ALTEN SA (ATE.PA) Stock Fundamental Analysis
EPA:ATE - Euronext Paris - Matif - FR0000071946 - Common Stock - Currency: EUR
Overall ATE gets a fundamental rating of 6 out of 10. We evaluated ATE against 72 industry peers in the IT Services industry. ATE has an excellent financial health rating, but there are some minor concerns on its profitability. ATE is not valued too expensively and it also shows a decent growth rate.
1. Profitability
1.1 Basic Checks
ATE had positive earnings in the past year.
In the past year ATE had a positive cash flow from operations.
ATE had positive earnings in each of the past 5 years.
ATE had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
ATE has a better Return On Assets (6.87%) than 77.78% of its industry peers.
With a Return On Equity value of 11.30%, ATE perfoms like the industry average, outperforming 51.39% of the companies in the same industry.
The Return On Invested Capital of ATE (10.02%) is better than 66.67% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.87% | ||
| ROE | 11.3% | ||
| ROIC | 10.02% |
ROA(3y)N/A
ROA(5y)N/A
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
With a decent Profit Margin value of 5.82%, ATE is doing good in the industry, outperforming 73.61% of the companies in the same industry.
ATE's Profit Margin has declined in the last couple of years.
Looking at the Operating Margin, with a value of 8.38%, ATE is in the better half of the industry, outperforming 69.44% of the companies in the same industry.
In the last couple of years the Operating Margin of ATE has declined.
With an excellent Gross Margin value of 89.20%, ATE belongs to the best of the industry, outperforming 80.56% of the companies in the same industry.
In the last couple of years the Gross Margin of ATE has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 8.38% | ||
| PM (TTM) | 5.82% | ||
| GM | 89.2% |
OM growth 3Y-6.02%
OM growth 5Y-2.78%
PM growth 3Y-14.13%
PM growth 5Y-6.39%
GM growth 3Y-0.01%
GM growth 5Y-0.44%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), ATE is creating some value.
There is no outstanding debt for ATE. This means it has a Debt/Equity and Debt/FCF ratio of 0 and it is amongst the best of the sector and industry.
2.2 Solvency
ATE has an Altman-Z score of 4.06. This indicates that ATE is financially healthy and has little risk of bankruptcy at the moment.
ATE has a Altman-Z score of 4.06. This is amongst the best in the industry. ATE outperforms 86.11% of its industry peers.
ATE has a debt to FCF ratio of 1.05. This is a very positive value and a sign of high solvency as it would only need 1.05 years to pay back of all of its debts.
Looking at the Debt to FCF ratio, with a value of 1.05, ATE belongs to the top of the industry, outperforming 88.89% of the companies in the same industry.
ATE has a Debt/Equity ratio of 0.09. This is a healthy value indicating a solid balance between debt and equity.
With an excellent Debt to Equity ratio value of 0.09, ATE belongs to the best of the industry, outperforming 87.50% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.09 | ||
| Debt/FCF | 1.05 | ||
| Altman-Z | 4.06 |
ROIC/WACC1.36
WACC7.37%
2.3 Liquidity
ATE has a Current Ratio of 1.66. This is a normal value and indicates that ATE is financially healthy and should not expect problems in meeting its short term obligations.
ATE has a better Current ratio (1.66) than 75.00% of its industry peers.
ATE has a Quick Ratio of 1.66. This is a normal value and indicates that ATE is financially healthy and should not expect problems in meeting its short term obligations.
ATE's Quick ratio of 1.66 is amongst the best of the industry. ATE outperforms 80.56% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.66 | ||
| Quick Ratio | 1.66 |
3. Growth
3.1 Past
The earnings per share for ATE have decreased strongly by -44.05% in the last year.
Measured over the past 5 years, ATE shows a small growth in Earnings Per Share. The EPS has been growing by 2.05% on average per year.
Looking at the last year, ATE shows a small growth in Revenue. The Revenue has grown by 3.09% in the last year.
ATE shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 9.57% yearly.
EPS 1Y (TTM)-44.05%
EPS 3Y-3.86%
EPS 5Y2.05%
EPS Q2Q%6.03%
Revenue 1Y (TTM)3.09%
Revenue growth 3Y12.3%
Revenue growth 5Y9.57%
Sales Q2Q%2.94%
3.2 Future
The Earnings Per Share is expected to grow by 8.07% on average over the next years. This is quite good.
Based on estimates for the next years, ATE will show a small growth in Revenue. The Revenue will grow by 4.85% on average per year.
EPS Next Y2.17%
EPS Next 2Y8.07%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year2.94%
Revenue Next 2Y3.93%
Revenue Next 3Y4.85%
Revenue Next 5YN/A
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 decreasing.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 13.94, the valuation of ATE can be described as correct.
Based on the Price/Earnings ratio, ATE is valued a bit cheaper than 77.78% of the companies in the same industry.
ATE is valuated cheaply when we compare the Price/Earnings ratio to 28.89, which is the current average of the S&P500 Index.
The Price/Forward Earnings ratio is 13.55, which indicates a correct valuation of ATE.
ATE's Price/Forward Earnings ratio is a bit cheaper when compared to the industry. ATE is cheaper than 72.22% of the companies in the same industry.
ATE is valuated rather cheaply when we compare the Price/Forward Earnings ratio to 21.98, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 13.94 | ||
| Fwd PE | 13.55 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, ATE is valued a bit cheaper than the industry average as 62.50% of the companies are valued more expensively.
66.67% of the companies in the same industry are more expensive than ATE, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 9.88 | ||
| EV/EBITDA | 7.77 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates ATE does not grow enough to justify the current Price/Earnings ratio.
The decent profitability rating of ATE may justify a higher PE ratio.
PEG (NY)6.42
PEG (5Y)6.79
EPS Next 2Y8.07%
EPS Next 3YN/A
5. Dividend
5.1 Amount
ATE has a Yearly Dividend Yield of 1.64%.
Compared to an average industry Dividend Yield of 4.21, ATE has a dividend in line with its industry peers.
ATE's Dividend Yield is slightly below the S&P500 average, which is at 2.39.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.64% |
5.2 History
The dividend of ATE is nicely growing with an annual growth rate of 8.38%!
Dividend Growth(5Y)8.38%
Div Incr Years2
Div Non Decr Years3
5.3 Sustainability
43.08% of the earnings are spent on dividend by ATE. This is a bit on the high side, but may be sustainable.
ATE's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP43.08%
EPS Next 2Y8.07%
EPS Next 3YN/A
EPA:ATE (3/27/2025, 10:54:10 AM)
96.6
-0.4 (-0.41%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSoftware & Services
GICS IndustryIT Services
Earnings (Last)
Earnings (Next)
Inst Owners50.94%
Inst Owner ChangeN/A
Ins Owners14.67%
Ins Owner ChangeN/A
Market Cap3.41B
Analysts75
Price Target113.73 (17.73%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.64% |
Yearly Dividend1.5
Dividend Growth(5Y)8.38%
DP43.08%
Div Incr Years2
Div Non Decr Years3
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)0.69%
PT rev (3m)0.39%
EPS NQ rev (1m)N/A
EPS NQ rev (3m)N/A
EPS NY rev (1m)0%
EPS NY rev (3m)-3.97%
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)0.21%
Revenue NY rev (3m)3.59%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 13.94 | ||
| Fwd PE | 13.55 | ||
| P/S | 0.83 | ||
| P/FCF | 9.88 | ||
| P/OCF | 9.4 | ||
| P/B | 1.6 | ||
| P/tB | 3.59 | ||
| EV/EBITDA | 7.77 |
EPS(TTM)6.93
EY7.17%
EPS(NY)7.13
Fwd EY7.38%
FCF(TTM)9.78
FCFY10.12%
OCF(TTM)10.28
OCFY10.64%
SpS117.07
BVpS60.27
TBVpS26.88
PEG (NY)6.42
PEG (5Y)6.79
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.87% | ||
| ROE | 11.3% | ||
| ROCE | 14.49% | ||
| ROIC | 10.02% | ||
| ROICexc | 11.46% | ||
| ROICexgc | 26.07% | ||
| OM | 8.38% | ||
| PM (TTM) | 5.82% | ||
| GM | 89.2% | ||
| FCFM | 8.35% |
ROA(3y)N/A
ROA(5y)N/A
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexcg growth 3YN/A
ROICexcg growth 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5YN/A
OM growth 3Y-6.02%
OM growth 5Y-2.78%
PM growth 3Y-14.13%
PM growth 5Y-6.39%
GM growth 3Y-0.01%
GM growth 5Y-0.44%
F-Score7
Asset Turnover1.18
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.09 | ||
| Debt/FCF | 1.05 | ||
| Debt/EBITDA | 0.45 | ||
| Cap/Depr | 17.81% | ||
| Cap/Sales | 0.43% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 81.36% | ||
| Profit Quality | 143.5% | ||
| Current Ratio | 1.66 | ||
| Quick Ratio | 1.66 | ||
| Altman-Z | 4.06 |
F-Score7
WACC7.37%
ROIC/WACC1.36
Cap/Depr(3y)21.29%
Cap/Depr(5y)21.01%
Cap/Sales(3y)0.52%
Cap/Sales(5y)0.53%
Profit Quality(3y)121.45%
Profit Quality(5y)153.79%
High Growth Momentum
Growth
EPS 1Y (TTM)-44.05%
EPS 3Y-3.86%
EPS 5Y2.05%
EPS Q2Q%6.03%
EPS Next Y2.17%
EPS Next 2Y8.07%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)3.09%
Revenue growth 3Y12.3%
Revenue growth 5Y9.57%
Sales Q2Q%2.94%
Revenue Next Year2.94%
Revenue Next 2Y3.93%
Revenue Next 3Y4.85%
Revenue Next 5YN/A
EBIT growth 1Y-5.87%
EBIT growth 3Y5.54%
EBIT growth 5Y6.52%
EBIT Next Year28.46%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y76.84%
FCF growth 3Y24.56%
FCF growth 5Y15.01%
OCF growth 1Y62.64%
OCF growth 3Y22.94%
OCF growth 5Y13.91%