SOPRA STERIA GROUP (SOP.PA) Stock Fundamental Analysis
Europe - Euronext Paris - EPA:SOP - FR0000050809 - Common Stock
156.7 EUR
+0.3 (+0.19%)
Taking everything into account, SOP scores 5 out of 10 in our fundamental rating. SOP was compared to 76 industry peers in the IT Services industry. SOP has an excellent profitability rating, 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
SOP had positive earnings in the past year.
SOP had a positive operating cash flow in the past year.
In the past 5 years SOP has always been profitable.
SOP had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
The Return On Assets of SOP (4.81%) is comparable to the rest of the industry.
SOP has a better Return On Equity (13.72%) than 63.16% of its industry peers.
SOP has a Return On Invested Capital of 11.03%. This is in the better half of the industry: SOP outperforms 73.68% of its industry peers.
SOP had an Average Return On Invested Capital over the past 3 years of 10.67%. This is significantly below the industry average of 25.87%.
The last Return On Invested Capital (11.03%) for SOP is above the 3 year average (10.67%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.81% | ||
| ROE | 13.72% | ||
| ROIC | 11.03% |
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 Profit Margin value of 4.76%, SOP perfoms like the industry average, outperforming 59.21% of the companies in the same industry.
In the last couple of years the Profit Margin of SOP has grown nicely.
SOP's Operating Margin of 8.81% is fine compared to the rest of the industry. SOP outperforms 65.79% of its industry peers.
In the last couple of years the Operating Margin of SOP has grown nicely.
With a decent Gross Margin value of 76.49%, SOP is doing good in the industry, outperforming 68.42% of the companies in the same industry.
SOP's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 8.81% | ||
| 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
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so SOP is still creating some value.
Compared to 1 year ago, SOP has less shares outstanding
SOP has less shares outstanding than it did 5 years ago.
Compared to 1 year ago, SOP has an improved debt to assets ratio.
2.2 Solvency
An Altman-Z score of 2.19 indicates that SOP is not a great score, but indicates only limited risk for bankruptcy at the moment.
The Altman-Z score of SOP (2.19) is comparable to the rest of the industry.
SOP has a debt to FCF ratio of 3.24. This is a good value and a sign of high solvency as SOP would need 3.24 years to pay back of all of its debts.
SOP has a Debt to FCF ratio (3.24) which is in line with 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.
SOP's Debt to Equity ratio of 0.48 is in line compared to the rest of the industry. SOP outperforms 48.68% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.48 | ||
| Debt/FCF | 3.24 | ||
| Altman-Z | 2.19 |
ROIC/WACC1.74
WACC6.35%
2.3 Liquidity
SOP has a Current 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 Current ratio of 0.89 is on the low side compared to the rest of the industry. SOP is outperformed by 78.95% 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.
Looking at the Quick ratio, with a value of 0.89, SOP is doing worse than 71.05% of the companies in the same industry.
| 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 44.17%, which is quite impressive.
The Earnings Per Share has been growing by 9.39% on average over the past years. This is quite good.
The Revenue has decreased by -1.23% in the past year.
The Revenue has been growing slightly by 5.43% on average over the past years.
EPS 1Y (TTM)44.17%
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
SOP is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 1.77% yearly.
SOP is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 2.31% yearly.
EPS Next Y-9.1%
EPS Next 2Y-1.61%
EPS Next 3Y1.26%
EPS Next 5Y1.77%
Revenue Next Year-3.42%
Revenue Next 2Y-1.01%
Revenue Next 3Y0.38%
Revenue Next 5Y2.31%
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 decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
SOP is valuated reasonably with a Price/Earnings ratio of 11.51.
Based on the Price/Earnings ratio, SOP is valued cheaply inside the industry as 90.79% of the companies are valued more expensively.
The average S&P500 Price/Earnings ratio is at 27.19. SOP is valued rather cheaply when compared to this.
A Price/Forward Earnings ratio of 8.92 indicates a reasonable valuation of SOP.
Based on the Price/Forward Earnings ratio, SOP is valued cheaper than 86.84% of the companies in the same industry.
SOP is valuated cheaply when we compare the Price/Forward Earnings ratio to 23.92, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.51 | ||
| Fwd PE | 8.92 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, SOP is valued a bit cheaper than 75.00% of the companies in the same industry.
82.89% of the companies in the same industry are more expensive than SOP, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 8.05 | ||
| EV/EBITDA | 6.26 |
4.3 Compensation for Growth
The decent profitability rating of SOP may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)1.23
EPS Next 2Y-1.61%
EPS Next 3Y1.26%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 3.06%, SOP has a reasonable but not impressive dividend return.
Compared to an average industry Dividend Yield of 2.26, SOP pays a bit more dividend than its industry peers.
Compared to an average S&P500 Dividend Yield of 1.92, SOP pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.06% |
5.2 History
On average, the dividend of SOP grows each year by 20.50%, which is quite nice.
Dividend Growth(5Y)20.5%
Div Incr Years2
Div Non Decr Years3
5.3 Sustainability
33.41% of the earnings are spent on dividend by SOP. This is a low number and sustainable payout ratio.
The dividend of SOP is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP33.41%
EPS Next 2Y-1.61%
EPS Next 3Y1.26%
EPA:SOP (1/12/2026, 5:29:06 PM)
156.7
+0.3 (+0.19%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSoftware & Services
GICS IndustryIT Services
Earnings (Last)
Earnings (Next)
Inst Owners43.93%
Inst Owner ChangeN/A
Ins Owners0.18%
Ins Owner ChangeN/A
Market Cap3.22B
Revenue(TTM)5.67B
Net Income(TTM)270.00M
Analysts82.86
Price Target203.9 (30.12%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.06% |
Yearly Dividend4.72
Dividend Growth(5Y)20.5%
DP33.41%
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)-2.96%
PT rev (3m)-12.21%
EPS NQ rev (1m)N/A
EPS NQ rev (3m)N/A
EPS NY rev (1m)-0.74%
EPS NY rev (3m)-2.29%
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)-0.07%
Revenue NY rev (3m)-0.82%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.51 | ||
| Fwd PE | 8.92 | ||
| P/S | 0.57 | ||
| P/FCF | 8.05 | ||
| P/OCF | 6.89 | ||
| P/B | 1.64 | ||
| P/tB | N/A | ||
| EV/EBITDA | 6.26 |
EPS(TTM)13.61
EY8.69%
EPS(NY)17.56
Fwd EY11.2%
FCF(TTM)19.47
FCFY12.43%
OCF(TTM)22.76
OCFY14.52%
SpS275.97
BVpS95.8
TBVpS-30.03
PEG (NY)N/A
PEG (5Y)1.23
Graham Number171.28
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.81% | ||
| ROE | 13.72% | ||
| ROCE | 15.08% | ||
| ROIC | 11.03% | ||
| ROICexc | 11.54% | ||
| ROICexgc | 62.89% | ||
| OM | 8.81% | ||
| PM (TTM) | 4.76% | ||
| GM | 76.49% | ||
| FCFM | 7.06% |
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 | 3.24 | ||
| Debt/EBITDA | 1.35 | ||
| Cap/Depr | 34.3% | ||
| Cap/Sales | 1.19% | ||
| Interest Coverage | 15.33 | ||
| Cash Conversion | 67.15% | ||
| Profit Quality | 148.22% | ||
| Current Ratio | 0.89 | ||
| Quick Ratio | 0.89 | ||
| Altman-Z | 2.19 |
F-Score8
WACC6.35%
ROIC/WACC1.74
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)44.17%
EPS 3Y10.32%
EPS 5Y9.39%
EPS Q2Q%19.95%
EPS Next Y-9.1%
EPS Next 2Y-1.61%
EPS Next 3Y1.26%
EPS Next 5Y1.77%
Revenue 1Y (TTM)-1.23%
Revenue growth 3Y7.25%
Revenue growth 5Y5.43%
Sales Q2Q%-3.58%
Revenue Next Year-3.42%
Revenue Next 2Y-1.01%
Revenue Next 3Y0.38%
Revenue Next 5Y2.31%
EBIT growth 1Y1.24%
EBIT growth 3Y13.16%
EBIT growth 5Y11%
EBIT Next Year30.16%
EBIT Next 3Y11.79%
EBIT Next 5Y9.62%
FCF growth 1Y-13.88%
FCF growth 3Y12.48%
FCF growth 5Y9.29%
OCF growth 1Y-16.65%
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.
What is the valuation status for SOP stock?
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.
How financially healthy is SOPRA STERIA GROUP?
The financial health rating of SOPRA STERIA GROUP (SOP.PA) is 4 / 10.
How sustainable is the dividend of SOPRA STERIA GROUP (SOP.PA) stock?
The dividend rating of SOPRA STERIA GROUP (SOP.PA) is 6 / 10 and the dividend payout ratio is 33.41%.