SAFRAN SA (SAF.PA) Stock Fundamental Analysis
Europe - EPA:SAF - FR0000073272 - Common Stock
301.1 EUR
-1.7 (-0.56%)
We assign a fundamental rating of 6 out of 10 to SAF. SAF was compared to 46 industry peers in the Aerospace & Defense industry. While SAF has a great profitability rating, there are some minor concerns on its financial health. SAF has a correct valuation and a medium growth rate.
1. Profitability
1.1 Basic Checks
SAF had positive earnings in the past year.
In the past year SAF had a positive cash flow from operations.
The reported net income has been mixed in the past 5 years: SAF reported negative net income in multiple years.
Each year in the past 5 years SAF had a positive operating cash flow.
1.2 Ratios
SAF's Return On Assets of 7.70% is amongst the best of the industry. SAF outperforms 89.13% of its industry peers.
With an excellent Return On Equity value of 32.68%, SAF belongs to the best of the industry, outperforming 89.13% of the companies in the same industry.
SAF has a better Return On Invested Capital (17.52%) than 95.65% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for SAF is above the industry average of 9.55%.
The 3 year average ROIC (12.75%) for SAF is below the current ROIC(17.52%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 7.7% | ||
| ROE | 32.68% | ||
| ROIC | 17.52% |
ROA(3y)0.12%
ROA(5y)0.27%
ROE(3y)-0.14%
ROE(5y)0.55%
ROIC(3y)12.75%
ROIC(5y)9.35%
1.3 Margins
The Profit Margin of SAF (14.71%) is better than 89.13% of its industry peers.
SAF has a Operating Margin of 15.95%. This is amongst the best in the industry. SAF outperforms 86.96% of its industry peers.
In the last couple of years the Operating Margin of SAF has remained more or less at the same level.
The Gross Margin of SAF (48.81%) is better than 76.09% of its industry peers.
In the last couple of years the Gross Margin of SAF has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 15.95% | ||
| PM (TTM) | 14.71% | ||
| GM | 48.81% |
OM growth 3Y23.88%
OM growth 5Y0.08%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-0.28%
GM growth 5Y0.81%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is well above the Cost of Capital (WACC), so SAF is creating value.
Compared to 1 year ago, SAF has more shares outstanding
Compared to 5 years ago, SAF has less shares outstanding
The debt/assets ratio for SAF has been reduced compared to a year ago.
2.2 Solvency
An Altman-Z score of 2.80 indicates that SAF is not a great score, but indicates only limited risk for bankruptcy at the moment.
SAF has a Altman-Z score (2.80) which is comparable to the rest of the industry.
The Debt to FCF ratio of SAF is 1.37, which is an excellent value as it means it would take SAF, only 1.37 years of fcf income to pay off all of its debts.
SAF's Debt to FCF ratio of 1.37 is amongst the best of the industry. SAF outperforms 91.30% of its industry peers.
SAF has a Debt/Equity ratio of 0.29. This is a healthy value indicating a solid balance between debt and equity.
SAF's Debt to Equity ratio of 0.29 is fine compared to the rest of the industry. SAF outperforms 71.74% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.29 | ||
| Debt/FCF | 1.37 | ||
| Altman-Z | 2.8 |
ROIC/WACC2.16
WACC8.12%
2.3 Liquidity
A Current Ratio of 0.93 indicates that SAF may have some problems paying its short term obligations.
SAF has a Current ratio of 0.93. This is amonst the worse of the industry: SAF underperforms 84.78% of its industry peers.
A Quick Ratio of 0.66 indicates that SAF may have some problems paying its short term obligations.
SAF has a Quick ratio (0.66) which is in line with its industry peers.
The current and quick ratio evaluation for SAF is rather negative, while it does have excellent solvency and profitability. These ratios do not necessarly indicate liquidity issues and need to be evaluated against the specifics of the business.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.93 | ||
| Quick Ratio | 0.66 |
3. Growth
3.1 Past
SAF shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 40.39%, which is quite impressive.
SAF shows a small growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 3.53% yearly.
SAF shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 14.19%.
SAF shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 2.00% yearly.
EPS 1Y (TTM)40.39%
EPS 3Y61.52%
EPS 5Y3.53%
EPS Q2Q%16.21%
Revenue 1Y (TTM)14.19%
Revenue growth 3Y22.35%
Revenue growth 5Y2%
Sales Q2Q%13.2%
3.2 Future
SAF is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 15.34% yearly.
Based on estimates for the next years, SAF will show a quite strong growth in Revenue. The Revenue will grow by 9.61% on average per year.
EPS Next Y14.14%
EPS Next 2Y20.42%
EPS Next 3Y18.2%
EPS Next 5Y15.34%
Revenue Next Year14.52%
Revenue Next 2Y13.34%
Revenue Next 3Y11.9%
Revenue Next 5Y9.61%
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.
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
SAF is valuated quite expensively with a Price/Earnings ratio of 38.50.
67.39% of the companies in the same industry are more expensive than SAF, based on the Price/Earnings ratio.
SAF is valuated rather expensively when we compare the Price/Earnings ratio to 25.83, which is the current average of the S&P500 Index.
SAF is valuated quite expensively with a Price/Forward Earnings ratio of 28.48.
Compared to the rest of the industry, the Price/Forward Earnings ratio of SAF is on the same level as its industry peers.
When comparing the Price/Forward Earnings ratio of SAF to the average of the S&P500 Index (32.68), we can say SAF is valued inline with the index average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 38.5 | ||
| Fwd PE | 28.48 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of SAF is on the same level as its industry peers.
65.22% of the companies in the same industry are more expensive than SAF, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 34.09 | ||
| EV/EBITDA | 21.43 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates SAF does not grow enough to justify the current Price/Earnings ratio.
SAF has an outstanding profitability rating, which may justify a higher PE ratio.
SAF's earnings are expected to grow with 18.20% in the coming years. This may justify a more expensive valuation.
PEG (NY)2.72
PEG (5Y)10.92
EPS Next 2Y20.42%
EPS Next 3Y18.2%
5. Dividend
5.1 Amount
SAF has a yearly dividend return of 0.95%, which is pretty low.
Compared to an average industry Dividend Yield of 1.07, SAF pays a bit more dividend than its industry peers.
Compared to an average S&P500 Dividend Yield of 2.39, SAF's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.95% |
5.2 History
The dividend of SAF has a limited annual growth rate of 3.72%.
Dividend Growth(5Y)3.72%
Div Incr Years4
Div Non Decr Years4
5.3 Sustainability
SAF pays out 28.14% of its income as dividend. This is a sustainable payout ratio.
The dividend of SAF is growing, but earnings are growing more, so the dividend growth is sustainable.
DP28.14%
EPS Next 2Y20.42%
EPS Next 3Y18.2%
EPA:SAF (11/7/2025, 7:00:00 PM)
301.1
-1.7 (-0.56%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryAerospace & Defense
Earnings (Last)
Earnings (Next)
Inst Owners43.54%
Inst Owner ChangeN/A
Ins Owners0.02%
Ins Owner ChangeN/A
Market Cap127.55B
Revenue(TTM)29.38B
Net Income(TTM)4.32B
Analysts79.2
Price Target337.82 (12.2%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.95% |
Yearly Dividend2.19
Dividend Growth(5Y)3.72%
DP28.14%
Div Incr Years4
Div Non Decr Years4
Ex-DateN/A
Surprises & Revisions
EPS beat(2)N/A
Avg EPS beat(2)N/A
Min EPS beat(2)N/A
Max EPS beat(2)N/A
EPS beat(4)N/A
Avg EPS beat(4)N/A
Min EPS beat(4)N/A
Max EPS beat(4)N/A
EPS beat(8)N/A
Avg EPS beat(8)N/A
EPS beat(12)N/A
Avg EPS beat(12)N/A
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)N/A
Avg Revenue beat(2)N/A
Min Revenue beat(2)N/A
Max Revenue beat(2)N/A
Revenue beat(4)N/A
Avg Revenue beat(4)N/A
Min Revenue beat(4)N/A
Max Revenue beat(4)N/A
Revenue beat(8)N/A
Avg Revenue beat(8)N/A
Revenue beat(12)N/A
Avg Revenue beat(12)N/A
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)6.74%
PT rev (3m)21.67%
EPS NQ rev (1m)N/A
EPS NQ rev (3m)N/A
EPS NY rev (1m)0%
EPS NY rev (3m)4.06%
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)0%
Revenue NY rev (3m)0.99%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 38.5 | ||
| Fwd PE | 28.48 | ||
| P/S | 4.34 | ||
| P/FCF | 34.09 | ||
| P/OCF | 24.84 | ||
| P/B | 9.65 | ||
| P/tB | 237.09 | ||
| EV/EBITDA | 21.43 |
EPS(TTM)7.82
EY2.6%
EPS(NY)10.57
Fwd EY3.51%
FCF(TTM)8.83
FCFY2.93%
OCF(TTM)12.12
OCFY4.03%
SpS69.35
BVpS31.21
TBVpS1.27
PEG (NY)2.72
PEG (5Y)10.92
Graham Number74.11
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 7.7% | ||
| ROE | 32.68% | ||
| ROCE | 25.17% | ||
| ROIC | 17.52% | ||
| ROICexc | 18% | ||
| ROICexgc | 52.62% | ||
| OM | 15.95% | ||
| PM (TTM) | 14.71% | ||
| GM | 48.81% | ||
| FCFM | 12.74% |
ROA(3y)0.12%
ROA(5y)0.27%
ROE(3y)-0.14%
ROE(5y)0.55%
ROIC(3y)12.75%
ROIC(5y)9.35%
ROICexc(3y)19.81%
ROICexc(5y)14.03%
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)17.77%
ROCE(5y)13.1%
ROICexgc growth 3YN/A
ROICexgc growth 5YN/A
ROICexc growth 3Y73.61%
ROICexc growth 5Y13.54%
OM growth 3Y23.88%
OM growth 5Y0.08%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-0.28%
GM growth 5Y0.81%
F-Score9
Asset Turnover0.52
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.29 | ||
| Debt/FCF | 1.37 | ||
| Debt/EBITDA | 0.63 | ||
| Cap/Depr | 97.21% | ||
| Cap/Sales | 4.74% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 83.91% | ||
| Profit Quality | 86.6% | ||
| Current Ratio | 0.93 | ||
| Quick Ratio | 0.66 | ||
| Altman-Z | 2.8 |
F-Score9
WACC8.12%
ROIC/WACC2.16
Cap/Depr(3y)80.08%
Cap/Depr(5y)68.41%
Cap/Sales(3y)4.6%
Cap/Sales(5y)4.57%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)40.39%
EPS 3Y61.52%
EPS 5Y3.53%
EPS Q2Q%16.21%
EPS Next Y14.14%
EPS Next 2Y20.42%
EPS Next 3Y18.2%
EPS Next 5Y15.34%
Revenue 1Y (TTM)14.19%
Revenue growth 3Y22.35%
Revenue growth 5Y2%
Sales Q2Q%13.2%
Revenue Next Year14.52%
Revenue Next 2Y13.34%
Revenue Next 3Y11.9%
Revenue Next 5Y9.61%
EBIT growth 1Y27.26%
EBIT growth 3Y51.57%
EBIT growth 5Y2.08%
EBIT Next Year56.81%
EBIT Next 3Y25.24%
EBIT Next 5Y18.4%
FCF growth 1Y42.12%
FCF growth 3Y24.71%
FCF growth 5Y9.69%
OCF growth 1Y45.22%
OCF growth 3Y24.78%
OCF growth 5Y8.52%
SAFRAN SA / SAF.PA FAQ
What is the fundamental rating for SAF stock?
ChartMill assigns a fundamental rating of 6 / 10 to SAF.PA.
What is the valuation status of SAFRAN SA (SAF.PA) stock?
ChartMill assigns a valuation rating of 4 / 10 to SAFRAN SA (SAF.PA). This can be considered as Fairly Valued.
Can you provide the profitability details for SAFRAN SA?
SAFRAN SA (SAF.PA) has a profitability rating of 8 / 10.
Can you provide the financial health for SAF stock?
The financial health rating of SAFRAN SA (SAF.PA) is 6 / 10.
Can you provide the dividend sustainability for SAF stock?
The dividend rating of SAFRAN SA (SAF.PA) is 4 / 10 and the dividend payout ratio is 28.14%.