SANOFI (SAN.PA) Stock Fundamental Analysis
Europe - Euronext Paris - EPA:SAN - FR0000120578 - Common Stock
86.78 EUR
+0.39 (+0.45%)
We assign a fundamental rating of 6 out of 10 to SAN. SAN was compared to 55 industry peers in the Pharmaceuticals industry. SAN scores excellent on profitability, but there are some minor concerns on its financial health. SAN has a decent growth rate and is not valued too expensively. SAN also has an excellent dividend rating. These ratings would make SAN suitable for dividend investing!
1. Profitability
1.1 Basic Checks
SAN had positive earnings in the past year.
In the past year SAN had a positive cash flow from operations.
Each year in the past 5 years SAN has been profitable.
Each year in the past 5 years SAN had a positive operating cash flow.
1.2 Ratios
SAN has a Return On Assets of 11.05%. This is in the better half of the industry: SAN outperforms 74.55% of its industry peers.
SAN has a better Return On Equity (19.73%) than 61.82% of its industry peers.
SAN has a Return On Invested Capital of 13.84%. This is in the better half of the industry: SAN outperforms 65.45% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for SAN is significantly below the industry average of 14.90%.
The last Return On Invested Capital (13.84%) for SAN is above the 3 year average (7.31%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 11.05% | ||
| ROE | 19.73% | ||
| ROIC | 13.84% |
ROA(3y)5.02%
ROA(5y)6.2%
ROE(3y)8.55%
ROE(5y)10.84%
ROIC(3y)7.31%
ROIC(5y)7.07%
1.3 Margins
Looking at the Profit Margin, with a value of 20.35%, SAN is in the better half of the industry, outperforming 76.36% of the companies in the same industry.
In the last couple of years the Profit Margin of SAN has grown nicely.
SAN's Operating Margin of 23.59% is in line compared to the rest of the industry. SAN outperforms 54.55% of its industry peers.
In the last couple of years the Operating Margin of SAN has grown nicely.
SAN has a Gross Margin (71.70%) which is comparable to the rest of the industry.
SAN's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 23.59% | ||
| PM (TTM) | 20.35% | ||
| GM | 71.7% |
OM growth 3Y-2.73%
OM growth 5Y1.75%
PM growth 3Y-7.54%
PM growth 5Y11.4%
GM growth 3Y0.71%
GM growth 5Y0.58%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) well above the Cost of Capital (WACC), SAN is creating value.
Compared to 1 year ago, SAN has about the same amount of shares outstanding.
Compared to 5 years ago, SAN has about the same amount of shares outstanding.
Compared to 1 year ago, SAN has an improved debt to assets ratio.
2.2 Solvency
The Debt to FCF ratio of SAN is 2.21, which is a good value as it means it would take SAN, 2.21 years of fcf income to pay off all of its debts.
SAN has a better Debt to FCF ratio (2.21) than 83.64% of its industry peers.
A Debt/Equity ratio of 0.21 indicates that SAN is not too dependend on debt financing.
With a decent Debt to Equity ratio value of 0.21, SAN is doing good in the industry, outperforming 74.55% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.21 | ||
| Debt/FCF | 2.21 | ||
| Altman-Z | N/A |
ROIC/WACC1.81
WACC7.65%
2.3 Liquidity
A Current Ratio of 1.27 indicates that SAN should not have too much problems paying its short term obligations.
With a Current ratio value of 1.27, SAN is not doing good in the industry: 60.00% of the companies in the same industry are doing better.
A Quick Ratio of 0.94 indicates that SAN may have some problems paying its short term obligations.
SAN has a Quick ratio (0.94) which is in line with its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.27 | ||
| Quick Ratio | 0.94 |
3. Growth
3.1 Past
The earnings per share for SAN have decreased by -5.35% in the last year.
Measured over the past 5 years, SAN shows a small growth in Earnings Per Share. The EPS has been growing by 5.10% on average per year.
The Revenue has been growing slightly by 2.56% in the past year.
The Revenue has been growing slightly by 3.31% on average over the past years.
EPS 1Y (TTM)-5.35%
EPS 3Y5.45%
EPS 5Y5.1%
EPS Q2Q%1.75%
Revenue 1Y (TTM)2.56%
Revenue growth 3Y4.17%
Revenue growth 5Y3.31%
Sales Q2Q%-7.47%
3.2 Future
The Earnings Per Share is expected to grow by 7.06% on average over the next years.
Based on estimates for the next years, SAN will show a small growth in Revenue. The Revenue will grow by 4.52% on average per year.
EPS Next Y3.07%
EPS Next 2Y5.75%
EPS Next 3Y6.01%
EPS Next 5Y7.06%
Revenue Next Year0.53%
Revenue Next 2Y3.48%
Revenue Next 3Y4.4%
Revenue Next 5Y4.52%
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
The Price/Earnings ratio is 11.42, which indicates a very decent valuation of SAN.
81.82% of the companies in the same industry are more expensive than SAN, based on the Price/Earnings ratio.
SAN is valuated cheaply when we compare the Price/Earnings ratio to 25.98, which is the current average of the S&P500 Index.
Based on the Price/Forward Earnings ratio of 10.10, the valuation of SAN can be described as reasonable.
Compared to the rest of the industry, the Price/Forward Earnings ratio of SAN indicates a somewhat cheap valuation: SAN is cheaper than 78.18% of the companies listed in the same industry.
SAN is valuated cheaply when we compare the Price/Forward Earnings ratio to 35.79, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.42 | ||
| Fwd PE | 10.1 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of SAN is on the same level as its industry peers.
SAN's Price/Free Cash Flow ratio is in line with the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 20.99 | ||
| EV/EBITDA | 11.09 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates SAN does not grow enough to justify the current Price/Earnings ratio.
SAN has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)3.72
PEG (5Y)2.24
EPS Next 2Y5.75%
EPS Next 3Y6.01%
5. Dividend
5.1 Amount
SAN has a Yearly Dividend Yield of 4.59%, which is a nice return.
SAN's Dividend Yield is rather good when compared to the industry average which is at 3.00. SAN pays more dividend than 85.45% of the companies in the same industry.
SAN's Dividend Yield is rather good when compared to the S&P500 average which is at 2.41.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.59% |
5.2 History
The dividend of SAN has a limited annual growth rate of 4.30%.
Dividend Growth(5Y)4.3%
Div Incr Years6
Div Non Decr Years6
5.3 Sustainability
34.82% of the earnings are spent on dividend by SAN. This is a low number and sustainable payout ratio.
SAN's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP34.82%
EPS Next 2Y5.75%
EPS Next 3Y6.01%
EPA:SAN (11/26/2025, 12:54:10 PM)
86.78
+0.39 (+0.45%)
Chartmill FA Rating
GICS SectorHealth Care
GICS IndustryGroupPharmaceuticals, Biotechnology & Life Sciences
GICS IndustryPharmaceuticals
Earnings (Last)
Earnings (Next)
Inst Owners47.5%
Inst Owner ChangeN/A
Ins Owners0.01%
Ins Owner ChangeN/A
Market Cap211.39B
Revenue(TTM)66.91B
Net Income(TTM)13.81B
Analysts81.38
Price Target108.56 (25.1%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.59% |
Yearly Dividend3.79
Dividend Growth(5Y)4.3%
DP34.82%
Div Incr Years6
Div Non Decr Years6
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)1.86%
Min EPS beat(2)-2.29%
Max EPS beat(2)6.02%
EPS beat(4)2
Avg EPS beat(4)4.01%
Min EPS beat(4)-2.29%
Max EPS beat(4)14.5%
EPS beat(8)4
Avg EPS beat(8)2.17%
EPS beat(12)7
Avg EPS beat(12)2.71%
EPS beat(16)11
Avg EPS beat(16)3.44%
Revenue beat(2)0
Avg Revenue beat(2)-0.96%
Min Revenue beat(2)-1.3%
Max Revenue beat(2)-0.63%
Revenue beat(4)1
Avg Revenue beat(4)-0.71%
Min Revenue beat(4)-4.57%
Max Revenue beat(4)3.66%
Revenue beat(8)2
Avg Revenue beat(8)-1.12%
Revenue beat(12)5
Avg Revenue beat(12)9.77%
Revenue beat(16)9
Avg Revenue beat(16)21.47%
PT rev (1m)-1.01%
PT rev (3m)-1.09%
EPS NQ rev (1m)-0.28%
EPS NQ rev (3m)-4.14%
EPS NY rev (1m)-1.01%
EPS NY rev (3m)-0.81%
Revenue NQ rev (1m)-0.18%
Revenue NQ rev (3m)-1.69%
Revenue NY rev (1m)0.96%
Revenue NY rev (3m)0.35%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.42 | ||
| Fwd PE | 10.1 | ||
| P/S | 3.11 | ||
| P/FCF | 20.99 | ||
| P/OCF | 18.58 | ||
| P/B | 3.02 | ||
| P/tB | 22.75 | ||
| EV/EBITDA | 11.09 |
EPS(TTM)7.6
EY8.76%
EPS(NY)8.59
Fwd EY9.9%
FCF(TTM)4.13
FCFY4.76%
OCF(TTM)4.67
OCFY5.38%
SpS27.87
BVpS28.74
TBVpS3.82
PEG (NY)3.72
PEG (5Y)2.24
Graham Number70.1
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 11.05% | ||
| ROE | 19.73% | ||
| ROCE | 16.7% | ||
| ROIC | 13.84% | ||
| ROICexc | 16.48% | ||
| ROICexgc | 66.95% | ||
| OM | 23.59% | ||
| PM (TTM) | 20.35% | ||
| GM | 71.7% | ||
| FCFM | 14.83% |
ROA(3y)5.02%
ROA(5y)6.2%
ROE(3y)8.55%
ROE(5y)10.84%
ROIC(3y)7.31%
ROIC(5y)7.07%
ROICexc(3y)8.13%
ROICexc(5y)7.97%
ROICexgc(3y)35.39%
ROICexgc(5y)35.54%
ROCE(3y)8.84%
ROCE(5y)8.55%
ROICexgc growth 3Y-13.63%
ROICexgc growth 5Y-1.43%
ROICexc growth 3Y-1.55%
ROICexc growth 5Y2.05%
OM growth 3Y-2.73%
OM growth 5Y1.75%
PM growth 3Y-7.54%
PM growth 5Y11.4%
GM growth 3Y0.71%
GM growth 5Y0.58%
F-Score7
Asset Turnover0.54
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.21 | ||
| Debt/FCF | 2.21 | ||
| Debt/EBITDA | 0.75 | ||
| Cap/Depr | N/A | ||
| Cap/Sales | N/A | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 58.05% | ||
| Profit Quality | 72.91% | ||
| Current Ratio | 1.27 | ||
| Quick Ratio | 0.94 | ||
| Altman-Z | N/A |
F-Score7
WACC7.65%
ROIC/WACC1.81
Cap/Depr(3y)73.02%
Cap/Depr(5y)67.36%
Cap/Sales(3y)6.35%
Cap/Sales(5y)5.97%
Profit Quality(3y)113.82%
Profit Quality(5y)104.22%
High Growth Momentum
Growth
EPS 1Y (TTM)-5.35%
EPS 3Y5.45%
EPS 5Y5.1%
EPS Q2Q%1.75%
EPS Next Y3.07%
EPS Next 2Y5.75%
EPS Next 3Y6.01%
EPS Next 5Y7.06%
Revenue 1Y (TTM)2.56%
Revenue growth 3Y4.17%
Revenue growth 5Y3.31%
Sales Q2Q%-7.47%
Revenue Next Year0.53%
Revenue Next 2Y3.48%
Revenue Next 3Y4.4%
Revenue Next 5Y4.52%
EBIT growth 1Y15.64%
EBIT growth 3Y1.33%
EBIT growth 5Y5.12%
EBIT Next Year30.73%
EBIT Next 3Y13.89%
EBIT Next 5Y11.66%
FCF growth 1Y24.23%
FCF growth 3Y-11.46%
FCF growth 5Y-0.14%
OCF growth 1Y10.87%
OCF growth 3Y-4.79%
OCF growth 5Y3.31%
SANOFI / SAN.PA FAQ
Can you provide the ChartMill fundamental rating for SANOFI?
ChartMill assigns a fundamental rating of 6 / 10 to SAN.PA.
What is the valuation status for SAN stock?
ChartMill assigns a valuation rating of 6 / 10 to SANOFI (SAN.PA). This can be considered as Fairly Valued.
What is the profitability of SAN stock?
SANOFI (SAN.PA) has a profitability rating of 7 / 10.
What is the expected EPS growth for SANOFI (SAN.PA) stock?
The Earnings per Share (EPS) of SANOFI (SAN.PA) is expected to grow by 3.07% in the next year.
How sustainable is the dividend of SANOFI (SAN.PA) stock?
The dividend rating of SANOFI (SAN.PA) is 8 / 10 and the dividend payout ratio is 34.82%.