WAVESTONE (WAVE.PA) Stock Fundamental Analysis
Europe - Euronext Paris - EPA:WAVE - FR0013357621 - Common Stock
57.9 EUR
+1.8 (+3.21%)
Overall WAVE gets a fundamental rating of 6 out of 10. We evaluated WAVE against 75 industry peers in the IT Services industry. WAVE has an excellent financial health rating, but there are some minor concerns on its profitability. WAVE is not valued too expensively and it also shows a decent growth rate.
1. Profitability
1.1 Basic Checks
In the past year WAVE was profitable.
In the past year WAVE had a positive cash flow from operations.
In the past 5 years WAVE has always been profitable.
WAVE had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
Looking at the Return On Assets, with a value of 8.42%, WAVE belongs to the top of the industry, outperforming 86.67% of the companies in the same industry.
The Return On Equity of WAVE (12.21%) is comparable to the rest of the industry.
The Return On Invested Capital of WAVE (11.36%) is better than 76.00% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for WAVE is significantly below the industry average of 26.63%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 8.42% | ||
| ROE | 12.21% | ||
| ROIC | 11.36% |
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 8.33%, WAVE belongs to the best of the industry, outperforming 82.67% of the companies in the same industry.
In the last couple of years the Profit Margin of WAVE has grown nicely.
WAVE's Operating Margin of 11.74% is amongst the best of the industry. WAVE outperforms 84.00% of its industry peers.
WAVE's Operating Margin has declined in the last couple of years.
The Gross Margin of WAVE (85.44%) is better than 77.33% of its industry peers.
In the last couple of years the Gross Margin of WAVE has declined.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 11.74% | ||
| PM (TTM) | 8.33% | ||
| GM | 85.44% |
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
WAVE has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
Compared to 1 year ago, WAVE has less shares outstanding
Compared to 5 years ago, WAVE has more shares outstanding
Compared to 1 year ago, WAVE has an improved debt to assets ratio.
2.2 Solvency
WAVE has an Altman-Z score of 5.06. This indicates that WAVE is financially healthy and has little risk of bankruptcy at the moment.
WAVE has a Altman-Z score of 5.06. This is amongst the best in the industry. WAVE outperforms 93.33% of its industry peers.
The Debt to FCF ratio of WAVE is 0.39, which is an excellent value as it means it would take WAVE, only 0.39 years of fcf income to pay off all of its debts.
WAVE's Debt to FCF ratio of 0.39 is amongst the best of the industry. WAVE outperforms 97.33% of its industry peers.
WAVE has a Debt/Equity ratio of 0.03. This is a healthy value indicating a solid balance between debt and equity.
WAVE's Debt to Equity ratio of 0.03 is amongst the best of the industry. WAVE outperforms 93.33% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.03 | ||
| Debt/FCF | 0.39 | ||
| Altman-Z | 5.06 |
ROIC/WACC1.48
WACC7.69%
2.3 Liquidity
WAVE has a Current Ratio of 1.37. This is a normal value and indicates that WAVE is financially healthy and should not expect problems in meeting its short term obligations.
Looking at the Current ratio, with a value of 1.37, WAVE is in the better half of the industry, outperforming 65.33% of the companies in the same industry.
A Quick Ratio of 1.37 indicates that WAVE should not have too much problems paying its short term obligations.
WAVE's Quick ratio of 1.37 is fine compared to the rest of the industry. WAVE outperforms 70.67% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.37 | ||
| Quick Ratio | 1.37 |
3. Growth
3.1 Past
WAVE shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 22.20%, which is quite impressive.
Measured over the past years, WAVE shows a quite strong growth in Earnings Per Share. The EPS has been growing by 14.55% on average per year.
Looking at the last year, WAVE shows a small growth in Revenue. The Revenue has grown by 7.00% in the last year.
WAVE shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 17.46% yearly.
EPS 1Y (TTM)22.2%
EPS 3Y6.62%
EPS 5Y14.55%
EPS Q2Q%11.64%
Revenue 1Y (TTM)7%
Revenue growth 3Y26.15%
Revenue growth 5Y17.46%
Sales Q2Q%0.06%
3.2 Future
The Earnings Per Share is expected to grow by 10.93% on average over the next years. This is quite good.
WAVE is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 3.67% yearly.
EPS Next Y8.93%
EPS Next 2Y11.04%
EPS Next 3Y10.93%
EPS Next 5YN/A
Revenue Next Year1.71%
Revenue Next 2Y2.92%
Revenue Next 3Y3.67%
Revenue Next 5YN/A
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.
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
A Price/Earnings ratio of 17.98 indicates a rather expensive valuation of WAVE.
WAVE's Price/Earnings ratio is a bit cheaper when compared to the industry. WAVE is cheaper than 66.67% of the companies in the same industry.
The average S&P500 Price/Earnings ratio is at 27.19. WAVE is valued slightly cheaper when compared to this.
A Price/Forward Earnings ratio of 14.90 indicates a correct valuation of WAVE.
68.00% of the companies in the same industry are more expensive than WAVE, based on the Price/Forward Earnings ratio.
When comparing the Price/Forward Earnings ratio of WAVE to the average of the S&P500 Index (23.88), we can say WAVE is valued slightly cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 17.98 | ||
| Fwd PE | 14.9 |
4.2 Price Multiples
62.67% of the companies in the same industry are cheaper than WAVE, based on the Enterprise Value to EBITDA ratio.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of WAVE indicates a somewhat cheap valuation: WAVE is cheaper than 62.67% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 13.81 | ||
| EV/EBITDA | 11.39 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates WAVE does not grow enough to justify the current Price/Earnings ratio.
The decent profitability rating of WAVE may justify a higher PE ratio.
PEG (NY)2.01
PEG (5Y)1.24
EPS Next 2Y11.04%
EPS Next 3Y10.93%
5. Dividend
5.1 Amount
WAVE has a yearly dividend return of 0.82%, which is pretty low.
Compared to an average industry Dividend Yield of 2.20, WAVE has a dividend in line with its industry peers.
With a Dividend Yield of 0.82, WAVE pays less dividend than the S&P500 average, which is at 1.90.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.82% |
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 14.36% 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.
DP14.36%
EPS Next 2Y11.04%
EPS Next 3Y10.93%
EPA:WAVE (1/9/2026, 7:00:00 PM)
57.9
+1.8 (+3.21%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSoftware & Services
GICS IndustryIT Services
Earnings (Last)
Earnings (Next)
Inst Owners15.79%
Inst Owner ChangeN/A
Ins Owners44.17%
Ins Owner ChangeN/A
Market Cap1.44B
Revenue(TTM)943.94M
Net Income(TTM)78.64M
Analysts83.64
Price Target63.36 (9.43%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.82% |
Yearly Dividend0.38
Dividend Growth(5Y)10.75%
DP14.36%
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)0%
PT rev (3m)-2.85%
EPS NQ rev (1m)N/A
EPS NQ rev (3m)N/A
EPS NY rev (1m)2.75%
EPS NY rev (3m)1.92%
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)0.47%
Revenue NY rev (3m)0.37%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 17.98 | ||
| Fwd PE | 14.9 | ||
| P/S | 1.53 | ||
| P/FCF | 13.81 | ||
| P/OCF | 13.28 | ||
| P/B | 2.24 | ||
| P/tB | 27.79 | ||
| EV/EBITDA | 11.39 |
EPS(TTM)3.22
EY5.56%
EPS(NY)3.89
Fwd EY6.71%
FCF(TTM)4.19
FCFY7.24%
OCF(TTM)4.36
OCFY7.53%
SpS37.89
BVpS25.86
TBVpS2.08
PEG (NY)2.01
PEG (5Y)1.24
Graham Number43.28
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 8.42% | ||
| ROE | 12.21% | ||
| ROCE | 15.59% | ||
| ROIC | 11.36% | ||
| ROICexc | 11.36% | ||
| ROICexgc | 68.23% | ||
| OM | 11.74% | ||
| PM (TTM) | 8.33% | ||
| GM | 85.44% | ||
| FCFM | 11.07% |
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-Score9
Asset Turnover1.01
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.03 | ||
| Debt/FCF | 0.39 | ||
| Debt/EBITDA | 0.13 | ||
| Cap/Depr | 21.21% | ||
| Cap/Sales | 0.43% | ||
| Interest Coverage | 95.53 | ||
| Cash Conversion | 83.42% | ||
| Profit Quality | 132.85% | ||
| Current Ratio | 1.37 | ||
| Quick Ratio | 1.37 | ||
| Altman-Z | 5.06 |
F-Score9
WACC7.69%
ROIC/WACC1.48
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)22.2%
EPS 3Y6.62%
EPS 5Y14.55%
EPS Q2Q%11.64%
EPS Next Y8.93%
EPS Next 2Y11.04%
EPS Next 3Y10.93%
EPS Next 5YN/A
Revenue 1Y (TTM)7%
Revenue growth 3Y26.15%
Revenue growth 5Y17.46%
Sales Q2Q%0.06%
Revenue Next Year1.71%
Revenue Next 2Y2.92%
Revenue Next 3Y3.67%
Revenue Next 5YN/A
EBIT growth 1Y17.7%
EBIT growth 3Y14.59%
EBIT growth 5Y15.41%
EBIT Next Year23.85%
EBIT Next 3Y14.66%
EBIT Next 5YN/A
FCF growth 1Y93%
FCF growth 3Y14.75%
FCF growth 5Y10.08%
OCF growth 1Y87.14%
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.
Can you provide the valuation status for WAVESTONE?
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 6 / 10.
What are the PE and PB ratios of WAVESTONE (WAVE.PA) stock?
The Price/Earnings (PE) ratio for WAVESTONE (WAVE.PA) is 17.98 and the Price/Book (PB) ratio is 2.24.
Can you provide the financial health for WAVE stock?
The financial health rating of WAVESTONE (WAVE.PA) is 8 / 10.