SWISSCOM AG-REG (SWJ.DE) Stock Fundamental Analysis
FRA:SWJ - Deutsche Boerse Ag - CH0008742519 - Common Stock - Currency: EUR
SWJ gets a fundamental rating of 4 out of 10. The analysis compared the fundamentals against 30 industry peers in the Diversified Telecommunication Services industry. While SWJ is still in line with the averages on profitability rating, there are concerns on its financial health. SWJ does not seem to be growing, but still is valued expensively.
1. Profitability
1.1 Basic Checks
SWJ had positive earnings in the past year.
In the past year SWJ had a positive cash flow from operations.
SWJ had positive earnings in each of the past 5 years.
SWJ had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
SWJ has a Return On Assets of 3.90%. This is comparable to the rest of the industry: SWJ outperforms 60.00% of its industry peers.
With a Return On Equity value of 11.54%, SWJ perfoms like the industry average, outperforming 60.00% of the companies in the same industry.
The Return On Invested Capital of SWJ (5.09%) is worse than 66.67% of its industry peers.
The Average Return On Invested Capital over the past 3 years for SWJ is in line with the industry average of 7.68%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.9% | ||
| ROE | 11.54% | ||
| ROIC | 5.09% |
ROA(3y)5.85%
ROA(5y)6.25%
ROE(3y)13.92%
ROE(5y)14.96%
ROIC(3y)8.06%
ROIC(5y)8.1%
1.3 Margins
With a decent Profit Margin value of 12.02%, SWJ is doing good in the industry, outperforming 76.67% of the companies in the same industry.
SWJ's Profit Margin has been stable in the last couple of years.
Looking at the Operating Margin, with a value of 15.45%, SWJ is in line with its industry, outperforming 60.00% of the companies in the same industry.
SWJ's Operating Margin has improved in the last couple of years.
SWJ has a Gross Margin of 78.56%. This is amongst the best in the industry. SWJ outperforms 83.33% of its industry peers.
In the last couple of years the Gross Margin of SWJ has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 15.45% | ||
| PM (TTM) | 12.02% | ||
| GM | 78.56% |
OM growth 3Y2.23%
OM growth 5Y3.43%
PM growth 3Y-5.17%
PM growth 5Y-0.87%
GM growth 3Y-0.3%
GM growth 5Y-0.04%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is well above the Cost of Capital (WACC), so SWJ is creating value.
Compared to 1 year ago, SWJ has about the same amount of shares outstanding.
Compared to 5 years ago, SWJ has about the same amount of shares outstanding.
SWJ has a worse debt/assets ratio than last year.
2.2 Solvency
SWJ has an Altman-Z score of 1.72. This is a bad value and indicates that SWJ is not financially healthy and even has some risk of bankruptcy.
SWJ has a better Altman-Z score (1.72) than 83.33% of its industry peers.
The Debt to FCF ratio of SWJ is 7.14, which is on the high side as it means it would take SWJ, 7.14 years of fcf income to pay off all of its debts.
The Debt to FCF ratio of SWJ (7.14) is comparable to the rest of the industry.
A Debt/Equity ratio of 1.23 is on the high side and indicates that SWJ has dependencies on debt financing.
The Debt to Equity ratio of SWJ (1.23) is worse than 63.33% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.23 | ||
| Debt/FCF | 7.14 | ||
| Altman-Z | 1.72 |
ROIC/WACC1.29
WACC3.93%
2.3 Liquidity
A Current Ratio of 0.85 indicates that SWJ may have some problems paying its short term obligations.
SWJ's Current ratio of 0.85 is fine compared to the rest of the industry. SWJ outperforms 63.33% of its industry peers.
SWJ has a Quick Ratio of 0.85. This is a bad value and indicates that SWJ is not financially healthy enough and could expect problems in meeting its short term obligations.
SWJ's Quick ratio of 0.81 is in line compared to the rest of the industry. SWJ outperforms 60.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.85 | ||
| Quick Ratio | 0.81 |
3. Growth
3.1 Past
SWJ shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -15.66%.
The Earnings Per Share has been decreasing by -1.60% on average over the past years.
Looking at the last year, SWJ shows a quite strong growth in Revenue. The Revenue has grown by 9.65% in the last year.
The Revenue has been decreasing by -0.74% on average over the past years.
EPS 1Y (TTM)-15.66%
EPS 3Y-5.59%
EPS 5Y-1.6%
EPS Q2Q%-19.36%
Revenue 1Y (TTM)9.65%
Revenue growth 3Y-0.44%
Revenue growth 5Y-0.74%
Sales Q2Q%39.07%
3.2 Future
SWJ is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 1.15% yearly.
The Revenue is expected to grow by 5.57% on average over the next years.
EPS Next Y-3.62%
EPS Next 2Y0.57%
EPS Next 3Y2.69%
EPS Next 5Y1.15%
Revenue Next Year32.13%
Revenue Next 2Y14.77%
Revenue Next 3Y11.02%
Revenue Next 5Y5.57%
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 accelerating.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 20.31, the valuation of SWJ can be described as rather expensive.
SWJ's Price/Earnings ratio is in line with the industry average.
When comparing the Price/Earnings ratio of SWJ to the average of the S&P500 Index (28.04), we can say SWJ is valued slightly cheaper.
A Price/Forward Earnings ratio of 18.93 indicates a rather expensive valuation of SWJ.
Compared to the rest of the industry, the Price/Forward Earnings ratio of SWJ indicates a slightly more expensive valuation: SWJ is more expensive than 66.67% of the companies listed in the same industry.
SWJ is valuated rather cheaply when we compare the Price/Forward Earnings ratio to 37.64, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 20.31 | ||
| Fwd PE | 18.93 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, SWJ is valued a bit more expensive than the industry average as 66.67% of the companies are valued more cheaply.
SWJ's Price/Free Cash Flow ratio is in line with the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 12.84 | ||
| EV/EBITDA | 9.24 |
4.3 Compensation for Growth
The decent profitability rating of SWJ may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y0.57%
EPS Next 3Y2.69%
5. Dividend
5.1 Amount
SWJ has a Yearly Dividend Yield of 3.86%.
SWJ's Dividend Yield is comparable with the industry average which is at 4.25.
SWJ's Dividend Yield is rather good when compared to the S&P500 average which is at 2.31.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.86% |
5.2 History
Dividend Growth(5Y)0%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
78.40% of the earnings are spent on dividend by SWJ. This is not a sustainable payout ratio.
DP78.4%
EPS Next 2Y0.57%
EPS Next 3Y2.69%
FRA:SWJ (7/25/2025, 7:00:00 PM)
610
+5.5 (+0.91%)
Chartmill FA Rating
GICS SectorCommunication Services
GICS IndustryGroupTelecommunication Services
GICS IndustryDiversified Telecommunication Services
Earnings (Last)
Earnings (Next)
Inst Owners18.26%
Inst Owner ChangeN/A
Ins Owners0.03%
Ins Owner ChangeN/A
Market Cap31.60B
Analysts54.4
Price Target580.24 (-4.88%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.86% |
Yearly Dividend23.55
Dividend Growth(5Y)0%
DP78.4%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)12.97%
Min EPS beat(2)-8.14%
Max EPS beat(2)34.08%
EPS beat(4)2
Avg EPS beat(4)5.82%
Min EPS beat(4)-8.14%
Max EPS beat(4)34.08%
EPS beat(8)4
Avg EPS beat(8)2.97%
EPS beat(12)7
Avg EPS beat(12)4.4%
EPS beat(16)11
Avg EPS beat(16)7.44%
Revenue beat(2)0
Avg Revenue beat(2)-1.92%
Min Revenue beat(2)-1.98%
Max Revenue beat(2)-1.85%
Revenue beat(4)1
Avg Revenue beat(4)-1.73%
Min Revenue beat(4)-3.41%
Max Revenue beat(4)0.33%
Revenue beat(8)1
Avg Revenue beat(8)-2.12%
Revenue beat(12)1
Avg Revenue beat(12)-2.14%
Revenue beat(16)1
Avg Revenue beat(16)-2.15%
PT rev (1m)0.66%
PT rev (3m)N/A
EPS NQ rev (1m)-3.26%
EPS NQ rev (3m)N/A
EPS NY rev (1m)0%
EPS NY rev (3m)N/A
Revenue NQ rev (1m)-0.08%
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)0%
Revenue NY rev (3m)N/A
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 20.31 | ||
| Fwd PE | 18.93 | ||
| P/S | 2.44 | ||
| P/FCF | 12.84 | ||
| P/OCF | 6.2 | ||
| P/B | 2.34 | ||
| P/tB | 1230.08 | ||
| EV/EBITDA | 9.24 |
EPS(TTM)30.04
EY4.92%
EPS(NY)32.23
Fwd EY5.28%
FCF(TTM)47.52
FCFY7.79%
OCF(TTM)98.33
OCFY16.12%
SpS249.85
BVpS260.31
TBVpS0.5
PEG (NY)N/A
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.9% | ||
| ROE | 11.54% | ||
| ROCE | 6.15% | ||
| ROIC | 5.09% | ||
| ROICexc | 5.27% | ||
| ROICexgc | 9.22% | ||
| OM | 15.45% | ||
| PM (TTM) | 12.02% | ||
| GM | 78.56% | ||
| FCFM | 19.02% |
ROA(3y)5.85%
ROA(5y)6.25%
ROE(3y)13.92%
ROE(5y)14.96%
ROIC(3y)8.06%
ROIC(5y)8.1%
ROICexc(3y)8.23%
ROICexc(5y)8.29%
ROICexgc(3y)13.09%
ROICexgc(5y)12.99%
ROCE(3y)9.76%
ROCE(5y)9.81%
ROICexcg growth 3Y-4.3%
ROICexcg growth 5Y-2.65%
ROICexc growth 3Y-9.26%
ROICexc growth 5Y-5.03%
OM growth 3Y2.23%
OM growth 5Y3.43%
PM growth 3Y-5.17%
PM growth 5Y-0.87%
GM growth 3Y-0.3%
GM growth 5Y-0.04%
F-Score3
Asset Turnover0.32
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.23 | ||
| Debt/FCF | 7.14 | ||
| Debt/EBITDA | 3.19 | ||
| Cap/Depr | 82.41% | ||
| Cap/Sales | 20.34% | ||
| Interest Coverage | 10.67 | ||
| Cash Conversion | 98.08% | ||
| Profit Quality | 158.18% | ||
| Current Ratio | 0.85 | ||
| Quick Ratio | 0.81 | ||
| Altman-Z | 1.72 |
F-Score3
WACC3.93%
ROIC/WACC1.29
Cap/Depr(3y)95.31%
Cap/Depr(5y)93.98%
Cap/Sales(3y)20.66%
Cap/Sales(5y)20.4%
Profit Quality(3y)103.76%
Profit Quality(5y)107.52%
High Growth Momentum
Growth
EPS 1Y (TTM)-15.66%
EPS 3Y-5.59%
EPS 5Y-1.6%
EPS Q2Q%-19.36%
EPS Next Y-3.62%
EPS Next 2Y0.57%
EPS Next 3Y2.69%
EPS Next 5Y1.15%
Revenue 1Y (TTM)9.65%
Revenue growth 3Y-0.44%
Revenue growth 5Y-0.74%
Sales Q2Q%39.07%
Revenue Next Year32.13%
Revenue Next 2Y14.77%
Revenue Next 3Y11.02%
Revenue Next 5Y5.57%
EBIT growth 1Y-14.82%
EBIT growth 3Y1.78%
EBIT growth 5Y2.66%
EBIT Next Year181.93%
EBIT Next 3Y46.66%
EBIT Next 5Y20.12%
FCF growth 1Y31.96%
FCF growth 3Y-1.62%
FCF growth 5Y1.2%
OCF growth 1Y17.39%
OCF growth 3Y-0.56%
OCF growth 5Y-0.02%