ATOS SE (ATO.PA)
FR0000051732 - Common Stock
We assign a fundamental rating of 3 out of 10 to ATO. ATO was compared to 74 industry peers in the IT Services industry. ATO has a bad profitability rating. Also its financial health evaluation is rather negative. ATO is valued quite cheap, while showing a decent growth score. This is a good combination!
1. Profitability
1.1 Basic Checks
In the past year ATO was profitable.
ATO had a negative operating cash flow in the past year.
The reported net income has been mixed in the past 5 years: ATO reported negative net income in multiple years.
ATO had a positive operating cash flow in 4 of the past 5 years.
1.2 Ratios
With a Return On Assets value of -30.47%, ATO is not doing good in the industry: 95.38% of the companies in the same industry are doing better.
ATO has a Return On Equity of -6144.64%. This is amonst the worse of the industry: ATO underperforms 95.38% of its industry peers.
With a Return On Invested Capital value of 5.97%, ATO is not doing good in the industry: 60.00% of the companies in the same industry are doing better.
Measured over the past 3 years, the Average Return On Invested Capital for ATO is significantly below the industry average of 10.43%.
The last Return On Invested Capital (5.97%) for ATO is above the 3 year average (2.71%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -30.47% | ||
| ROE | -6144.64% | ||
| ROIC | 5.97% |
ROA(3y)-18.08%
ROA(5y)-6.6%
ROE(3y)-2079.36%
ROE(5y)-1236.4%
ROIC(3y)2.71%
ROIC(5y)3.58%
1.3 Margins
Looking at the Operating Margin, with a value of 3.22%, ATO is doing worse than 70.77% of the companies in the same industry.
ATO's Operating Margin has declined in the last couple of years.
ATO's Gross Margin of 73.88% is in line compared to the rest of the industry. ATO outperforms 58.46% of its industry peers.
In the last couple of years the Gross Margin of ATO has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 3.22% | ||
| PM (TTM) | N/A | ||
| GM | 73.88% |
OM growth 3Y-22.81%
OM growth 5Y-15.45%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y0.26%
GM growth 5Y-0.16%
2. Health
2.1 Basic Checks
ATO has a Return on Invested Capital (ROIC), which is well above the Cost of Capital (WACC), which means it is creating value.
Compared to 1 year ago, ATO has more shares outstanding
The number of shares outstanding for ATO has been increased compared to 5 years ago.
Compared to 1 year ago, ATO has a worse debt to assets ratio.
2.2 Solvency
ATO has an Altman-Z score of 0.80. This is a bad value and indicates that ATO is not financially healthy and even has some risk of bankruptcy.
Looking at the Altman-Z score, with a value of 0.80, ATO is doing worse than 86.15% of the companies in the same industry.
A Debt/Equity ratio of 55.68 is on the high side and indicates that ATO has dependencies on debt financing.
With a Debt to Equity ratio value of 55.68, ATO is not doing good in the industry: 95.38% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 55.68 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 0.8 |
ROIC/WACC3.82
WACC1.56%
2.3 Liquidity
A Current Ratio of 0.92 indicates that ATO may have some problems paying its short term obligations.
The Current ratio of ATO (0.92) is worse than 81.54% of its industry peers.
ATO has a Quick Ratio of 0.92. This is a bad value and indicates that ATO is not financially healthy enough and could expect problems in meeting its short term obligations.
The Quick ratio of ATO (0.89) is worse than 78.46% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.92 | ||
| Quick Ratio | 0.89 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 364.00% over the past year.
Measured over the past years, ATO shows a very negative growth in Earnings Per Share. The EPS has been decreasing by -40.10% on average per year.
Looking at the last year, ATO shows a decrease in Revenue. The Revenue has decreased by -5.71% in the last year.
The Revenue has been growing slightly by 0.08% on average over the past years.
EPS 1Y (TTM)364%
EPS 3Y-53.7%
EPS 5Y-40.1%
EPS Q2Q%104.88%
Revenue 1Y (TTM)-5.71%
Revenue growth 3Y-1.48%
Revenue growth 5Y0.08%
Sales Q2Q%-10.96%
3.2 Future
Based on estimates for the next years, ATO will show a very strong growth in Earnings Per Share. The EPS will grow by 49.81% on average per year.
ATO is expected to show a decrease in Revenue. In the coming years, the Revenue will decrease by -2.36% yearly.
EPS Next Y48.65%
EPS Next 2Y47.39%
EPS Next 3Y49.81%
EPS Next 5YN/A
Revenue Next Year-8.67%
Revenue Next 2Y-3.74%
Revenue Next 3Y-2.36%
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 decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 1.41, the valuation of ATO can be described as very cheap.
98.46% of the companies in the same industry are more expensive than ATO, based on the Price/Earnings ratio.
The average S&P500 Price/Earnings ratio is at 24.41. ATO is valued rather cheaply when compared to this.
The Price/Forward Earnings ratio is 0.95, which indicates a rather cheap valuation of ATO.
Based on the Price/Forward Earnings ratio, ATO is valued cheaply inside the industry as 100.00% of the companies are valued more expensively.
Compared to an average S&P500 Price/Forward Earnings ratio of 20.59, ATO is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 1.41 | ||
| Fwd PE | 0.95 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of ATO indicates a rather cheap valuation: ATO is cheaper than 95.38% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 3.17 |
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.
A more expensive valuation may be justified as ATO's earnings are expected to grow with 49.81% in the coming years.
PEG (NY)0.03
PEG (5Y)N/A
EPS Next 2Y47.39%
EPS Next 3Y49.81%
5. Dividend
5.1 Amount
No dividends for ATO!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
ATOS SE
EPA:ATO (7/26/2024, 7:00:00 PM)
0.9278
-0.12 (-11.47%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSoftware & Services
GICS IndustryIT Services
Earnings (Last)
Earnings (Next)
Inst Owners
Inst Owner Change
Ins Owners
Ins Owner Change
Market Cap103.46M
Analysts
Price Target
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Dividend Growth(5Y)
DP
Div Incr Years
Div Non Decr Years
Ex-Date
Surprises & Revisions
EPS beat(2)
Avg EPS beat(2)
Min EPS beat(2)
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EPS beat(8)
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EPS beat(12)
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EPS beat(16)
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Revenue beat(2)
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Revenue beat(8)
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Revenue beat(12)
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Revenue beat(16)
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PT rev (1m)
PT rev (3m)
EPS NQ rev (1m)
EPS NQ rev (3m)
EPS NY rev (1m)
EPS NY rev (3m)
Revenue NQ rev (1m)
Revenue NQ rev (3m)
Revenue NY rev (1m)
Revenue NY rev (3m)
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 1.41 | ||
| Fwd PE | 0.95 | ||
| P/S | |||
| P/FCF | |||
| P/OCF | |||
| P/B | |||
| P/tB | |||
| EV/EBITDA |
EPS(TTM)
EY
EPS(NY)
Fwd EY
FCF(TTM)
FCFY
OCF(TTM)
OCFY
SpS
BVpS
TBVpS
PEG (NY)0.03
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -30.47% | ||
| ROE | -6144.64% | ||
| ROCE | |||
| ROIC | |||
| ROICexc | |||
| ROICexgc | |||
| OM | 3.22% | ||
| PM (TTM) | N/A | ||
| GM | 73.88% | ||
| FCFM |
ROA(3y)
ROA(5y)
ROE(3y)
ROE(5y)
ROIC(3y)
ROIC(5y)
ROICexc(3y)
ROICexc(5y)
ROICexgc(3y)
ROICexgc(5y)
ROCE(3y)
ROCE(5y)
ROICexcg growth 3Y
ROICexcg growth 5Y
ROICexc growth 3Y
ROICexc growth 5Y
OM growth 3Y
OM growth 5Y
PM growth 3Y
PM growth 5Y
GM growth 3Y
GM growth 5Y
F-Score
Asset Turnover0.95
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 55.68 | ||
| Debt/FCF | |||
| Debt/EBITDA | |||
| Cap/Depr | |||
| Cap/Sales | |||
| Interest Coverage | |||
| Cash Conversion | |||
| Profit Quality | |||
| Current Ratio | 0.92 | ||
| Quick Ratio | 0.89 | ||
| Altman-Z |
F-Score
WACC
ROIC/WACC
Cap/Depr(3y)
Cap/Depr(5y)
Cap/Sales(3y)
Cap/Sales(5y)
Profit Quality(3y)
Profit Quality(5y)
High Growth Momentum
Growth
EPS 1Y (TTM)364%
EPS 3Y-53.7%
EPS 5Y
EPS Q2Q%
EPS Next Y48.65%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)-5.71%
Revenue growth 3Y-1.48%
Revenue growth 5Y
Sales Q2Q%
Revenue Next Year
Revenue Next 2Y
Revenue Next 3Y
Revenue Next 5Y
EBIT growth 1Y
EBIT growth 3Y
EBIT growth 5Y
EBIT Next Year
EBIT Next 3Y
EBIT Next 5Y
FCF growth 1Y
FCF growth 3Y
FCF growth 5Y
OCF growth 1Y
OCF growth 3Y
OCF growth 5Y