ACEA SPA (ACE.MI) Stock Fundamental Analysis
BIT:ACE - Euronext Milan - IT0001207098 - Common Stock - Currency: EUR
Taking everything into account, ACE scores 5 out of 10 in our fundamental rating. ACE was compared to 13 industry peers in the Multi-Utilities industry. While ACE belongs to the best of the industry regarding profitability, there are concerns on its financial health. ACE has a decent growth rate and is not valued too expensively. ACE also has an excellent dividend rating.
1. Profitability
1.1 Basic Checks
In the past year ACE was profitable.
In the past year ACE had a positive cash flow from operations.
Each year in the past 5 years ACE has been profitable.
Each year in the past 5 years ACE had a positive operating cash flow.
1.2 Ratios
With an excellent Return On Assets value of 4.28%, ACE belongs to the best of the industry, outperforming 84.62% of the companies in the same industry.
With an excellent Return On Equity value of 21.08%, ACE belongs to the best of the industry, outperforming 92.31% of the companies in the same industry.
ACE's Return On Invested Capital of 7.10% is in line compared to the rest of the industry. ACE outperforms 53.85% of its industry peers.
The Average Return On Invested Capital over the past 3 years for ACE is below the industry average of 6.72%.
The 3 year average ROIC (4.13%) for ACE is below the current ROIC(7.10%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.28% | ||
| ROE | 21.08% | ||
| ROIC | 7.1% |
ROA(3y)2.64%
ROA(5y)2.8%
ROE(3y)13.11%
ROE(5y)13.82%
ROIC(3y)4.13%
ROIC(5y)4.1%
1.3 Margins
With an excellent Profit Margin value of 8.08%, ACE belongs to the best of the industry, outperforming 84.62% of the companies in the same industry.
In the last couple of years the Profit Margin of ACE has declined.
ACE has a Operating Margin of 15.20%. This is amongst the best in the industry. ACE outperforms 84.62% of its industry peers.
In the last couple of years the Operating Margin of ACE has remained more or less at the same level.
The Gross Margin of ACE (54.27%) is better than 76.92% of its industry peers.
ACE's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 15.2% | ||
| PM (TTM) | 8.08% | ||
| GM | 54.27% |
OM growth 3Y-3.17%
OM growth 5Y-0.37%
PM growth 3Y-9.48%
PM growth 5Y-7.07%
GM growth 3Y-0.92%
GM growth 5Y1.74%
2. Health
2.1 Basic Checks
ACE 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, ACE has about the same amount of shares outstanding.
The number of shares outstanding for ACE remains at a similar level compared to 5 years ago.
Compared to 1 year ago, ACE has a worse debt to assets ratio.
2.2 Solvency
Based on the Altman-Z score of 1.06, we must say that ACE is in the distress zone and has some risk of bankruptcy.
ACE's Altman-Z score of 1.06 is on the low side compared to the rest of the industry. ACE is outperformed by 61.54% of its industry peers.
ACE has a Debt/Equity ratio of 2.08. This is a high value indicating a heavy dependency on external financing.
The Debt to Equity ratio of ACE (2.08) is worse than 84.62% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.08 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 1.06 |
ROIC/WACC1.59
WACC4.48%
2.3 Liquidity
A Current Ratio of 0.67 indicates that ACE may have some problems paying its short term obligations.
Looking at the Current ratio, with a value of 0.67, ACE is doing worse than 84.62% of the companies in the same industry.
A Quick Ratio of 0.64 indicates that ACE may have some problems paying its short term obligations.
With a Quick ratio value of 0.64, ACE is not doing good in the industry: 84.62% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.67 | ||
| Quick Ratio | 0.64 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 37.04% over the past year.
The Earnings Per Share has been growing slightly by 1.68% on average over the past years.
Looking at the last year, ACE shows a very negative growth in Revenue. The Revenue has decreased by -12.97% in the last year.
ACE shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 9.37% yearly.
EPS 1Y (TTM)37.04%
EPS 3Y1.04%
EPS 5Y1.68%
EPS Q2Q%69.15%
Revenue 1Y (TTM)-12.97%
Revenue growth 3Y11.62%
Revenue growth 5Y9.37%
Sales Q2Q%1.09%
3.2 Future
ACE is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 4.21% yearly.
The Revenue is expected to decrease by -1.61% on average over the next years.
EPS Next Y12.21%
EPS Next 2Y9.9%
EPS Next 3Y4.99%
EPS Next 5Y4.21%
Revenue Next Year-1.19%
Revenue Next 2Y-1.46%
Revenue Next 3Y-0.41%
Revenue Next 5Y-1.61%
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 accelerating.
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
ACE is valuated cheaply with a Price/Earnings ratio of 6.91.
Based on the Price/Earnings ratio, ACE is valued cheaply inside the industry as 84.62% of the companies are valued more expensively.
ACE's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 29.35.
Based on the Price/Forward Earnings ratio of 10.12, the valuation of ACE can be described as reasonable.
ACE's Price/Forward Earnings is on the same level as the industry average.
When comparing the Price/Forward Earnings ratio of ACE to the average of the S&P500 Index (22.10), we can say ACE is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 6.91 | ||
| Fwd PE | 10.12 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, ACE is valued a bit cheaper than 61.54% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 4.95 |
4.3 Compensation for Growth
The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
The decent profitability rating of ACE may justify a higher PE ratio.
PEG (NY)0.57
PEG (5Y)4.12
EPS Next 2Y9.9%
EPS Next 3Y4.99%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 5.37%, ACE is a good candidate for dividend investing.
ACE's Dividend Yield is comparable with the industry average which is at 5.81.
ACE's Dividend Yield is rather good when compared to the S&P500 average which is at 2.33.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.37% |
5.2 History
The dividend of ACE has a limited annual growth rate of 1.12%.
Dividend Growth(5Y)1.12%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
33.77% of the earnings are spent on dividend by ACE. This is a low number and sustainable payout ratio.
ACE's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP33.77%
EPS Next 2Y9.9%
EPS Next 3Y4.99%
BIT:ACE (3/7/2025, 7:00:00 PM)
16.86
+0.46 (+2.8%)
Chartmill FA Rating
GICS SectorUtilities
GICS IndustryGroupUtilities
GICS IndustryMulti-Utilities
Earnings (Last)
Earnings (Next)
Inst Owners7.26%
Inst Owner ChangeN/A
Ins Owners7.74%
Ins Owner ChangeN/A
Market Cap3.59B
Analysts82.22
Price Target20.5 (21.59%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.37% |
Yearly Dividend0.68
Dividend Growth(5Y)1.12%
DP33.77%
Div Incr Years0
Div Non Decr Years0
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)1.93%
EPS NQ rev (1m)N/A
EPS NQ rev (3m)N/A
EPS NY rev (1m)0%
EPS NY rev (3m)2.27%
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)0%
Revenue NY rev (3m)-0.26%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 6.91 | ||
| Fwd PE | 10.12 | ||
| P/S | 0.56 | ||
| P/FCF | N/A | ||
| P/OCF | 2.86 | ||
| P/B | 1.46 | ||
| P/tB | N/A | ||
| EV/EBITDA | 4.95 |
EPS(TTM)2.44
EY14.47%
EPS(NY)1.67
Fwd EY9.88%
FCF(TTM)-2.21
FCFYN/A
OCF(TTM)5.89
OCFY34.95%
SpS30.17
BVpS11.56
TBVpS-10.61
PEG (NY)0.57
PEG (5Y)4.12
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.28% | ||
| ROE | 21.08% | ||
| ROCE | 11.35% | ||
| ROIC | 7.1% | ||
| ROICexc | 7.52% | ||
| ROICexgc | 16.83% | ||
| OM | 15.2% | ||
| PM (TTM) | 8.08% | ||
| GM | 54.27% | ||
| FCFM | N/A |
ROA(3y)2.64%
ROA(5y)2.8%
ROE(3y)13.11%
ROE(5y)13.82%
ROIC(3y)4.13%
ROIC(5y)4.1%
ROICexc(3y)4.65%
ROICexc(5y)4.72%
ROICexgc(3y)10.42%
ROICexgc(5y)10.46%
ROCE(3y)6.37%
ROCE(5y)6.34%
ROICexcg growth 3Y4.91%
ROICexcg growth 5Y4.09%
ROICexc growth 3Y1.31%
ROICexc growth 5Y-0.03%
OM growth 3Y-3.17%
OM growth 5Y-0.37%
PM growth 3Y-9.48%
PM growth 5Y-7.07%
GM growth 3Y-0.92%
GM growth 5Y1.74%
F-Score6
Asset Turnover0.53
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.08 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 3.09 | ||
| Cap/Depr | 253.49% | ||
| Cap/Sales | 26.86% | ||
| Interest Coverage | 5.91 | ||
| Cash Conversion | 75.72% | ||
| Profit Quality | N/A | ||
| Current Ratio | 0.67 | ||
| Quick Ratio | 0.64 | ||
| Altman-Z | 1.06 |
F-Score6
WACC4.48%
ROIC/WACC1.59
Cap/Depr(3y)155.52%
Cap/Depr(5y)137.33%
Cap/Sales(3y)20.51%
Cap/Sales(5y)18.55%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)37.04%
EPS 3Y1.04%
EPS 5Y1.68%
EPS Q2Q%69.15%
EPS Next Y12.21%
EPS Next 2Y9.9%
EPS Next 3Y4.99%
EPS Next 5Y4.21%
Revenue 1Y (TTM)-12.97%
Revenue growth 3Y11.62%
Revenue growth 5Y9.37%
Sales Q2Q%1.09%
Revenue Next Year-1.19%
Revenue Next 2Y-1.46%
Revenue Next 3Y-0.41%
Revenue Next 5Y-1.61%
EBIT growth 1Y32.34%
EBIT growth 3Y8.08%
EBIT growth 5Y8.97%
EBIT Next Year151.15%
EBIT Next 3Y39.13%
EBIT Next 5Y23.85%
FCF growth 1Y-672.96%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y40.23%
OCF growth 3Y8.9%
OCF growth 5Y8.92%