NEXTEDIA (ALNXT.PA) Stock Fundamental Analysis
Europe - Euronext Paris - EPA:ALNXT - FR0004171346 - Common Stock
0.414 EUR
+0.01 (+1.97%)
We assign a fundamental rating of 5 out of 10 to ALNXT. ALNXT was compared to 70 industry peers in the IT Services industry. The financial health of ALNXT is average, but there are quite some concerns on its profitability. ALNXT scores decently on growth, while it is valued quite cheap. This could make an interesting combination.
1. Profitability
1.1 Basic Checks
- ALNXT had positive earnings in the past year.
- ALNXT had a positive operating cash flow in the past year.
- Each year in the past 5 years ALNXT has been profitable.
- ALNXT had a positive operating cash flow in 4 of the past 5 years.
1.2 Ratios
- ALNXT has a Return On Assets of 2.83%. This is in the lower half of the industry: ALNXT underperforms 64.29% of its industry peers.
- ALNXT has a Return On Equity of 4.93%. This is in the lower half of the industry: ALNXT underperforms 65.71% of its industry peers.
- ALNXT's Return On Invested Capital of 6.30% is on the low side compared to the rest of the industry. ALNXT is outperformed by 64.29% of its industry peers.
- ALNXT had an Average Return On Invested Capital over the past 3 years of 6.20%. This is significantly below the industry average of 26.75%.
- The 3 year average ROIC (6.20%) for ALNXT is below the current ROIC(6.30%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.83% | ||
| ROE | 4.93% | ||
| ROIC | 6.3% |
ROA(3y)2.64%
ROA(5y)3.08%
ROE(3y)5.31%
ROE(5y)6.42%
ROIC(3y)6.2%
ROIC(5y)6.1%
1.3 Margins
- With a Profit Margin value of 2.50%, ALNXT is not doing good in the industry: 61.43% of the companies in the same industry are doing better.
- ALNXT's Profit Margin has declined in the last couple of years.
- ALNXT has a Operating Margin (5.15%) which is comparable to the rest of the industry.
- In the last couple of years the Operating Margin of ALNXT has declined.
- ALNXT has a worse Gross Margin (54.19%) than 62.86% of its industry peers.
- In the last couple of years the Gross Margin of ALNXT has declined.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 5.15% | ||
| PM (TTM) | 2.5% | ||
| GM | 54.19% |
OM growth 3Y-10.16%
OM growth 5Y-2.26%
PM growth 3Y-8.02%
PM growth 5Y-2.63%
GM growth 3Y-8.46%
GM growth 5Y-11.02%
2. Health
2.1 Basic Checks
- With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), ALNXT is destroying value.
- Compared to 1 year ago, ALNXT has about the same amount of shares outstanding.
- The number of shares outstanding for ALNXT has been increased compared to 5 years ago.
- Compared to 1 year ago, ALNXT has an improved debt to assets ratio.
2.2 Solvency
- ALNXT has an Altman-Z score of 2.14. This is not the best score and indicates that ALNXT is in the grey zone with still only limited risk for bankruptcy at the moment.
- ALNXT has a worse Altman-Z score (2.14) than 62.86% of its industry peers.
- ALNXT has a debt to FCF ratio of 3.10. This is a good value and a sign of high solvency as ALNXT would need 3.10 years to pay back of all of its debts.
- ALNXT has a Debt to FCF ratio (3.10) which is comparable to the rest of the industry.
- ALNXT has a Debt/Equity ratio of 0.12. This is a healthy value indicating a solid balance between debt and equity.
- The Debt to Equity ratio of ALNXT (0.12) is better than 78.57% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.12 | ||
| Debt/FCF | 3.1 | ||
| Altman-Z | 2.14 |
ROIC/WACC0.94
WACC6.71%
2.3 Liquidity
- ALNXT has a Current Ratio of 1.25. This is a normal value and indicates that ALNXT is financially healthy and should not expect problems in meeting its short term obligations.
- With a Current ratio value of 1.25, ALNXT perfoms like the industry average, outperforming 54.29% of the companies in the same industry.
- ALNXT has a Quick Ratio of 1.25. This is a normal value and indicates that ALNXT is financially healthy and should not expect problems in meeting its short term obligations.
- The Quick ratio of ALNXT (1.25) is better than 61.43% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.25 | ||
| Quick Ratio | 1.25 |
3. Growth
3.1 Past
- The Earnings Per Share has grown by an impressive 48.13% over the past year.
- Measured over the past 5 years, ALNXT shows a small growth in Earnings Per Share. The EPS has been growing by 3.66% on average per year.
- ALNXT shows a decrease in Revenue. In the last year, the revenue decreased by -2.25%.
- The Revenue has been growing by 21.48% on average over the past years. This is a very strong growth!
EPS 1Y (TTM)48.13%
EPS 3Y-3.66%
EPS 5Y3.66%
EPS Q2Q%4.76%
Revenue 1Y (TTM)-2.25%
Revenue growth 3Y8.74%
Revenue growth 5Y21.48%
Sales Q2Q%-8.17%
3.2 Future
- ALNXT is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 9.47% yearly.
- The Revenue is expected to grow by 8.18% on average over the next years. This is quite good.
EPS Next Y20.64%
EPS Next 2Y9.47%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year13.87%
Revenue Next 2Y8.18%
Revenue Next 3YN/A
Revenue Next 5YN/A
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 decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
- ALNXT is valuated reasonably with a Price/Earnings ratio of 10.35.
- Based on the Price/Earnings ratio, ALNXT is valued cheaper than 92.86% of the companies in the same industry.
- When comparing the Price/Earnings ratio of ALNXT to the average of the S&P500 Index (28.60), we can say ALNXT is valued rather cheaply.
- Based on the Price/Forward Earnings ratio of 4.47, the valuation of ALNXT can be described as very cheap.
- Based on the Price/Forward Earnings ratio, ALNXT is valued cheaply inside the industry as 95.71% of the companies are valued more expensively.
- When comparing the Price/Forward Earnings ratio of ALNXT to the average of the S&P500 Index (25.83), we can say ALNXT is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.35 | ||
| Fwd PE | 4.47 |
4.2 Price Multiples
- Based on the Price/Free Cash Flow ratio, ALNXT is valued a bit cheaper than the industry average as 78.57% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 8.84 | ||
| EV/EBITDA | N/A |
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.
PEG (NY)0.5
PEG (5Y)2.83
EPS Next 2Y9.47%
EPS Next 3YN/A
5. Dividend
5.1 Amount
- No dividends for ALNXT!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
NEXTEDIA / ALNXT.PA FAQ
Can you provide the ChartMill fundamental rating for NEXTEDIA?
ChartMill assigns a fundamental rating of 5 / 10 to ALNXT.PA.
What is the valuation status of NEXTEDIA (ALNXT.PA) stock?
ChartMill assigns a valuation rating of 7 / 10 to NEXTEDIA (ALNXT.PA). This can be considered as Undervalued.
What is the profitability of ALNXT stock?
NEXTEDIA (ALNXT.PA) has a profitability rating of 3 / 10.
How financially healthy is NEXTEDIA?
The financial health rating of NEXTEDIA (ALNXT.PA) is 5 / 10.