VALEO (FR.PA) Stock Fundamental Analysis
EPA:FR - FR0013176526 - Common Stock
10.35 EUR
-0.12 (-1.1%)
FR gets a fundamental rating of 4 out of 10. The analysis compared the fundamentals against 27 industry peers in the Automobile Components industry. While FR is still in line with the averages on profitability rating, there are concerns on its financial health. FR is cheap, but on the other hand it scores bad on growth.
1. Profitability
1.1 Basic Checks
In the past year FR was profitable.
FR had a positive operating cash flow in the past year.
FR had positive earnings in 4 of the past 5 years.
FR had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
FR has a Return On Assets (0.61%) which is comparable to the rest of the industry.
FR has a Return On Equity (3.93%) which is comparable to the rest of the industry.
FR's Return On Invested Capital of 6.06% is in line compared to the rest of the industry. FR outperforms 59.26% of its industry peers.
FR had an Average Return On Invested Capital over the past 3 years of 4.55%. This is below the industry average of 6.77%.
The 3 year average ROIC (4.55%) for FR is below the current ROIC(6.06%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.61% | ||
| ROE | 3.93% | ||
| ROIC | 6.06% |
ROA(3y)0.94%
ROA(5y)-0.41%
ROE(3y)5.52%
ROE(5y)-2.49%
ROIC(3y)4.55%
ROIC(5y)N/A
1.3 Margins
The Profit Margin of FR (0.59%) is comparable to the rest of the industry.
In the last couple of years the Profit Margin of FR has declined.
FR has a Operating Margin (4.52%) which is comparable to the rest of the industry.
FR's Operating Margin has declined in the last couple of years.
The Gross Margin of FR (19.59%) is worse than 74.07% of its industry peers.
FR's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 4.52% | ||
| PM (TTM) | 0.59% | ||
| GM | 19.59% |
OM growth 3Y1.83%
OM growth 5Y-4.23%
PM growth 3Y-9.41%
PM growth 5Y-14.05%
GM growth 3Y2.54%
GM growth 5Y1.38%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), FR is creating some value.
FR has less shares outstanding than it did 1 year ago.
Compared to 5 years ago, FR has more shares outstanding
FR has a better debt/assets ratio than last year.
2.2 Solvency
FR has an Altman-Z score of 1.28. This is a bad value and indicates that FR is not financially healthy and even has some risk of bankruptcy.
FR has a Altman-Z score of 1.28. This is in the lower half of the industry: FR underperforms 70.37% of its industry peers.
The Debt to FCF ratio of FR is 11.66, which is on the high side as it means it would take FR, 11.66 years of fcf income to pay off all of its debts.
FR's Debt to FCF ratio of 11.66 is in line compared to the rest of the industry. FR outperforms 55.56% of its industry peers.
A Debt/Equity ratio of 1.72 is on the high side and indicates that FR has dependencies on debt financing.
Looking at the Debt to Equity ratio, with a value of 1.72, FR is doing worse than 74.07% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.72 | ||
| Debt/FCF | 11.66 | ||
| Altman-Z | 1.28 |
ROIC/WACC1.21
WACC5%
2.3 Liquidity
FR has a Current Ratio of 0.79. This is a bad value and indicates that FR is not financially healthy enough and could expect problems in meeting its short term obligations.
With a Current ratio value of 0.79, FR is not doing good in the industry: 85.19% of the companies in the same industry are doing better.
FR has a Quick Ratio of 0.79. This is a bad value and indicates that FR is not financially healthy enough and could expect problems in meeting its short term obligations.
FR has a worse Quick ratio (0.61) than 85.19% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.79 | ||
| Quick Ratio | 0.61 |
3. Growth
3.1 Past
The earnings per share for FR have decreased strongly by -27.47% in the last year.
FR shows a very negative growth in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -12.75% yearly.
FR shows a decrease in Revenue. In the last year, the revenue decreased by -4.16%.
The Revenue has been growing slightly by 1.99% on average over the past years.
EPS 1Y (TTM)-27.47%
EPS 3Y-2.75%
EPS 5Y-12.75%
EPS Q2Q%-26.25%
Revenue 1Y (TTM)-4.16%
Revenue growth 3Y7.58%
Revenue growth 5Y1.99%
Sales Q2Q%-4.11%
3.2 Future
Based on estimates for the next years, FR will show a very strong growth in Earnings Per Share. The EPS will grow by 58.05% on average per year.
FR is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 1.17% yearly.
EPS Next Y80.56%
EPS Next 2Y67.59%
EPS Next 3Y58.05%
EPS Next 5YN/A
Revenue Next Year-3.9%
Revenue Next 2Y-0.5%
Revenue Next 3Y1.17%
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.
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
A Price/Earnings ratio of 15.68 indicates a correct valuation of FR.
FR's Price/Earnings is on the same level as the industry average.
FR's Price/Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 27.13.
The Price/Forward Earnings ratio is 5.58, which indicates a rather cheap valuation of FR.
Based on the Price/Forward Earnings ratio, FR is valued cheaper than 85.19% of the companies in the same industry.
Compared to an average S&P500 Price/Forward Earnings ratio of 22.76, FR is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 15.68 | ||
| Fwd PE | 5.58 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, FR is valued cheaper than 92.59% of the companies in the same industry.
FR's Price/Free Cash Flow ratio is a bit cheaper when compared to the industry. FR is cheaper than 74.07% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 4.48 | ||
| EV/EBITDA | 2.05 |
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.
A more expensive valuation may be justified as FR's earnings are expected to grow with 58.05% in the coming years.
PEG (NY)0.19
PEG (5Y)N/A
EPS Next 2Y67.59%
EPS Next 3Y58.05%
5. Dividend
5.1 Amount
FR has a Yearly Dividend Yield of 4.05%, which is a nice return.
Compared to an average industry Dividend Yield of 4.81, FR pays a bit more dividend than its industry peers.
FR's Dividend Yield is rather good when compared to the S&P500 average which is at 2.32.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.05% |
5.2 History
The dividend of FR decreases each year by -20.41%.
Dividend Growth(5Y)-20.41%
Div Incr Years5
Div Non Decr Years5
5.3 Sustainability
FR pays out 82.40% of its income as dividend. This is not a sustainable payout ratio.
DP82.4%
EPS Next 2Y67.59%
EPS Next 3Y58.05%
EPA:FR (9/2/2025, 1:34:10 PM)
10.35
-0.12 (-1.1%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupAutomobiles & Components
GICS IndustryAutomobile Components
Earnings (Last)
Earnings (Next)
Inst Owners52.35%
Inst Owner ChangeN/A
Ins Owners0.13%
Ins Owner ChangeN/A
Market Cap2.53B
Analysts72.5
Price Target10.78 (4.15%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.05% |
Yearly Dividend0.4
Dividend Growth(5Y)-20.41%
DP82.4%
Div Incr Years5
Div Non Decr Years5
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)2.45%
PT rev (3m)2.39%
EPS NQ rev (1m)N/A
EPS NQ rev (3m)N/A
EPS NY rev (1m)-11.46%
EPS NY rev (3m)-11.46%
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)-0.92%
Revenue NY rev (3m)-3.33%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 15.68 | ||
| Fwd PE | 5.58 | ||
| P/S | 0.12 | ||
| P/FCF | 4.48 | ||
| P/OCF | 1.01 | ||
| P/B | 0.8 | ||
| P/tB | N/A | ||
| EV/EBITDA | 2.05 |
EPS(TTM)0.66
EY6.38%
EPS(NY)1.85
Fwd EY17.91%
FCF(TTM)2.31
FCFY22.32%
OCF(TTM)10.27
OCFY99.21%
SpS85.99
BVpS13
TBVpS-12.66
PEG (NY)0.19
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.61% | ||
| ROE | 3.93% | ||
| ROCE | 9.41% | ||
| ROIC | 6.06% | ||
| ROICexc | 7.87% | ||
| ROICexgc | 33.26% | ||
| OM | 4.52% | ||
| PM (TTM) | 0.59% | ||
| GM | 19.59% | ||
| FCFM | 2.69% |
ROA(3y)0.94%
ROA(5y)-0.41%
ROE(3y)5.52%
ROE(5y)-2.49%
ROIC(3y)4.55%
ROIC(5y)N/A
ROICexc(3y)6.21%
ROICexc(5y)N/A
ROICexgc(3y)22.27%
ROICexgc(5y)N/A
ROCE(3y)7.3%
ROCE(5y)N/A
ROICexcg growth 3Y36.11%
ROICexcg growth 5Y17.24%
ROICexc growth 3Y10.81%
ROICexc growth 5Y1.46%
OM growth 3Y1.83%
OM growth 5Y-4.23%
PM growth 3Y-9.41%
PM growth 5Y-14.05%
GM growth 3Y2.54%
GM growth 5Y1.38%
F-Score5
Asset Turnover1.03
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.72 | ||
| Debt/FCF | 11.66 | ||
| Debt/EBITDA | 1.86 | ||
| Cap/Depr | 97.89% | ||
| Cap/Sales | 9.26% | ||
| Interest Coverage | 3.01 | ||
| Cash Conversion | 85.47% | ||
| Profit Quality | 452% | ||
| Current Ratio | 0.79 | ||
| Quick Ratio | 0.61 | ||
| Altman-Z | 1.28 |
F-Score5
WACC5%
ROIC/WACC1.21
Cap/Depr(3y)101.47%
Cap/Depr(5y)92.97%
Cap/Sales(3y)8.95%
Cap/Sales(5y)8.73%
Profit Quality(3y)226.42%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-27.47%
EPS 3Y-2.75%
EPS 5Y-12.75%
EPS Q2Q%-26.25%
EPS Next Y80.56%
EPS Next 2Y67.59%
EPS Next 3Y58.05%
EPS Next 5YN/A
Revenue 1Y (TTM)-4.16%
Revenue growth 3Y7.58%
Revenue growth 5Y1.99%
Sales Q2Q%-4.11%
Revenue Next Year-3.9%
Revenue Next 2Y-0.5%
Revenue Next 3Y1.17%
Revenue Next 5YN/A
EBIT growth 1Y3.26%
EBIT growth 3Y9.55%
EBIT growth 5Y-2.33%
EBIT Next Year251.93%
EBIT Next 3Y59.92%
EBIT Next 5YN/A
FCF growth 1Y580.72%
FCF growth 3Y19.88%
FCF growth 5Y-0.77%
OCF growth 1Y35.71%
OCF growth 3Y18.41%
OCF growth 5Y1.87%