SALMAR ASA (SALM.OL) Stock Fundamental Analysis
OSL:SALM - Euronext Oslo - NO0010310956 - Common Stock - Currency: NOK
SALM gets a fundamental rating of 5 out of 10. The analysis compared the fundamentals against 59 industry peers in the Food Products industry. There are concerns on the financial health of SALM while its profitability can be described as average. SALM has a correct valuation and a medium growth rate. Finally SALM also has an excellent dividend rating.
1. Profitability
1.1 Basic Checks
SALM had positive earnings in the past year.
In the past year SALM had a positive cash flow from operations.
Each year in the past 5 years SALM has been profitable.
SALM had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
With a Return On Assets value of 3.33%, SALM perfoms like the industry average, outperforming 54.24% of the companies in the same industry.
SALM has a better Return On Equity (9.85%) than 66.10% of its industry peers.
SALM has a Return On Invested Capital (4.47%) which is in line with its industry peers.
The Average Return On Invested Capital over the past 3 years for SALM is in line with the industry average of 6.44%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.33% | ||
| ROE | 9.85% | ||
| ROIC | 4.47% |
ROA(3y)5.59%
ROA(5y)7.01%
ROE(3y)16.59%
ROE(5y)17.93%
ROIC(3y)7.18%
ROIC(5y)7.81%
1.3 Margins
The Profit Margin of SALM (7.27%) is better than 72.88% of its industry peers.
SALM's Profit Margin has declined in the last couple of years.
SALM's Operating Margin of 15.31% is amongst the best of the industry. SALM outperforms 84.75% of its industry peers.
In the last couple of years the Operating Margin of SALM has declined.
The Gross Margin of SALM (52.54%) is better than 79.66% of its industry peers.
In the last couple of years the Gross Margin of SALM has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 15.31% | ||
| PM (TTM) | 7.27% | ||
| GM | 52.54% |
OM growth 3Y-4%
OM growth 5Y-3.92%
PM growth 3Y-13.56%
PM growth 5Y-11.19%
GM growth 3Y0.57%
GM growth 5Y-0.26%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), SALM is destroying value.
SALM has about the same amout of shares outstanding than it did 1 year ago.
SALM has more shares outstanding than it did 5 years ago.
Compared to 1 year ago, SALM has a worse debt to assets ratio.
2.2 Solvency
SALM has an Altman-Z score of 2.12. This is not the best score and indicates that SALM is in the grey zone with still only limited risk for bankruptcy at the moment.
SALM has a Altman-Z score of 2.12. This is comparable to the rest of the industry: SALM outperforms 52.54% of its industry peers.
SALM has a Debt/Equity ratio of 1.07. This is a high value indicating a heavy dependency on external financing.
The Debt to Equity ratio of SALM (1.07) is worse than 74.58% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.07 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 2.12 |
ROIC/WACC0.6
WACC7.47%
2.3 Liquidity
A Current Ratio of 2.49 indicates that SALM has no problem at all paying its short term obligations.
SALM has a Current ratio of 2.49. This is amongst the best in the industry. SALM outperforms 81.36% of its industry peers.
SALM has a Quick Ratio of 2.49. This is a bad value and indicates that SALM is not financially healthy enough and could expect problems in meeting its short term obligations.
The Quick ratio of SALM (0.33) is worse than 93.22% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.49 | ||
| Quick Ratio | 0.33 |
3. Growth
3.1 Past
SALM shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 47.37%, which is quite impressive.
SALM shows a decrease in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -0.01% yearly.
The Revenue for SALM has decreased by -10.42% in the past year. This is quite bad
SALM shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 16.65% yearly.
EPS 1Y (TTM)47.37%
EPS 3Y7.44%
EPS 5Y-0.01%
EPS Q2Q%-59.46%
Revenue 1Y (TTM)-10.42%
Revenue growth 3Y20.66%
Revenue growth 5Y16.65%
Sales Q2Q%-20.78%
3.2 Future
Based on estimates for the next years, SALM will show a very strong growth in Earnings Per Share. The EPS will grow by 30.35% on average per year.
SALM is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 11.39% yearly.
EPS Next Y56.14%
EPS Next 2Y40.17%
EPS Next 3Y30.35%
EPS Next 5YN/A
Revenue Next Year18.24%
Revenue Next 2Y14.23%
Revenue Next 3Y12.41%
Revenue Next 5Y11.39%
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.
Although the future Revenue growth is still strong, it is not able to hold up the even more excellent growth rate of the past years.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 24.25, the valuation of SALM can be described as rather expensive.
SALM's Price/Earnings ratio is in line with the industry average.
When comparing the Price/Earnings ratio of SALM to the average of the S&P500 Index (26.25), we can say SALM is valued inline with the index average.
With a Price/Forward Earnings ratio of 10.38, the valuation of SALM can be described as very reasonable.
SALM's Price/Forward Earnings ratio is a bit cheaper when compared to the industry. SALM is cheaper than 71.19% of the companies in the same industry.
Compared to an average S&P500 Price/Forward Earnings ratio of 22.15, SALM is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 24.25 | ||
| Fwd PE | 10.38 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, SALM is valued a bit more expensive than the industry average as 71.19% of the companies are valued more cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 14.69 |
4.3 Compensation for Growth
The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
SALM has a very decent profitability rating, which may justify a higher PE ratio.
SALM's earnings are expected to grow with 30.35% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.43
PEG (5Y)N/A
EPS Next 2Y40.17%
EPS Next 3Y30.35%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 4.78%, SALM is a good candidate for dividend investing.
SALM's Dividend Yield is rather good when compared to the industry average which is at 3.22. SALM pays more dividend than 86.44% of the companies in the same industry.
Compared to an average S&P500 Dividend Yield of 2.38, SALM pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.78% |
5.2 History
On average, the dividend of SALM grows each year by 8.89%, which is quite nice.
Dividend Growth(5Y)8.89%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
259.66% of the earnings are spent on dividend by SALM. This is not a sustainable payout ratio.
The dividend of SALM is growing, but earnings are growing more, so the dividend growth is sustainable.
DP259.66%
EPS Next 2Y40.17%
EPS Next 3Y30.35%
OSL:SALM (5/30/2025, 7:00:00 PM)
455
-5.4 (-1.17%)
Chartmill FA Rating
GICS SectorConsumer Staples
GICS IndustryGroupFood, Beverage & Tobacco
GICS IndustryFood Products
Earnings (Last)
Earnings (Next)
Inst Owners75.53%
Inst Owner ChangeN/A
Ins Owners0.12%
Ins Owner ChangeN/A
Market Cap60.86B
Analysts81.11
Price Target645.05 (41.77%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.78% |
Yearly Dividend35.51
Dividend Growth(5Y)8.89%
DP259.66%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-13.35%
Min EPS beat(2)-46.06%
Max EPS beat(2)19.36%
EPS beat(4)1
Avg EPS beat(4)-17.34%
Min EPS beat(4)-46.06%
Max EPS beat(4)19.36%
EPS beat(8)1
Avg EPS beat(8)-37.21%
EPS beat(12)2
Avg EPS beat(12)-28.74%
EPS beat(16)2
Avg EPS beat(16)-28.34%
Revenue beat(2)1
Avg Revenue beat(2)0.38%
Min Revenue beat(2)-0.11%
Max Revenue beat(2)0.87%
Revenue beat(4)1
Avg Revenue beat(4)-1.39%
Min Revenue beat(4)-4.35%
Max Revenue beat(4)0.87%
Revenue beat(8)3
Avg Revenue beat(8)-1.72%
Revenue beat(12)6
Avg Revenue beat(12)0.34%
Revenue beat(16)9
Avg Revenue beat(16)0.73%
PT rev (1m)0%
PT rev (3m)-4.56%
EPS NQ rev (1m)-49.65%
EPS NQ rev (3m)-48.57%
EPS NY rev (1m)0%
EPS NY rev (3m)-10.24%
Revenue NQ rev (1m)-11.44%
Revenue NQ rev (3m)-8.75%
Revenue NY rev (1m)-0.92%
Revenue NY rev (3m)-3.78%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 24.25 | ||
| Fwd PE | 10.38 | ||
| P/S | 2.43 | ||
| P/FCF | N/A | ||
| P/OCF | 36.8 | ||
| P/B | 3.29 | ||
| P/tB | N/A | ||
| EV/EBITDA | 14.69 |
EPS(TTM)18.76
EY4.12%
EPS(NY)43.84
Fwd EY9.63%
FCF(TTM)-7.2
FCFYN/A
OCF(TTM)12.37
OCFY2.72%
SpS187.39
BVpS138.23
TBVpS-15.68
PEG (NY)0.43
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.33% | ||
| ROE | 9.85% | ||
| ROCE | 8.02% | ||
| ROIC | 4.47% | ||
| ROICexc | 4.51% | ||
| ROICexgc | 7.95% | ||
| OM | 15.31% | ||
| PM (TTM) | 7.27% | ||
| GM | 52.54% | ||
| FCFM | N/A |
ROA(3y)5.59%
ROA(5y)7.01%
ROE(3y)16.59%
ROE(5y)17.93%
ROIC(3y)7.18%
ROIC(5y)7.81%
ROICexc(3y)7.39%
ROICexc(5y)8.02%
ROICexgc(3y)13.13%
ROICexgc(5y)13.77%
ROCE(3y)12.87%
ROCE(5y)13.99%
ROICexcg growth 3Y-3.4%
ROICexcg growth 5Y-6.43%
ROICexc growth 3Y-7.07%
ROICexc growth 5Y-10.05%
OM growth 3Y-4%
OM growth 5Y-3.92%
PM growth 3Y-13.56%
PM growth 5Y-11.19%
GM growth 3Y0.57%
GM growth 5Y-0.26%
F-Score3
Asset Turnover0.46
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.07 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 3.5 | ||
| Cap/Depr | 145.23% | ||
| Cap/Sales | 10.44% | ||
| Interest Coverage | 3.04 | ||
| Cash Conversion | 29.33% | ||
| Profit Quality | N/A | ||
| Current Ratio | 2.49 | ||
| Quick Ratio | 0.33 | ||
| Altman-Z | 2.12 |
F-Score3
WACC7.47%
ROIC/WACC0.6
Cap/Depr(3y)181.78%
Cap/Depr(5y)256.7%
Cap/Sales(3y)10.1%
Cap/Sales(5y)14.83%
Profit Quality(3y)125.18%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)47.37%
EPS 3Y7.44%
EPS 5Y-0.01%
EPS Q2Q%-59.46%
EPS Next Y56.14%
EPS Next 2Y40.17%
EPS Next 3Y30.35%
EPS Next 5YN/A
Revenue 1Y (TTM)-10.42%
Revenue growth 3Y20.66%
Revenue growth 5Y16.65%
Sales Q2Q%-20.78%
Revenue Next Year18.24%
Revenue Next 2Y14.23%
Revenue Next 3Y12.41%
Revenue Next 5Y11.39%
EBIT growth 1Y-46.63%
EBIT growth 3Y15.83%
EBIT growth 5Y12.08%
EBIT Next Year48.46%
EBIT Next 3Y31.27%
EBIT Next 5YN/A
FCF growth 1Y-121.88%
FCF growth 3Y59.94%
FCF growth 5Y10.72%
OCF growth 1Y-67.02%
OCF growth 3Y22.76%
OCF growth 5Y12.18%