CGG SA (CGG.PA) Stock Fundamental Analysis
EPA:CGG - Euronext Paris - Matif - FR0013181864 - Common Stock - Currency: EUR
Taking everything into account, CGG scores 4 out of 10 in our fundamental rating. CGG was compared to 35 industry peers in the Energy Equipment & Services industry. CGG has a medium profitability rating, but doesn't score so well on its financial health evaluation. CGG scores decently on growth, while it is valued quite cheap. This could make an interesting combination.
1. Profitability
1.1 Basic Checks
CGG had positive earnings in the past year.
In the past year CGG had a positive cash flow from operations.
In multiple years CGG reported negative net income over the last 5 years.
Each year in the past 5 years CGG had a positive operating cash flow.
1.2 Ratios
The Return On Assets of CGG (0.87%) is worse than 68.42% of its industry peers.
With a Return On Equity value of 2.49%, CGG is not doing good in the industry: 65.79% of the companies in the same industry are doing better.
Looking at the Return On Invested Capital, with a value of 3.08%, CGG is doing worse than 71.05% of the companies in the same industry.
The Average Return On Invested Capital over the past 3 years for CGG is significantly below the industry average of 10.09%.
The 3 year average ROIC (2.91%) for CGG is below the current ROIC(3.08%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.87% | ||
| ROE | 2.49% | ||
| ROIC | 3.08% |
ROA(3y)-1.41%
ROA(5y)-3.8%
ROE(3y)-4.42%
ROE(5y)-11.41%
ROIC(3y)2.91%
ROIC(5y)2.84%
1.3 Margins
With a Profit Margin value of 2.22%, CGG is not doing good in the industry: 65.79% of the companies in the same industry are doing better.
The Operating Margin of CGG (11.61%) is comparable to the rest of the industry.
In the last couple of years the Operating Margin of CGG has grown nicely.
With a decent Gross Margin value of 23.93%, CGG is doing good in the industry, outperforming 63.16% of the companies in the same industry.
In the last couple of years the Gross Margin of CGG has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 11.61% | ||
| PM (TTM) | 2.22% | ||
| GM | 23.93% |
OM growth 3Y36.06%
OM growth 5Y4.43%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y9.96%
GM growth 5Y1.69%
2. Health
2.1 Basic Checks
CGG has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
CGG has about the same amout of shares outstanding than it did 1 year ago.
Compared to 5 years ago, CGG has more shares outstanding
CGG has a worse debt/assets ratio than last year.
2.2 Solvency
CGG has an Altman-Z score of 1.32. This is a bad value and indicates that CGG is not financially healthy and even has some risk of bankruptcy.
Looking at the Altman-Z score, with a value of 1.32, CGG is in line with its industry, outperforming 47.37% of the companies in the same industry.
The Debt to FCF ratio of CGG is 6.75, which is on the high side as it means it would take CGG, 6.75 years of fcf income to pay off all of its debts.
The Debt to FCF ratio of CGG (6.75) is comparable to the rest of the industry.
CGG has a Debt/Equity ratio of 1.20. This is a high value indicating a heavy dependency on external financing.
CGG has a Debt to Equity ratio of 1.20. This is in the lower half of the industry: CGG underperforms 68.42% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.2 | ||
| Debt/FCF | 6.75 | ||
| Altman-Z | 1.32 |
ROIC/WACC0.52
WACC5.92%
2.3 Liquidity
A Current Ratio of 1.69 indicates that CGG should not have too much problems paying its short term obligations.
The Current ratio of CGG (1.69) is comparable to the rest of the industry.
A Quick Ratio of 1.33 indicates that CGG should not have too much problems paying its short term obligations.
CGG has a Quick ratio of 1.33. This is comparable to the rest of the industry: CGG outperforms 52.63% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.69 | ||
| Quick Ratio | 1.33 |
3. Growth
3.1 Past
CGG shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -64.26%.
CGG shows a strong growth in Revenue. In the last year, the Revenue has grown by 23.26%.
The Revenue has been decreasing by -2.08% on average over the past years.
EPS 1Y (TTM)-64.26%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%95%
Revenue 1Y (TTM)23.26%
Revenue growth 3Y6.66%
Revenue growth 5Y-2.08%
Sales Q2Q%39.51%
3.2 Future
The Earnings Per Share is expected to grow by 56.64% on average over the next years. This is a very strong growth
The Revenue is expected to grow by 5.31% on average over the next years.
EPS Next Y37.18%
EPS Next 2Y65.92%
EPS Next 3Y56.64%
EPS Next 5YN/A
Revenue Next Year0.71%
Revenue Next 2Y4.87%
Revenue Next 3Y5.31%
Revenue Next 5YN/A
3.3 Evolution
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
The Price/Earnings ratio is 26.95, which means the current valuation is very expensive for CGG.
Based on the Price/Earnings ratio, CGG is valued a bit more expensive than 68.42% of the companies in the same industry.
When comparing the Price/Earnings ratio of CGG to the average of the S&P500 Index (28.78), we can say CGG is valued inline with the index average.
A Price/Forward Earnings ratio of 4.26 indicates a rather cheap valuation of CGG.
Based on the Price/Forward Earnings ratio, CGG is valued cheaply inside the industry as 94.74% of the companies are valued more expensively.
Compared to an average S&P500 Price/Forward Earnings ratio of 21.32, CGG is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 26.95 | ||
| Fwd PE | 4.26 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of CGG indicates a rather cheap valuation: CGG is cheaper than 84.21% of the companies listed in the same industry.
94.74% of the companies in the same industry are more expensive than CGG, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 2.14 | ||
| EV/EBITDA | 3.38 |
4.3 Compensation for Growth
CGG's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
A more expensive valuation may be justified as CGG's earnings are expected to grow with 56.64% in the coming years.
PEG (NY)0.72
PEG (5Y)N/A
EPS Next 2Y65.92%
EPS Next 3Y56.64%
5. Dividend
5.1 Amount
CGG does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
EPA:CGG (5/20/2024, 7:00:00 PM)
0.539
-0.02 (-3.68%)
Chartmill FA Rating
GICS SectorEnergy
GICS IndustryGroupEnergy
GICS IndustryEnergy Equipment & Services
Earnings (Last)
Earnings (Next)
Inst OwnersN/A
Inst Owner ChangeN/A
Ins OwnersN/A
Ins Owner ChangeN/A
Market Cap384.66M
Analysts69.09
Price Target0.74 (37.29%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DP0%
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)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)-9.69%
PT rev (3m)-14.41%
EPS NQ rev (1m)N/A
EPS NQ rev (3m)N/A
EPS NY rev (1m)-12.68%
EPS NY rev (3m)-15.18%
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)-0.18%
Revenue NY rev (3m)-5.16%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 26.95 | ||
| Fwd PE | 4.26 | ||
| P/S | 0.36 | ||
| P/FCF | 2.14 | ||
| P/OCF | 0.96 | ||
| P/B | 0.41 | ||
| P/tB | N/A | ||
| EV/EBITDA | 3.38 |
EPS(TTM)0.02
EY3.71%
EPS(NY)0.13
Fwd EY23.45%
FCF(TTM)0.25
FCFY46.69%
OCF(TTM)0.56
OCFY103.68%
SpS1.48
BVpS1.32
TBVpS-0.85
PEG (NY)0.72
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.87% | ||
| ROE | 2.49% | ||
| ROCE | 5.64% | ||
| ROIC | 3.08% | ||
| ROICexc | 3.61% | ||
| ROICexgc | 22.19% | ||
| OM | 11.61% | ||
| PM (TTM) | 2.22% | ||
| GM | 23.93% | ||
| FCFM | 17% |
ROA(3y)-1.41%
ROA(5y)-3.8%
ROE(3y)-4.42%
ROE(5y)-11.41%
ROIC(3y)2.91%
ROIC(5y)2.84%
ROICexc(3y)3.36%
ROICexc(5y)3.39%
ROICexgc(3y)17.58%
ROICexgc(5y)17.82%
ROCE(3y)5.34%
ROCE(5y)5.22%
ROICexcg growth 3Y54.1%
ROICexcg growth 5Y4.94%
ROICexc growth 3Y50.21%
ROICexc growth 5Y6.87%
OM growth 3Y36.06%
OM growth 5Y4.43%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y9.96%
GM growth 5Y1.69%
F-Score5
Asset Turnover0.39
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.2 | ||
| Debt/FCF | 6.75 | ||
| Debt/EBITDA | 3.01 | ||
| Cap/Depr | 86.1% | ||
| Cap/Sales | 20.75% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 105.72% | ||
| Profit Quality | 764.31% | ||
| Current Ratio | 1.69 | ||
| Quick Ratio | 1.33 | ||
| Altman-Z | 1.32 |
F-Score5
WACC5.92%
ROIC/WACC0.52
Cap/Depr(3y)79.38%
Cap/Depr(5y)72%
Cap/Sales(3y)23.64%
Cap/Sales(5y)24.87%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-64.26%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%95%
EPS Next Y37.18%
EPS Next 2Y65.92%
EPS Next 3Y56.64%
EPS Next 5YN/A
Revenue 1Y (TTM)23.26%
Revenue growth 3Y6.66%
Revenue growth 5Y-2.08%
Sales Q2Q%39.51%
Revenue Next Year0.71%
Revenue Next 2Y4.87%
Revenue Next 3Y5.31%
Revenue Next 5YN/A
EBIT growth 1Y-9.27%
EBIT growth 3Y45.12%
EBIT growth 5Y2.26%
EBIT Next Year149.22%
EBIT Next 3Y47.96%
EBIT Next 5YN/A
FCF growth 1Y86.15%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y30.44%
OCF growth 3Y26.18%
OCF growth 5Y9.39%