SANOFI-ADR (SNY) Stock Fundamental Analysis
NASDAQ:SNY - Nasdaq - US80105N1054 - ADR - Currency: USD
We assign a fundamental rating of 6 out of 10 to SNY. SNY was compared to 194 industry peers in the Pharmaceuticals industry. While SNY belongs to the best of the industry regarding profitability, there are some minor concerns on its financial health. SNY is valued quite cheap, while showing a decent growth score. This is a good combination! Finally SNY also has an excellent dividend rating.
1. Profitability
1.1 Basic Checks
SNY had positive earnings in the past year.
SNY had a positive operating cash flow in the past year.
Each year in the past 5 years SNY has been profitable.
SNY had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
The Return On Assets of SNY (7.77%) is better than 91.75% of its industry peers.
Looking at the Return On Equity, with a value of 13.83%, SNY belongs to the top of the industry, outperforming 89.18% of the companies in the same industry.
With an excellent Return On Invested Capital value of 13.31%, SNY belongs to the best of the industry, outperforming 90.21% of the companies in the same industry.
SNY had an Average Return On Invested Capital over the past 3 years of 7.31%. This is significantly below the industry average of 14.91%.
The 3 year average ROIC (7.31%) for SNY is below the current ROIC(13.31%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 7.77% | ||
| ROE | 13.83% | ||
| ROIC | 13.31% |
ROA(3y)5.02%
ROA(5y)6.2%
ROE(3y)8.55%
ROE(5y)10.84%
ROIC(3y)7.31%
ROIC(5y)7.07%
1.3 Margins
With an excellent Profit Margin value of 14.84%, SNY belongs to the best of the industry, outperforming 90.72% of the companies in the same industry.
In the last couple of years the Profit Margin of SNY has grown nicely.
Looking at the Operating Margin, with a value of 23.19%, SNY belongs to the top of the industry, outperforming 89.69% of the companies in the same industry.
SNY's Operating Margin has improved in the last couple of years.
SNY's Gross Margin of 70.78% is fine compared to the rest of the industry. SNY outperforms 78.35% of its industry peers.
SNY's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 23.19% | ||
| PM (TTM) | 14.84% | ||
| GM | 70.78% |
OM growth 3Y-2.73%
OM growth 5Y1.75%
PM growth 3Y-7.54%
PM growth 5Y11.4%
GM growth 3Y0.71%
GM growth 5Y0.58%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) well above the Cost of Capital (WACC), SNY is creating value.
The number of shares outstanding for SNY remains at a similar level compared to 1 year ago.
Compared to 5 years ago, SNY has about the same amount of shares outstanding.
SNY has a better debt/assets ratio than last year.
2.2 Solvency
The Debt to FCF ratio of SNY is 2.72, which is a good value as it means it would take SNY, 2.72 years of fcf income to pay off all of its debts.
The Debt to FCF ratio of SNY (2.72) is better than 91.75% of its industry peers.
A Debt/Equity ratio of 0.18 indicates that SNY is not too dependend on debt financing.
The Debt to Equity ratio of SNY (0.18) is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.18 | ||
| Debt/FCF | 2.72 | ||
| Altman-Z | N/A |
ROIC/WACC1.86
WACC7.16%
2.3 Liquidity
A Current Ratio of 1.37 indicates that SNY should not have too much problems paying its short term obligations.
With a Current ratio value of 1.37, SNY is not doing good in the industry: 73.71% of the companies in the same industry are doing better.
A Quick Ratio of 0.69 indicates that SNY may have some problems paying its short term obligations.
SNY's Quick ratio of 0.69 is on the low side compared to the rest of the industry. SNY is outperformed by 86.08% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.37 | ||
| Quick Ratio | 0.69 |
3. Growth
3.1 Past
SNY shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -12.60%.
The Earnings Per Share has been growing slightly by 5.10% on average over the past years.
The Revenue has been growing slightly by 6.41% in the past year.
Measured over the past years, SNY shows a small growth in Revenue. The Revenue has been growing by 3.31% on average per year.
EPS 1Y (TTM)-12.6%
EPS 3Y5.45%
EPS 5Y5.1%
EPS Q2Q%-54.51%
Revenue 1Y (TTM)6.41%
Revenue growth 3Y4.17%
Revenue growth 5Y3.31%
Sales Q2Q%-7.71%
3.2 Future
SNY is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 7.73% yearly.
Based on estimates for the next years, SNY will show a small growth in Revenue. The Revenue will grow by 4.59% on average per year.
EPS Next Y8.37%
EPS Next 2Y9.02%
EPS Next 3Y8.18%
EPS Next 5Y7.73%
Revenue Next Year1%
Revenue Next 2Y3.79%
Revenue Next 3Y4.41%
Revenue Next 5Y4.59%
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
The Price/Earnings ratio is 11.96, which indicates a very decent valuation of SNY.
89.18% of the companies in the same industry are more expensive than SNY, based on the Price/Earnings ratio.
Compared to an average S&P500 Price/Earnings ratio of 26.82, SNY is valued rather cheaply.
Based on the Price/Forward Earnings ratio of 8.84, the valuation of SNY can be described as reasonable.
Compared to the rest of the industry, the Price/Forward Earnings ratio of SNY indicates a rather cheap valuation: SNY is cheaper than 85.05% of the companies listed in the same industry.
SNY is valuated cheaply when we compare the Price/Forward Earnings ratio to 36.21, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.96 | ||
| Fwd PE | 8.84 |
4.2 Price Multiples
95.36% of the companies in the same industry are more expensive than SNY, based on the Enterprise Value to EBITDA ratio.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of SNY indicates a rather cheap valuation: SNY is cheaper than 88.14% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 12.88 | ||
| EV/EBITDA | 5.63 |
4.3 Compensation for Growth
SNY's PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
SNY has an outstanding profitability rating, which may justify a higher PE ratio.
PEG (NY)1.43
PEG (5Y)2.35
EPS Next 2Y9.02%
EPS Next 3Y8.18%
5. Dividend
5.1 Amount
SNY has a Yearly Dividend Yield of 4.58%, which is a nice return.
SNY's Dividend Yield is rather good when compared to the industry average which is at 4.04. SNY pays more dividend than 96.39% of the companies in the same industry.
SNY's Dividend Yield is rather good when compared to the S&P500 average which is at 2.35.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.58% |
5.2 History
The dividend of SNY has a limited annual growth rate of 4.30%.
SNY has been paying a dividend for at least 10 years, so it has a reliable track record.
SNY has decreased its dividend in the last 3 years.
Dividend Growth(5Y)4.3%
Div Incr Years2
Div Non Decr Years2
5.3 Sustainability
46.28% of the earnings are spent on dividend by SNY. This is a bit on the high side, but may be sustainable.
SNY's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP46.28%
EPS Next 2Y9.02%
EPS Next 3Y8.18%
46.75
+1.11 (+2.43%)
Chartmill FA Rating
GICS SectorHealth Care
GICS IndustryGroupPharmaceuticals, Biotechnology & Life Sciences
GICS IndustryPharmaceuticals
Earnings (Last)
Earnings (Next)
Inst Owners40.34%
Inst Owner Change-0.05%
Ins Owners0.01%
Ins Owner ChangeN/A
Market Cap114.02B
Analysts79.33
Price Target65.05 (39.14%)
Short Float %0.17%
Short Ratio1.79
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.58% |
Yearly Dividend2.19
Dividend Growth(5Y)4.3%
DP46.28%
Div Incr Years2
Div Non Decr Years2
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)1.92%
Min EPS beat(2)-2.18%
Max EPS beat(2)6.02%
EPS beat(4)3
Avg EPS beat(4)5.51%
Min EPS beat(4)-2.18%
Max EPS beat(4)14.5%
EPS beat(8)5
Avg EPS beat(8)2.86%
EPS beat(12)8
Avg EPS beat(12)3.25%
EPS beat(16)12
Avg EPS beat(16)3.85%
Revenue beat(2)0
Avg Revenue beat(2)-2.93%
Min Revenue beat(2)-4.57%
Max Revenue beat(2)-1.3%
Revenue beat(4)2
Avg Revenue beat(4)-0.12%
Min Revenue beat(4)-4.57%
Max Revenue beat(4)3.66%
Revenue beat(8)2
Avg Revenue beat(8)-1.47%
Revenue beat(12)5
Avg Revenue beat(12)18.56%
Revenue beat(16)9
Avg Revenue beat(16)27.88%
PT rev (1m)-0.56%
PT rev (3m)-5.07%
EPS NQ rev (1m)-3.63%
EPS NQ rev (3m)-7.34%
EPS NY rev (1m)-0.02%
EPS NY rev (3m)0.57%
Revenue NQ rev (1m)-0.87%
Revenue NQ rev (3m)-4.16%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-1.86%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.96 | ||
| Fwd PE | 8.84 | ||
| P/S | 1.44 | ||
| P/FCF | 12.88 | ||
| P/OCF | 9.11 | ||
| P/B | 1.34 | ||
| P/tB | 9.7 | ||
| EV/EBITDA | 5.63 |
EPS(TTM)3.91
EY8.36%
EPS(NY)5.29
Fwd EY11.31%
FCF(TTM)3.63
FCFY7.77%
OCF(TTM)5.13
OCFY10.97%
SpS32.4
BVpS34.76
TBVpS4.82
PEG (NY)1.43
PEG (5Y)2.35
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 7.77% | ||
| ROE | 13.83% | ||
| ROCE | 16.06% | ||
| ROIC | 13.31% | ||
| ROICexc | 14.47% | ||
| ROICexgc | 47.61% | ||
| OM | 23.19% | ||
| PM (TTM) | 14.84% | ||
| GM | 70.78% | ||
| FCFM | 11.2% |
ROA(3y)5.02%
ROA(5y)6.2%
ROE(3y)8.55%
ROE(5y)10.84%
ROIC(3y)7.31%
ROIC(5y)7.07%
ROICexc(3y)8.13%
ROICexc(5y)7.97%
ROICexgc(3y)35.39%
ROICexgc(5y)35.54%
ROCE(3y)8.84%
ROCE(5y)8.55%
ROICexcg growth 3Y-13.63%
ROICexcg growth 5Y-1.43%
ROICexc growth 3Y-1.55%
ROICexc growth 5Y2.05%
OM growth 3Y-2.73%
OM growth 5Y1.75%
PM growth 3Y-7.54%
PM growth 5Y11.4%
GM growth 3Y0.71%
GM growth 5Y0.58%
F-ScoreN/A
Asset Turnover0.52
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.18 | ||
| Debt/FCF | 2.72 | ||
| Debt/EBITDA | 0.68 | ||
| Cap/Depr | N/A | ||
| Cap/Sales | N/A | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 55.78% | ||
| Profit Quality | 75.5% | ||
| Current Ratio | 1.37 | ||
| Quick Ratio | 0.69 | ||
| Altman-Z | N/A |
F-ScoreN/A
WACC7.16%
ROIC/WACC1.86
Cap/Depr(3y)73.02%
Cap/Depr(5y)67.36%
Cap/Sales(3y)6.35%
Cap/Sales(5y)5.97%
Profit Quality(3y)113.82%
Profit Quality(5y)104.22%
High Growth Momentum
Growth
EPS 1Y (TTM)-12.6%
EPS 3Y5.45%
EPS 5Y5.1%
EPS Q2Q%-54.51%
EPS Next Y8.37%
EPS Next 2Y9.02%
EPS Next 3Y8.18%
EPS Next 5Y7.73%
Revenue 1Y (TTM)6.41%
Revenue growth 3Y4.17%
Revenue growth 5Y3.31%
Sales Q2Q%-7.71%
Revenue Next Year1%
Revenue Next 2Y3.79%
Revenue Next 3Y4.41%
Revenue Next 5Y4.59%
EBIT growth 1Y7.75%
EBIT growth 3Y1.33%
EBIT growth 5Y5.12%
EBIT Next Year34.08%
EBIT Next 3Y14.6%
EBIT Next 5Y10.46%
FCF growth 1Y-19.94%
FCF growth 3Y-11.46%
FCF growth 5Y-0.14%
OCF growth 1Y-11.47%
OCF growth 3Y-4.79%
OCF growth 5Y3.31%