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SAFRAN SA (SEJ1.DE) Stock Fundamental Analysis

FRA:SEJ1 - Deutsche Boerse Ag - FR0000073272 - Common Stock - Currency: EUR

278.2  -3.8 (-1.35%)

Fundamental Rating

5

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.


Dividend Valuation Growth Profitability Health

5

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.
SEJ1.DE Yearly Net Income VS EBIT VS OCF VS FCFSEJ1.DE Yearly Net Income VS EBIT VS OCF VS FCFYearly Net Income VS EBIT VS OCF VS FCF 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 2B -2B 4B

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 RankSector 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%
SEJ1.DE Yearly ROA, ROE, ROICSEJ1.DE Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 20 -20 40

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 RankSector 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%
SEJ1.DE Yearly Profit, Operating, Gross MarginsSEJ1.DE Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 20 40

5

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.
SEJ1.DE Yearly Shares OutstandingSEJ1.DE Yearly Shares OutstandingYearly Shares Outstanding 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 100M 200M 300M 400M
SEJ1.DE Yearly Total Debt VS Total AssetsSEJ1.DE Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 10B 20B 30B 40B 50B

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 RankSector Rank
Debt/Equity 0.46
Debt/FCF 1.5
Altman-Z 2.36
ROIC/WACC2.11
WACC7.76%
SEJ1.DE Yearly LT Debt VS Equity VS FCFSEJ1.DE Yearly LT Debt VS Equity VS FCFYearly LT Debt VS Equity VS FCF 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2B 4B 6B 8B 10B

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 RankSector Rank
Current Ratio 0.84
Quick Ratio 0.59
SEJ1.DE Yearly Current Assets VS Current LiabilitesSEJ1.DE Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 10B 20B 30B

6

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.
SEJ1.DE Yearly Revenue VS EstimatesSEJ1.DE Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 10B 20B 30B 40B
SEJ1.DE Yearly EPS VS EstimatesSEJ1.DE Yearly EPS VS EstimatesYearly EPS VS Estimates 2014 2016 2018 2020 2022 2024 2026 2028 2030 2032 5 10 15

2

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 RankSector Rank
PE 38.16
Fwd PE 34.79
SEJ1.DE Price Earnings VS Forward Price EarningsSEJ1.DE Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 10 20 30 40 50

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 RankSector Rank
P/FCF 35.07
EV/EBITDA 21.29
SEJ1.DE Per share dataSEJ1.DE EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 0 20 40 60

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%

3

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 RankSector 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
SEJ1.DE Yearly Dividends per shareSEJ1.DE Yearly Dividends per shareYearly Dividends per share 2022 2023 2024 2025 0.5 1 1.5 2 2.5

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%
SEJ1.DE Yearly Income VS Free CF VS DividendSEJ1.DE Yearly Income VS Free CF VS DividendYearly Income VS Free CF VS Dividend 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 2B -2B 4B

SAFRAN SA

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)04-25 2025-04-25
Earnings (Next)07-31 2025-07-31
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 RankSector 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 RankSector 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 RankSector 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 RankSector 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%