SAFRAN SA (SEJ1.DE) Stock Fundamental Analysis
FRA:SEJ1 - Deutsche Boerse Ag - FR0000073272 - Common Stock - Currency: EUR
Overall SEJ1 gets a fundamental rating of 6 out of 10. We evaluated SEJ1 against 40 industry peers in the Aerospace & Defense industry. While SEJ1 has a great profitability rating, there are some minor concerns on its financial health. SEJ1 is showing excellent growth while it is valued at reasonable prices. Keep and eye on this one! These ratings could make SEJ1 a good candidate for growth investing.
1. Profitability
1.1 Basic Checks
In the past year SEJ1 was profitable.
SEJ1 had a positive operating cash flow in the past year.
Of the past 5 years SEJ1 4 years were profitable.
In the past 5 years SEJ1 always reported a positive cash flow from operatings.
1.2 Ratios
SEJ1's Return On Assets of 3.09% is in line compared to the rest of the industry. SEJ1 outperforms 56.76% of its industry peers.
SEJ1 has a Return On Equity (14.60%) which is in line with its industry peers.
SEJ1's Return On Invested Capital of 13.97% is amongst the best of the industry. SEJ1 outperforms 89.19% of its industry peers.
SEJ1 had an Average Return On Invested Capital over the past 3 years of 8.54%. This is in line with the industry average of 8.88%.
The 3 year average ROIC (8.54%) for SEJ1 is below the current ROIC(13.97%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.09% | ||
| ROE | 14.6% | ||
| ROIC | 13.97% |
ROA(3y)0.56%
ROA(5y)1.66%
ROE(3y)2.15%
ROE(5y)5.82%
ROIC(3y)8.54%
ROIC(5y)8.47%
1.3 Margins
Looking at the Profit Margin, with a value of 6.37%, SEJ1 is in the better half of the industry, outperforming 62.16% of the companies in the same industry.
In the last couple of years the Profit Margin of SEJ1 has grown nicely.
SEJ1 has a better Operating Margin (14.32%) than 91.89% of its industry peers.
In the last couple of years the Operating Margin of SEJ1 has grown nicely.
SEJ1's Gross Margin of 42.99% is fine compared to the rest of the industry. SEJ1 outperforms 70.27% of its industry peers.
SEJ1's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 14.32% | ||
| PM (TTM) | 6.37% | ||
| GM | 42.99% |
OM growth 3Y17.41%
OM growth 5Y7.35%
PM growth 3Y90.19%
PM growth 5Y19%
GM growth 3Y0.57%
GM growth 5Y1.7%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is well above the Cost of Capital (WACC), so SEJ1 is creating value.
Compared to 1 year ago, SEJ1 has less shares outstanding
SEJ1 has less shares outstanding than it did 5 years ago.
SEJ1 has a better debt/assets ratio than last year.
2.2 Solvency
An Altman-Z score of 2.28 indicates that SEJ1 is not a great score, but indicates only limited risk for bankruptcy at the moment.
With a Altman-Z score value of 2.28, SEJ1 perfoms like the industry average, outperforming 56.76% of the companies in the same industry.
SEJ1 has a debt to FCF ratio of 1.63. This is a very positive value and a sign of high solvency as it would only need 1.63 years to pay back of all of its debts.
With an excellent Debt to FCF ratio value of 1.63, SEJ1 belongs to the best of the industry, outperforming 94.59% of the companies in the same industry.
SEJ1 has a Debt/Equity ratio of 0.42. This is a healthy value indicating a solid balance between debt and equity.
Looking at the Debt to Equity ratio, with a value of 0.42, SEJ1 is in the better half of the industry, outperforming 78.38% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.42 | ||
| Debt/FCF | 1.63 | ||
| Altman-Z | 2.28 |
ROIC/WACC1.89
WACC7.4%
2.3 Liquidity
SEJ1 has a Current Ratio of 0.88. This is a bad value and indicates that SEJ1 is not financially healthy enough and could expect problems in meeting its short term obligations.
SEJ1 has a worse Current ratio (0.88) than 83.78% of its industry peers.
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 doing worse than 64.86% 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 has grown by an impressive 44.30% over the past year.
The Earnings Per Share has been growing slightly by 0.83% on average over the past years.
Looking at the last year, SEJ1 shows a quite strong growth in Revenue. The Revenue has grown by 17.06% in the last year.
The Revenue has been growing slightly by 2.38% on average over the past years.
EPS 1Y (TTM)44.3%
EPS 3Y34.77%
EPS 5Y0.83%
EPS Q2Q%36.25%
Revenue 1Y (TTM)17.06%
Revenue growth 3Y12.45%
Revenue growth 5Y2.38%
Sales Q2Q%19.21%
3.2 Future
Based on estimates for the next years, SEJ1 will show a very strong growth in Earnings Per Share. The EPS will grow by 20.21% on average per year.
The Revenue is expected to grow by 10.90% on average over the next years. This is quite good.
EPS Next Y44.96%
EPS Next 2Y32.19%
EPS Next 3Y28.08%
EPS Next 5Y20.21%
Revenue Next Year16.88%
Revenue Next 2Y15.94%
Revenue Next 3Y14.15%
Revenue Next 5Y10.9%
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.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 43.00, which means the current valuation is very expensive for SEJ1.
Compared to the rest of the industry, the Price/Earnings ratio of SEJ1 is on the same level as its industry peers.
SEJ1's Price/Earnings ratio indicates a rather expensive valuation when compared to the S&P500 average which is at 28.47.
A Price/Forward Earnings ratio of 29.16 indicates a quite expensive valuation of SEJ1.
SEJ1's Price/Forward Earnings ratio is a bit more expensive when compared to the industry. SEJ1 is more expensive than 67.57% of the companies in the same industry.
When comparing the Price/Forward Earnings ratio of SEJ1 to the average of the S&P500 Index (92.74), we can say SEJ1 is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 43 | ||
| Fwd PE | 29.16 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of SEJ1 indicates a slightly more expensive valuation: SEJ1 is more expensive than 64.86% of the companies listed in the same industry.
Based on the Price/Free Cash Flow ratio, SEJ1 is valued a bit cheaper than 67.57% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 32.83 | ||
| EV/EBITDA | 19.9 |
4.3 Compensation for Growth
The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
SEJ1 has a very decent profitability rating, which may justify a higher PE ratio.
SEJ1's earnings are expected to grow with 28.08% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.96
PEG (5Y)51.88
EPS Next 2Y32.19%
EPS Next 3Y28.08%
5. Dividend
5.1 Amount
SEJ1 has a yearly dividend return of 0.92%, which is pretty low.
SEJ1's Dividend Yield is comparable with the industry average which is at 1.41.
With a Dividend Yield of 0.92, SEJ1 pays less dividend than the S&P500 average, which is at 2.28.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.92% |
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
SEJ1 pays out 55.62% of its income as dividend. This is a bit on the high side, but may be sustainable.
DP55.62%
EPS Next 2Y32.19%
EPS Next 3Y28.08%
SAFRAN SA
FRA:SEJ1 (2/4/2025, 7:00:00 PM)
239.5
+2.5 (+1.05%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryAerospace & Defense
Earnings (Last)
Earnings (Next)
Inst Owners42.12%
Inst Owner ChangeN/A
Ins Owners0.01%
Ins Owner ChangeN/A
Market Cap102.33B
Analysts74.62
Price Target247.84 (3.48%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.92% |
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)2.95%
PT rev (3m)6.87%
EPS NQ rev (1m)N/A
EPS NQ rev (3m)N/A
EPS NY rev (1m)0.42%
EPS NY rev (3m)0.42%
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)-0.21%
Revenue NY rev (3m)-0.21%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 43 | ||
| Fwd PE | 29.16 | ||
| P/S | 3.98 | ||
| P/FCF | 32.83 | ||
| P/OCF | 23.11 | ||
| P/B | 9.12 | ||
| P/tB | N/A | ||
| EV/EBITDA | 19.9 |
EPS(TTM)5.57
EY2.33%
EPS(NY)8.21
Fwd EY3.43%
FCF(TTM)7.3
FCFY3.05%
OCF(TTM)10.36
OCFY4.33%
SpS60.21
BVpS26.26
TBVpS-3.36
PEG (NY)0.96
PEG (5Y)51.88
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 | 42.99% | ||
| FCFM | 12.12% |
ROA(3y)0.56%
ROA(5y)1.66%
ROE(3y)2.15%
ROE(5y)5.82%
ROIC(3y)8.54%
ROIC(5y)8.47%
ROICexc(3y)12.86%
ROICexc(5y)11.6%
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)11.91%
ROCE(5y)12.16%
ROICexcg growth 3Y159.25%
ROICexcg growth 5Y55.32%
ROICexc growth 3Y47.17%
ROICexc growth 5Y17.38%
OM growth 3Y17.41%
OM growth 5Y7.35%
PM growth 3Y90.19%
PM growth 5Y19%
GM growth 3Y0.57%
GM growth 5Y1.7%
F-Score6
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 | 2.28 |
F-Score6
WACC7.4%
ROIC/WACC1.89
Cap/Depr(3y)64.53%
Cap/Depr(5y)62.95%
Cap/Sales(3y)4.5%
Cap/Sales(5y)4.4%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)44.3%
EPS 3Y34.77%
EPS 5Y0.83%
EPS Q2Q%36.25%
EPS Next Y44.96%
EPS Next 2Y32.19%
EPS Next 3Y28.08%
EPS Next 5Y20.21%
Revenue 1Y (TTM)17.06%
Revenue growth 3Y12.45%
Revenue growth 5Y2.38%
Sales Q2Q%19.21%
Revenue Next Year16.88%
Revenue Next 2Y15.94%
Revenue Next 3Y14.15%
Revenue Next 5Y10.9%
EBIT growth 1Y20.6%
EBIT growth 3Y32.04%
EBIT growth 5Y9.91%
EBIT Next Year68.35%
EBIT Next 3Y30.44%
EBIT Next 5Y20.91%
FCF growth 1Y14.76%
FCF growth 3Y40.35%
FCF growth 5Y9.73%
OCF growth 1Y27.29%
OCF growth 3Y31.78%
OCF growth 5Y6.81%