EMAK SPA (EM.MI) Stock Fundamental Analysis
BIT:EM - Euronext Milan - IT0001237053 - Common Stock - Currency: EUR
Taking everything into account, EM scores 4 out of 10 in our fundamental rating. EM was compared to 30 industry peers in the Household Durables industry. While EM seems to be doing ok healthwise, there are quite some concerns on its profitability. EM has a decent growth rate and is not valued too expensively.
1. Profitability
1.1 Basic Checks
EM had positive earnings in the past year.
EM had a positive operating cash flow in the past year.
In the past 5 years EM has always been profitable.
EM had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
The Return On Assets of EM (1.79%) is worse than 76.67% of its industry peers.
EM has a worse Return On Equity (4.65%) than 76.67% of its industry peers.
The Return On Invested Capital of EM (6.54%) is worse than 63.33% of its industry peers.
EM had an Average Return On Invested Capital over the past 3 years of 5.51%. This is significantly below the industry average of 15.43%.
The last Return On Invested Capital (6.54%) for EM is above the 3 year average (5.51%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.79% | ||
| ROE | 4.65% | ||
| ROIC | 6.54% |
ROA(3y)2.68%
ROA(5y)3.25%
ROE(3y)6.67%
ROE(5y)8.32%
ROIC(3y)5.51%
ROIC(5y)6.18%
1.3 Margins
EM's Profit Margin of 1.42% is on the low side compared to the rest of the industry. EM is outperformed by 76.67% of its industry peers.
In the last couple of years the Profit Margin of EM has declined.
EM's Operating Margin of 5.18% is on the low side compared to the rest of the industry. EM is outperformed by 66.67% of its industry peers.
In the last couple of years the Operating Margin of EM has declined.
EM has a better Gross Margin (48.45%) than 66.67% of its industry peers.
In the last couple of years the Gross Margin of EM has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 5.18% | ||
| PM (TTM) | 1.42% | ||
| GM | 48.45% |
OM growth 3Y-19.36%
OM growth 5Y-3.12%
PM growth 3Y-44.28%
PM growth 5Y-20.36%
GM growth 3Y0.43%
GM growth 5Y0.61%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so EM is still creating some value.
EM has about the same amout of shares outstanding than it did 1 year ago.
EM has less shares outstanding than it did 5 years ago.
The debt/assets ratio for EM has remained at the same level compared to a year ago.
2.2 Solvency
An Altman-Z score of 2.44 indicates that EM is not a great score, but indicates only limited risk for bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 2.44, EM is in line with its industry, outperforming 60.00% of the companies in the same industry.
The Debt to FCF ratio of EM is 32.77, which is on the high side as it means it would take EM, 32.77 years of fcf income to pay off all of its debts.
EM's Debt to FCF ratio of 32.77 is on the low side compared to the rest of the industry. EM is outperformed by 60.00% of its industry peers.
A Debt/Equity ratio of 0.73 indicates that EM is somewhat dependend on debt financing.
With a Debt to Equity ratio value of 0.73, EM is not doing good in the industry: 66.67% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.73 | ||
| Debt/FCF | 32.77 | ||
| Altman-Z | 2.44 |
ROIC/WACC1.1
WACC5.93%
2.3 Liquidity
A Current Ratio of 2.12 indicates that EM has no problem at all paying its short term obligations.
EM has a better Current ratio (2.12) than 70.00% of its industry peers.
EM has a Quick Ratio of 2.12. This is a bad value and indicates that EM is not financially healthy enough and could expect problems in meeting its short term obligations.
EM has a Quick ratio of 0.97. This is comparable to the rest of the industry: EM outperforms 56.67% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.12 | ||
| Quick Ratio | 0.97 |
3. Growth
3.1 Past
The earnings per share for EM have decreased strongly by -58.12% in the last year.
EM shows a very negative growth in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -14.92% yearly.
EM shows a small growth in Revenue. In the last year, the Revenue has grown by 5.14%.
EM shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 6.76% yearly.
EPS 1Y (TTM)-58.12%
EPS 3Y-43.79%
EPS 5Y-14.92%
EPS Q2Q%-233.77%
Revenue 1Y (TTM)5.14%
Revenue growth 3Y0.77%
Revenue growth 5Y6.76%
Sales Q2Q%9.06%
3.2 Future
The Earnings Per Share is expected to grow by 31.18% on average over the next years. This is a very strong growth
EM is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 4.00% yearly.
EPS Next Y34.29%
EPS Next 2Y33.63%
EPS Next 3Y31.18%
EPS Next 5YN/A
Revenue Next Year4%
Revenue Next 2Y4%
Revenue Next 3YN/A
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.
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
A Price/Earnings ratio of 9.85 indicates a reasonable valuation of EM.
EM's Price/Earnings ratio is in line with the industry average.
Compared to an average S&P500 Price/Earnings ratio of 28.79, EM is valued rather cheaply.
Based on the Price/Forward Earnings ratio of 8.14, the valuation of EM can be described as reasonable.
73.33% of the companies in the same industry are more expensive than EM, based on the Price/Forward Earnings ratio.
Compared to an average S&P500 Price/Forward Earnings ratio of 21.38, EM is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 9.85 | ||
| Fwd PE | 8.14 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, EM is valued a bit cheaper than 80.00% of the companies in the same industry.
The rest of the industry has a similar Price/Free Cash Flow ratio as EM.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 15.17 | ||
| EV/EBITDA | 4.23 |
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.
A more expensive valuation may be justified as EM's earnings are expected to grow with 31.18% in the coming years.
PEG (NY)0.29
PEG (5Y)N/A
EPS Next 2Y33.63%
EPS Next 3Y31.18%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 3.31%, EM has a reasonable but not impressive dividend return.
EM's Dividend Yield is comparable with the industry average which is at 5.42.
EM's Dividend Yield is a higher than the S&P500 average which is at 2.51.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.31% |
5.2 History
The dividend of EM has a limited annual growth rate of 0.17%.
Dividend Growth(5Y)0.17%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
58.98% of the earnings are spent on dividend by EM. This is a bit on the high side, but may be sustainable.
EM's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP58.98%
EPS Next 2Y33.63%
EPS Next 3Y31.18%
BIT:EM (4/25/2025, 7:00:00 PM)
0.788
+0.01 (+1.55%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Durables & Apparel
GICS IndustryHousehold Durables
Earnings (Last)
Earnings (Next)
Inst Owners8.7%
Inst Owner ChangeN/A
Ins OwnersN/A
Ins Owner ChangeN/A
Market Cap129.18M
Analysts84.44
Price Target1.48 (87.82%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.31% |
Yearly Dividend0.05
Dividend Growth(5Y)0.17%
DP58.98%
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)0%
PT rev (3m)0%
EPS NQ rev (1m)N/A
EPS NQ rev (3m)N/A
EPS NY rev (1m)-16.07%
EPS NY rev (3m)-33.33%
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)0%
Revenue NY rev (3m)0%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 9.85 | ||
| Fwd PE | 8.14 | ||
| P/S | 0.14 | ||
| P/FCF | 15.17 | ||
| P/OCF | 3.96 | ||
| P/B | 0.47 | ||
| P/tB | 0.73 | ||
| EV/EBITDA | 4.23 |
EPS(TTM)0.08
EY10.15%
EPS(NY)0.1
Fwd EY12.29%
FCF(TTM)0.05
FCFY6.59%
OCF(TTM)0.2
OCFY25.27%
SpS5.5
BVpS1.68
TBVpS1.08
PEG (NY)0.29
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.79% | ||
| ROE | 4.65% | ||
| ROCE | 9.4% | ||
| ROIC | 6.54% | ||
| ROICexc | 7.59% | ||
| ROICexgc | 9.87% | ||
| OM | 5.18% | ||
| PM (TTM) | 1.42% | ||
| GM | 48.45% | ||
| FCFM | 0.95% |
ROA(3y)2.68%
ROA(5y)3.25%
ROE(3y)6.67%
ROE(5y)8.32%
ROIC(3y)5.51%
ROIC(5y)6.18%
ROICexc(3y)6.58%
ROICexc(5y)7.59%
ROICexgc(3y)8.69%
ROICexgc(5y)10.3%
ROCE(3y)7.91%
ROCE(5y)8.86%
ROICexcg growth 3Y-25.8%
ROICexcg growth 5Y-4.07%
ROICexc growth 3Y-24.35%
ROICexc growth 5Y-3.05%
OM growth 3Y-19.36%
OM growth 5Y-3.12%
PM growth 3Y-44.28%
PM growth 5Y-20.36%
GM growth 3Y0.43%
GM growth 5Y0.61%
F-Score6
Asset Turnover1.26
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.73 | ||
| Debt/FCF | 32.77 | ||
| Debt/EBITDA | 2.55 | ||
| Cap/Depr | 75.26% | ||
| Cap/Sales | 2.68% | ||
| Interest Coverage | 3.33 | ||
| Cash Conversion | 41.48% | ||
| Profit Quality | 66.35% | ||
| Current Ratio | 2.12 | ||
| Quick Ratio | 0.97 | ||
| Altman-Z | 2.44 |
F-Score6
WACC5.93%
ROIC/WACC1.1
Cap/Depr(3y)75.55%
Cap/Depr(5y)71.77%
Cap/Sales(3y)3.86%
Cap/Sales(5y)3.5%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-58.12%
EPS 3Y-43.79%
EPS 5Y-14.92%
EPS Q2Q%-233.77%
EPS Next Y34.29%
EPS Next 2Y33.63%
EPS Next 3Y31.18%
EPS Next 5YN/A
Revenue 1Y (TTM)5.14%
Revenue growth 3Y0.77%
Revenue growth 5Y6.76%
Sales Q2Q%9.06%
Revenue Next Year4%
Revenue Next 2Y4%
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y-19.94%
EBIT growth 3Y-18.74%
EBIT growth 5Y3.43%
EBIT Next Year119.36%
EBIT Next 3Y37.16%
EBIT Next 5YN/A
FCF growth 1Y-75.15%
FCF growth 3Y-12.04%
FCF growth 5Y-13.15%
OCF growth 1Y-42.85%
OCF growth 3Y3.36%
OCF growth 5Y-1.36%