ATEA ASA (ATEA.OL) Stock Fundamental Analysis
OSL:ATEA - Euronext Oslo - NO0004822503 - Common Stock - Currency: NOK
Overall ATEA gets a fundamental rating of 5 out of 10. We evaluated ATEA against 70 industry peers in the IT Services industry. Both the profitability and the financial health of ATEA get a neutral evaluation. Nothing too spectacular is happening here. ATEA has a valuation in line with the averages, but it does not seem to be growing. ATEA also has an excellent dividend rating. These ratings would make ATEA suitable for dividend investing!
1. Profitability
1.1 Basic Checks
ATEA had positive earnings in the past year.
In the past year ATEA had a positive cash flow from operations.
Each year in the past 5 years ATEA has been profitable.
ATEA had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
ATEA has a Return On Assets of 3.68%. This is comparable to the rest of the industry: ATEA outperforms 50.67% of its industry peers.
Looking at the Return On Equity, with a value of 17.54%, ATEA is in the better half of the industry, outperforming 78.67% of the companies in the same industry.
ATEA's Return On Invested Capital of 14.44% is amongst the best of the industry. ATEA outperforms 90.67% of its industry peers.
ATEA had an Average Return On Invested Capital over the past 3 years of 16.17%. This is significantly above the industry average of 11.01%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.68% | ||
| ROE | 17.54% | ||
| ROIC | 14.44% |
ROA(3y)4.24%
ROA(5y)4.2%
ROE(3y)19.77%
ROE(5y)19.69%
ROIC(3y)16.17%
ROIC(5y)15.33%
1.3 Margins
ATEA has a Profit Margin of 2.24%. This is comparable to the rest of the industry: ATEA outperforms 45.33% of its industry peers.
ATEA's Profit Margin has improved in the last couple of years.
ATEA's Operating Margin of 3.50% is on the low side compared to the rest of the industry. ATEA is outperformed by 62.67% of its industry peers.
In the last couple of years the Operating Margin of ATEA has grown nicely.
Looking at the Gross Margin, with a value of 30.07%, ATEA is doing worse than 69.33% of the companies in the same industry.
ATEA's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 3.5% | ||
| PM (TTM) | 2.24% | ||
| GM | 30.07% |
OM growth 3Y-1.59%
OM growth 5Y11.42%
PM growth 3Y-5.64%
PM growth 5Y9.16%
GM growth 3Y0.47%
GM growth 5Y7.27%
2. Health
2.1 Basic Checks
ATEA has a Return on Invested Capital (ROIC), which is well above the Cost of Capital (WACC), which means it is creating value.
Compared to 1 year ago, ATEA has more shares outstanding
The number of shares outstanding for ATEA has been increased compared to 5 years ago.
Compared to 1 year ago, ATEA has an improved debt to assets ratio.
2.2 Solvency
An Altman-Z score of 2.56 indicates that ATEA is not a great score, but indicates only limited risk for bankruptcy at the moment.
With a Altman-Z score value of 2.56, ATEA perfoms like the industry average, outperforming 58.67% of the companies in the same industry.
The Debt to FCF ratio of ATEA is 1.37, which is an excellent value as it means it would take ATEA, only 1.37 years of fcf income to pay off all of its debts.
Looking at the Debt to FCF ratio, with a value of 1.37, ATEA belongs to the top of the industry, outperforming 82.67% of the companies in the same industry.
A Debt/Equity ratio of 0.39 indicates that ATEA is not too dependend on debt financing.
ATEA has a Debt to Equity ratio of 0.39. This is in the better half of the industry: ATEA outperforms 61.33% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.39 | ||
| Debt/FCF | 1.37 | ||
| Altman-Z | 2.56 |
ROIC/WACC1.75
WACC8.27%
2.3 Liquidity
ATEA has a Current Ratio of 0.94. This is a bad value and indicates that ATEA is not financially healthy enough and could expect problems in meeting its short term obligations.
ATEA has a Current ratio of 0.94. This is in the lower half of the industry: ATEA underperforms 72.00% of its industry peers.
ATEA has a Quick Ratio of 0.94. This is a bad value and indicates that ATEA is not financially healthy enough and could expect problems in meeting its short term obligations.
Looking at the Quick ratio, with a value of 0.87, ATEA is doing worse than 74.67% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.94 | ||
| Quick Ratio | 0.87 |
3. Growth
3.1 Past
ATEA shows a slight negative growth in Earnings Per Share. In the last year, the EPS has decreased by -3.58%.
The Earnings Per Share has been growing slightly by 7.54% on average over the past years.
The Revenue has decreased by -0.35% in the past year.
The Revenue has been decreasing by -1.16% on average over the past years.
EPS 1Y (TTM)-3.58%
EPS 3Y0.26%
EPS 5Y7.54%
EPS Q2Q%0.61%
Revenue 1Y (TTM)-0.35%
Revenue growth 3Y6.67%
Revenue growth 5Y-1.16%
Sales Q2Q%12.93%
3.2 Future
The Earnings Per Share is expected to grow by 16.71% on average over the next years. This is quite good.
ATEA is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 6.09% yearly.
EPS Next Y22.06%
EPS Next 2Y18.38%
EPS Next 3Y16.71%
EPS Next 5YN/A
Revenue Next Year9.42%
Revenue Next 2Y7.16%
Revenue Next 3Y6.09%
Revenue Next 5YN/A
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.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 19.27, the valuation of ATEA can be described as rather expensive.
ATEA's Price/Earnings ratio is a bit cheaper when compared to the industry. ATEA is cheaper than 61.33% of the companies in the same industry.
The average S&P500 Price/Earnings ratio is at 29.35. ATEA is valued slightly cheaper when compared to this.
The Price/Forward Earnings ratio is 14.05, which indicates a correct valuation of ATEA.
65.33% of the companies in the same industry are more expensive than ATEA, based on the Price/Forward Earnings ratio.
The average S&P500 Price/Forward Earnings ratio is at 22.10. ATEA is valued slightly cheaper when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 19.27 | ||
| Fwd PE | 14.05 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, ATEA is valued a bit cheaper than the industry average as 65.33% of the companies are valued more expensively.
70.67% of the companies in the same industry are more expensive than ATEA, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 9.32 | ||
| EV/EBITDA | 7.77 |
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 ATEA may justify a higher PE ratio.
A more expensive valuation may be justified as ATEA's earnings are expected to grow with 16.71% in the coming years.
PEG (NY)0.87
PEG (5Y)2.56
EPS Next 2Y18.38%
EPS Next 3Y16.71%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 5.19%, ATEA is a good candidate for dividend investing.
Compared to an average industry Dividend Yield of 4.29, ATEA pays a better dividend. On top of this ATEA pays more dividend than 84.00% of the companies listed in the same industry.
ATEA's Dividend Yield is rather good when compared to the S&P500 average which is at 2.33.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.19% |
5.2 History
The dividend of ATEA has a limited annual growth rate of 1.53%.
Dividend Growth(5Y)1.53%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
ATEA pays out 100.77% of its income as dividend. This is not a sustainable payout ratio.
The dividend of ATEA is growing, but earnings are growing more, so the dividend growth is sustainable.
DP100.77%
EPS Next 2Y18.38%
EPS Next 3Y16.71%
OSL:ATEA (3/7/2025, 7:00:00 PM)
132.8
-2 (-1.48%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSoftware & Services
GICS IndustryIT Services
Earnings (Last)
Earnings (Next)
Inst Owners50.65%
Inst Owner ChangeN/A
Ins Owners0.39%
Ins Owner ChangeN/A
Market Cap14.92B
Analysts78.33
Price Target163.37 (23.02%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.19% |
Yearly Dividend7.01
Dividend Growth(5Y)1.53%
DP100.77%
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)1
Avg Revenue beat(2)-2.61%
Min Revenue beat(2)-7.84%
Max Revenue beat(2)2.61%
Revenue beat(4)1
Avg Revenue beat(4)-9.22%
Min Revenue beat(4)-22.73%
Max Revenue beat(4)2.61%
Revenue beat(8)1
Avg Revenue beat(8)-10.21%
Revenue beat(12)1
Avg Revenue beat(12)-14.05%
Revenue beat(16)1
Avg Revenue beat(16)-17.7%
PT rev (1m)-3.22%
PT rev (3m)-4.82%
EPS NQ rev (1m)N/A
EPS NQ rev (3m)N/A
EPS NY rev (1m)-4.12%
EPS NY rev (3m)-3.5%
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)0.47%
Revenue NY rev (3m)0.07%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 19.27 | ||
| Fwd PE | 14.05 | ||
| P/S | 0.43 | ||
| P/FCF | 9.32 | ||
| P/OCF | 7.36 | ||
| P/B | 3.37 | ||
| P/tB | N/A | ||
| EV/EBITDA | 7.77 |
EPS(TTM)6.89
EY5.19%
EPS(NY)9.45
Fwd EY7.12%
FCF(TTM)14.26
FCFY10.73%
OCF(TTM)18.05
OCFY13.59%
SpS307.73
BVpS39.36
TBVpS-6.71
PEG (NY)0.87
PEG (5Y)2.56
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.68% | ||
| ROE | 17.54% | ||
| ROCE | 18.55% | ||
| ROIC | 14.44% | ||
| ROICexc | 20.84% | ||
| ROICexgc | N/A | ||
| OM | 3.5% | ||
| PM (TTM) | 2.24% | ||
| GM | 30.07% | ||
| FCFM | 4.63% |
ROA(3y)4.24%
ROA(5y)4.2%
ROE(3y)19.77%
ROE(5y)19.69%
ROIC(3y)16.17%
ROIC(5y)15.33%
ROICexc(3y)21.48%
ROICexc(5y)20.72%
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)20.77%
ROCE(5y)19.69%
ROICexcg growth 3YN/A
ROICexcg growth 5YN/A
ROICexc growth 3Y0.87%
ROICexc growth 5Y0.33%
OM growth 3Y-1.59%
OM growth 5Y11.42%
PM growth 3Y-5.64%
PM growth 5Y9.16%
GM growth 3Y0.47%
GM growth 5Y7.27%
F-Score6
Asset Turnover1.64
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.39 | ||
| Debt/FCF | 1.37 | ||
| Debt/EBITDA | 0.89 | ||
| Cap/Depr | 57.88% | ||
| Cap/Sales | 1.23% | ||
| Interest Coverage | 6.73 | ||
| Cash Conversion | 104.16% | ||
| Profit Quality | 206.44% | ||
| Current Ratio | 0.94 | ||
| Quick Ratio | 0.87 | ||
| Altman-Z | 2.56 |
F-Score6
WACC8.27%
ROIC/WACC1.75
Cap/Depr(3y)56.41%
Cap/Depr(5y)54.8%
Cap/Sales(3y)1.13%
Cap/Sales(5y)1.07%
Profit Quality(3y)158.62%
Profit Quality(5y)151.25%
High Growth Momentum
Growth
EPS 1Y (TTM)-3.58%
EPS 3Y0.26%
EPS 5Y7.54%
EPS Q2Q%0.61%
EPS Next Y22.06%
EPS Next 2Y18.38%
EPS Next 3Y16.71%
EPS Next 5YN/A
Revenue 1Y (TTM)-0.35%
Revenue growth 3Y6.67%
Revenue growth 5Y-1.16%
Sales Q2Q%12.93%
Revenue Next Year9.42%
Revenue Next 2Y7.16%
Revenue Next 3Y6.09%
Revenue Next 5YN/A
EBIT growth 1Y-2.57%
EBIT growth 3Y4.97%
EBIT growth 5Y10.13%
EBIT Next Year82.17%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y2.96%
FCF growth 3Y27.77%
FCF growth 5Y0.38%
OCF growth 1Y7.99%
OCF growth 3Y22.77%
OCF growth 5Y1.34%