HERA SPA (HER.MI) Stock Fundamental Analysis
Europe - BIT:HER - IT0001250932 - Common Stock
3.896 EUR
-0.01 (-0.26%)
Overall HER gets a fundamental rating of 6 out of 10. We evaluated HER against 14 industry peers in the Multi-Utilities industry. Both the profitability and the financial health of HER get a neutral evaluation. Nothing too spectacular is happening here. HER is not valued too expensively and it also shows a decent growth rate.
1. Profitability
1.1 Basic Checks
HER had positive earnings in the past year.
In the past year HER had a positive cash flow from operations.
Each year in the past 5 years HER has been profitable.
In the past 5 years HER always reported a positive cash flow from operatings.
1.2 Ratios
Looking at the Return On Assets, with a value of 5.05%, HER belongs to the top of the industry, outperforming 92.86% of the companies in the same industry.
Looking at the Return On Equity, with a value of 19.06%, HER belongs to the top of the industry, outperforming 85.71% of the companies in the same industry.
The Return On Invested Capital of HER (8.49%) is better than 85.71% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for HER is in line with the industry average of 6.45%.
The last Return On Invested Capital (8.49%) for HER is above the 3 year average (5.37%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.05% | ||
| ROE | 19.06% | ||
| ROIC | 8.49% |
ROA(3y)2.57%
ROA(5y)2.56%
ROE(3y)11.26%
ROE(5y)10.89%
ROIC(3y)5.37%
ROIC(5y)5.24%
1.3 Margins
Looking at the Profit Margin, with a value of 3.43%, HER is doing worse than 71.43% of the companies in the same industry.
In the last couple of years the Profit Margin of HER has declined.
The Operating Margin of HER (5.81%) is worse than 85.71% of its industry peers.
In the last couple of years the Operating Margin of HER has declined.
HER has a better Gross Margin (43.17%) than 64.29% of its industry peers.
In the last couple of years the Gross Margin of HER has declined.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 5.81% | ||
| PM (TTM) | 3.43% | ||
| GM | 43.17% |
OM growth 3Y3.35%
OM growth 5Y-3.88%
PM growth 3Y6.68%
PM growth 5Y-7.22%
GM growth 3Y7.1%
GM growth 5Y-1.88%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), HER is creating some value.
Compared to 1 year ago, HER has about the same amount of shares outstanding.
Compared to 5 years ago, HER has less shares outstanding
HER has a worse debt/assets ratio than last year.
2.2 Solvency
HER has an Altman-Z score of 2.38. This is not the best score and indicates that HER is in the grey zone with still only limited risk for bankruptcy at the moment.
The Altman-Z score of HER (2.38) is better than 100.00% of its industry peers.
The Debt to FCF ratio of HER is 16.79, which is on the high side as it means it would take HER, 16.79 years of fcf income to pay off all of its debts.
With a decent Debt to FCF ratio value of 16.79, HER is doing good in the industry, outperforming 78.57% of the companies in the same industry.
HER has a Debt/Equity ratio of 1.27. This is a high value indicating a heavy dependency on external financing.
HER has a better Debt to Equity ratio (1.27) than 71.43% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.27 | ||
| Debt/FCF | 16.79 | ||
| Altman-Z | 2.38 |
ROIC/WACC1.57
WACC5.4%
2.3 Liquidity
A Current Ratio of 1.16 indicates that HER should not have too much problems paying its short term obligations.
HER's Current ratio of 1.16 is amongst the best of the industry. HER outperforms 85.71% of its industry peers.
A Quick Ratio of 1.13 indicates that HER should not have too much problems paying its short term obligations.
Looking at the Quick ratio, with a value of 1.13, HER belongs to the top of the industry, outperforming 85.71% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.16 | ||
| Quick Ratio | 1.13 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 21.13% over the past year.
Measured over the past 5 years, HER shows a small growth in Earnings Per Share. The EPS has been growing by 5.51% on average per year.
HER shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 16.77%.
HER shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 13.27% yearly.
EPS 1Y (TTM)21.13%
EPS 3Y13.92%
EPS 5Y5.51%
EPS Q2Q%4.73%
Revenue 1Y (TTM)16.77%
Revenue growth 3Y6.89%
Revenue growth 5Y13.27%
Sales Q2Q%22.57%
3.2 Future
Based on estimates for the next years, HER will show a small growth in Earnings Per Share. The EPS will grow by 3.22% on average per year.
Based on estimates for the next years, HER will show a decrease in Revenue. The Revenue will decrease by -1.81% on average per year.
EPS Next Y6.56%
EPS Next 2Y3.98%
EPS Next 3Y4.1%
EPS Next 5Y3.22%
Revenue Next Year-8.7%
Revenue Next 2Y-3.61%
Revenue Next 3Y-1.6%
Revenue Next 5Y-1.81%
3.3 Evolution
The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 7.79, the valuation of HER can be described as very cheap.
Based on the Price/Earnings ratio, HER is valued a bit cheaper than the industry average as 78.57% of the companies are valued more expensively.
The average S&P500 Price/Earnings ratio is at 27.42. HER is valued rather cheaply when compared to this.
HER is valuated reasonably with a Price/Forward Earnings ratio of 11.98.
64.29% of the companies in the same industry are more expensive than HER, based on the Price/Forward Earnings ratio.
HER is valuated rather cheaply when we compare the Price/Forward Earnings ratio to 22.94, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 7.79 | ||
| Fwd PE | 11.98 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, HER is valued a bit cheaper than the industry average as 64.29% of the companies are valued more expensively.
Based on the Price/Free Cash Flow ratio, HER is valued a bit cheaper than 71.43% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 17.6 | ||
| EV/EBITDA | 5.37 |
4.3 Compensation for Growth
HER's PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
The decent profitability rating of HER may justify a higher PE ratio.
PEG (NY)1.19
PEG (5Y)1.41
EPS Next 2Y3.98%
EPS Next 3Y4.1%
5. Dividend
5.1 Amount
HER has a Yearly Dividend Yield of 3.84%.
Compared to an average industry Dividend Yield of 5.06, HER is paying slightly less dividend.
HER's Dividend Yield is rather good when compared to the S&P500 average which is at 2.36.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.84% |
5.2 History
On average, the dividend of HER grows each year by 9.46%, which is quite nice.
Dividend Growth(5Y)9.46%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
38.25% of the earnings are spent on dividend by HER. This is a low number and sustainable payout ratio.
The dividend of HER is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP38.25%
EPS Next 2Y3.98%
EPS Next 3Y4.1%
BIT:HER (10/17/2025, 7:00:00 PM)
3.896
-0.01 (-0.26%)
Chartmill FA Rating
GICS SectorUtilities
GICS IndustryGroupUtilities
GICS IndustryMulti-Utilities
Earnings (Last)
Earnings (Next)
Inst Owners21.93%
Inst Owner ChangeN/A
Ins OwnersN/A
Ins Owner ChangeN/A
Market Cap5.80B
Analysts75.56
Price Target4.26 (9.34%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.84% |
Yearly Dividend0.17
Dividend Growth(5Y)9.46%
DP38.25%
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)-0.95%
EPS NQ rev (1m)N/A
EPS NQ rev (3m)N/A
EPS NY rev (1m)-0.96%
EPS NY rev (3m)1.38%
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)-1.05%
Revenue NY rev (3m)-1.69%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 7.79 | ||
| Fwd PE | 11.98 | ||
| P/S | 0.27 | ||
| P/FCF | 17.6 | ||
| P/OCF | 4.61 | ||
| P/B | 1.53 | ||
| P/tB | N/A | ||
| EV/EBITDA | 5.37 |
EPS(TTM)0.5
EY12.83%
EPS(NY)0.33
Fwd EY8.35%
FCF(TTM)0.22
FCFY5.68%
OCF(TTM)0.85
OCFY21.71%
SpS14.17
BVpS2.55
TBVpS-1.48
PEG (NY)1.19
PEG (5Y)1.41
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.05% | ||
| ROE | 19.06% | ||
| ROCE | 12.64% | ||
| ROIC | 8.49% | ||
| ROICexc | 9.91% | ||
| ROICexgc | 34.5% | ||
| OM | 5.81% | ||
| PM (TTM) | 3.43% | ||
| GM | 43.17% | ||
| FCFM | 1.56% |
ROA(3y)2.57%
ROA(5y)2.56%
ROE(3y)11.26%
ROE(5y)10.89%
ROIC(3y)5.37%
ROIC(5y)5.24%
ROICexc(3y)6.37%
ROICexc(5y)6.12%
ROICexgc(3y)22.48%
ROICexgc(5y)21.02%
ROCE(3y)8.03%
ROCE(5y)7.84%
ROICexcg growth 3Y12.09%
ROICexcg growth 5Y12.87%
ROICexc growth 3Y6.53%
ROICexc growth 5Y6.34%
OM growth 3Y3.35%
OM growth 5Y-3.88%
PM growth 3Y6.68%
PM growth 5Y-7.22%
GM growth 3Y7.1%
GM growth 5Y-1.88%
F-Score6
Asset Turnover1.47
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.27 | ||
| Debt/FCF | 16.79 | ||
| Debt/EBITDA | 2.67 | ||
| Cap/Depr | 161.02% | ||
| Cap/Sales | 4.4% | ||
| Interest Coverage | 8.27 | ||
| Cash Conversion | 69.79% | ||
| Profit Quality | 45.56% | ||
| Current Ratio | 1.16 | ||
| Quick Ratio | 1.13 | ||
| Altman-Z | 2.38 |
F-Score6
WACC5.4%
ROIC/WACC1.57
Cap/Depr(3y)151.99%
Cap/Depr(5y)138.41%
Cap/Sales(3y)5.23%
Cap/Sales(5y)5.68%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)21.13%
EPS 3Y13.92%
EPS 5Y5.51%
EPS Q2Q%4.73%
EPS Next Y6.56%
EPS Next 2Y3.98%
EPS Next 3Y4.1%
EPS Next 5Y3.22%
Revenue 1Y (TTM)16.77%
Revenue growth 3Y6.89%
Revenue growth 5Y13.27%
Sales Q2Q%22.57%
Revenue Next Year-8.7%
Revenue Next 2Y-3.61%
Revenue Next 3Y-1.6%
Revenue Next 5Y-1.81%
EBIT growth 1Y6.28%
EBIT growth 3Y10.46%
EBIT growth 5Y8.88%
EBIT Next Year93.34%
EBIT Next 3Y27.46%
EBIT Next 5Y20.47%
FCF growth 1Y311.08%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y115.43%
OCF growth 3Y-6.56%
OCF growth 5Y3.17%