SOL SPA (SOL.MI) Stock Fundamental Analysis
Europe - Euronext Milan - BIT:SOL - IT0001206769 - Common Stock
50.8 EUR
+0.3 (+0.59%)
Overall SOL gets a fundamental rating of 6 out of 10. We evaluated SOL against 69 industry peers in the Chemicals industry. SOL scores excellent on profitability, 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
- SOL had positive earnings in the past year.
- In the past year SOL had a positive cash flow from operations.
- Each year in the past 5 years SOL has been profitable.
- In the past 5 years SOL always reported a positive cash flow from operatings.
1.2 Ratios
- SOL's Return On Assets of 6.90% is fine compared to the rest of the industry. SOL outperforms 78.26% of its industry peers.
- With an excellent Return On Equity value of 14.75%, SOL belongs to the best of the industry, outperforming 84.06% of the companies in the same industry.
- The Return On Invested Capital of SOL (9.43%) is better than 76.81% of its industry peers.
- The Average Return On Invested Capital over the past 3 years for SOL is above the industry average of 6.95%.
| 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
- Looking at the Profit Margin, with a value of 9.17%, SOL is in the better half of the industry, outperforming 76.81% of the companies in the same industry.
- SOL's Profit Margin has improved in the last couple of years.
- The Operating Margin of SOL (14.58%) is better than 79.71% of its industry peers.
- SOL's Operating Margin has improved in the last couple of years.
- With an excellent Gross Margin value of 74.36%, SOL belongs to the best of the industry, outperforming 98.55% of the companies in the same industry.
- 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.
- SOL has about the same amout of shares outstanding than it did 1 year ago.
- The number of shares outstanding for SOL remains at a similar level compared to 5 years ago.
- The debt/assets ratio for SOL has been reduced compared to a year ago.
2.2 Solvency
- SOL has an Altman-Z score of 4.27. This indicates that SOL is financially healthy and has little risk of bankruptcy at the moment.
- SOL's Altman-Z score of 4.27 is amongst the best of the industry. SOL outperforms 82.61% of its industry peers.
- SOL has a Debt/Equity ratio of 0.70. This is a neutral value indicating SOL is somewhat dependend on debt financing.
- The Debt to Equity ratio of SOL (0.70) is worse than 63.77% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.7 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 4.27 |
ROIC/WACC1.16
WACC8.16%
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 better Current ratio (2.29) than 75.36% 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.
- Looking at the Quick ratio, with a value of 2.04, SOL belongs to the top of the industry, outperforming 86.96% of the companies in the same industry.
| 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.
- The Revenue has grown by 11.37% in the past year. This is quite good.
- The Revenue has been growing by 12.23% on average over the past years. This is quite good.
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
- SOL is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 8.80% yearly.
- SOL is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 5.14% yearly.
EPS Next Y9.79%
EPS Next 2Y9.87%
EPS Next 3Y8.8%
EPS Next 5YN/A
Revenue Next Year10.54%
Revenue Next 2Y8.77%
Revenue Next 3Y8.22%
Revenue Next 5Y5.14%
3.3 Evolution
- The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
- 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
- Based on the Price/Earnings ratio of 29.53, the valuation of SOL can be described as expensive.
- Compared to the rest of the industry, the Price/Earnings ratio of SOL is on the same level as its industry peers.
- SOL's Price/Earnings ratio indicates a similar valuation than the S&P500 average which is at 27.33.
- The Price/Forward Earnings ratio is 24.73, which indicates a rather expensive current valuation of SOL.
- Based on the Price/Forward Earnings ratio, SOL is valued a bit more expensive than 60.87% of the companies in the same industry.
- The average S&P500 Price/Forward Earnings ratio is at 24.12. SOL is around the same levels.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 29.53 | ||
| Fwd PE | 24.73 |
4.2 Price Multiples
- SOL's Enterprise Value to EBITDA ratio is in line with the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 12.18 |
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)3.02
PEG (5Y)1.2
EPS Next 2Y9.87%
EPS Next 3Y8.8%
5. Dividend
5.1 Amount
- SOL has a yearly dividend return of 0.80%, which is pretty low.
- Compared to an average industry Dividend Yield of 2.45, SOL is paying slightly less dividend.
- With a Dividend Yield of 0.80, SOL pays less dividend than the S&P500 average, which is at 1.91.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.8% |
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
- 24.08% 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.
DP24.08%
EPS Next 2Y9.87%
EPS Next 3Y8.8%
BIT:SOL (1/15/2026, 5:35:30 PM)
50.8
+0.3 (+0.59%)
Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryChemicals
Earnings (Last)09-11 2025-09-11
Earnings (Next)03-25 2026-03-25/amc
Inst Owners21.02%
Inst Owner ChangeN/A
Ins OwnersN/A
Ins Owner ChangeN/A
Market Cap4.61B
Revenue(TTM)1.70B
Net Income(TTM)156.30M
Analysts77.78
Price Target54.75 (7.78%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.8% |
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)2.79%
EPS NQ rev (1m)N/A
EPS NQ rev (3m)N/A
EPS NY rev (1m)0%
EPS NY rev (3m)-2.12%
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)0%
Revenue NY rev (3m)-0.72%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 29.53 | ||
| Fwd PE | 24.73 | ||
| P/S | 2.7 | ||
| P/FCF | N/A | ||
| P/OCF | 18.55 | ||
| P/B | 4.35 | ||
| P/tB | 6.21 | ||
| EV/EBITDA | 12.18 |
EPS(TTM)1.72
EY3.39%
EPS(NY)2.05
Fwd EY4.04%
FCF(TTM)-0.08
FCFYN/A
OCF(TTM)2.74
OCFY5.39%
SpS18.8
BVpS11.68
TBVpS8.18
PEG (NY)3.02
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 | 4.27 |
F-Score6
WACC8.16%
ROIC/WACC1.16
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 Y9.79%
EPS Next 2Y9.87%
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 Year10.54%
Revenue Next 2Y8.77%
Revenue Next 3Y8.22%
Revenue Next 5Y5.14%
EBIT growth 1Y7.54%
EBIT growth 3Y20.6%
EBIT growth 5Y19.23%
EBIT Next Year42.76%
EBIT Next 3Y17.96%
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.
What is the valuation status of SOL SPA (SOL.MI) stock?
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 valuation of SOL SPA based on its PE and PB ratios?
The Price/Earnings (PE) ratio for SOL SPA (SOL.MI) is 29.53 and the Price/Book (PB) ratio is 4.35.
Can you provide the financial health for SOL stock?
The financial health rating of SOL SPA (SOL.MI) is 6 / 10.