PROXIMUS (PROX.BR) Stock Fundamental Analysis
EBR:PROX - Euronext Brussels - BE0003810273 - Common Stock - Currency: EUR
PROX gets a fundamental rating of 4 out of 10. The analysis compared the fundamentals against 27 industry peers in the Diversified Telecommunication Services industry. While PROX is still in line with the averages on profitability rating, there are concerns on its financial health. PROX has a valuation in line with the averages, but it does not seem to be growing.
1. Profitability
1.1 Basic Checks
In the past year PROX was profitable.
PROX had a positive operating cash flow in the past year.
Each year in the past 5 years PROX has been profitable.
PROX had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
PROX's Return On Assets of 3.36% is in line compared to the rest of the industry. PROX outperforms 48.15% of its industry peers.
PROX has a Return On Equity (10.39%) which is in line with its industry peers.
PROX's Return On Invested Capital of 5.66% is in line compared to the rest of the industry. PROX outperforms 40.74% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for PROX is in line with the industry average of 7.76%.
| 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
The Profit Margin of PROX (7.03%) is comparable to the rest of the industry.
PROX's Profit Margin has been stable in the last couple of years.
PROX has a Operating Margin (10.82%) which is comparable to the rest of the industry.
In the last couple of years the Operating Margin of PROX has grown nicely.
The Gross Margin of PROX (62.91%) is better than 70.37% of its industry peers.
PROX's Gross Margin has been stable in the last couple of years.
| 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.
PROX has about the same amout of shares outstanding than it did 1 year ago.
The number of shares outstanding for PROX remains at a similar level compared to 5 years ago.
The debt/assets ratio for PROX has been reduced compared to a year ago.
2.2 Solvency
PROX has an Altman-Z score of 1.11. 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 (1.11) which is in line with its industry peers.
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.
PROX has a worse Debt to FCF ratio (37.51) than 81.48% of its industry peers.
PROX has a Debt/Equity ratio of 0.97. This is a neutral value indicating PROX is somewhat dependend on debt financing.
With a Debt to Equity ratio value of 0.97, PROX perfoms like the industry average, outperforming 59.26% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.97 | ||
| Debt/FCF | 37.51 | ||
| Altman-Z | 1.11 |
ROIC/WACC1.24
WACC4.57%
2.3 Liquidity
PROX has a Current Ratio of 0.74. This is a bad value and indicates that PROX is not financially healthy enough and could expect problems in meeting its short term obligations.
The Current ratio of PROX (0.74) is comparable to the rest of the industry.
PROX has a Quick Ratio of 0.74. This is a bad value and indicates that PROX is not financially healthy enough and could expect problems in meeting its short term obligations.
PROX has a Quick ratio of 0.69. This is comparable to the rest of the industry: PROX outperforms 44.44% of its industry peers.
| 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.
Measured over the past 5 years, PROX shows a small growth in Earnings Per Share. The EPS has been growing by 3.59% on average per year.
Looking at the last year, PROX shows a quite strong growth in Revenue. The Revenue has grown by 8.23% in the last year.
Measured over the past years, PROX shows a small growth in Revenue. The Revenue has been growing by 2.49% on average per year.
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
Based on estimates for the next years, PROX will show a decrease in Earnings Per Share. The EPS will decrease by -2.17% on average per year.
Based on estimates for the next years, PROX will show a decrease in Revenue. The Revenue will decrease by -0.78% on average per year.
EPS Next Y-13.78%
EPS Next 2Y-7.55%
EPS Next 3Y-6.4%
EPS Next 5Y-2.17%
Revenue Next Year4.27%
Revenue Next 2Y2.98%
Revenue Next 3Y2.44%
Revenue Next 5Y-0.78%
3.3 Evolution
The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 5.29 indicates a rather cheap valuation of PROX.
Compared to the rest of the industry, the Price/Earnings ratio of PROX indicates a rather cheap valuation: PROX is cheaper than 100.00% of the companies listed in the same industry.
The average S&P500 Price/Earnings ratio is at 26.29. PROX is valued rather cheaply when compared to this.
Based on the Price/Forward Earnings ratio of 6.60, the valuation of PROX can be described as very cheap.
Based on the Price/Forward Earnings ratio, PROX is valued cheaper than 96.30% of the companies in the same industry.
Compared to an average S&P500 Price/Forward Earnings ratio of 22.17, PROX is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 5.29 | ||
| Fwd PE | 6.6 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of PROX indicates a rather cheap valuation: PROX is cheaper than 92.59% of the companies listed in the same industry.
70.37% of the companies in the same industry are cheaper than PROX, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 20.55 | ||
| EV/EBITDA | 3.5 |
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)1.48
EPS Next 2Y-7.55%
EPS Next 3Y-6.4%
5. Dividend
5.1 Amount
PROX has a Yearly Dividend Yield of 5.51%, which is a nice return.
Compared to an average industry Dividend Yield of 4.53, PROX pays a bit more dividend than its industry peers.
Compared to an average S&P500 Dividend Yield of 2.38, PROX pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.51% |
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
80.36% of the earnings are spent on dividend by PROX. This is not a sustainable payout ratio.
The Dividend Rate of PROX has been decling, while earnings will also be 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 (6/2/2025, 7:00:00 PM)
7.78
+0.11 (+1.37%)
Chartmill FA Rating
GICS SectorCommunication Services
GICS IndustryGroupTelecommunication Services
GICS IndustryDiversified Telecommunication Services
Earnings (Last)
Earnings (Next)
Inst Owners14.79%
Inst Owner ChangeN/A
Ins Owners6.01%
Ins Owner ChangeN/A
Market Cap2.63B
Analysts52.73
Price Target7 (-10.03%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.51% |
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)0%
PT rev (3m)-1.36%
EPS NQ rev (1m)0%
EPS NQ rev (3m)6.14%
EPS NY rev (1m)0%
EPS NY rev (3m)0.96%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)5.48%
Revenue NY rev (1m)0.04%
Revenue NY rev (3m)1.01%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 5.29 | ||
| Fwd PE | 6.6 | ||
| P/S | 0.41 | ||
| P/FCF | 20.55 | ||
| P/OCF | 1.64 | ||
| P/B | 0.61 | ||
| P/tB | N/A | ||
| EV/EBITDA | 3.5 |
EPS(TTM)1.47
EY18.89%
EPS(NY)1.18
Fwd EY15.16%
FCF(TTM)0.38
FCFY4.87%
OCF(TTM)4.74
OCFY60.92%
SpS18.86
BVpS12.75
TBVpS-3.08
PEG (NY)N/A
PEG (5Y)1.48
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 | 1.11 |
F-Score6
WACC4.57%
ROIC/WACC1.24
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-2.17%
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-0.78%
EBIT growth 1Y15%
EBIT growth 3Y2.23%
EBIT growth 5Y5%
EBIT Next Year187.77%
EBIT Next 3Y42.47%
EBIT Next 5Y20.03%
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%