SOL SPA (SOL.MI) Stock Fundamental Analysis
Europe - BIT:SOL - IT0001206769 - Common Stock
50.8 EUR
-0.7 (-1.36%)
Overall SOL gets a fundamental rating of 6 out of 10. We evaluated SOL against 68 industry peers in the Chemicals industry. While SOL has a great profitability rating, there are some minor concerns on its financial health. SOL is quite expensive at the moment. It does show a decent growth rate.
1. Profitability
1.1 Basic Checks
SOL had positive earnings in the past year.
SOL had a positive operating cash flow in the past year.
In the past 5 years SOL has always been profitable.
SOL had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
SOL's Return On Assets of 6.90% is fine compared to the rest of the industry. SOL outperforms 77.94% of its industry peers.
Looking at the Return On Equity, with a value of 14.75%, SOL belongs to the top of the industry, outperforming 80.88% of the companies in the same industry.
The Return On Invested Capital of SOL (9.43%) is better than 80.88% of its industry peers.
The Average Return On Invested Capital over the past 3 years for SOL is above the industry average of 7.01%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.9% | ||
| ROE | 14.75% | ||
| ROIC | 9.43% |
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
SOL's Profit Margin of 9.17% is fine compared to the rest of the industry. SOL outperforms 76.47% of its industry peers.
In the last couple of years the Profit Margin of SOL has grown nicely.
The Operating Margin of SOL (14.58%) is better than 80.88% of its industry peers.
SOL's Operating Margin has improved in the last couple of years.
SOL has a better Gross Margin (74.36%) than 98.53% of its industry peers.
SOL's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 14.58% | ||
| PM (TTM) | 9.17% | ||
| GM | 74.36% |
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
SOL has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it 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
An Altman-Z score of 4.32 indicates that SOL is not in any danger for bankruptcy at the moment.
With an excellent Altman-Z score value of 4.32, SOL belongs to the best of the industry, outperforming 85.29% of the companies in the same industry.
SOL has a Debt/Equity ratio of 0.70. This is a neutral value indicating SOL is somewhat dependend on debt financing.
SOL has a Debt to Equity ratio of 0.70. This is in the lower half of the industry: SOL underperforms 66.18% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.7 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 4.32 |
ROIC/WACC1.14
WACC8.24%
2.3 Liquidity
SOL has a Current Ratio of 2.29. This indicates that SOL is financially healthy and has no problem in meeting its short term obligations.
SOL has a Current ratio of 2.29. This is in the better half of the industry: SOL outperforms 73.53% of its industry peers.
SOL has a Quick Ratio of 2.04. This indicates that SOL is financially healthy and has no problem in meeting its short term obligations.
The Quick ratio of SOL (2.04) is better than 86.76% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.29 | ||
| Quick Ratio | 2.04 |
3. Growth
3.1 Past
SOL shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 10.79%, which is quite good.
SOL shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 24.51% yearly.
Looking at the last year, SOL shows a quite strong growth in Revenue. The Revenue has grown by 11.37% in the last year.
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)10.79%
EPS 3Y18.14%
EPS 5Y24.51%
EPS Q2Q%11.5%
Revenue 1Y (TTM)11.37%
Revenue growth 3Y13.11%
Revenue growth 5Y12.23%
Sales Q2Q%12.12%
3.2 Future
The Earnings Per Share is expected to grow by 8.80% on average over the next years. This is quite good.
The Revenue is expected to grow by 5.14% on average over the next years.
EPS Next Y12.17%
EPS Next 2Y10.03%
EPS Next 3Y8.8%
EPS Next 5YN/A
Revenue Next Year11.34%
Revenue Next 2Y9.25%
Revenue Next 3Y8.73%
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.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 29.53, SOL can be considered very expensive at the moment.
SOL's Price/Earnings is on the same level as the industry average.
SOL's Price/Earnings ratio indicates a similar valuation than the S&P500 average which is at 26.19.
Based on the Price/Forward Earnings ratio of 24.66, the valuation of SOL can be described as rather expensive.
63.24% of the companies in the same industry are cheaper than SOL, based on the Price/Forward Earnings ratio.
When comparing the Price/Forward Earnings ratio of SOL to the average of the S&P500 Index (22.50), we can say SOL is valued inline with the index average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 29.53 | ||
| Fwd PE | 24.66 |
4.2 Price Multiples
SOL's Enterprise Value to EBITDA is on the same level as the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 12.4 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
SOL has an outstanding profitability rating, which may justify a higher PE ratio.
PEG (NY)2.43
PEG (5Y)1.2
EPS Next 2Y10.03%
EPS Next 3Y8.8%
5. Dividend
5.1 Amount
With a yearly dividend of 0.75%, SOL is not a good candidate for dividend investing.
SOL's Dividend Yield is slightly below the industry average, which is at 3.10.
Compared to an average S&P500 Dividend Yield of 2.33, SOL's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.75% |
5.2 History
The dividend of SOL is nicely growing with an annual growth rate of 16.74%!
Dividend Growth(5Y)16.74%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
SOL pays out 24.08% of its income as dividend. This is a sustainable payout ratio.
The dividend of SOL is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP24.08%
EPS Next 2Y10.03%
EPS Next 3Y8.8%
BIT:SOL (10/31/2025, 5:35:15 PM)
50.8
-0.7 (-1.36%)
Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryChemicals
Earnings (Last)
Earnings (Next)
Inst Owners21.03%
Inst Owner ChangeN/A
Ins OwnersN/A
Ins Owner ChangeN/A
Market Cap4.61B
Revenue(TTM)1.70B
Net Income(TTM)156.30M
Analysts80
Price Target53.27 (4.86%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.75% |
Yearly Dividend0.42
Dividend Growth(5Y)16.74%
DP24.08%
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)0%
PT rev (3m)5.51%
EPS NQ rev (1m)N/A
EPS NQ rev (3m)N/A
EPS NY rev (1m)0%
EPS NY rev (3m)1.07%
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)-15.84%
Revenue NY rev (3m)3.43%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 29.53 | ||
| Fwd PE | 24.66 | ||
| P/S | 2.7 | ||
| P/FCF | N/A | ||
| P/OCF | 18.55 | ||
| P/B | 4.35 | ||
| P/tB | 6.21 | ||
| EV/EBITDA | 12.4 |
EPS(TTM)1.72
EY3.39%
EPS(NY)2.06
Fwd EY4.06%
FCF(TTM)-0.08
FCFYN/A
OCF(TTM)2.74
OCFY5.39%
SpS18.8
BVpS11.68
TBVpS8.18
PEG (NY)2.43
PEG (5Y)1.2
Graham Number21.26
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.9% | ||
| ROE | 14.75% | ||
| ROCE | 13.56% | ||
| ROIC | 9.43% | ||
| ROICexc | 10.96% | ||
| ROICexgc | 13.59% | ||
| OM | 14.58% | ||
| PM (TTM) | 9.17% | ||
| GM | 74.36% | ||
| FCFM | N/A |
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%
ROICexgc growth 3Y7.2%
ROICexgc 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-Score6
Asset Turnover0.75
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.7 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 1.81 | ||
| Cap/Depr | 156.86% | ||
| Cap/Sales | 14.98% | ||
| Interest Coverage | 2.78 | ||
| Cash Conversion | 60.37% | ||
| Profit Quality | N/A | ||
| Current Ratio | 2.29 | ||
| Quick Ratio | 2.04 | ||
| Altman-Z | 4.32 |
F-Score6
WACC8.24%
ROIC/WACC1.14
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)10.79%
EPS 3Y18.14%
EPS 5Y24.51%
EPS Q2Q%11.5%
EPS Next Y12.17%
EPS Next 2Y10.03%
EPS Next 3Y8.8%
EPS Next 5YN/A
Revenue 1Y (TTM)11.37%
Revenue growth 3Y13.11%
Revenue growth 5Y12.23%
Sales Q2Q%12.12%
Revenue Next Year11.34%
Revenue Next 2Y9.25%
Revenue Next 3Y8.73%
Revenue Next 5Y5.14%
EBIT growth 1Y7.54%
EBIT growth 3Y20.6%
EBIT growth 5Y19.23%
EBIT Next Year42.88%
EBIT Next 3Y17.9%
EBIT Next 5YN/A
FCF growth 1Y-108.3%
FCF growth 3Y1.91%
FCF growth 5Y18.79%
OCF growth 1Y-11.74%
OCF growth 3Y15.6%
OCF growth 5Y9.8%
SOL SPA / SOL.MI FAQ
What is the fundamental rating for SOL stock?
ChartMill assigns a fundamental rating of 6 / 10 to SOL.MI.
Can you provide the valuation status for SOL SPA?
ChartMill assigns a valuation rating of 2 / 10 to SOL SPA (SOL.MI). This can be considered as Overvalued.
What is the profitability of SOL stock?
SOL SPA (SOL.MI) has a profitability rating of 8 / 10.
What is the earnings growth outlook for SOL SPA?
The Earnings per Share (EPS) of SOL SPA (SOL.MI) is expected to grow by 12.17% in the next year.
Is the dividend of SOL SPA sustainable?
The dividend rating of SOL SPA (SOL.MI) is 3 / 10 and the dividend payout ratio is 24.08%.