AIR LIQUIDE SA (AIL.DE) Stock Fundamental Analysis
FRA:AIL - Deutsche Boerse Ag - FR0000120073 - Common Stock - Currency: EUR
We assign a fundamental rating of 5 out of 10 to AIL. AIL was compared to 63 industry peers in the Chemicals industry. While AIL belongs to the best of the industry regarding profitability, there are some minor concerns on its financial health. AIL is quite expensive at the moment. It does show a decent growth rate.
1. Profitability
1.1 Basic Checks
AIL had positive earnings in the past year.
AIL had a positive operating cash flow in the past year.
AIL had positive earnings in each of the past 5 years.
In the past 5 years AIL always reported a positive cash flow from operatings.
1.2 Ratios
AIL's Return On Assets of 6.37% is amongst the best of the industry. AIL outperforms 80.95% of its industry peers.
The Return On Equity of AIL (12.31%) is better than 82.54% of its industry peers.
AIL has a better Return On Invested Capital (9.71%) than 88.89% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.37% | ||
| ROE | 12.31% | ||
| ROIC | 9.71% |
ROA(3y)N/A
ROA(5y)N/A
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
With an excellent Profit Margin value of 12.22%, AIL belongs to the best of the industry, outperforming 88.89% of the companies in the same industry.
In the last couple of years the Profit Margin of AIL has grown nicely.
The Operating Margin of AIL (19.93%) is better than 93.65% of its industry peers.
AIL's Operating Margin has improved in the last couple of years.
With an excellent Gross Margin value of 63.01%, AIL belongs to the best of the industry, outperforming 95.24% of the companies in the same industry.
In the last couple of years the Gross Margin of AIL has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 19.93% | ||
| PM (TTM) | 12.22% | ||
| GM | 63.01% |
OM growth 3Y3.78%
OM growth 5Y2.86%
PM growth 3Y3.49%
PM growth 5Y3.63%
GM growth 3Y1.78%
GM growth 5Y0.07%
2. Health
2.1 Basic Checks
AIL has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
AIL has no outstanding debt. Therefor its Debt/Equity and Debt/FCF ratios are 0 and belong to the best of the industry.
2.2 Solvency
An Altman-Z score of 3.93 indicates that AIL is not in any danger for bankruptcy at the moment.
The Altman-Z score of AIL (3.93) is better than 85.71% of its industry peers.
AIL has a debt to FCF ratio of 4.45. This is a neutral value as AIL would need 4.45 years to pay back of all of its debts.
AIL has a better Debt to FCF ratio (4.45) than 76.19% of its industry peers.
AIL has a Debt/Equity ratio of 0.36. This is a healthy value indicating a solid balance between debt and equity.
AIL has a better Debt to Equity ratio (0.36) than 63.49% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.36 | ||
| Debt/FCF | 4.45 | ||
| Altman-Z | 3.93 |
ROIC/WACC1.26
WACC7.71%
2.3 Liquidity
AIL has a Current Ratio of 0.88. This is a bad value and indicates that AIL is not financially healthy enough and could expect problems in meeting its short term obligations.
The Current ratio of AIL (0.88) is worse than 84.13% of its industry peers.
A Quick Ratio of 0.65 indicates that AIL may have some problems paying its short term obligations.
AIL has a worse Quick ratio (0.65) than 84.13% of its industry peers.
AIL does not score too well on the current and quick ratio evaluation. However, as it has excellent solvency and profitability, these ratios do not necessarly indicate liquidity issues and need to be evaluated against the specifics of the business.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.88 | ||
| Quick Ratio | 0.65 |
3. Growth
3.1 Past
AIL shows a small growth in Earnings Per Share. In the last year, the EPS has grown by 7.41%.
The Earnings Per Share has been growing slightly by 5.93% on average over the past years.
The Revenue has decreased by -1.99% in the past year.
AIL shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 4.30% yearly.
EPS 1Y (TTM)7.41%
EPS 3Y5.17%
EPS 5Y5.93%
EPS Q2Q%19.81%
Revenue 1Y (TTM)-1.99%
Revenue growth 3Y5.06%
Revenue growth 5Y4.3%
Sales Q2Q%0.38%
3.2 Future
AIL is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 11.86% yearly.
The Revenue is expected to grow by 6.00% on average over the next years.
EPS Next Y10.73%
EPS Next 2Y9.93%
EPS Next 3Y11.2%
EPS Next 5Y11.86%
Revenue Next Year5.5%
Revenue Next 2Y5.23%
Revenue Next 3Y5.47%
Revenue Next 5Y6%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
AIL is valuated quite expensively with a Price/Earnings ratio of 31.39.
Compared to the rest of the industry, the Price/Earnings ratio of AIL is on the same level as its industry peers.
When comparing the Price/Earnings ratio of AIL to the average of the S&P500 Index (29.35), we can say AIL is valued inline with the index average.
Based on the Price/Forward Earnings ratio of 25.52, the valuation of AIL can be described as expensive.
AIL's Price/Forward Earnings is on the same level as the industry average.
AIL is valuated at similar levels of the S&P average when we compare the Price/Forward Earnings ratio to 22.10, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 31.39 | ||
| Fwd PE | 25.52 |
4.2 Price Multiples
The rest of the industry has a similar Enterprise Value to EBITDA ratio as AIL.
AIL's Price/Free Cash Flow ratio is in line with the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 37.26 | ||
| EV/EBITDA | 14.53 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
The excellent profitability rating of AIL may justify a higher PE ratio.
PEG (NY)2.93
PEG (5Y)5.29
EPS Next 2Y9.93%
EPS Next 3Y11.2%
5. Dividend
5.1 Amount
AIL has a Yearly Dividend Yield of 1.83%. Purely for dividend investing, there may be better candidates out there.
AIL's Dividend Yield is comparable with the industry average which is at 3.09.
AIL's Dividend Yield is slightly below the S&P500 average, which is at 2.33.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.83% |
5.2 History
The dividend of AIL has a limited annual growth rate of 5.14%.
Dividend Growth(5Y)5.14%
Div Incr Years5
Div Non Decr Years5
5.3 Sustainability
51.97% of the earnings are spent on dividend by AIL. This is a bit on the high side, but may be sustainable.
The dividend of AIL is growing, but earnings are growing more, so the dividend growth is sustainable.
DP51.97%
EPS Next 2Y9.93%
EPS Next 3Y11.2%
FRA:AIL (3/7/2025, 7:00:00 PM)
180.2
-0.04 (-0.02%)
Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryChemicals
Earnings (Last)
Earnings (Next)
Inst Owners27.5%
Inst Owner ChangeN/A
Ins Owners0.13%
Ins Owner ChangeN/A
Market Cap104.21B
Analysts81.25
Price Target196.4 (8.99%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.83% |
Yearly Dividend2.88
Dividend Growth(5Y)5.14%
DP51.97%
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)3.26%
PT rev (3m)2.47%
EPS NQ rev (1m)N/A
EPS NQ rev (3m)N/A
EPS NY rev (1m)0.37%
EPS NY rev (3m)0.15%
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)0.19%
Revenue NY rev (3m)0.57%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 31.39 | ||
| Fwd PE | 25.52 | ||
| P/S | 3.85 | ||
| P/FCF | 37.26 | ||
| P/OCF | 16.48 | ||
| P/B | 3.88 | ||
| P/tB | 10.23 | ||
| EV/EBITDA | 14.53 |
EPS(TTM)5.74
EY3.19%
EPS(NY)7.06
Fwd EY3.92%
FCF(TTM)4.84
FCFY2.68%
OCF(TTM)10.93
OCFY6.07%
SpS46.79
BVpS46.45
TBVpS17.62
PEG (NY)2.93
PEG (5Y)5.29
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.37% | ||
| ROE | 12.31% | ||
| ROCE | 12.72% | ||
| ROIC | 9.71% | ||
| ROICexc | 10.17% | ||
| ROICexgc | 17.29% | ||
| OM | 19.93% | ||
| PM (TTM) | 12.22% | ||
| GM | 63.01% | ||
| FCFM | 10.34% |
ROA(3y)N/A
ROA(5y)N/A
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexcg growth 3YN/A
ROICexcg growth 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5YN/A
OM growth 3Y3.78%
OM growth 5Y2.86%
PM growth 3Y3.49%
PM growth 5Y3.63%
GM growth 3Y1.78%
GM growth 5Y0.07%
F-Score8
Asset Turnover0.52
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.36 | ||
| Debt/FCF | 4.45 | ||
| Debt/EBITDA | 1.21 | ||
| Cap/Depr | 140.72% | ||
| Cap/Sales | 13.03% | ||
| Interest Coverage | 20.46 | ||
| Cash Conversion | 80.06% | ||
| Profit Quality | 84.6% | ||
| Current Ratio | 0.88 | ||
| Quick Ratio | 0.65 | ||
| Altman-Z | 3.93 |
F-Score8
WACC7.71%
ROIC/WACC1.26
Cap/Depr(3y)136.72%
Cap/Depr(5y)133.49%
Cap/Sales(3y)12.08%
Cap/Sales(5y)12.32%
Profit Quality(3y)89.93%
Profit Quality(5y)95.75%
High Growth Momentum
Growth
EPS 1Y (TTM)7.41%
EPS 3Y5.17%
EPS 5Y5.93%
EPS Q2Q%19.81%
EPS Next Y10.73%
EPS Next 2Y9.93%
EPS Next 3Y11.2%
EPS Next 5Y11.86%
Revenue 1Y (TTM)-1.99%
Revenue growth 3Y5.06%
Revenue growth 5Y4.3%
Sales Q2Q%0.38%
Revenue Next Year5.5%
Revenue Next 2Y5.23%
Revenue Next 3Y5.47%
Revenue Next 5Y6%
EBIT growth 1Y6.38%
EBIT growth 3Y9.02%
EBIT growth 5Y7.28%
EBIT Next Year59.94%
EBIT Next 3Y23.38%
EBIT Next 5Y16.69%
FCF growth 1Y-2.53%
FCF growth 3Y1.77%
FCF growth 5Y6.15%
OCF growth 1Y0.95%
OCF growth 3Y4.31%
OCF growth 5Y6.05%