WAVESTONE (WAVE.PA) Stock Fundamental Analysis
Europe - Euronext Paris - EPA:WAVE - FR0013357621 - Common Stock
48.75 EUR
+0.2 (+0.41%)
Overall WAVE gets a fundamental rating of 6 out of 10. We evaluated WAVE against 72 industry peers in the IT Services industry. WAVE has outstanding health and profitabily ratings, belonging to the best of the industry. This is a solid base for any company. WAVE has a decent growth rate and is not valued too expensively. With these ratings, WAVE could be worth investigating further for quality investing!.
1. Profitability
1.1 Basic Checks
In the past year WAVE was profitable.
WAVE had a positive operating cash flow in the past year.
In the past 5 years WAVE has always been profitable.
Each year in the past 5 years WAVE had a positive operating cash flow.
1.2 Ratios
With an excellent Return On Assets value of 7.71%, WAVE belongs to the best of the industry, outperforming 84.72% of the companies in the same industry.
WAVE's Return On Equity of 11.96% is in line compared to the rest of the industry. WAVE outperforms 48.61% of its industry peers.
WAVE has a Return On Invested Capital of 10.71%. This is in the better half of the industry: WAVE outperforms 68.06% of its industry peers.
The Average Return On Invested Capital over the past 3 years for WAVE is in line with the industry average of 11.90%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 7.71% | ||
| ROE | 11.96% | ||
| ROIC | 10.71% |
ROA(3y)7.66%
ROA(5y)7.8%
ROE(3y)12.97%
ROE(5y)14.22%
ROIC(3y)11.44%
ROIC(5y)12.28%
1.3 Margins
With an excellent Profit Margin value of 8.01%, WAVE belongs to the best of the industry, outperforming 83.33% of the companies in the same industry.
WAVE's Profit Margin has improved in the last couple of years.
With an excellent Operating Margin value of 11.61%, WAVE belongs to the best of the industry, outperforming 83.33% of the companies in the same industry.
In the last couple of years the Operating Margin of WAVE has declined.
WAVE has a better Gross Margin (84.64%) than 76.39% of its industry peers.
In the last couple of years the Gross Margin of WAVE has declined.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 11.61% | ||
| PM (TTM) | 8.01% | ||
| GM | 84.64% |
OM growth 3Y-9.16%
OM growth 5Y-1.75%
PM growth 3Y-9.65%
PM growth 5Y1.65%
GM growth 3Y-4.64%
GM growth 5Y-2.67%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), WAVE is creating some value.
The number of shares outstanding for WAVE has been reduced compared to 1 year ago.
WAVE has more shares outstanding than it did 5 years ago.
The debt/assets ratio for WAVE has been reduced compared to a year ago.
2.2 Solvency
WAVE has an Altman-Z score of 4.08. This indicates that WAVE is financially healthy and has little risk of bankruptcy at the moment.
WAVE's Altman-Z score of 4.08 is amongst the best of the industry. WAVE outperforms 88.89% of its industry peers.
The Debt to FCF ratio of WAVE is 0.96, which is an excellent value as it means it would take WAVE, only 0.96 years of fcf income to pay off all of its debts.
The Debt to FCF ratio of WAVE (0.96) is better than 90.28% of its industry peers.
WAVE has a Debt/Equity ratio of 0.10. This is a healthy value indicating a solid balance between debt and equity.
WAVE has a better Debt to Equity ratio (0.10) than 86.11% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.1 | ||
| Debt/FCF | 0.96 | ||
| Altman-Z | 4.08 |
ROIC/WACC1.41
WACC7.62%
2.3 Liquidity
WAVE has a Current Ratio of 1.49. This is a normal value and indicates that WAVE is financially healthy and should not expect problems in meeting its short term obligations.
WAVE's Current ratio of 1.49 is fine compared to the rest of the industry. WAVE outperforms 70.83% of its industry peers.
WAVE has a Quick Ratio of 1.49. This is a normal value and indicates that WAVE is financially healthy and should not expect problems in meeting its short term obligations.
The Quick ratio of WAVE (1.49) is better than 77.78% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.49 | ||
| Quick Ratio | 1.49 |
3. Growth
3.1 Past
WAVE shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 15.07%, which is quite good.
WAVE shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 14.55% yearly.
The Revenue has grown by 34.60% in the past year. This is a very strong growth!
Measured over the past years, WAVE shows a quite strong growth in Revenue. The Revenue has been growing by 17.46% on average per year.
EPS 1Y (TTM)15.07%
EPS 3Y6.62%
EPS 5Y14.55%
EPS Q2Q%29.86%
Revenue 1Y (TTM)34.6%
Revenue growth 3Y26.15%
Revenue growth 5Y17.46%
Sales Q2Q%14.49%
3.2 Future
The Earnings Per Share is expected to grow by 11.86% on average over the next years. This is quite good.
Based on estimates for the next years, WAVE will show a small growth in Revenue. The Revenue will grow by 3.38% on average per year.
EPS Next Y6.02%
EPS Next 2Y8.21%
EPS Next 3Y11.86%
EPS Next 5YN/A
Revenue Next Year1.24%
Revenue Next 2Y2.56%
Revenue Next 3Y3.38%
Revenue Next 5YN/A
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 stable.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 15.73, which indicates a correct valuation of WAVE.
Compared to the rest of the industry, the Price/Earnings ratio of WAVE indicates a somewhat cheap valuation: WAVE is cheaper than 73.61% of the companies listed in the same industry.
When comparing the Price/Earnings ratio of WAVE to the average of the S&P500 Index (25.65), we can say WAVE is valued slightly cheaper.
A Price/Forward Earnings ratio of 14.59 indicates a correct valuation of WAVE.
WAVE's Price/Forward Earnings ratio is in line with the industry average.
WAVE's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 34.45.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 15.73 | ||
| Fwd PE | 14.59 |
4.2 Price Multiples
WAVE's Enterprise Value to EBITDA is on the same level as the industry average.
The rest of the industry has a similar Price/Free Cash Flow ratio as WAVE.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 14.38 | ||
| EV/EBITDA | 9.99 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
WAVE has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)2.61
PEG (5Y)1.08
EPS Next 2Y8.21%
EPS Next 3Y11.86%
5. Dividend
5.1 Amount
With a yearly dividend of 0.90%, WAVE is not a good candidate for dividend investing.
WAVE's Dividend Yield is comparable with the industry average which is at 3.92.
Compared to an average S&P500 Dividend Yield of 2.41, WAVE's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.9% |
5.2 History
The dividend of WAVE is nicely growing with an annual growth rate of 10.75%!
Dividend Growth(5Y)10.75%
Div Incr Years0
Div Non Decr Years3
5.3 Sustainability
WAVE pays out 12.41% of its income as dividend. This is a sustainable payout ratio.
The dividend of WAVE is growing around the same rate as the earnings are growing. If this keeps up the dividend growth is sustainable.
DP12.41%
EPS Next 2Y8.21%
EPS Next 3Y11.86%
EPA:WAVE (11/25/2025, 5:13:16 PM)
48.75
+0.2 (+0.41%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSoftware & Services
GICS IndustryIT Services
Earnings (Last)
Earnings (Next)
Inst Owners15.55%
Inst Owner ChangeN/A
Ins Owners44.17%
Ins Owner ChangeN/A
Market Cap1.21B
Revenue(TTM)943.67M
Net Income(TTM)75.56M
Analysts80
Price Target61.3 (25.74%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.9% |
Yearly Dividend0.38
Dividend Growth(5Y)10.75%
DP12.41%
Div Incr Years0
Div Non Decr Years3
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)-6.01%
PT rev (3m)-5.5%
EPS NQ rev (1m)N/A
EPS NQ rev (3m)N/A
EPS NY rev (1m)-0.8%
EPS NY rev (3m)-3.82%
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)-0.1%
Revenue NY rev (3m)-0.75%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 15.73 | ||
| Fwd PE | 14.59 | ||
| P/S | 1.29 | ||
| P/FCF | 14.38 | ||
| P/OCF | 13.6 | ||
| P/B | 1.92 | ||
| P/tB | 29.43 | ||
| EV/EBITDA | 9.99 |
EPS(TTM)3.1
EY6.36%
EPS(NY)3.34
Fwd EY6.85%
FCF(TTM)3.39
FCFY6.95%
OCF(TTM)3.58
OCFY7.35%
SpS37.88
BVpS25.37
TBVpS1.66
PEG (NY)2.61
PEG (5Y)1.08
Graham Number42.07
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 7.71% | ||
| ROE | 11.96% | ||
| ROCE | 14.7% | ||
| ROIC | 10.71% | ||
| ROICexc | 10.71% | ||
| ROICexgc | 51.64% | ||
| OM | 11.61% | ||
| PM (TTM) | 8.01% | ||
| GM | 84.64% | ||
| FCFM | 8.95% |
ROA(3y)7.66%
ROA(5y)7.8%
ROE(3y)12.97%
ROE(5y)14.22%
ROIC(3y)11.44%
ROIC(5y)12.28%
ROICexc(3y)13%
ROICexc(5y)22.97%
ROICexgc(3y)170.44%
ROICexgc(5y)N/A
ROCE(3y)15.72%
ROCE(5y)16.86%
ROICexgc growth 3YN/A
ROICexgc growth 5Y-18.03%
ROICexc growth 3Y-39.81%
ROICexc growth 5Y-10.07%
OM growth 3Y-9.16%
OM growth 5Y-1.75%
PM growth 3Y-9.65%
PM growth 5Y1.65%
GM growth 3Y-4.64%
GM growth 5Y-2.67%
F-Score8
Asset Turnover0.96
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.1 | ||
| Debt/FCF | 0.96 | ||
| Debt/EBITDA | 0.5 | ||
| Cap/Depr | 24.72% | ||
| Cap/Sales | 0.51% | ||
| Interest Coverage | 102.88 | ||
| Cash Conversion | 69.14% | ||
| Profit Quality | 111.75% | ||
| Current Ratio | 1.49 | ||
| Quick Ratio | 1.49 | ||
| Altman-Z | 4.08 |
F-Score8
WACC7.62%
ROIC/WACC1.41
Cap/Depr(3y)28.68%
Cap/Depr(5y)20.92%
Cap/Sales(3y)0.55%
Cap/Sales(5y)0.39%
Profit Quality(3y)107.99%
Profit Quality(5y)141.92%
High Growth Momentum
Growth
EPS 1Y (TTM)15.07%
EPS 3Y6.62%
EPS 5Y14.55%
EPS Q2Q%29.86%
EPS Next Y6.02%
EPS Next 2Y8.21%
EPS Next 3Y11.86%
EPS Next 5YN/A
Revenue 1Y (TTM)34.6%
Revenue growth 3Y26.15%
Revenue growth 5Y17.46%
Sales Q2Q%14.49%
Revenue Next Year1.24%
Revenue Next 2Y2.56%
Revenue Next 3Y3.38%
Revenue Next 5YN/A
EBIT growth 1Y27.73%
EBIT growth 3Y14.59%
EBIT growth 5Y15.41%
EBIT Next Year24.15%
EBIT Next 3Y13.83%
EBIT Next 5YN/A
FCF growth 1Y5.57%
FCF growth 3Y14.75%
FCF growth 5Y10.08%
OCF growth 1Y7.44%
OCF growth 3Y16.59%
OCF growth 5Y10.05%
WAVESTONE / WAVE.PA FAQ
What is the ChartMill fundamental rating of WAVESTONE (WAVE.PA) stock?
ChartMill assigns a fundamental rating of 6 / 10 to WAVE.PA.
What is the valuation status for WAVE stock?
ChartMill assigns a valuation rating of 4 / 10 to WAVESTONE (WAVE.PA). This can be considered as Fairly Valued.
Can you provide the profitability details for WAVESTONE?
WAVESTONE (WAVE.PA) has a profitability rating of 7 / 10.
How financially healthy is WAVESTONE?
The financial health rating of WAVESTONE (WAVE.PA) is 8 / 10.
Is the dividend of WAVESTONE sustainable?
The dividend rating of WAVESTONE (WAVE.PA) is 4 / 10 and the dividend payout ratio is 12.41%.