AIR LIQUIDE SA (AI.PA)
FR0000120073 - Common Stock
AI gets a fundamental rating of 5 out of 10. The analysis compared the fundamentals against 63 industry peers in the Chemicals industry. While AI belongs to the best of the industry regarding profitability, there are some minor concerns on its financial health. AI does not seem to be growing, but still is valued expensively.
1. Profitability
1.1 Basic Checks
AI had positive earnings in the past year.
AI had a positive operating cash flow in the past year.
Each year in the past 5 years AI has been profitable.
AI had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
AI has a better Return On Assets (6.17%) than 75.00% of its industry peers.
With a decent Return On Equity value of 12.46%, AI is doing good in the industry, outperforming 78.33% of the companies in the same industry.
AI has a better Return On Invested Capital (9.25%) than 85.00% of its industry peers.
The Average Return On Invested Capital over the past 3 years for AI is in line with the industry average of 7.21%.
The last Return On Invested Capital (9.25%) for AI is above the 3 year average (8.90%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.17% | ||
| ROE | 12.46% | ||
| ROIC | 9.25% |
ROA(3y)5.81%
ROA(5y)5.67%
ROE(3y)12.09%
ROE(5y)12.25%
ROIC(3y)8.9%
ROIC(5y)8.52%
1.3 Margins
AI's Profit Margin of 11.15% is amongst the best of the industry. AI outperforms 86.67% of its industry peers.
AI's Profit Margin has improved in the last couple of years.
With an excellent Operating Margin value of 18.36%, AI belongs to the best of the industry, outperforming 93.33% of the companies in the same industry.
In the last couple of years the Operating Margin of AI has grown nicely.
AI's Gross Margin of 59.62% is amongst the best of the industry. AI outperforms 91.67% of its industry peers.
In the last couple of years the Gross Margin of AI has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 18.36% | ||
| PM (TTM) | 11.15% | ||
| GM | 59.62% |
OM growth 3Y-0.26%
OM growth 5Y2.26%
PM growth 3Y-2.11%
PM growth 5Y2.08%
GM growth 3Y-2.77%
GM growth 5Y-0.33%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), AI is creating some value.
AI has more shares outstanding than it did 1 year ago.
AI has more shares outstanding than it did 5 years ago.
AI has a better debt/assets ratio than last year.
2.2 Solvency
AI has an Altman-Z score of 3.53. This indicates that AI is financially healthy and has little risk of bankruptcy at the moment.
The Altman-Z score of AI (3.53) is better than 83.33% of its industry peers.
The Debt to FCF ratio of AI is 4.69, which is a neutral value as it means it would take AI, 4.69 years of fcf income to pay off all of its debts.
AI's Debt to FCF ratio of 4.69 is fine compared to the rest of the industry. AI outperforms 73.33% of its industry peers.
AI has a Debt/Equity ratio of 0.44. This is a healthy value indicating a solid balance between debt and equity.
AI has a Debt to Equity ratio (0.44) which is in line with its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.44 | ||
| Debt/FCF | 4.69 | ||
| Altman-Z | 3.53 |
ROIC/WACC1.34
WACC6.88%
2.3 Liquidity
AI has a Current Ratio of 0.77. This is a bad value and indicates that AI is not financially healthy enough and could expect problems in meeting its short term obligations.
With a Current ratio value of 0.77, AI is not doing good in the industry: 95.00% of the companies in the same industry are doing better.
AI has a Quick Ratio of 0.77. This is a bad value and indicates that AI is not financially healthy enough and could expect problems in meeting its short term obligations.
AI has a worse Quick ratio (0.57) than 93.33% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.77 | ||
| Quick Ratio | 0.57 |
3. Growth
3.1 Past
AI shows a slight negative growth in Earnings Per Share. In the last year, the EPS has decreased by -8.59%.
Measured over the past 5 years, AI shows a small growth in Earnings Per Share. The EPS has been growing by 5.65% on average per year.
AI shows a decrease in Revenue. In the last year, the revenue decreased by -7.77%.
The Revenue has been growing slightly by 5.61% on average over the past years.
EPS 1Y (TTM)-8.59%
EPS 3Y4.57%
EPS 5Y5.65%
EPS Q2Q%-2.67%
Revenue 1Y (TTM)-7.77%
Revenue growth 3Y10.46%
Revenue growth 5Y5.61%
Sales Q2Q%-4.3%
3.2 Future
The Earnings Per Share is expected to grow by 12.06% on average over the next years. This is quite good.
AI is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 4.08% yearly.
EPS Next Y20.01%
EPS Next 2Y14.65%
EPS Next 3Y12.73%
EPS Next 5Y12.06%
Revenue Next Year-1.84%
Revenue Next 2Y1.43%
Revenue Next 3Y2.58%
Revenue Next 5Y4.08%
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
AI is valuated quite expensively with a Price/Earnings ratio of 29.43.
Compared to the rest of the industry, the Price/Earnings ratio of AI is on the same level as its industry peers.
When comparing the Price/Earnings ratio of AI to the average of the S&P500 Index (27.73), we can say AI is valued inline with the index average.
AI is valuated rather expensively with a Price/Forward Earnings ratio of 22.04.
AI's Price/Forward Earnings ratio is a bit more expensive when compared to the industry. AI is more expensive than 60.00% of the companies in the same industry.
Compared to an average S&P500 Price/Forward Earnings ratio of 22.83, AI is valued at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 29.43 | ||
| Fwd PE | 22.04 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of AI indicates a slightly more expensive valuation: AI is more expensive than 60.00% of the companies listed in the same industry.
AI's Price/Free Cash Flow ratio is in line with the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 31.96 | ||
| EV/EBITDA | 13.19 |
4.3 Compensation for Growth
The PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
The excellent profitability rating of AI may justify a higher PE ratio.
A more expensive valuation may be justified as AI's earnings are expected to grow with 12.73% in the coming years.
PEG (NY)1.47
PEG (5Y)5.21
EPS Next 2Y14.65%
EPS Next 3Y12.73%
5. Dividend
5.1 Amount
AI has a Yearly Dividend Yield of 1.81%. Purely for dividend investing, there may be better candidates out there.
AI's Dividend Yield is comparable with the industry average which is at 3.84.
Compared to an average S&P500 Dividend Yield of 2.24, AI has a dividend comparable with the average S&P500 company.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.81% |
5.2 History
The dividend of AI has a limited annual growth rate of 5.14%.
Dividend Growth(5Y)5.14%
Div Incr Years5
Div Non Decr Years5
5.3 Sustainability
AI pays out 55.81% of its income as dividend. This is a bit on the high side, but may be sustainable.
The dividend of AI is growing, but earnings are growing more, so the dividend growth is sustainable.
DP55.81%
EPS Next 2Y14.65%
EPS Next 3Y12.73%
AIR LIQUIDE SA
EPA:AI (12/20/2024, 7:00:00 PM)
155.38
-0.12 (-0.08%)
Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryChemicals
Earnings (Last)
Earnings (Next)
Inst Owners27.76%
Inst Owner ChangeN/A
Ins OwnersN/A
Ins Owner ChangeN/A
Market Cap89.85B
Analysts79.39
Price Target191.56 (23.28%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.81% |
Dividend Growth(5Y)5.14%
DP55.81%
Div Incr Years5
Div Non Decr Years5
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)1.38%
PT rev (3m)2.67%
EPS NQ rev (1m)N/A
EPS NQ rev (3m)N/A
EPS NY rev (1m)0%
EPS NY rev (3m)0.19%
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)0%
Revenue NY rev (3m)-0.93%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 29.43 | ||
| Fwd PE | 22.04 | ||
| P/S | 3.25 | ||
| P/FCF | 31.96 | ||
| P/OCF | 14.62 | ||
| P/B | 3.64 | ||
| P/tB | 10.45 | ||
| EV/EBITDA | 13.19 |
EPS(TTM)5.28
EY3.4%
EPS(NY)7.05
Fwd EY4.54%
FCF(TTM)4.86
FCFY3.13%
OCF(TTM)10.63
OCFY6.84%
SpS47.74
BVpS42.71
TBVpS14.87
PEG (NY)1.47
PEG (5Y)5.21
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.17% | ||
| ROE | 12.46% | ||
| ROCE | 12.81% | ||
| ROIC | 9.25% | ||
| ROICexc | 9.67% | ||
| ROICexgc | 16.3% | ||
| OM | 18.36% | ||
| PM (TTM) | 11.15% | ||
| GM | 59.62% | ||
| FCFM | 10.18% |
ROA(3y)5.81%
ROA(5y)5.67%
ROE(3y)12.09%
ROE(5y)12.25%
ROIC(3y)8.9%
ROIC(5y)8.52%
ROICexc(3y)9.35%
ROICexc(5y)8.93%
ROICexgc(3y)16.12%
ROICexgc(5y)15.53%
ROCE(3y)11.88%
ROCE(5y)11.37%
ROICexcg growth 3Y3.56%
ROICexcg growth 5Y3.96%
ROICexc growth 3Y4.99%
ROICexc growth 5Y5.16%
OM growth 3Y-0.26%
OM growth 5Y2.26%
PM growth 3Y-2.11%
PM growth 5Y2.08%
GM growth 3Y-2.77%
GM growth 5Y-0.33%
F-Score7
Asset Turnover0.55
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.44 | ||
| Debt/FCF | 4.69 | ||
| Debt/EBITDA | 1.45 | ||
| Cap/Depr | 134.52% | ||
| Cap/Sales | 12.08% | ||
| Interest Coverage | 19.18 | ||
| Cash Conversion | 81.45% | ||
| Profit Quality | 91.35% | ||
| Current Ratio | 0.77 | ||
| Quick Ratio | 0.57 | ||
| Altman-Z | 3.53 |
F-Score7
WACC6.88%
ROIC/WACC1.34
Cap/Depr(3y)134.57%
Cap/Depr(5y)130.01%
Cap/Sales(3y)11.91%
Cap/Sales(5y)12.12%
Profit Quality(3y)96.12%
Profit Quality(5y)97.35%
High Growth Momentum
Growth
EPS 1Y (TTM)-8.59%
EPS 3Y4.57%
EPS 5Y5.65%
EPS Q2Q%-2.67%
EPS Next Y20.01%
EPS Next 2Y14.65%
EPS Next 3Y12.73%
EPS Next 5Y12.06%
Revenue 1Y (TTM)-7.77%
Revenue growth 3Y10.46%
Revenue growth 5Y5.61%
Sales Q2Q%-4.3%
Revenue Next Year-1.84%
Revenue Next 2Y1.43%
Revenue Next 3Y2.58%
Revenue Next 5Y4.08%
EBIT growth 1Y4.24%
EBIT growth 3Y10.17%
EBIT growth 5Y8%
EBIT Next Year55.53%
EBIT Next 3Y21.6%
EBIT Next 5Y15.99%
FCF growth 1Y9.43%
FCF growth 3Y3.67%
FCF growth 5Y3.07%
OCF growth 1Y9.36%
OCF growth 3Y6.36%
OCF growth 5Y5.84%