SONAE (SON.LS) Stock Fundamental Analysis
Europe - ELI:SON - PTSON0AM0001 - Common Stock
1.402 EUR
+0.02 (+1.74%)
SON gets a fundamental rating of 4 out of 10. The analysis compared the fundamentals against 23 industry peers in the Consumer Staples Distribution & Retail industry. There are concerns on the financial health of SON while its profitability can be described as average. SON has a decent growth rate and is not valued too expensively.
1. Profitability
1.1 Basic Checks
In the past year SON was profitable.
SON had a positive operating cash flow in the past year.
Each year in the past 5 years SON has been profitable.
Each year in the past 5 years SON had a positive operating cash flow.
1.2 Ratios
SON has a worse Return On Assets (2.15%) than 60.87% of its industry peers.
With a Return On Equity value of 7.75%, SON is not doing good in the industry: 60.87% of the companies in the same industry are doing better.
SON has a worse Return On Invested Capital (3.48%) than 73.91% of its industry peers.
SON had an Average Return On Invested Capital over the past 3 years of 3.62%. This is significantly below the industry average of 9.23%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.15% | ||
| ROE | 7.75% | ||
| ROIC | 3.48% |
ROA(3y)3.29%
ROA(5y)2.79%
ROE(3y)10.37%
ROE(5y)9.04%
ROIC(3y)3.62%
ROIC(5y)3.3%
1.3 Margins
SON's Profit Margin of 2.31% is fine compared to the rest of the industry. SON outperforms 69.57% of its industry peers.
SON's Profit Margin has declined in the last couple of years.
SON has a better Operating Margin (3.46%) than 60.87% of its industry peers.
In the last couple of years the Operating Margin of SON has remained more or less at the same level.
SON has a Gross Margin of 21.73%. This is comparable to the rest of the industry: SON outperforms 43.48% of its industry peers.
SON's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 3.46% | ||
| PM (TTM) | 2.31% | ||
| GM | 21.73% |
OM growth 3Y3.18%
OM growth 5Y-1.21%
PM growth 3Y-16.47%
PM growth 5Y-2.78%
GM growth 3Y2.33%
GM growth 5Y-7.9%
2. Health
2.1 Basic Checks
SON 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, SON has more shares outstanding
Compared to 5 years ago, SON has less shares outstanding
The debt/assets ratio for SON is higher compared to a year ago.
2.2 Solvency
SON has an Altman-Z score of 1.32. This is a bad value and indicates that SON is not financially healthy and even has some risk of bankruptcy.
SON's Altman-Z score of 1.32 is on the low side compared to the rest of the industry. SON is outperformed by 86.96% of its industry peers.
SON has a debt to FCF ratio of 10.14. This is a negative value and a sign of low solvency as SON would need 10.14 years to pay back of all of its debts.
Looking at the Debt to FCF ratio, with a value of 10.14, SON is in line with its industry, outperforming 47.83% of the companies in the same industry.
SON has a Debt/Equity ratio of 1.15. This is a high value indicating a heavy dependency on external financing.
SON has a Debt to Equity ratio of 1.15. This is in the lower half of the industry: SON underperforms 65.22% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.15 | ||
| Debt/FCF | 10.14 | ||
| Altman-Z | 1.32 |
ROIC/WACC0.61
WACC5.69%
2.3 Liquidity
SON has a Current Ratio of 0.78. This is a bad value and indicates that SON is not financially healthy enough and could expect problems in meeting its short term obligations.
SON's Current ratio of 0.78 is on the low side compared to the rest of the industry. SON is outperformed by 69.57% of its industry peers.
SON has a Quick Ratio of 0.78. This is a bad value and indicates that SON is not financially healthy enough and could expect problems in meeting its short term obligations.
SON's Quick ratio of 0.36 is on the low side compared to the rest of the industry. SON is outperformed by 69.57% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.78 | ||
| Quick Ratio | 0.36 |
3. Growth
3.1 Past
SON shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -34.51%.
SON shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 8.16% yearly.
Looking at the last year, SON shows a very strong growth in Revenue. The Revenue has grown by 23.74%.
SON shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 9.11% yearly.
EPS 1Y (TTM)-34.51%
EPS 3Y-2.1%
EPS 5Y8.16%
EPS Q2Q%0%
Revenue 1Y (TTM)23.74%
Revenue growth 3Y12.61%
Revenue growth 5Y9.11%
Sales Q2Q%23.51%
3.2 Future
SON is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 1.85% yearly.
SON is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 6.01% yearly.
EPS Next Y-0.38%
EPS Next 2Y4.41%
EPS Next 3Y7.09%
EPS Next 5Y1.85%
Revenue Next Year13.91%
Revenue Next 2Y9.32%
Revenue Next 3Y8.24%
Revenue Next 5Y6.01%
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
With a Price/Earnings ratio of 10.78, the valuation of SON can be described as very reasonable.
Based on the Price/Earnings ratio, SON is valued cheaply inside the industry as 82.61% of the companies are valued more expensively.
SON is valuated cheaply when we compare the Price/Earnings ratio to 27.42, which is the current average of the S&P500 Index.
Based on the Price/Forward Earnings ratio of 9.57, the valuation of SON can be described as reasonable.
Based on the Price/Forward Earnings ratio, SON is valued cheaper than 82.61% of the companies in the same industry.
When comparing the Price/Forward Earnings ratio of SON to the average of the S&P500 Index (22.94), we can say SON is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.78 | ||
| Fwd PE | 9.57 |
4.2 Price Multiples
Based on the Price/Free Cash Flow ratio, SON is valued cheaper than 82.61% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 6.95 | ||
| EV/EBITDA | N/A |
4.3 Compensation for Growth
PEG (NY)N/A
PEG (5Y)1.32
EPS Next 2Y4.41%
EPS Next 3Y7.09%
5. Dividend
5.1 Amount
SON has a Yearly Dividend Yield of 4.30%, which is a nice return.
SON's Dividend Yield is a higher than the industry average which is at 3.76.
Compared to an average S&P500 Dividend Yield of 2.36, SON pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.3% |
5.2 History
The dividend of SON decreases each year by -11.66%.
Dividend Growth(5Y)-11.66%
Div Incr Years6
Div Non Decr Years6
5.3 Sustainability
SON pays out 66.73% of its income as dividend. This is not a sustainable payout ratio.
DP66.73%
EPS Next 2Y4.41%
EPS Next 3Y7.09%
ELI:SON (10/20/2025, 4:26:00 PM)
1.402
+0.02 (+1.74%)
Chartmill FA Rating
GICS SectorConsumer Staples
GICS IndustryGroupConsumer Staples Distribution & Retail
GICS IndustryConsumer Staples Distribution & Retail
Earnings (Last)
Earnings (Next)
Inst Owners10.88%
Inst Owner ChangeN/A
Ins Owners53.06%
Ins Owner ChangeN/A
Market Cap2.80B
Analysts80
Price Target1.52 (8.42%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.3% |
Yearly Dividend0.08
Dividend Growth(5Y)-11.66%
DP66.73%
Div Incr Years6
Div Non Decr Years6
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)-0.55%
EPS NQ rev (1m)0%
EPS NQ rev (3m)N/A
EPS NY rev (1m)-2.57%
EPS NY rev (3m)-23.41%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)0.38%
Revenue NY rev (3m)3.25%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.78 | ||
| Fwd PE | 9.57 | ||
| P/S | 0.27 | ||
| P/FCF | 6.95 | ||
| P/OCF | 3.28 | ||
| P/B | 0.9 | ||
| P/tB | 4.02 | ||
| EV/EBITDA | N/A |
EPS(TTM)0.13
EY9.27%
EPS(NY)0.15
Fwd EY10.45%
FCF(TTM)0.2
FCFY14.38%
OCF(TTM)0.43
OCFY30.48%
SpS5.21
BVpS1.55
TBVpS0.35
PEG (NY)N/A
PEG (5Y)1.32
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.15% | ||
| ROE | 7.75% | ||
| ROCE | 4.41% | ||
| ROIC | 3.48% | ||
| ROICexc | 3.69% | ||
| ROICexgc | 5.37% | ||
| OM | 3.46% | ||
| PM (TTM) | 2.31% | ||
| GM | 21.73% | ||
| FCFM | 3.87% |
ROA(3y)3.29%
ROA(5y)2.79%
ROE(3y)10.37%
ROE(5y)9.04%
ROIC(3y)3.62%
ROIC(5y)3.3%
ROICexc(3y)4.05%
ROICexc(5y)3.73%
ROICexgc(3y)5.4%
ROICexgc(5y)4.92%
ROCE(3y)4.59%
ROCE(5y)4.18%
ROICexcg growth 3Y7.22%
ROICexcg growth 5Y8.15%
ROICexc growth 3Y2.69%
ROICexc growth 5Y3.91%
OM growth 3Y3.18%
OM growth 5Y-1.21%
PM growth 3Y-16.47%
PM growth 5Y-2.78%
GM growth 3Y2.33%
GM growth 5Y-7.9%
F-Score5
Asset Turnover0.93
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.15 | ||
| Debt/FCF | 10.14 | ||
| Debt/EBITDA | N/A | ||
| Cap/Depr | N/A | ||
| Cap/Sales | 4.33% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | N/A | ||
| Profit Quality | 167.43% | ||
| Current Ratio | 0.78 | ||
| Quick Ratio | 0.36 | ||
| Altman-Z | 1.32 |
F-Score5
WACC5.69%
ROIC/WACC0.61
Cap/Depr(3y)N/A
Cap/Depr(5y)N/A
Cap/Sales(3y)4.28%
Cap/Sales(5y)4.03%
Profit Quality(3y)128.34%
Profit Quality(5y)187.55%
High Growth Momentum
Growth
EPS 1Y (TTM)-34.51%
EPS 3Y-2.1%
EPS 5Y8.16%
EPS Q2Q%0%
EPS Next Y-0.38%
EPS Next 2Y4.41%
EPS Next 3Y7.09%
EPS Next 5Y1.85%
Revenue 1Y (TTM)23.74%
Revenue growth 3Y12.61%
Revenue growth 5Y9.11%
Sales Q2Q%23.51%
Revenue Next Year13.91%
Revenue Next 2Y9.32%
Revenue Next 3Y8.24%
Revenue Next 5Y6.01%
EBIT growth 1Y15.94%
EBIT growth 3Y16.2%
EBIT growth 5Y7.79%
EBIT Next Year131%
EBIT Next 3Y38.24%
EBIT Next 5Y25.57%
FCF growth 1Y37.6%
FCF growth 3Y8.46%
FCF growth 5Y10.74%
OCF growth 1Y34.54%
OCF growth 3Y13.52%
OCF growth 5Y8.41%