HERA SPA (HER.MI) Stock Fundamental Analysis
Europe - BIT:HER - IT0001250932 - Common Stock
3.974 EUR
+0.01 (+0.25%)
We assign a fundamental rating of 6 out of 10 to HER. HER was compared to 15 industry peers in the Multi-Utilities industry. HER has only an average score on both its financial health and profitability. HER has a correct valuation and a medium growth rate.
1. Profitability
1.1 Basic Checks
HER had positive earnings in the past year.
In the past year HER had a positive cash flow from operations.
In the past 5 years HER has always been profitable.
Each year in the past 5 years HER had a positive operating cash flow.
1.2 Ratios
HER has a Return On Assets of 5.05%. This is amongst the best in the industry. HER outperforms 93.33% of its industry peers.
Looking at the Return On Equity, with a value of 19.06%, HER belongs to the top of the industry, outperforming 86.67% of the companies in the same industry.
With an excellent Return On Invested Capital value of 8.49%, HER belongs to the best of the industry, outperforming 86.67% of the companies in the same industry.
HER had an Average Return On Invested Capital over the past 3 years of 5.37%. This is in line with the industry average of 6.38%.
The 3 year average ROIC (5.37%) for HER is below the current ROIC(8.49%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.05% | ||
| ROE | 19.06% | ||
| ROIC | 8.49% |
ROA(3y)2.57%
ROA(5y)2.56%
ROE(3y)11.26%
ROE(5y)10.89%
ROIC(3y)5.37%
ROIC(5y)5.24%
1.3 Margins
The Profit Margin of HER (3.43%) is worse than 73.33% of its industry peers.
In the last couple of years the Profit Margin of HER has declined.
HER's Operating Margin of 5.81% is on the low side compared to the rest of the industry. HER is outperformed by 86.67% of its industry peers.
HER's Operating Margin has declined in the last couple of years.
HER has a better Gross Margin (43.17%) than 66.67% of its industry peers.
HER's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 5.81% | ||
| PM (TTM) | 3.43% | ||
| GM | 43.17% |
OM growth 3Y3.35%
OM growth 5Y-3.88%
PM growth 3Y6.68%
PM growth 5Y-7.22%
GM growth 3Y7.1%
GM growth 5Y-1.88%
2. Health
2.1 Basic Checks
HER has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
HER has about the same amout of shares outstanding than it did 1 year ago.
Compared to 5 years ago, HER has less shares outstanding
The debt/assets ratio for HER is higher compared to a year ago.
2.2 Solvency
HER has an Altman-Z score of 2.39. This is not the best score and indicates that HER is in the grey zone with still only limited risk for bankruptcy at the moment.
The Altman-Z score of HER (2.39) is better than 100.00% of its industry peers.
The Debt to FCF ratio of HER is 16.79, which is on the high side as it means it would take HER, 16.79 years of fcf income to pay off all of its debts.
Looking at the Debt to FCF ratio, with a value of 16.79, HER is in the better half of the industry, outperforming 80.00% of the companies in the same industry.
A Debt/Equity ratio of 1.27 is on the high side and indicates that HER has dependencies on debt financing.
HER has a better Debt to Equity ratio (1.27) than 73.33% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.27 | ||
| Debt/FCF | 16.79 | ||
| Altman-Z | 2.39 |
ROIC/WACC1.56
WACC5.43%
2.3 Liquidity
A Current Ratio of 1.16 indicates that HER should not have too much problems paying its short term obligations.
HER's Current ratio of 1.16 is amongst the best of the industry. HER outperforms 86.67% of its industry peers.
A Quick Ratio of 1.13 indicates that HER should not have too much problems paying its short term obligations.
HER has a Quick ratio of 1.13. This is amongst the best in the industry. HER outperforms 86.67% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.16 | ||
| Quick Ratio | 1.13 |
3. Growth
3.1 Past
HER shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 21.13%, which is quite impressive.
Measured over the past 5 years, HER shows a small growth in Earnings Per Share. The EPS has been growing by 5.51% on average per year.
Looking at the last year, HER shows a quite strong growth in Revenue. The Revenue has grown by 16.77% in the last year.
The Revenue has been growing by 13.27% on average over the past years. This is quite good.
EPS 1Y (TTM)21.13%
EPS 3Y13.92%
EPS 5Y5.51%
EPS Q2Q%4.73%
Revenue 1Y (TTM)16.77%
Revenue growth 3Y6.89%
Revenue growth 5Y13.27%
Sales Q2Q%22.57%
3.2 Future
The Earnings Per Share is expected to grow by 3.22% on average over the next years.
HER is expected to show a decrease in Revenue. In the coming years, the Revenue will decrease by -1.81% yearly.
EPS Next Y6.56%
EPS Next 2Y3.98%
EPS Next 3Y4.1%
EPS Next 5Y3.22%
Revenue Next Year-8.7%
Revenue Next 2Y-3.61%
Revenue Next 3Y-1.6%
Revenue Next 5Y-1.81%
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 decreasing.
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
The Price/Earnings ratio is 7.95, which indicates a rather cheap valuation of HER.
Based on the Price/Earnings ratio, HER is valued a bit cheaper than the industry average as 80.00% of the companies are valued more expensively.
When comparing the Price/Earnings ratio of HER to the average of the S&P500 Index (25.83), we can say HER is valued rather cheaply.
The Price/Forward Earnings ratio is 12.22, which indicates a correct valuation of HER.
HER's Price/Forward Earnings is on the same level as the industry average.
The average S&P500 Price/Forward Earnings ratio is at 32.68. HER is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 7.95 | ||
| Fwd PE | 12.22 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, HER is valued a bit cheaper than the industry average as 66.67% of the companies are valued more expensively.
73.33% of the companies in the same industry are more expensive than HER, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 17.95 | ||
| EV/EBITDA | 5.43 |
4.3 Compensation for Growth
HER's PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
HER has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)1.21
PEG (5Y)1.44
EPS Next 2Y3.98%
EPS Next 3Y4.1%
5. Dividend
5.1 Amount
HER has a Yearly Dividend Yield of 3.78%.
With a Dividend Yield of 3.78, HER pays less dividend than the industry average, which is at 4.78. 80.00% of the companies listed in the same industry pay a better dividend than HER!
HER's Dividend Yield is rather good when compared to the S&P500 average which is at 2.37.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.78% |
5.2 History
On average, the dividend of HER grows each year by 9.46%, which is quite nice.
Dividend Growth(5Y)9.46%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
HER pays out 38.25% of its income as dividend. This is a sustainable payout ratio.
The dividend of HER is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP38.25%
EPS Next 2Y3.98%
EPS Next 3Y4.1%
BIT:HER (11/7/2025, 7:00:00 PM)
3.974
+0.01 (+0.25%)
Chartmill FA Rating
GICS SectorUtilities
GICS IndustryGroupUtilities
GICS IndustryMulti-Utilities
Earnings (Last)
Earnings (Next)
Inst Owners21.93%
Inst Owner ChangeN/A
Ins OwnersN/A
Ins Owner ChangeN/A
Market Cap5.92B
Revenue(TTM)21.11B
Net Income(TTM)723.60M
Analysts75.56
Price Target4.26 (7.2%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.78% |
Yearly Dividend0.17
Dividend Growth(5Y)9.46%
DP38.25%
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)-0.95%
EPS NQ rev (1m)N/A
EPS NQ rev (3m)N/A
EPS NY rev (1m)0%
EPS NY rev (3m)1.38%
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)0%
Revenue NY rev (3m)-1.69%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 7.95 | ||
| Fwd PE | 12.22 | ||
| P/S | 0.28 | ||
| P/FCF | 17.95 | ||
| P/OCF | 4.7 | ||
| P/B | 1.56 | ||
| P/tB | N/A | ||
| EV/EBITDA | 5.43 |
EPS(TTM)0.5
EY12.58%
EPS(NY)0.33
Fwd EY8.18%
FCF(TTM)0.22
FCFY5.57%
OCF(TTM)0.85
OCFY21.28%
SpS14.17
BVpS2.55
TBVpS-1.48
PEG (NY)1.21
PEG (5Y)1.44
Graham Number5.35
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.05% | ||
| ROE | 19.06% | ||
| ROCE | 12.64% | ||
| ROIC | 8.49% | ||
| ROICexc | 9.91% | ||
| ROICexgc | 34.5% | ||
| OM | 5.81% | ||
| PM (TTM) | 3.43% | ||
| GM | 43.17% | ||
| FCFM | 1.56% |
ROA(3y)2.57%
ROA(5y)2.56%
ROE(3y)11.26%
ROE(5y)10.89%
ROIC(3y)5.37%
ROIC(5y)5.24%
ROICexc(3y)6.37%
ROICexc(5y)6.12%
ROICexgc(3y)22.48%
ROICexgc(5y)21.02%
ROCE(3y)8.03%
ROCE(5y)7.84%
ROICexgc growth 3Y12.09%
ROICexgc growth 5Y12.87%
ROICexc growth 3Y6.53%
ROICexc growth 5Y6.34%
OM growth 3Y3.35%
OM growth 5Y-3.88%
PM growth 3Y6.68%
PM growth 5Y-7.22%
GM growth 3Y7.1%
GM growth 5Y-1.88%
F-Score6
Asset Turnover1.47
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.27 | ||
| Debt/FCF | 16.79 | ||
| Debt/EBITDA | 2.67 | ||
| Cap/Depr | 161.02% | ||
| Cap/Sales | 4.4% | ||
| Interest Coverage | 8.27 | ||
| Cash Conversion | 69.79% | ||
| Profit Quality | 45.56% | ||
| Current Ratio | 1.16 | ||
| Quick Ratio | 1.13 | ||
| Altman-Z | 2.39 |
F-Score6
WACC5.43%
ROIC/WACC1.56
Cap/Depr(3y)151.99%
Cap/Depr(5y)138.41%
Cap/Sales(3y)5.23%
Cap/Sales(5y)5.68%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)21.13%
EPS 3Y13.92%
EPS 5Y5.51%
EPS Q2Q%4.73%
EPS Next Y6.56%
EPS Next 2Y3.98%
EPS Next 3Y4.1%
EPS Next 5Y3.22%
Revenue 1Y (TTM)16.77%
Revenue growth 3Y6.89%
Revenue growth 5Y13.27%
Sales Q2Q%22.57%
Revenue Next Year-8.7%
Revenue Next 2Y-3.61%
Revenue Next 3Y-1.6%
Revenue Next 5Y-1.81%
EBIT growth 1Y6.28%
EBIT growth 3Y10.46%
EBIT growth 5Y8.88%
EBIT Next Year93.34%
EBIT Next 3Y27.46%
EBIT Next 5Y20.47%
FCF growth 1Y311.08%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y115.43%
OCF growth 3Y-6.56%
OCF growth 5Y3.17%
HERA SPA / HER.MI FAQ
What is the ChartMill fundamental rating of HERA SPA (HER.MI) stock?
ChartMill assigns a fundamental rating of 6 / 10 to HER.MI.
What is the valuation status of HERA SPA (HER.MI) stock?
ChartMill assigns a valuation rating of 6 / 10 to HERA SPA (HER.MI). This can be considered as Fairly Valued.
How profitable is HERA SPA (HER.MI) stock?
HERA SPA (HER.MI) has a profitability rating of 6 / 10.
What is the financial health of HERA SPA (HER.MI) stock?
The financial health rating of HERA SPA (HER.MI) is 6 / 10.
How sustainable is the dividend of HERA SPA (HER.MI) stock?
The dividend rating of HERA SPA (HER.MI) is 5 / 10 and the dividend payout ratio is 38.25%.