VINCI SA (SQU.DE) Stock Fundamental Analysis
FRA:SQU - Deutsche Boerse Ag - FR0000125486 - Common Stock - Currency: EUR
SQU gets a fundamental rating of 4 out of 10. The analysis compared the fundamentals against 39 industry peers in the Construction & Engineering industry. SQU scores excellent on profitability, but there are concerns on its financial health. SQU has a correct valuation and a medium growth rate.
1. Profitability
1.1 Basic Checks
In the past year SQU was profitable.
SQU had a positive operating cash flow in the past year.
Each year in the past 5 years SQU has been profitable.
SQU had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
With a decent Return On Assets value of 3.76%, SQU is doing good in the industry, outperforming 61.54% of the companies in the same industry.
SQU has a Return On Equity (16.24%) which is in line with its industry peers.
The Return On Invested Capital of SQU (8.15%) is comparable to the rest of the industry.
The Average Return On Invested Capital over the past 3 years for SQU is below the industry average of 11.04%.
The 3 year average ROIC (7.75%) for SQU is below the current ROIC(8.15%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.76% | ||
| ROE | 16.24% | ||
| ROIC | 8.15% |
ROA(3y)3.84%
ROA(5y)3.09%
ROE(3y)16.46%
ROE(5y)13.34%
ROIC(3y)7.75%
ROIC(5y)6.34%
1.3 Margins
Looking at the Profit Margin, with a value of 6.71%, SQU is in the better half of the industry, outperforming 69.23% of the companies in the same industry.
In the last couple of years the Profit Margin of SQU has remained more or less at the same level.
The Operating Margin of SQU (11.91%) is better than 84.62% of its industry peers.
SQU's Operating Margin has been stable in the last couple of years.
The Gross Margin of SQU (78.39%) is better than 94.87% of its industry peers.
SQU's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 11.91% | ||
| PM (TTM) | 6.71% | ||
| GM | 78.39% |
OM growth 3Y10.35%
OM growth 5Y1.22%
PM growth 3Y8.91%
PM growth 5Y0.07%
GM growth 3Y-0.11%
GM growth 5Y-0.08%
2. Health
2.1 Basic Checks
SQU has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
SQU has less shares outstanding than it did 1 year ago.
The number of shares outstanding for SQU has been increased compared to 5 years ago.
Compared to 1 year ago, SQU has a worse debt to assets ratio.
2.2 Solvency
Based on the Altman-Z score of 1.31, we must say that SQU is in the distress zone and has some risk of bankruptcy.
With a Altman-Z score value of 1.31, SQU is not doing good in the industry: 66.67% of the companies in the same industry are doing better.
SQU has a debt to FCF ratio of 4.76. This is a neutral value as SQU would need 4.76 years to pay back of all of its debts.
Looking at the Debt to FCF ratio, with a value of 4.76, SQU is in line with its industry, outperforming 51.28% of the companies in the same industry.
SQU has a Debt/Equity ratio of 1.08. This is a high value indicating a heavy dependency on external financing.
The Debt to Equity ratio of SQU (1.08) is worse than 71.79% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.08 | ||
| Debt/FCF | 4.76 | ||
| Altman-Z | 1.31 |
ROIC/WACC1.3
WACC6.27%
2.3 Liquidity
A Current Ratio of 0.85 indicates that SQU may have some problems paying its short term obligations.
The Current ratio of SQU (0.85) is worse than 84.62% of its industry peers.
SQU has a Quick Ratio of 0.85. This is a bad value and indicates that SQU is not financially healthy enough and could expect problems in meeting its short term obligations.
SQU has a Quick ratio of 0.81. This is in the lower half of the industry: SQU underperforms 74.36% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.85 | ||
| Quick Ratio | 0.81 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 43.12% over the past year.
The Earnings Per Share has been growing slightly by 7.69% on average over the past years.
Looking at the last year, SQU shows a small growth in Revenue. The Revenue has grown by 4.08% in the last year.
SQU shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 8.25% yearly.
EPS 1Y (TTM)43.12%
EPS 3Y23.18%
EPS 5Y7.69%
EPS Q2Q%121.87%
Revenue 1Y (TTM)4.08%
Revenue growth 3Y13.18%
Revenue growth 5Y8.25%
Sales Q2Q%3.77%
3.2 Future
Based on estimates for the next years, SQU will show a small growth in Earnings Per Share. The EPS will grow by 4.77% on average per year.
SQU is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 1.31% yearly.
EPS Next Y5.9%
EPS Next 2Y8.83%
EPS Next 3Y8.25%
EPS Next 5Y4.77%
Revenue Next Year4.11%
Revenue Next 2Y3.75%
Revenue Next 3Y1.31%
Revenue Next 5YN/A
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
With a Price/Earnings ratio of 14.40, SQU is valued correctly.
The rest of the industry has a similar Price/Earnings ratio as SQU.
SQU is valuated cheaply when we compare the Price/Earnings ratio to 28.92, which is the current average of the S&P500 Index.
SQU is valuated correctly with a Price/Forward Earnings ratio of 13.60.
The rest of the industry has a similar Price/Forward Earnings ratio as SQU.
Compared to an average S&P500 Price/Forward Earnings ratio of 21.65, SQU is valued a bit cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 14.4 | ||
| Fwd PE | 13.6 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of SQU is on the same level as its industry peers.
SQU's Price/Free Cash Flow ratio is in line with the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 9.28 | ||
| EV/EBITDA | 7.07 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates SQU does not grow enough to justify the current Price/Earnings ratio.
SQU has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)2.44
PEG (5Y)1.87
EPS Next 2Y8.83%
EPS Next 3Y8.25%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 3.97%, SQU has a reasonable but not impressive dividend return.
Compared to an average industry Dividend Yield of 3.69, SQU pays a bit more dividend than its industry peers.
Compared to an average S&P500 Dividend Yield of 2.51, SQU pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.97% |
5.2 History
On average, the dividend of SQU grows each year by 10.84%, which is quite nice.
Dividend Growth(5Y)10.84%
Div Incr Years3
Div Non Decr Years3
5.3 Sustainability
SQU pays out 52.85% of its income as dividend. This is a bit on the high side, but may be sustainable.
SQU's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP52.85%
EPS Next 2Y8.83%
EPS Next 3Y8.25%
FRA:SQU (4/24/2025, 7:00:00 PM)
121.4
+1.95 (+1.63%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryConstruction & Engineering
Earnings (Last)
Earnings (Next)
Inst Owners32.81%
Inst Owner ChangeN/A
Ins Owners0.06%
Ins Owner ChangeN/A
Market Cap70.70B
Analysts83.13
Price Target137.3 (13.1%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.97% |
Yearly Dividend4.54
Dividend Growth(5Y)10.84%
DP52.85%
Div Incr Years3
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)0.85%
PT rev (3m)2.61%
EPS NQ rev (1m)N/A
EPS NQ rev (3m)N/A
EPS NY rev (1m)0.03%
EPS NY rev (3m)-2.17%
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)0%
Revenue NY rev (3m)0.01%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 14.4 | ||
| Fwd PE | 13.6 | ||
| P/S | 0.98 | ||
| P/FCF | 9.28 | ||
| P/OCF | 6.06 | ||
| P/B | 2.36 | ||
| P/tB | N/A | ||
| EV/EBITDA | 7.07 |
EPS(TTM)8.43
EY6.94%
EPS(NY)8.93
Fwd EY7.35%
FCF(TTM)13.09
FCFY10.78%
OCF(TTM)20.04
OCFY16.51%
SpS124.41
BVpS51.42
TBVpS-53.28
PEG (NY)2.44
PEG (5Y)1.87
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.76% | ||
| ROE | 16.24% | ||
| ROCE | 11.51% | ||
| ROIC | 8.15% | ||
| ROICexc | 10.33% | ||
| ROICexgc | N/A | ||
| OM | 11.91% | ||
| PM (TTM) | 6.71% | ||
| GM | 78.39% | ||
| FCFM | 10.52% |
ROA(3y)3.84%
ROA(5y)3.09%
ROE(3y)16.46%
ROE(5y)13.34%
ROIC(3y)7.75%
ROIC(5y)6.34%
ROICexc(3y)9.88%
ROICexc(5y)8.03%
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)11.05%
ROCE(5y)9.03%
ROICexcg growth 3YN/A
ROICexcg growth 5YN/A
ROICexc growth 3Y16.34%
ROICexc growth 5Y5.89%
OM growth 3Y10.35%
OM growth 5Y1.22%
PM growth 3Y8.91%
PM growth 5Y0.07%
GM growth 3Y-0.11%
GM growth 5Y-0.08%
F-Score5
Asset Turnover0.56
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.08 | ||
| Debt/FCF | 4.76 | ||
| Debt/EBITDA | 2.57 | ||
| Cap/Depr | 101.35% | ||
| Cap/Sales | 5.59% | ||
| Interest Coverage | 7.33 | ||
| Cash Conversion | 92.43% | ||
| Profit Quality | 156.74% | ||
| Current Ratio | 0.85 | ||
| Quick Ratio | 0.81 | ||
| Altman-Z | 1.31 |
F-Score5
WACC6.27%
ROIC/WACC1.3
Cap/Depr(3y)95.32%
Cap/Depr(5y)83.63%
Cap/Sales(3y)5.33%
Cap/Sales(5y)5.01%
Profit Quality(3y)150.53%
Profit Quality(5y)205.78%
High Growth Momentum
Growth
EPS 1Y (TTM)43.12%
EPS 3Y23.18%
EPS 5Y7.69%
EPS Q2Q%121.87%
EPS Next Y5.9%
EPS Next 2Y8.83%
EPS Next 3Y8.25%
EPS Next 5Y4.77%
Revenue 1Y (TTM)4.08%
Revenue growth 3Y13.18%
Revenue growth 5Y8.25%
Sales Q2Q%3.77%
Revenue Next Year4.11%
Revenue Next 2Y3.75%
Revenue Next 3Y1.31%
Revenue Next 5YN/A
EBIT growth 1Y7.03%
EBIT growth 3Y24.89%
EBIT growth 5Y9.57%
EBIT Next Year52.92%
EBIT Next 3Y15.87%
EBIT Next 5Y11.06%
FCF growth 1Y4.64%
FCF growth 3Y9.16%
FCF growth 5Y9.71%
OCF growth 1Y9.97%
OCF growth 3Y13.79%
OCF growth 5Y10.17%