ATOS SE (ATO.PA)

FR0000051732 - Common Stock

1.898  +0.12 (+6.81%)

Fundamental Rating

2

ATO gets a fundamental rating of 2 out of 10. The analysis compared the fundamentals against 79 industry peers in the IT Services industry. ATO has a bad profitability rating. Also its financial health evaluation is rather negative. ATO is valued correctly, but it does not seem to be growing.



2

1. Profitability

1.1 Basic Checks

ATO had negative earnings in the past year.
In the past year ATO had a positive cash flow from operations.
In multiple years ATO reported negative net income over the last 5 years.
Each year in the past 5 years ATO had a positive operating cash flow.

1.2 Ratios

ATO's Return On Assets of -7.23% is on the low side compared to the rest of the industry. ATO is outperformed by 78.57% of its industry peers.
Looking at the Return On Equity, with a value of -35.73%, ATO is doing worse than 82.86% of the companies in the same industry.
With a Return On Invested Capital value of 3.67%, ATO is not doing good in the industry: 65.71% 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 10.54%.
The 3 year average ROIC (2.29%) for ATO is below the current ROIC(3.67%), indicating increased profibility in the last year.
Industry RankSector Rank
ROA -7.23%
ROE -35.73%
ROIC 3.67%
ROA(3y)-6.92%
ROA(5y)0.08%
ROE(3y)-28.47%
ROE(5y)-5.4%
ROIC(3y)2.29%
ROIC(5y)3.19%

1.3 Margins

With a Operating Margin value of 3.40%, ATO is not doing good in the industry: 67.14% of the companies in the same industry are doing better.
In the last couple of years the Operating Margin of ATO has declined.
With a Gross Margin value of 70.60%, ATO perfoms like the industry average, outperforming 60.00% of the companies in the same industry.
ATO's Gross Margin has declined in the last couple of years.
Industry RankSector Rank
OM 3.4%
PM (TTM) N/A
GM 70.6%
OM growth 3Y-38.08%
OM growth 5Y-27.49%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-2.28%
GM growth 5Y-2.04%

1

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.
ATO has about the same amout of shares outstanding than it did 1 year ago.
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

Based on the Altman-Z score of 0.92, we must say that ATO is in the distress zone and has some risk of bankruptcy.
ATO has a Altman-Z score of 0.92. This is amonst the worse of the industry: ATO underperforms 82.86% of its industry peers.
ATO has a Debt/Equity ratio of 0.99. This is a neutral value indicating ATO is somewhat dependend on debt financing.
ATO has a worse Debt to Equity ratio (0.99) than 71.43% of its industry peers.
Industry RankSector Rank
Debt/Equity 0.99
Debt/FCF N/A
Altman-Z 0.92
ROIC/WACC4.37
WACC0.84%

2.3 Liquidity

A Current Ratio of 0.92 indicates that ATO may have some problems paying its short term obligations.
ATO has a worse Current ratio (0.92) than 77.14% of its industry peers.
A Quick Ratio of 0.90 indicates that ATO may have some problems paying its short term obligations.
ATO has a Quick ratio of 0.90. This is in the lower half of the industry: ATO underperforms 72.86% of its industry peers.
Industry RankSector Rank
Current Ratio 0.92
Quick Ratio 0.9

2

3. Growth

3.1 Past

The Earnings Per Share has grown by an impressive 67.09% over the past year.
The Revenue has been growing slightly by 3.17% in the past year.
ATO shows a decrease in Revenue. Measured over the last years, the Revenue has been decreasing by -1.12% yearly.
EPS 1Y (TTM)67.09%
EPS 3YN/A
EPS 5YN/A
EPS growth Q2Q4.67%
Revenue 1Y (TTM)3.17%
Revenue growth 3Y-0.72%
Revenue growth 5Y-1.12%
Revenue growth Q2Q-0.27%

3.2 Future

The Earnings Per Share is expected to grow by 148.54% on average over the next years. This is a very strong growth
The Revenue is expected to decrease by -1.84% on average over the next years.
EPS Next Y1037.55%
EPS Next 2Y243.21%
EPS Next 3Y148.54%
EPS Next 5YN/A
Revenue Next Year-3.35%
Revenue Next 2Y-3.22%
Revenue Next 3Y-1.84%
Revenue Next 5YN/A

3.3 Evolution

The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.

5

4. Valuation

4.1 Price/Earnings Ratio

The Price/Earnings Ratio is negative for ATO. In the last year negative earnings were reported.
With a Price/Forward Earnings ratio of 0.78, the valuation of ATO can be described as very cheap.
Based on the Price/Forward Earnings ratio, ATO is valued cheaper than 98.57% of the companies in the same industry.
When comparing the Price/Forward Earnings ratio of ATO to the average of the S&P500 Index (22.74), we can say ATO is valued rather cheaply.
Industry RankSector Rank
PE N/A
Fwd PE 0.78

4.2 Price Multiples

ATO's Enterprise Value to EBITDA ratio is rather cheap when compared to the industry. ATO is cheaper than 92.86% of the companies in the same industry.
Industry RankSector Rank
P/FCF N/A
EV/EBITDA 3.16

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.
ATO's earnings are expected to grow with 148.54% in the coming years. This may justify a more expensive valuation.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y243.21%
EPS Next 3Y148.54%

0

5. Dividend

5.1 Amount

No dividends for ATO!.
Industry RankSector Rank
Dividend Yield N/A

ATOS SE

EPA:ATO (3/28/2024, 5:29:43 PM)

1.898

+0.12 (+6.81%)

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 Cap211.23M
Analysts
Price Target
Dividend
Industry RankSector 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)
Max EPS beat(2)
EPS beat(4)
Avg EPS beat(4)
Min EPS beat(4)
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EPS beat(8)
Avg EPS beat(8)
EPS beat(12)
Avg EPS beat(12)
EPS beat(16)
Avg EPS beat(16)
Revenue beat(2)
Avg Revenue beat(2)
Min Revenue beat(2)
Max Revenue beat(2)
Revenue beat(4)
Avg Revenue beat(4)
Min Revenue beat(4)
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Revenue beat(8)
Avg Revenue beat(8)
Revenue beat(12)
Avg Revenue beat(12)
Revenue beat(16)
Avg Revenue beat(16)
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 RankSector Rank
PE N/A
Fwd PE 0.78
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)N/A
PEG (5Y)N/A
Profitability
Industry RankSector Rank
ROA -7.23%
ROE -35.73%
ROCE
ROIC
ROICexc
ROICexgc
OM 3.4%
PM (TTM) N/A
GM 70.6%
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 Turnover0.74
Health
Industry RankSector Rank
Debt/Equity 0.99
Debt/FCF
Debt/EBITDA
Cap/Depr
Cap/Sales
Interest Coverage
Cash Conversion
Profit Quality
Current Ratio 0.92
Quick Ratio 0.9
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)
Growth
EPS 1Y (TTM)67.09%
EPS 3YN/A
EPS 5Y
EPS growth Q2Q
EPS Next Y1037.55%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)3.17%
Revenue growth 3Y-0.72%
Revenue growth 5Y
Revenue growth 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