SONAE (SON.LS) Stock Fundamental Analysis
Europe - Euronext Lisbon - ELI:SON - PTSON0AM0001 - Common Stock
1.6 EUR
+0.01 (+0.88%)
SON gets a fundamental rating of 3 out of 10. The analysis compared the fundamentals against 25 industry peers in the Consumer Staples Distribution & Retail industry. SON may be in some trouble as it scores bad on both profitability and health. SON has a decent growth rate and is not valued too expensively.
1. Profitability
1.1 Basic Checks
SON had positive earnings in the past year.
In the past year SON had a positive cash flow from operations.
Each year in the past 5 years SON has been profitable.
SON had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
Looking at the Return On Assets, with a value of 2.15%, SON is doing worse than 60.00% of the companies in the same industry.
SON has a Return On Equity of 7.75%. This is in the lower half of the industry: SON underperforms 60.00% of its industry peers.
SON's Return On Invested Capital of 3.48% is on the low side compared to the rest of the industry. SON is outperformed by 76.00% of its industry peers.
SON had an Average Return On Invested Capital over the past 3 years of 3.62%. This is significantly below the industry average of 9.17%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.15% | ||
| ROE | 7.75% | ||
| ROIC | 3.48% |
ROA(3y)3.29%
ROA(5y)2.79%
ROE(3y)10.37%
ROE(5y)9.04%
ROIC(3y)3.62%
ROIC(5y)3.3%
1.3 Margins
SON has a Profit Margin of 2.31%. This is in the better half of the industry: SON outperforms 68.00% of its industry peers.
In the last couple of years the Profit Margin of SON has declined.
SON has a Operating Margin (3.46%) which is in line with its industry peers.
SON's Operating Margin has been stable in the last couple of years.
Looking at the Gross Margin, with a value of 21.73%, SON is doing worse than 60.00% of the companies in the same industry.
In the last couple of years the Gross Margin of SON has declined.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 3.46% | ||
| PM (TTM) | 2.31% | ||
| GM | 21.73% |
OM growth 3Y3.18%
OM growth 5Y-1.21%
PM growth 3Y-16.47%
PM growth 5Y-2.78%
GM growth 3Y2.33%
GM growth 5Y-7.9%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so SON is destroying value.
The number of shares outstanding for SON has been increased compared to 1 year ago.
SON has less shares outstanding than it did 5 years ago.
The debt/assets ratio for SON is higher compared to a year ago.
2.2 Solvency
Based on the Altman-Z score of 1.35, we must say that SON is in the distress zone and has some risk of bankruptcy.
SON has a Altman-Z score of 1.35. This is amonst the worse of the industry: SON underperforms 88.00% of its industry peers.
The Debt to FCF ratio of SON is 10.14, which is on the high side as it means it would take SON, 10.14 years of fcf income to pay off all of its debts.
SON has a Debt to FCF ratio (10.14) which is comparable to the rest of the industry.
A Debt/Equity ratio of 1.15 is on the high side and indicates that SON has dependencies on debt financing.
SON's Debt to Equity ratio of 1.15 is on the low side compared to the rest of the industry. SON is outperformed by 68.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.15 | ||
| Debt/FCF | 10.14 | ||
| Altman-Z | 1.35 |
ROIC/WACC0.6
WACC5.83%
2.3 Liquidity
A Current Ratio of 0.78 indicates that SON may have some problems paying its short term obligations.
SON has a Current ratio of 0.78. This is in the lower half of the industry: SON underperforms 72.00% of its industry peers.
A Quick Ratio of 0.36 indicates that SON may have some problems paying its short term obligations.
With a Quick ratio value of 0.36, SON is not doing good in the industry: 64.00% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.78 | ||
| Quick Ratio | 0.36 |
3. Growth
3.1 Past
SON shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -34.51%.
Measured over the past years, SON shows a quite strong growth in Earnings Per Share. The EPS has been growing by 8.16% on average per year.
Looking at the last year, SON shows a very strong growth in Revenue. The Revenue has grown by 23.74%.
The Revenue has been growing by 9.11% on average over the past years. This is quite good.
EPS 1Y (TTM)-34.51%
EPS 3Y-2.1%
EPS 5Y8.16%
EPS Q2Q%0%
Revenue 1Y (TTM)23.74%
Revenue growth 3Y12.61%
Revenue growth 5Y9.11%
Sales Q2Q%23.51%
3.2 Future
SON is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 6.38% yearly.
Based on estimates for the next years, SON will show a small growth in Revenue. The Revenue will grow by 6.91% on average per year.
EPS Next Y18.92%
EPS Next 2Y12.06%
EPS Next 3Y7.81%
EPS Next 5Y6.38%
Revenue Next Year15.42%
Revenue Next 2Y9.9%
Revenue Next 3Y8.5%
Revenue Next 5Y6.91%
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
A Price/Earnings ratio of 12.31 indicates a correct valuation of SON.
SON's Price/Earnings ratio is a bit cheaper when compared to the industry. SON is cheaper than 76.00% of the companies in the same industry.
SON is valuated cheaply when we compare the Price/Earnings ratio to 26.59, which is the current average of the S&P500 Index.
A Price/Forward Earnings ratio of 9.49 indicates a reasonable valuation of SON.
SON's Price/Forward Earnings ratio is rather cheap when compared to the industry. SON is cheaper than 84.00% of the companies in the same industry.
SON is valuated cheaply when we compare the Price/Forward Earnings ratio to 23.80, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.31 | ||
| Fwd PE | 9.49 |
4.2 Price Multiples
Based on the Price/Free Cash Flow ratio, SON is valued a bit cheaper than 76.00% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 7.94 | ||
| EV/EBITDA | N/A |
4.3 Compensation for Growth
SON's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
PEG (NY)0.65
PEG (5Y)1.51
EPS Next 2Y12.06%
EPS Next 3Y7.81%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 3.82%, SON has a reasonable but not impressive dividend return.
SON's Dividend Yield is a higher than the industry average which is at 3.66.
Compared to an average S&P500 Dividend Yield of 2.31, SON pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.82% |
5.2 History
The dividend of SON decreases each year by -11.66%.
Dividend Growth(5Y)-11.66%
Div Incr Years6
Div Non Decr Years6
5.3 Sustainability
SON pays out 66.73% of its income as dividend. This is not a sustainable payout ratio.
DP66.73%
EPS Next 2Y12.06%
EPS Next 3Y7.81%
ELI:SON (12/10/2025, 7:00:00 PM)
1.6
+0.01 (+0.88%)
Chartmill FA Rating
GICS SectorConsumer Staples
GICS IndustryGroupConsumer Staples Distribution & Retail
GICS IndustryConsumer Staples Distribution & Retail
Earnings (Last)
Earnings (Next)
Inst Owners11.12%
Inst Owner ChangeN/A
Ins Owners53.06%
Ins Owner ChangeN/A
Market Cap3.20B
Revenue(TTM)10.93B
Net Income(TTM)240.81M
Analysts78
Price Target1.54 (-3.75%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.82% |
Yearly Dividend0.08
Dividend Growth(5Y)-11.66%
DP66.73%
Div Incr Years6
Div Non Decr Years6
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)3.94%
PT rev (3m)1.03%
EPS NQ rev (1m)0%
EPS NQ rev (3m)0%
EPS NY rev (1m)25.53%
EPS NY rev (3m)16.3%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)0%
Revenue NY rev (1m)1.03%
Revenue NY rev (3m)1.72%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.31 | ||
| Fwd PE | 9.49 | ||
| P/S | 0.31 | ||
| P/FCF | 7.94 | ||
| P/OCF | 3.74 | ||
| P/B | 1.03 | ||
| P/tB | 4.59 | ||
| EV/EBITDA | N/A |
EPS(TTM)0.13
EY8.13%
EPS(NY)0.17
Fwd EY10.54%
FCF(TTM)0.2
FCFY12.6%
OCF(TTM)0.43
OCFY26.71%
SpS5.21
BVpS1.55
TBVpS0.35
PEG (NY)0.65
PEG (5Y)1.51
Graham Number2.13
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.15% | ||
| ROE | 7.75% | ||
| ROCE | 4.41% | ||
| ROIC | 3.48% | ||
| ROICexc | 3.69% | ||
| ROICexgc | 5.37% | ||
| OM | 3.46% | ||
| PM (TTM) | 2.31% | ||
| GM | 21.73% | ||
| FCFM | 3.87% |
ROA(3y)3.29%
ROA(5y)2.79%
ROE(3y)10.37%
ROE(5y)9.04%
ROIC(3y)3.62%
ROIC(5y)3.3%
ROICexc(3y)4.05%
ROICexc(5y)3.73%
ROICexgc(3y)5.4%
ROICexgc(5y)4.92%
ROCE(3y)4.59%
ROCE(5y)4.18%
ROICexgc growth 3Y7.22%
ROICexgc growth 5Y8.15%
ROICexc growth 3Y2.69%
ROICexc growth 5Y3.91%
OM growth 3Y3.18%
OM growth 5Y-1.21%
PM growth 3Y-16.47%
PM growth 5Y-2.78%
GM growth 3Y2.33%
GM growth 5Y-7.9%
F-Score5
Asset Turnover0.93
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.15 | ||
| Debt/FCF | 10.14 | ||
| Debt/EBITDA | N/A | ||
| Cap/Depr | N/A | ||
| Cap/Sales | 4.33% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | N/A | ||
| Profit Quality | 167.43% | ||
| Current Ratio | 0.78 | ||
| Quick Ratio | 0.36 | ||
| Altman-Z | 1.35 |
F-Score5
WACC5.83%
ROIC/WACC0.6
Cap/Depr(3y)N/A
Cap/Depr(5y)N/A
Cap/Sales(3y)4.28%
Cap/Sales(5y)4.03%
Profit Quality(3y)128.34%
Profit Quality(5y)187.55%
High Growth Momentum
Growth
EPS 1Y (TTM)-34.51%
EPS 3Y-2.1%
EPS 5Y8.16%
EPS Q2Q%0%
EPS Next Y18.92%
EPS Next 2Y12.06%
EPS Next 3Y7.81%
EPS Next 5Y6.38%
Revenue 1Y (TTM)23.74%
Revenue growth 3Y12.61%
Revenue growth 5Y9.11%
Sales Q2Q%23.51%
Revenue Next Year15.42%
Revenue Next 2Y9.9%
Revenue Next 3Y8.5%
Revenue Next 5Y6.91%
EBIT growth 1Y15.94%
EBIT growth 3Y16.2%
EBIT growth 5Y7.79%
EBIT Next Year138.06%
EBIT Next 3Y38.93%
EBIT Next 5Y26.14%
FCF growth 1Y37.6%
FCF growth 3Y8.46%
FCF growth 5Y10.74%
OCF growth 1Y34.54%
OCF growth 3Y13.52%
OCF growth 5Y8.41%
SONAE / SON.LS FAQ
What is the ChartMill fundamental rating of SONAE (SON.LS) stock?
ChartMill assigns a fundamental rating of 3 / 10 to SON.LS.
What is the valuation status for SON stock?
ChartMill assigns a valuation rating of 6 / 10 to SONAE (SON.LS). This can be considered as Fairly Valued.
What is the profitability of SON stock?
SONAE (SON.LS) has a profitability rating of 3 / 10.
What is the valuation of SONAE based on its PE and PB ratios?
The Price/Earnings (PE) ratio for SONAE (SON.LS) is 12.31 and the Price/Book (PB) ratio is 1.03.
What is the expected EPS growth for SONAE (SON.LS) stock?
The Earnings per Share (EPS) of SONAE (SON.LS) is expected to grow by 18.92% in the next year.