ACEA SPA (ACE.MI) Stock Fundamental Analysis
BIT:ACE - Euronext Milan - IT0001207098 - Common Stock - Currency: EUR
Overall ACE gets a fundamental rating of 5 out of 10. We evaluated ACE against 14 industry peers in the Multi-Utilities industry. ACE has an excellent profitability rating, but there are concerns on its financial health. ACE is valued correctly, but it does not seem to be growing.
1. Profitability
1.1 Basic Checks
In the past year ACE was profitable.
In the past year ACE had a positive cash flow from operations.
Each year in the past 5 years ACE has been profitable.
ACE had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
ACE's Return On Assets of 4.31% is amongst the best of the industry. ACE outperforms 85.71% of its industry peers.
ACE has a Return On Equity of 21.06%. This is amongst the best in the industry. ACE outperforms 85.71% of its industry peers.
The Return On Invested Capital of ACE (7.57%) is better than 78.57% of its industry peers.
ACE had an Average Return On Invested Capital over the past 3 years of 4.42%. This is in line with the industry average of 6.38%.
The last Return On Invested Capital (7.57%) for ACE is above the 3 year average (4.42%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.31% | ||
| ROE | 21.06% | ||
| ROIC | 7.57% |
ROA(3y)2.56%
ROA(5y)2.71%
ROE(3y)12.6%
ROE(5y)13.41%
ROIC(3y)4.42%
ROIC(5y)4.33%
1.3 Margins
ACE has a better Profit Margin (8.35%) than 85.71% of its industry peers.
ACE's Profit Margin has declined in the last couple of years.
ACE has a better Operating Margin (15.83%) than 85.71% of its industry peers.
In the last couple of years the Operating Margin of ACE has grown nicely.
ACE has a better Gross Margin (54.96%) than 85.71% of its industry peers.
ACE's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 15.83% | ||
| PM (TTM) | 8.35% | ||
| GM | 54.96% |
OM growth 3Y4.06%
OM growth 5Y2.45%
PM growth 3Y-0.18%
PM growth 5Y-2.75%
GM growth 3Y4.23%
GM growth 5Y2.24%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so ACE is still creating some value.
ACE has about the same amout of shares outstanding than it did 1 year ago.
Compared to 5 years ago, ACE has about the same amount of shares outstanding.
Compared to 1 year ago, ACE has an improved debt to assets ratio.
2.2 Solvency
ACE has an Altman-Z score of 1.13. This is a bad value and indicates that ACE is not financially healthy and even has some risk of bankruptcy.
ACE has a Altman-Z score (1.13) which is in line with its industry peers.
ACE has a debt to FCF ratio of 17.26. This is a negative value and a sign of low solvency as ACE would need 17.26 years to pay back of all of its debts.
The Debt to FCF ratio of ACE (17.26) is comparable to the rest of the industry.
ACE has a Debt/Equity ratio of 2.00. This is a high value indicating a heavy dependency on external financing.
ACE's Debt to Equity ratio of 2.00 is on the low side compared to the rest of the industry. ACE is outperformed by 85.71% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2 | ||
| Debt/FCF | 17.26 | ||
| Altman-Z | 1.13 |
ROIC/WACC1.52
WACC4.98%
2.3 Liquidity
ACE has a Current Ratio of 0.69. This is a bad value and indicates that ACE is not financially healthy enough and could expect problems in meeting its short term obligations.
With a Current ratio value of 0.69, ACE is not doing good in the industry: 85.71% of the companies in the same industry are doing better.
ACE has a Quick Ratio of 0.69. This is a bad value and indicates that ACE is not financially healthy enough and could expect problems in meeting its short term obligations.
ACE has a Quick ratio of 0.65. This is amonst the worse of the industry: ACE underperforms 85.71% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.69 | ||
| Quick Ratio | 0.65 |
3. Growth
3.1 Past
ACE shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 21.68%, which is quite impressive.
Measured over the past 5 years, ACE shows a small growth in Earnings Per Share. The EPS has been growing by 3.17% on average per year.
Looking at the last year, ACE shows a decrease in Revenue. The Revenue has decreased by -8.88% in the last year.
Measured over the past years, ACE shows a small growth in Revenue. The Revenue has been growing by 6.09% on average per year.
EPS 1Y (TTM)21.68%
EPS 3Y1.91%
EPS 5Y3.17%
EPS Q2Q%5.59%
Revenue 1Y (TTM)-8.88%
Revenue growth 3Y2.09%
Revenue growth 5Y6.09%
Sales Q2Q%-4.86%
3.2 Future
ACE is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 0.39% yearly.
Based on estimates for the next years, ACE will show a decrease in Revenue. The Revenue will decrease by -2.30% on average per year.
EPS Next Y16.78%
EPS Next 2Y1.93%
EPS Next 3Y3.76%
EPS Next 5Y0.39%
Revenue Next Year-4.71%
Revenue Next 2Y-2.01%
Revenue Next 3Y-0.85%
Revenue Next 5Y-2.3%
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 8.54, which indicates a very decent valuation of ACE.
Based on the Price/Earnings ratio, ACE is valued cheaper than 85.71% of the companies in the same industry.
ACE's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 26.25.
A Price/Forward Earnings ratio of 11.74 indicates a reasonable valuation of ACE.
ACE's Price/Forward Earnings ratio is in line with the industry average.
Compared to an average S&P500 Price/Forward Earnings ratio of 22.15, ACE is valued a bit cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 8.54 | ||
| Fwd PE | 11.74 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, ACE is valued a bit cheaper than 64.29% of the companies in the same industry.
The rest of the industry has a similar Price/Free Cash Flow ratio as ACE.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 13.77 | ||
| EV/EBITDA | 5.69 |
4.3 Compensation for Growth
The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
The excellent profitability rating of ACE may justify a higher PE ratio.
PEG (NY)0.51
PEG (5Y)2.69
EPS Next 2Y1.93%
EPS Next 3Y3.76%
5. Dividend
5.1 Amount
ACE has a Yearly Dividend Yield of 4.41%, which is a nice return.
Compared to an average industry Dividend Yield of 5.15, ACE is paying slightly less dividend.
Compared to an average S&P500 Dividend Yield of 2.40, ACE pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.41% |
5.2 History
On average, the dividend of ACE grows each year by 15.14%, which is quite nice.
Dividend Growth(5Y)15.14%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
ACE pays out 28.32% of its income as dividend. This is a sustainable payout ratio.
ACE's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP28.32%
EPS Next 2Y1.93%
EPS Next 3Y3.76%
BIT:ACE (5/30/2025, 7:00:00 PM)
21.18
-0.34 (-1.58%)
Chartmill FA Rating
GICS SectorUtilities
GICS IndustryGroupUtilities
GICS IndustryMulti-Utilities
Earnings (Last)
Earnings (Next)
Inst Owners7.26%
Inst Owner ChangeN/A
Ins Owners7.74%
Ins Owner ChangeN/A
Market Cap4.51B
Analysts82.22
Price Target20.71 (-2.22%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.41% |
Yearly Dividend0.7
Dividend Growth(5Y)15.14%
DP28.32%
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)1%
EPS NQ rev (1m)N/A
EPS NQ rev (3m)N/A
EPS NY rev (1m)0%
EPS NY rev (3m)8.21%
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)-2.55%
Revenue NY rev (3m)-3.25%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 8.54 | ||
| Fwd PE | 11.74 | ||
| P/S | 0.71 | ||
| P/FCF | 13.77 | ||
| P/OCF | 2.55 | ||
| P/B | 1.8 | ||
| P/tB | N/A | ||
| EV/EBITDA | 5.69 |
EPS(TTM)2.48
EY11.71%
EPS(NY)1.8
Fwd EY8.51%
FCF(TTM)1.54
FCFY7.26%
OCF(TTM)8.29
OCFY39.16%
SpS29.65
BVpS11.76
TBVpS-10.11
PEG (NY)0.51
PEG (5Y)2.69
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.31% | ||
| ROE | 21.06% | ||
| ROCE | 11.27% | ||
| ROIC | 7.57% | ||
| ROICexc | 7.74% | ||
| ROICexgc | 16.44% | ||
| OM | 15.83% | ||
| PM (TTM) | 8.35% | ||
| GM | 54.96% | ||
| FCFM | 5.19% |
ROA(3y)2.56%
ROA(5y)2.71%
ROE(3y)12.6%
ROE(5y)13.41%
ROIC(3y)4.42%
ROIC(5y)4.33%
ROICexc(3y)4.88%
ROICexc(5y)4.87%
ROICexgc(3y)11.23%
ROICexgc(5y)10.84%
ROCE(3y)6.58%
ROCE(5y)6.46%
ROICexcg growth 3Y3.65%
ROICexcg growth 5Y-0.24%
ROICexc growth 3Y0.82%
ROICexc growth 5Y-0.78%
OM growth 3Y4.06%
OM growth 5Y2.45%
PM growth 3Y-0.18%
PM growth 5Y-2.75%
GM growth 3Y4.23%
GM growth 5Y2.24%
F-Score6
Asset Turnover0.52
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2 | ||
| Debt/FCF | 17.26 | ||
| Debt/EBITDA | 2.94 | ||
| Cap/Depr | 202.96% | ||
| Cap/Sales | 22.79% | ||
| Interest Coverage | 5.58 | ||
| Cash Conversion | 103.4% | ||
| Profit Quality | 62.1% | ||
| Current Ratio | 0.69 | ||
| Quick Ratio | 0.65 | ||
| Altman-Z | 1.13 |
F-Score6
WACC4.98%
ROIC/WACC1.52
Cap/Depr(3y)184.97%
Cap/Depr(5y)156.88%
Cap/Sales(3y)26.71%
Cap/Sales(5y)22.69%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)21.68%
EPS 3Y1.91%
EPS 5Y3.17%
EPS Q2Q%5.59%
EPS Next Y16.78%
EPS Next 2Y1.93%
EPS Next 3Y3.76%
EPS Next 5Y0.39%
Revenue 1Y (TTM)-8.88%
Revenue growth 3Y2.09%
Revenue growth 5Y6.09%
Sales Q2Q%-4.86%
Revenue Next Year-4.71%
Revenue Next 2Y-2.01%
Revenue Next 3Y-0.85%
Revenue Next 5Y-2.3%
EBIT growth 1Y20.34%
EBIT growth 3Y6.24%
EBIT growth 5Y8.69%
EBIT Next Year116.35%
EBIT Next 3Y33.18%
EBIT Next 5Y23.92%
FCF growth 1Y1130.95%
FCF growth 3Y29.26%
FCF growth 5Y-3.89%
OCF growth 1Y59%
OCF growth 3Y31.42%
OCF growth 5Y16.3%