ABC ARBITRAGE (ABCA.PA) Stock Fundamental Analysis
EPA:ABCA - Euronext Paris - Matif - FR0004040608 - Common Stock - Currency: EUR
ABCA gets a fundamental rating of 7 out of 10. The analysis compared the fundamentals against 51 industry peers in the Financial Services industry. ABCA has an excellent financial health rating, but there are some minor concerns on its profitability. ABCA has a correct valuation and a medium growth rate.
1. Profitability
1.1 Basic Checks
In the past year ABCA was profitable.
In the past year ABCA had a positive cash flow from operations.
In the past 5 years ABCA has always been profitable.
ABCA had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
ABCA has a better Return On Assets (15.05%) than 86.27% of its industry peers.
ABCA has a Return On Equity of 16.36%. This is in the better half of the industry: ABCA outperforms 66.67% of its industry peers.
ABCA has a Return On Invested Capital of 9.31%. This is in the better half of the industry: ABCA outperforms 68.63% of its industry peers.
ABCA had an Average Return On Invested Capital over the past 3 years of 9.94%. This is below the industry average of 12.61%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 15.05% | ||
| ROE | 16.36% | ||
| ROIC | 9.31% |
ROA(3y)13.4%
ROA(5y)15.12%
ROE(3y)15%
ROE(5y)17.06%
ROIC(3y)9.94%
ROIC(5y)12.49%
1.3 Margins
The Profit Margin of ABCA (52.14%) is better than 90.20% of its industry peers.
In the last couple of years the Profit Margin of ABCA has remained more or less at the same level.
ABCA has a Operating Margin of 41.00%. This is in the better half of the industry: ABCA outperforms 78.43% of its industry peers.
In the last couple of years the Operating Margin of ABCA has declined.
ABCA has a Gross Margin of 85.42%. This is in the better half of the industry: ABCA outperforms 78.43% of its industry peers.
In the last couple of years the Gross Margin of ABCA has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 41% | ||
| PM (TTM) | 52.14% | ||
| GM | 85.42% |
OM growth 3Y-9.31%
OM growth 5Y-3.35%
PM growth 3Y6.16%
PM growth 5Y1.15%
GM growth 3Y-1.83%
GM growth 5Y0.02%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), ABCA is creating some value.
ABCA has less shares outstanding than it did 1 year ago.
ABCA has more shares outstanding than it did 5 years ago.
Compared to 1 year ago, ABCA has an improved debt to assets ratio.
2.2 Solvency
ABCA has an Altman-Z score of 18.12. This indicates that ABCA is financially healthy and has little risk of bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 18.12, ABCA belongs to the top of the industry, outperforming 96.08% of the companies in the same industry.
ABCA has a debt to FCF ratio of 0.19. This is a very positive value and a sign of high solvency as it would only need 0.19 years to pay back of all of its debts.
ABCA has a better Debt to FCF ratio (0.19) than 94.12% of its industry peers.
ABCA has a Debt/Equity ratio of 0.02. This is a healthy value indicating a solid balance between debt and equity.
The Debt to Equity ratio of ABCA (0.02) is better than 96.08% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.02 | ||
| Debt/FCF | 0.19 | ||
| Altman-Z | 18.12 |
ROIC/WACC1.19
WACC7.83%
2.3 Liquidity
ABCA has a Current Ratio of 14.74. This indicates that ABCA is financially healthy and has no problem in meeting its short term obligations.
With an excellent Current ratio value of 14.74, ABCA belongs to the best of the industry, outperforming 96.08% of the companies in the same industry.
ABCA has a Quick Ratio of 14.74. This indicates that ABCA is financially healthy and has no problem in meeting its short term obligations.
The Quick ratio of ABCA (14.74) is better than 96.08% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 14.74 | ||
| Quick Ratio | 14.74 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 63.26% over the past year.
The Earnings Per Share has been growing slightly by 7.62% on average over the past years.
ABCA shows a strong growth in Revenue. In the last year, the Revenue has grown by 29.31%.
The Revenue has been growing slightly by 6.69% on average over the past years.
EPS 1Y (TTM)63.26%
EPS 3Y-1.45%
EPS 5Y7.62%
EPS Q2Q%136.24%
Revenue 1Y (TTM)29.31%
Revenue growth 3Y-7.16%
Revenue growth 5Y6.69%
Sales Q2Q%46.8%
3.2 Future
The Earnings Per Share is expected to grow by 9.02% on average over the next years. This is quite good.
The Revenue is expected to grow by 13.94% on average over the next years. This is quite good.
EPS Next Y7.04%
EPS Next 2Y6.81%
EPS Next 3Y9.02%
EPS Next 5YN/A
Revenue Next Year29.38%
Revenue Next 2Y13.3%
Revenue Next 3Y13.94%
Revenue Next 5YN/A
3.3 Evolution
The EPS growth rate is stable: in the next years the growth will be about the same than in the last years.
The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 13.49, the valuation of ABCA can be described as correct.
Compared to the rest of the industry, the Price/Earnings ratio of ABCA is on the same level as its industry peers.
ABCA is valuated cheaply when we compare the Price/Earnings ratio to 26.99, which is the current average of the S&P500 Index.
The Price/Forward Earnings ratio is 15.66, which indicates a correct valuation of ABCA.
ABCA's Price/Forward Earnings ratio is in line with the industry average.
The average S&P500 Price/Forward Earnings ratio is at 36.36. ABCA is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 13.49 | ||
| Fwd PE | 15.66 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, ABCA is valued cheaply inside the industry as 86.27% of the companies are valued more expensively.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of ABCA is on the same level as its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 17.14 | ||
| EV/EBITDA | 2.44 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates ABCA does not grow enough to justify the current Price/Earnings ratio.
ABCA has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)1.92
PEG (5Y)1.77
EPS Next 2Y6.81%
EPS Next 3Y9.02%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 5.45%, ABCA is a good candidate for dividend investing.
ABCA's Dividend Yield is rather good when compared to the industry average which is at 3.57. ABCA pays more dividend than 90.20% of the companies in the same industry.
Compared to an average S&P500 Dividend Yield of 2.40, ABCA pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.45% |
5.2 History
The dividend of ABCA decreases each year by -7.03%.
Dividend Growth(5Y)-7.03%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
ABCA pays out 66.25% of its income as dividend. This is not a sustainable payout ratio.
DP66.25%
EPS Next 2Y6.81%
EPS Next 3Y9.02%
EPA:ABCA (8/6/2025, 7:00:00 PM)
6.07
-0.06 (-0.98%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupFinancial Services
GICS IndustryFinancial Services
Earnings (Last)
Earnings (Next)
Inst Owners4.78%
Inst Owner ChangeN/A
Ins Owners29.3%
Ins Owner ChangeN/A
Market Cap361.83M
Analysts85
Price Target7.4 (21.91%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.45% |
Yearly Dividend0.3
Dividend Growth(5Y)-7.03%
DP66.25%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)N/A
Avg EPS beat(2)N/A
Min EPS beat(2)N/A
Max EPS beat(2)N/A
EPS beat(4)N/A
Avg EPS beat(4)N/A
Min EPS beat(4)N/A
Max EPS beat(4)N/A
EPS beat(8)N/A
Avg EPS beat(8)N/A
EPS beat(12)N/A
Avg EPS beat(12)N/A
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)N/A
Avg Revenue beat(2)N/A
Min Revenue beat(2)N/A
Max Revenue beat(2)N/A
Revenue beat(4)N/A
Avg Revenue beat(4)N/A
Min Revenue beat(4)N/A
Max Revenue beat(4)N/A
Revenue beat(8)N/A
Avg Revenue beat(8)N/A
Revenue beat(12)N/A
Avg Revenue beat(12)N/A
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)0%
PT rev (3m)13.28%
EPS NQ rev (1m)N/A
EPS NQ rev (3m)N/A
EPS NY rev (1m)0%
EPS NY rev (3m)0%
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)15.46%
Revenue NY rev (3m)15.46%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 13.49 | ||
| Fwd PE | 15.66 | ||
| P/S | 7.03 | ||
| P/FCF | 17.14 | ||
| P/OCF | 17.14 | ||
| P/B | 2.2 | ||
| P/tB | 2.21 | ||
| EV/EBITDA | 2.44 |
EPS(TTM)0.45
EY7.41%
EPS(NY)0.39
Fwd EY6.39%
FCF(TTM)0.35
FCFY5.84%
OCF(TTM)0.35
OCFY5.84%
SpS0.86
BVpS2.75
TBVpS2.75
PEG (NY)1.92
PEG (5Y)1.77
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 15.05% | ||
| ROE | 16.36% | ||
| ROCE | 12.67% | ||
| ROIC | 9.31% | ||
| ROICexc | 295.96% | ||
| ROICexgc | 302.78% | ||
| OM | 41% | ||
| PM (TTM) | 52.14% | ||
| GM | 85.42% | ||
| FCFM | 41.01% |
ROA(3y)13.4%
ROA(5y)15.12%
ROE(3y)15%
ROE(5y)17.06%
ROIC(3y)9.94%
ROIC(5y)12.49%
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)13.53%
ROCE(5y)16.99%
ROICexcg growth 3Y11.62%
ROICexcg growth 5Y9.34%
ROICexc growth 3Y11.08%
ROICexc growth 5Y9.39%
OM growth 3Y-9.31%
OM growth 5Y-3.35%
PM growth 3Y6.16%
PM growth 5Y1.15%
GM growth 3Y-1.83%
GM growth 5Y0.02%
F-Score7
Asset Turnover0.29
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.02 | ||
| Debt/FCF | 0.19 | ||
| Debt/EBITDA | 0.11 | ||
| Cap/Depr | N/A | ||
| Cap/Sales | N/A | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 91.2% | ||
| Profit Quality | 78.65% | ||
| Current Ratio | 14.74 | ||
| Quick Ratio | 14.74 | ||
| Altman-Z | 18.12 |
F-Score7
WACC7.83%
ROIC/WACC1.19
Cap/Depr(3y)N/A
Cap/Depr(5y)N/A
Cap/Sales(3y)N/A
Cap/Sales(5y)N/A
Profit Quality(3y)94.53%
Profit Quality(5y)94.88%
High Growth Momentum
Growth
EPS 1Y (TTM)63.26%
EPS 3Y-1.45%
EPS 5Y7.62%
EPS Q2Q%136.24%
EPS Next Y7.04%
EPS Next 2Y6.81%
EPS Next 3Y9.02%
EPS Next 5YN/A
Revenue 1Y (TTM)29.31%
Revenue growth 3Y-7.16%
Revenue growth 5Y6.69%
Sales Q2Q%46.8%
Revenue Next Year29.38%
Revenue Next 2Y13.3%
Revenue Next 3Y13.94%
Revenue Next 5YN/A
EBIT growth 1Y28.15%
EBIT growth 3Y-15.81%
EBIT growth 5Y3.12%
EBIT Next Year36.44%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y5.67%
FCF growth 3Y-14.73%
FCF growth 5Y-4.72%
OCF growth 1Y5.67%
OCF growth 3Y-14.73%
OCF growth 5Y-4.72%