SOPRA STERIA GROUP (SOP.PA) Stock Fundamental Analysis
Europe - Euronext Paris - EPA:SOP - FR0000050809 - Common Stock
132.4 EUR
+0.8 (+0.61%)
SOP gets a fundamental rating of 5 out of 10. The analysis compared the fundamentals against 72 industry peers in the IT Services industry. SOP scores excellent on profitability, but there are some minor concerns on its financial health. SOP scores decently on growth, while it is valued quite cheap. This could make an interesting combination.
1. Profitability
1.1 Basic Checks
In the past year SOP was profitable.
SOP had a positive operating cash flow in the past year.
SOP had positive earnings in each of the past 5 years.
SOP had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
SOP's Return On Assets of 4.80% is in line compared to the rest of the industry. SOP outperforms 56.94% of its industry peers.
Looking at the Return On Equity, with a value of 13.71%, SOP is in the better half of the industry, outperforming 62.50% of the companies in the same industry.
Looking at the Return On Invested Capital, with a value of 11.01%, SOP is in the better half of the industry, outperforming 75.00% of the companies in the same industry.
Measured over the past 3 years, the Average Return On Invested Capital for SOP is in line with the industry average of 11.90%.
The last Return On Invested Capital (11.01%) for SOP is above the 3 year average (10.67%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.8% | ||
| ROE | 13.71% | ||
| ROIC | 11.01% |
ROA(3y)4.16%
ROA(5y)3.75%
ROE(3y)12.07%
ROE(5y)11.05%
ROIC(3y)10.67%
ROIC(5y)9.58%
1.3 Margins
With a decent Profit Margin value of 4.76%, SOP is doing good in the industry, outperforming 61.11% of the companies in the same industry.
SOP's Profit Margin has improved in the last couple of years.
SOP's Operating Margin of 8.80% is fine compared to the rest of the industry. SOP outperforms 65.28% of its industry peers.
In the last couple of years the Operating Margin of SOP has grown nicely.
SOP's Gross Margin of 76.49% is fine compared to the rest of the industry. SOP outperforms 69.44% of its industry peers.
SOP's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 8.8% | ||
| PM (TTM) | 4.76% | ||
| GM | 76.49% |
OM growth 3Y5.51%
OM growth 5Y5.28%
PM growth 3Y2.72%
PM growth 5Y3.75%
GM growth 3Y0.74%
GM growth 5Y1.12%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) well above the Cost of Capital (WACC), SOP is creating value.
The number of shares outstanding for SOP has been reduced compared to 1 year ago.
Compared to 5 years ago, SOP has less shares outstanding
Compared to 1 year ago, SOP has an improved debt to assets ratio.
2.2 Solvency
SOP has an Altman-Z score of 2.11. This is not the best score and indicates that SOP is in the grey zone with still only limited risk for bankruptcy at the moment.
SOP has a worse Altman-Z score (2.11) than 62.50% of its industry peers.
The Debt to FCF ratio of SOP is 3.23, which is a good value as it means it would take SOP, 3.23 years of fcf income to pay off all of its debts.
SOP's Debt to FCF ratio of 3.23 is in line compared to the rest of the industry. SOP outperforms 55.56% of its industry peers.
SOP has a Debt/Equity ratio of 0.48. This is a healthy value indicating a solid balance between debt and equity.
The Debt to Equity ratio of SOP (0.48) is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.48 | ||
| Debt/FCF | 3.23 | ||
| Altman-Z | 2.11 |
ROIC/WACC1.81
WACC6.1%
2.3 Liquidity
A Current Ratio of 0.89 indicates that SOP may have some problems paying its short term obligations.
The Current ratio of SOP (0.89) is worse than 80.56% of its industry peers.
SOP has a Quick Ratio of 0.89. This is a bad value and indicates that SOP is not financially healthy enough and could expect problems in meeting its short term obligations.
SOP's Quick ratio of 0.89 is on the low side compared to the rest of the industry. SOP is outperformed by 72.22% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.89 | ||
| Quick Ratio | 0.89 |
3. Growth
3.1 Past
SOP shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 43.42%, which is quite impressive.
The Earnings Per Share has been growing by 9.39% on average over the past years. This is quite good.
Looking at the last year, SOP shows a decrease in Revenue. The Revenue has decreased by -1.23% in the last year.
The Revenue has been growing slightly by 5.43% on average over the past years.
EPS 1Y (TTM)43.42%
EPS 3Y10.32%
EPS 5Y9.39%
EPS Q2Q%19.95%
Revenue 1Y (TTM)-1.23%
Revenue growth 3Y7.25%
Revenue growth 5Y5.43%
Sales Q2Q%-3.58%
3.2 Future
The Earnings Per Share is expected to grow by 2.38% on average over the next years.
Based on estimates for the next years, SOP will show a small growth in Revenue. The Revenue will grow by 2.82% on average per year.
EPS Next Y-8.07%
EPS Next 2Y-0.86%
EPS Next 3Y1.83%
EPS Next 5Y2.38%
Revenue Next Year-3.25%
Revenue Next 2Y-0.88%
Revenue Next 3Y0.53%
Revenue Next 5Y2.82%
3.3 Evolution
The EPS growth rate is decreasing: in the next years the growth will be less 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 decreasing.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 9.78, the valuation of SOP can be described as reasonable.
Compared to the rest of the industry, the Price/Earnings ratio of SOP indicates a rather cheap valuation: SOP is cheaper than 95.83% of the companies listed in the same industry.
When comparing the Price/Earnings ratio of SOP to the average of the S&P500 Index (25.98), we can say SOP is valued rather cheaply.
A Price/Forward Earnings ratio of 7.43 indicates a rather cheap valuation of SOP.
SOP's Price/Forward Earnings ratio is rather cheap when compared to the industry. SOP is cheaper than 88.89% of the companies in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 35.79. SOP is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 9.78 | ||
| Fwd PE | 7.43 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, SOP is valued a bit cheaper than 77.78% of the companies in the same industry.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of SOP indicates a rather cheap valuation: SOP is cheaper than 87.50% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 6.78 | ||
| EV/EBITDA | 5.54 |
4.3 Compensation for Growth
The decent profitability rating of SOP may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)1.04
EPS Next 2Y-0.86%
EPS Next 3Y1.83%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 3.61%, SOP has a reasonable but not impressive dividend return.
Compared to an average industry Dividend Yield of 3.92, SOP pays a bit more dividend than its industry peers.
Compared to an average S&P500 Dividend Yield of 2.41, SOP pays a bit more dividend than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.61% |
5.2 History
The dividend of SOP is nicely growing with an annual growth rate of 20.50%!
Dividend Growth(5Y)20.5%
Div Incr Years2
Div Non Decr Years3
5.3 Sustainability
SOP pays out 33.43% of its income as dividend. This is a sustainable payout ratio.
SOP's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP33.43%
EPS Next 2Y-0.86%
EPS Next 3Y1.83%
EPA:SOP (11/26/2025, 2:35:03 PM)
132.4
+0.8 (+0.61%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSoftware & Services
GICS IndustryIT Services
Earnings (Last)
Earnings (Next)
Inst Owners43.75%
Inst Owner ChangeN/A
Ins Owners0.18%
Ins Owner ChangeN/A
Market Cap2.72B
Revenue(TTM)5.67B
Net Income(TTM)269.80M
Analysts82.86
Price Target210.12 (58.7%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.61% |
Yearly Dividend4.72
Dividend Growth(5Y)20.5%
DP33.43%
Div Incr Years2
Div Non Decr Years3
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)-9.53%
PT rev (3m)-9.53%
EPS NQ rev (1m)N/A
EPS NQ rev (3m)N/A
EPS NY rev (1m)-1.18%
EPS NY rev (3m)-2.04%
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)-0.64%
Revenue NY rev (3m)-0.66%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 9.78 | ||
| Fwd PE | 7.43 | ||
| P/S | 0.48 | ||
| P/FCF | 6.78 | ||
| P/OCF | 5.81 | ||
| P/B | 1.38 | ||
| P/tB | N/A | ||
| EV/EBITDA | 5.54 |
EPS(TTM)13.54
EY10.23%
EPS(NY)17.82
Fwd EY13.46%
FCF(TTM)19.52
FCFY14.74%
OCF(TTM)22.79
OCFY17.21%
SpS275.97
BVpS95.8
TBVpS-30.03
PEG (NY)N/A
PEG (5Y)1.04
Graham Number170.83
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.8% | ||
| ROE | 13.71% | ||
| ROCE | 15.06% | ||
| ROIC | 11.01% | ||
| ROICexc | 11.52% | ||
| ROICexgc | 62.81% | ||
| OM | 8.8% | ||
| PM (TTM) | 4.76% | ||
| GM | 76.49% | ||
| FCFM | 7.07% |
ROA(3y)4.16%
ROA(5y)3.75%
ROE(3y)12.07%
ROE(5y)11.05%
ROIC(3y)10.67%
ROIC(5y)9.58%
ROICexc(3y)11.97%
ROICexc(5y)10.63%
ROICexgc(3y)121.68%
ROICexgc(5y)90.7%
ROCE(3y)14.59%
ROCE(5y)13.1%
ROICexgc growth 3Y39.77%
ROICexgc growth 5Y23.23%
ROICexc growth 3Y10.54%
ROICexc growth 5Y8.39%
OM growth 3Y5.51%
OM growth 5Y5.28%
PM growth 3Y2.72%
PM growth 5Y3.75%
GM growth 3Y0.74%
GM growth 5Y1.12%
F-Score8
Asset Turnover1.01
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.48 | ||
| Debt/FCF | 3.23 | ||
| Debt/EBITDA | 1.35 | ||
| Cap/Depr | 34.15% | ||
| Cap/Sales | 1.18% | ||
| Interest Coverage | 15.45 | ||
| Cash Conversion | 67.3% | ||
| Profit Quality | 148.67% | ||
| Current Ratio | 0.89 | ||
| Quick Ratio | 0.89 | ||
| Altman-Z | 2.11 |
F-Score8
WACC6.1%
ROIC/WACC1.81
Cap/Depr(3y)38%
Cap/Depr(5y)32.61%
Cap/Sales(3y)1.66%
Cap/Sales(5y)1.48%
Profit Quality(3y)227.03%
Profit Quality(5y)244.93%
High Growth Momentum
Growth
EPS 1Y (TTM)43.42%
EPS 3Y10.32%
EPS 5Y9.39%
EPS Q2Q%19.95%
EPS Next Y-8.07%
EPS Next 2Y-0.86%
EPS Next 3Y1.83%
EPS Next 5Y2.38%
Revenue 1Y (TTM)-1.23%
Revenue growth 3Y7.25%
Revenue growth 5Y5.43%
Sales Q2Q%-3.58%
Revenue Next Year-3.25%
Revenue Next 2Y-0.88%
Revenue Next 3Y0.53%
Revenue Next 5Y2.82%
EBIT growth 1Y1.09%
EBIT growth 3Y13.16%
EBIT growth 5Y11%
EBIT Next Year32.56%
EBIT Next 3Y13.38%
EBIT Next 5Y8.81%
FCF growth 1Y-13.69%
FCF growth 3Y12.48%
FCF growth 5Y9.29%
OCF growth 1Y-16.54%
OCF growth 3Y12.31%
OCF growth 5Y9.2%
SOPRA STERIA GROUP / SOP.PA FAQ
What is the fundamental rating for SOP stock?
ChartMill assigns a fundamental rating of 5 / 10 to SOP.PA.
Can you provide the valuation status for SOPRA STERIA GROUP?
ChartMill assigns a valuation rating of 7 / 10 to SOPRA STERIA GROUP (SOP.PA). This can be considered as Undervalued.
Can you provide the profitability details for SOPRA STERIA GROUP?
SOPRA STERIA GROUP (SOP.PA) has a profitability rating of 7 / 10.
Can you provide the PE and PB ratios for SOP stock?
The Price/Earnings (PE) ratio for SOPRA STERIA GROUP (SOP.PA) is 9.78 and the Price/Book (PB) ratio is 1.38.
What is the earnings growth outlook for SOPRA STERIA GROUP?
The Earnings per Share (EPS) of SOPRA STERIA GROUP (SOP.PA) is expected to decline by -8.07% in the next year.