LEONARDO SPA (LDO.MI) Stock Fundamental Analysis
Europe - Euronext Milan - BIT:LDO - IT0003856405 - Common Stock
46.04 EUR
-3.06 (-6.23%)
Overall LDO gets a fundamental rating of 5 out of 10. We evaluated LDO against 45 industry peers in the Aerospace & Defense industry. While LDO is still in line with the averages on profitability rating, there are concerns on its financial health. LDO is not valued too expensively and it also shows a decent growth rate.
1. Profitability
1.1 Basic Checks
In the past year LDO was profitable.
LDO had positive earnings in each of the past 5 years.
In the past 5 years LDO always reported a positive cash flow from operatings.
1.2 Ratios
With a decent Return On Assets value of 4.86%, LDO is doing good in the industry, outperforming 65.91% of the companies in the same industry.
LDO has a better Return On Equity (17.66%) than 63.64% of its industry peers.
LDO has a Return On Invested Capital of 11.75%. This is amongst the best in the industry. LDO outperforms 81.82% of its industry peers.
LDO had an Average Return On Invested Capital over the past 3 years of 6.61%. This is below the industry average of 9.16%.
The 3 year average ROIC (6.61%) for LDO is below the current ROIC(11.75%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.86% | ||
| ROE | 17.66% | ||
| ROIC | 11.75% |
ROA(3y)2.86%
ROA(5y)2.31%
ROE(3y)11.1%
ROE(5y)9.4%
ROIC(3y)6.61%
ROIC(5y)6.35%
1.3 Margins
LDO has a Profit Margin (5.80%) which is in line with its industry peers.
In the last couple of years the Profit Margin of LDO has remained more or less at the same level.
LDO's Operating Margin of 7.54% is on the low side compared to the rest of the industry. LDO is outperformed by 61.36% of its industry peers.
In the last couple of years the Operating Margin of LDO has remained more or less at the same level.
LDO has a Gross Margin (30.12%) which is comparable to the rest of the industry.
LDO's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 7.54% | ||
| PM (TTM) | 5.8% | ||
| GM | 30.12% |
OM growth 3Y4.63%
OM growth 5Y-1.19%
PM growth 3Y13.4%
PM growth 5Y0.3%
GM growth 3Y1.05%
GM growth 5Y-0.43%
2. Health
2.1 Basic Checks
LDO has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
The number of shares outstanding for LDO remains at a similar level compared to 1 year ago.
LDO has more shares outstanding than it did 5 years ago.
The debt/assets ratio for LDO has been reduced compared to a year ago.
2.2 Solvency
An Altman-Z score of 2.04 indicates that LDO is not a great score, but indicates only limited risk for bankruptcy at the moment.
The Altman-Z score of LDO (2.04) is worse than 61.36% of its industry peers.
LDO has a Debt/Equity ratio of 0.22. This is a healthy value indicating a solid balance between debt and equity.
With an excellent Debt to Equity ratio value of 0.22, LDO belongs to the best of the industry, outperforming 84.09% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.22 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 2.04 |
ROIC/WACC1.49
WACC7.89%
2.3 Liquidity
LDO has a Current Ratio of 0.97. This is a bad value and indicates that LDO is not financially healthy enough and could expect problems in meeting its short term obligations.
With a Current ratio value of 0.97, LDO is not doing good in the industry: 81.82% of the companies in the same industry are doing better.
LDO has a Quick Ratio of 0.97. This is a bad value and indicates that LDO is not financially healthy enough and could expect problems in meeting its short term obligations.
The Quick ratio of LDO (0.59) is worse than 72.73% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.97 | ||
| Quick Ratio | 0.59 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an nice 13.39% over the past year.
LDO shows a decrease in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -4.48% yearly.
LDO shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 13.44%.
LDO shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 5.20% yearly.
EPS 1Y (TTM)13.39%
EPS 3Y9.76%
EPS 5Y-4.48%
EPS Q2Q%6.36%
Revenue 1Y (TTM)13.44%
Revenue growth 3Y7.91%
Revenue growth 5Y5.2%
Sales Q2Q%10.61%
3.2 Future
LDO is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 24.56% yearly.
Based on estimates for the next years, LDO will show a quite strong growth in Revenue. The Revenue will grow by 9.34% on average per year.
EPS Next Y39.91%
EPS Next 2Y29%
EPS Next 3Y25.37%
EPS Next 5Y24.56%
Revenue Next Year8.88%
Revenue Next 2Y8.58%
Revenue Next 3Y8.09%
Revenue Next 5Y9.34%
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
The Price/Earnings ratio is 35.42, which means the current valuation is very expensive for LDO.
Based on the Price/Earnings ratio, LDO is valued a bit cheaper than 63.64% of the companies in the same industry.
LDO is valuated rather expensively when we compare the Price/Earnings ratio to 25.45, which is the current average of the S&P500 Index.
The Price/Forward Earnings ratio is 21.35, which indicates a rather expensive current valuation of LDO.
Compared to the rest of the industry, the Price/Forward Earnings ratio of LDO indicates a somewhat cheap valuation: LDO is cheaper than 70.45% of the companies listed in the same industry.
LDO's Price/Forward Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 34.46.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 35.42 | ||
| Fwd PE | 21.35 |
4.2 Price Multiples
LDO's Enterprise Value to EBITDA ratio is rather cheap when compared to the industry. LDO is cheaper than 86.36% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 10.85 |
4.3 Compensation for Growth
LDO's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
The decent profitability rating of LDO may justify a higher PE ratio.
A more expensive valuation may be justified as LDO's earnings are expected to grow with 25.37% in the coming years.
PEG (NY)0.89
PEG (5Y)N/A
EPS Next 2Y29%
EPS Next 3Y25.37%
5. Dividend
5.1 Amount
LDO has a Yearly Dividend Yield of 1.06%. Purely for dividend investing, there may be better candidates out there.
Compared to an average industry Dividend Yield of 1.20, LDO pays a bit more dividend than its industry peers.
Compared to an average S&P500 Dividend Yield of 2.42, LDO's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.06% |
5.2 History
The dividend of LDO is nicely growing with an annual growth rate of 16.88%!
Dividend Growth(5Y)16.88%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
11.14% of the earnings are spent on dividend by LDO. This is a low number and sustainable payout ratio.
LDO's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP11.14%
EPS Next 2Y29%
EPS Next 3Y25.37%
BIT:LDO (11/21/2025, 7:00:00 PM)
46.04
-3.06 (-6.23%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryAerospace & Defense
Earnings (Last)
Earnings (Next)
Inst Owners24.11%
Inst Owner ChangeN/A
Ins OwnersN/A
Ins Owner ChangeN/A
Market Cap26.62B
Revenue(TTM)27.38B
Net Income(TTM)1.59B
Analysts78.18
Price Target57.11 (24.04%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.06% |
Yearly Dividend0.31
Dividend Growth(5Y)16.88%
DP11.14%
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)2
Avg Revenue beat(2)3.02%
Min Revenue beat(2)2.94%
Max Revenue beat(2)3.1%
Revenue beat(4)3
Avg Revenue beat(4)-2.26%
Min Revenue beat(4)-15.16%
Max Revenue beat(4)3.1%
Revenue beat(8)6
Avg Revenue beat(8)1.52%
Revenue beat(12)8
Avg Revenue beat(12)6.12%
Revenue beat(16)12
Avg Revenue beat(16)26.25%
PT rev (1m)1.4%
PT rev (3m)0.6%
EPS NQ rev (1m)0%
EPS NQ rev (3m)23.55%
EPS NY rev (1m)-0.82%
EPS NY rev (3m)2.46%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)0.74%
Revenue NY rev (1m)0.07%
Revenue NY rev (3m)0.25%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 35.42 | ||
| Fwd PE | 21.35 | ||
| P/S | 0.97 | ||
| P/FCF | N/A | ||
| P/OCF | N/A | ||
| P/B | 2.96 | ||
| P/tB | 53.88 | ||
| EV/EBITDA | 10.85 |
EPS(TTM)1.3
EY2.82%
EPS(NY)2.16
Fwd EY4.68%
FCF(TTM)N/A
FCFYN/A
OCF(TTM)N/A
OCFYN/A
SpS47.36
BVpS15.57
TBVpS0.85
PEG (NY)0.89
PEG (5Y)N/A
Graham Number21.34
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.86% | ||
| ROE | 17.66% | ||
| ROCE | 14.29% | ||
| ROIC | 11.75% | ||
| ROICexc | 13.43% | ||
| ROICexgc | 41.04% | ||
| OM | 7.54% | ||
| PM (TTM) | 5.8% | ||
| GM | 30.12% | ||
| FCFM | N/A |
ROA(3y)2.86%
ROA(5y)2.31%
ROE(3y)11.1%
ROE(5y)9.4%
ROIC(3y)6.61%
ROIC(5y)6.35%
ROICexc(3y)7.82%
ROICexc(5y)7.66%
ROICexgc(3y)23.66%
ROICexgc(5y)24.69%
ROCE(3y)8.05%
ROCE(5y)7.73%
ROICexgc growth 3Y7.63%
ROICexgc growth 5Y-1.46%
ROICexc growth 3Y6%
ROICexc growth 5Y-1.29%
OM growth 3Y4.63%
OM growth 5Y-1.19%
PM growth 3Y13.4%
PM growth 5Y0.3%
GM growth 3Y1.05%
GM growth 5Y-0.43%
F-ScoreN/A
Asset Turnover0.84
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.22 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 0.69 | ||
| Cap/Depr | N/A | ||
| Cap/Sales | N/A | ||
| Interest Coverage | N/A | ||
| Cash Conversion | N/A | ||
| Profit Quality | N/A | ||
| Current Ratio | 0.97 | ||
| Quick Ratio | 0.59 | ||
| Altman-Z | 2.04 |
F-ScoreN/A
WACC7.89%
ROIC/WACC1.49
Cap/Depr(3y)119.32%
Cap/Depr(5y)102.84%
Cap/Sales(3y)5.11%
Cap/Sales(5y)4.4%
Profit Quality(3y)54.54%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)13.39%
EPS 3Y9.76%
EPS 5Y-4.48%
EPS Q2Q%6.36%
EPS Next Y39.91%
EPS Next 2Y29%
EPS Next 3Y25.37%
EPS Next 5Y24.56%
Revenue 1Y (TTM)13.44%
Revenue growth 3Y7.91%
Revenue growth 5Y5.2%
Sales Q2Q%10.61%
Revenue Next Year8.88%
Revenue Next 2Y8.58%
Revenue Next 3Y8.09%
Revenue Next 5Y9.34%
EBIT growth 1Y36.48%
EBIT growth 3Y12.91%
EBIT growth 5Y3.95%
EBIT Next Year72.46%
EBIT Next 3Y29.29%
EBIT Next 5Y25.54%
FCF growth 1Y59.9%
FCF growth 3Y71.98%
FCF growth 5Y70.37%
OCF growth 1Y29.93%
OCF growth 3Y27.59%
OCF growth 5Y19.25%
LEONARDO SPA / LDO.MI FAQ
What is the fundamental rating for LDO stock?
ChartMill assigns a fundamental rating of 5 / 10 to LDO.MI.
What is the valuation status of LEONARDO SPA (LDO.MI) stock?
ChartMill assigns a valuation rating of 4 / 10 to LEONARDO SPA (LDO.MI). This can be considered as Fairly Valued.
What is the profitability of LDO stock?
LEONARDO SPA (LDO.MI) has a profitability rating of 6 / 10.
What is the financial health of LEONARDO SPA (LDO.MI) stock?
The financial health rating of LEONARDO SPA (LDO.MI) is 3 / 10.
Can you provide the dividend sustainability for LDO stock?
The dividend rating of LEONARDO SPA (LDO.MI) is 6 / 10 and the dividend payout ratio is 11.14%.