ECOMEMBRANE SPA (ECMB.MI) Stock Fundamental Analysis
BIT:ECMB - Euronext Milan - IT0005543332 - Common Stock - Currency: EUR
We assign a fundamental rating of 4 out of 10 to ECMB. ECMB was compared to 107 industry peers in the Machinery industry. The financial health of ECMB is average, but there are quite some concerns on its profitability. ECMB is valued quite expensive, but it does show an excellent growth.
1. Profitability
1.1 Basic Checks
In the past year ECMB was profitable.
In the past year ECMB had a positive cash flow from operations.
1.2 Ratios
ECMB has a Return On Assets of 0.95%. This is in the lower half of the industry: ECMB underperforms 64.49% of its industry peers.
ECMB has a Return On Equity of 1.78%. This is in the lower half of the industry: ECMB underperforms 64.49% of its industry peers.
With a Return On Invested Capital value of 2.82%, ECMB is not doing good in the industry: 71.96% of the companies in the same industry are doing better.
The Average Return On Invested Capital over the past 3 years for ECMB is in line with the industry average of 8.95%.
The last Return On Invested Capital (2.82%) for ECMB is well below the 3 year average (10.15%), which needs to be investigated, but indicates that ECMB had better years and this may not be a problem.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.95% | ||
| ROE | 1.78% | ||
| ROIC | 2.82% |
ROA(3y)6.22%
ROA(5y)N/A
ROE(3y)17.27%
ROE(5y)N/A
ROIC(3y)10.15%
ROIC(5y)N/A
1.3 Margins
Looking at the Profit Margin, with a value of 1.35%, ECMB is doing worse than 62.62% of the companies in the same industry.
In the last couple of years the Profit Margin of ECMB has declined.
ECMB has a worse Operating Margin (3.45%) than 69.16% of its industry peers.
In the last couple of years the Operating Margin of ECMB has declined.
The Gross Margin of ECMB (69.80%) is better than 94.39% of its industry peers.
ECMB's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 3.45% | ||
| PM (TTM) | 1.35% | ||
| GM | 69.8% |
OM growth 3Y-40.25%
OM growth 5YN/A
PM growth 3Y-52.24%
PM growth 5YN/A
GM growth 3Y0.52%
GM growth 5YN/A
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), ECMB is creating some value.
ECMB has about the same amout of shares outstanding than it did 1 year ago.
ECMB has a worse debt/assets ratio than last year.
2.2 Solvency
ECMB has an Altman-Z score of 2.36. This is not the best score and indicates that ECMB is in the grey zone with still only limited risk for bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 2.36, ECMB is in line with its industry, outperforming 53.27% of the companies in the same industry.
The Debt to FCF ratio of ECMB is 7.90, which is on the high side as it means it would take ECMB, 7.90 years of fcf income to pay off all of its debts.
With a Debt to FCF ratio value of 7.90, ECMB perfoms like the industry average, outperforming 42.06% of the companies in the same industry.
A Debt/Equity ratio of 0.05 indicates that ECMB is not too dependend on debt financing.
ECMB's Debt to Equity ratio of 0.05 is amongst the best of the industry. ECMB outperforms 85.98% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.05 | ||
| Debt/FCF | 7.9 | ||
| Altman-Z | 2.36 |
ROIC/WACC0.37
WACC7.66%
2.3 Liquidity
ECMB has a Current Ratio of 1.97. This is a normal value and indicates that ECMB is financially healthy and should not expect problems in meeting its short term obligations.
ECMB's Current ratio of 1.97 is fine compared to the rest of the industry. ECMB outperforms 69.16% of its industry peers.
ECMB has a Quick Ratio of 1.60. This is a normal value and indicates that ECMB is financially healthy and should not expect problems in meeting its short term obligations.
ECMB's Quick ratio of 1.60 is amongst the best of the industry. ECMB outperforms 80.37% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.97 | ||
| Quick Ratio | 1.6 |
3. Growth
3.1 Past
ECMB shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -76.97%.
The earnings per share for ECMB have been decreasing by -42.99% on average. This is quite bad
ECMB shows a strong growth in Revenue. In the last year, the Revenue has grown by 31.23%.
ECMB shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 19.66% yearly.
EPS 1Y (TTM)-76.97%
EPS 3Y-42.99%
EPS 5YN/A
EPS Q2Q%8.02%
Revenue 1Y (TTM)31.23%
Revenue growth 3Y19.66%
Revenue growth 5YN/A
Sales Q2Q%29.69%
3.2 Future
The Earnings Per Share is expected to grow by 19.32% on average over the next years. This is quite good.
The Revenue is expected to grow by 28.08% on average over the next years. This is a very strong growth
EPS Next Y0%
EPS Next 2Y15.47%
EPS Next 3Y19.32%
EPS Next 5YN/A
Revenue Next Year64.39%
Revenue Next 2Y35.43%
Revenue Next 3Y28.08%
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
Based on the Price/Earnings ratio of 85.00, the valuation of ECMB can be described as expensive.
Based on the Price/Earnings ratio, ECMB is valued a bit more expensive than 69.16% of the companies in the same industry.
Compared to an average S&P500 Price/Earnings ratio of 27.50, ECMB is valued quite expensively.
A Price/Forward Earnings ratio of 20.83 indicates a rather expensive valuation of ECMB.
Based on the Price/Forward Earnings ratio, ECMB is valued a bit more expensive than the industry average as 61.68% of the companies are valued more cheaply.
ECMB is valuated rather cheaply when we compare the Price/Forward Earnings ratio to 36.44, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 85 | ||
| Fwd PE | 20.83 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, ECMB is valued a bit cheaper than 78.50% of the companies in the same industry.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of ECMB indicates a slightly more expensive valuation: ECMB is more expensive than 64.49% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 36.14 | ||
| EV/EBITDA | 5.3 |
4.3 Compensation for Growth
A more expensive valuation may be justified as ECMB's earnings are expected to grow with 19.32% in the coming years.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y15.47%
EPS Next 3Y19.32%
5. Dividend
5.1 Amount
ECMB has a Yearly Dividend Yield of 1.00%. Purely for dividend investing, there may be better candidates out there.
The stock price of ECMB dropped by -22.73% in the last 3 months. With lower prices the dividend yield is higher, but it may be a sign investors do not trust the long term dividend.
Compared to an average industry Dividend Yield of 2.36, ECMB has a dividend in line with its industry peers.
Compared to an average S&P500 Dividend Yield of 2.35, ECMB's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1% |
5.2 History
Dividend Growth(5Y)N/A
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
DPN/A
EPS Next 2Y15.47%
EPS Next 3Y19.32%
BIT:ECMB (7/7/2025, 7:00:00 PM)
5.1
+0.18 (+3.66%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryMachinery
Earnings (Last)
Earnings (Next)
Inst Owners6.66%
Inst Owner ChangeN/A
Ins Owners59.04%
Ins Owner ChangeN/A
Market Cap21.90M
Analysts85.71
Price Target7.24 (41.96%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1% |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
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%
PT rev (3m)-32.38%
EPS NQ rev (1m)N/A
EPS NQ rev (3m)N/A
EPS NY rev (1m)0%
EPS NY rev (3m)0%
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)0%
Revenue NY rev (3m)-3.44%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 85 | ||
| Fwd PE | 20.83 | ||
| P/S | 1.09 | ||
| P/FCF | 36.14 | ||
| P/OCF | 15.01 | ||
| P/B | 1.44 | ||
| P/tB | 1.92 | ||
| EV/EBITDA | 5.3 |
EPS(TTM)0.06
EY1.18%
EPS(NY)0.24
Fwd EY4.8%
FCF(TTM)0.14
FCFY2.77%
OCF(TTM)0.34
OCFY6.66%
SpS4.68
BVpS3.53
TBVpS2.65
PEG (NY)N/A
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.95% | ||
| ROE | 1.78% | ||
| ROCE | 4.1% | ||
| ROIC | 2.82% | ||
| ROICexc | 7.24% | ||
| ROICexgc | 17.02% | ||
| OM | 3.45% | ||
| PM (TTM) | 1.35% | ||
| GM | 69.8% | ||
| FCFM | 3.02% |
ROA(3y)6.22%
ROA(5y)N/A
ROE(3y)17.27%
ROE(5y)N/A
ROIC(3y)10.15%
ROIC(5y)N/A
ROICexc(3y)14.8%
ROICexc(5y)N/A
ROICexgc(3y)23%
ROICexgc(5y)N/A
ROCE(3y)14.78%
ROCE(5y)N/A
ROICexcg growth 3Y-24.2%
ROICexcg growth 5YN/A
ROICexc growth 3Y-38.31%
ROICexc growth 5YN/A
OM growth 3Y-40.25%
OM growth 5YN/A
PM growth 3Y-52.24%
PM growth 5YN/A
GM growth 3Y0.52%
GM growth 5YN/A
F-Score6
Asset Turnover0.7
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.05 | ||
| Debt/FCF | 7.9 | ||
| Debt/EBITDA | 0.46 | ||
| Cap/Depr | 78.84% | ||
| Cap/Sales | 4.24% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 82.15% | ||
| Profit Quality | 223.78% | ||
| Current Ratio | 1.97 | ||
| Quick Ratio | 1.6 | ||
| Altman-Z | 2.36 |
F-Score6
WACC7.66%
ROIC/WACC0.37
Cap/Depr(3y)294.18%
Cap/Depr(5y)N/A
Cap/Sales(3y)13.81%
Cap/Sales(5y)N/A
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-76.97%
EPS 3Y-42.99%
EPS 5YN/A
EPS Q2Q%8.02%
EPS Next Y0%
EPS Next 2Y15.47%
EPS Next 3Y19.32%
EPS Next 5YN/A
Revenue 1Y (TTM)31.23%
Revenue growth 3Y19.66%
Revenue growth 5YN/A
Sales Q2Q%29.69%
Revenue Next Year64.39%
Revenue Next 2Y35.43%
Revenue Next 3Y28.08%
Revenue Next 5YN/A
EBIT growth 1Y-29.73%
EBIT growth 3Y-28.51%
EBIT growth 5YN/A
EBIT Next Year113.33%
EBIT Next 3Y49.46%
EBIT Next 5YN/A
FCF growth 1Y119.23%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y971.51%
OCF growth 3YN/A
OCF growth 5YN/A