LEGRAND SA (LR.PA) Stock Fundamental Analysis
Europe - Euronext Paris - EPA:LR - FR0010307819 - Common Stock
127.3 EUR
+0.35 (+0.28%)
Taking everything into account, LR scores 6 out of 10 in our fundamental rating. LR was compared to 69 industry peers in the Electrical Equipment industry. LR scores excellent points on both the profitability and health parts. This is a solid base for a good stock. LR is not valued too expensively and it also shows a decent growth rate. These ratings would make LR suitable for quality investing!
1. Profitability
1.1 Basic Checks
In the past year LR was profitable.
LR had a positive operating cash flow in the past year.
LR had positive earnings in each of the past 5 years.
Each year in the past 5 years LR had a positive operating cash flow.
1.2 Ratios
Looking at the Return On Assets, with a value of 10.51%, LR belongs to the top of the industry, outperforming 95.65% of the companies in the same industry.
Looking at the Return On Equity, with a value of 24.74%, LR belongs to the top of the industry, outperforming 85.51% of the companies in the same industry.
LR has a better Return On Invested Capital (13.65%) than 88.41% of its industry peers.
The Average Return On Invested Capital over the past 3 years for LR is in line with the industry average of 10.10%.
The 3 year average ROIC (9.18%) for LR is below the current ROIC(13.65%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 10.51% | ||
| ROE | 24.74% | ||
| ROIC | 13.65% |
ROA(3y)7.31%
ROA(5y)6.73%
ROE(3y)15.88%
ROE(5y)15.47%
ROIC(3y)9.18%
ROIC(5y)8.59%
1.3 Margins
The Profit Margin of LR (12.96%) is better than 92.75% of its industry peers.
LR's Profit Margin has been stable in the last couple of years.
Looking at the Operating Margin, with a value of 18.98%, LR belongs to the top of the industry, outperforming 91.30% of the companies in the same industry.
In the last couple of years the Operating Margin of LR has remained more or less at the same level.
With a decent Gross Margin value of 51.35%, LR is doing good in the industry, outperforming 78.26% of the companies in the same industry.
LR's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 18.98% | ||
| PM (TTM) | 12.96% | ||
| GM | 51.35% |
OM growth 3Y-0.39%
OM growth 5Y0.33%
PM growth 3Y1.41%
PM growth 5Y1.36%
GM growth 3Y0.53%
GM growth 5Y-0.11%
2. Health
2.1 Basic Checks
LR 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 LR remains at a similar level compared to 1 year ago.
The number of shares outstanding for LR has been reduced compared to 5 years ago.
The debt/assets ratio for LR has been reduced compared to a year ago.
2.2 Solvency
LR has an Altman-Z score of 4.20. This indicates that LR is financially healthy and has little risk of bankruptcy at the moment.
LR has a better Altman-Z score (4.20) than 82.61% of its industry peers.
LR has a debt to FCF ratio of 4.28. This is a neutral value as LR would need 4.28 years to pay back of all of its debts.
LR has a better Debt to FCF ratio (4.28) than 66.67% of its industry peers.
LR has a Debt/Equity ratio of 0.78. This is a neutral value indicating LR is somewhat dependend on debt financing.
LR has a Debt to Equity ratio of 0.78. This is in the lower half of the industry: LR underperforms 66.67% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.78 | ||
| Debt/FCF | 4.28 | ||
| Altman-Z | 4.2 |
ROIC/WACC1.68
WACC8.11%
2.3 Liquidity
A Current Ratio of 2.22 indicates that LR has no problem at all paying its short term obligations.
LR has a Current ratio of 2.22. This is amongst the best in the industry. LR outperforms 81.16% of its industry peers.
LR has a Quick Ratio of 1.69. This is a normal value and indicates that LR is financially healthy and should not expect problems in meeting its short term obligations.
LR has a Quick ratio of 1.69. This is amongst the best in the industry. LR outperforms 82.61% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.22 | ||
| Quick Ratio | 1.69 |
3. Growth
3.1 Past
LR shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 20.24%, which is quite impressive.
The Earnings Per Share has been growing by 8.83% on average over the past years. This is quite good.
LR shows a very negative growth in Revenue. In the last year, the Revenue has decreased by -17.91%.
Measured over the past years, LR shows a small growth in Revenue. The Revenue has been growing by 5.48% on average per year.
EPS 1Y (TTM)20.24%
EPS 3Y10.4%
EPS 5Y8.83%
EPS Q2Q%32.71%
Revenue 1Y (TTM)-17.91%
Revenue growth 3Y7.33%
Revenue growth 5Y5.48%
Sales Q2Q%8.84%
3.2 Future
LR is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 8.18% yearly.
The Revenue is expected to grow by 7.91% on average over the next years.
EPS Next Y2.83%
EPS Next 2Y7.46%
EPS Next 3Y8.13%
EPS Next 5Y8.18%
Revenue Next Year11.03%
Revenue Next 2Y10.01%
Revenue Next 3Y9.21%
Revenue Next 5Y7.91%
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 stable.
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 23.57, which indicates a rather expensive current valuation of LR.
Based on the Price/Earnings ratio, LR is valued a bit cheaper than 75.36% of the companies in the same industry.
Compared to an average S&P500 Price/Earnings ratio of 26.59, LR is valued at the same level.
LR is valuated rather expensively with a Price/Forward Earnings ratio of 21.62.
Compared to the rest of the industry, the Price/Forward Earnings ratio of LR indicates a somewhat cheap valuation: LR is cheaper than 66.67% of the companies listed in the same industry.
LR is valuated at similar levels of the S&P average when we compare the Price/Forward Earnings ratio to 24.03, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 23.57 | ||
| Fwd PE | 21.62 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, LR is valued a bit cheaper than 71.01% of the companies in the same industry.
LR's Price/Free Cash Flow ratio is a bit cheaper when compared to the industry. LR is cheaper than 73.91% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 23.24 | ||
| EV/EBITDA | 12.12 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
LR has an outstanding profitability rating, which may justify a higher PE ratio.
PEG (NY)8.32
PEG (5Y)2.67
EPS Next 2Y7.46%
EPS Next 3Y8.13%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 1.76%, LR has a reasonable but not impressive dividend return.
Compared to an average industry Dividend Yield of 0.90, LR pays a better dividend. On top of this LR pays more dividend than 85.51% of the companies listed in the same industry.
LR's Dividend Yield is comparable with the S&P500 average which is at 1.88.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.76% |
5.2 History
On average, the dividend of LR grows each year by 9.28%, which is quite nice.
Dividend Growth(5Y)9.28%
Div Incr Years4
Div Non Decr Years6
5.3 Sustainability
LR pays out 32.44% of its income as dividend. This is a sustainable payout ratio.
The dividend of LR is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP32.44%
EPS Next 2Y7.46%
EPS Next 3Y8.13%
EPA:LR (12/24/2025, 7:00:00 PM)
127.3
+0.35 (+0.28%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryElectrical Equipment
Earnings (Last)
Earnings (Next)
Inst Owners53.75%
Inst Owner ChangeN/A
Ins Owners0.86%
Ins Owner ChangeN/A
Market Cap33.38B
Revenue(TTM)13.69B
Net Income(TTM)1.77B
Analysts78.62
Price TargetN/A
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.76% |
Yearly Dividend2.09
Dividend Growth(5Y)9.28%
DP32.44%
Div Incr Years4
Div Non Decr Years6
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-3.18%
Min EPS beat(2)-17.54%
Max EPS beat(2)11.18%
EPS beat(4)2
Avg EPS beat(4)7.3%
Min EPS beat(4)-17.54%
Max EPS beat(4)37.13%
EPS beat(8)4
Avg EPS beat(8)2.4%
EPS beat(12)7
Avg EPS beat(12)3.68%
EPS beat(16)11
Avg EPS beat(16)4.16%
Revenue beat(2)1
Avg Revenue beat(2)-3.89%
Min Revenue beat(2)-7.96%
Max Revenue beat(2)0.18%
Revenue beat(4)2
Avg Revenue beat(4)-2.06%
Min Revenue beat(4)-7.96%
Max Revenue beat(4)3.15%
Revenue beat(8)3
Avg Revenue beat(8)-2.72%
Revenue beat(12)4
Avg Revenue beat(12)5.29%
Revenue beat(16)7
Avg Revenue beat(16)15.75%
PT rev (1m)-0.44%
PT rev (3m)9.13%
EPS NQ rev (1m)-1.44%
EPS NQ rev (3m)-1.72%
EPS NY rev (1m)-2.25%
EPS NY rev (3m)-1.33%
Revenue NQ rev (1m)-0.12%
Revenue NQ rev (3m)-1.25%
Revenue NY rev (1m)-0.49%
Revenue NY rev (3m)-0.55%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 23.57 | ||
| Fwd PE | 21.62 | ||
| P/S | 2.44 | ||
| P/FCF | 23.24 | ||
| P/OCF | 20.2 | ||
| P/B | 4.66 | ||
| P/tB | N/A | ||
| EV/EBITDA | 12.12 |
EPS(TTM)5.4
EY4.24%
EPS(NY)5.89
Fwd EY4.63%
FCF(TTM)5.48
FCFY4.3%
OCF(TTM)6.3
OCFY4.95%
SpS52.19
BVpS27.34
TBVpS-7.17
PEG (NY)8.32
PEG (5Y)2.67
Graham Number57.64
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 10.51% | ||
| ROE | 24.74% | ||
| ROCE | 18.43% | ||
| ROIC | 13.65% | ||
| ROICexc | 17.33% | ||
| ROICexgc | 93.67% | ||
| OM | 18.98% | ||
| PM (TTM) | 12.96% | ||
| GM | 51.35% | ||
| FCFM | 10.49% |
ROA(3y)7.31%
ROA(5y)6.73%
ROE(3y)15.88%
ROE(5y)15.47%
ROIC(3y)9.18%
ROIC(5y)8.59%
ROICexc(3y)11.43%
ROICexc(5y)10.93%
ROICexgc(3y)71.04%
ROICexgc(5y)70.72%
ROCE(3y)12.5%
ROCE(5y)11.95%
ROICexgc growth 3Y-7.71%
ROICexgc growth 5Y0.85%
ROICexc growth 3Y-1.51%
ROICexc growth 5Y-0.2%
OM growth 3Y-0.39%
OM growth 5Y0.33%
PM growth 3Y1.41%
PM growth 5Y1.36%
GM growth 3Y0.53%
GM growth 5Y-0.11%
F-Score4
Asset Turnover0.81
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.78 | ||
| Debt/FCF | 4.28 | ||
| Debt/EBITDA | 1.86 | ||
| Cap/Depr | 51.81% | ||
| Cap/Sales | 1.58% | ||
| Interest Coverage | 26.08 | ||
| Cash Conversion | 54.81% | ||
| Profit Quality | 80.96% | ||
| Current Ratio | 2.22 | ||
| Quick Ratio | 1.69 | ||
| Altman-Z | 4.2 |
F-Score4
WACC8.11%
ROIC/WACC1.68
Cap/Depr(3y)53.91%
Cap/Depr(5y)49.06%
Cap/Sales(3y)2.4%
Cap/Sales(5y)2.26%
Profit Quality(3y)119.67%
Profit Quality(5y)123.7%
High Growth Momentum
Growth
EPS 1Y (TTM)20.24%
EPS 3Y10.4%
EPS 5Y8.83%
EPS Q2Q%32.71%
EPS Next Y2.83%
EPS Next 2Y7.46%
EPS Next 3Y8.13%
EPS Next 5Y8.18%
Revenue 1Y (TTM)-17.91%
Revenue growth 3Y7.33%
Revenue growth 5Y5.48%
Sales Q2Q%8.84%
Revenue Next Year11.03%
Revenue Next 2Y10.01%
Revenue Next 3Y9.21%
Revenue Next 5Y7.91%
EBIT growth 1Y-18.02%
EBIT growth 3Y6.92%
EBIT growth 5Y5.83%
EBIT Next Year32.53%
EBIT Next 3Y16.52%
EBIT Next 5Y12.65%
FCF growth 1Y-13.41%
FCF growth 3Y10.51%
FCF growth 5Y4.13%
OCF growth 1Y-11.41%
OCF growth 3Y11.04%
OCF growth 5Y4.21%
LEGRAND SA / LR.PA FAQ
Can you provide the ChartMill fundamental rating for LEGRAND SA?
ChartMill assigns a fundamental rating of 6 / 10 to LR.PA.
What is the valuation status of LEGRAND SA (LR.PA) stock?
ChartMill assigns a valuation rating of 4 / 10 to LEGRAND SA (LR.PA). This can be considered as Fairly Valued.
What is the profitability of LR stock?
LEGRAND SA (LR.PA) has a profitability rating of 8 / 10.
Can you provide the financial health for LR stock?
The financial health rating of LEGRAND SA (LR.PA) is 7 / 10.
Can you provide the dividend sustainability for LR stock?
The dividend rating of LEGRAND SA (LR.PA) is 6 / 10 and the dividend payout ratio is 32.44%.