IPSOS (IPS.PA) Stock Fundamental Analysis
EPA:IPS - Euronext Paris - Matif - FR0000073298 - Common Stock - Currency: EUR
We assign a fundamental rating of 6 out of 10 to IPS. IPS was compared to 69 industry peers in the Media industry. IPS gets an excellent profitability rating and is at the same time showing great financial health properties. IPS has a valuation in line with the averages, but on the other hand it scores bad on growth.
1. Profitability
1.1 Basic Checks
IPS had positive earnings in the past year.
In the past year IPS had a positive cash flow from operations.
IPS had positive earnings in each of the past 5 years.
Each year in the past 5 years IPS had a positive operating cash flow.
1.2 Ratios
Looking at the Return On Assets, with a value of 6.72%, IPS belongs to the top of the industry, outperforming 82.26% of the companies in the same industry.
IPS's Return On Equity of 12.93% is fine compared to the rest of the industry. IPS outperforms 69.35% of its industry peers.
With an excellent Return On Invested Capital value of 10.12%, IPS belongs to the best of the industry, outperforming 82.26% of the companies in the same industry.
IPS had an Average Return On Invested Capital over the past 3 years of 10.50%. This is in line with the industry average of 9.42%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.72% | ||
| ROE | 12.93% | ||
| ROIC | 10.12% |
ROA(3y)6.69%
ROA(5y)5.68%
ROE(3y)13.2%
ROE(5y)11.8%
ROIC(3y)10.5%
ROIC(5y)9.43%
1.3 Margins
IPS's Profit Margin of 7.43% is fine compared to the rest of the industry. IPS outperforms 70.97% of its industry peers.
IPS's Profit Margin has improved in the last couple of years.
Looking at the Operating Margin, with a value of 11.73%, IPS is in the better half of the industry, outperforming 74.19% of the companies in the same industry.
In the last couple of years the Operating Margin of IPS has grown nicely.
With a decent Gross Margin value of 67.87%, IPS is doing good in the industry, outperforming 62.90% of the companies in the same industry.
IPS's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 11.73% | ||
| PM (TTM) | 7.43% | ||
| GM | 67.87% |
OM growth 3Y8.77%
OM growth 5Y5.56%
PM growth 3Y3.9%
PM growth 5Y1.69%
GM growth 3Y1.65%
GM growth 5Y0.73%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), IPS is creating some value.
Compared to 1 year ago, IPS has less shares outstanding
Compared to 5 years ago, IPS has less shares outstanding
IPS has a better debt/assets ratio than last year.
2.2 Solvency
IPS has an Altman-Z score of 2.87. This is not the best score and indicates that IPS 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 2.87, IPS belongs to the top of the industry, outperforming 91.94% of the companies in the same industry.
IPS has a debt to FCF ratio of 1.77. This is a very positive value and a sign of high solvency as it would only need 1.77 years to pay back of all of its debts.
IPS has a better Debt to FCF ratio (1.77) than 83.87% of its industry peers.
IPS has a Debt/Equity ratio of 0.33. This is a healthy value indicating a solid balance between debt and equity.
Looking at the Debt to Equity ratio, with a value of 0.33, IPS is in the better half of the industry, outperforming 66.13% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.33 | ||
| Debt/FCF | 1.77 | ||
| Altman-Z | 2.87 |
ROIC/WACC1.57
WACC6.43%
2.3 Liquidity
A Current Ratio of 1.45 indicates that IPS should not have too much problems paying its short term obligations.
Looking at the Current ratio, with a value of 1.45, IPS is in the better half of the industry, outperforming 70.97% of the companies in the same industry.
IPS has a Quick Ratio of 1.45. This is a normal value and indicates that IPS is financially healthy and should not expect problems in meeting its short term obligations.
IPS's Quick ratio of 1.45 is fine compared to the rest of the industry. IPS outperforms 74.19% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.45 | ||
| Quick Ratio | 1.45 |
3. Growth
3.1 Past
The earnings per share for IPS have decreased by -0.09% in the last year.
The Earnings Per Share has been growing by 8.40% on average over the past years. This is quite good.
The Revenue has been growing slightly by 2.97% in the past year.
Measured over the past years, IPS shows a small growth in Revenue. The Revenue has been growing by 6.44% on average per year.
EPS 1Y (TTM)-0.09%
EPS 3Y13.91%
EPS 5Y8.4%
EPS Q2Q%41.79%
Revenue 1Y (TTM)2.97%
Revenue growth 3Y9.16%
Revenue growth 5Y6.44%
Sales Q2Q%4.73%
3.2 Future
The Earnings Per Share is expected to grow by 6.03% on average over the next years.
Based on estimates for the next years, IPS will show a small growth in Revenue. The Revenue will grow by 2.80% on average per year.
EPS Next Y5.23%
EPS Next 2Y5.33%
EPS Next 3Y6.03%
EPS Next 5YN/A
Revenue Next Year1.07%
Revenue Next 2Y1.92%
Revenue Next 3Y2.42%
Revenue Next 5Y2.8%
3.3 Evolution
The EPS growth rate is decreasing: in the next years the growth will be less than in the last 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 11.03 indicates a reasonable valuation of IPS.
Compared to the rest of the industry, the Price/Earnings ratio of IPS is on the same level as its industry peers.
Compared to an average S&P500 Price/Earnings ratio of 28.47, IPS is valued rather cheaply.
The Price/Forward Earnings ratio is 8.55, which indicates a very decent valuation of IPS.
IPS's Price/Forward Earnings ratio is a bit cheaper when compared to the industry. IPS is cheaper than 69.35% of the companies in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 92.74. IPS is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.03 | ||
| Fwd PE | 8.55 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, IPS is valued a bit cheaper than 66.13% of the companies in the same industry.
Based on the Price/Free Cash Flow ratio, IPS is valued a bit cheaper than 62.90% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 6.99 | ||
| EV/EBITDA | 5.3 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates IPS does not grow enough to justify the current Price/Earnings ratio.
IPS has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)2.11
PEG (5Y)1.31
EPS Next 2Y5.33%
EPS Next 3Y6.03%
5. Dividend
5.1 Amount
IPS has a Yearly Dividend Yield of 3.60%. Purely for dividend investing, there may be better candidates out there.
IPS's Dividend Yield is a higher than the industry average which is at 5.05.
Compared to an average S&P500 Dividend Yield of 2.28, IPS pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.6% |
5.2 History
The dividend of IPS is nicely growing with an annual growth rate of 9.08%!
Dividend Growth(5Y)9.08%
Div Incr Years6
Div Non Decr Years6
5.3 Sustainability
32.52% of the earnings are spent on dividend by IPS. This is a low number and sustainable payout ratio.
The dividend of IPS is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP32.52%
EPS Next 2Y5.33%
EPS Next 3Y6.03%
IPSOS
EPA:IPS (2/5/2025, 10:34:22 AM)
45.46
+0.06 (+0.13%)
Chartmill FA Rating
GICS SectorCommunication Services
GICS IndustryGroupMedia & Entertainment
GICS IndustryMedia
Earnings (Last)
Earnings (Next)
Inst Owners53.3%
Inst Owner ChangeN/A
Ins Owners11.67%
Ins Owner ChangeN/A
Market Cap1.96B
Analysts86.67
Price Target69.55 (52.99%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.6% |
Yearly Dividend1.35
Dividend Growth(5Y)9.08%
DP32.52%
Div Incr Years6
Div Non Decr Years6
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)-2.24%
PT rev (3m)-5.13%
EPS NQ rev (1m)N/A
EPS NQ rev (3m)N/A
EPS NY rev (1m)-0.59%
EPS NY rev (3m)-0.59%
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)-0.32%
Revenue NY rev (3m)-0.32%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.03 | ||
| Fwd PE | 8.55 | ||
| P/S | 0.8 | ||
| P/FCF | 6.99 | ||
| P/OCF | 5.69 | ||
| P/B | 1.4 | ||
| P/tB | N/A | ||
| EV/EBITDA | 5.3 |
EPS(TTM)4.12
EY9.06%
EPS(NY)5.32
Fwd EY11.7%
FCF(TTM)6.51
FCFY14.31%
OCF(TTM)7.99
OCFY17.57%
SpS56.51
BVpS32.46
TBVpS-3.1
PEG (NY)2.11
PEG (5Y)1.31
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.72% | ||
| ROE | 12.93% | ||
| ROCE | 14% | ||
| ROIC | 10.12% | ||
| ROICexc | 11.75% | ||
| ROICexgc | 91.59% | ||
| OM | 11.73% | ||
| PM (TTM) | 7.43% | ||
| GM | 67.87% | ||
| FCFM | 11.51% |
ROA(3y)6.69%
ROA(5y)5.68%
ROE(3y)13.2%
ROE(5y)11.8%
ROIC(3y)10.5%
ROIC(5y)9.43%
ROICexc(3y)12.43%
ROICexc(5y)10.95%
ROICexgc(3y)77.52%
ROICexgc(5y)69.41%
ROCE(3y)14.53%
ROCE(5y)13.04%
ROICexcg growth 3Y1.9%
ROICexcg growth 5Y16.12%
ROICexc growth 3Y13.04%
ROICexc growth 5Y11.79%
OM growth 3Y8.77%
OM growth 5Y5.56%
PM growth 3Y3.9%
PM growth 5Y1.69%
GM growth 3Y1.65%
GM growth 5Y0.73%
F-Score7
Asset Turnover0.9
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.33 | ||
| Debt/FCF | 1.77 | ||
| Debt/EBITDA | 1.12 | ||
| Cap/Depr | 51.51% | ||
| Cap/Sales | 2.62% | ||
| Interest Coverage | 18.57 | ||
| Cash Conversion | 84.05% | ||
| Profit Quality | 154.98% | ||
| Current Ratio | 1.45 | ||
| Quick Ratio | 1.45 | ||
| Altman-Z | 2.87 |
F-Score7
WACC6.43%
ROIC/WACC1.57
Cap/Depr(3y)54.92%
Cap/Depr(5y)53.42%
Cap/Sales(3y)2.25%
Cap/Sales(5y)2.16%
Profit Quality(3y)143.77%
Profit Quality(5y)172.94%
High Growth Momentum
Growth
EPS 1Y (TTM)-0.09%
EPS 3Y13.91%
EPS 5Y8.4%
EPS Q2Q%41.79%
EPS Next Y5.23%
EPS Next 2Y5.33%
EPS Next 3Y6.03%
EPS Next 5YN/A
Revenue 1Y (TTM)2.97%
Revenue growth 3Y9.16%
Revenue growth 5Y6.44%
Sales Q2Q%4.73%
Revenue Next Year1.07%
Revenue Next 2Y1.92%
Revenue Next 3Y2.42%
Revenue Next 5Y2.8%
EBIT growth 1Y2.93%
EBIT growth 3Y18.73%
EBIT growth 5Y12.35%
EBIT Next Year27.17%
EBIT Next 3Y11.73%
EBIT Next 5Y11.22%
FCF growth 1Y7.55%
FCF growth 3Y-12.24%
FCF growth 5Y17.05%
OCF growth 1Y10.18%
OCF growth 3Y-8.33%
OCF growth 5Y13.37%