ATEA ASA (ATEA.OL) Stock Fundamental Analysis
OSL:ATEA - Euronext Oslo - NO0004822503 - Common Stock - Currency: NOK
ATEA gets a fundamental rating of 5 out of 10. The analysis compared the fundamentals against 70 industry peers in the IT Services industry. ATEA has an excellent profitability rating, but there are concerns on its financial health. ATEA has a decent growth rate and is not valued too expensively. ATEA also has an excellent dividend rating.
1. Profitability
1.1 Basic Checks
ATEA had positive earnings in the past year.
In the past year ATEA had a positive cash flow from operations.
ATEA had positive earnings in each of the past 5 years.
In the past 5 years ATEA always reported a positive cash flow from operatings.
1.2 Ratios
With a Return On Assets value of 3.69%, ATEA perfoms like the industry average, outperforming 45.71% of the companies in the same industry.
Looking at the Return On Equity, with a value of 19.09%, ATEA belongs to the top of the industry, outperforming 81.43% of the companies in the same industry.
ATEA's Return On Invested Capital of 15.86% is amongst the best of the industry. ATEA outperforms 92.86% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for ATEA is significantly above the industry average of 11.11%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.69% | ||
| ROE | 19.09% | ||
| ROIC | 15.86% |
ROA(3y)4.24%
ROA(5y)4.2%
ROE(3y)19.77%
ROE(5y)19.69%
ROIC(3y)16.22%
ROIC(5y)15.36%
1.3 Margins
ATEA has a Profit Margin (2.11%) which is comparable to the rest of the industry.
In the last couple of years the Profit Margin of ATEA has grown nicely.
ATEA's Operating Margin of 3.47% is on the low side compared to the rest of the industry. ATEA is outperformed by 62.86% of its industry peers.
ATEA's Operating Margin has improved in the last couple of years.
Looking at the Gross Margin, with a value of 29.37%, ATEA is doing worse than 67.14% of the companies in the same industry.
In the last couple of years the Gross Margin of ATEA has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 3.47% | ||
| PM (TTM) | 2.11% | ||
| GM | 29.37% |
OM growth 3Y-1.56%
OM growth 5Y11.43%
PM growth 3Y-5.64%
PM growth 5Y9.16%
GM growth 3Y0.47%
GM growth 5Y7.27%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so ATEA is still creating some value.
The number of shares outstanding for ATEA has been increased compared to 1 year ago.
Compared to 5 years ago, ATEA has more shares outstanding
The debt/assets ratio for ATEA has been reduced compared to a year ago.
2.2 Solvency
ATEA has an Altman-Z score of 2.67. This is not the best score and indicates that ATEA is in the grey zone with still only limited risk for bankruptcy at the moment.
ATEA has a Altman-Z score of 2.67. This is comparable to the rest of the industry: ATEA outperforms 57.14% of its industry peers.
The Debt to FCF ratio of ATEA is 3.86, which is a good value as it means it would take ATEA, 3.86 years of fcf income to pay off all of its debts.
With a Debt to FCF ratio value of 3.86, ATEA perfoms like the industry average, outperforming 45.71% of the companies in the same industry.
A Debt/Equity ratio of 0.45 indicates that ATEA is not too dependend on debt financing.
ATEA has a Debt to Equity ratio (0.45) which is in line with its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.45 | ||
| Debt/FCF | 3.86 | ||
| Altman-Z | 2.67 |
ROIC/WACC1.09
WACC14.58%
2.3 Liquidity
A Current Ratio of 0.90 indicates that ATEA may have some problems paying its short term obligations.
ATEA has a Current ratio of 0.90. This is in the lower half of the industry: ATEA underperforms 78.57% of its industry peers.
A Quick Ratio of 0.81 indicates that ATEA may have some problems paying its short term obligations.
The Quick ratio of ATEA (0.81) is worse than 81.43% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.9 | ||
| Quick Ratio | 0.81 |
3. Growth
3.1 Past
The Earnings Per Share has been growing slightly by 5.09% over the past year.
ATEA shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 8.60% yearly.
ATEA shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 9.54%.
ATEA shows a decrease in Revenue. Measured over the last years, the Revenue has been decreasing by -1.16% yearly.
EPS 1Y (TTM)5.09%
EPS 3Y-0.21%
EPS 5Y8.6%
EPS Q2Q%13.01%
Revenue 1Y (TTM)9.54%
Revenue growth 3Y6.67%
Revenue growth 5Y-1.16%
Sales Q2Q%9.06%
3.2 Future
ATEA is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 22.14% yearly.
Based on estimates for the next years, ATEA will show a small growth in Revenue. The Revenue will grow by 6.31% on average per year.
EPS Next Y26.82%
EPS Next 2Y21.38%
EPS Next 3Y22.14%
EPS Next 5YN/A
Revenue Next Year9.02%
Revenue Next 2Y7.22%
Revenue Next 3Y6.31%
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.
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
With a Price/Earnings ratio of 19.78, ATEA is valued on the expensive side.
ATEA's Price/Earnings is on the same level as the industry average.
Compared to an average S&P500 Price/Earnings ratio of 26.73, ATEA is valued a bit cheaper.
ATEA is valuated correctly with a Price/Forward Earnings ratio of 13.23.
ATEA's Price/Forward Earnings ratio is a bit cheaper when compared to the industry. ATEA is cheaper than 70.00% of the companies in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 34.61. ATEA is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 19.78 | ||
| Fwd PE | 13.23 |
4.2 Price Multiples
The rest of the industry has a similar Enterprise Value to EBITDA ratio as ATEA.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of ATEA is on the same level as its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 19.09 | ||
| EV/EBITDA | 8.96 |
4.3 Compensation for Growth
ATEA's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
ATEA has a very decent profitability rating, which may justify a higher PE ratio.
A more expensive valuation may be justified as ATEA's earnings are expected to grow with 22.14% in the coming years.
PEG (NY)0.74
PEG (5Y)2.3
EPS Next 2Y21.38%
EPS Next 3Y22.14%
5. Dividend
5.1 Amount
ATEA has a Yearly Dividend Yield of 4.95%, which is a nice return.
Compared to an average industry Dividend Yield of 7.37, ATEA pays a better dividend. On top of this ATEA pays more dividend than 81.43% of the companies listed in the same industry.
ATEA's Dividend Yield is rather good when compared to the S&P500 average which is at 2.39.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.95% |
5.2 History
The dividend of ATEA has a limited annual growth rate of 1.53%.
Dividend Growth(5Y)1.53%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
102.23% of the earnings are spent on dividend by ATEA. This is not a sustainable payout ratio.
The dividend of ATEA is growing, but earnings are growing more, so the dividend growth is sustainable.
DP102.23%
EPS Next 2Y21.38%
EPS Next 3Y22.14%
OSL:ATEA (8/12/2025, 4:19:52 PM)
141
-0.6 (-0.42%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSoftware & Services
GICS IndustryIT Services
Earnings (Last)
Earnings (Next)
Inst Owners49.98%
Inst Owner ChangeN/A
Ins Owners0.39%
Ins Owner ChangeN/A
Market Cap15.85B
Analysts83.33
Price Target168.3 (19.36%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.95% |
Yearly Dividend7.01
Dividend Growth(5Y)1.53%
DP102.23%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-26.02%
Min EPS beat(2)-26.34%
Max EPS beat(2)-25.7%
EPS beat(4)1
Avg EPS beat(4)-14%
Min EPS beat(4)-26.34%
Max EPS beat(4)2.74%
EPS beat(8)2
Avg EPS beat(8)-11.62%
EPS beat(12)4
Avg EPS beat(12)-6.48%
EPS beat(16)7
Avg EPS beat(16)-4.46%
Revenue beat(2)0
Avg Revenue beat(2)-6.3%
Min Revenue beat(2)-8.86%
Max Revenue beat(2)-3.75%
Revenue beat(4)1
Avg Revenue beat(4)-4.46%
Min Revenue beat(4)-8.86%
Max Revenue beat(4)2.61%
Revenue beat(8)1
Avg Revenue beat(8)-9.02%
Revenue beat(12)1
Avg Revenue beat(12)-9.49%
Revenue beat(16)1
Avg Revenue beat(16)-16.02%
PT rev (1m)5.1%
PT rev (3m)6.68%
EPS NQ rev (1m)-5%
EPS NQ rev (3m)N/A
EPS NY rev (1m)0%
EPS NY rev (3m)0%
Revenue NQ rev (1m)3.46%
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)-0.67%
Revenue NY rev (3m)-0.67%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 19.78 | ||
| Fwd PE | 13.23 | ||
| P/S | 0.44 | ||
| P/FCF | 19.09 | ||
| P/OCF | 12.44 | ||
| P/B | 3.96 | ||
| P/tB | N/A | ||
| EV/EBITDA | 8.96 |
EPS(TTM)7.13
EY5.06%
EPS(NY)10.66
Fwd EY7.56%
FCF(TTM)7.39
FCFY5.24%
OCF(TTM)11.34
OCFY8.04%
SpS322.92
BVpS35.62
TBVpS-11.45
PEG (NY)0.74
PEG (5Y)2.3
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.69% | ||
| ROE | 19.09% | ||
| ROCE | 20.37% | ||
| ROIC | 15.86% | ||
| ROICexc | 19.16% | ||
| ROICexgc | N/A | ||
| OM | 3.47% | ||
| PM (TTM) | 2.11% | ||
| GM | 29.37% | ||
| FCFM | 2.29% |
ROA(3y)4.24%
ROA(5y)4.2%
ROE(3y)19.77%
ROE(5y)19.69%
ROIC(3y)16.22%
ROIC(5y)15.36%
ROICexc(3y)21.54%
ROICexc(5y)20.76%
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)20.83%
ROCE(5y)19.73%
ROICexcg growth 3YN/A
ROICexcg growth 5YN/A
ROICexc growth 3Y0.9%
ROICexc growth 5Y0.34%
OM growth 3Y-1.56%
OM growth 5Y11.43%
PM growth 3Y-5.64%
PM growth 5Y9.16%
GM growth 3Y0.47%
GM growth 5Y7.27%
F-Score5
Asset Turnover1.75
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.45 | ||
| Debt/FCF | 3.86 | ||
| Debt/EBITDA | 0.9 | ||
| Cap/Depr | 58.5% | ||
| Cap/Sales | 1.22% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 63.1% | ||
| Profit Quality | 108.64% | ||
| Current Ratio | 0.9 | ||
| Quick Ratio | 0.81 | ||
| Altman-Z | 2.67 |
F-Score5
WACC14.58%
ROIC/WACC1.09
Cap/Depr(3y)56.41%
Cap/Depr(5y)54.8%
Cap/Sales(3y)1.13%
Cap/Sales(5y)1.07%
Profit Quality(3y)158.62%
Profit Quality(5y)151.25%
High Growth Momentum
Growth
EPS 1Y (TTM)5.09%
EPS 3Y-0.21%
EPS 5Y8.6%
EPS Q2Q%13.01%
EPS Next Y26.82%
EPS Next 2Y21.38%
EPS Next 3Y22.14%
EPS Next 5YN/A
Revenue 1Y (TTM)9.54%
Revenue growth 3Y6.67%
Revenue growth 5Y-1.16%
Sales Q2Q%9.06%
Revenue Next Year9.02%
Revenue Next 2Y7.22%
Revenue Next 3Y6.31%
Revenue Next 5YN/A
EBIT growth 1Y4.91%
EBIT growth 3Y5%
EBIT growth 5Y10.15%
EBIT Next Year71.82%
EBIT Next 3Y26.38%
EBIT Next 5YN/A
FCF growth 1Y-66.12%
FCF growth 3Y27.77%
FCF growth 5Y0.38%
OCF growth 1Y-55.3%
OCF growth 3Y22.77%
OCF growth 5Y1.34%