SAFILO GROUP SPA (SFL.MI) Stock Fundamental Analysis
BIT:SFL - Euronext Milan - IT0004604762 - Common Stock - Currency: EUR
Taking everything into account, SFL scores 5 out of 10 in our fundamental rating. SFL was compared to 40 industry peers in the Textiles, Apparel & Luxury Goods industry. SFL has only an average score on both its financial health and profitability. SFL is valued quite cheap, while showing a decent growth score. This is a good combination!
1. Profitability
1.1 Basic Checks
In the past year SFL was profitable.
In the past year SFL had a positive cash flow from operations.
The reported net income has been mixed in the past 5 years: SFL reported negative net income in multiple years.
Of the past 5 years SFL 4 years had a positive operating cash flow.
1.2 Ratios
SFL's Return On Assets of 2.65% is in line compared to the rest of the industry. SFL outperforms 45.00% of its industry peers.
The Return On Equity of SFL (5.40%) is worse than 70.00% of its industry peers.
The Return On Invested Capital of SFL (5.57%) is comparable to the rest of the industry.
Measured over the past 3 years, the Average Return On Invested Capital for SFL is significantly below the industry average of 10.69%.
The 3 year average ROIC (3.75%) for SFL is below the current ROIC(5.57%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.65% | ||
| ROE | 5.4% | ||
| ROIC | 5.57% |
ROA(3y)1.8%
ROA(5y)-0.07%
ROE(3y)4.04%
ROE(5y)-6.46%
ROIC(3y)3.75%
ROIC(5y)N/A
1.3 Margins
The Profit Margin of SFL (2.24%) is worse than 67.50% of its industry peers.
SFL's Profit Margin has been stable in the last couple of years.
SFL's Operating Margin of 4.61% is on the low side compared to the rest of the industry. SFL is outperformed by 70.00% of its industry peers.
SFL's Operating Margin has improved in the last couple of years.
The Gross Margin of SFL (59.68%) is comparable to the rest of the industry.
In the last couple of years the Gross Margin of SFL has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 4.61% | ||
| PM (TTM) | 2.24% | ||
| GM | 59.68% |
OM growth 3Y20.34%
OM growth 5YN/A
PM growth 3Y0.76%
PM growth 5YN/A
GM growth 3Y4.87%
GM growth 5Y3.28%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so SFL is destroying value.
The number of shares outstanding for SFL remains at a similar level compared to 1 year ago.
SFL has more shares outstanding than it did 5 years ago.
Compared to 1 year ago, SFL has an improved debt to assets ratio.
2.2 Solvency
An Altman-Z score of 2.11 indicates that SFL is not a great score, but indicates only limited risk for bankruptcy at the moment.
SFL has a Altman-Z score (2.11) which is in line with its industry peers.
The Debt to FCF ratio of SFL is 4.73, which is a neutral value as it means it would take SFL, 4.73 years of fcf income to pay off all of its debts.
SFL has a Debt to FCF ratio of 4.73. This is comparable to the rest of the industry: SFL outperforms 47.50% of its industry peers.
A Debt/Equity ratio of 0.22 indicates that SFL is not too dependend on debt financing.
Looking at the Debt to Equity ratio, with a value of 0.22, SFL belongs to the top of the industry, outperforming 87.50% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.22 | ||
| Debt/FCF | 4.73 | ||
| Altman-Z | 2.11 |
ROIC/WACC0.72
WACC7.76%
2.3 Liquidity
SFL has a Current Ratio of 1.84. This is a normal value and indicates that SFL is financially healthy and should not expect problems in meeting its short term obligations.
With a decent Current ratio value of 1.84, SFL is doing good in the industry, outperforming 77.50% of the companies in the same industry.
A Quick Ratio of 1.08 indicates that SFL should not have too much problems paying its short term obligations.
With a decent Quick ratio value of 1.08, SFL is doing good in the industry, outperforming 75.00% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.84 | ||
| Quick Ratio | 1.08 |
3. Growth
3.1 Past
SFL shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 190.44%, which is quite impressive.
Measured over the past years, SFL shows a decrease in Earnings Per Share. The EPS has been decreasing by -5.32% on average per year.
The Revenue has decreased by -3.08% in the past year.
Measured over the past years, SFL shows a small growth in Revenue. The Revenue has been growing by 1.13% on average per year.
EPS 1Y (TTM)190.44%
EPS 3Y-5.32%
EPS 5YN/A
EPS Q2Q%129.82%
Revenue 1Y (TTM)-3.08%
Revenue growth 3Y0.81%
Revenue growth 5Y1.13%
Sales Q2Q%-2.81%
3.2 Future
The Earnings Per Share is expected to grow by 22.22% on average over the next years. This is a very strong growth
Based on estimates for the next years, SFL will show a small growth in Revenue. The Revenue will grow by 2.95% on average per year.
EPS Next Y33.33%
EPS Next 2Y29.23%
EPS Next 3Y40.67%
EPS Next 5Y22.22%
Revenue Next Year3.49%
Revenue Next 2Y3.96%
Revenue Next 3Y4.54%
Revenue Next 5Y2.95%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
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 14.40, which indicates a correct valuation of SFL.
75.00% of the companies in the same industry are more expensive than SFL, based on the Price/Earnings ratio.
Compared to an average S&P500 Price/Earnings ratio of 28.88, SFL is valued rather cheaply.
SFL is valuated reasonably with a Price/Forward Earnings ratio of 8.91.
SFL's Price/Forward Earnings ratio is rather cheap when compared to the industry. SFL is cheaper than 97.50% of the companies in the same industry.
SFL's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 21.20.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 14.4 | ||
| Fwd PE | 8.91 |
4.2 Price Multiples
80.00% of the companies in the same industry are more expensive than SFL, based on the Enterprise Value to EBITDA ratio.
SFL's Price/Free Cash Flow ratio is in line with the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 10.84 | ||
| EV/EBITDA | 4.42 |
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.
A more expensive valuation may be justified as SFL's earnings are expected to grow with 40.67% in the coming years.
PEG (NY)0.43
PEG (5Y)N/A
EPS Next 2Y29.23%
EPS Next 3Y40.67%
5. Dividend
5.1 Amount
No dividends for SFL!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
BIT:SFL (4/30/2025, 7:00:00 PM)
0.72
-0.01 (-0.96%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Durables & Apparel
GICS IndustryTextiles, Apparel & Luxury Goods
Earnings (Last)
Earnings (Next)
Inst Owners34.84%
Inst Owner ChangeN/A
Ins OwnersN/A
Ins Owner ChangeN/A
Market Cap298.25M
Analysts74
Price Target1.31 (81.94%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly Dividend0
Dividend Growth(5Y)N/A
DP3.42%
Div Incr Years0
Div Non Decr Years0
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)0%
PT rev (3m)0.91%
EPS NQ rev (1m)N/A
EPS NQ rev (3m)N/A
EPS NY rev (1m)0%
EPS NY rev (3m)-6.98%
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)-0.86%
Revenue NY rev (3m)-1.24%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 14.4 | ||
| Fwd PE | 8.91 | ||
| P/S | 0.3 | ||
| P/FCF | 10.84 | ||
| P/OCF | 3.91 | ||
| P/B | 0.72 | ||
| P/tB | 1.23 | ||
| EV/EBITDA | 4.42 |
EPS(TTM)0.05
EY6.94%
EPS(NY)0.08
Fwd EY11.22%
FCF(TTM)0.07
FCFY9.22%
OCF(TTM)0.18
OCFY25.55%
SpS2.4
BVpS1
TBVpS0.58
PEG (NY)0.43
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.65% | ||
| ROE | 5.4% | ||
| ROCE | 8.1% | ||
| ROIC | 5.57% | ||
| ROICexc | 6.09% | ||
| ROICexgc | 9.09% | ||
| OM | 4.61% | ||
| PM (TTM) | 2.24% | ||
| GM | 59.68% | ||
| FCFM | 2.77% |
ROA(3y)1.8%
ROA(5y)-0.07%
ROE(3y)4.04%
ROE(5y)-6.46%
ROIC(3y)3.75%
ROIC(5y)N/A
ROICexc(3y)4.2%
ROICexc(5y)N/A
ROICexgc(3y)6.08%
ROICexgc(5y)N/A
ROCE(3y)5.46%
ROCE(5y)N/A
ROICexcg growth 3Y22.14%
ROICexcg growth 5YN/A
ROICexc growth 3Y22.14%
ROICexc growth 5YN/A
OM growth 3Y20.34%
OM growth 5YN/A
PM growth 3Y0.76%
PM growth 5YN/A
GM growth 3Y4.87%
GM growth 5Y3.28%
F-Score7
Asset Turnover1.18
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.22 | ||
| Debt/FCF | 4.73 | ||
| Debt/EBITDA | 1.04 | ||
| Cap/Depr | 120.39% | ||
| Cap/Sales | 4.9% | ||
| Interest Coverage | 5.91 | ||
| Cash Conversion | 88.39% | ||
| Profit Quality | 123.38% | ||
| Current Ratio | 1.84 | ||
| Quick Ratio | 1.08 | ||
| Altman-Z | 2.11 |
F-Score7
WACC7.76%
ROIC/WACC0.72
Cap/Depr(3y)59.03%
Cap/Depr(5y)49.75%
Cap/Sales(3y)2.56%
Cap/Sales(5y)2.46%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)190.44%
EPS 3Y-5.32%
EPS 5YN/A
EPS Q2Q%129.82%
EPS Next Y33.33%
EPS Next 2Y29.23%
EPS Next 3Y40.67%
EPS Next 5Y22.22%
Revenue 1Y (TTM)-3.08%
Revenue growth 3Y0.81%
Revenue growth 5Y1.13%
Sales Q2Q%-2.81%
Revenue Next Year3.49%
Revenue Next 2Y3.96%
Revenue Next 3Y4.54%
Revenue Next 5Y2.95%
EBIT growth 1Y150.25%
EBIT growth 3Y21.31%
EBIT growth 5YN/A
EBIT Next Year118.65%
EBIT Next 3Y37.8%
EBIT Next 5Y24.4%
FCF growth 1Y-20.26%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y59.74%
OCF growth 3Y63.95%
OCF growth 5Y23.48%