SANOFI (SAN.PA) Stock Fundamental Analysis
Europe • Euronext Paris • EPA:SAN • FR0000120578
80.375 EUR
+1.17 (+1.48%)
Last: Feb 2, 2026, 01:46 PM
Overall SAN gets a fundamental rating of 5 out of 10. We evaluated SAN against 55 industry peers in the Pharmaceuticals industry. There are concerns on the financial health of SAN while its profitability can be described as average. SAN has a decent growth rate and is not valued too expensively. SAN also has an excellent dividend rating.
1. Profitability
1.1 Basic Checks
- In the past year SAN was profitable.
- In the past 5 years SAN has always been profitable.
- SAN had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
- SAN has a Return On Assets of 10.63%. This is in the better half of the industry: SAN outperforms 76.36% of its industry peers.
- Looking at the Return On Equity, with a value of 18.84%, SAN is in the better half of the industry, outperforming 61.82% of the companies in the same industry.
- Looking at the Return On Invested Capital, with a value of 13.35%, SAN is in the better half of the industry, outperforming 65.45% of the companies in the same industry.
- The Average Return On Invested Capital over the past 3 years for SAN is significantly below the industry average of 14.23%.
- The last Return On Invested Capital (13.35%) for SAN is above the 3 year average (7.41%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 10.63% | ||
| ROE | 18.84% | ||
| ROIC | 13.35% |
ROA(3y)4.87%
ROA(5y)5.28%
ROE(3y)8.47%
ROE(5y)9.13%
ROIC(3y)7.41%
ROIC(5y)7.45%
1.3 Margins
- SAN has a better Profit Margin (20.63%) than 80.00% of its industry peers.
- In the last couple of years the Profit Margin of SAN has declined.
- Looking at the Operating Margin, with a value of 23.61%, SAN is in line with its industry, outperforming 56.36% of the companies in the same industry.
- SAN's Operating Margin has improved in the last couple of years.
- SAN has a Gross Margin (72.29%) which is comparable to the rest of the industry.
- In the last couple of years the Gross Margin of SAN has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 23.61% | ||
| PM (TTM) | 20.63% | ||
| GM | 72.29% |
OM growth 3Y-0.84%
OM growth 5Y1.78%
PM growth 3Y-3.21%
PM growth 5Y-12.66%
GM growth 3Y1.06%
GM growth 5Y1.33%
2. Health
2.1 Basic Checks
- With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), SAN is creating some value.
- The number of shares outstanding for SAN has been reduced compared to 1 year ago.
- The number of shares outstanding for SAN has been reduced compared to 5 years ago.
- Compared to 1 year ago, SAN has a worse debt to assets ratio.
2.2 Solvency
- SAN has a Debt/Equity ratio of 0.18. This is a healthy value indicating a solid balance between debt and equity.
- The Debt to Equity ratio of SAN (0.18) is better than 78.18% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.18 | ||
| Debt/FCF | N/A | ||
| Altman-Z | N/A |
ROIC/WACC1.71
WACC7.79%
2.3 Liquidity
- SAN has a Current Ratio of 1.06. This is a normal value and indicates that SAN is financially healthy and should not expect problems in meeting its short term obligations.
- With a Current ratio value of 1.06, SAN is not doing good in the industry: 72.73% of the companies in the same industry are doing better.
- A Quick Ratio of 0.30 indicates that SAN may have some problems paying its short term obligations.
- With a Quick ratio value of 0.30, SAN is not doing good in the industry: 89.09% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.06 | ||
| Quick Ratio | 0.3 |
3. Growth
3.1 Past
- SAN shows a slight negative growth in Earnings Per Share. In the last year, the EPS has decreased by -8.39%.
- SAN shows a small growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 3.37% yearly.
- The Revenue has been growing slightly by 5.49% in the past year.
- The Revenue has been growing slightly by 4.57% on average over the past years.
EPS 1Y (TTM)-8.39%
EPS 3Y-5.17%
EPS 5Y3.37%
EPS Q2Q%-43.11%
Revenue 1Y (TTM)5.49%
Revenue growth 3Y0.97%
Revenue growth 5Y4.57%
Sales Q2Q%4.2%
3.2 Future
- Based on estimates for the next years, SAN will show a quite strong growth in Earnings Per Share. The EPS will grow by 11.19% on average per year.
- SAN is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 5.52% yearly.
EPS Next Y20.15%
EPS Next 2Y12.73%
EPS Next 3Y12.69%
EPS Next 5Y11.19%
Revenue Next Year6.49%
Revenue Next 2Y6.66%
Revenue Next 3Y5.93%
Revenue Next 5Y5.52%
3.3 Evolution
- The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
- 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
- With a Price/Earnings ratio of 11.42, the valuation of SAN can be described as very reasonable.
- SAN's Price/Earnings ratio is rather cheap when compared to the industry. SAN is cheaper than 85.45% of the companies in the same industry.
- The average S&P500 Price/Earnings ratio is at 28.32. SAN is valued rather cheaply when compared to this.
- A Price/Forward Earnings ratio of 9.51 indicates a reasonable valuation of SAN.
- Based on the Price/Forward Earnings ratio, SAN is valued cheaply inside the industry as 85.45% of the companies are valued more expensively.
- Compared to an average S&P500 Price/Forward Earnings ratio of 25.57, SAN is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.42 | ||
| Fwd PE | 9.51 |
4.2 Price Multiples
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | N/A |
4.3 Compensation for Growth
- SAN's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
- The decent profitability rating of SAN may justify a higher PE ratio.
- SAN's earnings are expected to grow with 12.69% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.57
PEG (5Y)3.38
EPS Next 2Y12.73%
EPS Next 3Y12.69%
5. Dividend
5.1 Amount
- With a Yearly Dividend Yield of 5.35%, SAN is a good candidate for dividend investing.
- Compared to an average industry Dividend Yield of 1.95, SAN pays a better dividend. On top of this SAN pays more dividend than 94.55% of the companies listed in the same industry.
- SAN's Dividend Yield is rather good when compared to the S&P500 average which is at 1.83.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.35% |
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
- SAN pays out 34.36% of its income as dividend. This is a sustainable payout ratio.
- SAN's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP34.36%
EPS Next 2Y12.73%
EPS Next 3Y12.69%
SANOFI / SAN.PA FAQ
Can you provide the ChartMill fundamental rating for SANOFI?
ChartMill assigns a fundamental rating of 5 / 10 to SAN.PA.
Can you provide the valuation status for SANOFI?
ChartMill assigns a valuation rating of 6 / 10 to SANOFI (SAN.PA). This can be considered as Fairly Valued.
Can you provide the profitability details for SANOFI?
SANOFI (SAN.PA) has a profitability rating of 6 / 10.
What is the valuation of SANOFI based on its PE and PB ratios?
The Price/Earnings (PE) ratio for SANOFI (SAN.PA) is 11.42 and the Price/Book (PB) ratio is 2.65.
How financially healthy is SANOFI?
The financial health rating of SANOFI (SAN.PA) is 3 / 10.