SAFRAN SA (SEJ1.DE) Stock Fundamental Analysis
FRA:SEJ1 - Deutsche Boerse Ag - FR0000073272 - Common Stock - Currency: EUR
Taking everything into account, SEJ1 scores 5 out of 10 in our fundamental rating. SEJ1 was compared to 47 industry peers in the Aerospace & Defense industry. Both the profitability and the financial health of SEJ1 get a neutral evaluation. Nothing too spectacular is happening here. SEJ1 is quite expensive at the moment. It does show a decent growth rate.
1. Profitability
1.1 Basic Checks
SEJ1 had positive earnings in the past year.
In the past year SEJ1 had a positive cash flow from operations.
In multiple years SEJ1 reported negative net income over the last 5 years.
SEJ1 had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
The Return On Assets of SEJ1 (-1.21%) is worse than 80.85% of its industry peers.
SEJ1's Return On Equity of -6.55% is on the low side compared to the rest of the industry. SEJ1 is outperformed by 78.72% of its industry peers.
SEJ1 has a Return On Invested Capital of 16.38%. This is amongst the best in the industry. SEJ1 outperforms 93.62% of its industry peers.
SEJ1 had an Average Return On Invested Capital over the past 3 years of 12.75%. This is above the industry average of 8.60%.
The last Return On Invested Capital (16.38%) for SEJ1 is above the 3 year average (12.75%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -1.21% | ||
| ROE | -6.55% | ||
| ROIC | 16.38% |
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
Looking at the Operating Margin, with a value of 14.48%, SEJ1 belongs to the top of the industry, outperforming 87.23% of the companies in the same industry.
In the last couple of years the Operating Margin of SEJ1 has remained more or less at the same level.
Looking at the Gross Margin, with a value of 47.88%, SEJ1 is in the better half of the industry, outperforming 76.60% of the companies in the same industry.
In the last couple of years the Gross Margin of SEJ1 has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 14.48% | ||
| PM (TTM) | N/A | ||
| GM | 47.88% |
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
With a Return on Invested Capital (ROIC) well above the Cost of Capital (WACC), SEJ1 is creating value.
Compared to 1 year ago, SEJ1 has more shares outstanding
Compared to 5 years ago, SEJ1 has less shares outstanding
The debt/assets ratio for SEJ1 has been reduced compared to a year ago.
2.2 Solvency
SEJ1 has an Altman-Z score of 2.36. This is not the best score and indicates that SEJ1 is in the grey zone with still only limited risk for bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 2.36, SEJ1 is in line with its industry, outperforming 44.68% of the companies in the same industry.
The Debt to FCF ratio of SEJ1 is 1.50, which is an excellent value as it means it would take SEJ1, only 1.50 years of fcf income to pay off all of its debts.
The Debt to FCF ratio of SEJ1 (1.50) is better than 85.11% of its industry peers.
A Debt/Equity ratio of 0.46 indicates that SEJ1 is not too dependend on debt financing.
With a decent Debt to Equity ratio value of 0.46, SEJ1 is doing good in the industry, outperforming 63.83% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.46 | ||
| Debt/FCF | 1.5 | ||
| Altman-Z | 2.36 |
ROIC/WACC2.11
WACC7.76%
2.3 Liquidity
SEJ1 has a Current Ratio of 0.84. This is a bad value and indicates that SEJ1 is not financially healthy enough and could expect problems in meeting its short term obligations.
Looking at the Current ratio, with a value of 0.84, SEJ1 is doing worse than 89.36% of the companies in the same industry.
SEJ1 has a Quick Ratio of 0.84. This is a bad value and indicates that SEJ1 is not financially healthy enough and could expect problems in meeting its short term obligations.
SEJ1 has a worse Quick ratio (0.59) than 74.47% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.84 | ||
| Quick Ratio | 0.59 |
3. Growth
3.1 Past
SEJ1 shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 55.11%, which is quite impressive.
Measured over the past 5 years, SEJ1 shows a small growth in Earnings Per Share. The EPS has been growing by 3.53% on average per year.
Looking at the last year, SEJ1 shows a quite strong growth in Revenue. The Revenue has grown by 17.19% in the last year.
SEJ1 shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 2.00% yearly.
EPS 1Y (TTM)55.11%
EPS 3Y61.52%
EPS 5Y3.53%
EPS Q2Q%74.78%
Revenue 1Y (TTM)17.19%
Revenue growth 3Y22.35%
Revenue growth 5Y2%
Sales Q2Q%16.45%
3.2 Future
Based on estimates for the next years, SEJ1 will show a quite strong growth in Earnings Per Share. The EPS will grow by 12.86% on average per year.
The Revenue is expected to grow by 8.71% on average over the next years. This is quite good.
EPS Next Y9.69%
EPS Next 2Y17.96%
EPS Next 3Y16.36%
EPS Next 5Y12.86%
Revenue Next Year13.4%
Revenue Next 2Y12.36%
Revenue Next 3Y10.82%
Revenue Next 5Y8.71%
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
A Price/Earnings ratio of 38.16 indicates a quite expensive valuation of SEJ1.
SEJ1's Price/Earnings is on the same level as the industry average.
When comparing the Price/Earnings ratio of SEJ1 to the average of the S&P500 Index (28.04), we can say SEJ1 is valued slightly more expensively.
A Price/Forward Earnings ratio of 34.79 indicates a quite expensive valuation of SEJ1.
SEJ1's Price/Forward Earnings ratio is in line with the industry average.
Compared to an average S&P500 Price/Forward Earnings ratio of 37.64, SEJ1 is valued at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 38.16 | ||
| Fwd PE | 34.79 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of SEJ1 is on the same level as its industry peers.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of SEJ1 indicates a somewhat cheap valuation: SEJ1 is cheaper than 61.70% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 35.07 | ||
| EV/EBITDA | 21.29 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
SEJ1's earnings are expected to grow with 16.36% in the coming years. This may justify a more expensive valuation.
PEG (NY)3.94
PEG (5Y)10.82
EPS Next 2Y17.96%
EPS Next 3Y16.36%
5. Dividend
5.1 Amount
SEJ1 has a Yearly Dividend Yield of 1.04%. Purely for dividend investing, there may be better candidates out there.
Compared to an average industry Dividend Yield of 1.18, SEJ1 pays a bit more dividend than its industry peers.
Compared to an average S&P500 Dividend Yield of 2.31, SEJ1's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.04% |
5.2 History
The dividend of SEJ1 has a limited annual growth rate of 3.72%.
Dividend Growth(5Y)3.72%
Div Incr Years3
Div Non Decr Years3
5.3 Sustainability
SEJ1 has negative earnings and hence a negative payout ratio. The dividend may be in danger.
The dividend of SEJ1 is growing, but earnings are growing more, so the dividend growth is sustainable.
DP-136.58%
EPS Next 2Y17.96%
EPS Next 3Y16.36%
FRA:SEJ1 (7/25/2025, 7:00:00 PM)
278.2
-3.8 (-1.35%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryAerospace & Defense
Earnings (Last)
Earnings (Next)
Inst Owners43.61%
Inst Owner ChangeN/A
Ins Owners0.02%
Ins Owner ChangeN/A
Market Cap117.85B
Analysts77.5
Price Target276.95 (-0.45%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.04% |
Yearly Dividend2.19
Dividend Growth(5Y)3.72%
DP-136.58%
Div Incr Years3
Div Non Decr Years3
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)2.21%
PT rev (3m)4.43%
EPS NQ rev (1m)N/A
EPS NQ rev (3m)N/A
EPS NY rev (1m)0%
EPS NY rev (3m)0%
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)0%
Revenue NY rev (3m)-0.39%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 38.16 | ||
| Fwd PE | 34.79 | ||
| P/S | 4.25 | ||
| P/FCF | 35.07 | ||
| P/OCF | 24.9 | ||
| P/B | 11.58 | ||
| P/tB | N/A | ||
| EV/EBITDA | 21.29 |
EPS(TTM)7.29
EY2.62%
EPS(NY)8
Fwd EY2.87%
FCF(TTM)7.93
FCFY2.85%
OCF(TTM)11.17
OCFY4.02%
SpS65.43
BVpS24.02
TBVpS-6.39
PEG (NY)3.94
PEG (5Y)10.82
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -1.21% | ||
| ROE | -6.55% | ||
| ROCE | 22.84% | ||
| ROIC | 16.38% | ||
| ROICexc | 26.1% | ||
| ROICexgc | N/A | ||
| OM | 14.48% | ||
| PM (TTM) | N/A | ||
| GM | 47.88% | ||
| FCFM | 12.13% |
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%
ROICexcg growth 3YN/A
ROICexcg 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-Score6
Asset Turnover0.5
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.46 | ||
| Debt/FCF | 1.5 | ||
| Debt/EBITDA | 0.86 | ||
| Cap/Depr | 97.58% | ||
| Cap/Sales | 4.95% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 87.34% | ||
| Profit Quality | N/A | ||
| Current Ratio | 0.84 | ||
| Quick Ratio | 0.59 | ||
| Altman-Z | 2.36 |
F-Score6
WACC7.76%
ROIC/WACC2.11
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)55.11%
EPS 3Y61.52%
EPS 5Y3.53%
EPS Q2Q%74.78%
EPS Next Y9.69%
EPS Next 2Y17.96%
EPS Next 3Y16.36%
EPS Next 5Y12.86%
Revenue 1Y (TTM)17.19%
Revenue growth 3Y22.35%
Revenue growth 5Y2%
Sales Q2Q%16.45%
Revenue Next Year13.4%
Revenue Next 2Y12.36%
Revenue Next 3Y10.82%
Revenue Next 5Y8.71%
EBIT growth 1Y22.2%
EBIT growth 3Y51.57%
EBIT growth 5Y2.08%
EBIT Next Year50.82%
EBIT Next 3Y23.45%
EBIT Next 5Y15.04%
FCF growth 1Y7.59%
FCF growth 3Y24.71%
FCF growth 5Y9.69%
OCF growth 1Y10.84%
OCF growth 3Y24.78%
OCF growth 5Y8.52%