SIGNIFY NV (LIGHT.AS) Stock Fundamental Analysis
Europe - AMS:LIGHT - NL0011821392 - Common Stock
22.96 EUR
-0.14 (-0.61%)
We assign a fundamental rating of 6 out of 10 to LIGHT. LIGHT was compared to 64 industry peers in the Electrical Equipment industry. LIGHT scores excellent on profitability, but there are some minor concerns on its financial health. LIGHT is valued quite cheap, but it does not seem to be growing. Finally LIGHT also has an excellent dividend rating.
1. Profitability
1.1 Basic Checks
In the past year LIGHT was profitable.
LIGHT had a positive operating cash flow in the past year.
LIGHT had positive earnings in each of the past 5 years.
In the past 5 years LIGHT always reported a positive cash flow from operatings.
1.2 Ratios
LIGHT has a Return On Assets of 5.14%. This is in the better half of the industry: LIGHT outperforms 76.56% of its industry peers.
LIGHT has a Return On Equity of 13.26%. This is in the better half of the industry: LIGHT outperforms 70.31% of its industry peers.
The Return On Invested Capital of LIGHT (9.67%) is better than 81.25% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for LIGHT is below the industry average of 10.34%.
The 3 year average ROIC (8.31%) for LIGHT is below the current ROIC(9.67%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.14% | ||
| ROE | 13.26% | ||
| ROIC | 9.67% |
ROA(3y)4.41%
ROA(5y)4.45%
ROE(3y)11.83%
ROE(5y)13.29%
ROIC(3y)8.31%
ROIC(5y)8.73%
1.3 Margins
LIGHT has a Profit Margin of 5.69%. This is in the better half of the industry: LIGHT outperforms 76.56% of its industry peers.
In the last couple of years the Profit Margin of LIGHT has grown nicely.
With a decent Operating Margin value of 8.73%, LIGHT is doing good in the industry, outperforming 76.56% of the companies in the same industry.
In the last couple of years the Operating Margin of LIGHT has grown nicely.
Looking at the Gross Margin, with a value of 40.61%, LIGHT is in the better half of the industry, outperforming 68.75% of the companies in the same industry.
LIGHT's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 8.73% | ||
| PM (TTM) | 5.69% | ||
| GM | 40.61% |
OM growth 3Y-2.99%
OM growth 5Y7.06%
PM growth 3Y-2.65%
PM growth 5Y4.95%
GM growth 3Y1.11%
GM growth 5Y1.97%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so LIGHT is still creating some value.
The number of shares outstanding for LIGHT remains at a similar level compared to 1 year ago.
The number of shares outstanding for LIGHT remains at a similar level compared to 5 years ago.
LIGHT has a better debt/assets ratio than last year.
2.2 Solvency
LIGHT has an Altman-Z score of 1.85. This is not the best score and indicates that LIGHT is in the grey zone with still only limited risk for bankruptcy at the moment.
LIGHT has a Altman-Z score (1.85) which is in line with its industry peers.
LIGHT has a debt to FCF ratio of 4.40. This is a neutral value as LIGHT would need 4.40 years to pay back of all of its debts.
With a decent Debt to FCF ratio value of 4.40, LIGHT is doing good in the industry, outperforming 70.31% of the companies in the same industry.
LIGHT has a Debt/Equity ratio of 0.45. This is a healthy value indicating a solid balance between debt and equity.
With a decent Debt to Equity ratio value of 0.45, LIGHT is doing good in the industry, outperforming 60.94% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.45 | ||
| Debt/FCF | 4.4 | ||
| Altman-Z | 1.85 |
ROIC/WACC1.31
WACC7.4%
2.3 Liquidity
A Current Ratio of 1.17 indicates that LIGHT should not have too much problems paying its short term obligations.
With a Current ratio value of 1.17, LIGHT is not doing good in the industry: 64.06% of the companies in the same industry are doing better.
LIGHT has a Quick Ratio of 1.17. This is a bad value and indicates that LIGHT is not financially healthy enough and could expect problems in meeting its short term obligations.
LIGHT's Quick ratio of 0.72 is on the low side compared to the rest of the industry. LIGHT is outperformed by 70.31% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.17 | ||
| Quick Ratio | 0.72 |
3. Growth
3.1 Past
The Earnings Per Share has been growing slightly by 4.08% over the past year.
The Earnings Per Share has been decreasing by -2.28% on average over the past years.
Looking at the last year, LIGHT shows a decrease in Revenue. The Revenue has decreased by -4.36% in the last year.
The Revenue has been decreasing by -0.34% on average over the past years.
EPS 1Y (TTM)4.08%
EPS 3Y-12.27%
EPS 5Y-2.28%
EPS Q2Q%4.13%
Revenue 1Y (TTM)-4.36%
Revenue growth 3Y-3.61%
Revenue growth 5Y-0.34%
Sales Q2Q%-4.38%
3.2 Future
LIGHT is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 8.43% yearly.
The Revenue is expected to decrease by -0.98% on average over the next years.
EPS Next Y3.08%
EPS Next 2Y5.41%
EPS Next 3Y7.15%
EPS Next 5Y8.43%
Revenue Next Year-4.98%
Revenue Next 2Y-2.76%
Revenue Next 3Y-1.36%
Revenue Next 5Y-0.98%
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
Based on the Price/Earnings ratio of 7.43, the valuation of LIGHT can be described as very cheap.
LIGHT's Price/Earnings ratio is rather cheap when compared to the industry. LIGHT is cheaper than 100.00% of the companies in the same industry.
Compared to an average S&P500 Price/Earnings ratio of 27.49, LIGHT is valued rather cheaply.
The Price/Forward Earnings ratio is 7.41, which indicates a rather cheap valuation of LIGHT.
90.63% of the companies in the same industry are more expensive than LIGHT, based on the Price/Forward Earnings ratio.
The average S&P500 Price/Forward Earnings ratio is at 22.99. LIGHT is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 7.43 | ||
| Fwd PE | 7.41 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, LIGHT is valued cheaply inside the industry as 92.19% of the companies are valued more expensively.
93.75% of the companies in the same industry are more expensive than LIGHT, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 8.14 | ||
| EV/EBITDA | 5.4 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
The excellent profitability rating of LIGHT may justify a higher PE ratio.
PEG (NY)2.41
PEG (5Y)N/A
EPS Next 2Y5.41%
EPS Next 3Y7.15%
5. Dividend
5.1 Amount
LIGHT has a Yearly Dividend Yield of 6.64%, which is a nice return.
Compared to an average industry Dividend Yield of 1.92, LIGHT pays a better dividend. On top of this LIGHT pays more dividend than 98.44% of the companies listed in the same industry.
LIGHT's Dividend Yield is rather good when compared to the S&P500 average which is at 2.43.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 6.64% |
5.2 History
The dividend of LIGHT has a limited annual growth rate of 3.47%.
Dividend Growth(5Y)3.47%
Div Incr Years4
Div Non Decr Years4
5.3 Sustainability
73.33% of the earnings are spent on dividend by LIGHT. This is not a sustainable payout ratio.
The dividend of LIGHT is growing, but earnings are growing more, so the dividend growth is sustainable.
DP73.33%
EPS Next 2Y5.41%
EPS Next 3Y7.15%
AMS:LIGHT (10/15/2025, 5:36:15 PM)
22.96
-0.14 (-0.61%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryElectrical Equipment
Earnings (Last)
Earnings (Next)
Inst Owners80.48%
Inst Owner ChangeN/A
Ins Owners3.46%
Ins Owner ChangeN/A
Market Cap2.95B
Analysts68.7
Price Target23.87 (3.96%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 6.64% |
Yearly Dividend1.55
Dividend Growth(5Y)3.47%
DP73.33%
Div Incr Years4
Div Non Decr Years4
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)48%
Min EPS beat(2)18.65%
Max EPS beat(2)77.34%
EPS beat(4)4
Avg EPS beat(4)37.29%
Min EPS beat(4)18.65%
Max EPS beat(4)77.34%
EPS beat(8)7
Avg EPS beat(8)25.1%
EPS beat(12)9
Avg EPS beat(12)17.36%
EPS beat(16)13
Avg EPS beat(16)19.72%
Revenue beat(2)0
Avg Revenue beat(2)-1.89%
Min Revenue beat(2)-2.21%
Max Revenue beat(2)-1.56%
Revenue beat(4)0
Avg Revenue beat(4)-2.69%
Min Revenue beat(4)-3.72%
Max Revenue beat(4)-1.56%
Revenue beat(8)0
Avg Revenue beat(8)-4.02%
Revenue beat(12)0
Avg Revenue beat(12)-4.28%
Revenue beat(16)2
Avg Revenue beat(16)-3.4%
PT rev (1m)0%
PT rev (3m)-6.4%
EPS NQ rev (1m)0%
EPS NQ rev (3m)2.77%
EPS NY rev (1m)-0.07%
EPS NY rev (3m)0.13%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-1.32%
Revenue NY rev (1m)-0.25%
Revenue NY rev (3m)-2.68%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 7.43 | ||
| Fwd PE | 7.41 | ||
| P/S | 0.49 | ||
| P/FCF | 8.14 | ||
| P/OCF | 6.2 | ||
| P/B | 1.13 | ||
| P/tB | N/A | ||
| EV/EBITDA | 5.4 |
EPS(TTM)3.09
EY13.46%
EPS(NY)3.1
Fwd EY13.5%
FCF(TTM)2.82
FCFY12.28%
OCF(TTM)3.7
OCFY16.12%
SpS47.2
BVpS20.27
TBVpS-4.2
PEG (NY)2.41
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.14% | ||
| ROE | 13.26% | ||
| ROCE | 11.72% | ||
| ROIC | 9.67% | ||
| ROICexc | 10.61% | ||
| ROICexgc | 44.9% | ||
| OM | 8.73% | ||
| PM (TTM) | 5.69% | ||
| GM | 40.61% | ||
| FCFM | 5.98% |
ROA(3y)4.41%
ROA(5y)4.45%
ROE(3y)11.83%
ROE(5y)13.29%
ROIC(3y)8.31%
ROIC(5y)8.73%
ROICexc(3y)10%
ROICexc(5y)10.94%
ROICexgc(3y)62.11%
ROICexgc(5y)58.99%
ROCE(3y)10.08%
ROCE(5y)10.59%
ROICexcg growth 3Y6.49%
ROICexcg growth 5Y14.46%
ROICexc growth 3Y-5.58%
ROICexc growth 5Y2.94%
OM growth 3Y-2.99%
OM growth 5Y7.06%
PM growth 3Y-2.65%
PM growth 5Y4.95%
GM growth 3Y1.11%
GM growth 5Y1.97%
F-Score8
Asset Turnover0.9
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.45 | ||
| Debt/FCF | 4.4 | ||
| Debt/EBITDA | 1.53 | ||
| Cap/Depr | 46.89% | ||
| Cap/Sales | 1.87% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 61.69% | ||
| Profit Quality | 104.93% | ||
| Current Ratio | 1.17 | ||
| Quick Ratio | 0.72 | ||
| Altman-Z | 1.85 |
F-Score8
WACC7.4%
ROIC/WACC1.31
Cap/Depr(3y)41.13%
Cap/Depr(5y)38.27%
Cap/Sales(3y)1.71%
Cap/Sales(5y)1.68%
Profit Quality(3y)152.64%
Profit Quality(5y)169.78%
High Growth Momentum
Growth
EPS 1Y (TTM)4.08%
EPS 3Y-12.27%
EPS 5Y-2.28%
EPS Q2Q%4.13%
EPS Next Y3.08%
EPS Next 2Y5.41%
EPS Next 3Y7.15%
EPS Next 5Y8.43%
Revenue 1Y (TTM)-4.36%
Revenue growth 3Y-3.61%
Revenue growth 5Y-0.34%
Sales Q2Q%-4.38%
Revenue Next Year-4.98%
Revenue Next 2Y-2.76%
Revenue Next 3Y-1.36%
Revenue Next 5Y-0.98%
EBIT growth 1Y-3.47%
EBIT growth 3Y-6.49%
EBIT growth 5Y6.7%
EBIT Next Year28.74%
EBIT Next 3Y10.88%
EBIT Next 5Y10.66%
FCF growth 1Y-42.17%
FCF growth 3Y-10.86%
FCF growth 5Y-4.11%
OCF growth 1Y-37.25%
OCF growth 3Y-9.95%
OCF growth 5Y-3.01%