SOPRA STERIA GROUP (SOP.PA) Stock Fundamental Analysis
EPA:SOP - FR0000050809 - Common Stock
155 EUR
0 (0%)
Taking everything into account, SOP scores 5 out of 10 in our fundamental rating. SOP was compared to 73 industry peers in the IT Services industry. While SOP has a great profitability rating, there are some minor concerns on its financial health. SOP is not valued too expensively and it also shows a decent growth rate.
1. Profitability
1.1 Basic Checks
SOP had positive earnings in the past year.
In the past year SOP had a positive cash flow from operations.
In the past 5 years SOP has always been profitable.
Each year in the past 5 years SOP had a positive operating cash flow.
1.2 Ratios
SOP has a Return On Assets of 4.80%. This is comparable to the rest of the industry: SOP outperforms 58.90% of its industry peers.
The Return On Equity of SOP (13.71%) is comparable to the rest of the industry.
With a decent Return On Invested Capital value of 11.01%, SOP is doing good in the industry, outperforming 72.60% of the companies in the same industry.
SOP had an Average Return On Invested Capital over the past 3 years of 10.67%. This is in line with the industry average of 11.37%.
The 3 year average ROIC (10.67%) for SOP is below the current ROIC(11.01%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.8% | ||
| ROE | 13.71% | ||
| ROIC | 11.01% |
ROA(3y)4.16%
ROA(5y)3.75%
ROE(3y)12.07%
ROE(5y)11.05%
ROIC(3y)10.67%
ROIC(5y)9.58%
1.3 Margins
With a decent Profit Margin value of 4.76%, SOP is doing good in the industry, outperforming 64.38% of the companies in the same industry.
SOP's Profit Margin has improved in the last couple of years.
SOP has a better Operating Margin (8.80%) than 69.86% of its industry peers.
In the last couple of years the Operating Margin of SOP has grown nicely.
SOP's Gross Margin of 76.49% is fine compared to the rest of the industry. SOP outperforms 71.23% of its industry peers.
SOP's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 8.8% | ||
| PM (TTM) | 4.76% | ||
| GM | 76.49% |
OM growth 3Y5.51%
OM growth 5Y5.28%
PM growth 3Y2.72%
PM growth 5Y3.75%
GM growth 3Y0.74%
GM growth 5Y1.12%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is well above the Cost of Capital (WACC), so SOP is creating value.
SOP has less shares outstanding than it did 1 year ago.
SOP has less shares outstanding than it did 5 years ago.
Compared to 1 year ago, SOP has an improved debt to assets ratio.
2.2 Solvency
SOP has an Altman-Z score of 2.18. This is not the best score and indicates that SOP is in the grey zone with still only limited risk for bankruptcy at the moment.
SOP's Altman-Z score of 2.18 is in line compared to the rest of the industry. SOP outperforms 45.21% of its industry peers.
The Debt to FCF ratio of SOP is 3.23, which is a good value as it means it would take SOP, 3.23 years of fcf income to pay off all of its debts.
SOP's Debt to FCF ratio of 3.23 is in line compared to the rest of the industry. SOP outperforms 56.16% of its industry peers.
A Debt/Equity ratio of 0.48 indicates that SOP is not too dependend on debt financing.
With a Debt to Equity ratio value of 0.48, SOP perfoms like the industry average, outperforming 46.58% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.48 | ||
| Debt/FCF | 3.23 | ||
| Altman-Z | 2.18 |
ROIC/WACC1.82
WACC6.04%
2.3 Liquidity
SOP has a Current Ratio of 0.89. This is a bad value and indicates that SOP is not financially healthy enough and could expect problems in meeting its short term obligations.
Looking at the Current ratio, with a value of 0.89, SOP is doing worse than 79.45% of the companies in the same industry.
SOP has a Quick Ratio of 0.89. This is a bad value and indicates that SOP is not financially healthy enough and could expect problems in meeting its short term obligations.
SOP has a worse Quick ratio (0.89) than 73.97% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.89 | ||
| Quick Ratio | 0.89 |
3. Growth
3.1 Past
SOP shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 43.42%, which is quite impressive.
Measured over the past years, SOP shows a quite strong growth in Earnings Per Share. The EPS has been growing by 9.39% on average per year.
The Revenue has decreased by -1.23% in the past year.
SOP shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 5.43% yearly.
EPS 1Y (TTM)43.42%
EPS 3Y10.32%
EPS 5Y9.39%
EPS Q2Q%19.95%
Revenue 1Y (TTM)-1.23%
Revenue growth 3Y7.25%
Revenue growth 5Y5.43%
Sales Q2Q%-3.58%
3.2 Future
The Earnings Per Share is expected to grow by 2.37% on average over the next years.
Based on estimates for the next years, SOP will show a small growth in Revenue. The Revenue will grow by 2.82% on average per year.
EPS Next Y-6.16%
EPS Next 2Y1.57%
EPS Next 3Y3.78%
EPS Next 5Y2.37%
Revenue Next Year-2.61%
Revenue Next 2Y-0.08%
Revenue Next 3Y1.11%
Revenue Next 5Y2.82%
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
SOP is valuated reasonably with a Price/Earnings ratio of 11.45.
Compared to the rest of the industry, the Price/Earnings ratio of SOP indicates a rather cheap valuation: SOP is cheaper than 86.30% of the companies listed in the same industry.
SOP is valuated cheaply when we compare the Price/Earnings ratio to 27.06, which is the current average of the S&P500 Index.
With a Price/Forward Earnings ratio of 8.28, the valuation of SOP can be described as very reasonable.
Based on the Price/Forward Earnings ratio, SOP is valued cheaper than 89.04% of the companies in the same industry.
SOP is valuated cheaply when we compare the Price/Forward Earnings ratio to 22.69, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.45 | ||
| Fwd PE | 8.28 |
4.2 Price Multiples
SOP's Enterprise Value to EBITDA ratio is a bit cheaper when compared to the industry. SOP is cheaper than 65.75% of the companies in the same industry.
76.71% of the companies in the same industry are more expensive than SOP, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 7.94 | ||
| EV/EBITDA | 6.23 |
4.3 Compensation for Growth
The decent profitability rating of SOP may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)1.22
EPS Next 2Y1.57%
EPS Next 3Y3.78%
5. Dividend
5.1 Amount
SOP has a Yearly Dividend Yield of 2.89%. Purely for dividend investing, there may be better candidates out there.
In the last 3 months the price of SOP has falen by -20.43%. A price decline artificially increases the dividend yield. It may be a sign investors do not expect the dividend to last.
Compared to an average industry Dividend Yield of 7.19, SOP pays a bit more dividend than its industry peers.
SOP's Dividend Yield is a higher than the S&P500 average which is at 2.32.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.89% |
5.2 History
On average, the dividend of SOP grows each year by 20.50%, which is quite nice.
Dividend Growth(5Y)20.5%
Div Incr Years2
Div Non Decr Years3
5.3 Sustainability
33.43% of the earnings are spent on dividend by SOP. This is a low number and sustainable payout ratio.
The dividend of SOP is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP33.43%
EPS Next 2Y1.57%
EPS Next 3Y3.78%
EPA:SOP (9/5/2025, 7:00:00 PM)
155
0 (0%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSoftware & Services
GICS IndustryIT Services
Earnings (Last)
Earnings (Next)
Inst Owners41.66%
Inst Owner ChangeN/A
Ins Owners0.18%
Ins Owner ChangeN/A
Market Cap3.19B
Analysts84.29
Price Target232.25 (49.84%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.89% |
Yearly Dividend4.72
Dividend Growth(5Y)20.5%
DP33.43%
Div Incr Years2
Div Non Decr Years3
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)-0.22%
PT rev (3m)2.34%
EPS NQ rev (1m)N/A
EPS NQ rev (3m)N/A
EPS NY rev (1m)-4.98%
EPS NY rev (3m)-4.98%
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)-1.74%
Revenue NY rev (3m)-2.43%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.45 | ||
| Fwd PE | 8.28 | ||
| P/S | 0.56 | ||
| P/FCF | 7.94 | ||
| P/OCF | 6.8 | ||
| P/B | 1.62 | ||
| P/tB | N/A | ||
| EV/EBITDA | 6.23 |
EPS(TTM)13.54
EY8.74%
EPS(NY)18.71
Fwd EY12.07%
FCF(TTM)19.52
FCFY12.59%
OCF(TTM)22.79
OCFY14.7%
SpS275.97
BVpS95.8
TBVpS-30.03
PEG (NY)N/A
PEG (5Y)1.22
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.8% | ||
| ROE | 13.71% | ||
| ROCE | 15.06% | ||
| ROIC | 11.01% | ||
| ROICexc | 11.52% | ||
| ROICexgc | 62.81% | ||
| OM | 8.8% | ||
| PM (TTM) | 4.76% | ||
| GM | 76.49% | ||
| FCFM | 7.07% |
ROA(3y)4.16%
ROA(5y)3.75%
ROE(3y)12.07%
ROE(5y)11.05%
ROIC(3y)10.67%
ROIC(5y)9.58%
ROICexc(3y)11.97%
ROICexc(5y)10.63%
ROICexgc(3y)121.68%
ROICexgc(5y)90.7%
ROCE(3y)14.59%
ROCE(5y)13.1%
ROICexcg growth 3Y39.77%
ROICexcg growth 5Y23.23%
ROICexc growth 3Y10.54%
ROICexc growth 5Y8.39%
OM growth 3Y5.51%
OM growth 5Y5.28%
PM growth 3Y2.72%
PM growth 5Y3.75%
GM growth 3Y0.74%
GM growth 5Y1.12%
F-Score8
Asset Turnover1.01
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.48 | ||
| Debt/FCF | 3.23 | ||
| Debt/EBITDA | 1.35 | ||
| Cap/Depr | 34.15% | ||
| Cap/Sales | 1.18% | ||
| Interest Coverage | 15.45 | ||
| Cash Conversion | 67.3% | ||
| Profit Quality | 148.67% | ||
| Current Ratio | 0.89 | ||
| Quick Ratio | 0.89 | ||
| Altman-Z | 2.18 |
F-Score8
WACC6.04%
ROIC/WACC1.82
Cap/Depr(3y)38%
Cap/Depr(5y)32.61%
Cap/Sales(3y)1.66%
Cap/Sales(5y)1.48%
Profit Quality(3y)227.03%
Profit Quality(5y)244.93%
High Growth Momentum
Growth
EPS 1Y (TTM)43.42%
EPS 3Y10.32%
EPS 5Y9.39%
EPS Q2Q%19.95%
EPS Next Y-6.16%
EPS Next 2Y1.57%
EPS Next 3Y3.78%
EPS Next 5Y2.37%
Revenue 1Y (TTM)-1.23%
Revenue growth 3Y7.25%
Revenue growth 5Y5.43%
Sales Q2Q%-3.58%
Revenue Next Year-2.61%
Revenue Next 2Y-0.08%
Revenue Next 3Y1.11%
Revenue Next 5Y2.82%
EBIT growth 1Y1.09%
EBIT growth 3Y13.16%
EBIT growth 5Y11%
EBIT Next Year35.02%
EBIT Next 3Y13.72%
EBIT Next 5Y8.8%
FCF growth 1Y-13.69%
FCF growth 3Y12.48%
FCF growth 5Y9.29%
OCF growth 1Y-16.54%
OCF growth 3Y12.31%
OCF growth 5Y9.2%