SONAE (SON.LS) Stock Fundamental Analysis
Europe - ELI:SON - PTSON0AM0001 - Common Stock
1.474 EUR
+0.02 (+1.38%)
Overall SON gets a fundamental rating of 3 out of 10. We evaluated SON against 24 industry peers in the Consumer Staples Distribution & Retail industry. SON may be in some trouble as it scores bad on both profitability and health. SON has a decent growth rate and is not valued too expensively.
1. Profitability
1.1 Basic Checks
SON had positive earnings in the past year.
SON had a positive operating cash flow in the past year.
SON had positive earnings in each of the past 5 years.
In the past 5 years SON always reported a positive cash flow from operatings.
1.2 Ratios
The Return On Assets of SON (2.15%) is worse than 62.50% of its industry peers.
With a Return On Equity value of 7.75%, SON is not doing good in the industry: 62.50% of the companies in the same industry are doing better.
Looking at the Return On Invested Capital, with a value of 3.48%, SON is doing worse than 75.00% of the companies in the same industry.
SON had an Average Return On Invested Capital over the past 3 years of 3.62%. This is significantly below the industry average of 9.51%.
| 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 has a Profit Margin of 2.31%. This is in the better half of the industry: SON outperforms 66.67% of its industry peers.
In the last couple of years the Profit Margin of SON has declined.
With a Operating Margin value of 3.46%, SON perfoms like the industry average, outperforming 58.33% of the companies in the same industry.
SON's Operating Margin has been stable in the last couple of years.
SON's Gross Margin of 21.73% is in line compared to the rest of the industry. SON outperforms 41.67% 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
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so SON is destroying value.
The number of shares outstanding for SON has been increased compared to 1 year ago.
SON has less shares outstanding than it did 5 years ago.
SON has a worse debt/assets ratio than last year.
2.2 Solvency
Based on the Altman-Z score of 1.33, we must say that SON is in the distress zone and has some risk of bankruptcy.
Looking at the Altman-Z score, with a value of 1.33, SON is doing worse than 87.50% of the companies in the same industry.
The Debt to FCF ratio of SON is 10.14, which is on the high side as it means it would take SON, 10.14 years of fcf income to pay off all of its debts.
SON's Debt to FCF ratio of 10.14 is in line compared to the rest of the industry. SON outperforms 45.83% of its industry peers.
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 70.83% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.15 | ||
| Debt/FCF | 10.14 | ||
| Altman-Z | 1.33 |
ROIC/WACC0.61
WACC5.74%
2.3 Liquidity
A Current Ratio of 0.78 indicates that SON may have some problems paying its short term obligations.
Looking at the Current ratio, with a value of 0.78, SON is doing worse than 66.67% of the companies in the same industry.
A Quick Ratio of 0.36 indicates that SON may have some problems paying its short term obligations.
With a Quick ratio value of 0.36, SON is not doing good in the industry: 66.67% of the companies in the same industry are doing better.
| 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.
The Revenue has grown by 23.74% in the past year. This is a very strong growth!
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
The Earnings Per Share is expected to grow by 2.32% on average over the next years.
Based on estimates for the next years, SON will show a small growth in Revenue. The Revenue will grow by 6.36% on average per year.
EPS Next Y-5.26%
EPS Next 2Y6.2%
EPS Next 3Y6.91%
EPS Next 5Y2.32%
Revenue Next Year14.25%
Revenue Next 2Y9.43%
Revenue Next 3Y8.14%
Revenue Next 5Y6.36%
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
Based on the Price/Earnings ratio of 11.34, the valuation of SON can be described as reasonable.
Based on the Price/Earnings ratio, SON is valued a bit cheaper than 79.17% of the companies in the same industry.
When comparing the Price/Earnings ratio of SON to the average of the S&P500 Index (25.07), we can say SON is valued rather cheaply.
SON is valuated reasonably with a Price/Forward Earnings ratio of 9.73.
79.17% of the companies in the same industry are more expensive than SON, based on the Price/Forward Earnings ratio.
SON is valuated cheaply when we compare the Price/Forward Earnings ratio to 34.08, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.34 | ||
| Fwd PE | 9.73 |
4.2 Price Multiples
Compared to the rest of the industry, the Price/Free Cash Flow ratio of SON indicates a rather cheap valuation: SON is cheaper than 83.33% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 7.31 | ||
| EV/EBITDA | N/A |
4.3 Compensation for Growth
PEG (NY)N/A
PEG (5Y)1.39
EPS Next 2Y6.2%
EPS Next 3Y6.91%
5. Dividend
5.1 Amount
SON has a Yearly Dividend Yield of 4.06%, which is a nice return.
Compared to an average industry Dividend Yield of 3.85, SON pays a bit more dividend than its industry peers.
Compared to an average S&P500 Dividend Yield of 2.44, SON pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.06% |
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
66.73% of the earnings are spent on dividend by SON. This is not a sustainable payout ratio.
DP66.73%
EPS Next 2Y6.2%
EPS Next 3Y6.91%
ELI:SON (11/21/2025, 5:29:57 PM)
1.474
+0.02 (+1.38%)
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 Cap2.95B
Revenue(TTM)10.93B
Net Income(TTM)240.81M
Analysts80
Price Target1.48 (0.41%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.06% |
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)-2.8%
PT rev (3m)-2.8%
EPS NQ rev (1m)0%
EPS NQ rev (3m)0%
EPS NY rev (1m)-4.91%
EPS NY rev (3m)-27.17%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)0%
Revenue NY rev (1m)0.3%
Revenue NY rev (3m)0.71%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.34 | ||
| Fwd PE | 9.73 | ||
| P/S | 0.28 | ||
| P/FCF | 7.31 | ||
| P/OCF | 3.45 | ||
| P/B | 0.95 | ||
| P/tB | 4.23 | ||
| EV/EBITDA | N/A |
EPS(TTM)0.13
EY8.82%
EPS(NY)0.15
Fwd EY10.28%
FCF(TTM)0.2
FCFY13.68%
OCF(TTM)0.43
OCFY28.99%
SpS5.21
BVpS1.55
TBVpS0.35
PEG (NY)N/A
PEG (5Y)1.39
Graham Number2.13
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%
ROICexgc growth 3Y7.22%
ROICexgc 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 | 1.33 |
F-Score5
WACC5.74%
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-5.26%
EPS Next 2Y6.2%
EPS Next 3Y6.91%
EPS Next 5Y2.32%
Revenue 1Y (TTM)23.74%
Revenue growth 3Y12.61%
Revenue growth 5Y9.11%
Sales Q2Q%23.51%
Revenue Next Year14.25%
Revenue Next 2Y9.43%
Revenue Next 3Y8.14%
Revenue Next 5Y6.36%
EBIT growth 1Y15.94%
EBIT growth 3Y16.2%
EBIT growth 5Y7.79%
EBIT Next Year131%
EBIT Next 3Y38.24%
EBIT Next 5Y26.14%
FCF growth 1Y37.6%
FCF growth 3Y8.46%
FCF growth 5Y10.74%
OCF growth 1Y34.54%
OCF growth 3Y13.52%
OCF growth 5Y8.41%
SONAE / SON.LS FAQ
What is the ChartMill fundamental rating of SONAE (SON.LS) stock?
ChartMill assigns a fundamental rating of 3 / 10 to SON.LS.
What is the valuation status for SON stock?
ChartMill assigns a valuation rating of 5 / 10 to SONAE (SON.LS). This can be considered as Fairly Valued.
What is the profitability of SON stock?
SONAE (SON.LS) has a profitability rating of 3 / 10.
What is the valuation of SONAE based on its PE and PB ratios?
The Price/Earnings (PE) ratio for SONAE (SON.LS) is 11.34 and the Price/Book (PB) ratio is 0.95.
What is the expected EPS growth for SONAE (SON.LS) stock?
The Earnings per Share (EPS) of SONAE (SON.LS) is expected to decline by -5.26% in the next year.