SAFRAN SA (SEJ1.DE) Stock Fundamental Analysis
FRA:SEJ1 - Deutsche Boerse Ag - FR0000073272 - Common Stock - Currency: EUR
Taking everything into account, SEJ1 scores 4 out of 10 in our fundamental rating. SEJ1 was compared to 38 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. SEJ1 is quite expensive at the moment. It does show a decent growth rate.
1. Profitability
1.1 Basic Checks
SEJ1 had negative earnings in the past year.
SEJ1 had a positive operating cash flow in the past year.
In multiple years SEJ1 reported negative net income over the last 5 years.
In the past 5 years SEJ1 always reported a positive cash flow from operatings.
1.2 Ratios
SEJ1 has a Return On Assets (3.09%) which is in line with its industry peers.
SEJ1 has a Return On Equity of 14.60%. This is comparable to the rest of the industry: SEJ1 outperforms 57.89% of its industry peers.
The Return On Invested Capital of SEJ1 (13.97%) is better than 89.47% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.09% | ||
| ROE | 14.6% | ||
| ROIC | 13.97% |
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 SEJ1 (6.37%) is comparable to the rest of the industry.
SEJ1's Operating Margin of 14.32% is amongst the best of the industry. SEJ1 outperforms 84.21% of its industry peers.
SEJ1's Operating Margin has been stable in the last couple of years.
SEJ1 has a better Gross Margin (51.59%) than 76.32% of its industry peers.
SEJ1's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 14.32% | ||
| PM (TTM) | 6.37% | ||
| GM | 51.59% |
OM growth 3Y23.2%
OM growth 5Y-0.26%
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 just above the Cost of Capital (WACC), which means it is creating some value.
SEJ1 has no outstanding debt. Therefor its Debt/Equity and Debt/FCF ratios are 0 and belong to the best of the industry.
2.2 Solvency
SEJ1 has an Altman-Z score of 2.35. 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.
Looking at the Altman-Z score, with a value of 2.35, SEJ1 is in the better half of the industry, outperforming 60.53% of the companies in the same industry.
The Debt to FCF ratio of SEJ1 is 1.63, which is an excellent value as it means it would take SEJ1, only 1.63 years of fcf income to pay off all of its debts.
SEJ1 has a better Debt to FCF ratio (1.63) than 92.11% of its industry peers.
A Debt/Equity ratio of 0.42 indicates that SEJ1 is not too dependend on debt financing.
Looking at the Debt to Equity ratio, with a value of 0.42, SEJ1 is in the better half of the industry, outperforming 76.32% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.42 | ||
| Debt/FCF | 1.63 | ||
| Altman-Z | 2.35 |
ROIC/WACC1.75
WACC7.99%
2.3 Liquidity
A Current Ratio of 0.88 indicates that SEJ1 may have some problems paying its short term obligations.
Looking at the Current ratio, with a value of 0.88, SEJ1 is doing worse than 78.95% of the companies in the same industry.
A Quick Ratio of 0.61 indicates that SEJ1 may have some problems paying its short term obligations.
Looking at the Quick ratio, with a value of 0.61, SEJ1 is in line with its industry, outperforming 42.11% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.88 | ||
| Quick Ratio | 0.61 |
3. Growth
3.1 Past
The earnings per share for SEJ1 have decreased strongly by -117.89% in the last year.
SEJ1 shows a strong growth in Revenue. In the last year, the Revenue has grown by 73.02%.
Measured over the past years, SEJ1 shows a small growth in Revenue. The Revenue has been growing by 2.00% on average per year.
EPS 1Y (TTM)-117.89%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%-140.68%
Revenue 1Y (TTM)73.02%
Revenue growth 3Y22.35%
Revenue growth 5Y2%
Sales Q2Q%126.18%
3.2 Future
The Earnings Per Share is expected to grow by 14.35% on average over the next years. This is quite good.
Based on estimates for the next years, SEJ1 will show a quite strong growth in Revenue. The Revenue will grow by 9.42% on average per year.
EPS Next Y19.05%
EPS Next 2Y20.78%
EPS Next 3Y17.86%
EPS Next 5Y14.35%
Revenue Next Year15.64%
Revenue Next 2Y13.32%
Revenue Next 3Y11.1%
Revenue Next 5Y9.42%
3.3 Evolution
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
SEJ1 reported negative earnings for the last year, which makes the Price/Earnings Ratio negative.
With a Price/Forward Earnings ratio of 30.68, SEJ1 can be considered very expensive at the moment.
The rest of the industry has a similar Price/Forward Earnings ratio as SEJ1.
Compared to an average S&P500 Price/Forward Earnings ratio of 22.10, SEJ1 is valued a bit more expensive.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | 30.68 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of SEJ1 is on the same level as its industry peers.
Based on the Price/Free Cash Flow ratio, SEJ1 is valued a bit cheaper than 65.79% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 34.25 | ||
| EV/EBITDA | 20.78 |
4.3 Compensation for Growth
The PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
A more expensive valuation may be justified as SEJ1's earnings are expected to grow with 17.86% in the coming years.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y20.78%
EPS Next 3Y17.86%
5. Dividend
5.1 Amount
SEJ1 has a yearly dividend return of 0.85%, which is pretty low.
Compared to an average industry Dividend Yield of 1.22, SEJ1 pays a bit more dividend than its industry peers.
With a Dividend Yield of 0.85, SEJ1 pays less dividend than the S&P500 average, which is at 2.33.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.85% |
5.2 History
The dividend of SEJ1 decreases each year by -3.97%.
Dividend Growth(5Y)-3.97%
Div Incr Years2
Div Non Decr Years2
5.3 Sustainability
55.62% of the earnings are spent on dividend by SEJ1. This is a bit on the high side, but may be sustainable.
DP55.62%
EPS Next 2Y20.78%
EPS Next 3Y17.86%
FRA:SEJ1 (3/7/2025, 7:00:00 PM)
252
-6.9 (-2.67%)
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 Cap106.75B
Analysts76
Price Target262.55 (4.19%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.85% |
Yearly Dividend1.35
Dividend Growth(5Y)-3.97%
DP55.62%
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)5.94%
PT rev (3m)10.25%
EPS NQ rev (1m)N/A
EPS NQ rev (3m)N/A
EPS NY rev (1m)0.03%
EPS NY rev (3m)-0.7%
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)0.66%
Revenue NY rev (3m)0.31%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | 30.68 | ||
| P/S | 4.15 | ||
| P/FCF | 34.25 | ||
| P/OCF | 24.11 | ||
| P/B | 9.52 | ||
| P/tB | N/A | ||
| EV/EBITDA | 20.78 |
EPS(TTM)-1.47
EYN/A
EPS(NY)8.22
Fwd EY3.26%
FCF(TTM)7.36
FCFY2.92%
OCF(TTM)10.45
OCFY4.15%
SpS60.73
BVpS26.48
TBVpS-3.39
PEG (NY)N/A
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.09% | ||
| ROE | 14.6% | ||
| ROCE | 19.49% | ||
| ROIC | 13.97% | ||
| ROICexc | 20.06% | ||
| ROICexgc | 292.79% | ||
| OM | 14.32% | ||
| PM (TTM) | 6.37% | ||
| GM | 51.59% | ||
| FCFM | 12.12% |
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 3Y23.2%
OM growth 5Y-0.26%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-0.28%
GM growth 5Y0.81%
F-Score7
Asset Turnover0.49
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.42 | ||
| Debt/FCF | 1.63 | ||
| Debt/EBITDA | 0.93 | ||
| Cap/Depr | 95.27% | ||
| Cap/Sales | 5.09% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 87.52% | ||
| Profit Quality | 190.29% | ||
| Current Ratio | 0.88 | ||
| Quick Ratio | 0.61 | ||
| Altman-Z | 2.35 |
F-Score7
WACC7.99%
ROIC/WACC1.75
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)-117.89%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%-140.68%
EPS Next Y19.05%
EPS Next 2Y20.78%
EPS Next 3Y17.86%
EPS Next 5Y14.35%
Revenue 1Y (TTM)73.02%
Revenue growth 3Y22.35%
Revenue growth 5Y2%
Sales Q2Q%126.18%
Revenue Next Year15.64%
Revenue Next 2Y13.32%
Revenue Next 3Y11.1%
Revenue Next 5Y9.42%
EBIT growth 1Y20.6%
EBIT growth 3Y50.74%
EBIT growth 5Y1.74%
EBIT Next Year49.08%
EBIT Next 3Y22.41%
EBIT Next 5Y18.49%
FCF growth 1Y18.38%
FCF growth 3Y24.71%
FCF growth 5Y9.69%
OCF growth 1Y25.2%
OCF growth 3Y24.78%
OCF growth 5Y8.52%