SOPRA STERIA GROUP (SOP.PA) Stock Fundamental Analysis
Europe - Euronext Paris - EPA:SOP - FR0000050809 - Common Stock
151.2 EUR
-3.4 (-2.2%)
SOP gets a fundamental rating of 5 out of 10. The analysis compared the fundamentals against 68 industry peers in the IT Services industry. SOP has an excellent profitability rating, but there are some minor concerns on its financial health. SOP has a correct valuation and a medium growth rate.
1. Profitability
1.1 Basic Checks
SOP had positive earnings in the past year.
In the past year SOP had a positive cash flow from operations.
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 (4.80%) is comparable to the rest of the industry.
The Return On Equity of SOP (13.71%) is better than 64.71% of its industry peers.
SOP's Return On Invested Capital of 11.01% is fine compared to the rest of the industry. SOP outperforms 76.47% of its industry peers.
The Average Return On Invested Capital over the past 3 years for SOP is in line with the industry average of 11.04%.
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
SOP's Profit Margin of 4.76% is in line compared to the rest of the industry. SOP outperforms 58.82% of its industry peers.
SOP's Profit Margin has improved in the last couple of years.
With a decent Operating Margin value of 8.80%, SOP is doing good in the industry, outperforming 63.24% of the companies in the same industry.
In the last couple of years the Operating Margin of SOP has grown nicely.
SOP has a better Gross Margin (76.49%) than 66.18% of its industry peers.
In the last couple of years the Gross Margin of SOP has remained more or less at the same level.
| 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
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so SOP is still creating some value.
The number of shares outstanding for SOP has been reduced compared to 1 year ago.
The number of shares outstanding for SOP has been reduced compared to 5 years ago.
Compared to 1 year ago, SOP has an improved debt to assets ratio.
2.2 Solvency
SOP has an Altman-Z score of 2.18. 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.
With a Altman-Z score value of 2.18, SOP is not doing good in the industry: 60.29% of the companies in the same industry are doing better.
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.
Looking at the Debt to FCF ratio, with a value of 3.23, SOP is in line with its industry, outperforming 54.41% of the companies in the same industry.
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 47.06% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.48 | ||
| Debt/FCF | 3.23 | ||
| Altman-Z | 2.18 |
ROIC/WACC1.7
WACC6.46%
2.3 Liquidity
A Current Ratio of 0.89 indicates that SOP may have some problems paying its short term obligations.
SOP has a worse Current ratio (0.89) than 79.41% 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 72.06% 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.
Measured over the past years, SOP shows a quite strong growth in Earnings Per Share. The EPS has been growing by 9.39% on average per year.
Looking at the last year, SOP shows a decrease in Revenue. The Revenue has decreased by -1.23% in the last year.
SOP shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 5.43% yearly.
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
SOP is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 2.39% yearly.
The Revenue is expected to grow by 2.83% on average over the next years.
EPS Next Y-9.1%
EPS Next 2Y-1.61%
EPS Next 3Y1.26%
EPS Next 5Y2.39%
Revenue Next Year-3.42%
Revenue Next 2Y-1.01%
Revenue Next 3Y0.38%
Revenue Next 5Y2.83%
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
Based on the Price/Earnings ratio of 11.17, the valuation of SOP can be described as reasonable.
Based on the Price/Earnings ratio, SOP is valued cheaper than 89.71% of the companies in the same industry.
Compared to an average S&P500 Price/Earnings ratio of 26.60, SOP is valued rather cheaply.
With a Price/Forward Earnings ratio of 8.61, the valuation of SOP can be described as very reasonable.
Based on the Price/Forward Earnings ratio, SOP is valued cheaper than 89.71% of the companies in the same industry.
Compared to an average S&P500 Price/Forward Earnings ratio of 23.23, SOP is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.17 | ||
| Fwd PE | 8.61 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, SOP is valued a bit cheaper than 69.12% of the companies in the same industry.
SOP's Price/Free Cash Flow ratio is a bit cheaper when compared to the industry. SOP is cheaper than 79.41% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 7.75 | ||
| EV/EBITDA | 6.22 |
4.3 Compensation for Growth
SOP has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)1.19
EPS Next 2Y-1.61%
EPS Next 3Y1.26%
5. Dividend
5.1 Amount
SOP has a Yearly Dividend Yield of 3.01%. Purely for dividend investing, there may be better candidates out there.
SOP's Dividend Yield is a higher than the industry average which is at 2.41.
Compared to an average S&P500 Dividend Yield of 2.00, SOP pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.01% |
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-1.61%
EPS Next 3Y1.26%
EPA:SOP (1/2/2026, 5:29:53 PM)
151.2
-3.4 (-2.2%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSoftware & Services
GICS IndustryIT Services
Earnings (Last)
Earnings (Next)
Inst Owners44.57%
Inst Owner ChangeN/A
Ins Owners0.18%
Ins Owner ChangeN/A
Market Cap3.11B
Revenue(TTM)5.67B
Net Income(TTM)269.80M
Analysts82.86
Price Target203.9 (34.85%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.01% |
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)-2.96%
PT rev (3m)-12.21%
EPS NQ rev (1m)N/A
EPS NQ rev (3m)N/A
EPS NY rev (1m)-1.12%
EPS NY rev (3m)-2.29%
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)-0.18%
Revenue NY rev (3m)-0.87%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.17 | ||
| Fwd PE | 8.61 | ||
| P/S | 0.55 | ||
| P/FCF | 7.75 | ||
| P/OCF | 6.63 | ||
| P/B | 1.58 | ||
| P/tB | N/A | ||
| EV/EBITDA | 6.22 |
EPS(TTM)13.54
EY8.96%
EPS(NY)17.56
Fwd EY11.61%
FCF(TTM)19.52
FCFY12.91%
OCF(TTM)22.79
OCFY15.07%
SpS275.97
BVpS95.8
TBVpS-30.03
PEG (NY)N/A
PEG (5Y)1.19
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 | 2.18 |
F-Score8
WACC6.46%
ROIC/WACC1.7
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-9.1%
EPS Next 2Y-1.61%
EPS Next 3Y1.26%
EPS Next 5Y2.39%
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 5Y2.83%
EBIT growth 1Y1.09%
EBIT growth 3Y13.16%
EBIT growth 5Y11%
EBIT Next Year30.16%
EBIT Next 3Y11.79%
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.
What is the valuation status for SOP stock?
ChartMill assigns a valuation rating of 6 / 10 to SOPRA STERIA GROUP (SOP.PA). This can be considered as Fairly Valued.
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 33.43%.