SANOFI (SAN.PA) Stock Fundamental Analysis
EPA:SAN - Euronext Paris - Matif - FR0000120578 - Common Stock - Currency: EUR
Overall SAN gets a fundamental rating of 5 out of 10. We evaluated SAN against 50 industry peers in the Pharmaceuticals industry. SAN has an average financial health and profitability rating. SAN has a decent growth rate and is not valued too expensively. Finally SAN also has an excellent dividend rating.
1. Profitability
1.1 Basic Checks
In the past year SAN was profitable.
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
The Return On Assets of SAN (7.77%) is better than 64.00% of its industry peers.
SAN's Return On Equity of 13.83% is in line compared to the rest of the industry. SAN outperforms 60.00% of its industry peers.
SAN has a better Return On Invested Capital (13.31%) than 72.00% of its industry peers.
The Average Return On Invested Capital over the past 3 years for SAN is significantly below the industry average of 14.75%.
The last Return On Invested Capital (13.31%) for SAN is above the 3 year average (7.31%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 7.77% | ||
| ROE | 13.83% | ||
| ROIC | 13.31% |
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
SAN has a Profit Margin of 14.84%. This is in the better half of the industry: SAN outperforms 68.00% of its industry peers.
SAN's Profit Margin has improved in the last couple of years.
Looking at the Operating Margin, with a value of 23.19%, SAN is in line with its industry, outperforming 60.00% of the companies in the same industry.
SAN's Operating Margin has improved in the last couple of years.
SAN's Gross Margin of 70.78% is in line compared to the rest of the industry. SAN outperforms 50.00% of its industry peers.
SAN's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 23.19% | ||
| PM (TTM) | 14.84% | ||
| GM | 70.78% |
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) just above the Cost of Capital (WACC), SAN is creating some 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.
SAN has a better debt/assets ratio than last year.
2.2 Solvency
SAN has a debt to FCF ratio of 2.72. This is a good value and a sign of high solvency as SAN would need 2.72 years to pay back of all of its debts.
Looking at the Debt to FCF ratio, with a value of 2.72, SAN is in the better half of the industry, outperforming 74.00% of the companies in the same industry.
A Debt/Equity ratio of 0.18 indicates that SAN is not too dependend on debt financing.
With a decent Debt to Equity ratio value of 0.18, SAN is doing good in the industry, outperforming 72.00% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.18 | ||
| Debt/FCF | 2.72 | ||
| Altman-Z | N/A |
ROIC/WACC1.78
WACC7.47%
2.3 Liquidity
A Current Ratio of 1.37 indicates that SAN should not have too much problems paying its short term obligations.
With a Current ratio value of 1.37, SAN perfoms like the industry average, outperforming 48.00% of the companies in the same industry.
A Quick Ratio of 0.69 indicates that SAN may have some problems paying its short term obligations.
With a Quick ratio value of 0.69, SAN is not doing good in the industry: 78.00% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.37 | ||
| Quick Ratio | 0.69 |
3. Growth
3.1 Past
The earnings per share for SAN have decreased by -0.52% 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.
Looking at the last year, SAN shows a small growth in Revenue. The Revenue has grown by 5.52% in the last year.
The Revenue has been growing slightly by 3.31% on average over the past years.
EPS 1Y (TTM)-0.52%
EPS 3Y5.45%
EPS 5Y5.1%
EPS Q2Q%0.56%
Revenue 1Y (TTM)5.52%
Revenue growth 3Y4.17%
Revenue growth 5Y3.31%
Sales Q2Q%-5.44%
3.2 Future
Based on estimates for the next years, SAN will show a small growth in Earnings Per Share. The EPS will grow by 7.73% on average per year.
Based on estimates for the next years, SAN will show a small growth in Revenue. The Revenue will grow by 4.59% on average per year.
EPS Next Y8.37%
EPS Next 2Y9.02%
EPS Next 3Y8.18%
EPS Next 5Y7.73%
Revenue Next Year1.53%
Revenue Next 2Y4.25%
Revenue Next 3Y4.83%
Revenue Next 5Y4.59%
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 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 10.69, which indicates a very decent valuation of SAN.
Based on the Price/Earnings ratio, SAN is valued a bit cheaper than 74.00% of the companies in the same industry.
Compared to an average S&P500 Price/Earnings ratio of 27.15, SAN is valued rather cheaply.
SAN is valuated reasonably with a Price/Forward Earnings ratio of 9.01.
Compared to the rest of the industry, the Price/Forward Earnings ratio of SAN indicates a somewhat cheap valuation: SAN is cheaper than 78.00% of the companies listed in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 21.60. SAN is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.69 | ||
| Fwd PE | 9.01 |
4.2 Price Multiples
SAN's Enterprise Value to EBITDA ratio is in line with the industry average.
The rest of the industry has a similar Price/Free Cash Flow ratio as SAN.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 25.86 | ||
| EV/EBITDA | 10.91 |
4.3 Compensation for Growth
SAN's PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
SAN has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)1.28
PEG (5Y)2.1
EPS Next 2Y9.02%
EPS Next 3Y8.18%
5. Dividend
5.1 Amount
SAN has a Yearly Dividend Yield of 4.76%, which is a nice return.
Compared to an average industry Dividend Yield of 3.03, SAN pays a better dividend. On top of this SAN pays more dividend than 84.00% 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 2.42.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.76% |
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 46.28% of its income as dividend. This is a bit on the high side, but may be sustainable.
SAN's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP46.28%
EPS Next 2Y9.02%
EPS Next 3Y8.18%
EPA:SAN (6/30/2025, 7:00:00 PM)
82.21
-0.28 (-0.34%)
Chartmill FA Rating
GICS SectorHealth Care
GICS IndustryGroupPharmaceuticals, Biotechnology & Life Sciences
GICS IndustryPharmaceuticals
Earnings (Last)
Earnings (Next)
Inst Owners40.34%
Inst Owner ChangeN/A
Ins Owners0.01%
Ins Owner ChangeN/A
Market Cap200.07B
Analysts81.38
Price Target115.94 (41.03%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.76% |
Yearly Dividend3.79
Dividend Growth(5Y)4.3%
DP46.28%
Div Incr Years6
Div Non Decr Years6
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)1.92%
Min EPS beat(2)-2.18%
Max EPS beat(2)6.02%
EPS beat(4)3
Avg EPS beat(4)5.51%
Min EPS beat(4)-2.18%
Max EPS beat(4)14.5%
EPS beat(8)5
Avg EPS beat(8)2.86%
EPS beat(12)8
Avg EPS beat(12)3.25%
EPS beat(16)12
Avg EPS beat(16)3.85%
Revenue beat(2)0
Avg Revenue beat(2)-2.93%
Min Revenue beat(2)-4.57%
Max Revenue beat(2)-1.3%
Revenue beat(4)2
Avg Revenue beat(4)-0.12%
Min Revenue beat(4)-4.57%
Max Revenue beat(4)3.66%
Revenue beat(8)2
Avg Revenue beat(8)-1.47%
Revenue beat(12)6
Avg Revenue beat(12)19.07%
Revenue beat(16)10
Avg Revenue beat(16)28.26%
PT rev (1m)-2.42%
PT rev (3m)-2.26%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-6.01%
EPS NY rev (1m)0%
EPS NY rev (3m)0.2%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-3.41%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-3.29%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.69 | ||
| Fwd PE | 9.01 | ||
| P/S | 2.9 | ||
| P/FCF | 25.86 | ||
| P/OCF | 18.3 | ||
| P/B | 2.7 | ||
| P/tB | 19.49 | ||
| EV/EBITDA | 10.91 |
EPS(TTM)7.69
EY9.35%
EPS(NY)9.13
Fwd EY11.1%
FCF(TTM)3.18
FCFY3.87%
OCF(TTM)4.49
OCFY5.46%
SpS28.37
BVpS30.44
TBVpS4.22
PEG (NY)1.28
PEG (5Y)2.1
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 7.77% | ||
| ROE | 13.83% | ||
| ROCE | 16.06% | ||
| ROIC | 13.31% | ||
| ROICexc | 14.47% | ||
| ROICexgc | 47.61% | ||
| OM | 23.19% | ||
| PM (TTM) | 14.84% | ||
| GM | 70.78% | ||
| FCFM | 11.2% |
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%
ROICexcg growth 3Y-13.63%
ROICexcg 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-ScoreN/A
Asset Turnover0.52
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.18 | ||
| Debt/FCF | 2.72 | ||
| Debt/EBITDA | 0.68 | ||
| Cap/Depr | N/A | ||
| Cap/Sales | N/A | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 55.78% | ||
| Profit Quality | 75.5% | ||
| Current Ratio | 1.37 | ||
| Quick Ratio | 0.69 | ||
| Altman-Z | N/A |
F-ScoreN/A
WACC7.47%
ROIC/WACC1.78
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)-0.52%
EPS 3Y5.45%
EPS 5Y5.1%
EPS Q2Q%0.56%
EPS Next Y8.37%
EPS Next 2Y9.02%
EPS Next 3Y8.18%
EPS Next 5Y7.73%
Revenue 1Y (TTM)5.52%
Revenue growth 3Y4.17%
Revenue growth 5Y3.31%
Sales Q2Q%-5.44%
Revenue Next Year1.53%
Revenue Next 2Y4.25%
Revenue Next 3Y4.83%
Revenue Next 5Y4.59%
EBIT growth 1Y7.75%
EBIT growth 3Y1.33%
EBIT growth 5Y5.12%
EBIT Next Year34.08%
EBIT Next 3Y14.6%
EBIT Next 5Y10.46%
FCF growth 1Y-19.94%
FCF growth 3Y-11.46%
FCF growth 5Y-0.14%
OCF growth 1Y-11.47%
OCF growth 3Y-4.79%
OCF growth 5Y3.31%