UBISOFT ENTERTAINMENT (UBI.PA)

FR0000054470 - Common Stock

22  -0.5 (-2.22%)

Fundamental Rating

5

We assign a fundamental rating of 5 out of 10 to UBI. UBI was compared to 44 industry peers in the Entertainment industry. UBI has an average financial health and profitability rating. UBI has a correct valuation and a medium growth rate.



6

1. Profitability

1.1 Basic Checks

In the past year UBI was profitable.
In the past year UBI had a positive cash flow from operations.
The reported net income has been mixed in the past 5 years: UBI reported negative net income in multiple years.
In the past 5 years UBI always reported a positive cash flow from operatings.

1.2 Ratios

The Return On Assets of UBI (3.08%) is comparable to the rest of the industry.
UBI has a Return On Equity of 8.41%. This is in the better half of the industry: UBI outperforms 62.50% of its industry peers.
Looking at the Return On Invested Capital, with a value of 4.78%, UBI is in the better half of the industry, outperforming 65.00% of the companies in the same industry.
Industry RankSector Rank
ROA 3.08%
ROE 8.41%
ROIC 4.78%
ROA(3y)-1.97%
ROA(5y)-1.46%
ROE(3y)-6.88%
ROE(5y)-4.79%
ROIC(3y)N/A
ROIC(5y)N/A

1.3 Margins

UBI's Profit Margin of 6.86% is fine compared to the rest of the industry. UBI outperforms 65.00% of its industry peers.
In the last couple of years the Profit Margin of UBI has grown nicely.
Looking at the Operating Margin, with a value of 13.96%, UBI is in the better half of the industry, outperforming 80.00% of the companies in the same industry.
UBI's Operating Margin has improved in the last couple of years.
The Gross Margin of UBI (91.13%) is better than 72.50% of its industry peers.
In the last couple of years the Gross Margin of UBI has grown nicely.
Industry RankSector Rank
OM 13.96%
PM (TTM) 6.86%
GM 91.13%
OM growth 3Y-8.08%
OM growth 5Y4.36%
PM growth 3Y13.94%
PM growth 5Y4.83%
GM growth 3Y2.2%
GM growth 5Y2.09%

5

2. Health

2.1 Basic Checks

With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), UBI is destroying value.
The number of shares outstanding for UBI has been increased compared to 1 year ago.
The number of shares outstanding for UBI has been increased compared to 5 years ago.
The debt/assets ratio for UBI has been reduced compared to a year ago.

2.2 Solvency

UBI has an Altman-Z score of 1.81. This is a bad value and indicates that UBI is not financially healthy and even has some risk of bankruptcy.
Looking at the Altman-Z score, with a value of 1.81, UBI is in the better half of the industry, outperforming 72.50% of the companies in the same industry.
UBI has a debt to FCF ratio of 5.95. This is a neutral value as UBI would need 5.95 years to pay back of all of its debts.
UBI has a Debt to FCF ratio of 5.95. This is comparable to the rest of the industry: UBI outperforms 57.50% of its industry peers.
UBI has a Debt/Equity ratio of 1.16. This is a high value indicating a heavy dependency on external financing.
UBI has a Debt to Equity ratio of 1.16. This is in the lower half of the industry: UBI underperforms 60.00% of its industry peers.
Industry RankSector Rank
Debt/Equity 1.16
Debt/FCF 5.95
Altman-Z 1.81
ROIC/WACC0.86
WACC5.53%

2.3 Liquidity

UBI has a Current Ratio of 2.17. This indicates that UBI is financially healthy and has no problem in meeting its short term obligations.
UBI has a Current ratio of 2.17. This is amongst the best in the industry. UBI outperforms 87.50% of its industry peers.
UBI has a Quick Ratio of 2.16. This indicates that UBI is financially healthy and has no problem in meeting its short term obligations.
UBI's Quick ratio of 2.16 is amongst the best of the industry. UBI outperforms 90.00% of its industry peers.
Industry RankSector Rank
Current Ratio 2.17
Quick Ratio 2.16

5

3. Growth

3.1 Past

UBI shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 154.24%, which is quite impressive.
Measured over the past years, UBI shows a decrease in Earnings Per Share. The EPS has been decreasing by -8.43% on average per year.
Looking at the last year, UBI shows a very strong growth in Revenue. The Revenue has grown by 26.82%.
UBI shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 4.51% yearly.
EPS 1Y (TTM)154.24%
EPS 3Y-10.3%
EPS 5Y-8.43%
EPS Q2Q%175.11%
Revenue 1Y (TTM)26.82%
Revenue growth 3Y1.14%
Revenue growth 5Y4.51%
Sales Q2Q%44.12%

3.2 Future

UBI is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 12.10% yearly.
UBI is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 3.36% yearly.
EPS Next Y-12.19%
EPS Next 2Y1.74%
EPS Next 3Y8%
EPS Next 5Y12.1%
Revenue Next Year10.62%
Revenue Next 2Y7.45%
Revenue Next 3Y6.42%
Revenue Next 5Y3.36%

3.3 Evolution

The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
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.

6

4. Valuation

4.1 Price/Earnings Ratio

With a Price/Earnings ratio of 12.29, UBI is valued correctly.
Based on the Price/Earnings ratio, UBI is valued a bit cheaper than 75.00% of the companies in the same industry.
Compared to an average S&P500 Price/Earnings ratio of 29.53, UBI is valued rather cheaply.
With a Price/Forward Earnings ratio of 14.00, UBI is valued correctly.
Based on the Price/Forward Earnings ratio, UBI is valued a bit cheaper than 75.00% of the companies in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 20.94. UBI is valued slightly cheaper when compared to this.
Industry RankSector Rank
PE 12.29
Fwd PE 14

4.2 Price Multiples

67.50% of the companies in the same industry are more expensive than UBI, based on the Enterprise Value to EBITDA ratio.
82.50% of the companies in the same industry are more expensive than UBI, based on the Price/Free Cash Flow ratio.
Industry RankSector Rank
P/FCF 6.7
EV/EBITDA 3.73

4.3 Compensation for Growth

The decent profitability rating of UBI may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y1.74%
EPS Next 3Y8%

0

5. Dividend

5.1 Amount

No dividends for UBI!.
Industry RankSector Rank
Dividend Yield N/A

UBISOFT ENTERTAINMENT

EPA:UBI (7/16/2024, 7:00:00 PM)

22

-0.5 (-2.22%)

Chartmill FA Rating
GICS SectorCommunication Services
GICS IndustryGroupMedia & Entertainment
GICS IndustryEntertainment
Earnings (Last)
Earnings (Next)
Inst Owners
Inst Owner Change
Ins Owners
Ins Owner Change
Market Cap2.82B
Analysts
Price Target
Dividend
Industry RankSector Rank
Dividend Yield N/A
Dividend Growth(5Y)
DP
Div Incr Years
Div Non Decr Years
Ex-Date
Surprises & Revisions
EPS beat(2)
Avg EPS beat(2)
Min EPS beat(2)
Max EPS beat(2)
EPS beat(4)
Avg EPS beat(4)
Min EPS beat(4)
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EPS beat(8)
Avg EPS beat(8)
EPS beat(12)
Avg EPS beat(12)
EPS beat(16)
Avg EPS beat(16)
Revenue beat(2)
Avg Revenue beat(2)
Min Revenue beat(2)
Max Revenue beat(2)
Revenue beat(4)
Avg Revenue beat(4)
Min Revenue beat(4)
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Revenue beat(8)
Avg Revenue beat(8)
Revenue beat(12)
Avg Revenue beat(12)
Revenue beat(16)
Avg Revenue beat(16)
PT rev (1m)
PT rev (3m)
EPS NQ rev (1m)
EPS NQ rev (3m)
EPS NY rev (1m)
EPS NY rev (3m)
Revenue NQ rev (1m)
Revenue NQ rev (3m)
Revenue NY rev (1m)
Revenue NY rev (3m)
Valuation
Industry RankSector Rank
PE 12.29
Fwd PE 14
P/S
P/FCF
P/OCF
P/B
P/tB
EV/EBITDA
EPS(TTM)
EY
EPS(NY)
Fwd EY
FCF(TTM)
FCFY
OCF(TTM)
OCFY
SpS
BVpS
TBVpS
PEG (NY)N/A
PEG (5Y)N/A
Profitability
Industry RankSector Rank
ROA 3.08%
ROE 8.41%
ROCE
ROIC
ROICexc
ROICexgc
OM 13.96%
PM (TTM) 6.86%
GM 91.13%
FCFM
ROA(3y)
ROA(5y)
ROE(3y)
ROE(5y)
ROIC(3y)
ROIC(5y)
ROICexc(3y)
ROICexc(5y)
ROICexgc(3y)
ROICexgc(5y)
ROCE(3y)
ROCE(5y)
ROICexcg growth 3Y
ROICexcg growth 5Y
ROICexc growth 3Y
ROICexc growth 5Y
OM growth 3Y
OM growth 5Y
PM growth 3Y
PM growth 5Y
GM growth 3Y
GM growth 5Y
F-Score
Asset Turnover0.45
Health
Industry RankSector Rank
Debt/Equity 1.16
Debt/FCF
Debt/EBITDA
Cap/Depr
Cap/Sales
Interest Coverage
Cash Conversion
Profit Quality
Current Ratio 2.17
Quick Ratio 2.16
Altman-Z
F-Score
WACC
ROIC/WACC
Cap/Depr(3y)
Cap/Depr(5y)
Cap/Sales(3y)
Cap/Sales(5y)
Profit Quality(3y)
Profit Quality(5y)
High Growth Momentum
Growth
EPS 1Y (TTM)154.24%
EPS 3Y-10.3%
EPS 5Y
EPS Q2Q%
EPS Next Y-12.19%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)26.82%
Revenue growth 3Y1.14%
Revenue growth 5Y
Sales Q2Q%
Revenue Next Year
Revenue Next 2Y
Revenue Next 3Y
Revenue Next 5Y
EBIT growth 1Y
EBIT growth 3Y
EBIT growth 5Y
EBIT Next Year
EBIT Next 3Y
EBIT Next 5Y
FCF growth 1Y
FCF growth 3Y
FCF growth 5Y
OCF growth 1Y
OCF growth 3Y
OCF growth 5Y