SOL SPA (SOL.MI) Stock Fundamental Analysis
Europe - Euronext Milan - BIT:SOL - IT0001206769 - Common Stock
50.5 EUR
+0.4 (+0.8%)
Overall SOL gets a fundamental rating of 6 out of 10. We evaluated SOL against 69 industry peers in the Chemicals industry. SOL has an excellent profitability rating, but there are some minor concerns on its financial health. SOL is quite expensive at the moment. It does show a decent growth rate.
1. Profitability
1.1 Basic Checks
- SOL had positive earnings in the past year.
- In the past year SOL had a positive cash flow from operations.
- SOL had positive earnings in each of the past 5 years.
- In the past 5 years SOL always reported a positive cash flow from operatings.
1.2 Ratios
- Looking at the Return On Assets, with a value of 6.90%, SOL is in the better half of the industry, outperforming 78.26% of the companies in the same industry.
- SOL has a better Return On Equity (14.75%) than 84.06% of its industry peers.
- SOL has a better Return On Invested Capital (9.43%) than 76.81% of its industry peers.
- The Average Return On Invested Capital over the past 3 years for SOL is above the industry average of 6.95%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.9% | ||
| ROE | 14.75% | ||
| ROIC | 9.43% |
ROA(3y)7.4%
ROA(5y)7.14%
ROE(3y)15.45%
ROE(5y)15.08%
ROIC(3y)9.86%
ROIC(5y)9.24%
1.3 Margins
- SOL has a better Profit Margin (9.17%) than 76.81% of its industry peers.
- In the last couple of years the Profit Margin of SOL has grown nicely.
- SOL has a Operating Margin of 14.58%. This is in the better half of the industry: SOL outperforms 79.71% of its industry peers.
- SOL's Operating Margin has improved in the last couple of years.
- The Gross Margin of SOL (74.36%) is better than 98.55% of its industry peers.
- In the last couple of years the Gross Margin of SOL has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 14.58% | ||
| PM (TTM) | 9.17% | ||
| GM | 74.36% |
OM growth 3Y6.63%
OM growth 5Y6.24%
PM growth 3Y4.46%
PM growth 5Y10.95%
GM growth 3Y0.25%
GM growth 5Y-0.73%
2. Health
2.1 Basic Checks
- SOL has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
- The number of shares outstanding for SOL remains at a similar level compared to 1 year ago.
- Compared to 5 years ago, SOL has about the same amount of shares outstanding.
- The debt/assets ratio for SOL has been reduced compared to a year ago.
2.2 Solvency
- SOL has an Altman-Z score of 4.26. This indicates that SOL is financially healthy and has little risk of bankruptcy at the moment.
- SOL has a Altman-Z score of 4.26. This is amongst the best in the industry. SOL outperforms 82.61% of its industry peers.
- A Debt/Equity ratio of 0.70 indicates that SOL is somewhat dependend on debt financing.
- SOL has a Debt to Equity ratio of 0.70. This is in the lower half of the industry: SOL underperforms 63.77% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.7 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 4.26 |
ROIC/WACC1.16
WACC8.16%
2.3 Liquidity
- A Current Ratio of 2.29 indicates that SOL has no problem at all paying its short term obligations.
- SOL has a better Current ratio (2.29) than 75.36% of its industry peers.
- SOL has a Quick Ratio of 2.04. This indicates that SOL is financially healthy and has no problem in meeting its short term obligations.
- SOL has a Quick ratio of 2.04. This is amongst the best in the industry. SOL outperforms 86.96% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.29 | ||
| Quick Ratio | 2.04 |
3. Growth
3.1 Past
- SOL shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 10.79%, which is quite good.
- The Earnings Per Share has been growing by 24.51% on average over the past years. This is a very strong growth
- SOL shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 11.37%.
- SOL shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 12.23% yearly.
EPS 1Y (TTM)10.79%
EPS 3Y18.14%
EPS 5Y24.51%
EPS Q2Q%11.5%
Revenue 1Y (TTM)11.37%
Revenue growth 3Y13.11%
Revenue growth 5Y12.23%
Sales Q2Q%12.12%
3.2 Future
- Based on estimates for the next years, SOL will show a quite strong growth in Earnings Per Share. The EPS will grow by 8.80% on average per year.
- The Revenue is expected to grow by 5.14% on average over the next years.
EPS Next Y9.79%
EPS Next 2Y9.87%
EPS Next 3Y8.8%
EPS Next 5YN/A
Revenue Next Year10.54%
Revenue Next 2Y8.77%
Revenue Next 3Y8.22%
Revenue Next 5Y5.14%
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 decreasing.
- The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
- With a Price/Earnings ratio of 29.36, SOL can be considered very expensive at the moment.
- The rest of the industry has a similar Price/Earnings ratio as SOL.
- When comparing the Price/Earnings ratio of SOL to the average of the S&P500 Index (27.33), we can say SOL is valued inline with the index average.
- Based on the Price/Forward Earnings ratio of 24.58, the valuation of SOL can be described as rather expensive.
- The rest of the industry has a similar Price/Forward Earnings ratio as SOL.
- SOL is valuated at similar levels of the S&P average when we compare the Price/Forward Earnings ratio to 24.12, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 29.36 | ||
| Fwd PE | 24.58 |
4.2 Price Multiples
- SOL's Enterprise Value to EBITDA is on the same level as the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 12.09 |
4.3 Compensation for Growth
- The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates SOL does not grow enough to justify the current Price/Earnings ratio.
- The excellent profitability rating of SOL may justify a higher PE ratio.
PEG (NY)3
PEG (5Y)1.2
EPS Next 2Y9.87%
EPS Next 3Y8.8%
5. Dividend
5.1 Amount
- SOL has a yearly dividend return of 0.80%, which is pretty low.
- Compared to an average industry Dividend Yield of 2.45, SOL is paying slightly less dividend.
- With a Dividend Yield of 0.80, SOL pays less dividend than the S&P500 average, which is at 1.91.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.8% |
5.2 History
- The dividend of SOL is nicely growing with an annual growth rate of 16.74%!
Dividend Growth(5Y)16.74%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
- SOL pays out 24.08% of its income as dividend. This is a sustainable payout ratio.
- The dividend of SOL is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP24.08%
EPS Next 2Y9.87%
EPS Next 3Y8.8%
BIT:SOL (1/14/2026, 7:00:00 PM)
50.5
+0.4 (+0.8%)
Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryChemicals
Earnings (Last)09-11 2025-09-11
Earnings (Next)03-25 2026-03-25/amc
Inst Owners21.02%
Inst Owner ChangeN/A
Ins OwnersN/A
Ins Owner ChangeN/A
Market Cap4.58B
Revenue(TTM)1.70B
Net Income(TTM)156.30M
Analysts77.78
Price Target54.75 (8.42%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.8% |
Yearly Dividend0.42
Dividend Growth(5Y)16.74%
DP24.08%
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)2.79%
EPS NQ rev (1m)N/A
EPS NQ rev (3m)N/A
EPS NY rev (1m)0%
EPS NY rev (3m)-2.12%
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)0%
Revenue NY rev (3m)-0.72%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 29.36 | ||
| Fwd PE | 24.58 | ||
| P/S | 2.69 | ||
| P/FCF | N/A | ||
| P/OCF | 18.44 | ||
| P/B | 4.32 | ||
| P/tB | 6.17 | ||
| EV/EBITDA | 12.09 |
EPS(TTM)1.72
EY3.41%
EPS(NY)2.05
Fwd EY4.07%
FCF(TTM)-0.08
FCFYN/A
OCF(TTM)2.74
OCFY5.42%
SpS18.8
BVpS11.68
TBVpS8.18
PEG (NY)3
PEG (5Y)1.2
Graham Number21.26
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.9% | ||
| ROE | 14.75% | ||
| ROCE | 13.56% | ||
| ROIC | 9.43% | ||
| ROICexc | 10.96% | ||
| ROICexgc | 13.59% | ||
| OM | 14.58% | ||
| PM (TTM) | 9.17% | ||
| GM | 74.36% | ||
| FCFM | N/A |
ROA(3y)7.4%
ROA(5y)7.14%
ROE(3y)15.45%
ROE(5y)15.08%
ROIC(3y)9.86%
ROIC(5y)9.24%
ROICexc(3y)11.29%
ROICexc(5y)10.84%
ROICexgc(3y)14.14%
ROICexgc(5y)13.44%
ROCE(3y)14.19%
ROCE(5y)13.36%
ROICexgc growth 3Y7.2%
ROICexgc growth 5Y5.88%
ROICexc growth 3Y6.27%
ROICexc growth 5Y5.33%
OM growth 3Y6.63%
OM growth 5Y6.24%
PM growth 3Y4.46%
PM growth 5Y10.95%
GM growth 3Y0.25%
GM growth 5Y-0.73%
F-Score6
Asset Turnover0.75
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.7 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 1.81 | ||
| Cap/Depr | 156.86% | ||
| Cap/Sales | 14.98% | ||
| Interest Coverage | 2.78 | ||
| Cash Conversion | 60.37% | ||
| Profit Quality | N/A | ||
| Current Ratio | 2.29 | ||
| Quick Ratio | 2.04 | ||
| Altman-Z | 4.26 |
F-Score6
WACC8.16%
ROIC/WACC1.16
Cap/Depr(3y)142.12%
Cap/Depr(5y)134.91%
Cap/Sales(3y)13.67%
Cap/Sales(5y)13.69%
Profit Quality(3y)37.87%
Profit Quality(5y)46.73%
High Growth Momentum
Growth
EPS 1Y (TTM)10.79%
EPS 3Y18.14%
EPS 5Y24.51%
EPS Q2Q%11.5%
EPS Next Y9.79%
EPS Next 2Y9.87%
EPS Next 3Y8.8%
EPS Next 5YN/A
Revenue 1Y (TTM)11.37%
Revenue growth 3Y13.11%
Revenue growth 5Y12.23%
Sales Q2Q%12.12%
Revenue Next Year10.54%
Revenue Next 2Y8.77%
Revenue Next 3Y8.22%
Revenue Next 5Y5.14%
EBIT growth 1Y7.54%
EBIT growth 3Y20.6%
EBIT growth 5Y19.23%
EBIT Next Year42.76%
EBIT Next 3Y17.96%
EBIT Next 5YN/A
FCF growth 1Y-108.3%
FCF growth 3Y1.91%
FCF growth 5Y18.79%
OCF growth 1Y-11.74%
OCF growth 3Y15.6%
OCF growth 5Y9.8%
SOL SPA / SOL.MI FAQ
What is the fundamental rating for SOL stock?
ChartMill assigns a fundamental rating of 6 / 10 to SOL.MI.
What is the valuation status of SOL SPA (SOL.MI) stock?
ChartMill assigns a valuation rating of 2 / 10 to SOL SPA (SOL.MI). This can be considered as Overvalued.
What is the profitability of SOL stock?
SOL SPA (SOL.MI) has a profitability rating of 8 / 10.
What is the valuation of SOL SPA based on its PE and PB ratios?
The Price/Earnings (PE) ratio for SOL SPA (SOL.MI) is 29.36 and the Price/Book (PB) ratio is 4.32.
Can you provide the financial health for SOL stock?
The financial health rating of SOL SPA (SOL.MI) is 6 / 10.