SNAM SPA (SRG.MI) Stock Fundamental Analysis
Europe - BIT:SRG - IT0003153415 - Common Stock
5.14 EUR
+0.02 (+0.47%)
SRG gets a fundamental rating of 4 out of 10. The analysis compared the fundamentals against 4 industry peers in the Gas Utilities industry. SRG has a medium profitability rating, but doesn't score so well on its financial health evaluation. SRG is quite expensive at the moment. It does show a decent growth rate.
1. Profitability
1.1 Basic Checks
In the past year SRG was profitable.
In the past year SRG had a positive cash flow from operations.
In the past 5 years SRG has always been profitable.
Of the past 5 years SRG 4 years had a positive operating cash flow.
1.2 Ratios
Looking at the Return On Assets, with a value of 6.13%, SRG belongs to the top of the industry, outperforming 100.00% of the companies in the same industry.
Looking at the Return On Equity, with a value of 24.13%, SRG is in the better half of the industry, outperforming 80.00% of the companies in the same industry.
The Return On Invested Capital of SRG (7.18%) is comparable to the rest of the industry.
The Average Return On Invested Capital over the past 3 years for SRG is in line with the industry average of 6.52%.
The 3 year average ROIC (4.63%) for SRG is below the current ROIC(7.18%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.13% | ||
| ROE | 24.13% | ||
| ROIC | 7.18% |
ROA(3y)2.99%
ROA(5y)3.75%
ROE(3y)12.65%
ROE(5y)15.15%
ROIC(3y)4.63%
ROIC(5y)4.83%
1.3 Margins
SRG has a better Profit Margin (40.11%) than 100.00% of its industry peers.
SRG's Profit Margin has declined in the last couple of years.
The Operating Margin of SRG (49.28%) is better than 100.00% of its industry peers.
In the last couple of years the Operating Margin of SRG has declined.
SRG has a Gross Margin (51.90%) which is comparable to the rest of the industry.
SRG's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 49.28% | ||
| PM (TTM) | 40.11% | ||
| GM | 51.9% |
OM growth 3Y3.22%
OM growth 5Y-2.76%
PM growth 3Y-8.04%
PM growth 5Y-2.91%
GM growth 3Y4.14%
GM growth 5Y-0.97%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so SRG is still creating some value.
The number of shares outstanding for SRG remains at a similar level compared to 1 year ago.
Compared to 5 years ago, SRG has more shares outstanding
The debt/assets ratio for SRG is higher compared to a year ago.
2.2 Solvency
Based on the Altman-Z score of 0.95, we must say that SRG is in the distress zone and has some risk of bankruptcy.
SRG has a Altman-Z score of 0.95. This is in the lower half of the industry: SRG underperforms 60.00% of its industry peers.
SRG has a Debt/Equity ratio of 1.87. This is a high value indicating a heavy dependency on external financing.
With a Debt to Equity ratio value of 1.87, SRG is not doing good in the industry: 60.00% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.87 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 0.95 |
ROIC/WACC1.49
WACC4.81%
2.3 Liquidity
SRG has a Current Ratio of 0.90. This is a bad value and indicates that SRG is not financially healthy enough and could expect problems in meeting its short term obligations.
SRG has a Current ratio (0.90) which is in line with its industry peers.
A Quick Ratio of 0.66 indicates that SRG may have some problems paying its short term obligations.
Looking at the Quick ratio, with a value of 0.66, SRG is doing worse than 60.00% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.9 | ||
| Quick Ratio | 0.66 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an nice 12.43% over the past year.
SRG shows a small growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 2.97% yearly.
SRG shows a decrease in Revenue. In the last year, the revenue decreased by -7.46%.
SRG shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 6.01% yearly.
EPS 1Y (TTM)12.43%
EPS 3Y-5.86%
EPS 5Y2.97%
EPS Q2Q%-4.76%
Revenue 1Y (TTM)-7.46%
Revenue growth 3Y2.67%
Revenue growth 5Y6.01%
Sales Q2Q%3.54%
3.2 Future
The Earnings Per Share is expected to grow by 3.64% on average over the next years.
Based on estimates for the next years, SRG will show a small growth in Revenue. The Revenue will grow by 3.12% on average per year.
EPS Next Y8.76%
EPS Next 2Y4.74%
EPS Next 3Y4.65%
EPS Next 5Y3.64%
Revenue Next Year0.05%
Revenue Next 2Y3.01%
Revenue Next 3Y3.82%
Revenue Next 5Y3.12%
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 accelerating.
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
The Price/Earnings ratio is 12.85, which indicates a correct valuation of SRG.
80.00% of the companies in the same industry are cheaper than SRG, based on the Price/Earnings ratio.
SRG is valuated cheaply when we compare the Price/Earnings ratio to 27.30, which is the current average of the S&P500 Index.
A Price/Forward Earnings ratio of 12.26 indicates a correct valuation of SRG.
The rest of the industry has a similar Price/Forward Earnings ratio as SRG.
Compared to an average S&P500 Price/Forward Earnings ratio of 22.73, SRG is valued a bit cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.85 | ||
| Fwd PE | 12.26 |
4.2 Price Multiples
60.00% of the companies in the same industry are cheaper than SRG, based on the Enterprise Value to EBITDA ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 9.1 |
4.3 Compensation for Growth
The PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
SRG has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)1.47
PEG (5Y)4.33
EPS Next 2Y4.74%
EPS Next 3Y4.65%
5. Dividend
5.1 Amount
SRG has a Yearly Dividend Yield of 5.68%, which is a nice return.
Compared to an average industry Dividend Yield of 5.76, SRG pays a bit more dividend than its industry peers.
Compared to an average S&P500 Dividend Yield of 2.38, SRG pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.68% |
5.2 History
The dividend of SRG has a limited annual growth rate of 4.51%.
Dividend Growth(5Y)4.51%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
SRG pays out 43.67% of its income as dividend. This is a bit on the high side, but may be sustainable.
The dividend of SRG is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP43.67%
EPS Next 2Y4.74%
EPS Next 3Y4.65%
BIT:SRG (9/12/2025, 7:00:00 PM)
5.14
+0.02 (+0.47%)
Chartmill FA Rating
GICS SectorUtilities
GICS IndustryGroupUtilities
GICS IndustryGas Utilities
Earnings (Last)
Earnings (Next)
Inst Owners23.72%
Inst Owner ChangeN/A
Ins Owners7.45%
Ins Owner ChangeN/A
Market Cap17.27B
Analysts69.57
Price Target5.54 (7.78%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.68% |
Yearly Dividend0.28
Dividend Growth(5Y)4.51%
DP43.67%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)5.67%
Min EPS beat(2)-6.3%
Max EPS beat(2)17.64%
EPS beat(4)2
Avg EPS beat(4)2.44%
Min EPS beat(4)-13.92%
Max EPS beat(4)17.64%
EPS beat(8)4
Avg EPS beat(8)2.26%
EPS beat(12)6
Avg EPS beat(12)0.08%
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)0
Avg Revenue beat(2)-0.95%
Min Revenue beat(2)-1.8%
Max Revenue beat(2)-0.11%
Revenue beat(4)0
Avg Revenue beat(4)-7.75%
Min Revenue beat(4)-25.83%
Max Revenue beat(4)-0.11%
Revenue beat(8)2
Avg Revenue beat(8)2.07%
Revenue beat(12)5
Avg Revenue beat(12)12.97%
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)0.77%
PT rev (3m)1.26%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-4.33%
EPS NY rev (1m)3.61%
EPS NY rev (3m)3.61%
Revenue NQ rev (1m)0.67%
Revenue NQ rev (3m)2.51%
Revenue NY rev (1m)-0.25%
Revenue NY rev (3m)-0.88%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.85 | ||
| Fwd PE | 12.26 | ||
| P/S | 3.14 | ||
| P/FCF | N/A | ||
| P/OCF | 9.2 | ||
| P/B | 1.89 | ||
| P/tB | 2.38 | ||
| EV/EBITDA | 9.1 |
EPS(TTM)0.4
EY7.78%
EPS(NY)0.42
Fwd EY8.15%
FCF(TTM)-0.29
FCFYN/A
OCF(TTM)0.56
OCFY10.87%
SpS1.64
BVpS2.72
TBVpS2.16
PEG (NY)1.47
PEG (5Y)4.33
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.13% | ||
| ROE | 24.13% | ||
| ROCE | 9.95% | ||
| ROIC | 7.18% | ||
| ROICexc | 7.68% | ||
| ROICexgc | 8.27% | ||
| OM | 49.28% | ||
| PM (TTM) | 40.11% | ||
| GM | 51.9% | ||
| FCFM | N/A |
ROA(3y)2.99%
ROA(5y)3.75%
ROE(3y)12.65%
ROE(5y)15.15%
ROIC(3y)4.63%
ROIC(5y)4.83%
ROICexc(3y)4.97%
ROICexc(5y)5.28%
ROICexgc(3y)5.31%
ROICexgc(5y)5.63%
ROCE(3y)6.69%
ROCE(5y)7.13%
ROICexcg growth 3Y-1.38%
ROICexcg growth 5Y-4.6%
ROICexc growth 3Y-1.53%
ROICexc growth 5Y-4.68%
OM growth 3Y3.22%
OM growth 5Y-2.76%
PM growth 3Y-8.04%
PM growth 5Y-2.91%
GM growth 3Y4.14%
GM growth 5Y-0.97%
F-Score5
Asset Turnover0.15
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.87 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 4.52 | ||
| Cap/Depr | 262.59% | ||
| Cap/Sales | 51.59% | ||
| Interest Coverage | 6.56 | ||
| Cash Conversion | 49.56% | ||
| Profit Quality | N/A | ||
| Current Ratio | 0.9 | ||
| Quick Ratio | 0.66 | ||
| Altman-Z | 0.95 |
F-Score5
WACC4.81%
ROIC/WACC1.49
Cap/Depr(3y)209.59%
Cap/Depr(5y)186.27%
Cap/Sales(3y)52.8%
Cap/Sales(5y)47.64%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)12.43%
EPS 3Y-5.86%
EPS 5Y2.97%
EPS Q2Q%-4.76%
EPS Next Y8.76%
EPS Next 2Y4.74%
EPS Next 3Y4.65%
EPS Next 5Y3.64%
Revenue 1Y (TTM)-7.46%
Revenue growth 3Y2.67%
Revenue growth 5Y6.01%
Sales Q2Q%3.54%
Revenue Next Year0.05%
Revenue Next 2Y3.01%
Revenue Next 3Y3.82%
Revenue Next 5Y3.12%
EBIT growth 1Y11.62%
EBIT growth 3Y5.97%
EBIT growth 5Y3.08%
EBIT Next Year68.21%
EBIT Next 3Y23.17%
EBIT Next 5Y15.19%
FCF growth 1Y-103.83%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y75.19%
OCF growth 3Y10.68%
OCF growth 5Y4.07%