SOL SPA (SOL.MI) Stock Fundamental Analysis
BIT:SOL - IT0001206769 - Common Stock
49.65 EUR
-0.2 (-0.4%)
Taking everything into account, SOL scores 6 out of 10 in our fundamental rating. SOL was compared to 65 industry peers in the Chemicals industry. SOL has an excellent profitability rating, but there are some minor concerns on its financial health. While showing a medium growth rate, SOL is valued expensive at the moment.
1. Profitability
1.1 Basic Checks
In the past year SOL was profitable.
SOL had a positive operating cash flow in the past year.
SOL had positive earnings in each of the past 5 years.
Each year in the past 5 years SOL had a positive operating cash flow.
1.2 Ratios
Looking at the Return On Assets, with a value of 6.91%, SOL belongs to the top of the industry, outperforming 83.08% of the companies in the same industry.
With an excellent Return On Equity value of 14.37%, SOL belongs to the best of the industry, outperforming 83.08% of the companies in the same industry.
Looking at the Return On Invested Capital, with a value of 9.55%, SOL belongs to the top of the industry, outperforming 83.08% of the companies in the same industry.
The Average Return On Invested Capital over the past 3 years for SOL is above the industry average of 7.08%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.91% | ||
| ROE | 14.37% | ||
| ROIC | 9.55% |
ROA(3y)7.4%
ROA(5y)7.14%
ROE(3y)15.45%
ROE(5y)15.08%
ROIC(3y)9.86%
ROIC(5y)9.24%
1.3 Margins
Looking at the Profit Margin, with a value of 9.17%, SOL is in the better half of the industry, outperforming 80.00% of the companies in the same industry.
In the last couple of years the Profit Margin of SOL has grown nicely.
Looking at the Operating Margin, with a value of 14.67%, SOL belongs to the top of the industry, outperforming 81.54% of the companies in the same industry.
In the last couple of years the Operating Margin of SOL has grown nicely.
Looking at the Gross Margin, with a value of 74.97%, SOL belongs to the top of the industry, outperforming 98.46% of the companies in the same industry.
In the last couple of years the Gross Margin of SOL has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 14.67% | ||
| PM (TTM) | 9.17% | ||
| GM | 74.97% |
OM growth 3Y6.63%
OM growth 5Y6.24%
PM growth 3Y4.46%
PM growth 5Y10.95%
GM growth 3Y0.25%
GM growth 5Y-0.73%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), SOL is creating some value.
Compared to 1 year ago, SOL has about the same amount of shares outstanding.
Compared to 5 years ago, SOL has about the same amount of shares outstanding.
Compared to 1 year ago, SOL has an improved debt to assets ratio.
2.2 Solvency
SOL has an Altman-Z score of 4.44. This indicates that SOL is financially healthy and has little risk of bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 4.44, SOL belongs to the top of the industry, outperforming 83.08% of the companies in the same industry.
The Debt to FCF ratio of SOL is 14.66, which is on the high side as it means it would take SOL, 14.66 years of fcf income to pay off all of its debts.
SOL has a Debt to FCF ratio of 14.66. This is comparable to the rest of the industry: SOL outperforms 58.46% of its industry peers.
SOL has a Debt/Equity ratio of 0.64. This is a neutral value indicating SOL is somewhat dependend on debt financing.
SOL's Debt to Equity ratio of 0.64 is on the low side compared to the rest of the industry. SOL is outperformed by 64.62% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.64 | ||
| Debt/FCF | 14.66 | ||
| Altman-Z | 4.44 |
ROIC/WACC1.17
WACC8.19%
2.3 Liquidity
A Current Ratio of 2.18 indicates that SOL has no problem at all paying its short term obligations.
SOL's Current ratio of 2.18 is fine compared to the rest of the industry. SOL outperforms 63.08% of its industry peers.
A Quick Ratio of 1.92 indicates that SOL should not have too much problems paying its short term obligations.
With an excellent Quick ratio value of 1.92, SOL belongs to the best of the industry, outperforming 83.08% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.18 | ||
| Quick Ratio | 1.92 |
3. Growth
3.1 Past
The Earnings Per Share has been growing slightly by 1.31% over the past year.
Measured over the past years, SOL shows a very strong growth in Earnings Per Share. The EPS has been growing by 24.51% on average per year.
SOL shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 8.29%.
Measured over the past years, SOL shows a quite strong growth in Revenue. The Revenue has been growing by 12.23% on average per year.
EPS 1Y (TTM)1.31%
EPS 3Y18.14%
EPS 5Y24.51%
EPS Q2Q%9.98%
Revenue 1Y (TTM)8.29%
Revenue growth 3Y13.11%
Revenue growth 5Y12.23%
Sales Q2Q%10.58%
3.2 Future
Based on estimates for the next years, SOL will show a quite strong growth in Earnings Per Share. The EPS will grow by 8.18% on average per year.
SOL is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 5.14% yearly.
EPS Next Y10.98%
EPS Next 2Y9.13%
EPS Next 3Y8.18%
EPS Next 5YN/A
Revenue Next Year9.8%
Revenue Next 2Y8.34%
Revenue Next 3Y7.81%
Revenue Next 5Y5.14%
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 decreasing.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
SOL is valuated quite expensively with a Price/Earnings ratio of 30.46.
SOL's Price/Earnings is on the same level as the industry average.
The average S&P500 Price/Earnings ratio is at 27.03. SOL is around the same levels.
The Price/Forward Earnings ratio is 26.29, which means the current valuation is very expensive for SOL.
Compared to the rest of the industry, the Price/Forward Earnings ratio of SOL indicates a slightly more expensive valuation: SOL is more expensive than 63.08% of the companies listed in the same industry.
SOL is valuated at similar levels of the S&P average when we compare the Price/Forward Earnings ratio to 22.54, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 30.46 | ||
| Fwd PE | 26.29 |
4.2 Price Multiples
SOL's Enterprise Value to EBITDA ratio is a bit more expensive when compared to the industry. SOL is more expensive than 60.00% of the companies in the same industry.
The rest of the industry has a similar Price/Free Cash Flow ratio as SOL.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 94.94 | ||
| EV/EBITDA | 13.01 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates SOL does not grow enough to justify the current Price/Earnings ratio.
SOL has an outstanding profitability rating, which may justify a higher PE ratio.
PEG (NY)2.77
PEG (5Y)1.24
EPS Next 2Y9.13%
EPS Next 3Y8.18%
5. Dividend
5.1 Amount
With a yearly dividend of 0.77%, SOL is not a good candidate for dividend investing.
Compared to an average industry Dividend Yield of 3.00, SOL is paying slightly less dividend.
With a Dividend Yield of 0.77, SOL pays less dividend than the S&P500 average, which is at 2.45.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.77% |
5.2 History
On average, the dividend of SOL grows each year by 16.74%, which is quite nice.
Dividend Growth(5Y)16.74%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
25.58% of the earnings are spent on dividend by SOL. This is a low number and sustainable payout ratio.
SOL's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP25.58%
EPS Next 2Y9.13%
EPS Next 3Y8.18%
BIT:SOL (9/10/2025, 7:00:00 PM)
49.65
-0.2 (-0.4%)
Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryChemicals
Earnings (Last)
Earnings (Next)
Inst Owners19.42%
Inst Owner ChangeN/A
Ins OwnersN/A
Ins Owner ChangeN/A
Market Cap4.50B
Analysts82.86
Price Target51.68 (4.09%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.77% |
Yearly Dividend0.42
Dividend Growth(5Y)16.74%
DP25.58%
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)2.36%
PT rev (3m)16.48%
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%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 30.46 | ||
| Fwd PE | 26.29 | ||
| P/S | 2.8 | ||
| P/FCF | 94.94 | ||
| P/OCF | 15.14 | ||
| P/B | 4.38 | ||
| P/tB | 6.32 | ||
| EV/EBITDA | 13.01 |
EPS(TTM)1.63
EY3.28%
EPS(NY)1.89
Fwd EY3.8%
FCF(TTM)0.52
FCFY1.05%
OCF(TTM)3.28
OCFY6.61%
SpS17.76
BVpS11.33
TBVpS7.86
PEG (NY)2.77
PEG (5Y)1.24
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.91% | ||
| ROE | 14.37% | ||
| ROCE | 13.75% | ||
| ROIC | 9.55% | ||
| ROICexc | 9.66% | ||
| ROICexgc | 11.75% | ||
| OM | 14.67% | ||
| PM (TTM) | 9.17% | ||
| GM | 74.97% | ||
| FCFM | 2.95% |
ROA(3y)7.4%
ROA(5y)7.14%
ROE(3y)15.45%
ROE(5y)15.08%
ROIC(3y)9.86%
ROIC(5y)9.24%
ROICexc(3y)11.29%
ROICexc(5y)10.84%
ROICexgc(3y)14.14%
ROICexgc(5y)13.44%
ROCE(3y)14.19%
ROCE(5y)13.36%
ROICexcg growth 3Y7.2%
ROICexcg growth 5Y5.88%
ROICexc growth 3Y6.27%
ROICexc growth 5Y5.33%
OM growth 3Y6.63%
OM growth 5Y6.24%
PM growth 3Y4.46%
PM growth 5Y10.95%
GM growth 3Y0.25%
GM growth 5Y-0.73%
F-Score5
Asset Turnover0.75
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.64 | ||
| Debt/FCF | 14.66 | ||
| Debt/EBITDA | 1.68 | ||
| Cap/Depr | 159.8% | ||
| Cap/Sales | 15.53% | ||
| Interest Coverage | 2.98 | ||
| Cash Conversion | 75.74% | ||
| Profit Quality | 32.12% | ||
| Current Ratio | 2.18 | ||
| Quick Ratio | 1.92 | ||
| Altman-Z | 4.44 |
F-Score5
WACC8.19%
ROIC/WACC1.17
Cap/Depr(3y)142.12%
Cap/Depr(5y)134.91%
Cap/Sales(3y)13.67%
Cap/Sales(5y)13.69%
Profit Quality(3y)37.87%
Profit Quality(5y)46.73%
High Growth Momentum
Growth
EPS 1Y (TTM)1.31%
EPS 3Y18.14%
EPS 5Y24.51%
EPS Q2Q%9.98%
EPS Next Y10.98%
EPS Next 2Y9.13%
EPS Next 3Y8.18%
EPS Next 5YN/A
Revenue 1Y (TTM)8.29%
Revenue growth 3Y13.11%
Revenue growth 5Y12.23%
Sales Q2Q%10.58%
Revenue Next Year9.8%
Revenue Next 2Y8.34%
Revenue Next 3Y7.81%
Revenue Next 5Y5.14%
EBIT growth 1Y3.69%
EBIT growth 3Y20.6%
EBIT growth 5Y19.23%
EBIT Next Year39.24%
EBIT Next 3Y16.87%
EBIT Next 5YN/A
FCF growth 1Y-27.14%
FCF growth 3Y1.91%
FCF growth 5Y18.79%
OCF growth 1Y10.16%
OCF growth 3Y15.6%
OCF growth 5Y9.8%