LEONARDO SPA (LDO.MI) Stock Fundamental Analysis
BIT:LDO - Euronext Milan - IT0003856405 - Common Stock - Currency: EUR
LDO gets a fundamental rating of 5 out of 10. The analysis compared the fundamentals against 43 industry peers in the Aerospace & Defense industry. LDO has a medium profitability rating, but doesn't score so well on its financial health evaluation. LDO has a decent growth rate and is not valued too expensively.
1. Profitability
1.1 Basic Checks
In the past year LDO was profitable.
In the past year LDO had a positive cash flow from operations.
LDO had positive earnings in each of the past 5 years.
Each year in the past 5 years LDO had a positive operating cash flow.
1.2 Ratios
The Return On Assets of LDO (4.97%) is better than 72.09% of its industry peers.
With a decent Return On Equity value of 18.62%, LDO is doing good in the industry, outperforming 74.42% of the companies in the same industry.
Looking at the Return On Invested Capital, with a value of 9.48%, LDO is in the better half of the industry, outperforming 67.44% of the companies in the same industry.
Measured over the past 3 years, the Average Return On Invested Capital for LDO is below the industry average of 8.85%.
The 3 year average ROIC (6.61%) for LDO is below the current ROIC(9.48%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.97% | ||
| ROE | 18.62% | ||
| ROIC | 9.48% |
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
With a decent Profit Margin value of 6.56%, LDO is doing good in the industry, outperforming 60.47% of the companies in the same industry.
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 6.78% is in line compared to the rest of the industry. LDO outperforms 41.86% of its industry peers.
LDO's Operating Margin has been stable in the last couple of years.
LDO's Gross Margin of 30.79% is in line compared to the rest of the industry. LDO outperforms 51.16% of its industry peers.
In the last couple of years the Gross Margin of LDO has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 6.78% | ||
| PM (TTM) | 6.56% | ||
| GM | 30.79% |
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
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), LDO is creating some value.
Compared to 1 year ago, LDO has about the same amount of shares outstanding.
LDO has more shares outstanding than it did 5 years ago.
Compared to 1 year ago, LDO has an improved debt to assets ratio.
2.2 Solvency
LDO has an Altman-Z score of 1.85. This is not the best score and indicates that LDO is in the grey zone with still only limited risk for bankruptcy at the moment.
LDO has a worse Altman-Z score (1.85) than 65.12% of its industry peers.
LDO has a debt to FCF ratio of 7.28. This is a slightly negative value and a sign of low solvency as LDO would need 7.28 years to pay back of all of its debts.
The Debt to FCF ratio of LDO (7.28) is comparable to the rest of the industry.
LDO has a Debt/Equity ratio of 0.26. This is a healthy value indicating a solid balance between debt and equity.
LDO has a Debt to Equity ratio of 0.26. This is in the better half of the industry: LDO outperforms 76.74% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.26 | ||
| Debt/FCF | 7.28 | ||
| Altman-Z | 1.85 |
ROIC/WACC1.15
WACC8.27%
2.3 Liquidity
A Current Ratio of 0.96 indicates that LDO may have some problems paying its short term obligations.
The Current ratio of LDO (0.96) is worse than 79.07% of its industry peers.
A Quick Ratio of 0.61 indicates that LDO may have some problems paying its short term obligations.
LDO has a Quick ratio of 0.61. This is in the lower half of the industry: LDO underperforms 60.47% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.96 | ||
| Quick Ratio | 0.61 |
3. Growth
3.1 Past
LDO shows a small growth in Earnings Per Share. In the last year, the EPS has grown by 6.94%.
Measured over the past years, LDO shows a decrease in Earnings Per Share. The EPS has been decreasing by -4.48% on average per year.
The Revenue has grown by 16.49% in the past year. This is quite good.
Measured over the past years, LDO shows a small growth in Revenue. The Revenue has been growing by 5.20% on average per year.
EPS 1Y (TTM)6.94%
EPS 3Y9.76%
EPS 5Y-4.48%
EPS Q2Q%18.75%
Revenue 1Y (TTM)16.49%
Revenue growth 3Y7.91%
Revenue growth 5Y5.2%
Sales Q2Q%13.51%
3.2 Future
The Earnings Per Share is expected to grow by 24.60% on average over the next years. This is a very strong growth
The Revenue is expected to grow by 9.20% on average over the next years. This is quite good.
EPS Next Y36.56%
EPS Next 2Y27.15%
EPS Next 3Y23.76%
EPS Next 5Y24.6%
Revenue Next Year8.19%
Revenue Next 2Y7.83%
Revenue Next 3Y7.66%
Revenue Next 5Y9.2%
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 accelerating.
4. Valuation
4.1 Price/Earnings Ratio
LDO is valuated quite expensively with a Price/Earnings ratio of 36.55.
Compared to the rest of the industry, the Price/Earnings ratio of LDO is on the same level as its industry peers.
When comparing the Price/Earnings ratio of LDO to the average of the S&P500 Index (26.31), we can say LDO is valued slightly more expensively.
A Price/Forward Earnings ratio of 23.20 indicates a rather expensive valuation of LDO.
LDO's Price/Forward Earnings ratio is a bit cheaper when compared to the industry. LDO is cheaper than 60.47% of the companies in the same industry.
LDO's Price/Forward Earnings ratio indicates a similar valuation than the S&P500 average which is at 22.13.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 36.55 | ||
| Fwd PE | 23.2 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of LDO indicates a rather cheap valuation: LDO is cheaper than 86.05% of the companies listed in the same industry.
LDO's Price/Free Cash Flow is on the same level as the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 43.5 | ||
| EV/EBITDA | 12.01 |
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.
LDO has a very decent profitability rating, which may justify a higher PE ratio.
LDO's earnings are expected to grow with 23.76% in the coming years. This may justify a more expensive valuation.
PEG (NY)1
PEG (5Y)N/A
EPS Next 2Y27.15%
EPS Next 3Y23.76%
5. Dividend
5.1 Amount
LDO has a Yearly Dividend Yield of 1.07%. Purely for dividend investing, there may be better candidates out there.
LDO's Dividend Yield is a higher than the industry average which is at 1.16.
Compared to an average S&P500 Dividend Yield of 2.39, LDO's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.07% |
5.2 History
On average, the dividend of LDO grows each year by 16.88%, which is quite nice.
Dividend Growth(5Y)16.88%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
10.57% of the earnings are spent on dividend by LDO. This is a low number and sustainable payout ratio.
The dividend of LDO is growing, but earnings are growing more, so the dividend growth is sustainable.
DP10.57%
EPS Next 2Y27.15%
EPS Next 3Y23.76%
BIT:LDO (6/13/2025, 7:00:00 PM)
48.61
+0.21 (+0.43%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryAerospace & Defense
Earnings (Last)
Earnings (Next)
Inst Owners23.87%
Inst Owner ChangeN/A
Ins OwnersN/A
Ins Owner ChangeN/A
Market Cap28.10B
Analysts75.79
Price Target53.64 (10.35%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.07% |
Yearly Dividend0.31
Dividend Growth(5Y)16.88%
DP10.57%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)247.05%
Min EPS beat(2)1.01%
Max EPS beat(2)493.08%
EPS beat(4)3
Avg EPS beat(4)128.86%
Min EPS beat(4)-54.68%
Max EPS beat(4)493.08%
EPS beat(8)3
Avg EPS beat(8)56.58%
EPS beat(12)7
Avg EPS beat(12)99.95%
EPS beat(16)10
Avg EPS beat(16)78.61%
Revenue beat(2)2
Avg Revenue beat(2)3.73%
Min Revenue beat(2)0.09%
Max Revenue beat(2)7.38%
Revenue beat(4)4
Avg Revenue beat(4)5.96%
Min Revenue beat(4)0.09%
Max Revenue beat(4)8.89%
Revenue beat(8)5
Avg Revenue beat(8)2.11%
Revenue beat(12)9
Avg Revenue beat(12)30.27%
Revenue beat(16)12
Avg Revenue beat(16)32.4%
PT rev (1m)10.97%
PT rev (3m)67.08%
EPS NQ rev (1m)0%
EPS NQ rev (3m)N/A
EPS NY rev (1m)0%
EPS NY rev (3m)5.49%
Revenue NQ rev (1m)0.08%
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)0%
Revenue NY rev (3m)3.23%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 36.55 | ||
| Fwd PE | 23.2 | ||
| P/S | 1.1 | ||
| P/FCF | 43.5 | ||
| P/OCF | 18.24 | ||
| P/B | 3.13 | ||
| P/tB | 107.27 | ||
| EV/EBITDA | 12.01 |
EPS(TTM)1.33
EY2.74%
EPS(NY)2.1
Fwd EY4.31%
FCF(TTM)1.12
FCFY2.3%
OCF(TTM)2.67
OCFY5.48%
SpS44.14
BVpS15.55
TBVpS0.45
PEG (NY)1
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.97% | ||
| ROE | 18.62% | ||
| ROCE | 11.53% | ||
| ROIC | 9.48% | ||
| ROICexc | 11.43% | ||
| ROICexgc | 38.21% | ||
| OM | 6.78% | ||
| PM (TTM) | 6.56% | ||
| GM | 30.79% | ||
| FCFM | 2.53% |
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%
ROICexcg growth 3Y7.63%
ROICexcg 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-Score6
Asset Turnover0.76
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.26 | ||
| Debt/FCF | 7.28 | ||
| Debt/EBITDA | 0.95 | ||
| Cap/Depr | 115.19% | ||
| Cap/Sales | 3.51% | ||
| Interest Coverage | 9.67 | ||
| Cash Conversion | 61.44% | ||
| Profit Quality | 38.59% | ||
| Current Ratio | 0.96 | ||
| Quick Ratio | 0.61 | ||
| Altman-Z | 1.85 |
F-Score6
WACC8.27%
ROIC/WACC1.15
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)6.94%
EPS 3Y9.76%
EPS 5Y-4.48%
EPS Q2Q%18.75%
EPS Next Y36.56%
EPS Next 2Y27.15%
EPS Next 3Y23.76%
EPS Next 5Y24.6%
Revenue 1Y (TTM)16.49%
Revenue growth 3Y7.91%
Revenue growth 5Y5.2%
Sales Q2Q%13.51%
Revenue Next Year8.19%
Revenue Next 2Y7.83%
Revenue Next 3Y7.66%
Revenue Next 5Y9.2%
EBIT growth 1Y31.04%
EBIT growth 3Y12.91%
EBIT growth 5Y3.95%
EBIT Next Year73.88%
EBIT Next 3Y29.87%
EBIT Next 5Y25.9%
FCF growth 1Y59.9%
FCF growth 3Y71.98%
FCF growth 5Y70.37%
OCF growth 1Y29.93%
OCF growth 3Y27.59%
OCF growth 5Y19.25%