VINCI SA (SQU.DE) Stock Fundamental Analysis
FRA:SQU - Deutsche Boerse Ag - FR0000125486 - Common Stock - Currency: EUR
We assign a fundamental rating of 4 out of 10 to SQU. SQU was compared to 40 industry peers in the Construction & Engineering industry. SQU has a medium profitability rating, but doesn't score so well on its financial health evaluation. SQU has a decent growth rate and is not valued too expensively.
1. Profitability
1.1 Basic Checks
In the past year SQU was profitable.
SQU had a positive operating cash flow in the past year.
In the past 5 years SQU has always been profitable.
Each year in the past 5 years SQU had a positive operating cash flow.
1.2 Ratios
SQU has a Return On Assets of 3.76%. This is comparable to the rest of the industry: SQU outperforms 60.00% of its industry peers.
SQU has a Return On Equity (16.24%) which is comparable to the rest of the industry.
SQU's Return On Invested Capital of 8.15% is in line compared to the rest of the industry. SQU outperforms 50.00% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for SQU is significantly below the industry average of 20.73%.
The last Return On Invested Capital (8.15%) for SQU is above the 3 year average (7.75%), which is a sign of increasing profitability.
| 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
SQU's Profit Margin of 6.71% is fine compared to the rest of the industry. SQU outperforms 67.50% of its industry peers.
SQU's Profit Margin has been stable in the last couple of years.
The Operating Margin of SQU (11.91%) is better than 82.50% of its industry peers.
SQU's Operating Margin has been stable in the last couple of years.
SQU has a Gross Margin of 78.39%. This is amongst the best in the industry. SQU outperforms 92.50% of its industry peers.
In the last couple of years the Gross Margin of SQU has remained more or less at the same level.
| 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
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), SQU is creating some value.
SQU has less shares outstanding than it did 1 year ago.
Compared to 5 years ago, SQU has more shares outstanding
SQU has a worse debt/assets ratio than last year.
2.2 Solvency
Based on the Altman-Z score of 1.29, we must say that SQU is in the distress zone and has some risk of bankruptcy.
SQU's Altman-Z score of 1.29 is on the low side compared to the rest of the industry. SQU is outperformed by 67.50% of its industry peers.
The Debt to FCF ratio of SQU is 4.76, which is a neutral value as it means it would take SQU, 4.76 years of fcf income to pay off all of its debts.
With a Debt to FCF ratio value of 4.76, SQU perfoms like the industry average, outperforming 55.00% 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.
SQU has a Debt to Equity ratio of 1.08. This is in the lower half of the industry: SQU underperforms 70.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.08 | ||
| Debt/FCF | 4.76 | ||
| Altman-Z | 1.29 |
ROIC/WACC1.32
WACC6.15%
2.3 Liquidity
SQU has a Current 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 worse Current ratio (0.85) than 85.00% of its industry peers.
A Quick Ratio of 0.81 indicates that SQU may have some problems paying its short term obligations.
SQU has a worse Quick ratio (0.81) than 77.50% 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 been growing slightly by 3.27% over the past year.
The Earnings Per Share has been growing slightly by 7.70% 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.
Measured over the past years, SQU shows a quite strong growth in Revenue. The Revenue has been growing by 8.25% on average per year.
EPS 1Y (TTM)3.27%
EPS 3Y23.21%
EPS 5Y7.7%
EPS Q2Q%10.19%
Revenue 1Y (TTM)4.08%
Revenue growth 3Y13.18%
Revenue growth 5Y8.25%
Sales Q2Q%4.77%
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 6.13% 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 Y6.16%
EPS Next 2Y8.82%
EPS Next 3Y8.77%
EPS Next 5Y6.13%
Revenue Next Year4.11%
Revenue Next 2Y3.75%
Revenue Next 3Y1.31%
Revenue Next 5YN/A
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
The Price/Earnings ratio is 13.86, which indicates a correct valuation of SQU.
Compared to the rest of the industry, the Price/Earnings ratio of SQU is on the same level as its industry peers.
The average S&P500 Price/Earnings ratio is at 29.35. SQU is valued rather cheaply when compared to this.
The Price/Forward Earnings ratio is 13.10, which indicates a correct valuation of SQU.
SQU's Price/Forward Earnings ratio is in line with the industry average.
SQU is valuated rather cheaply when we compare the Price/Forward Earnings ratio to 22.10, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 13.86 | ||
| Fwd PE | 13.1 |
4.2 Price Multiples
SQU's Enterprise Value to EBITDA is on the same level as the industry average.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of SQU is on the same level as its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 8.94 | ||
| EV/EBITDA | 6.87 |
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)2.25
PEG (5Y)1.8
EPS Next 2Y8.82%
EPS Next 3Y8.77%
5. Dividend
5.1 Amount
SQU has a Yearly Dividend Yield of 4.00%. Purely for dividend investing, there may be better candidates out there.
SQU's Dividend Yield is a higher than the industry average which is at 3.65.
Compared to an average S&P500 Dividend Yield of 2.33, SQU pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4% |
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
52.85% of the earnings are spent on dividend by SQU. 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 2Y8.82%
EPS Next 3Y8.77%
FRA:SQU (3/7/2025, 7:00:00 PM)
116.95
-1.9 (-1.6%)
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 Cap68.11B
Analysts83.03
Price Target136.14 (16.41%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4% |
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)1.35%
PT rev (3m)1.79%
EPS NQ rev (1m)N/A
EPS NQ rev (3m)N/A
EPS NY rev (1m)-1.17%
EPS NY rev (3m)-2.2%
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)0.22%
Revenue NY rev (3m)0.05%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 13.86 | ||
| Fwd PE | 13.1 | ||
| P/S | 0.94 | ||
| P/FCF | 8.94 | ||
| P/OCF | 5.83 | ||
| P/B | 2.27 | ||
| P/tB | N/A | ||
| EV/EBITDA | 6.87 |
EPS(TTM)8.44
EY7.22%
EPS(NY)8.92
Fwd EY7.63%
FCF(TTM)13.09
FCFY11.19%
OCF(TTM)20.04
OCFY17.14%
SpS124.41
BVpS51.42
TBVpS-53.28
PEG (NY)2.25
PEG (5Y)1.8
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 | 1.29 |
F-Score5
WACC6.15%
ROIC/WACC1.32
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)3.27%
EPS 3Y23.21%
EPS 5Y7.7%
EPS Q2Q%10.19%
EPS Next Y6.16%
EPS Next 2Y8.82%
EPS Next 3Y8.77%
EPS Next 5Y6.13%
Revenue 1Y (TTM)4.08%
Revenue growth 3Y13.18%
Revenue growth 5Y8.25%
Sales Q2Q%4.77%
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 Year50.98%
EBIT Next 3Y16.93%
EBIT Next 5Y14.04%
FCF growth 1Y4.64%
FCF growth 3Y9.16%
FCF growth 5Y9.71%
OCF growth 1Y9.97%
OCF growth 3Y13.79%
OCF growth 5Y10.17%