VEOLIA ENVIRONNEMENT (VIE.PA)
FR0000124141 - Common Stock
VIE gets a fundamental rating of 3 out of 10. The analysis compared the fundamentals against 12 industry peers in the Multi-Utilities industry. VIE has a medium profitability rating, but doesn't score so well on its financial health evaluation. VIE is valied quite expensively at the moment, while it does show a decent growth rate.
1. Profitability
1.1 Basic Checks
VIE had positive earnings in the past year.
In the past year VIE had a positive cash flow from operations.
VIE had positive earnings in each of the past 5 years.
Each year in the past 5 years VIE had a positive operating cash flow.
1.2 Ratios
VIE has a worse Return On Assets (1.49%) than 83.33% of its industry peers.
With a Return On Equity value of 8.85%, VIE is not doing good in the industry: 75.00% of the companies in the same industry are doing better.
VIE has a Return On Invested Capital of 5.64%. This is comparable to the rest of the industry: VIE outperforms 58.33% of its industry peers.
VIE had an Average Return On Invested Capital over the past 3 years of 4.13%. This is below the industry average of 6.45%.
The 3 year average ROIC (4.13%) for VIE is below the current ROIC(5.64%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.49% | ||
| ROE | 8.85% | ||
| ROIC | 5.64% |
ROA(3y)1.01%
ROA(5y)0.95%
ROE(3y)5.65%
ROE(5y)5.74%
ROIC(3y)4.13%
ROIC(5y)4.3%
1.3 Margins
With a Profit Margin value of 2.38%, VIE is not doing good in the industry: 75.00% of the companies in the same industry are doing better.
In the last couple of years the Profit Margin of VIE has grown nicely.
With a Operating Margin value of 7.21%, VIE perfoms like the industry average, outperforming 41.67% of the companies in the same industry.
In the last couple of years the Operating Margin of VIE has remained more or less at the same level.
VIE's Gross Margin of 17.75% is on the low side compared to the rest of the industry. VIE is outperformed by 83.33% of its industry peers.
In the last couple of years the Gross Margin of VIE has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 7.21% | ||
| PM (TTM) | 2.38% | ||
| GM | 17.75% |
OM growth 3Y13.55%
OM growth 5Y0.44%
PM growth 3Y82.23%
PM growth 5Y7.46%
GM growth 3Y2.55%
GM growth 5Y-0.46%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), VIE is creating some value.
Compared to 1 year ago, VIE has more shares outstanding
VIE has more shares outstanding than it did 5 years ago.
The debt/assets ratio for VIE is higher compared to a year ago.
2.2 Solvency
Based on the Altman-Z score of 0.86, we must say that VIE is in the distress zone and has some risk of bankruptcy.
The Altman-Z score of VIE (0.86) is worse than 66.67% of its industry peers.
VIE has a debt to FCF ratio of 16.38. This is a negative value and a sign of low solvency as VIE would need 16.38 years to pay back of all of its debts.
The Debt to FCF ratio of VIE (16.38) is better than 83.33% of its industry peers.
VIE has a Debt/Equity ratio of 1.63. This is a high value indicating a heavy dependency on external financing.
VIE's Debt to Equity ratio of 1.63 is in line compared to the rest of the industry. VIE outperforms 41.67% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.63 | ||
| Debt/FCF | 16.38 | ||
| Altman-Z | 0.86 |
ROIC/WACC1.33
WACC4.24%
2.3 Liquidity
A Current Ratio of 0.89 indicates that VIE may have some problems paying its short term obligations.
The Current ratio of VIE (0.89) is comparable to the rest of the industry.
A Quick Ratio of 0.84 indicates that VIE may have some problems paying its short term obligations.
VIE's Quick ratio of 0.84 is in line compared to the rest of the industry. VIE outperforms 50.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.89 | ||
| Quick Ratio | 0.84 |
3. Growth
3.1 Past
The Earnings Per Share has been growing slightly by 3.86% over the past year.
The Earnings Per Share has been growing by 15.60% on average over the past years. This is quite good.
VIE shows a decrease in Revenue. In the last year, the revenue decreased by -1.56%.
The Revenue has been growing by 11.81% on average over the past years. This is quite good.
EPS 1Y (TTM)3.86%
EPS 3Y104.35%
EPS 5Y15.6%
EPS Q2Q%21.04%
Revenue 1Y (TTM)-1.56%
Revenue growth 3Y20.36%
Revenue growth 5Y11.81%
Sales Q2Q%-2.7%
3.2 Future
Based on estimates for the next years, VIE will show a quite strong growth in Earnings Per Share. The EPS will grow by 10.39% on average per year.
Based on estimates for the next years, VIE will show a small growth in Revenue. The Revenue will grow by 4.05% on average per year.
EPS Next Y12.31%
EPS Next 2Y11.64%
EPS Next 3Y10.74%
EPS Next 5Y10.39%
Revenue Next Year0.17%
Revenue Next 2Y1.93%
Revenue Next 3Y2.89%
Revenue Next 5Y4.05%
3.3 Evolution
The estimated forward EPS growth is still strong, although it is decreasing when compared to the stronger growth in the past 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.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 20.79 indicates a rather expensive valuation of VIE.
Compared to the rest of the industry, the Price/Earnings ratio of VIE indicates a rather expensive valuation: VIE more expensive than 83.33% of the companies listed in the same industry.
When comparing the Price/Earnings ratio of VIE to the average of the S&P500 Index (31.46), we can say VIE is valued slightly cheaper.
The Price/Forward Earnings ratio is 13.17, which indicates a correct valuation of VIE.
75.00% of the companies in the same industry are cheaper than VIE, based on the Price/Forward Earnings ratio.
The average S&P500 Price/Forward Earnings ratio is at 22.63. VIE is valued slightly cheaper when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 20.79 | ||
| Fwd PE | 13.17 |
4.2 Price Multiples
The rest of the industry has a similar Enterprise Value to EBITDA ratio as VIE.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of VIE indicates a somewhat cheap valuation: VIE is cheaper than 75.00% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 12.02 | ||
| EV/EBITDA | 6.05 |
4.3 Compensation for Growth
The PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
PEG (NY)1.69
PEG (5Y)1.33
EPS Next 2Y11.64%
EPS Next 3Y10.74%
5. Dividend
5.1 Amount
VIE has a Yearly Dividend Yield of 4.08%, which is a nice return.
Compared to an average industry Dividend Yield of 4.75, VIE is paying slightly less dividend.
Compared to an average S&P500 Dividend Yield of 2.18, VIE pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.08% |
5.2 History
On average, the dividend of VIE grows each year by 17.26%, which is quite nice.
Dividend Growth(5Y)17.26%
Div Incr Years3
Div Non Decr Years3
5.3 Sustainability
133.06% of the earnings are spent on dividend by VIE. This is not a sustainable payout ratio.
The dividend of VIE is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP133.06%
EPS Next 2Y11.64%
EPS Next 3Y10.74%
VEOLIA ENVIRONNEMENT
EPA:VIE (10/22/2024, 5:29:53 PM)
29.94
-0.24 (-0.8%)
Chartmill FA Rating
GICS SectorUtilities
GICS IndustryGroupUtilities
GICS IndustryMulti-Utilities
Earnings (Last)
Earnings (Next)
Inst Owners
Inst Owner Change
Ins Owners
Ins Owner Change
Market Cap21.43B
Analysts
Price Target
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.08% |
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)
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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)
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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 Rank | Sector Rank | ||
|---|---|---|---|
| PE | 20.79 | ||
| Fwd PE | 13.17 | ||
| 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)1.69
PEG (5Y)1.33
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.49% | ||
| ROE | 8.85% | ||
| ROCE | |||
| ROIC | |||
| ROICexc | |||
| ROICexgc | |||
| OM | 7.21% | ||
| PM (TTM) | 2.38% | ||
| GM | 17.75% | ||
| 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 Turnover0.63
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.63 | ||
| Debt/FCF | |||
| Debt/EBITDA | |||
| Cap/Depr | |||
| Cap/Sales | |||
| Interest Coverage | |||
| Cash Conversion | |||
| Profit Quality | |||
| Current Ratio | 0.89 | ||
| Quick Ratio | 0.84 | ||
| 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)3.86%
EPS 3Y104.35%
EPS 5Y
EPS Q2Q%
EPS Next Y12.31%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)-1.56%
Revenue growth 3Y20.36%
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