COFACE SA (COFA.PA) Stock Fundamental Analysis
Europe - Euronext Paris - EPA:COFA - FR0010667147 - Common Stock
15.4 EUR
-0.06 (-0.39%)
COFA gets a fundamental rating of 5 out of 10. The analysis compared the fundamentals against 48 industry peers in the Insurance industry. While COFA belongs to the best of the industry regarding profitability, there are some minor concerns on its financial health. COFA has a valuation in line with the averages, but it does not seem to be growing. Finally COFA also has an excellent dividend rating. This makes COFA very considerable for dividend investing!
1. Profitability
1.1 Basic Checks
- In the past year COFA was profitable.
- COFA had a positive operating cash flow in the past year.
- Each year in the past 5 years COFA has been profitable.
- COFA had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
- COFA has a Return On Assets of 4.37%. This is amongst the best in the industry. COFA outperforms 89.58% of its industry peers.
- Looking at the Return On Equity, with a value of 16.59%, COFA is in line with its industry, outperforming 58.33% of the companies in the same industry.
- With an excellent Return On Invested Capital value of 5.18%, COFA belongs to the best of the industry, outperforming 93.75% of the companies in the same industry.
- The Average Return On Invested Capital over the past 3 years for COFA is in line with the industry average of 2.74%.
- The last Return On Invested Capital (5.18%) for COFA is above the 3 year average (3.72%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.37% | ||
| ROE | 16.59% | ||
| ROIC | 5.18% |
ROA(3y)3.15%
ROA(5y)2.72%
ROE(3y)11.85%
ROE(5y)9.95%
ROIC(3y)3.72%
ROIC(5y)3.19%
1.3 Margins
- Looking at the Profit Margin, with a value of 13.56%, COFA belongs to the top of the industry, outperforming 81.25% of the companies in the same industry.
- In the last couple of years the Profit Margin of COFA has grown nicely.
- Looking at the Operating Margin, with a value of 20.93%, COFA belongs to the top of the industry, outperforming 81.25% of the companies in the same industry.
- In the last couple of years the Operating Margin of COFA has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 20.93% | ||
| PM (TTM) | 13.56% | ||
| GM | N/A |
OM growth 3Y-1.74%
OM growth 5Y6.39%
PM growth 3Y-5.69%
PM growth 5Y5.69%
GM growth 3YN/A
GM growth 5YN/A
2. Health
2.1 Basic Checks
- With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), COFA is creating some value.
- COFA has more shares outstanding than it did 1 year ago.
- COFA has less shares outstanding than it did 5 years ago.
- Compared to 1 year ago, COFA has an improved debt to assets ratio.
2.2 Solvency
- Based on the Altman-Z score of 1.42, we must say that COFA is in the distress zone and has some risk of bankruptcy.
- With an excellent Altman-Z score value of 1.42, COFA belongs to the best of the industry, outperforming 91.67% of the companies in the same industry.
- The Debt to FCF ratio of COFA is 17.53, which is on the high side as it means it would take COFA, 17.53 years of fcf income to pay off all of its debts.
- COFA's Debt to FCF ratio of 17.53 is on the low side compared to the rest of the industry. COFA is outperformed by 75.00% of its industry peers.
- COFA has a Debt/Equity ratio of 1.58. This is a high value indicating a heavy dependency on external financing.
- With a Debt to Equity ratio value of 1.58, COFA is not doing good in the industry: 89.58% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.58 | ||
| Debt/FCF | 17.53 | ||
| Altman-Z | 1.42 |
ROIC/WACC1.11
WACC4.69%
2.3 Liquidity
- COFA has a Current Ratio of 7.19. This indicates that COFA is financially healthy and has no problem in meeting its short term obligations.
- COFA has a better Current ratio (7.19) than 95.83% of its industry peers.
- COFA has a Quick Ratio of 7.19. This indicates that COFA is financially healthy and has no problem in meeting its short term obligations.
- With an excellent Quick ratio value of 7.19, COFA belongs to the best of the industry, outperforming 95.83% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 7.19 | ||
| Quick Ratio | 7.19 |
3. Growth
3.1 Past
- The earnings per share for COFA have decreased by -7.64% in the last year.
- The Earnings Per Share has been growing by 12.53% on average over the past years. This is quite good.
- Looking at the last year, COFA shows a small growth in Revenue. The Revenue has grown by 4.35% in the last year.
- Measured over the past years, COFA shows a small growth in Revenue. The Revenue has been growing by 6.17% on average per year.
EPS 1Y (TTM)-7.64%
EPS 3Y5.27%
EPS 5Y12.53%
EPS Q2Q%-20.45%
Revenue 1Y (TTM)4.35%
Revenue growth 3Y11.62%
Revenue growth 5Y6.17%
Sales Q2Q%-0.99%
3.2 Future
- COFA is expected to show a decrease in Earnings Per Share. In the coming years, the EPS will decrease by -2.06% yearly.
- Based on estimates for the next years, COFA will show a small growth in Revenue. The Revenue will grow by 2.72% on average per year.
EPS Next Y-11.45%
EPS Next 2Y-4.93%
EPS Next 3Y-1.51%
EPS Next 5Y-2.06%
Revenue Next Year1.49%
Revenue Next 2Y2.13%
Revenue Next 3Y2.72%
Revenue Next 5YN/A
3.3 Evolution
- The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
- 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
- COFA is valuated cheaply with a Price/Earnings ratio of 6.42.
- COFA's Price/Earnings ratio is rather cheap when compared to the industry. COFA is cheaper than 95.83% of the companies in the same industry.
- COFA is valuated cheaply when we compare the Price/Earnings ratio to 27.21, which is the current average of the S&P500 Index.
- With a Price/Forward Earnings ratio of 9.57, the valuation of COFA can be described as very reasonable.
- 70.83% of the companies in the same industry are more expensive than COFA, based on the Price/Forward Earnings ratio.
- The average S&P500 Price/Forward Earnings ratio is at 25.98. COFA is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 6.42 | ||
| Fwd PE | 9.57 |
4.2 Price Multiples
- COFA's Enterprise Value to EBITDA ratio is a bit cheaper when compared to the industry. COFA is cheaper than 70.83% of the companies in the same industry.
- Compared to the rest of the industry, the Price/Free Cash Flow ratio of COFA is on the same level as its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 11.88 | ||
| EV/EBITDA | 9.08 |
4.3 Compensation for Growth
- COFA has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)0.51
EPS Next 2Y-4.93%
EPS Next 3Y-1.51%
5. Dividend
5.1 Amount
- COFA has a Yearly Dividend Yield of 9.06%, which is a nice return.
- COFA's Dividend Yield is rather good when compared to the industry average which is at 4.17. COFA pays more dividend than 100.00% of the companies in the same industry.
- COFA's Dividend Yield is rather good when compared to the S&P500 average which is at 1.81.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 9.06% |
5.2 History
- On average, the dividend of COFA grows each year by 30.56%, which is quite nice.
Dividend Growth(5Y)30.56%
Div Incr Years1
Div Non Decr Years1
5.3 Sustainability
- 58.53% of the earnings are spent on dividend by COFA. This is a bit on the high side, but may be sustainable.
- COFA's earnings are declining while the Dividend Rate has been growing. This means the dividend growth is most likely not sustainable.
DP58.53%
EPS Next 2Y-4.93%
EPS Next 3Y-1.51%
COFACE SA / COFA.PA FAQ
What is the fundamental rating for COFA stock?
ChartMill assigns a fundamental rating of 5 / 10 to COFA.PA.
Can you provide the valuation status for COFACE SA?
ChartMill assigns a valuation rating of 6 / 10 to COFACE SA (COFA.PA). This can be considered as Fairly Valued.
What is the profitability of COFA stock?
COFACE SA (COFA.PA) has a profitability rating of 7 / 10.
What is the earnings growth outlook for COFACE SA?
The Earnings per Share (EPS) of COFACE SA (COFA.PA) is expected to decline by -11.45% in the next year.
Is the dividend of COFACE SA sustainable?
The dividend rating of COFACE SA (COFA.PA) is 7 / 10 and the dividend payout ratio is 58.53%.