PROXIMUS (PROX.BR)
BE0003810273 - Common Stock
We assign a fundamental rating of 5 out of 10 to PROX. PROX was compared to 30 industry peers in the Diversified Telecommunication Services industry. There are concerns on the financial health of PROX while its profitability can be described as average. A decent growth rate in combination with a cheap valuation! Better keep an eye on PROX.
1. Profitability
1.1 Basic Checks
PROX had positive earnings in the past year.
PROX had a positive operating cash flow in the past year.
PROX had positive earnings in each of the past 5 years.
Each year in the past 5 years PROX had a positive operating cash flow.
1.2 Ratios
With a decent Return On Assets value of 3.22%, PROX is doing good in the industry, outperforming 75.86% of the companies in the same industry.
The Return On Equity of PROX (10.88%) is better than 68.97% of its industry peers.
Looking at the Return On Invested Capital, with a value of 6.06%, PROX is in the better half of the industry, outperforming 65.52% of the companies in the same industry.
PROX had an Average Return On Invested Capital over the past 3 years of 6.57%. This is in line with the industry average of 6.71%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.22% | ||
| ROE | 10.88% | ||
| ROIC | 6.06% |
ROA(3y)4.09%
ROA(5y)4.57%
ROE(3y)13.1%
ROE(5y)14.36%
ROIC(3y)6.57%
ROIC(5y)7.05%
1.3 Margins
Looking at the Profit Margin, with a value of 5.87%, PROX is in the better half of the industry, outperforming 62.07% of the companies in the same industry.
In the last couple of years the Profit Margin of PROX has declined.
Looking at the Operating Margin, with a value of 10.34%, PROX is in line with its industry, outperforming 41.38% of the companies in the same industry.
In the last couple of years the Operating Margin of PROX has declined.
PROX has a better Gross Margin (63.99%) than 72.41% of its industry peers.
PROX's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 10.34% | ||
| PM (TTM) | 5.87% | ||
| GM | 63.99% |
OM growth 3Y-12.33%
OM growth 5Y-5.62%
PM growth 3Y-16.85%
PM growth 5Y-7.54%
GM growth 3Y-0.9%
GM growth 5Y0.07%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) well above the Cost of Capital (WACC), PROX is creating value.
Compared to 1 year ago, PROX has about the same amount of shares outstanding.
The number of shares outstanding for PROX remains at a similar level compared to 5 years ago.
PROX has a worse debt/assets ratio than last year.
2.2 Solvency
PROX has an Altman-Z score of 1.13. This is a bad value and indicates that PROX is not financially healthy and even has some risk of bankruptcy.
PROX has a Altman-Z score of 1.13. This is comparable to the rest of the industry: PROX outperforms 51.72% of its industry peers.
The Debt to FCF ratio of PROX is 31.24, which is on the high side as it means it would take PROX, 31.24 years of fcf income to pay off all of its debts.
The Debt to FCF ratio of PROX (31.24) is comparable to the rest of the industry.
PROX has a Debt/Equity ratio of 1.07. This is a high value indicating a heavy dependency on external financing.
The Debt to Equity ratio of PROX (1.07) is better than 62.07% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.07 | ||
| Debt/FCF | 31.24 | ||
| Altman-Z | 1.13 |
ROIC/WACC1.75
WACC3.47%
2.3 Liquidity
PROX has a Current Ratio of 0.73. This is a bad value and indicates that PROX is not financially healthy enough and could expect problems in meeting its short term obligations.
With a Current ratio value of 0.73, PROX perfoms like the industry average, outperforming 58.62% of the companies in the same industry.
A Quick Ratio of 0.67 indicates that PROX may have some problems paying its short term obligations.
Looking at the Quick ratio, with a value of 0.67, PROX is in line with its industry, outperforming 58.62% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.73 | ||
| Quick Ratio | 0.67 |
3. Growth
3.1 Past
The earnings per share for PROX have decreased by -8.20% in the last year.
The Earnings Per Share has been decreasing by -6.58% on average over the past years.
PROX shows a small growth in Revenue. In the last year, the Revenue has grown by 2.00%.
PROX shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 0.78% yearly.
EPS 1Y (TTM)-8.2%
EPS 3Y-14.08%
EPS 5Y-6.58%
EPS Q2Q%-3.45%
Revenue 1Y (TTM)2%
Revenue growth 3Y3.26%
Revenue growth 5Y0.78%
Sales Q2Q%6.96%
3.2 Future
Based on estimates for the next years, PROX will show a small growth in Earnings Per Share. The EPS will grow by 1.73% on average per year.
PROX is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 2.07% yearly.
EPS Next Y6.45%
EPS Next 2Y0.81%
EPS Next 3Y1.4%
EPS Next 5Y1.73%
Revenue Next Year4.09%
Revenue Next 2Y3.3%
Revenue Next 3Y2.48%
Revenue Next 5Y2.07%
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.
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
Based on the Price/Earnings ratio of 6.21, the valuation of PROX can be described as very cheap.
Based on the Price/Earnings ratio, PROX is valued cheaper than 100.00% of the companies in the same industry.
Compared to an average S&P500 Price/Earnings ratio of 30.52, PROX is valued rather cheaply.
Based on the Price/Forward Earnings ratio of 6.17, the valuation of PROX can be described as very cheap.
Compared to the rest of the industry, the Price/Forward Earnings ratio of PROX indicates a rather cheap valuation: PROX is cheaper than 100.00% of the companies listed in the same industry.
Compared to an average S&P500 Price/Forward Earnings ratio of 21.99, PROX is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 6.21 | ||
| Fwd PE | 6.17 |
4.2 Price Multiples
100.00% of the companies in the same industry are more expensive than PROX, based on the Enterprise Value to EBITDA ratio.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of PROX is on the same level as its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 16.62 | ||
| EV/EBITDA | 3.24 |
4.3 Compensation for Growth
PROX's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
PROX has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)0.96
PEG (5Y)N/A
EPS Next 2Y0.81%
EPS Next 3Y1.4%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 12.11%, PROX is a good candidate for dividend investing.
PROX's Dividend Yield is rather good when compared to the industry average which is at 5.20. PROX pays more dividend than 100.00% of the companies in the same industry.
PROX's Dividend Yield is rather good when compared to the S&P500 average which is at 2.26.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 12.11% |
5.2 History
The dividend of PROX decreases each year by -4.42%.
Dividend Growth(5Y)-4.42%
Div Incr Years0
Div Non Decr Years2
5.3 Sustainability
PROX pays out 107.80% of its income as dividend. This is not a sustainable payout ratio.
DP107.8%
EPS Next 2Y0.81%
EPS Next 3Y1.4%
PROXIMUS
EBR:PROX (9/16/2024, 10:50:05 AM)
6.955
-0.03 (-0.36%)
Chartmill FA Rating
GICS SectorCommunication Services
GICS IndustryGroupTelecommunication Services
GICS IndustryDiversified Telecommunication Services
Earnings (Last)
Earnings (Next)
Inst Owners
Inst Owner Change
Ins Owners
Ins Owner Change
Market Cap2.24B
Analysts
Price Target
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 12.11% |
Dividend Growth(5Y)
DP
Div Incr Years
Div Non Decr Years
Ex-Date
Surprises & Revisions
EPS beat(2)
Avg EPS beat(2)
Min EPS beat(2)
Max EPS beat(2)
EPS beat(4)
Avg EPS beat(4)
Min EPS beat(4)
Max EPS beat(4)
EPS beat(8)
Avg EPS beat(8)
EPS beat(12)
Avg EPS beat(12)
EPS beat(16)
Avg EPS beat(16)
Revenue beat(2)
Avg Revenue beat(2)
Min Revenue beat(2)
Max Revenue beat(2)
Revenue beat(4)
Avg Revenue beat(4)
Min Revenue beat(4)
Max Revenue beat(4)
Revenue beat(8)
Avg Revenue beat(8)
Revenue beat(12)
Avg Revenue beat(12)
Revenue beat(16)
Avg Revenue beat(16)
PT rev (1m)
PT rev (3m)
EPS NQ rev (1m)
EPS NQ rev (3m)
EPS NY rev (1m)
EPS NY rev (3m)
Revenue NQ rev (1m)
Revenue NQ rev (3m)
Revenue NY rev (1m)
Revenue NY rev (3m)
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 6.21 | ||
| Fwd PE | 6.17 | ||
| P/S | |||
| P/FCF | |||
| P/OCF | |||
| P/B | |||
| P/tB | |||
| EV/EBITDA |
EPS(TTM)
EY
EPS(NY)
Fwd EY
FCF(TTM)
FCFY
OCF(TTM)
OCFY
SpS
BVpS
TBVpS
PEG (NY)0.96
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.22% | ||
| ROE | 10.88% | ||
| ROCE | |||
| ROIC | |||
| ROICexc | |||
| ROICexgc | |||
| OM | 10.34% | ||
| PM (TTM) | 5.87% | ||
| GM | 63.99% | ||
| FCFM |
ROA(3y)
ROA(5y)
ROE(3y)
ROE(5y)
ROIC(3y)
ROIC(5y)
ROICexc(3y)
ROICexc(5y)
ROICexgc(3y)
ROICexgc(5y)
ROCE(3y)
ROCE(5y)
ROICexcg growth 3Y
ROICexcg growth 5Y
ROICexc growth 3Y
ROICexc growth 5Y
OM growth 3Y
OM growth 5Y
PM growth 3Y
PM growth 5Y
GM growth 3Y
GM growth 5Y
F-Score
Asset Turnover0.55
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.07 | ||
| Debt/FCF | |||
| Debt/EBITDA | |||
| Cap/Depr | |||
| Cap/Sales | |||
| Interest Coverage | |||
| Cash Conversion | |||
| Profit Quality | |||
| Current Ratio | 0.73 | ||
| Quick Ratio | 0.67 | ||
| Altman-Z |
F-Score
WACC
ROIC/WACC
Cap/Depr(3y)
Cap/Depr(5y)
Cap/Sales(3y)
Cap/Sales(5y)
Profit Quality(3y)
Profit Quality(5y)
High Growth Momentum
Growth
EPS 1Y (TTM)-8.2%
EPS 3Y-14.08%
EPS 5Y
EPS Q2Q%
EPS Next Y6.45%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)2%
Revenue growth 3Y3.26%
Revenue growth 5Y
Sales Q2Q%
Revenue Next Year
Revenue Next 2Y
Revenue Next 3Y
Revenue Next 5Y
EBIT growth 1Y
EBIT growth 3Y
EBIT growth 5Y
EBIT Next Year
EBIT Next 3Y
EBIT Next 5Y
FCF growth 1Y
FCF growth 3Y
FCF growth 5Y
OCF growth 1Y
OCF growth 3Y
OCF growth 5Y