CS Group (SX.PA) Stock Fundamental Analysis
Europe - Euronext Paris - EPA:SX - FR0007317813 - Common Stock
11.5 EUR
-0.05 (-0.43%)
Overall SX gets a fundamental rating of 3 out of 10. We evaluated SX against 76 industry peers in the IT Services industry. Both the profitability and financial health of SX have multiple concerns. SX is quite expensive at the moment. It does show a decent growth rate.
1. Profitability
1.1 Basic Checks
SX had positive earnings in the past year.
In the past year SX had a positive cash flow from operations.
1.2 Ratios
SX's Return On Assets of 0.29% is on the low side compared to the rest of the industry. SX is outperformed by 70.00% of its industry peers.
With a Return On Equity value of 1.87%, SX is not doing good in the industry: 67.14% of the companies in the same industry are doing better.
SX's Return On Invested Capital of 5.52% is on the low side compared to the rest of the industry. SX is outperformed by 61.43% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.29% | ||
| ROE | 1.87% | ||
| ROIC | 5.52% |
ROA(3y)N/A
ROA(5y)N/A
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
SX has a Profit Margin of 0.45%. This is in the lower half of the industry: SX underperforms 71.43% of its industry peers.
The Operating Margin of SX (4.86%) is worse than 60.00% of its industry peers.
SX's Operating Margin has declined in the last couple of years.
The Gross Margin of SX (65.47%) is comparable to the rest of the industry.
SX's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 4.86% | ||
| PM (TTM) | 0.45% | ||
| GM | 65.47% |
OM growth 3Y-27.8%
OM growth 5Y-4.31%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y1.21%
GM growth 5Y0.28%
2. Health
2.1 Basic Checks
SX has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
Compared to 1 year ago, SX has about the same amount of shares outstanding.
SX has a better debt/assets ratio than last year.
2.2 Solvency
Based on the Altman-Z score of 1.15, we must say that SX is in the distress zone and has some risk of bankruptcy.
The Altman-Z score of SX (1.15) is worse than 78.57% of its industry peers.
The Debt to FCF ratio of SX is 72.35, which is on the high side as it means it would take SX, 72.35 years of fcf income to pay off all of its debts.
SX has a Debt to FCF ratio of 72.35. This is in the lower half of the industry: SX underperforms 64.29% of its industry peers.
A Debt/Equity ratio of 1.26 is on the high side and indicates that SX has dependencies on debt financing.
Looking at the Debt to Equity ratio, with a value of 1.26, SX is doing worse than 81.43% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.26 | ||
| Debt/FCF | 72.35 | ||
| Altman-Z | 1.15 |
ROIC/WACC0.65
WACC8.47%
2.3 Liquidity
A Current Ratio of 1.03 indicates that SX should not have too much problems paying its short term obligations.
SX has a Current ratio of 1.03. This is in the lower half of the industry: SX underperforms 68.57% of its industry peers.
SX has a Quick Ratio of 1.01. This is a normal value and indicates that SX is financially healthy and should not expect problems in meeting its short term obligations.
Looking at the Quick ratio, with a value of 1.01, SX is doing worse than 65.71% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.03 | ||
| Quick Ratio | 1.01 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 129.61% over the past year.
SX shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 14.45%.
SX shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 6.11% yearly.
EPS 1Y (TTM)129.61%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%54.97%
Revenue 1Y (TTM)14.45%
Revenue growth 3Y5.63%
Revenue growth 5Y6.11%
Sales Q2Q%13.97%
3.2 Future
The Earnings Per Share is expected to grow by 197.44% on average over the next years. This is a very strong growth
SX is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 17.81% yearly.
EPS Next Y292.98%
EPS Next 2Y331.85%
EPS Next 3Y197.44%
EPS Next 5YN/A
Revenue Next Year20.77%
Revenue Next 2Y21.04%
Revenue Next 3Y17.81%
Revenue Next 5YN/A
3.3 Evolution
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
A Price/Earnings ratio of 230.00 indicates a quite expensive valuation of SX.
SX's Price/Earnings ratio is a bit more expensive when compared to the industry. SX is more expensive than 71.43% of the companies in the same industry.
Compared to an average S&P500 Price/Earnings ratio of 26.57, SX is valued quite expensively.
A Price/Forward Earnings ratio of 21.01 indicates a rather expensive valuation of SX.
Based on the Price/Forward Earnings ratio, SX is valued a bit more expensive than the industry average as 60.00% of the companies are valued more cheaply.
SX is valuated at similar levels of the S&P average when we compare the Price/Forward Earnings ratio to 24.04, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 230 | ||
| Fwd PE | 21.01 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, SX is valued a bit more expensive than the industry average as 62.86% of the companies are valued more cheaply.
SX's Price/Free Cash Flow ratio is a bit more expensive when compared to the industry. SX is more expensive than 61.43% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 138.83 | ||
| EV/EBITDA | 13.3 |
4.3 Compensation for Growth
SX's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
SX's earnings are expected to grow with 197.44% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.79
PEG (5Y)N/A
EPS Next 2Y331.85%
EPS Next 3Y197.44%
5. Dividend
5.1 Amount
With a yearly dividend of 0.35%, SX is not a good candidate for dividend investing.
Compared to an average industry Dividend Yield of 2.28, SX has a dividend in line with its industry peers.
Compared to an average S&P500 Dividend Yield of 2.00, SX's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.35% |
5.2 History
The dividend of SX decreases each year by -30.50%.
Dividend Growth(5Y)-30.5%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
DP0%
EPS Next 2Y331.85%
EPS Next 3Y197.44%
EPA:SX (4/28/2023, 7:00:00 PM)
11.5
-0.05 (-0.43%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSoftware & Services
GICS IndustryIT Services
Earnings (Last)
Earnings (Next)
Inst OwnersN/A
Inst Owner ChangeN/A
Ins OwnersN/A
Ins Owner ChangeN/A
Market Cap281.82M
Revenue(TTM)253.50M
Net Income(TTM)1.15M
Analysts40
Price Target11.73 (2%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.35% |
Yearly Dividend0.04
Dividend Growth(5Y)-30.5%
DP0%
Div Incr Years0
Div Non Decr Years0
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%
PT rev (3m)0%
EPS NQ rev (1m)N/A
EPS NQ rev (3m)N/A
EPS NY rev (1m)-49.55%
EPS NY rev (3m)-49.55%
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)1.89%
Revenue NY rev (3m)1.89%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 230 | ||
| Fwd PE | 21.01 | ||
| P/S | 1.11 | ||
| P/FCF | 138.83 | ||
| P/OCF | 36.94 | ||
| P/B | 4.61 | ||
| P/tB | N/A | ||
| EV/EBITDA | 13.3 |
EPS(TTM)0.05
EY0.43%
EPS(NY)0.55
Fwd EY4.76%
FCF(TTM)0.08
FCFY0.72%
OCF(TTM)0.31
OCFY2.71%
SpS10.34
BVpS2.5
TBVpS-1.42
PEG (NY)0.79
PEG (5Y)N/A
Graham NumberN/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.29% | ||
| ROE | 1.87% | ||
| ROCE | N/A | ||
| ROIC | 5.52% | ||
| ROICexc | 14.63% | ||
| ROICexgc | N/A | ||
| OM | 4.86% | ||
| PM (TTM) | 0.45% | ||
| GM | 65.47% | ||
| FCFM | N/A |
ROA(3y)N/A
ROA(5y)N/A
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)7.22%
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexgc growth 3YN/A
ROICexgc growth 5YN/A
ROICexc growth 3Y-12.05%
ROICexc growth 5Y-6.22%
OM growth 3Y-27.8%
OM growth 5Y-4.31%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y1.21%
GM growth 5Y0.28%
F-Score7
Asset Turnover0.65
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.26 | ||
| Debt/FCF | 72.35 | ||
| Debt/EBITDA | 6.86 | ||
| Cap/Depr | 61.62% | ||
| Cap/Sales | N/A | ||
| Interest Coverage | N/A | ||
| Cash Conversion | N/A | ||
| Profit Quality | 177.29% | ||
| Current Ratio | 1.03 | ||
| Quick Ratio | 1.01 | ||
| Altman-Z | 1.15 |
F-Score7
WACC8.47%
ROIC/WACC0.65
Cap/Depr(3y)49.78%
Cap/Depr(5y)164.32%
Cap/Sales(3y)N/A
Cap/Sales(5y)N/A
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)129.61%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%54.97%
EPS Next Y292.98%
EPS Next 2Y331.85%
EPS Next 3Y197.44%
EPS Next 5YN/A
Revenue 1Y (TTM)14.45%
Revenue growth 3Y5.63%
Revenue growth 5Y6.11%
Sales Q2Q%13.97%
Revenue Next Year20.77%
Revenue Next 2Y21.04%
Revenue Next 3Y17.81%
Revenue Next 5YN/A
EBIT growth 1Y117.67%
EBIT growth 3Y-23.74%
EBIT growth 5Y1.54%
EBIT Next Year446.67%
EBIT Next 3Y102.83%
EBIT Next 5YN/A
FCF growth 1Y-90.8%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y-71.27%
OCF growth 3YN/A
OCF growth 5YN/A
CS Group / SX.PA FAQ
What is the fundamental rating for SX stock?
ChartMill assigns a fundamental rating of 3 / 10 to SX.PA.
What is the valuation status for SX stock?
ChartMill assigns a valuation rating of 3 / 10 to CS Group (SX.PA). This can be considered as Overvalued.
Can you provide the profitability details for CS Group?
CS Group (SX.PA) has a profitability rating of 2 / 10.
What are the PE and PB ratios of CS Group (SX.PA) stock?
The Price/Earnings (PE) ratio for CS Group (SX.PA) is 230 and the Price/Book (PB) ratio is 4.61.
Is the dividend of CS Group sustainable?
The dividend rating of CS Group (SX.PA) is 1 / 10 and the dividend payout ratio is 0%.