SOPRA STERIA GROUP (SOP.PA) Stock Fundamental Analysis
Europe - EPA:SOP - FR0000050809 - Common Stock
134.9 EUR
+0.3 (+0.22%)
Overall SOP gets a fundamental rating of 5 out of 10. We evaluated SOP against 70 industry peers in the IT Services industry. SOP scores excellent on profitability, but there are some minor concerns on its financial health. SOP is valued quite cheap, while showing a decent growth score. This is a good combination!
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.
Each year in the past 5 years SOP has been profitable.
In the past 5 years SOP always reported a positive cash flow from operatings.
1.2 Ratios
Looking at the Return On Assets, with a value of 4.80%, SOP is in line with its industry, outperforming 57.14% of the companies in the same industry.
With a decent Return On Equity value of 13.71%, SOP is doing good in the industry, outperforming 61.43% of the companies in the same industry.
Looking at the Return On Invested Capital, with a value of 11.01%, SOP is in the better half of the industry, outperforming 74.29% of the companies in the same industry.
The Average Return On Invested Capital over the past 3 years for SOP is significantly below the industry average of 21.24%.
The last Return On Invested Capital (11.01%) for SOP is above the 3 year average (10.67%), which is a sign of increasing profitability.
| 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
Looking at the Profit Margin, with a value of 4.76%, SOP is in the better half of the industry, outperforming 62.86% of the companies in the same industry.
In the last couple of years the Profit Margin of SOP has grown nicely.
SOP has a Operating Margin of 8.80%. This is in the better half of the industry: SOP outperforms 67.14% of its industry peers.
In the last couple of years the Operating Margin of SOP has grown nicely.
The Gross Margin of SOP (76.49%) is better than 68.57% 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
With a Return on Invested Capital (ROIC) well above the Cost of Capital (WACC), SOP is creating value.
Compared to 1 year ago, SOP has less shares outstanding
The number of shares outstanding for SOP has been reduced compared to 5 years ago.
The debt/assets ratio for SOP has been reduced compared to a year ago.
2.2 Solvency
SOP has an Altman-Z score of 2.12. 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.
Looking at the Altman-Z score, with a value of 2.12, SOP is in line with its industry, outperforming 42.86% of the companies in the same industry.
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 has a Debt to FCF ratio (3.23) which is in line with its industry peers.
SOP has a Debt/Equity ratio of 0.48. This is a healthy value indicating a solid balance between debt and equity.
With a Debt to Equity ratio value of 0.48, SOP perfoms like the industry average, outperforming 47.14% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.48 | ||
| Debt/FCF | 3.23 | ||
| Altman-Z | 2.12 |
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 78.57% 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.
The Quick ratio of SOP (0.89) is worse than 71.43% 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.
The Earnings Per Share has been growing by 9.39% on average over the past years. This is quite good.
SOP shows a decrease in Revenue. In the last year, the revenue decreased by -1.23%.
The Revenue has been growing slightly by 5.43% on average over the past years.
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
Based on estimates for the next years, SOP will show a small growth in Earnings Per Share. The EPS will grow by 2.31% on average per year.
The Revenue is expected to grow by 2.75% on average over the next years.
EPS Next Y-6.97%
EPS Next 2Y1.57%
EPS Next 3Y3.6%
EPS Next 5Y2.31%
Revenue Next Year-2.63%
Revenue Next 2Y-0.17%
Revenue Next 3Y0.98%
Revenue Next 5Y2.75%
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
A Price/Earnings ratio of 9.96 indicates a reasonable valuation of SOP.
Compared to the rest of the industry, the Price/Earnings ratio of SOP indicates a rather cheap valuation: SOP is cheaper than 95.71% of the companies listed in the same industry.
SOP's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 26.11.
Based on the Price/Forward Earnings ratio of 7.21, the valuation of SOP can be described as very cheap.
Based on the Price/Forward Earnings ratio, SOP is valued cheaply inside the industry as 91.43% of the companies are valued more expensively.
The average S&P500 Price/Forward Earnings ratio is at 22.55. SOP is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 9.96 | ||
| Fwd PE | 7.21 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, SOP is valued a bit cheaper than the industry average as 77.14% of the companies are valued more expensively.
SOP's Price/Free Cash Flow ratio is rather cheap when compared to the industry. SOP is cheaper than 84.29% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 6.91 | ||
| EV/EBITDA | 5.63 |
4.3 Compensation for Growth
The decent profitability rating of SOP may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)1.06
EPS Next 2Y1.57%
EPS Next 3Y3.6%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 3.45%, SOP has a reasonable but not impressive dividend return.
In the last 3 months the price of SOP has falen by -26.24%. A price decline artificially increases the dividend yield. It may be a sign investors do not expect the dividend to last.
SOP's Dividend Yield is a higher than the industry average which is at 3.86.
SOP's Dividend Yield is a higher than the S&P500 average which is at 2.37.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.45% |
5.2 History
The dividend of SOP is nicely growing with an annual growth rate of 20.50%!
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 3Y3.6%
EPA:SOP (10/31/2025, 7:00:00 PM)
134.9
+0.3 (+0.22%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSoftware & Services
GICS IndustryIT Services
Earnings (Last)
Earnings (Next)
Inst Owners43.75%
Inst Owner ChangeN/A
Ins Owners0.18%
Ins Owner ChangeN/A
Market Cap2.77B
Revenue(TTM)5.67B
Net Income(TTM)269.80M
Analysts84.29
Price Target218.18 (61.73%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.45% |
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)-6.06%
PT rev (3m)-6.27%
EPS NQ rev (1m)N/A
EPS NQ rev (3m)N/A
EPS NY rev (1m)0%
EPS NY rev (3m)-5.8%
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)0%
Revenue NY rev (3m)-2.44%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 9.96 | ||
| Fwd PE | 7.21 | ||
| P/S | 0.49 | ||
| P/FCF | 6.91 | ||
| P/OCF | 5.92 | ||
| P/B | 1.41 | ||
| P/tB | N/A | ||
| EV/EBITDA | 5.63 |
EPS(TTM)13.54
EY10.04%
EPS(NY)18.71
Fwd EY13.87%
FCF(TTM)19.52
FCFY14.47%
OCF(TTM)22.79
OCFY16.89%
SpS275.97
BVpS95.8
TBVpS-30.03
PEG (NY)N/A
PEG (5Y)1.06
Graham Number170.83
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%
ROICexgc growth 3Y39.77%
ROICexgc 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 | 2.12 |
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-6.97%
EPS Next 2Y1.57%
EPS Next 3Y3.6%
EPS Next 5Y2.31%
Revenue 1Y (TTM)-1.23%
Revenue growth 3Y7.25%
Revenue growth 5Y5.43%
Sales Q2Q%-3.58%
Revenue Next Year-2.63%
Revenue Next 2Y-0.17%
Revenue Next 3Y0.98%
Revenue Next 5Y2.75%
EBIT growth 1Y1.09%
EBIT growth 3Y13.16%
EBIT growth 5Y11%
EBIT Next Year32.56%
EBIT Next 3Y13.38%
EBIT Next 5Y8.73%
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%
SOPRA STERIA GROUP / SOP.PA FAQ
What is the fundamental rating for SOP stock?
ChartMill assigns a fundamental rating of 5 / 10 to SOP.PA.
Can you provide the valuation status for SOPRA STERIA GROUP?
ChartMill assigns a valuation rating of 7 / 10 to SOPRA STERIA GROUP (SOP.PA). This can be considered as Undervalued.
Can you provide the profitability details for SOPRA STERIA GROUP?
SOPRA STERIA GROUP (SOP.PA) has a profitability rating of 7 / 10.
Can you provide the PE and PB ratios for SOP stock?
The Price/Earnings (PE) ratio for SOPRA STERIA GROUP (SOP.PA) is 9.96 and the Price/Book (PB) ratio is 1.41.
What is the earnings growth outlook for SOPRA STERIA GROUP?
The Earnings per Share (EPS) of SOPRA STERIA GROUP (SOP.PA) is expected to decline by -6.97% in the next year.