SOLUTIONS 30 SE (S30.PA) Stock Fundamental Analysis
Europe - Euronext Paris - EPA:S30 - FR0013379484 - Common Stock
0.9315 EUR
+0 (+0.27%)
S30 gets a fundamental rating of 2 out of 10. The analysis compared the fundamentals against 70 industry peers in the IT Services industry. Both the profitability and financial health of S30 have multiple concerns. While showing a medium growth rate, S30 is valued expensive at the moment.
1. Profitability
1.1 Basic Checks
- S30 had negative earnings in the past year.
- In the past year S30 had a positive cash flow from operations.
- The reported net income has been mixed in the past 5 years: S30 reported negative net income in multiple years.
- Each year in the past 5 years S30 had a positive operating cash flow.
1.2 Ratios
- With a Return On Assets value of -3.84%, S30 is not doing good in the industry: 81.58% of the companies in the same industry are doing better.
- With a Return On Equity value of -36.35%, S30 is not doing good in the industry: 84.21% of the companies in the same industry are doing better.
- S30's Return On Invested Capital of 2.18% is on the low side compared to the rest of the industry. S30 is outperformed by 73.68% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -3.84% | ||
| ROE | -36.35% | ||
| ROIC | 2.18% |
ROA(3y)-4.22%
ROA(5y)-0.95%
ROE(3y)-25.43%
ROE(5y)-8.41%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
- With a Operating Margin value of 0.79%, S30 is not doing good in the industry: 78.95% of the companies in the same industry are doing better.
- In the last couple of years the Operating Margin of S30 has declined.
- S30 has a better Gross Margin (90.31%) than 84.21% of its industry peers.
- In the last couple of years the Gross Margin of S30 has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 0.79% | ||
| PM (TTM) | N/A | ||
| GM | 90.31% |
OM growth 3Y-22.98%
OM growth 5Y-25.88%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y0.4%
GM growth 5Y-0.4%
2. Health
2.1 Basic Checks
- The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so S30 is destroying value.
- The number of shares outstanding for S30 remains at a similar level compared to 1 year ago.
- The number of shares outstanding for S30 remains at a similar level compared to 5 years ago.
- S30 has a better debt/assets ratio than last year.
2.2 Solvency
- Based on the Altman-Z score of 1.53, we must say that S30 is in the distress zone and has some risk of bankruptcy.
- With a Altman-Z score value of 1.53, S30 is not doing good in the industry: 75.00% of the companies in the same industry are doing better.
- S30 has a debt to FCF ratio of 10.75. This is a negative value and a sign of low solvency as S30 would need 10.75 years to pay back of all of its debts.
- S30 has a Debt to FCF ratio of 10.75. This is in the lower half of the industry: S30 underperforms 71.05% of its industry peers.
- A Debt/Equity ratio of 1.68 is on the high side and indicates that S30 has dependencies on debt financing.
- The Debt to Equity ratio of S30 (1.68) is worse than 81.58% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.68 | ||
| Debt/FCF | 10.75 | ||
| Altman-Z | 1.53 |
ROIC/WACC0.46
WACC4.72%
2.3 Liquidity
- S30 has a Current Ratio of 0.95. This is a bad value and indicates that S30 is not financially healthy enough and could expect problems in meeting its short term obligations.
- S30 has a worse Current ratio (0.95) than 75.00% of its industry peers.
- A Quick Ratio of 0.89 indicates that S30 may have some problems paying its short term obligations.
- Looking at the Quick ratio, with a value of 0.89, S30 is doing worse than 73.68% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.95 | ||
| Quick Ratio | 0.89 |
3. Growth
3.1 Past
- S30 shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -88.11%.
- The Revenue for S30 has decreased by -10.35% in the past year. This is quite bad
- Measured over the past years, S30 shows a small growth in Revenue. The Revenue has been growing by 7.57% on average per year.
EPS 1Y (TTM)-88.11%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%-190.91%
Revenue 1Y (TTM)-10.35%
Revenue growth 3Y4.45%
Revenue growth 5Y7.57%
Sales Q2Q%-9.66%
3.2 Future
- The Earnings Per Share is expected to grow by 43.15% on average over the next years. This is a very strong growth
- Based on estimates for the next years, S30 will show a quite strong growth in Revenue. The Revenue will grow by 9.22% on average per year.
EPS Next Y-308.89%
EPS Next 2Y-49.07%
EPS Next 3Y43.15%
EPS Next 5YN/A
Revenue Next Year-6.27%
Revenue Next 2Y0.35%
Revenue Next 3Y3.26%
Revenue Next 5Y9.22%
3.3 Evolution
- 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
- The Price/Earnings Ratio is negative for S30. In the last year negative earnings were reported.
- Besides the negative Price/Earnings Ratio, also the Forward Price/Earnings Ratio is negative for S30. No positive earnings are expected for the next year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | N/A |
4.2 Price Multiples
- Based on the Enterprise Value to EBITDA ratio, S30 is valued cheaply inside the industry as 97.37% of the companies are valued more expensively.
- S30's Price/Free Cash Flow ratio is rather cheap when compared to the industry. S30 is cheaper than 92.11% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 5.74 | ||
| EV/EBITDA | 3.17 |
4.3 Compensation for Growth
- S30's earnings are expected to grow with 43.15% in the coming years. This may justify a more expensive valuation.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y-49.07%
EPS Next 3Y43.15%
5. Dividend
5.1 Amount
- No dividends for S30!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
SOLUTIONS 30 SE / S30.PA FAQ
What is the fundamental rating for S30 stock?
ChartMill assigns a fundamental rating of 2 / 10 to S30.PA.
What is the valuation status of SOLUTIONS 30 SE (S30.PA) stock?
ChartMill assigns a valuation rating of 3 / 10 to SOLUTIONS 30 SE (S30.PA). This can be considered as Overvalued.
How profitable is SOLUTIONS 30 SE (S30.PA) stock?
SOLUTIONS 30 SE (S30.PA) has a profitability rating of 2 / 10.
What is the earnings growth outlook for SOLUTIONS 30 SE?
The Earnings per Share (EPS) of SOLUTIONS 30 SE (S30.PA) is expected to decline by -308.89% in the next year.
How sustainable is the dividend of SOLUTIONS 30 SE (S30.PA) stock?
The dividend rating of SOLUTIONS 30 SE (S30.PA) is 0 / 10 and the dividend payout ratio is 0%.