SAFRAN SA (SEJ1.DE) Stock Fundamental Analysis
FRA:SEJ1 - Deutsche Boerse Ag - FR0000073272 - Common Stock - Currency: EUR
Taking everything into account, SEJ1 scores 5 out of 10 in our fundamental rating. SEJ1 was compared to 40 industry peers in the Aerospace & Defense industry. Both the profitability and the financial health of SEJ1 get a neutral evaluation. Nothing too spectacular is happening here. While showing a medium growth rate, SEJ1 is valued expensive at the moment.
1. Profitability
1.1 Basic Checks
In the past year SEJ1 was profitable.
SEJ1 had a positive operating cash flow in the past year.
The reported net income has been mixed in the past 5 years: SEJ1 reported negative net income in multiple years.
SEJ1 had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
SEJ1's Return On Assets of -1.21% is on the low side compared to the rest of the industry. SEJ1 is outperformed by 72.50% of its industry peers.
SEJ1's Return On Equity of -6.55% is on the low side compared to the rest of the industry. SEJ1 is outperformed by 70.00% of its industry peers.
SEJ1 has a better Return On Invested Capital (16.38%) than 95.00% of its industry peers.
The Average Return On Invested Capital over the past 3 years for SEJ1 is above the industry average of 8.80%.
The 3 year average ROIC (12.75%) for SEJ1 is below the current ROIC(16.38%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -1.21% | ||
| ROE | -6.55% | ||
| ROIC | 16.38% |
ROA(3y)0.12%
ROA(5y)0.27%
ROE(3y)-0.14%
ROE(5y)0.55%
ROIC(3y)12.75%
ROIC(5y)9.35%
1.3 Margins
SEJ1's Operating Margin of 14.48% is amongst the best of the industry. SEJ1 outperforms 92.50% of its industry peers.
SEJ1's Operating Margin has been stable in the last couple of years.
SEJ1 has a Gross Margin of 47.88%. This is in the better half of the industry: SEJ1 outperforms 80.00% of its industry peers.
SEJ1's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 14.48% | ||
| PM (TTM) | N/A | ||
| GM | 47.88% |
OM growth 3Y23.88%
OM growth 5Y0.08%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-0.28%
GM growth 5Y0.81%
2. Health
2.1 Basic Checks
SEJ1 has a Return on Invested Capital (ROIC), which is well above the Cost of Capital (WACC), which means it is creating value.
Compared to 1 year ago, SEJ1 has more shares outstanding
Compared to 5 years ago, SEJ1 has less shares outstanding
The debt/assets ratio for SEJ1 has been reduced compared to a year ago.
2.2 Solvency
SEJ1 has an Altman-Z score of 2.04. This is not the best score and indicates that SEJ1 is in the grey zone with still only limited risk for bankruptcy at the moment.
SEJ1 has a Altman-Z score (2.04) which is comparable to the rest of the industry.
SEJ1 has a debt to FCF ratio of 1.50. This is a very positive value and a sign of high solvency as it would only need 1.50 years to pay back of all of its debts.
SEJ1's Debt to FCF ratio of 1.50 is amongst the best of the industry. SEJ1 outperforms 90.00% of its industry peers.
SEJ1 has a Debt/Equity ratio of 0.46. This is a healthy value indicating a solid balance between debt and equity.
With a decent Debt to Equity ratio value of 0.46, SEJ1 is doing good in the industry, outperforming 77.50% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.46 | ||
| Debt/FCF | 1.5 | ||
| Altman-Z | 2.04 |
ROIC/WACC2.09
WACC7.84%
2.3 Liquidity
A Current Ratio of 0.84 indicates that SEJ1 may have some problems paying its short term obligations.
Looking at the Current ratio, with a value of 0.84, SEJ1 is doing worse than 80.00% of the companies in the same industry.
A Quick Ratio of 0.59 indicates that SEJ1 may have some problems paying its short term obligations.
The Quick ratio of SEJ1 (0.59) is worse than 70.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.84 | ||
| Quick Ratio | 0.59 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 55.11% over the past year.
Measured over the past 5 years, SEJ1 shows a small growth in Earnings Per Share. The EPS has been growing by 3.53% on average per year.
Looking at the last year, SEJ1 shows a quite strong growth in Revenue. The Revenue has grown by 17.19% in the last year.
SEJ1 shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 2.00% yearly.
EPS 1Y (TTM)55.11%
EPS 3Y61.52%
EPS 5Y3.53%
EPS Q2Q%74.78%
Revenue 1Y (TTM)17.19%
Revenue growth 3Y22.35%
Revenue growth 5Y2%
Sales Q2Q%16.45%
3.2 Future
Based on estimates for the next years, SEJ1 will show a quite strong growth in Earnings Per Share. The EPS will grow by 11.59% on average per year.
SEJ1 is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 9.08% yearly.
EPS Next Y9.69%
EPS Next 2Y17.96%
EPS Next 3Y16.36%
EPS Next 5Y11.59%
Revenue Next Year15.64%
Revenue Next 2Y13.32%
Revenue Next 3Y11.1%
Revenue Next 5Y9.08%
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
The Price/Earnings ratio is 30.30, which means the current valuation is very expensive for SEJ1.
65.00% of the companies in the same industry are more expensive than SEJ1, based on the Price/Earnings ratio.
SEJ1 is valuated at similar levels of the S&P average when we compare the Price/Earnings ratio to 28.92, which is the current average of the S&P500 Index.
The Price/Forward Earnings ratio is 27.63, which means the current valuation is very expensive for SEJ1.
SEJ1's Price/Forward Earnings ratio is in line with the industry average.
The average S&P500 Price/Forward Earnings ratio is at 21.65. SEJ1 is valued slightly more expensive when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 30.3 | ||
| Fwd PE | 27.63 |
4.2 Price Multiples
SEJ1's Enterprise Value to EBITDA ratio is in line with the industry average.
Based on the Price/Free Cash Flow ratio, SEJ1 is valued a bit cheaper than the industry average as 67.50% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 27.84 | ||
| EV/EBITDA | 16.81 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates SEJ1 does not grow enough to justify the current Price/Earnings ratio.
SEJ1's earnings are expected to grow with 16.36% in the coming years. This may justify a more expensive valuation.
PEG (NY)3.13
PEG (5Y)8.59
EPS Next 2Y17.96%
EPS Next 3Y16.36%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 1.37%, SEJ1 has a reasonable but not impressive dividend return.
Compared to an average industry Dividend Yield of 1.37, SEJ1 pays a bit more dividend than its industry peers.
Compared to an average S&P500 Dividend Yield of 2.51, SEJ1's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.37% |
5.2 History
The dividend of SEJ1 has a limited annual growth rate of 3.72%.
Dividend Growth(5Y)3.72%
Div Incr Years2
Div Non Decr Years2
5.3 Sustainability
SEJ1 has negative earnings and hence a negative payout ratio. The dividend may be in danger.
SEJ1's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP-136.58%
EPS Next 2Y17.96%
EPS Next 3Y16.36%
FRA:SEJ1 (4/24/2025, 7:00:00 PM)
220.9
+1.4 (+0.64%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryAerospace & Defense
Earnings (Last)
Earnings (Next)
Inst Owners40.36%
Inst Owner ChangeN/A
Ins Owners0.01%
Ins Owner ChangeN/A
Market Cap93.58B
Analysts77.5
Price Target272.74 (23.47%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.37% |
Yearly Dividend2.19
Dividend Growth(5Y)3.72%
DP-136.58%
Div Incr Years2
Div Non Decr Years2
Ex-DateN/A
Surprises & Revisions
EPS beat(2)N/A
Avg EPS beat(2)N/A
Min EPS beat(2)N/A
Max EPS beat(2)N/A
EPS beat(4)N/A
Avg EPS beat(4)N/A
Min EPS beat(4)N/A
Max EPS beat(4)N/A
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)N/A
Avg Revenue beat(2)N/A
Min Revenue beat(2)N/A
Max Revenue beat(2)N/A
Revenue beat(4)N/A
Avg Revenue beat(4)N/A
Min Revenue beat(4)N/A
Max Revenue beat(4)N/A
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)3.88%
PT rev (3m)13.29%
EPS NQ rev (1m)N/A
EPS NQ rev (3m)N/A
EPS NY rev (1m)-2.67%
EPS NY rev (3m)-3.35%
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)0%
Revenue NY rev (3m)0.8%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 30.3 | ||
| Fwd PE | 27.63 | ||
| P/S | 3.38 | ||
| P/FCF | 27.84 | ||
| P/OCF | 19.77 | ||
| P/B | 9.2 | ||
| P/tB | N/A | ||
| EV/EBITDA | 16.81 |
EPS(TTM)7.29
EY3.3%
EPS(NY)8
Fwd EY3.62%
FCF(TTM)7.93
FCFY3.59%
OCF(TTM)11.17
OCFY5.06%
SpS65.43
BVpS24.02
TBVpS-6.39
PEG (NY)3.13
PEG (5Y)8.59
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -1.21% | ||
| ROE | -6.55% | ||
| ROCE | 22.84% | ||
| ROIC | 16.38% | ||
| ROICexc | 26.1% | ||
| ROICexgc | N/A | ||
| OM | 14.48% | ||
| PM (TTM) | N/A | ||
| GM | 47.88% | ||
| FCFM | 12.13% |
ROA(3y)0.12%
ROA(5y)0.27%
ROE(3y)-0.14%
ROE(5y)0.55%
ROIC(3y)12.75%
ROIC(5y)9.35%
ROICexc(3y)19.92%
ROICexc(5y)14.09%
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)17.77%
ROCE(5y)13.1%
ROICexcg growth 3YN/A
ROICexcg growth 5YN/A
ROICexc growth 3Y74.31%
ROICexc growth 5Y13.81%
OM growth 3Y23.88%
OM growth 5Y0.08%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-0.28%
GM growth 5Y0.81%
F-Score6
Asset Turnover0.5
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.46 | ||
| Debt/FCF | 1.5 | ||
| Debt/EBITDA | 0.86 | ||
| Cap/Depr | 97.58% | ||
| Cap/Sales | 4.95% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 87.34% | ||
| Profit Quality | N/A | ||
| Current Ratio | 0.84 | ||
| Quick Ratio | 0.59 | ||
| Altman-Z | 2.04 |
F-Score6
WACC7.84%
ROIC/WACC2.09
Cap/Depr(3y)80.08%
Cap/Depr(5y)68.41%
Cap/Sales(3y)4.6%
Cap/Sales(5y)4.57%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)55.11%
EPS 3Y61.52%
EPS 5Y3.53%
EPS Q2Q%74.78%
EPS Next Y9.69%
EPS Next 2Y17.96%
EPS Next 3Y16.36%
EPS Next 5Y11.59%
Revenue 1Y (TTM)17.19%
Revenue growth 3Y22.35%
Revenue growth 5Y2%
Sales Q2Q%16.45%
Revenue Next Year15.64%
Revenue Next 2Y13.32%
Revenue Next 3Y11.1%
Revenue Next 5Y9.08%
EBIT growth 1Y22.2%
EBIT growth 3Y51.57%
EBIT growth 5Y2.08%
EBIT Next Year49.58%
EBIT Next 3Y22.95%
EBIT Next 5Y15.29%
FCF growth 1Y7.59%
FCF growth 3Y24.71%
FCF growth 5Y9.69%
OCF growth 1Y10.84%
OCF growth 3Y24.78%
OCF growth 5Y8.52%