EUROFINS SCIENTIFIC (ERF.PA) Stock Fundamental Analysis
Europe - EPA:ERF - FR0014000MR3 - Common Stock
62.58 EUR
-0.2 (-0.32%)
Taking everything into account, ERF scores 6 out of 10 in our fundamental rating. ERF was compared to 19 industry peers in the Life Sciences Tools & Services industry. ERF has an excellent profitability rating, but there are some minor concerns on its financial health. A decent growth rate in combination with a cheap valuation! Better keep an eye on ERF. These ratings would make ERF suitable for value investing!
1. Profitability
1.1 Basic Checks
ERF had positive earnings in the past year.
ERF had a positive operating cash flow in the past year.
ERF had positive earnings in each of the past 5 years.
Each year in the past 5 years ERF had a positive operating cash flow.
1.2 Ratios
ERF has a Return On Assets (3.54%) which is comparable to the rest of the industry.
Looking at the Return On Equity, with a value of 8.09%, ERF is in the better half of the industry, outperforming 68.42% of the companies in the same industry.
ERF has a better Return On Invested Capital (9.79%) than 89.47% of its industry peers.
The Average Return On Invested Capital over the past 3 years for ERF is in line with the industry average of 7.19%.
The 3 year average ROIC (8.70%) for ERF is below the current ROIC(9.79%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.54% | ||
| ROE | 8.09% | ||
| ROIC | 9.79% |
ROA(3y)3.79%
ROA(5y)5.05%
ROE(3y)7.94%
ROE(5y)10.72%
ROIC(3y)8.7%
ROIC(5y)10.54%
1.3 Margins
The Profit Margin of ERF (5.44%) is comparable to the rest of the industry.
In the last couple of years the Profit Margin of ERF has grown nicely.
Looking at the Operating Margin, with a value of 15.59%, ERF is in the better half of the industry, outperforming 63.16% of the companies in the same industry.
In the last couple of years the Operating Margin of ERF has grown nicely.
The Gross Margin of ERF (23.29%) is worse than 73.68% of its industry peers.
ERF's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 15.59% | ||
| PM (TTM) | 5.44% | ||
| GM | 23.29% |
OM growth 3Y-11.93%
OM growth 5Y3.56%
PM growth 3Y-23.05%
PM growth 5Y9.75%
GM growth 3Y-7.6%
GM growth 5Y1.83%
2. Health
2.1 Basic Checks
ERF has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
The number of shares outstanding for ERF has been reduced compared to 1 year ago.
The number of shares outstanding for ERF has been increased compared to 5 years ago.
ERF has a better debt/assets ratio than last year.
2.2 Solvency
ERF has an Altman-Z score of 2.71. This is not the best score and indicates that ERF is in the grey zone with still only limited risk for bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 2.71, ERF is in line with its industry, outperforming 52.63% of the companies in the same industry.
ERF has a debt to FCF ratio of 5.25. This is a neutral value as ERF would need 5.25 years to pay back of all of its debts.
Looking at the Debt to FCF ratio, with a value of 5.25, ERF is in the better half of the industry, outperforming 68.42% of the companies in the same industry.
A Debt/Equity ratio of 0.77 indicates that ERF is somewhat dependend on debt financing.
ERF has a Debt to Equity ratio of 0.77. This is in the lower half of the industry: ERF underperforms 63.16% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.77 | ||
| Debt/FCF | 5.25 | ||
| Altman-Z | 2.71 |
ROIC/WACC1.27
WACC7.7%
2.3 Liquidity
ERF has a Current Ratio of 1.26. This is a normal value and indicates that ERF is financially healthy and should not expect problems in meeting its short term obligations.
ERF's Current ratio of 1.26 is on the low side compared to the rest of the industry. ERF is outperformed by 73.68% of its industry peers.
ERF has a Quick Ratio of 1.19. This is a normal value and indicates that ERF is financially healthy and should not expect problems in meeting its short term obligations.
ERF has a better Quick ratio (1.19) than 63.16% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.26 | ||
| Quick Ratio | 1.19 |
3. Growth
3.1 Past
ERF shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 16.50%, which is quite good.
Measured over the past years, ERF shows a quite strong growth in Earnings Per Share. The EPS has been growing by 18.34% on average per year.
The Revenue has been growing slightly by 2.53% in the past year.
Measured over the past years, ERF shows a quite strong growth in Revenue. The Revenue has been growing by 8.78% on average per year.
EPS 1Y (TTM)16.5%
EPS 3Y-21.42%
EPS 5Y18.34%
EPS Q2Q%19.61%
Revenue 1Y (TTM)2.53%
Revenue growth 3Y1.14%
Revenue growth 5Y8.78%
Sales Q2Q%5.64%
3.2 Future
ERF is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 12.69% yearly.
ERF is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 6.22% yearly.
EPS Next Y13.37%
EPS Next 2Y13.55%
EPS Next 3Y13.96%
EPS Next 5Y12.69%
Revenue Next Year5.71%
Revenue Next 2Y5.98%
Revenue Next 3Y6.27%
Revenue Next 5Y6.22%
3.3 Evolution
The estimated forward EPS growth is still strong, although it is decreasing when compared to the stronger growth in the past years.
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
A Price/Earnings ratio of 17.38 indicates a rather expensive valuation of ERF.
Compared to the rest of the industry, the Price/Earnings ratio of ERF indicates a rather cheap valuation: ERF is cheaper than 89.47% of the companies listed in the same industry.
The average S&P500 Price/Earnings ratio is at 27.20. ERF is valued slightly cheaper when compared to this.
With a Price/Forward Earnings ratio of 15.71, ERF is valued correctly.
Based on the Price/Forward Earnings ratio, ERF is valued cheaply inside the industry as 89.47% of the companies are valued more expensively.
Compared to an average S&P500 Price/Forward Earnings ratio of 22.70, ERF is valued a bit cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 17.38 | ||
| Fwd PE | 15.71 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of ERF indicates a rather cheap valuation: ERF is cheaper than 89.47% of the companies listed in the same industry.
Based on the Price/Free Cash Flow ratio, ERF is valued cheaper than 100.00% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 14.54 | ||
| EV/EBITDA | 8.71 |
4.3 Compensation for Growth
ERF's PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
The decent profitability rating of ERF may justify a higher PE ratio.
ERF's earnings are expected to grow with 13.96% in the coming years. This may justify a more expensive valuation.
PEG (NY)1.3
PEG (5Y)0.95
EPS Next 2Y13.55%
EPS Next 3Y13.96%
5. Dividend
5.1 Amount
ERF has a yearly dividend return of 0.94%, which is pretty low.
Compared to an average industry Dividend Yield of 0.71, ERF pays a better dividend. On top of this ERF pays more dividend than 84.21% of the companies listed in the same industry.
With a Dividend Yield of 0.94, ERF pays less dividend than the S&P500 average, which is at 2.38.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.94% |
5.2 History
On average, the dividend of ERF grows each year by 16.51%, which is quite nice.
Dividend Growth(5Y)16.51%
Div Incr Years1
Div Non Decr Years1
5.3 Sustainability
54.91% of the earnings are spent on dividend by ERF. This is a bit on the high side, but may be sustainable.
The dividend of ERF is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP54.91%
EPS Next 2Y13.55%
EPS Next 3Y13.96%
EPA:ERF (9/18/2025, 5:36:15 PM)
62.58
-0.2 (-0.32%)
Chartmill FA Rating
GICS SectorHealth Care
GICS IndustryGroupPharmaceuticals, Biotechnology & Life Sciences
GICS IndustryLife Sciences Tools & Services
Earnings (Last)
Earnings (Next)
Inst Owners34.16%
Inst Owner ChangeN/A
Ins Owners0%
Ins Owner ChangeN/A
Market Cap11.40B
Analysts70
Price Target65.1 (4.03%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.94% |
Yearly Dividend0.52
Dividend Growth(5Y)16.51%
DP54.91%
Div Incr Years1
Div Non Decr Years1
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)0.31%
PT rev (3m)7.91%
EPS NQ rev (1m)N/A
EPS NQ rev (3m)N/A
EPS NY rev (1m)-1.66%
EPS NY rev (3m)-1.66%
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)-0.27%
Revenue NY rev (3m)-0.56%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 17.38 | ||
| Fwd PE | 15.71 | ||
| P/S | 1.65 | ||
| P/FCF | 14.54 | ||
| P/OCF | 8.67 | ||
| P/B | 2.46 | ||
| P/tB | N/A | ||
| EV/EBITDA | 8.71 |
EPS(TTM)3.6
EY5.75%
EPS(NY)3.98
Fwd EY6.36%
FCF(TTM)4.3
FCFY6.88%
OCF(TTM)7.22
OCFY11.53%
SpS37.84
BVpS25.45
TBVpS-3.69
PEG (NY)1.3
PEG (5Y)0.95
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.54% | ||
| ROE | 8.09% | ||
| ROCE | 12.64% | ||
| ROIC | 9.79% | ||
| ROICexc | 10.74% | ||
| ROICexgc | 34.1% | ||
| OM | 15.59% | ||
| PM (TTM) | 5.44% | ||
| GM | 23.29% | ||
| FCFM | 11.37% |
ROA(3y)3.79%
ROA(5y)5.05%
ROE(3y)7.94%
ROE(5y)10.72%
ROIC(3y)8.7%
ROIC(5y)10.54%
ROICexc(3y)9.52%
ROICexc(5y)11.6%
ROICexgc(3y)31.02%
ROICexgc(5y)39.55%
ROCE(3y)11.31%
ROCE(5y)13.7%
ROICexcg growth 3Y-18.17%
ROICexcg growth 5Y3.78%
ROICexc growth 3Y-15.5%
ROICexc growth 5Y6.63%
OM growth 3Y-11.93%
OM growth 5Y3.56%
PM growth 3Y-23.05%
PM growth 5Y9.75%
GM growth 3Y-7.6%
GM growth 5Y1.83%
F-Score7
Asset Turnover0.65
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.77 | ||
| Debt/FCF | 5.25 | ||
| Debt/EBITDA | 2.1 | ||
| Cap/Depr | 84.94% | ||
| Cap/Sales | 7.7% | ||
| Interest Coverage | 9.93 | ||
| Cash Conversion | 77.37% | ||
| Profit Quality | 209.21% | ||
| Current Ratio | 1.26 | ||
| Quick Ratio | 1.19 | ||
| Altman-Z | 2.71 |
F-Score7
WACC7.7%
ROIC/WACC1.27
Cap/Depr(3y)89.21%
Cap/Depr(5y)85.64%
Cap/Sales(3y)8.63%
Cap/Sales(5y)7.99%
Profit Quality(3y)162.79%
Profit Quality(5y)158.88%
High Growth Momentum
Growth
EPS 1Y (TTM)16.5%
EPS 3Y-21.42%
EPS 5Y18.34%
EPS Q2Q%19.61%
EPS Next Y13.37%
EPS Next 2Y13.55%
EPS Next 3Y13.96%
EPS Next 5Y12.69%
Revenue 1Y (TTM)2.53%
Revenue growth 3Y1.14%
Revenue growth 5Y8.78%
Sales Q2Q%5.64%
Revenue Next Year5.71%
Revenue Next 2Y5.98%
Revenue Next 3Y6.27%
Revenue Next 5Y6.22%
EBIT growth 1Y14.03%
EBIT growth 3Y-10.93%
EBIT growth 5Y12.66%
EBIT Next Year87.7%
EBIT Next 3Y30.85%
EBIT Next 5Y22.29%
FCF growth 1Y113.13%
FCF growth 3Y-7.69%
FCF growth 5Y25.62%
OCF growth 1Y31.31%
OCF growth 3Y-4.44%
OCF growth 5Y14.24%