PROXIMUS (PROX.BR) Stock Fundamental Analysis
EBR:PROX - Euronext Brussels - BE0003810273 - Common Stock - Currency: EUR
Taking everything into account, PROX scores 4 out of 10 in our fundamental rating. PROX was compared to 30 industry peers in the Diversified Telecommunication Services industry. There are concerns on the financial health of PROX while its profitability can be described as average. PROX has a valuation in line with the averages, but on the other hand it scores bad on growth.
1. Profitability
1.1 Basic Checks
In the past year PROX was profitable.
PROX had a positive operating cash flow in the past year.
In the past 5 years PROX has always been profitable.
PROX had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
PROX has a Return On Assets (3.36%) which is comparable to the rest of the industry.
The Return On Equity of PROX (10.39%) is comparable to the rest of the industry.
The Return On Invested Capital of PROX (5.66%) is comparable to the rest of the industry.
The Average Return On Invested Capital over the past 3 years for PROX is in line with the industry average of 7.50%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.36% | ||
| ROE | 10.39% | ||
| ROIC | 5.66% |
ROA(3y)3.61%
ROA(5y)4.41%
ROE(3y)11.6%
ROE(5y)13.82%
ROIC(3y)6.28%
ROIC(5y)7.35%
1.3 Margins
PROX has a Profit Margin (7.03%) which is in line with its industry peers.
PROX's Profit Margin has been stable in the last couple of years.
The Operating Margin of PROX (10.82%) is worse than 63.33% of its industry peers.
In the last couple of years the Operating Margin of PROX has grown nicely.
PROX has a Gross Margin of 62.91%. This is in the better half of the industry: PROX outperforms 70.00% of its industry peers.
In the last couple of years the Gross Margin of PROX has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 10.82% | ||
| PM (TTM) | 7.03% | ||
| GM | 62.91% |
OM growth 3Y-2.47%
OM growth 5Y2.45%
PM growth 3Y-4.31%
PM growth 5Y1.17%
GM growth 3Y-0.54%
GM growth 5Y-0.42%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), PROX is creating some value.
The number of shares outstanding for PROX remains at a similar level compared to 1 year ago.
The number of shares outstanding for PROX remains at a similar level compared to 5 years ago.
Compared to 1 year ago, PROX has an improved debt to assets ratio.
2.2 Solvency
PROX has an Altman-Z score of 1.10. This is a bad value and indicates that PROX is not financially healthy and even has some risk of bankruptcy.
PROX has a Altman-Z score (1.10) which is comparable to the rest of the industry.
The Debt to FCF ratio of PROX is 37.51, which is on the high side as it means it would take PROX, 37.51 years of fcf income to pay off all of its debts.
With a Debt to FCF ratio value of 37.51, PROX is not doing good in the industry: 76.67% of the companies in the same industry are doing better.
PROX has a Debt/Equity ratio of 0.97. This is a neutral value indicating PROX is somewhat dependend on debt financing.
The Debt to Equity ratio of PROX (0.97) is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.97 | ||
| Debt/FCF | 37.51 | ||
| Altman-Z | 1.1 |
ROIC/WACC1.26
WACC4.48%
2.3 Liquidity
A Current Ratio of 0.74 indicates that PROX may have some problems paying its short term obligations.
PROX has a Current ratio (0.74) which is in line with its industry peers.
A Quick Ratio of 0.69 indicates that PROX may have some problems paying its short term obligations.
Looking at the Quick ratio, with a value of 0.69, PROX is doing worse than 60.00% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.74 | ||
| Quick Ratio | 0.69 |
3. Growth
3.1 Past
PROX shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 30.09%, which is quite impressive.
PROX shows a small growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 3.59% yearly.
Looking at the last year, PROX shows a quite strong growth in Revenue. The Revenue has grown by 8.23% in the last year.
The Revenue has been growing slightly by 2.49% on average over the past years.
EPS 1Y (TTM)30.09%
EPS 3Y0%
EPS 5Y3.59%
EPS Q2Q%29.03%
Revenue 1Y (TTM)8.23%
Revenue growth 3Y4.82%
Revenue growth 5Y2.49%
Sales Q2Q%8.78%
3.2 Future
The Earnings Per Share is expected to decrease by -2.74% on average over the next years.
The Revenue is expected to decrease by -1.36% on average over the next years.
EPS Next Y-13.78%
EPS Next 2Y-7.55%
EPS Next 3Y-6.4%
EPS Next 5Y-2.74%
Revenue Next Year4.27%
Revenue Next 2Y2.98%
Revenue Next 3Y2.44%
Revenue Next 5Y-1.36%
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
With a Price/Earnings ratio of 5.02, the valuation of PROX can be described as very cheap.
100.00% of the companies in the same industry are more expensive than PROX, based on the Price/Earnings ratio.
Compared to an average S&P500 Price/Earnings ratio of 27.25, PROX is valued rather cheaply.
A Price/Forward Earnings ratio of 6.25 indicates a rather cheap valuation of PROX.
Compared to the rest of the industry, the Price/Forward Earnings ratio of PROX indicates a rather cheap valuation: PROX is cheaper than 100.00% of the companies listed in the same industry.
When comparing the Price/Forward Earnings ratio of PROX to the average of the S&P500 Index (36.80), we can say PROX is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 5.02 | ||
| Fwd PE | 6.25 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, PROX is valued cheaper than 90.00% of the companies in the same industry.
Based on the Price/Free Cash Flow ratio, PROX is valued a bit more expensive than 63.33% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 19.48 | ||
| EV/EBITDA | 3.43 |
4.3 Compensation for Growth
A cheap valuation may be justified as PROX's earnings are expected to decrease with -6.40% in the coming years.
PEG (NY)N/A
PEG (5Y)1.4
EPS Next 2Y-7.55%
EPS Next 3Y-6.4%
5. Dividend
5.1 Amount
PROX has a Yearly Dividend Yield of 5.25%, which is a nice return.
Compared to an average industry Dividend Yield of 4.56, PROX pays a bit more dividend than its industry peers.
Compared to an average S&P500 Dividend Yield of 2.34, PROX pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.25% |
5.2 History
The dividend of PROX decreases each year by -5.81%.
Dividend Growth(5Y)-5.81%
Div Incr Years0
Div Non Decr Years3
5.3 Sustainability
PROX pays out 80.36% of its income as dividend. This is not a sustainable payout ratio.
PROX's earnings and Dividend Rate are declining. This means the current dividend is most likely not sustainable.
DP80.36%
EPS Next 2Y-7.55%
EPS Next 3Y-6.4%
EBR:PROX (8/1/2025, 9:40:20 AM)
7.375
+0.08 (+1.03%)
Chartmill FA Rating
GICS SectorCommunication Services
GICS IndustryGroupTelecommunication Services
GICS IndustryDiversified Telecommunication Services
Earnings (Last)
Earnings (Next)
Inst Owners13.32%
Inst Owner ChangeN/A
Ins Owners5.12%
Ins Owner ChangeN/A
Market Cap2.49B
Analysts71.11
Price Target8.04 (9.02%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.25% |
Yearly Dividend1.12
Dividend Growth(5Y)-5.81%
DP80.36%
Div Incr Years0
Div Non Decr Years3
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)164.45%
Min EPS beat(2)143.47%
Max EPS beat(2)185.43%
EPS beat(4)4
Avg EPS beat(4)90.93%
Min EPS beat(4)14.69%
Max EPS beat(4)185.43%
EPS beat(8)5
Avg EPS beat(8)40.52%
EPS beat(12)8
Avg EPS beat(12)27.48%
EPS beat(16)9
Avg EPS beat(16)18.88%
Revenue beat(2)2
Avg Revenue beat(2)2.52%
Min Revenue beat(2)0.42%
Max Revenue beat(2)4.62%
Revenue beat(4)4
Avg Revenue beat(4)2%
Min Revenue beat(4)0.42%
Max Revenue beat(4)4.62%
Revenue beat(8)5
Avg Revenue beat(8)0.52%
Revenue beat(12)8
Avg Revenue beat(12)0.54%
Revenue beat(16)9
Avg Revenue beat(16)0.27%
PT rev (1m)8.94%
PT rev (3m)14.81%
EPS NQ rev (1m)0%
EPS NQ rev (3m)0%
EPS NY rev (1m)0%
EPS NY rev (3m)0%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)0%
Revenue NY rev (1m)0%
Revenue NY rev (3m)0.04%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 5.02 | ||
| Fwd PE | 6.25 | ||
| P/S | 0.39 | ||
| P/FCF | 19.48 | ||
| P/OCF | 1.56 | ||
| P/B | 0.58 | ||
| P/tB | N/A | ||
| EV/EBITDA | 3.43 |
EPS(TTM)1.47
EY19.93%
EPS(NY)1.18
Fwd EY15.99%
FCF(TTM)0.38
FCFY5.13%
OCF(TTM)4.74
OCFY64.26%
SpS18.86
BVpS12.75
TBVpS-3.08
PEG (NY)N/A
PEG (5Y)1.4
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.36% | ||
| ROE | 10.39% | ||
| ROCE | 6.81% | ||
| ROIC | 5.66% | ||
| ROICexc | 5.98% | ||
| ROICexgc | 13.51% | ||
| OM | 10.82% | ||
| PM (TTM) | 7.03% | ||
| GM | 62.91% | ||
| FCFM | 2.01% |
ROA(3y)3.61%
ROA(5y)4.41%
ROE(3y)11.6%
ROE(5y)13.82%
ROIC(3y)6.28%
ROIC(5y)7.35%
ROICexc(3y)6.68%
ROICexc(5y)7.86%
ROICexgc(3y)16.07%
ROICexgc(5y)18.73%
ROCE(3y)7.55%
ROCE(5y)8.84%
ROICexcg growth 3Y-10.94%
ROICexcg growth 5Y-5.07%
ROICexc growth 3Y-10.19%
ROICexc growth 5Y-4.03%
OM growth 3Y-2.47%
OM growth 5Y2.45%
PM growth 3Y-4.31%
PM growth 5Y1.17%
GM growth 3Y-0.54%
GM growth 5Y-0.42%
F-Score6
Asset Turnover0.48
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.97 | ||
| Debt/FCF | 37.51 | ||
| Debt/EBITDA | 2.14 | ||
| Cap/Depr | 117.08% | ||
| Cap/Sales | 23.12% | ||
| Interest Coverage | 4.73 | ||
| Cash Conversion | 82.2% | ||
| Profit Quality | 28.57% | ||
| Current Ratio | 0.74 | ||
| Quick Ratio | 0.69 | ||
| Altman-Z | 1.1 |
F-Score6
WACC4.48%
ROIC/WACC1.26
Cap/Depr(3y)120.64%
Cap/Depr(5y)111.12%
Cap/Sales(3y)23.99%
Cap/Sales(5y)22.5%
Profit Quality(3y)45.68%
Profit Quality(5y)64.36%
High Growth Momentum
Growth
EPS 1Y (TTM)30.09%
EPS 3Y0%
EPS 5Y3.59%
EPS Q2Q%29.03%
EPS Next Y-13.78%
EPS Next 2Y-7.55%
EPS Next 3Y-6.4%
EPS Next 5Y-2.74%
Revenue 1Y (TTM)8.23%
Revenue growth 3Y4.82%
Revenue growth 5Y2.49%
Sales Q2Q%8.78%
Revenue Next Year4.27%
Revenue Next 2Y2.98%
Revenue Next 3Y2.44%
Revenue Next 5Y-1.36%
EBIT growth 1Y15%
EBIT growth 3Y2.23%
EBIT growth 5Y5%
EBIT Next Year187.77%
EBIT Next 3Y42.47%
EBIT Next 5Y19.34%
FCF growth 1Y-23.81%
FCF growth 3Y-35.81%
FCF growth 5Y-25.67%
OCF growth 1Y-1.17%
OCF growth 3Y-0.39%
OCF growth 5Y-0.65%