EUROFINS SCIENTIFIC (ERF.PA) Stock Fundamental Analysis
Europe - EPA:ERF - FR0014000MR3 - Common Stock
60.62 EUR
+0.02 (+0.03%)
Taking everything into account, ERF scores 6 out of 10 in our fundamental rating. ERF was compared to 20 industry peers in the Life Sciences Tools & Services industry. While ERF belongs to the best of the industry regarding profitability, there are some minor concerns on its financial health. ERF may be a bit undervalued, certainly considering the very reasonable score on growth These ratings would make ERF suitable for value investing!
1. Profitability
1.1 Basic Checks
ERF had positive earnings in the past year.
ERF had a positive operating cash flow in the past year.
ERF had positive earnings in each of the past 5 years.
Each year in the past 5 years ERF had a positive operating cash flow.
1.2 Ratios
ERF has a Return On Assets (3.54%) which is comparable to the rest of the industry.
ERF's Return On Equity of 8.09% is fine compared to the rest of the industry. ERF outperforms 65.00% of its industry peers.
ERF has a Return On Invested Capital of 9.79%. This is amongst the best in the industry. ERF outperforms 85.00% of its industry peers.
The Average Return On Invested Capital over the past 3 years for ERF is in line with the industry average of 7.43%.
The last Return On Invested Capital (9.79%) for ERF is above the 3 year average (8.70%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.54% | ||
| ROE | 8.09% | ||
| ROIC | 9.79% |
ROA(3y)3.79%
ROA(5y)5.05%
ROE(3y)7.94%
ROE(5y)10.72%
ROIC(3y)8.7%
ROIC(5y)10.54%
1.3 Margins
ERF has a Profit Margin (5.44%) which is in line with its industry peers.
In the last couple of years the Profit Margin of ERF has grown nicely.
ERF has a Operating Margin of 15.59%. This is comparable to the rest of the industry: ERF outperforms 60.00% of its industry peers.
In the last couple of years the Operating Margin of ERF has grown nicely.
ERF's Gross Margin of 23.29% is on the low side compared to the rest of the industry. ERF is outperformed by 80.00% of its industry peers.
ERF's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 15.59% | ||
| PM (TTM) | 5.44% | ||
| GM | 23.29% |
OM growth 3Y-11.93%
OM growth 5Y3.56%
PM growth 3Y-23.05%
PM growth 5Y9.75%
GM growth 3Y-7.6%
GM growth 5Y1.83%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), ERF is creating some value.
Compared to 1 year ago, ERF has less shares outstanding
The number of shares outstanding for ERF has been increased compared to 5 years ago.
The debt/assets ratio for ERF has been reduced compared to a year ago.
2.2 Solvency
ERF has an Altman-Z score of 2.67. This is not the best score and indicates that ERF 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 2.67, ERF is in line with its industry, outperforming 50.00% of the companies in the same industry.
The Debt to FCF ratio of ERF is 5.25, which is a neutral value as it means it would take ERF, 5.25 years of fcf income to pay off all of its debts.
With a decent Debt to FCF ratio value of 5.25, ERF is doing good in the industry, outperforming 75.00% of the companies in the same industry.
A Debt/Equity ratio of 0.77 indicates that ERF is somewhat dependend on debt financing.
Looking at the Debt to Equity ratio, with a value of 0.77, ERF is doing worse than 60.00% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.77 | ||
| Debt/FCF | 5.25 | ||
| Altman-Z | 2.67 |
ROIC/WACC1.29
WACC7.61%
2.3 Liquidity
ERF has a Current Ratio of 1.26. This is a normal value and indicates that ERF is financially healthy and should not expect problems in meeting its short term obligations.
ERF has a Current ratio of 1.26. This is comparable to the rest of the industry: ERF outperforms 45.00% of its industry peers.
ERF has a Quick Ratio of 1.19. This is a normal value and indicates that ERF is financially healthy and should not expect problems in meeting its short term obligations.
ERF's Quick ratio of 1.19 is fine compared to the rest of the industry. ERF outperforms 75.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.26 | ||
| Quick Ratio | 1.19 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an nice 16.50% over the past year.
The Earnings Per Share has been growing by 18.34% on average over the past years. This is quite good.
Looking at the last year, ERF shows a small growth in Revenue. The Revenue has grown by 2.53% in the last year.
The Revenue has been growing by 8.78% on average over the past years. This is quite good.
EPS 1Y (TTM)16.5%
EPS 3Y-21.42%
EPS 5Y18.34%
EPS Q2Q%19.61%
Revenue 1Y (TTM)2.53%
Revenue growth 3Y1.14%
Revenue growth 5Y8.78%
Sales Q2Q%5.64%
3.2 Future
ERF is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 13.34% yearly.
The Revenue is expected to grow by 7.27% on average over the next years.
EPS Next Y14.76%
EPS Next 2Y14.31%
EPS Next 3Y14.14%
EPS Next 5Y13.34%
Revenue Next Year5.44%
Revenue Next 2Y5.6%
Revenue Next 3Y6.01%
Revenue Next 5Y7.27%
3.3 Evolution
Although the future EPS growth is still strong, it is not able to hold up the even more excellent growth rate of the past 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 stable.
4. Valuation
4.1 Price/Earnings Ratio
ERF is valuated correctly with a Price/Earnings ratio of 16.84.
Based on the Price/Earnings ratio, ERF is valued cheaper than 85.00% of the companies in the same industry.
The average S&P500 Price/Earnings ratio is at 26.76. ERF is valued slightly cheaper when compared to this.
With a Price/Forward Earnings ratio of 15.02, ERF is valued correctly.
Based on the Price/Forward Earnings ratio, ERF is valued cheaper than 85.00% of the companies in the same industry.
Compared to an average S&P500 Price/Forward Earnings ratio of 22.63, ERF is valued a bit cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 16.84 | ||
| Fwd PE | 15.02 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, ERF is valued cheaply inside the industry as 90.00% of the companies are valued more expensively.
ERF's Price/Free Cash Flow ratio is rather cheap when compared to the industry. ERF is cheaper than 100.00% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 14.08 | ||
| EV/EBITDA | 8.47 |
4.3 Compensation for Growth
The PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
The decent profitability rating of ERF may justify a higher PE ratio.
A more expensive valuation may be justified as ERF's earnings are expected to grow with 14.14% in the coming years.
PEG (NY)1.14
PEG (5Y)0.92
EPS Next 2Y14.31%
EPS Next 3Y14.14%
5. Dividend
5.1 Amount
With a yearly dividend of 0.96%, ERF is not a good candidate for dividend investing.
ERF's Dividend Yield is rather good when compared to the industry average which is at 0.69. ERF pays more dividend than 85.00% of the companies in the same industry.
Compared to an average S&P500 Dividend Yield of 2.31, ERF's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.96% |
5.2 History
On average, the dividend of ERF grows each year by 16.51%, which is quite nice.
Dividend Growth(5Y)16.51%
Div Incr Years1
Div Non Decr Years1
5.3 Sustainability
54.91% of the earnings are spent on dividend by ERF. This is a bit on the high side, but may be sustainable.
ERF's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP54.91%
EPS Next 2Y14.31%
EPS Next 3Y14.14%
EPA:ERF (10/30/2025, 5:35:15 PM)
60.62
+0.02 (+0.03%)
Chartmill FA Rating
GICS SectorHealth Care
GICS IndustryGroupPharmaceuticals, Biotechnology & Life Sciences
GICS IndustryLife Sciences Tools & Services
Earnings (Last)
Earnings (Next)
Inst Owners37.21%
Inst Owner ChangeN/A
Ins Owners0%
Ins Owner ChangeN/A
Market Cap11.04B
Revenue(TTM)6.89B
Net Income(TTM)374.80M
Analysts68.89
Price Target65.1 (7.39%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.96% |
Yearly Dividend0.52
Dividend Growth(5Y)16.51%
DP54.91%
Div Incr Years1
Div Non Decr Years1
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)7.84%
EPS NQ rev (1m)N/A
EPS NQ rev (3m)N/A
EPS NY rev (1m)0%
EPS NY rev (3m)-0.46%
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)-0.26%
Revenue NY rev (3m)-0.82%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 16.84 | ||
| Fwd PE | 15.02 | ||
| P/S | 1.6 | ||
| P/FCF | 14.08 | ||
| P/OCF | 8.4 | ||
| P/B | 2.38 | ||
| P/tB | N/A | ||
| EV/EBITDA | 8.47 |
EPS(TTM)3.6
EY5.94%
EPS(NY)4.04
Fwd EY6.66%
FCF(TTM)4.3
FCFY7.1%
OCF(TTM)7.22
OCFY11.91%
SpS37.84
BVpS25.45
TBVpS-3.69
PEG (NY)1.14
PEG (5Y)0.92
Graham Number45.4
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.54% | ||
| ROE | 8.09% | ||
| ROCE | 12.64% | ||
| ROIC | 9.79% | ||
| ROICexc | 10.74% | ||
| ROICexgc | 34.1% | ||
| OM | 15.59% | ||
| PM (TTM) | 5.44% | ||
| GM | 23.29% | ||
| FCFM | 11.37% |
ROA(3y)3.79%
ROA(5y)5.05%
ROE(3y)7.94%
ROE(5y)10.72%
ROIC(3y)8.7%
ROIC(5y)10.54%
ROICexc(3y)9.52%
ROICexc(5y)11.6%
ROICexgc(3y)31.02%
ROICexgc(5y)39.55%
ROCE(3y)11.31%
ROCE(5y)13.7%
ROICexgc growth 3Y-18.17%
ROICexgc growth 5Y3.78%
ROICexc growth 3Y-15.5%
ROICexc growth 5Y6.63%
OM growth 3Y-11.93%
OM growth 5Y3.56%
PM growth 3Y-23.05%
PM growth 5Y9.75%
GM growth 3Y-7.6%
GM growth 5Y1.83%
F-Score7
Asset Turnover0.65
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.77 | ||
| Debt/FCF | 5.25 | ||
| Debt/EBITDA | 2.1 | ||
| Cap/Depr | 84.94% | ||
| Cap/Sales | 7.7% | ||
| Interest Coverage | 9.93 | ||
| Cash Conversion | 77.37% | ||
| Profit Quality | 209.21% | ||
| Current Ratio | 1.26 | ||
| Quick Ratio | 1.19 | ||
| Altman-Z | 2.67 |
F-Score7
WACC7.61%
ROIC/WACC1.29
Cap/Depr(3y)89.21%
Cap/Depr(5y)85.64%
Cap/Sales(3y)8.63%
Cap/Sales(5y)7.99%
Profit Quality(3y)162.79%
Profit Quality(5y)158.88%
High Growth Momentum
Growth
EPS 1Y (TTM)16.5%
EPS 3Y-21.42%
EPS 5Y18.34%
EPS Q2Q%19.61%
EPS Next Y14.76%
EPS Next 2Y14.31%
EPS Next 3Y14.14%
EPS Next 5Y13.34%
Revenue 1Y (TTM)2.53%
Revenue growth 3Y1.14%
Revenue growth 5Y8.78%
Sales Q2Q%5.64%
Revenue Next Year5.44%
Revenue Next 2Y5.6%
Revenue Next 3Y6.01%
Revenue Next 5Y7.27%
EBIT growth 1Y14.03%
EBIT growth 3Y-10.93%
EBIT growth 5Y12.66%
EBIT Next Year86.11%
EBIT Next 3Y30.34%
EBIT Next 5Y22%
FCF growth 1Y113.13%
FCF growth 3Y-7.69%
FCF growth 5Y25.62%
OCF growth 1Y31.31%
OCF growth 3Y-4.44%
OCF growth 5Y14.24%
EUROFINS SCIENTIFIC / ERF.PA FAQ
What is the ChartMill fundamental rating of EUROFINS SCIENTIFIC (ERF.PA) stock?
ChartMill assigns a fundamental rating of 6 / 10 to ERF.PA.
Can you provide the valuation status for EUROFINS SCIENTIFIC?
ChartMill assigns a valuation rating of 7 / 10 to EUROFINS SCIENTIFIC (ERF.PA). This can be considered as Undervalued.
Can you provide the profitability details for EUROFINS SCIENTIFIC?
EUROFINS SCIENTIFIC (ERF.PA) has a profitability rating of 7 / 10.
How financially healthy is EUROFINS SCIENTIFIC?
The financial health rating of EUROFINS SCIENTIFIC (ERF.PA) is 5 / 10.
Is the dividend of EUROFINS SCIENTIFIC sustainable?
The dividend rating of EUROFINS SCIENTIFIC (ERF.PA) is 4 / 10 and the dividend payout ratio is 54.91%.