LEONARDO SPA (LDO.MI) Stock Fundamental Analysis
Europe - Euronext Milan - BIT:LDO - IT0003856405 - Common Stock
45.72 EUR
-1.19 (-2.54%)
We assign a fundamental rating of 5 out of 10 to LDO. LDO was compared to 48 industry peers in the Aerospace & Defense industry. There are concerns on the financial health of LDO while its profitability can be described as average. LDO has a correct valuation and a medium growth rate.
1. Profitability
1.1 Basic Checks
In the past year LDO was profitable.
Each year in the past 5 years LDO has been profitable.
In the past 5 years LDO always reported a positive cash flow from operatings.
1.2 Ratios
LDO has a Return On Assets of 4.86%. This is in the better half of the industry: LDO outperforms 64.58% of its industry peers.
Looking at the Return On Equity, with a value of 17.66%, LDO is in the better half of the industry, outperforming 62.50% of the companies in the same industry.
Looking at the Return On Invested Capital, with a value of 11.75%, LDO belongs to the top of the industry, outperforming 81.25% of the companies in the same industry.
The Average Return On Invested Capital over the past 3 years for LDO is below the industry average of 9.50%.
The 3 year average ROIC (6.61%) for LDO is below the current ROIC(11.75%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.86% | ||
| ROE | 17.66% | ||
| ROIC | 11.75% |
ROA(3y)2.86%
ROA(5y)2.31%
ROE(3y)11.1%
ROE(5y)9.4%
ROIC(3y)6.61%
ROIC(5y)6.35%
1.3 Margins
With a Profit Margin value of 5.80%, LDO perfoms like the industry average, outperforming 47.92% of the companies in the same industry.
In the last couple of years the Profit Margin of LDO has remained more or less at the same level.
Looking at the Operating Margin, with a value of 7.54%, LDO is doing worse than 64.58% of the companies in the same industry.
In the last couple of years the Operating Margin of LDO has remained more or less at the same level.
With a Gross Margin value of 30.12%, LDO perfoms like the industry average, outperforming 50.00% of the companies in the same industry.
In the last couple of years the Gross Margin of LDO has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 7.54% | ||
| PM (TTM) | 5.8% | ||
| GM | 30.12% |
OM growth 3Y4.63%
OM growth 5Y-1.19%
PM growth 3Y13.4%
PM growth 5Y0.3%
GM growth 3Y1.05%
GM growth 5Y-0.43%
2. Health
2.1 Basic Checks
LDO has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
LDO has about the same amout of shares outstanding than it did 1 year ago.
Compared to 5 years ago, LDO has more shares outstanding
The debt/assets ratio for LDO has been reduced compared to a year ago.
2.2 Solvency
An Altman-Z score of 2.00 indicates that LDO is not a great score, but indicates only limited risk for bankruptcy at the moment.
LDO has a Altman-Z score of 2.00. This is in the lower half of the industry: LDO underperforms 66.67% of its industry peers.
A Debt/Equity ratio of 0.22 indicates that LDO is not too dependend on debt financing.
LDO has a better Debt to Equity ratio (0.22) than 87.50% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.22 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 2 |
ROIC/WACC1.51
WACC7.78%
2.3 Liquidity
A Current Ratio of 0.97 indicates that LDO may have some problems paying its short term obligations.
LDO has a Current ratio of 0.97. This is amonst the worse of the industry: LDO underperforms 81.25% of its industry peers.
LDO has a Quick Ratio of 0.97. This is a bad value and indicates that LDO is not financially healthy enough and could expect problems in meeting its short term obligations.
LDO has a Quick ratio of 0.59. This is in the lower half of the industry: LDO underperforms 72.92% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.97 | ||
| Quick Ratio | 0.59 |
3. Growth
3.1 Past
LDO shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 24.53%, which is quite impressive.
Measured over the past years, LDO shows a decrease in Earnings Per Share. The EPS has been decreasing by -4.48% on average per year.
The Revenue has grown by 13.44% in the past year. This is quite good.
The Revenue has been growing slightly by 5.20% on average over the past years.
EPS 1Y (TTM)24.53%
EPS 3Y9.76%
EPS 5Y-4.48%
EPS Q2Q%24.06%
Revenue 1Y (TTM)13.44%
Revenue growth 3Y7.91%
Revenue growth 5Y5.2%
Sales Q2Q%10.61%
3.2 Future
The Earnings Per Share is expected to grow by 24.51% on average over the next years. This is a very strong growth
The Revenue is expected to grow by 8.77% on average over the next years. This is quite good.
EPS Next Y39.91%
EPS Next 2Y29%
EPS Next 3Y25.37%
EPS Next 5Y24.51%
Revenue Next Year8.88%
Revenue Next 2Y8.58%
Revenue Next 3Y8.09%
Revenue Next 5Y8.77%
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 accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 30.08, the valuation of LDO can be described as expensive.
Compared to the rest of the industry, the Price/Earnings ratio of LDO indicates a somewhat cheap valuation: LDO is cheaper than 64.58% of the companies listed in the same industry.
LDO is valuated at similar levels of the S&P average when we compare the Price/Earnings ratio to 26.31, which is the current average of the S&P500 Index.
A Price/Forward Earnings ratio of 21.20 indicates a rather expensive valuation of LDO.
72.92% of the companies in the same industry are more expensive than LDO, based on the Price/Forward Earnings ratio.
Compared to an average S&P500 Price/Forward Earnings ratio of 36.56, LDO is valued a bit cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 30.08 | ||
| Fwd PE | 21.2 |
4.2 Price Multiples
89.58% of the companies in the same industry are more expensive than LDO, based on the Enterprise Value to EBITDA ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 10.4 |
4.3 Compensation for Growth
LDO's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
LDO has a very decent profitability rating, which may justify a higher PE ratio.
A more expensive valuation may be justified as LDO's earnings are expected to grow with 25.37% in the coming years.
PEG (NY)0.75
PEG (5Y)N/A
EPS Next 2Y29%
EPS Next 3Y25.37%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 1.13%, LDO has a reasonable but not impressive dividend return.
Compared to an average industry Dividend Yield of 1.21, LDO pays a bit more dividend than its industry peers.
Compared to an average S&P500 Dividend Yield of 2.32, LDO's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.13% |
5.2 History
On average, the dividend of LDO grows each year by 16.88%, which is quite nice.
Dividend Growth(5Y)16.88%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
LDO pays out 11.14% of its income as dividend. This is a sustainable payout ratio.
The dividend of LDO is growing, but earnings are growing more, so the dividend growth is sustainable.
DP11.14%
EPS Next 2Y29%
EPS Next 3Y25.37%
BIT:LDO (12/1/2025, 5:11:18 PM)
45.72
-1.19 (-2.54%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryAerospace & Defense
Earnings (Last)
Earnings (Next)
Inst Owners24.11%
Inst Owner ChangeN/A
Ins OwnersN/A
Ins Owner ChangeN/A
Market Cap26.43B
Revenue(TTM)27.38B
Net Income(TTM)1.59B
Analysts78.18
Price Target57.11 (24.91%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.13% |
Yearly Dividend0.31
Dividend Growth(5Y)16.88%
DP11.14%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)17.5%
Min EPS beat(2)17.25%
Max EPS beat(2)17.74%
EPS beat(4)4
Avg EPS beat(4)15.67%
Min EPS beat(4)1.01%
Max EPS beat(4)26.68%
EPS beat(8)6
Avg EPS beat(8)71.65%
EPS beat(12)7
Avg EPS beat(12)44.7%
EPS beat(16)11
Avg EPS beat(16)80.04%
Revenue beat(2)2
Avg Revenue beat(2)3.02%
Min Revenue beat(2)2.94%
Max Revenue beat(2)3.1%
Revenue beat(4)3
Avg Revenue beat(4)-2.26%
Min Revenue beat(4)-15.16%
Max Revenue beat(4)3.1%
Revenue beat(8)6
Avg Revenue beat(8)1.52%
Revenue beat(12)8
Avg Revenue beat(12)6.12%
Revenue beat(16)12
Avg Revenue beat(16)26.25%
PT rev (1m)2.69%
PT rev (3m)1.89%
EPS NQ rev (1m)-10.33%
EPS NQ rev (3m)10.78%
EPS NY rev (1m)-0.82%
EPS NY rev (3m)-3.41%
Revenue NQ rev (1m)0.56%
Revenue NQ rev (3m)1.31%
Revenue NY rev (1m)0.07%
Revenue NY rev (3m)0.04%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 30.08 | ||
| Fwd PE | 21.2 | ||
| P/S | 0.97 | ||
| P/FCF | N/A | ||
| P/OCF | N/A | ||
| P/B | 2.94 | ||
| P/tB | 53.51 | ||
| EV/EBITDA | 10.4 |
EPS(TTM)1.52
EY3.32%
EPS(NY)2.16
Fwd EY4.72%
FCF(TTM)N/A
FCFYN/A
OCF(TTM)N/A
OCFYN/A
SpS47.36
BVpS15.57
TBVpS0.85
PEG (NY)0.75
PEG (5Y)N/A
Graham Number23.07
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.86% | ||
| ROE | 17.66% | ||
| ROCE | 14.29% | ||
| ROIC | 11.75% | ||
| ROICexc | 13.43% | ||
| ROICexgc | 41.04% | ||
| OM | 7.54% | ||
| PM (TTM) | 5.8% | ||
| GM | 30.12% | ||
| FCFM | N/A |
ROA(3y)2.86%
ROA(5y)2.31%
ROE(3y)11.1%
ROE(5y)9.4%
ROIC(3y)6.61%
ROIC(5y)6.35%
ROICexc(3y)7.82%
ROICexc(5y)7.66%
ROICexgc(3y)23.66%
ROICexgc(5y)24.69%
ROCE(3y)8.05%
ROCE(5y)7.73%
ROICexgc growth 3Y7.63%
ROICexgc growth 5Y-1.46%
ROICexc growth 3Y6%
ROICexc growth 5Y-1.29%
OM growth 3Y4.63%
OM growth 5Y-1.19%
PM growth 3Y13.4%
PM growth 5Y0.3%
GM growth 3Y1.05%
GM growth 5Y-0.43%
F-ScoreN/A
Asset Turnover0.84
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.22 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 0.69 | ||
| Cap/Depr | N/A | ||
| Cap/Sales | N/A | ||
| Interest Coverage | N/A | ||
| Cash Conversion | N/A | ||
| Profit Quality | N/A | ||
| Current Ratio | 0.97 | ||
| Quick Ratio | 0.59 | ||
| Altman-Z | 2 |
F-ScoreN/A
WACC7.78%
ROIC/WACC1.51
Cap/Depr(3y)119.32%
Cap/Depr(5y)102.84%
Cap/Sales(3y)5.11%
Cap/Sales(5y)4.4%
Profit Quality(3y)54.54%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)24.53%
EPS 3Y9.76%
EPS 5Y-4.48%
EPS Q2Q%24.06%
EPS Next Y39.91%
EPS Next 2Y29%
EPS Next 3Y25.37%
EPS Next 5Y24.51%
Revenue 1Y (TTM)13.44%
Revenue growth 3Y7.91%
Revenue growth 5Y5.2%
Sales Q2Q%10.61%
Revenue Next Year8.88%
Revenue Next 2Y8.58%
Revenue Next 3Y8.09%
Revenue Next 5Y8.77%
EBIT growth 1Y36.48%
EBIT growth 3Y12.91%
EBIT growth 5Y3.95%
EBIT Next Year72.46%
EBIT Next 3Y29.29%
EBIT Next 5Y26.34%
FCF growth 1Y59.9%
FCF growth 3Y71.98%
FCF growth 5Y70.37%
OCF growth 1Y29.93%
OCF growth 3Y27.59%
OCF growth 5Y19.25%
LEONARDO SPA / LDO.MI FAQ
What is the fundamental rating for LDO stock?
ChartMill assigns a fundamental rating of 5 / 10 to LDO.MI.
What is the valuation status of LEONARDO SPA (LDO.MI) stock?
ChartMill assigns a valuation rating of 5 / 10 to LEONARDO SPA (LDO.MI). This can be considered as Fairly Valued.
What is the profitability of LDO stock?
LEONARDO SPA (LDO.MI) has a profitability rating of 6 / 10.
What is the financial health of LEONARDO SPA (LDO.MI) stock?
The financial health rating of LEONARDO SPA (LDO.MI) is 3 / 10.
Can you provide the dividend sustainability for LDO stock?
The dividend rating of LEONARDO SPA (LDO.MI) is 6 / 10 and the dividend payout ratio is 11.14%.