SAFILO GROUP SPA (SFL.MI) Stock Fundamental Analysis
BIT:SFL - Euronext Milan - IT0004604762 - Common Stock - Currency: EUR
We assign a fundamental rating of 5 out of 10 to SFL. SFL was compared to 41 industry peers in the Textiles, Apparel & Luxury Goods industry. SFL has an average financial health and profitability rating. SFL has a decent growth rate and is not valued too expensively.
1. Profitability
1.1 Basic Checks
In the past year SFL was profitable.
SFL had a positive operating cash flow in the past year.
In multiple years SFL reported negative net income over the last 5 years.
SFL had a positive operating cash flow in 4 of the past 5 years.
1.2 Ratios
SFL has a Return On Assets (2.65%) which is in line with its industry peers.
SFL's Return On Equity of 5.40% is on the low side compared to the rest of the industry. SFL is outperformed by 65.85% of its industry peers.
SFL has a Return On Invested Capital (5.57%) which is in line with its industry peers.
The Average Return On Invested Capital over the past 3 years for SFL is significantly below the industry average of 10.00%.
The last Return On Invested Capital (5.57%) for SFL is above the 3 year average (3.75%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.65% | ||
| ROE | 5.4% | ||
| ROIC | 5.57% |
ROA(3y)1.8%
ROA(5y)-0.07%
ROE(3y)4.04%
ROE(5y)-6.46%
ROIC(3y)3.75%
ROIC(5y)N/A
1.3 Margins
With a Profit Margin value of 2.24%, SFL is not doing good in the industry: 68.29% of the companies in the same industry are doing better.
SFL's Profit Margin has been stable in the last couple of years.
The Operating Margin of SFL (4.61%) is worse than 68.29% of its industry peers.
SFL's Operating Margin has improved in the last couple of years.
SFL has a Gross Margin of 59.68%. This is comparable to the rest of the industry: SFL outperforms 48.78% of its industry peers.
In the last couple of years the Gross Margin of SFL has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 4.61% | ||
| PM (TTM) | 2.24% | ||
| GM | 59.68% |
OM growth 3Y20.34%
OM growth 5YN/A
PM growth 3Y0.76%
PM growth 5YN/A
GM growth 3Y4.87%
GM growth 5Y3.28%
2. Health
2.1 Basic Checks
SFL has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
Compared to 1 year ago, SFL has about the same amount of shares outstanding.
Compared to 5 years ago, SFL has more shares outstanding
SFL has a better debt/assets ratio than last year.
2.2 Solvency
SFL has an Altman-Z score of 2.21. This is not the best score and indicates that SFL is in the grey zone with still only limited risk for bankruptcy at the moment.
The Altman-Z score of SFL (2.21) is comparable to the rest of the industry.
SFL has a debt to FCF ratio of 4.73. This is a neutral value as SFL would need 4.73 years to pay back of all of its debts.
Looking at the Debt to FCF ratio, with a value of 4.73, SFL is in line with its industry, outperforming 51.22% of the companies in the same industry.
A Debt/Equity ratio of 0.22 indicates that SFL is not too dependend on debt financing.
Looking at the Debt to Equity ratio, with a value of 0.22, SFL belongs to the top of the industry, outperforming 82.93% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.22 | ||
| Debt/FCF | 4.73 | ||
| Altman-Z | 2.21 |
ROIC/WACC0.7
WACC7.99%
2.3 Liquidity
A Current Ratio of 1.84 indicates that SFL should not have too much problems paying its short term obligations.
SFL has a better Current ratio (1.84) than 65.85% of its industry peers.
SFL has a Quick Ratio of 1.08. This is a normal value and indicates that SFL is financially healthy and should not expect problems in meeting its short term obligations.
SFL's Quick ratio of 1.08 is fine compared to the rest of the industry. SFL outperforms 65.85% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.84 | ||
| Quick Ratio | 1.08 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 190.44% over the past year.
Measured over the past years, SFL shows a decrease in Earnings Per Share. The EPS has been decreasing by -5.32% on average per year.
Looking at the last year, SFL shows a decrease in Revenue. The Revenue has decreased by -3.08% in the last year.
SFL shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 1.13% yearly.
EPS 1Y (TTM)190.44%
EPS 3Y-5.32%
EPS 5YN/A
EPS Q2Q%129.82%
Revenue 1Y (TTM)-3.08%
Revenue growth 3Y0.81%
Revenue growth 5Y1.13%
Sales Q2Q%-2.81%
3.2 Future
The Earnings Per Share is expected to grow by 22.17% on average over the next years. This is a very strong growth
Based on estimates for the next years, SFL will show a small growth in Revenue. The Revenue will grow by 2.49% on average per year.
EPS Next Y33.33%
EPS Next 2Y29.23%
EPS Next 3Y40.67%
EPS Next 5Y22.17%
Revenue Next Year2.29%
Revenue Next 2Y3.29%
Revenue Next 3Y3.47%
Revenue Next 5Y2.49%
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.
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
Based on the Price/Earnings ratio of 18.52, the valuation of SFL can be described as rather expensive.
Compared to the rest of the industry, the Price/Earnings ratio of SFL is on the same level as its industry peers.
SFL is valuated rather cheaply when we compare the Price/Earnings ratio to 26.59, which is the current average of the S&P500 Index.
With a Price/Forward Earnings ratio of 11.46, the valuation of SFL can be described as very reasonable.
Compared to the rest of the industry, the Price/Forward Earnings ratio of SFL indicates a rather cheap valuation: SFL is cheaper than 85.37% of the companies listed in the same industry.
SFL's Price/Forward Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 22.39.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 18.52 | ||
| Fwd PE | 11.46 |
4.2 Price Multiples
75.61% of the companies in the same industry are more expensive than SFL, based on the Enterprise Value to EBITDA ratio.
SFL's Price/Free Cash Flow ratio is in line with the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 13.94 | ||
| EV/EBITDA | 5.29 |
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.
SFL's earnings are expected to grow with 40.67% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.56
PEG (5Y)N/A
EPS Next 2Y29.23%
EPS Next 3Y40.67%
5. Dividend
5.1 Amount
No dividends for SFL!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
BIT:SFL (6/10/2025, 5:29:48 PM)
0.926
+0.03 (+2.77%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Durables & Apparel
GICS IndustryTextiles, Apparel & Luxury Goods
Earnings (Last)
Earnings (Next)
Inst Owners34.84%
Inst Owner ChangeN/A
Ins OwnersN/A
Ins Owner ChangeN/A
Market Cap383.59M
Analysts74
Price Target1.23 (32.83%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly Dividend0
Dividend Growth(5Y)N/A
DP3.42%
Div Incr Years0
Div Non Decr Years0
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)-6.6%
PT rev (3m)-6.6%
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)-2.01%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 18.52 | ||
| Fwd PE | 11.46 | ||
| P/S | 0.39 | ||
| P/FCF | 13.94 | ||
| P/OCF | 5.03 | ||
| P/B | 0.93 | ||
| P/tB | 1.58 | ||
| EV/EBITDA | 5.29 |
EPS(TTM)0.05
EY5.4%
EPS(NY)0.08
Fwd EY8.73%
FCF(TTM)0.07
FCFY7.17%
OCF(TTM)0.18
OCFY19.87%
SpS2.4
BVpS1
TBVpS0.58
PEG (NY)0.56
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.65% | ||
| ROE | 5.4% | ||
| ROCE | 8.1% | ||
| ROIC | 5.57% | ||
| ROICexc | 6.09% | ||
| ROICexgc | 9.09% | ||
| OM | 4.61% | ||
| PM (TTM) | 2.24% | ||
| GM | 59.68% | ||
| FCFM | 2.77% |
ROA(3y)1.8%
ROA(5y)-0.07%
ROE(3y)4.04%
ROE(5y)-6.46%
ROIC(3y)3.75%
ROIC(5y)N/A
ROICexc(3y)4.2%
ROICexc(5y)N/A
ROICexgc(3y)6.08%
ROICexgc(5y)N/A
ROCE(3y)5.46%
ROCE(5y)N/A
ROICexcg growth 3Y22.14%
ROICexcg growth 5YN/A
ROICexc growth 3Y22.14%
ROICexc growth 5YN/A
OM growth 3Y20.34%
OM growth 5YN/A
PM growth 3Y0.76%
PM growth 5YN/A
GM growth 3Y4.87%
GM growth 5Y3.28%
F-Score7
Asset Turnover1.18
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.22 | ||
| Debt/FCF | 4.73 | ||
| Debt/EBITDA | 1.04 | ||
| Cap/Depr | 120.39% | ||
| Cap/Sales | 4.9% | ||
| Interest Coverage | 5.91 | ||
| Cash Conversion | 88.39% | ||
| Profit Quality | 123.38% | ||
| Current Ratio | 1.84 | ||
| Quick Ratio | 1.08 | ||
| Altman-Z | 2.21 |
F-Score7
WACC7.99%
ROIC/WACC0.7
Cap/Depr(3y)59.03%
Cap/Depr(5y)49.75%
Cap/Sales(3y)2.56%
Cap/Sales(5y)2.46%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)190.44%
EPS 3Y-5.32%
EPS 5YN/A
EPS Q2Q%129.82%
EPS Next Y33.33%
EPS Next 2Y29.23%
EPS Next 3Y40.67%
EPS Next 5Y22.17%
Revenue 1Y (TTM)-3.08%
Revenue growth 3Y0.81%
Revenue growth 5Y1.13%
Sales Q2Q%-2.81%
Revenue Next Year2.29%
Revenue Next 2Y3.29%
Revenue Next 3Y3.47%
Revenue Next 5Y2.49%
EBIT growth 1Y150.25%
EBIT growth 3Y21.31%
EBIT growth 5YN/A
EBIT Next Year108.42%
EBIT Next 3Y36.72%
EBIT Next 5Y24.27%
FCF growth 1Y-20.26%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y59.74%
OCF growth 3Y63.95%
OCF growth 5Y23.48%