LEGRAND SA (LR.PA) Stock Fundamental Analysis
Europe - EPA:LR - FR0010307819 - Common Stock
126.975 EUR
-2.62 (-2.03%)
LR gets a fundamental rating of 6 out of 10. The analysis compared the fundamentals against 61 industry peers in the Electrical Equipment industry. LR gets an excellent profitability rating and is at the same time showing great financial health properties. LR has a decent growth rate and is not valued too expensively.
1. Profitability
1.1 Basic Checks
LR had positive earnings in the past year.
LR had a positive operating cash flow in the past year.
LR had positive earnings in each of the past 5 years.
LR had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
LR has a Return On Assets of 10.51%. This is amongst the best in the industry. LR outperforms 95.08% of its industry peers.
LR's Return On Equity of 24.74% is amongst the best of the industry. LR outperforms 85.25% of its industry peers.
The Return On Invested Capital of LR (13.65%) is better than 88.52% of its industry peers.
The Average Return On Invested Capital over the past 3 years for LR is in line with the industry average of 10.39%.
The last Return On Invested Capital (13.65%) for LR is above the 3 year average (9.18%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 10.51% | ||
| ROE | 24.74% | ||
| ROIC | 13.65% |
ROA(3y)7.31%
ROA(5y)6.73%
ROE(3y)15.88%
ROE(5y)15.47%
ROIC(3y)9.18%
ROIC(5y)8.59%
1.3 Margins
LR has a better Profit Margin (12.96%) than 93.44% of its industry peers.
In the last couple of years the Profit Margin of LR has remained more or less at the same level.
LR has a Operating Margin of 18.98%. This is amongst the best in the industry. LR outperforms 95.08% of its industry peers.
LR's Operating Margin has been stable in the last couple of years.
Looking at the Gross Margin, with a value of 51.35%, LR belongs to the top of the industry, outperforming 80.33% of the companies in the same industry.
LR's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 18.98% | ||
| PM (TTM) | 12.96% | ||
| GM | 51.35% |
OM growth 3Y-0.39%
OM growth 5Y0.33%
PM growth 3Y1.41%
PM growth 5Y1.36%
GM growth 3Y0.53%
GM growth 5Y-0.11%
2. Health
2.1 Basic Checks
LR has a Return on Invested Capital (ROIC), which is well above the Cost of Capital (WACC), which means it is creating value.
The number of shares outstanding for LR remains at a similar level compared to 1 year ago.
Compared to 5 years ago, LR has less shares outstanding
Compared to 1 year ago, LR has an improved debt to assets ratio.
2.2 Solvency
An Altman-Z score of 4.24 indicates that LR is not in any danger for bankruptcy at the moment.
With an excellent Altman-Z score value of 4.24, LR belongs to the best of the industry, outperforming 85.25% of the companies in the same industry.
LR has a debt to FCF ratio of 4.28. This is a neutral value as LR would need 4.28 years to pay back of all of its debts.
LR has a Debt to FCF ratio of 4.28. This is in the better half of the industry: LR outperforms 68.85% of its industry peers.
A Debt/Equity ratio of 0.78 indicates that LR is somewhat dependend on debt financing.
The Debt to Equity ratio of LR (0.78) is worse than 67.21% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.78 | ||
| Debt/FCF | 4.28 | ||
| Altman-Z | 4.24 |
ROIC/WACC1.81
WACC7.56%
2.3 Liquidity
LR has a Current Ratio of 2.22. This indicates that LR is financially healthy and has no problem in meeting its short term obligations.
The Current ratio of LR (2.22) is better than 80.33% of its industry peers.
LR has a Quick Ratio of 1.69. This is a normal value and indicates that LR is financially healthy and should not expect problems in meeting its short term obligations.
LR's Quick ratio of 1.69 is fine compared to the rest of the industry. LR outperforms 78.69% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.22 | ||
| Quick Ratio | 1.69 |
3. Growth
3.1 Past
LR shows a slight negative growth in Earnings Per Share. In the last year, the EPS has decreased by -6.93%.
Measured over the past years, LR shows a quite strong growth in Earnings Per Share. The EPS has been growing by 8.83% on average per year.
Looking at the last year, LR shows a very negative growth in Revenue. The Revenue has decreased by -17.91% in the last year.
Measured over the past years, LR shows a small growth in Revenue. The Revenue has been growing by 5.48% on average per year.
EPS 1Y (TTM)-6.93%
EPS 3Y10.4%
EPS 5Y8.83%
EPS Q2Q%-81.33%
Revenue 1Y (TTM)-17.91%
Revenue growth 3Y7.33%
Revenue growth 5Y5.48%
Sales Q2Q%10.52%
3.2 Future
The Earnings Per Share is expected to grow by 8.97% on average over the next years. This is quite good.
LR is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 7.97% yearly.
EPS Next Y5.2%
EPS Next 2Y8.62%
EPS Next 3Y8.41%
EPS Next 5Y8.97%
Revenue Next Year11.58%
Revenue Next 2Y9.68%
Revenue Next 3Y8.98%
Revenue Next 5Y7.97%
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 stable.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 30.38, which means the current valuation is very expensive for LR.
Based on the Price/Earnings ratio, LR is valued a bit cheaper than the industry average as 67.21% of the companies are valued more expensively.
LR is valuated rather expensively when we compare the Price/Earnings ratio to 25.07, which is the current average of the S&P500 Index.
Based on the Price/Forward Earnings ratio of 21.10, the valuation of LR can be described as rather expensive.
LR's Price/Forward Earnings ratio is a bit cheaper when compared to the industry. LR is cheaper than 62.30% of the companies in the same industry.
LR's Price/Forward Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 34.08.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 30.38 | ||
| Fwd PE | 21.1 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, LR is valued a bit cheaper than 68.85% of the companies in the same industry.
Based on the Price/Free Cash Flow ratio, LR is valued a bit cheaper than the industry average as 75.41% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 23.18 | ||
| EV/EBITDA | 12.32 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
LR has an outstanding profitability rating, which may justify a higher PE ratio.
PEG (NY)5.85
PEG (5Y)3.44
EPS Next 2Y8.62%
EPS Next 3Y8.41%
5. Dividend
5.1 Amount
LR has a Yearly Dividend Yield of 1.68%.
Compared to an average industry Dividend Yield of 1.99, LR pays a better dividend. On top of this LR pays more dividend than 86.89% of the companies listed in the same industry.
Compared to the average S&P500 Dividend Yield of 2.44, LR is paying slightly less dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.68% |
5.2 History
On average, the dividend of LR grows each year by 9.28%, which is quite nice.
Dividend Growth(5Y)9.28%
Div Incr Years4
Div Non Decr Years6
5.3 Sustainability
LR pays out 32.44% of its income as dividend. This is a sustainable payout ratio.
The dividend of LR is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP32.44%
EPS Next 2Y8.62%
EPS Next 3Y8.41%
EPA:LR (11/21/2025, 3:38:14 PM)
126.975
-2.62 (-2.03%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryElectrical Equipment
Earnings (Last)
Earnings (Next)
Inst Owners54.93%
Inst Owner ChangeN/A
Ins Owners0.86%
Ins Owner ChangeN/A
Market Cap33.30B
Revenue(TTM)13.69B
Net Income(TTM)1.77B
Analysts78.57
Price Target146.32 (15.24%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.68% |
Yearly Dividend2.09
Dividend Growth(5Y)9.28%
DP32.44%
Div Incr Years4
Div Non Decr Years6
Ex-DateN/A
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-50.95%
Min EPS beat(2)-84.36%
Max EPS beat(2)-17.54%
EPS beat(4)1
Avg EPS beat(4)-16.58%
Min EPS beat(4)-84.36%
Max EPS beat(4)37.13%
EPS beat(8)3
Avg EPS beat(8)-9.54%
EPS beat(12)6
Avg EPS beat(12)-4.29%
EPS beat(16)10
Avg EPS beat(16)-1.81%
Revenue beat(2)1
Avg Revenue beat(2)-3.18%
Min Revenue beat(2)-6.53%
Max Revenue beat(2)0.18%
Revenue beat(4)2
Avg Revenue beat(4)-1.7%
Min Revenue beat(4)-6.53%
Max Revenue beat(4)3.15%
Revenue beat(8)3
Avg Revenue beat(8)-2.55%
Revenue beat(12)4
Avg Revenue beat(12)5.41%
Revenue beat(16)7
Avg Revenue beat(16)15.84%
PT rev (1m)6.81%
PT rev (3m)13.74%
EPS NQ rev (1m)-0.88%
EPS NQ rev (3m)5.4%
EPS NY rev (1m)0.47%
EPS NY rev (3m)2.24%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)1.73%
Revenue NY rev (1m)0.18%
Revenue NY rev (3m)1.89%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 30.38 | ||
| Fwd PE | 21.1 | ||
| P/S | 2.43 | ||
| P/FCF | 23.18 | ||
| P/OCF | 20.15 | ||
| P/B | 4.64 | ||
| P/tB | N/A | ||
| EV/EBITDA | 12.32 |
EPS(TTM)4.18
EY3.29%
EPS(NY)6.02
Fwd EY4.74%
FCF(TTM)5.48
FCFY4.31%
OCF(TTM)6.3
OCFY4.96%
SpS52.19
BVpS27.34
TBVpS-7.17
PEG (NY)5.85
PEG (5Y)3.44
Graham Number50.71
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 10.51% | ||
| ROE | 24.74% | ||
| ROCE | 18.43% | ||
| ROIC | 13.65% | ||
| ROICexc | 17.33% | ||
| ROICexgc | 93.67% | ||
| OM | 18.98% | ||
| PM (TTM) | 12.96% | ||
| GM | 51.35% | ||
| FCFM | 10.49% |
ROA(3y)7.31%
ROA(5y)6.73%
ROE(3y)15.88%
ROE(5y)15.47%
ROIC(3y)9.18%
ROIC(5y)8.59%
ROICexc(3y)11.43%
ROICexc(5y)10.93%
ROICexgc(3y)71.04%
ROICexgc(5y)70.72%
ROCE(3y)12.5%
ROCE(5y)11.95%
ROICexgc growth 3Y-7.71%
ROICexgc growth 5Y0.85%
ROICexc growth 3Y-1.51%
ROICexc growth 5Y-0.2%
OM growth 3Y-0.39%
OM growth 5Y0.33%
PM growth 3Y1.41%
PM growth 5Y1.36%
GM growth 3Y0.53%
GM growth 5Y-0.11%
F-Score4
Asset Turnover0.81
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.78 | ||
| Debt/FCF | 4.28 | ||
| Debt/EBITDA | 1.86 | ||
| Cap/Depr | 51.81% | ||
| Cap/Sales | 1.58% | ||
| Interest Coverage | 26.08 | ||
| Cash Conversion | 54.81% | ||
| Profit Quality | 80.96% | ||
| Current Ratio | 2.22 | ||
| Quick Ratio | 1.69 | ||
| Altman-Z | 4.24 |
F-Score4
WACC7.56%
ROIC/WACC1.81
Cap/Depr(3y)53.91%
Cap/Depr(5y)49.06%
Cap/Sales(3y)2.4%
Cap/Sales(5y)2.26%
Profit Quality(3y)119.67%
Profit Quality(5y)123.7%
High Growth Momentum
Growth
EPS 1Y (TTM)-6.93%
EPS 3Y10.4%
EPS 5Y8.83%
EPS Q2Q%-81.33%
EPS Next Y5.2%
EPS Next 2Y8.62%
EPS Next 3Y8.41%
EPS Next 5Y8.97%
Revenue 1Y (TTM)-17.91%
Revenue growth 3Y7.33%
Revenue growth 5Y5.48%
Sales Q2Q%10.52%
Revenue Next Year11.58%
Revenue Next 2Y9.68%
Revenue Next 3Y8.98%
Revenue Next 5Y7.97%
EBIT growth 1Y-18.02%
EBIT growth 3Y6.92%
EBIT growth 5Y5.83%
EBIT Next Year34.54%
EBIT Next 3Y16.09%
EBIT Next 5Y14.18%
FCF growth 1Y-13.41%
FCF growth 3Y10.51%
FCF growth 5Y4.13%
OCF growth 1Y-11.41%
OCF growth 3Y11.04%
OCF growth 5Y4.21%
LEGRAND SA / LR.PA FAQ
Can you provide the ChartMill fundamental rating for LEGRAND SA?
ChartMill assigns a fundamental rating of 6 / 10 to LR.PA.
What is the valuation status of LEGRAND SA (LR.PA) stock?
ChartMill assigns a valuation rating of 4 / 10 to LEGRAND SA (LR.PA). This can be considered as Fairly Valued.
What is the profitability of LR stock?
LEGRAND SA (LR.PA) has a profitability rating of 8 / 10.
Can you provide the financial health for LR stock?
The financial health rating of LEGRAND SA (LR.PA) is 7 / 10.
Can you provide the dividend sustainability for LR stock?
The dividend rating of LEGRAND SA (LR.PA) is 5 / 10 and the dividend payout ratio is 32.44%.