REPSOL SA (1REP.MI) Stock Fundamental Analysis
Europe - Euronext Milan - BIT:1REP - ES0173516115 - Common Stock
16.7 EUR
+0.5 (+3.09%)
Overall 1REP gets a fundamental rating of 4 out of 10. We evaluated 1REP against 71 industry peers in the Oil, Gas & Consumable Fuels industry. While 1REP seems to be doing ok healthwise, there are quite some concerns on its profitability. 1REP is valued correctly, but it does not seem to be growing.
1. Profitability
1.1 Basic Checks
- 1REP had positive earnings in the past year.
- 1REP had a positive operating cash flow in the past year.
- Of the past 5 years 1REP 4 years were profitable.
- Each year in the past 5 years 1REP had a positive operating cash flow.
1.2 Ratios
- 1REP's Return On Assets of 1.84% is on the low side compared to the rest of the industry. 1REP is outperformed by 69.33% of its industry peers.
- The Return On Equity of 1REP (4.45%) is worse than 69.33% of its industry peers.
- Looking at the Return On Invested Capital, with a value of 4.47%, 1REP is doing worse than 66.67% of the companies in the same industry.
- 1REP had an Average Return On Invested Capital over the past 3 years of 8.89%. This is in line with the industry average of 8.91%.
- The 3 year average ROIC (8.89%) for 1REP is well above the current ROIC(4.47%). The reason for the recent decline needs to be investigated.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.84% | ||
| ROE | 4.45% | ||
| ROIC | 4.47% |
ROA(3y)4.91%
ROA(5y)2.45%
ROE(3y)11.61%
ROE(5y)5.85%
ROIC(3y)8.89%
ROIC(5y)N/A
1.3 Margins
- 1REP's Profit Margin of 1.96% is on the low side compared to the rest of the industry. 1REP is outperformed by 69.33% of its industry peers.
- 1REP's Profit Margin has declined in the last couple of years.
- The Operating Margin of 1REP (4.89%) is worse than 74.67% of its industry peers.
- 1REP's Operating Margin has been stable in the last couple of years.
- 1REP's Gross Margin of 23.69% is on the low side compared to the rest of the industry. 1REP is outperformed by 74.67% of its industry peers.
- 1REP's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 4.89% | ||
| PM (TTM) | 1.96% | ||
| GM | 23.69% |
OM growth 3Y-24.67%
OM growth 5Y-0.14%
PM growth 3Y-15.4%
PM growth 5YN/A
GM growth 3Y-0.26%
GM growth 5Y0.75%
2. Health
2.1 Basic Checks
- With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), 1REP is creating some value.
- The number of shares outstanding for 1REP has been reduced compared to 1 year ago.
- The number of shares outstanding for 1REP has been reduced compared to 5 years ago.
- Compared to 1 year ago, 1REP has a worse debt to assets ratio.
2.2 Solvency
- 1REP has an Altman-Z score of 1.58. This is a bad value and indicates that 1REP is not financially healthy and even has some risk of bankruptcy.
- 1REP has a Altman-Z score of 1.58. This is comparable to the rest of the industry: 1REP outperforms 41.33% of its industry peers.
- The Debt to FCF ratio of 1REP is 8.16, which is on the high side as it means it would take 1REP, 8.16 years of fcf income to pay off all of its debts.
- 1REP has a Debt to FCF ratio (8.16) which is in line with its industry peers.
- 1REP has a Debt/Equity ratio of 0.50. This is a healthy value indicating a solid balance between debt and equity.
- With a Debt to Equity ratio value of 0.50, 1REP perfoms like the industry average, outperforming 46.67% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.5 | ||
| Debt/FCF | 8.16 | ||
| Altman-Z | 1.58 |
ROIC/WACC0.71
WACC6.31%
2.3 Liquidity
- 1REP has a Current Ratio of 1.47. This is a normal value and indicates that 1REP is financially healthy and should not expect problems in meeting its short term obligations.
- 1REP has a Current ratio of 1.47. This is comparable to the rest of the industry: 1REP outperforms 57.33% of its industry peers.
- 1REP has a Quick Ratio of 1.05. This is a normal value and indicates that 1REP is financially healthy and should not expect problems in meeting its short term obligations.
- 1REP's Quick ratio of 1.05 is in line compared to the rest of the industry. 1REP outperforms 49.33% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.47 | ||
| Quick Ratio | 1.05 |
3. Growth
3.1 Past
- 1REP shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -25.08%.
- Measured over the past years, 1REP shows a quite strong growth in Earnings Per Share. The EPS has been growing by 18.66% on average per year.
- 1REP shows a decrease in Revenue. In the last year, the revenue decreased by -6.61%.
- Measured over the past years, 1REP shows a small growth in Revenue. The Revenue has been growing by 2.98% on average per year.
EPS 1Y (TTM)-25.08%
EPS 3Y18.66%
EPS 5YN/A
EPS Q2Q%59.09%
Revenue 1Y (TTM)-6.61%
Revenue growth 3Y4.72%
Revenue growth 5Y2.98%
Sales Q2Q%-3.71%
3.2 Future
- The Earnings Per Share is expected to grow by 1.23% on average over the next years.
- Based on estimates for the next years, 1REP will show a decrease in Revenue. The Revenue will decrease by -0.58% on average per year.
EPS Next Y-10%
EPS Next 2Y-3.98%
EPS Next 3Y0.49%
EPS Next 5Y1.23%
Revenue Next Year2.01%
Revenue Next 2Y-0.39%
Revenue Next 3Y-0.03%
Revenue Next 5Y-0.58%
3.3 Evolution
- The EPS growth rate is decreasing: in the next years the growth will be less than in the last 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 7.08 indicates a rather cheap valuation of 1REP.
- Compared to the rest of the industry, the Price/Earnings ratio of 1REP indicates a rather cheap valuation: 1REP is cheaper than 90.67% of the companies listed in the same industry.
- Compared to an average S&P500 Price/Earnings ratio of 27.25, 1REP is valued rather cheaply.
- Based on the Price/Forward Earnings ratio of 6.73, the valuation of 1REP can be described as very cheap.
- 93.33% of the companies in the same industry are more expensive than 1REP, based on the Price/Forward Earnings ratio.
- When comparing the Price/Forward Earnings ratio of 1REP to the average of the S&P500 Index (25.98), we can say 1REP is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 7.08 | ||
| Fwd PE | 6.73 |
4.2 Price Multiples
- Based on the Enterprise Value to EBITDA ratio, 1REP is valued a bit cheaper than the industry average as 76.00% of the companies are valued more expensively.
- 1REP's Price/Free Cash Flow ratio is a bit cheaper when compared to the industry. 1REP is cheaper than 74.67% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 10.38 | ||
| EV/EBITDA | 4.15 |
4.3 Compensation for Growth
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y-3.98%
EPS Next 3Y0.49%
5. Dividend
5.1 Amount
- 1REP has a Yearly Dividend Yield of 5.04%, which is a nice return.
- Compared to an average industry Dividend Yield of 5.24, 1REP pays a bit more dividend than its industry peers.
- Compared to an average S&P500 Dividend Yield of 1.82, 1REP pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.04% |
5.2 History
- The dividend of 1REP is nicely growing with an annual growth rate of 32.62%!
Dividend Growth(5Y)32.62%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
- 1REP pays out 111.56% of its income as dividend. This is not a sustainable payout ratio.
- 1REP's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP111.56%
EPS Next 2Y-3.98%
EPS Next 3Y0.49%
REPSOL SA / 1REP.MI FAQ
What is the ChartMill fundamental rating of REPSOL SA (1REP.MI) stock?
ChartMill assigns a fundamental rating of 4 / 10 to 1REP.MI.
What is the valuation status of REPSOL SA (1REP.MI) stock?
ChartMill assigns a valuation rating of 6 / 10 to REPSOL SA (1REP.MI). This can be considered as Fairly Valued.
What is the profitability of 1REP stock?
REPSOL SA (1REP.MI) has a profitability rating of 3 / 10.
What is the valuation of REPSOL SA based on its PE and PB ratios?
The Price/Earnings (PE) ratio for REPSOL SA (1REP.MI) is 7.08 and the Price/Book (PB) ratio is 0.78.
Is the dividend of REPSOL SA sustainable?
The dividend rating of REPSOL SA (1REP.MI) is 6 / 10 and the dividend payout ratio is 111.56%.