EIFFAGE (EF3.DE) Stock Fundamental Analysis
Europe - Frankfurt Stock Exchange - FRA:EF3 - FR0000130452 - Common Stock
120.7 EUR
+2.45 (+2.07%)
Overall EF3 gets a fundamental rating of 4 out of 10. We evaluated EF3 against 45 industry peers in the Construction & Engineering industry. While EF3 is still in line with the averages on profitability rating, there are concerns on its financial health. EF3 has a valuation in line with the averages, but on the other hand it scores bad on growth.
1. Profitability
1.1 Basic Checks
- EF3 had positive earnings in the past year.
- EF3 had a positive operating cash flow in the past year.
- Each year in the past 5 years EF3 has been profitable.
- Each year in the past 5 years EF3 had a positive operating cash flow.
1.2 Ratios
- The Return On Assets of EF3 (2.54%) is worse than 67.44% of its industry peers.
- The Return On Equity of EF3 (14.99%) is worse than 60.47% of its industry peers.
- EF3's Return On Invested Capital of 7.48% is on the low side compared to the rest of the industry. EF3 is outperformed by 62.79% of its industry peers.
- EF3 had an Average Return On Invested Capital over the past 3 years of 7.42%. This is below the industry average of 11.32%.
- The last Return On Invested Capital (7.48%) for EF3 is above the 3 year average (7.42%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.54% | ||
| ROE | 14.99% | ||
| ROIC | 7.48% |
ROA(3y)2.58%
ROA(5y)2.22%
ROE(3y)15.23%
ROE(5y)13.3%
ROIC(3y)7.42%
ROIC(5y)6.57%
1.3 Margins
- With a Profit Margin value of 4.33%, EF3 perfoms like the industry average, outperforming 48.84% of the companies in the same industry.
- EF3's Profit Margin has improved in the last couple of years.
- EF3's Operating Margin of 10.13% is fine compared to the rest of the industry. EF3 outperforms 72.09% of its industry peers.
- In the last couple of years the Operating Margin of EF3 has remained more or less at the same level.
- With an excellent Gross Margin value of 83.59%, EF3 belongs to the best of the industry, outperforming 95.35% of the companies in the same industry.
- In the last couple of years the Gross Margin of EF3 has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 10.13% | ||
| PM (TTM) | 4.33% | ||
| GM | 83.59% |
OM growth 3Y1.51%
OM growth 5Y-0.97%
PM growth 3Y3.38%
PM growth 5Y2.24%
GM growth 3Y0.08%
GM growth 5Y0.24%
2. Health
2.1 Basic Checks
- With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), EF3 is creating some value.
- The number of shares outstanding for EF3 has been reduced compared to 1 year ago.
- EF3 has less shares outstanding than it did 5 years ago.
- The debt/assets ratio for EF3 has been reduced compared to a year ago.
2.2 Solvency
- Based on the Altman-Z score of 1.20, we must say that EF3 is in the distress zone and has some risk of bankruptcy.
- With a Altman-Z score value of 1.20, EF3 is not doing good in the industry: 81.40% of the companies in the same industry are doing better.
- EF3 has a debt to FCF ratio of 6.49. This is a slightly negative value and a sign of low solvency as EF3 would need 6.49 years to pay back of all of its debts.
- EF3's Debt to FCF ratio of 6.49 is in line compared to the rest of the industry. EF3 outperforms 53.49% of its industry peers.
- EF3 has a Debt/Equity ratio of 1.90. This is a high value indicating a heavy dependency on external financing.
- The Debt to Equity ratio of EF3 (1.90) is worse than 79.07% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.9 | ||
| Debt/FCF | 6.49 | ||
| Altman-Z | 1.2 |
ROIC/WACC1.51
WACC4.96%
2.3 Liquidity
- A Current Ratio of 0.97 indicates that EF3 may have some problems paying its short term obligations.
- Looking at the Current ratio, with a value of 0.97, EF3 is doing worse than 69.77% of the companies in the same industry.
- EF3 has a Quick Ratio of 0.97. This is a bad value and indicates that EF3 is not financially healthy enough and could expect problems in meeting its short term obligations.
- Looking at the Quick ratio, with a value of 0.91, EF3 is in line with its industry, outperforming 41.86% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.97 | ||
| Quick Ratio | 0.91 |
3. Growth
3.1 Past
- EF3 shows a small growth in Earnings Per Share. In the last year, the EPS has grown by 3.81%.
- EF3 shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 8.16% yearly.
- Looking at the last year, EF3 shows a small growth in Revenue. The Revenue has grown by 7.37% in the last year.
- EF3 shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 5.14% yearly.
EPS 1Y (TTM)3.81%
EPS 3Y12.66%
EPS 5Y8.16%
EPS Q2Q%-21.7%
Revenue 1Y (TTM)7.37%
Revenue growth 3Y7.75%
Revenue growth 5Y5.14%
Sales Q2Q%7.8%
3.2 Future
- The Earnings Per Share is expected to grow by 3.89% on average over the next years.
- EF3 is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 3.46% yearly.
EPS Next Y-5.91%
EPS Next 2Y2.86%
EPS Next 3Y5.15%
EPS Next 5Y3.89%
Revenue Next Year8.09%
Revenue Next 2Y5.83%
Revenue Next 3Y4.9%
Revenue Next 5Y3.46%
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
- With a Price/Earnings ratio of 10.90, the valuation of EF3 can be described as very reasonable.
- EF3's Price/Earnings ratio is rather cheap when compared to the industry. EF3 is cheaper than 81.40% of the companies in the same industry.
- EF3 is valuated cheaply when we compare the Price/Earnings ratio to 27.21, which is the current average of the S&P500 Index.
- A Price/Forward Earnings ratio of 10.30 indicates a reasonable valuation of EF3.
- Compared to the rest of the industry, the Price/Forward Earnings ratio of EF3 indicates a somewhat cheap valuation: EF3 is cheaper than 74.42% of the companies listed in the same industry.
- When comparing the Price/Forward Earnings ratio of EF3 to the average of the S&P500 Index (25.98), we can say EF3 is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.9 | ||
| Fwd PE | 10.3 |
4.2 Price Multiples
- Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of EF3 indicates a somewhat cheap valuation: EF3 is cheaper than 74.42% of the companies listed in the same industry.
- Based on the Price/Free Cash Flow ratio, EF3 is valued cheaply inside the industry as 97.67% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 4.66 | ||
| EV/EBITDA | 5.75 |
4.3 Compensation for Growth
PEG (NY)N/A
PEG (5Y)1.34
EPS Next 2Y2.86%
EPS Next 3Y5.15%
5. Dividend
5.1 Amount
- EF3 has a Yearly Dividend Yield of 3.87%. Purely for dividend investing, there may be better candidates out there.
- Compared to an average industry Dividend Yield of 2.33, EF3 pays a bit more dividend than its industry peers.
- EF3's Dividend Yield is rather good when compared to the S&P500 average which is at 1.81.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.87% |
5.2 History
- On average, the dividend of EF3 grows each year by 12.91%, which is quite nice.
Dividend Growth(5Y)12.91%
Div Incr YearsN/A
Div Non Decr YearsN/A
5.3 Sustainability
- 94.43% of the earnings are spent on dividend by EF3. This is not a sustainable payout ratio.
- EF3's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP94.43%
EPS Next 2Y2.86%
EPS Next 3Y5.15%
EIFFAGE / EF3.DE FAQ
Can you provide the ChartMill fundamental rating for EIFFAGE?
ChartMill assigns a fundamental rating of 4 / 10 to EF3.DE.
What is the valuation status of EIFFAGE (EF3.DE) stock?
ChartMill assigns a valuation rating of 6 / 10 to EIFFAGE (EF3.DE). This can be considered as Fairly Valued.
What is the profitability of EF3 stock?
EIFFAGE (EF3.DE) has a profitability rating of 5 / 10.
Can you provide the PE and PB ratios for EF3 stock?
The Price/Earnings (PE) ratio for EIFFAGE (EF3.DE) is 10.9 and the Price/Book (PB) ratio is 1.7.
What is the financial health of EIFFAGE (EF3.DE) stock?
The financial health rating of EIFFAGE (EF3.DE) is 2 / 10.