DASSAULT AVIATION SA (AM.PA) Stock Fundamental Analysis
Europe - Euronext Paris - EPA:AM - FR0014004L86 - Common Stock
327.8 EUR
+6.4 (+1.99%)
Overall AM gets a fundamental rating of 5 out of 10. We evaluated AM against 54 industry peers in the Aerospace & Defense industry. Both the profitability and the financial health of AM get a neutral evaluation. Nothing too spectacular is happening here. AM has a correct valuation and a medium growth rate.
1. Profitability
1.1 Basic Checks
- AM had positive earnings in the past year.
- AM had a positive operating cash flow in the past year.
- In the past 5 years AM has always been profitable.
- The reported operating cash flow has been mixed in the past 5 years: AM reported negative operating cash flow in multiple years.
1.2 Ratios
- AM's Return On Assets of 2.43% is on the low side compared to the rest of the industry. AM is outperformed by 62.96% of its industry peers.
- With a Return On Equity value of 12.64%, AM perfoms like the industry average, outperforming 55.56% of the companies in the same industry.
- The Return On Invested Capital of AM (7.14%) is comparable to the rest of the industry.
- AM had an Average Return On Invested Capital over the past 3 years of 6.60%. This is below the industry average of 9.17%.
- The 3 year average ROIC (6.60%) for AM is below the current ROIC(7.14%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.43% | ||
| ROE | 12.64% | ||
| ROIC | 7.14% |
ROA(3y)3.1%
ROA(5y)3.05%
ROE(3y)12.86%
ROE(5y)11.33%
ROIC(3y)6.6%
ROIC(5y)6.61%
1.3 Margins
- AM has a better Profit Margin (11.93%) than 81.48% of its industry peers.
- AM's Profit Margin has improved in the last couple of years.
- AM has a Operating Margin of 8.30%. This is comparable to the rest of the industry: AM outperforms 50.00% of its industry peers.
- AM's Operating Margin has declined in the last couple of years.
- AM has a Gross Margin of 36.35%. This is in the better half of the industry: AM outperforms 64.81% of its industry peers.
- AM's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 8.3% | ||
| PM (TTM) | 11.93% | ||
| GM | 36.35% |
OM growth 3Y5.28%
OM growth 5Y-4.21%
PM growth 3Y21.01%
PM growth 5Y8.89%
GM growth 3Y4.76%
GM growth 5Y3.34%
2. Health
2.1 Basic Checks
- With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), AM is destroying value.
- AM has less shares outstanding than it did 1 year ago.
- Compared to 5 years ago, AM has less shares outstanding
- The debt/assets ratio for AM has been reduced compared to a year ago.
2.2 Solvency
- The Debt to FCF ratio of AM is 0.17, which is an excellent value as it means it would take AM, only 0.17 years of fcf income to pay off all of its debts.
- The Debt to FCF ratio of AM (0.17) is better than 100.00% of its industry peers.
- A Debt/Equity ratio of 0.03 indicates that AM is not too dependend on debt financing.
- With an excellent Debt to Equity ratio value of 0.03, AM belongs to the best of the industry, outperforming 96.30% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.03 | ||
| Debt/FCF | 0.17 | ||
| Altman-Z | N/A |
ROIC/WACC0.78
WACC9.17%
2.3 Liquidity
- A Current Ratio of 1.05 indicates that AM should not have too much problems paying its short term obligations.
- AM's Current ratio of 1.05 is on the low side compared to the rest of the industry. AM is outperformed by 79.63% of its industry peers.
- A Quick Ratio of 0.75 indicates that AM may have some problems paying its short term obligations.
- The Quick ratio of AM (0.75) is worse than 62.96% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.05 | ||
| Quick Ratio | 0.75 |
3. Growth
3.1 Past
- The earnings per share for AM have decreased by -2.24% in the last year.
- Measured over the past 5 years, AM shows a small growth in Earnings Per Share. The EPS has been growing by 6.56% on average per year.
- AM shows a strong growth in Revenue. In the last year, the Revenue has grown by 29.91%.
- AM shows a decrease in Revenue. Measured over the last years, the Revenue has been decreasing by -3.28% yearly.
EPS 1Y (TTM)-2.24%
EPS 3Y17.38%
EPS 5Y6.56%
EPS Q2Q%-29.38%
Revenue 1Y (TTM)29.91%
Revenue growth 3Y-4.86%
Revenue growth 5Y-3.28%
Sales Q2Q%12.43%
3.2 Future
- Based on estimates for the next years, AM will show a quite strong growth in Earnings Per Share. The EPS will grow by 18.78% on average per year.
- The Revenue is expected to grow by 16.25% on average over the next years. This is quite good.
EPS Next Y8.78%
EPS Next 2Y19.12%
EPS Next 3Y17.22%
EPS Next 5Y18.78%
Revenue Next Year14.38%
Revenue Next 2Y19.68%
Revenue Next 3Y17.07%
Revenue Next 5Y16.25%
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 accelerating.
- When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
4. Valuation
4.1 Price/Earnings Ratio
- Based on the Price/Earnings ratio of 32.81, the valuation of AM can be described as expensive.
- Based on the Price/Earnings ratio, AM is valued a bit cheaper than 74.07% of the companies in the same industry.
- Compared to an average S&P500 Price/Earnings ratio of 27.32, AM is valued a bit more expensive.
- The Price/Forward Earnings ratio is 18.76, which indicates a rather expensive current valuation of AM.
- Based on the Price/Forward Earnings ratio, AM is valued cheaply inside the industry as 94.44% of the companies are valued more expensively.
- The average S&P500 Price/Forward Earnings ratio is at 24.32. AM is valued slightly cheaper when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 32.81 | ||
| Fwd PE | 18.76 |
4.2 Price Multiples
- Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of AM indicates a rather cheap valuation: AM is cheaper than 92.59% of the companies listed in the same industry.
- 92.59% of the companies in the same industry are more expensive than AM, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 21.28 | ||
| EV/EBITDA | 11.59 |
4.3 Compensation for Growth
- The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates AM does not grow enough to justify the current Price/Earnings ratio.
- A more expensive valuation may be justified as AM's earnings are expected to grow with 17.22% in the coming years.
PEG (NY)3.74
PEG (5Y)5
EPS Next 2Y19.12%
EPS Next 3Y17.22%
5. Dividend
5.1 Amount
- With a Yearly Dividend Yield of 1.53%, AM has a reasonable but not impressive dividend return.
- Compared to an average industry Dividend Yield of 0.75, AM pays a better dividend. On top of this AM pays more dividend than 92.59% of the companies listed in the same industry.
- AM's Dividend Yield is comparable with the S&P500 average which is at 1.83.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.53% |
5.2 History
- On average, the dividend of AM grows each year by 9.70%, which is quite nice.
Dividend Growth(5Y)9.7%
Div Incr Years4
Div Non Decr Years4
5.3 Sustainability
- 47.21% of the earnings are spent on dividend by AM. This is a bit on the high side, but may be sustainable.
- The dividend of AM is growing, but earnings are growing more, so the dividend growth is sustainable.
DP47.21%
EPS Next 2Y19.12%
EPS Next 3Y17.22%
DASSAULT AVIATION SA / AM.PA FAQ
What is the ChartMill fundamental rating of DASSAULT AVIATION SA (AM.PA) stock?
ChartMill assigns a fundamental rating of 5 / 10 to AM.PA.
Can you provide the valuation status for DASSAULT AVIATION SA?
ChartMill assigns a valuation rating of 5 / 10 to DASSAULT AVIATION SA (AM.PA). This can be considered as Fairly Valued.
How profitable is DASSAULT AVIATION SA (AM.PA) stock?
DASSAULT AVIATION SA (AM.PA) has a profitability rating of 5 / 10.
What are the PE and PB ratios of DASSAULT AVIATION SA (AM.PA) stock?
The Price/Earnings (PE) ratio for DASSAULT AVIATION SA (AM.PA) is 32.81 and the Price/Book (PB) ratio is 4.15.
Can you provide the financial health for AM stock?
The financial health rating of DASSAULT AVIATION SA (AM.PA) is 5 / 10.