SOLVAY SA (SOLB.BR) Stock Fundamental Analysis
Europe - Euronext Brussels - EBR:SOLB - BE0003470755 - Common Stock
26.96 EUR
+0.04 (+0.15%)
Overall SOLB gets a fundamental rating of 5 out of 10. We evaluated SOLB against 72 industry peers in the Chemicals industry. SOLB has a medium profitability rating, but doesn't score so well on its financial health evaluation. SOLB has a bad growth rate and is valued cheaply.
1. Profitability
1.1 Basic Checks
SOLB had positive earnings in the past year.
SOLB had a positive operating cash flow in the past year.
SOLB had positive earnings in 4 of the past 5 years.
SOLB had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
With a Return On Assets value of 2.43%, SOLB perfoms like the industry average, outperforming 58.33% of the companies in the same industry.
Looking at the Return On Equity, with a value of 12.80%, SOLB is in the better half of the industry, outperforming 70.83% of the companies in the same industry.
SOLB's Return On Invested Capital of 8.54% is fine compared to the rest of the industry. SOLB outperforms 73.61% of its industry peers.
SOLB had an Average Return On Invested Capital over the past 3 years of 11.19%. This is above the industry average of 7.08%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.43% | ||
| ROE | 12.8% | ||
| ROIC | 8.54% |
ROA(3y)13.55%
ROA(5y)7.71%
ROE(3y)64.09%
ROE(5y)37.45%
ROIC(3y)11.19%
ROIC(5y)8.96%
1.3 Margins
SOLB has a Profit Margin (3.14%) which is comparable to the rest of the industry.
In the last couple of years the Profit Margin of SOLB has grown nicely.
SOLB has a Operating Margin of 11.07%. This is in the better half of the industry: SOLB outperforms 72.22% of its industry peers.
In the last couple of years the Operating Margin of SOLB has grown nicely.
SOLB's Gross Margin of 21.24% is on the low side compared to the rest of the industry. SOLB is outperformed by 70.83% of its industry peers.
In the last couple of years the Gross Margin of SOLB has declined.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 11.07% | ||
| PM (TTM) | 3.14% | ||
| GM | 21.24% |
OM growth 3Y5%
OM growth 5Y4.03%
PM growth 3Y-17.12%
PM growth 5Y176.86%
GM growth 3Y-4.43%
GM growth 5Y-3.41%
2. Health
2.1 Basic Checks
SOLB has a Return on Invested Capital (ROIC), which is well above the Cost of Capital (WACC), which means it is creating value.
SOLB has less shares outstanding than it did 1 year ago.
Compared to 5 years ago, SOLB has more shares outstanding
Compared to 1 year ago, SOLB has a worse debt to assets ratio.
2.2 Solvency
SOLB has an Altman-Z score of 1.69. This is a bad value and indicates that SOLB is not financially healthy and even has some risk of bankruptcy.
The Altman-Z score of SOLB (1.69) is worse than 76.39% of its industry peers.
SOLB has a debt to FCF ratio of 7.54. This is a slightly negative value and a sign of low solvency as SOLB would need 7.54 years to pay back of all of its debts.
Looking at the Debt to FCF ratio, with a value of 7.54, SOLB is in the better half of the industry, outperforming 61.11% of the companies in the same industry.
A Debt/Equity ratio of 1.70 is on the high side and indicates that SOLB has dependencies on debt financing.
SOLB has a worse Debt to Equity ratio (1.70) than 91.67% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.7 | ||
| Debt/FCF | 7.54 | ||
| Altman-Z | 1.69 |
ROIC/WACC1.45
WACC5.9%
2.3 Liquidity
SOLB has a Current Ratio of 1.41. This is a normal value and indicates that SOLB is financially healthy and should not expect problems in meeting its short term obligations.
The Current ratio of SOLB (1.41) is worse than 66.67% of its industry peers.
SOLB has a Quick Ratio of 1.04. This is a normal value and indicates that SOLB is financially healthy and should not expect problems in meeting its short term obligations.
The Quick ratio of SOLB (1.04) is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.41 | ||
| Quick Ratio | 1.04 |
3. Growth
3.1 Past
SOLB shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -93.11%.
Measured over the past years, SOLB shows a very strong growth in Earnings Per Share. The EPS has been growing by 153.65% on average per year.
SOLB shows a very negative growth in Revenue. In the last year, the Revenue has decreased by -50.46%.
SOLB shows a very negative growth in Revenue. Measured over the last years, the Revenue has been decreasing by -14.50% yearly.
EPS 1Y (TTM)-93.11%
EPS 3Y-37.03%
EPS 5Y153.65%
EPS Q2Q%-16.16%
Revenue 1Y (TTM)-50.46%
Revenue growth 3Y-23.45%
Revenue growth 5Y-14.5%
Sales Q2Q%-9.69%
3.2 Future
Based on estimates for the next years, SOLB will show a decrease in Earnings Per Share. The EPS will decrease by -2.30% on average per year.
Based on estimates for the next years, SOLB will show a small growth in Revenue. The Revenue will grow by 0.16% on average per year.
EPS Next Y-20.05%
EPS Next 2Y-11.82%
EPS Next 3Y-4.04%
EPS Next 5Y-2.3%
Revenue Next Year-5.88%
Revenue Next 2Y-2.31%
Revenue Next 3Y-0.65%
Revenue Next 5Y0.16%
3.3 Evolution
The EPS growth rate is decreasing: in the next years the growth will be less 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
SOLB is valuated cheaply with a Price/Earnings ratio of 7.39.
Based on the Price/Earnings ratio, SOLB is valued cheaper than 97.22% of the companies in the same industry.
SOLB's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 26.54.
Based on the Price/Forward Earnings ratio of 8.48, the valuation of SOLB can be described as reasonable.
Based on the Price/Forward Earnings ratio, SOLB is valued cheaply inside the industry as 97.22% of the companies are valued more expensively.
The average S&P500 Price/Forward Earnings ratio is at 23.78. SOLB is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 7.39 | ||
| Fwd PE | 8.48 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of SOLB indicates a rather cheap valuation: SOLB is cheaper than 87.50% of the companies listed in the same industry.
Based on the Price/Free Cash Flow ratio, SOLB is valued cheaply inside the industry as 95.83% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 9.74 | ||
| EV/EBITDA | 5.58 |
4.3 Compensation for Growth
SOLB has a very decent profitability rating, which may justify a higher PE ratio.
SOLB's earnings are expected to decrease with -4.04% in the coming years. This may justify a cheaper valuation.
PEG (NY)N/A
PEG (5Y)0.05
EPS Next 2Y-11.82%
EPS Next 3Y-4.04%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 6.16%, SOLB is a good candidate for dividend investing.
Compared to an average industry Dividend Yield of 3.19, SOLB pays a better dividend. On top of this SOLB pays more dividend than 93.06% of the companies listed in the same industry.
Compared to an average S&P500 Dividend Yield of 2.27, SOLB pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 6.16% |
5.2 History
The dividend of SOLB decreases each year by -9.89%.
Dividend Growth(5Y)-9.89%
Div Incr Years3
Div Non Decr Years4
5.3 Sustainability
164.94% of the earnings are spent on dividend by SOLB. This is not a sustainable payout ratio.
SOLB's earnings and Dividend Rate are declining. This means the current dividend is most likely not sustainable.
DP164.94%
EPS Next 2Y-11.82%
EPS Next 3Y-4.04%
EBR:SOLB (12/12/2025, 7:00:00 PM)
26.96
+0.04 (+0.15%)
Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryChemicals
Earnings (Last)
Earnings (Next)
Inst Owners28.27%
Inst Owner ChangeN/A
Ins OwnersN/A
Ins Owner ChangeN/A
Market Cap2.85B
Revenue(TTM)4.91B
Net Income(TTM)154.00M
Analysts53.6
Price Target28.22 (4.67%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 6.16% |
Yearly Dividend2.45
Dividend Growth(5Y)-9.89%
DP164.94%
Div Incr Years3
Div Non Decr Years4
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)20.12%
Min EPS beat(2)9%
Max EPS beat(2)31.25%
EPS beat(4)3
Avg EPS beat(4)12.33%
Min EPS beat(4)-1.96%
Max EPS beat(4)31.25%
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)0
Avg Revenue beat(2)-1.52%
Min Revenue beat(2)-2.48%
Max Revenue beat(2)-0.57%
Revenue beat(4)0
Avg Revenue beat(4)-2.19%
Min Revenue beat(4)-4.75%
Max Revenue beat(4)-0.57%
Revenue beat(8)2
Avg Revenue beat(8)-0.66%
Revenue beat(12)5
Avg Revenue beat(12)2.07%
Revenue beat(16)9
Avg Revenue beat(16)7.99%
PT rev (1m)-5.57%
PT rev (3m)-8.89%
EPS NQ rev (1m)-16.67%
EPS NQ rev (3m)-22.54%
EPS NY rev (1m)0.37%
EPS NY rev (3m)-1.76%
Revenue NQ rev (1m)1.81%
Revenue NQ rev (3m)2.39%
Revenue NY rev (1m)-0.64%
Revenue NY rev (3m)1.82%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 7.39 | ||
| Fwd PE | 8.48 | ||
| P/S | 0.58 | ||
| P/FCF | 9.74 | ||
| P/OCF | 4.79 | ||
| P/B | 2.37 | ||
| P/tB | 12.63 | ||
| EV/EBITDA | 5.58 |
EPS(TTM)3.65
EY13.54%
EPS(NY)3.18
Fwd EY11.79%
FCF(TTM)2.77
FCFY10.26%
OCF(TTM)5.63
OCFY20.88%
SpS46.33
BVpS11.36
TBVpS2.13
PEG (NY)N/A
PEG (5Y)0.05
Graham Number30.55
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.43% | ||
| ROE | 12.8% | ||
| ROCE | 11.39% | ||
| ROIC | 8.54% | ||
| ROICexc | 8.54% | ||
| ROICexgc | 10.74% | ||
| OM | 11.07% | ||
| PM (TTM) | 3.14% | ||
| GM | 21.24% | ||
| FCFM | 5.97% |
ROA(3y)13.55%
ROA(5y)7.71%
ROE(3y)64.09%
ROE(5y)37.45%
ROIC(3y)11.19%
ROIC(5y)8.96%
ROICexc(3y)12.43%
ROICexc(5y)9.87%
ROICexgc(3y)17.2%
ROICexgc(5y)14.4%
ROCE(3y)14.91%
ROCE(5y)11.94%
ROICexgc growth 3Y8.77%
ROICexgc growth 5Y9.63%
ROICexc growth 3Y18.23%
ROICexc growth 5Y16.44%
OM growth 3Y5%
OM growth 5Y4.03%
PM growth 3Y-17.12%
PM growth 5Y176.86%
GM growth 3Y-4.43%
GM growth 5Y-3.41%
F-Score5
Asset Turnover0.78
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.7 | ||
| Debt/FCF | 7.54 | ||
| Debt/EBITDA | 2.26 | ||
| Cap/Depr | 83.47% | ||
| Cap/Sales | 6.18% | ||
| Interest Coverage | 7.76 | ||
| Cash Conversion | 65.78% | ||
| Profit Quality | 190.26% | ||
| Current Ratio | 1.41 | ||
| Quick Ratio | 1.04 | ||
| Altman-Z | 1.69 |
F-Score5
WACC5.9%
ROIC/WACC1.45
Cap/Depr(3y)94.75%
Cap/Depr(5y)76.26%
Cap/Sales(3y)9.62%
Cap/Sales(5y)7.99%
Profit Quality(3y)83.5%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-93.11%
EPS 3Y-37.03%
EPS 5Y153.65%
EPS Q2Q%-16.16%
EPS Next Y-20.05%
EPS Next 2Y-11.82%
EPS Next 3Y-4.04%
EPS Next 5Y-2.3%
Revenue 1Y (TTM)-50.46%
Revenue growth 3Y-23.45%
Revenue growth 5Y-14.5%
Sales Q2Q%-9.69%
Revenue Next Year-5.88%
Revenue Next 2Y-2.31%
Revenue Next 3Y-0.65%
Revenue Next 5Y0.16%
EBIT growth 1Y-58.33%
EBIT growth 3Y-19.61%
EBIT growth 5Y-11.06%
EBIT Next Year21.6%
EBIT Next 3Y9.96%
EBIT Next 5Y6.12%
FCF growth 1Y-75.88%
FCF growth 3Y-27.42%
FCF growth 5Y-19.2%
OCF growth 1Y-74.87%
OCF growth 3Y-25.69%
OCF growth 5Y-19.46%
SOLVAY SA / SOLB.BR FAQ
What is the ChartMill fundamental rating of SOLVAY SA (SOLB.BR) stock?
ChartMill assigns a fundamental rating of 5 / 10 to SOLB.BR.
Can you provide the valuation status for SOLVAY SA?
ChartMill assigns a valuation rating of 8 / 10 to SOLVAY SA (SOLB.BR). This can be considered as Undervalued.
What is the profitability of SOLB stock?
SOLVAY SA (SOLB.BR) has a profitability rating of 6 / 10.
What is the earnings growth outlook for SOLVAY SA?
The Earnings per Share (EPS) of SOLVAY SA (SOLB.BR) is expected to decline by -20.05% in the next year.
How sustainable is the dividend of SOLVAY SA (SOLB.BR) stock?
The dividend rating of SOLVAY SA (SOLB.BR) is 5 / 10 and the dividend payout ratio is 164.94%.