ARAMIS GROUP SAS (ARAMI.PA) Stock Fundamental Analysis
Europe - Euronext Paris - EPA:ARAMI - FR0014003U94 - Common Stock
4.758 EUR
+0.08 (+1.67%)
ARAMI gets a fundamental rating of 5 out of 10. The analysis compared the fundamentals against 56 industry peers in the Specialty Retail industry. ARAMI has a great financial health rating, but its profitability evaluates not so good. ARAMI is not valued too expensively and it also shows a decent growth rate.
1. Profitability
1.1 Basic Checks
- ARAMI had positive earnings in the past year.
- ARAMI had a positive operating cash flow in the past year.
- In multiple years ARAMI reported negative net income over the last 5 years.
- The reported operating cash flow has been mixed in the past 5 years: ARAMI reported negative operating cash flow in multiple years.
1.2 Ratios
- ARAMI has a Return On Assets (2.82%) which is comparable to the rest of the industry.
- The Return On Equity of ARAMI (8.07%) is better than 60.71% of its industry peers.
- ARAMI has a Return On Invested Capital of 6.40%. This is comparable to the rest of the industry: ARAMI outperforms 58.93% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.82% | ||
| ROE | 8.07% | ||
| ROIC | 6.4% |
ROA(3y)-0.33%
ROA(5y)-3.19%
ROE(3y)-1.69%
ROE(5y)-8.04%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
- ARAMI has a Profit Margin (0.70%) which is in line with its industry peers.
- ARAMI's Operating Margin of 1.22% is on the low side compared to the rest of the industry. ARAMI is outperformed by 62.50% of its industry peers.
- ARAMI's Operating Margin has improved in the last couple of years.
- The Gross Margin of ARAMI (17.41%) is worse than 80.36% of its industry peers.
- ARAMI's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 1.22% | ||
| PM (TTM) | 0.7% | ||
| GM | 17.41% |
OM growth 3YN/A
OM growth 5Y5.67%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y5.88%
GM growth 5Y-0.37%
2. Health
2.1 Basic Checks
- ARAMI has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
- ARAMI has about the same amout of shares outstanding than it did 1 year ago.
- The number of shares outstanding for ARAMI remains at a similar level compared to 5 years ago.
- Compared to 1 year ago, ARAMI has an improved debt to assets ratio.
2.2 Solvency
- An Altman-Z score of 4.83 indicates that ARAMI is not in any danger for bankruptcy at the moment.
- With an excellent Altman-Z score value of 4.83, ARAMI belongs to the best of the industry, outperforming 91.07% of the companies in the same industry.
- The Debt to FCF ratio of ARAMI is 1.94, which is an excellent value as it means it would take ARAMI, only 1.94 years of fcf income to pay off all of its debts.
- ARAMI has a Debt to FCF ratio of 1.94. This is amongst the best in the industry. ARAMI outperforms 87.50% of its industry peers.
- A Debt/Equity ratio of 0.52 indicates that ARAMI is somewhat dependend on debt financing.
- ARAMI's Debt to Equity ratio of 0.52 is in line compared to the rest of the industry. ARAMI outperforms 57.14% of its industry peers.
- Although ARAMI does not score too well on debt/equity it has very limited outstanding debt, which is well covered by the FCF. We will not put too much weight on the debt/equity number as it may be because of low equity, which could be a consequence of a share buyback program for instance. This needs to be investigated.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.52 | ||
| Debt/FCF | 1.94 | ||
| Altman-Z | 4.83 |
ROIC/WACC0.95
WACC6.77%
2.3 Liquidity
- A Current Ratio of 1.33 indicates that ARAMI should not have too much problems paying its short term obligations.
- ARAMI has a Current ratio of 1.33. This is in the better half of the industry: ARAMI outperforms 64.29% of its industry peers.
- A Quick Ratio of 0.49 indicates that ARAMI may have some problems paying its short term obligations.
- Looking at the Quick ratio, with a value of 0.49, ARAMI is in line with its industry, outperforming 46.43% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.33 | ||
| Quick Ratio | 0.49 |
3. Growth
3.1 Past
- The Earnings Per Share has grown by an impressive 120.09% over the past year.
- ARAMI shows a small growth in Revenue. In the last year, the Revenue has grown by 6.35%.
- The Revenue has been growing by 23.42% on average over the past years. This is a very strong growth!
EPS 1Y (TTM)120.09%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%-51.05%
Revenue 1Y (TTM)6.35%
Revenue growth 3Y10.39%
Revenue growth 5Y23.42%
Sales Q2Q%2.37%
3.2 Future
- The Earnings Per Share is expected to grow by 15.92% on average over the next years. This is quite good.
- The Revenue is expected to grow by 5.54% on average over the next years.
EPS Next Y18.02%
EPS Next 2Y14.28%
EPS Next 3Y15.92%
EPS Next 5YN/A
Revenue Next Year2.02%
Revenue Next 2Y4.62%
Revenue Next 3Y3.05%
Revenue Next 5Y5.54%
3.3 Evolution
- When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
- ARAMI is valuated rather expensively with a Price/Earnings ratio of 23.79.
- Based on the Price/Earnings ratio, ARAMI is valued a bit cheaper than the industry average as 71.43% of the companies are valued more expensively.
- When comparing the Price/Earnings ratio of ARAMI to the average of the S&P500 Index (27.25), we can say ARAMI is valued inline with the index average.
- A Price/Forward Earnings ratio of 18.48 indicates a rather expensive valuation of ARAMI.
- Compared to the rest of the industry, the Price/Forward Earnings ratio of ARAMI indicates a somewhat cheap valuation: ARAMI is cheaper than 60.71% of the companies listed in the same industry.
- The average S&P500 Price/Forward Earnings ratio is at 25.98. ARAMI is valued slightly cheaper when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 23.79 | ||
| Fwd PE | 18.48 |
4.2 Price Multiples
- The rest of the industry has a similar Enterprise Value to EBITDA ratio as ARAMI.
- ARAMI's Price/Free Cash Flow ratio is a bit cheaper when compared to the industry. ARAMI is cheaper than 75.00% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 5.29 | ||
| EV/EBITDA | 8.43 |
4.3 Compensation for Growth
- The PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
- ARAMI's earnings are expected to grow with 15.92% in the coming years. This may justify a more expensive valuation.
PEG (NY)1.32
PEG (5Y)N/A
EPS Next 2Y14.28%
EPS Next 3Y15.92%
5. Dividend
5.1 Amount
- ARAMI does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
ARAMIS GROUP SAS / ARAMI.PA FAQ
Can you provide the ChartMill fundamental rating for ARAMIS GROUP SAS?
ChartMill assigns a fundamental rating of 5 / 10 to ARAMI.PA.
What is the valuation status for ARAMI stock?
ChartMill assigns a valuation rating of 4 / 10 to ARAMIS GROUP SAS (ARAMI.PA). This can be considered as Fairly Valued.
What is the profitability of ARAMI stock?
ARAMIS GROUP SAS (ARAMI.PA) has a profitability rating of 3 / 10.
Can you provide the financial health for ARAMI stock?
The financial health rating of ARAMIS GROUP SAS (ARAMI.PA) is 7 / 10.