VIVENDI SE (VIV.PA)

FR0000127771 - Common Stock

9.944  -0.03 (-0.26%)

Fundamental Rating

3

VIV gets a fundamental rating of 3 out of 10. The analysis compared the fundamentals against 69 industry peers in the Media industry. There are concerns on the financial health of VIV while its profitability can be described as average. VIV is valied quite expensively at the moment, while it does show a decent growth rate.



4

1. Profitability

1.1 Basic Checks

VIV had positive earnings in the past year.
VIV had a positive operating cash flow in the past year.
Of the past 5 years VIV 4 years were profitable.
VIV had a positive operating cash flow in each of the past 5 years.

1.2 Ratios

VIV's Return On Assets of 1.06% is on the low side compared to the rest of the industry. VIV is outperformed by 62.12% of its industry peers.
VIV has a Return On Equity (2.37%) which is in line with its industry peers.
VIV has a Return On Invested Capital of 2.03%. This is comparable to the rest of the industry: VIV outperforms 43.94% of its industry peers.
Industry RankSector Rank
ROA 1.06%
ROE 2.37%
ROIC 2.03%
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

The Profit Margin of VIV (3.85%) is comparable to the rest of the industry.
In the last couple of years the Profit Margin of VIV has grown nicely.
VIV's Operating Margin of 6.48% is in line compared to the rest of the industry. VIV outperforms 54.55% of its industry peers.
In the last couple of years the Operating Margin of VIV has declined.
With a Gross Margin value of 45.83%, VIV is not doing good in the industry: 62.12% of the companies in the same industry are doing better.
VIV's Gross Margin has been stable in the last couple of years.
Industry RankSector Rank
OM 6.48%
PM (TTM) 3.85%
GM 45.83%
OM growth 3Y17.87%
OM growth 5Y-6.92%
PM growth 3Y-38.56%
PM growth 5Y33.42%
GM growth 3Y1.82%
GM growth 5Y0.23%

1

2. Health

2.1 Basic Checks

VIV has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
VIV has no outstanding debt. Therefor its Debt/Equity and Debt/FCF ratios are 0 and belong to the best of the industry.

2.2 Solvency

Based on the Altman-Z score of 0.90, we must say that VIV is in the distress zone and has some risk of bankruptcy.
The Altman-Z score of VIV (0.90) is worse than 66.67% of its industry peers.
The Debt to FCF ratio of VIV is 16.64, which is on the high side as it means it would take VIV, 16.64 years of fcf income to pay off all of its debts.
With a Debt to FCF ratio value of 16.64, VIV is not doing good in the industry: 68.18% of the companies in the same industry are doing better.
VIV has a Debt/Equity ratio of 0.31. This is a healthy value indicating a solid balance between debt and equity.
The Debt to Equity ratio of VIV (0.31) is better than 71.21% of its industry peers.
Industry RankSector Rank
Debt/Equity 0.31
Debt/FCF 16.64
Altman-Z 0.9
ROIC/WACC0.31
WACC6.64%

2.3 Liquidity

VIV has a Current Ratio of 0.76. This is a bad value and indicates that VIV is not financially healthy enough and could expect problems in meeting its short term obligations.
With a Current ratio value of 0.76, VIV is not doing good in the industry: 66.67% of the companies in the same industry are doing better.
VIV has a Quick Ratio of 0.76. This is a bad value and indicates that VIV is not financially healthy enough and could expect problems in meeting its short term obligations.
With a Quick ratio value of 0.69, VIV is not doing good in the industry: 72.73% of the companies in the same industry are doing better.
Industry RankSector Rank
Current Ratio 0.76
Quick Ratio 0.69

4

3. Growth

3.1 Past

VIV shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 140.21%, which is quite impressive.
VIV shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 31.28% yearly.
VIV shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 9.54%.
The Revenue has been decreasing by -5.48% on average over the past years.
EPS 1Y (TTM)140.21%
EPS 3Y-32.36%
EPS 5Y31.28%
EPS growth Q2Q115.38%
Revenue 1Y (TTM)9.54%
Revenue growth 3Y6.63%
Revenue growth 5Y-5.48%
Revenue growth Q2Q23.08%

3.2 Future

VIV is expected to show a decrease in Earnings Per Share. In the coming years, the EPS will decrease by -4.60% yearly.
Based on estimates for the next years, VIV will show a small growth in Revenue. The Revenue will grow by 0.44% on average per year.
EPS Next Y25.12%
EPS Next 2Y17.22%
EPS Next 3Y-7.33%
EPS Next 5Y-4.6%
Revenue Next Year47.67%
Revenue Next 2Y22.06%
Revenue Next 3Y0.23%
Revenue Next 5Y0.44%

3.3 Evolution

The EPS growth rate is decreasing: in the next years the growth will be less 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 accelerating.

2

4. Valuation

4.1 Price/Earnings Ratio

VIV is valuated quite expensively with a Price/Earnings ratio of 25.50.
Based on the Price/Earnings ratio, VIV is valued a bit more expensive than 62.12% of the companies in the same industry.
The average S&P500 Price/Earnings ratio is at 25.68. VIV is around the same levels.
A Price/Forward Earnings ratio of 12.27 indicates a correct valuation of VIV.
Compared to the rest of the industry, the Price/Forward Earnings ratio of VIV is on the same level as its industry peers.
VIV's Price/Forward Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 22.14.
Industry RankSector Rank
PE 25.5
Fwd PE 12.27

4.2 Price Multiples

Based on the Enterprise Value to EBITDA ratio, VIV is valued a bit more expensive than the industry average as 60.61% of the companies are valued more cheaply.
The rest of the industry has a similar Price/Free Cash Flow ratio as VIV.
Industry RankSector Rank
P/FCF 18.66
EV/EBITDA 12.41

4.3 Compensation for Growth

VIV's PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
A cheap valuation may be justified as VIV's earnings are expected to decrease with -7.33% in the coming years.
PEG (NY)1.01
PEG (5Y)0.82
EPS Next 2Y17.22%
EPS Next 3Y-7.33%

3

5. Dividend

5.1 Amount

VIV has a Yearly Dividend Yield of 2.49%. Purely for dividend investing, there may be better candidates out there.
Compared to an average industry Dividend Yield of 4.61, VIV pays a bit more dividend than its industry peers.
Compared to an average S&P500 Dividend Yield of 2.40, VIV has a dividend comparable with the average S&P500 company.
Industry RankSector Rank
Dividend Yield 2.49%

5.2 History

The dividend of VIV decreases each year by -8.66%.
Dividend Growth(5Y)-8.66%
Div Incr Years0
Div Non Decr Years1

5.3 Sustainability

63.21% of the earnings are spent on dividend by VIV. This is not a sustainable payout ratio.
VIV's earnings and Dividend Rate are declining. This means the current dividend is most likely not sustainable.
DP63.21%
EPS Next 2Y17.22%
EPS Next 3Y-7.33%

VIVENDI SE

EPA:VIV (3/18/2024, 7:00:00 PM)

9.944

-0.03 (-0.26%)

Chartmill FA Rating
GICS SectorCommunication Services
GICS IndustryGroupMedia & Entertainment
GICS IndustryMedia
Earnings (Last)
Earnings (Next)
Inst Owners
Inst Owner Change
Ins Owners
Ins Owner Change
Market Cap10.19B
Analysts
Price Target
Dividend
Industry RankSector Rank
Dividend Yield 2.49%
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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Revenue beat(2)
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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 25.5
Fwd PE 12.27
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)1.01
PEG (5Y)0.82
Profitability
Industry RankSector Rank
ROA 1.06%
ROE 2.37%
ROCE
ROIC
ROICexc
ROICexgc
OM 6.48%
PM (TTM) 3.85%
GM 45.83%
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 Turnover0.27
Health
Industry RankSector Rank
Debt/Equity 0.31
Debt/FCF
Debt/EBITDA
Cap/Depr
Cap/Sales
Interest Coverage
Cash Conversion
Profit Quality
Current Ratio 0.76
Quick Ratio 0.69
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)
Growth
EPS 1Y (TTM)140.21%
EPS 3Y-32.36%
EPS 5Y
EPS growth Q2Q
EPS Next Y25.12%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)9.54%
Revenue growth 3Y6.63%
Revenue growth 5Y
Revenue growth 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