SNAM SPA (SRG.MI) Stock Fundamental Analysis
Europe - BIT:SRG - IT0003153415 - Common Stock
5.266 EUR
+0.03 (+0.57%)
Overall SRG gets a fundamental rating of 4 out of 10. We evaluated SRG against 4 industry peers in the Gas Utilities industry. While SRG is still in line with the averages on profitability rating, there are concerns on its financial health. SRG has a decent growth rate and is not valued too expensively.
1. Profitability
1.1 Basic Checks
SRG had positive earnings in the past year.
In the past year SRG had a positive cash flow from operations.
In the past 5 years SRG has always been profitable.
SRG had a positive operating cash flow in 4 of the past 5 years.
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.
SRG has a better Return On Equity (24.13%) than 75.00% of its industry peers.
SRG has a Return On Invested Capital (7.18%) which is in line with its industry peers.
SRG had an Average Return On Invested Capital over the past 3 years of 4.63%. This is in line with the industry average of 6.52%.
The last Return On Invested Capital (7.18%) for SRG is above the 3 year average (4.63%), which is a sign of increasing profitability.
| 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
Looking at the Profit Margin, with a value of 40.11%, SRG belongs to the top of the industry, outperforming 100.00% of the companies in the same industry.
SRG's Profit Margin has declined in the last couple of years.
With an excellent Operating Margin value of 49.28%, SRG belongs to the best of the industry, outperforming 100.00% of the companies in the same industry.
In the last couple of years the Operating Margin of SRG has declined.
SRG's Gross Margin of 51.90% is in line compared to the rest of the industry. SRG outperforms 50.00% of its industry peers.
In the last couple of years the Gross Margin of SRG has remained more or less at the same level.
| 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.
The number of shares outstanding for SRG has been increased compared to 5 years ago.
The debt/assets ratio for SRG is higher compared to a year ago.
2.2 Solvency
SRG has an Altman-Z score of 0.96. This is a bad value and indicates that SRG is not financially healthy and even has some risk of bankruptcy.
SRG has a Altman-Z score of 0.96. This is comparable to the rest of the industry: SRG outperforms 50.00% of its industry peers.
A Debt/Equity ratio of 1.87 is on the high side and indicates that SRG has dependencies on debt financing.
SRG has a Debt to Equity ratio of 1.87. This is comparable to the rest of the industry: SRG outperforms 50.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.87 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 0.96 |
ROIC/WACC1.48
WACC4.86%
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 of 0.90. This is in the better half of the industry: SRG outperforms 75.00% of its industry peers.
SRG has a Quick 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.
The Quick ratio of SRG (0.66) is comparable to the rest of the 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.
Looking at the last year, SRG shows a decrease in Revenue. The Revenue has decreased by -7.46% in the last year.
Measured over the past years, SRG shows a small growth in Revenue. The Revenue has been growing by 6.01% on average per year.
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
Based on estimates for the next years, SRG will show a small growth in Earnings Per Share. The EPS will grow by 3.64% on average per year.
SRG is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 2.96% yearly.
EPS Next Y8.76%
EPS Next 2Y4.5%
EPS Next 3Y4.63%
EPS Next 5Y3.64%
Revenue Next Year0.05%
Revenue Next 2Y3.01%
Revenue Next 3Y3.82%
Revenue Next 5Y2.96%
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.
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
SRG is valuated correctly with a Price/Earnings ratio of 13.16.
SRG's Price/Earnings ratio is a bit more expensive when compared to the industry. SRG is more expensive than 75.00% of the companies in the same industry.
The average S&P500 Price/Earnings ratio is at 27.29. SRG is valued rather cheaply when compared to this.
A Price/Forward Earnings ratio of 12.62 indicates a correct valuation of SRG.
SRG's Price/Forward Earnings is on the same level as the industry average.
The average S&P500 Price/Forward Earnings ratio is at 22.85. SRG is valued slightly cheaper when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 13.17 | ||
| Fwd PE | 12.62 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of SRG indicates a somewhat cheap valuation: SRG is cheaper than 75.00% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 9.18 |
4.3 Compensation for Growth
The PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
The decent profitability rating of SRG may justify a higher PE ratio.
PEG (NY)1.5
PEG (5Y)4.43
EPS Next 2Y4.5%
EPS Next 3Y4.63%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 5.67%, SRG is a good candidate for dividend investing.
Compared to an average industry Dividend Yield of 5.47, 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 | 5.67% |
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
43.67% of the earnings are spent on dividend by SRG. This is a bit on the high side, but may be sustainable.
SRG's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP43.67%
EPS Next 2Y4.5%
EPS Next 3Y4.63%
BIT:SRG (10/17/2025, 4:38:59 PM)
5.266
+0.03 (+0.57%)
Chartmill FA Rating
GICS SectorUtilities
GICS IndustryGroupUtilities
GICS IndustryGas Utilities
Earnings (Last)
Earnings (Next)
Inst Owners29.49%
Inst Owner ChangeN/A
Ins Owners7.45%
Ins Owner ChangeN/A
Market Cap17.70B
Analysts68.7
Price Target5.53 (5.01%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.67% |
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)0.41%
PT rev (3m)0.71%
EPS NQ rev (1m)0%
EPS NQ rev (3m)1.78%
EPS NY rev (1m)0%
EPS NY rev (3m)3.61%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)1.26%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-0.88%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 13.17 | ||
| Fwd PE | 12.62 | ||
| P/S | 3.22 | ||
| P/FCF | N/A | ||
| P/OCF | 9.42 | ||
| P/B | 1.94 | ||
| P/tB | 2.44 | ||
| EV/EBITDA | 9.18 |
EPS(TTM)0.4
EY7.6%
EPS(NY)0.42
Fwd EY7.92%
FCF(TTM)-0.29
FCFYN/A
OCF(TTM)0.56
OCFY10.61%
SpS1.64
BVpS2.72
TBVpS2.16
PEG (NY)1.5
PEG (5Y)4.43
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 | 0.96 |
F-Score5
WACC4.86%
ROIC/WACC1.48
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 2Y4.5%
EPS Next 3Y4.63%
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 5Y2.96%
EBIT growth 1Y11.62%
EBIT growth 3Y5.97%
EBIT growth 5Y3.08%
EBIT Next Year69.4%
EBIT Next 3Y23.61%
EBIT Next 5Y14.97%
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%