios for where SCI stock could go
SCI would need investors to value it at roughly 32x earnings — about 13x more generous than today's 19x forward P/E. That requires meaningful multiple expansion on top of continued earnings growth.
At 24x on FY1 earnings, the base case reflects a reasonable but not stretched valuation. It prices in continued growth without assuming an exceptional setup.
If investor confidence fades or macro conditions deteriorate, a 4x multiple contraction could push SCI down roughly 21% from where it trades now.
Not financial advice. Model confidence reflects internal scenario assumptions, not a guarantee of returns. Past performance does not predict future results.

Service Corporation International is the largest provider of deathcare services in North America, operating funeral homes and cemeteries. It generates revenue primarily from funeral services (roughly 60%) and cemetery operations (roughly 40%), including merchandise sales, property interment rights, and service fees. The company's scale advantage — with over 1,500 funeral homes and 400 cemeteries — creates significant operational efficiencies and brand recognition in a highly fragmented industry.
Quarterly beat-or-miss track record against analyst estimates, plus forward revenue and EPS outlook for the next two fiscal years.
| Quarter | EPS (Actual / Est) | EPS Surprise | Revenue (Actual / Est) | Rev Surprise |
|---|---|---|---|---|
| Q3 2025 | $0.88/$0.84 | +4.8% | $1.1B/$1.0B | +2.3% |
| Q4 2025 | $0.87/$0.83 | +4.8% | $1.1B/$1.1B | -5.3% |
| Q1 2026 | $1.14/$1.14 | +0.0% | $1.1B/$1.1B | -0.5% |
| Q2 2026 | $0.97/$1.00 | -3.0% | $1.1B/$1.1B | +0.2% |
SCI beat EPS estimates in 3 of 4 tracked quarters. A strong delivery record supports forward estimate credibility.
Product and geographic revenue mix from the latest annual disclosure, with year-over-year growth by segment.
Latest annual revenue by segment or product family
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Latest annual revenue by reported region
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Current multiples compared to the S&P 500, the company's sector, and its own five-year average.
Fair value est. $98 — implies +22.6% from today's price.
| Metric | SCI | S&P 500 | Consumer Cyclical | 5Y Avg SCI |
|---|---|---|---|---|
| Forward PE | 19.0x | 19.1x | 15.1x+26% | — |
| Trailing PE | 20.9x | 25.1x-17% | 19.3x | 19.4x |
| PEG Ratio | 3.67x | 1.72x+114% | 0.91x+303% | — |
| EV/EBITDA | 12.1x | 15.2x-20% | 11.3x | 12.1x |
| Price/FCF | 19.9x | 21.1x | 14.6x+36% | 21.1x |
| Price/Sales | 2.6x | 3.1x-18% | 0.7x+258% | 2.7x |
| Dividend Yield | 1.62% | 1.87% | 2.23% | 1.48% |
Forward P/E and PEG reflect analyst consensus estimates. Historical averages use trailing ratios where forward data is unavailable.S&P 500 and sector benchmarks both use trailing median P/E — similar readings indicate the broader index and sector are priced alike.
Open valuation toolSCI generates $629M in free cash flow at a 14.5% margin — 11.3% ROIC signals a durable competitive advantage · returns 5.8% of market cap to shareholders annually.
Revenue, margins, and cash generation
ROIC, leverage, and debt serviceability
~7.8 years to full repayment at current FCF run-rate
* Elevated by buyback-compressed equity — compare ROIC (11.3%) for an undistorted picture of capital efficiency.
How capital is returned to owners
All figures from the trailing twelve months. ROIC uses invested capital (equity + net debt). ROE marked * where buyback-compressed equity base may inflate the figure.
Open full ratios pageKey factors that could pressure the stock price, compress the multiple, or weigh on future results.
AI analysis · updated April 29, 2026
SCI has a significant amount of debt, with a debt-to-equity ratio of 3.10, which is higher than many industry peers. The company's net debt was US$4.40 billion as of December 2023, increasing the risk of permanent capital loss if it struggles to meet its obligations.
With a current ratio of 0.55 and a quick ratio of 0.50, SCI may face difficulties in meeting its short-term obligations. These ratios are lower than industry averages, indicating potential financial strain.
SCI is subject to market risk, where stock prices can fluctuate due to economic trends and global events, regardless of the company's performance. This volatility can lead to significant price swings that may impact investor sentiment.
A potential shift away from traditional burials towards cremations could impact SCI's business model, as cremations tend to be less expensive. This trend may affect revenue streams if not adequately addressed.
Certain geographical markets may present competitive and operational barriers that could hinder SCI's growth and market penetration. Increased competition may pressure pricing and profitability.
Changes to regulations, such as the Federal Trade Commission's Funeral Rule, could affect SCI's business model and service delivery. Regulatory changes may impose additional compliance costs or operational restrictions.
A focus on high-growth sectors like AI could lead investors to overlook companies like SCI, which may not offer the same high-reward/high-risk potential. This shift in investor focus could impact SCI's stock performance.
Negative news, earnings misses, or management decisions can impact SCI's stock price. Such company-specific issues may lead to short-term volatility and affect investor confidence.
These are risk mechanisms, not predictions. The key question is which would force a cut to earnings estimates or a lower multiple than the market currently prices in.
Structural drivers behind the upside case and why the stock could outperform over the next 12 months.
AI analysis · updated April 29, 2026
SCI is projected to deliver 8%-12% annual earnings per share (EPS) growth, with consensus estimates for FY 2025 EPS at $3.85, representing a 9.1% year-over-year increase. The company has a track record of beating consensus estimates.
The cemetery segment has been a key driver of growth, with comparable pre-need cemetery sales production increasing by 5.3% year-over-year in Q2 2025. This strong performance highlights the segment's importance to SCI's overall revenue.
An aging baby boomer population is expected to drive future funeral volume growth, providing a favorable demographic backdrop for SCI's services. This trend is likely to support sustained demand in the coming years.
The business model is viewed as insulated from AI disruption and potential political risks, which adds a layer of stability to SCI's operations. This resilience positions the company favorably in a changing market environment.
SCI is seen as trading at a moderate valuation discount to the broader market, despite having better long-term growth prospects and a less cyclical earnings stream. This presents an attractive entry point for investors looking for growth.
A real bull case compounds — each driver matters most when it strengthens margins, supports capital returns, and keeps the company above the market's minimum growth bar simultaneously.
52-week range context and price returns across multiple time horizons. Dividend contribution is shown separately in the Capital Return section.
Range context matters because valuation compression and earnings misses rarely hit from the same starting point. A stock already far below its high can still fall, but it is no longer carrying the same embedded optimism as one pressing a fresh peak.
Valuation, growth, and margin comparison against the closest publicly traded peers for this company.
| Company | Mkt Cap | Fwd PE | Rev Grw | Margin | Rating | Upside |
|---|---|---|---|---|---|---|
SCI SCI Service Corporation International | $11.0B | 19.0x | +2.7% | 14.5% | Buy | +17.0% |
CSV CSV Carriage Services, Inc. | $748M | 13.8x | -19.8% | 16.0% | Buy | +5.3% |
MAT MATW Matthews International Corporation | $890M | 35.7x | -9.9% | 0.8% | Buy | — |
HI HI Hillenbrand, Inc. | $2.3B | 12.4x | -5.6% | 1.4% | Buy | +0.1% |
MSG MSGS Madison Square Garden Sports Corp. | $8.1B | — | +3.5% | -1.5% | Buy | +7.6% |
SRE SRE Sempra | $61.4B | 18.5x | +2.7% | 14.4% | Buy | +13.4% |
This peer comparison reflects companies with similar business models, product lines, or market positioning, supplemented by industry grouping when direct matches are limited.
SCI returns capital mainly through $461M/year in buybacks (4.2% buyback yield), with a modest 1.62% dividend — combining for 5.8% total shareholder yield. The dividend has grown for 12 consecutive years.
Yield, cadence, and growth quality
How much per-share support comes from repurchases
| Year | Div / Share | YoY Grw | BB Yield | Total Yield |
|---|---|---|---|---|
| 2026 | $0.34 | — | — | — |
| 2025 | $1.30 | +9.2% | 4.1% | 5.8% |
| 2024 | $1.19 | +6.2% | 2.2% | 3.7% |
| 2023 | $1.12 | +9.8% | 5.2% | 6.8% |
| 2022 | $1.02 | +15.9% | 6.0% | 7.4% |
Common questions answered from live analyst data and company financials.
Service Corporation International (SCI) is rated Buy by Wall Street analysts as of 2026. Of 9 analysts covering the stock, 8 rate it Buy or Strong Buy, 1 rate it Hold, and 0 rate it Sell or Strong Sell. The consensus 12-month price target is $93, implying +17.0% from the current price of $79. The bear case scenario is $62 and the bull case is $135.
The Wall Street consensus price target for SCI is $93 based on 9 analyst estimates. The high-end target is $93 (+17.0% from today), and the low-end target is $93 (+17.0%). The base case model target is $99.
SCI trades at 19.0x times forward earnings. The stock currently trades at a discount to the broader market. Based on current multiples versus the peer group, the relative model signals undervalued. Whether the stock is over or undervalued ultimately depends on whether consensus earnings estimates are achievable.
The primary risks for SCI in 2026 are: (1) Debt Levels — SCI has a significant amount of debt, with a debt-to-equity ratio of 3. (2) Liquidity Concerns — With a current ratio of 0. (3) Market Volatility — SCI is subject to market risk, where stock prices can fluctuate due to economic trends and global events, regardless of the company's performance. Each factor has the potential to pressure earnings or compress the stock's valuation multiple.
Analyst consensus estimates SCI will report consensus revenue of $4.4B (+2.7% year-over-year) and EPS of $4.55 (+1.7% year-over-year) for the upcoming fiscal year. The following year, analysts project $4.6B in revenue.
A confirmed upcoming earnings date for SCI is not yet available. Check the Earnings section above for the most recent quarterly report dates and forward estimates.
Service Corporation International (SCI) generated $629M in free cash flow over the trailing twelve months — a free cash flow margin of 14.5%. SCI returns capital to shareholders through dividends (1.6% yield) and share repurchases ($461M TTM).