POSTE ITALIANE SPA (PST.MI) Stock Fundamental Analysis
BIT:PST - Euronext Milan - IT0003796171 - Common Stock - Currency: EUR
Taking everything into account, PST scores 4 out of 10 in our fundamental rating. PST was compared to 33 industry peers in the Insurance industry. There are concerns on the financial health of PST while its profitability can be described as average. PST is valued correctly, but it does not seem to be growing. Finally PST also has an excellent dividend rating.
1. Profitability
1.1 Basic Checks
In the past year PST was profitable.
PST had a positive operating cash flow in the past year.
PST had positive earnings in each of the past 5 years.
Of the past 5 years PST 4 years had a positive operating cash flow.
1.2 Ratios
PST has a Return On Assets of 0.86%. This is in the lower half of the industry: PST underperforms 61.11% of its industry peers.
PST has a better Return On Equity (19.86%) than 83.33% of its industry peers.
PST has a Return On Invested Capital of 1.03%. This is comparable to the rest of the industry: PST outperforms 44.44% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.86% | ||
| ROE | 19.86% | ||
| ROIC | 1.03% |
ROA(3y)N/A
ROA(5y)N/A
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
The Profit Margin of PST (15.25%) is better than 86.11% of its industry peers.
In the last couple of years the Profit Margin of PST has grown nicely.
PST has a Operating Margin of 22.92%. This is amongst the best in the industry. PST outperforms 86.11% of its industry peers.
In the last couple of years the Operating Margin of PST has grown nicely.
The Gross Margin of PST (72.84%) is better than 97.22% of its industry peers.
In the last couple of years the Gross Margin of PST has declined.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 22.92% | ||
| PM (TTM) | 15.25% | ||
| GM | 72.84% |
OM growth 3Y10.96%
OM growth 5Y31.82%
PM growth 3Y3.13%
PM growth 5Y30.15%
GM growth 3Y-2.09%
GM growth 5YN/A
2. Health
2.1 Basic Checks
PST has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
There is no outstanding debt for PST. This means it has a Debt/Equity and Debt/FCF ratio of 0 and it is amongst the best of the sector and industry.
2.2 Solvency
PST has an Altman-Z score of 0.04. This is a bad value and indicates that PST is not financially healthy and even has some risk of bankruptcy.
With a decent Altman-Z score value of 0.04, PST is doing good in the industry, outperforming 69.44% of the companies in the same industry.
The Debt to FCF ratio of PST is 49.73, which is on the high side as it means it would take PST, 49.73 years of fcf income to pay off all of its debts.
The Debt to FCF ratio of PST (49.73) is worse than 77.78% of its industry peers.
PST has a Debt/Equity ratio of 6.24. This is a high value indicating a heavy dependency on external financing.
Looking at the Debt to Equity ratio, with a value of 6.24, PST is doing worse than 91.67% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 6.24 | ||
| Debt/FCF | 49.73 | ||
| Altman-Z | 0.04 |
ROIC/WACC0.34
WACC2.99%
2.3 Liquidity
PST has a Current Ratio of 0.56. This is a bad value and indicates that PST is not financially healthy enough and could expect problems in meeting its short term obligations.
With a decent Current ratio value of 0.56, PST is doing good in the industry, outperforming 75.00% of the companies in the same industry.
A Quick Ratio of 0.55 indicates that PST may have some problems paying its short term obligations.
PST has a Quick ratio of 0.55. This is in the better half of the industry: PST outperforms 75.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.56 | ||
| Quick Ratio | 0.55 |
3. Growth
3.1 Past
PST shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -29.71%.
The Earnings Per Share has been growing by 8.33% on average over the past years. This is quite good.
Looking at the last year, PST shows a very negative growth in Revenue. The Revenue has decreased by -31.33% in the last year.
Measured over the past years, PST shows a very negative growth in Revenue. The Revenue has been decreasing by -16.83% on average per year.
EPS 1Y (TTM)-29.71%
EPS 3Y8.2%
EPS 5Y8.33%
EPS Q2Q%-47.48%
Revenue 1Y (TTM)-31.33%
Revenue growth 3Y4.83%
Revenue growth 5Y-16.83%
Sales Q2Q%7.05%
3.2 Future
PST is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 5.00% yearly.
PST is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 2.59% yearly.
EPS Next Y3.42%
EPS Next 2Y3.53%
EPS Next 3Y5.05%
EPS Next 5Y5%
Revenue Next Year2.99%
Revenue Next 2Y2.69%
Revenue Next 3Y2.74%
Revenue Next 5Y2.59%
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 decreasing.
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
The Price/Earnings ratio is 10.49, which indicates a very decent valuation of PST.
Based on the Price/Earnings ratio, PST is valued a bit cheaper than the industry average as 77.78% of the companies are valued more expensively.
PST's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 29.35.
With a Price/Forward Earnings ratio of 9.94, the valuation of PST can be described as very reasonable.
PST's Price/Forward Earnings is on the same level as the industry average.
Compared to an average S&P500 Price/Forward Earnings ratio of 22.10, PST is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.49 | ||
| Fwd PE | 9.94 |
4.2 Price Multiples
The rest of the industry has a similar Price/Free Cash Flow ratio as PST.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 12.01 | ||
| EV/EBITDA | -7.83 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
PST has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)3.07
PEG (5Y)1.26
EPS Next 2Y3.53%
EPS Next 3Y5.05%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 6.75%, PST is a good candidate for dividend investing.
Compared to an average industry Dividend Yield of 4.64, PST pays a better dividend. On top of this PST pays more dividend than 88.89% of the companies listed in the same industry.
Compared to an average S&P500 Dividend Yield of 2.33, PST pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 6.75% |
5.2 History
The dividend of PST is nicely growing with an annual growth rate of 10.13%!
Dividend Growth(5Y)10.13%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
PST pays out 44.06% of its income as dividend. This is a bit on the high side, but may be sustainable.
The dividend of PST is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP44.06%
EPS Next 2Y3.53%
EPS Next 3Y5.05%
BIT:PST (3/7/2025, 7:00:00 PM)
16.15
+0.16 (+1%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupInsurance
GICS IndustryInsurance
Earnings (Last)
Earnings (Next)
Inst Owners9.98%
Inst Owner ChangeN/A
Ins OwnersN/A
Ins Owner ChangeN/A
Market Cap21.09B
Analysts77.89
Price Target15.74 (-2.54%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 6.75% |
Yearly Dividend0.68
Dividend Growth(5Y)10.13%
DP44.06%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)4.72%
Min EPS beat(2)-0.49%
Max EPS beat(2)9.94%
EPS beat(4)3
Avg EPS beat(4)5.68%
Min EPS beat(4)-0.49%
Max EPS beat(4)9.94%
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)2
Avg Revenue beat(2)1.72%
Min Revenue beat(2)1.56%
Max Revenue beat(2)1.88%
Revenue beat(4)4
Avg Revenue beat(4)2.3%
Min Revenue beat(4)1.56%
Max Revenue beat(4)2.95%
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)6.47%
PT rev (3m)9.03%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-2.28%
EPS NY rev (1m)0.64%
EPS NY rev (3m)1.92%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)0.25%
Revenue NY rev (1m)1.38%
Revenue NY rev (3m)1.49%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.49 | ||
| Fwd PE | 9.94 | ||
| P/S | 1.36 | ||
| P/FCF | 12.01 | ||
| P/OCF | 7.88 | ||
| P/B | 1.77 | ||
| P/tB | 2.13 | ||
| EV/EBITDA | -7.83 |
EPS(TTM)1.54
EY9.54%
EPS(NY)1.63
Fwd EY10.06%
FCF(TTM)1.34
FCFY8.32%
OCF(TTM)2.05
OCFY12.7%
SpS11.89
BVpS9.12
TBVpS7.59
PEG (NY)3.07
PEG (5Y)1.26
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.86% | ||
| ROE | 19.86% | ||
| ROCE | 1.91% | ||
| ROIC | 1.03% | ||
| ROICexc | 1.24% | ||
| ROICexgc | 1.25% | ||
| OM | 22.92% | ||
| PM (TTM) | 15.25% | ||
| GM | 72.84% | ||
| FCFM | 11.31% |
ROA(3y)N/A
ROA(5y)N/A
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexcg growth 3YN/A
ROICexcg growth 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5YN/A
OM growth 3Y10.96%
OM growth 5Y31.82%
PM growth 3Y3.13%
PM growth 5Y30.15%
GM growth 3Y-2.09%
GM growth 5YN/A
F-Score7
Asset Turnover0.06
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 6.24 | ||
| Debt/FCF | 49.73 | ||
| Debt/EBITDA | 16.7 | ||
| Cap/Depr | 103.13% | ||
| Cap/Sales | 5.94% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 60.15% | ||
| Profit Quality | 74.19% | ||
| Current Ratio | 0.56 | ||
| Quick Ratio | 0.55 | ||
| Altman-Z | 0.04 |
F-Score7
WACC2.99%
ROIC/WACC0.34
Cap/Depr(3y)N/A
Cap/Depr(5y)N/A
Cap/Sales(3y)N/A
Cap/Sales(5y)N/A
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-29.71%
EPS 3Y8.2%
EPS 5Y8.33%
EPS Q2Q%-47.48%
EPS Next Y3.42%
EPS Next 2Y3.53%
EPS Next 3Y5.05%
EPS Next 5Y5%
Revenue 1Y (TTM)-31.33%
Revenue growth 3Y4.83%
Revenue growth 5Y-16.83%
Sales Q2Q%7.05%
Revenue Next Year2.99%
Revenue Next 2Y2.69%
Revenue Next 3Y2.74%
Revenue Next 5Y2.59%
EBIT growth 1Y-19.61%
EBIT growth 3Y16.33%
EBIT growth 5Y9.63%
EBIT Next Year31.23%
EBIT Next 3Y13.67%
EBIT Next 5Y11.09%
FCF growth 1Y133.51%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y73.33%
OCF growth 3YN/A
OCF growth 5YN/A