SNAM SPA (SRG.MI) Stock Fundamental Analysis
Europe - BIT:SRG - IT0003153415 - Common Stock
5.38 EUR
+0.03 (+0.6%)
Taking everything into account, SRG scores 4 out of 10 in our fundamental rating. SRG was compared to 5 industry peers in the Gas Utilities industry. There are concerns on the financial health of SRG while its profitability can be described as average. While showing a medium growth rate, SRG is valued expensive at the moment.
1. Profitability
1.1 Basic Checks
In the past year SRG was profitable.
In the past year SRG had a positive cash flow from operations.
In the past 5 years SRG has always been profitable.
SRG had a positive operating cash flow in 4 of the past 5 years.
1.2 Ratios
With an excellent Return On Assets value of 6.13%, SRG belongs to the best of the industry, outperforming 100.00% of the companies in the same industry.
With a decent Return On Equity value of 24.13%, SRG is doing good in the industry, outperforming 80.00% of the companies in the same industry.
SRG has a Return On Invested Capital (7.18%) which is in line with its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for SRG is in line with the industry average of 6.35%.
The last Return On Invested Capital (7.18%) for SRG is above the 3 year average (4.63%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.13% | ||
| ROE | 24.13% | ||
| ROIC | 7.18% |
ROA(3y)2.99%
ROA(5y)3.75%
ROE(3y)12.65%
ROE(5y)15.15%
ROIC(3y)4.63%
ROIC(5y)4.83%
1.3 Margins
With an excellent Profit Margin value of 40.11%, SRG belongs to the best of the industry, outperforming 100.00% of the companies in the same industry.
SRG's Profit Margin has declined in the last couple of years.
SRG has a Operating Margin of 49.28%. This is amongst the best in the industry. SRG outperforms 100.00% of its industry peers.
In the last couple of years the Operating Margin of SRG has declined.
The Gross Margin of SRG (51.90%) is comparable to the rest of the industry.
SRG's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 49.28% | ||
| PM (TTM) | 40.11% | ||
| GM | 51.9% |
OM growth 3Y3.22%
OM growth 5Y-2.76%
PM growth 3Y-8.04%
PM growth 5Y-2.91%
GM growth 3Y4.14%
GM growth 5Y-0.97%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so SRG is still creating some value.
Compared to 1 year ago, SRG has about the same amount of shares outstanding.
Compared to 5 years ago, SRG has more shares outstanding
The debt/assets ratio for SRG is higher compared to a year ago.
2.2 Solvency
Based on the Altman-Z score of 0.96, we must say that SRG is in the distress zone and has some risk of bankruptcy.
With a Altman-Z score value of 0.96, SRG is not doing good in the industry: 60.00% of the companies in the same industry are doing better.
SRG has a Debt/Equity ratio of 1.87. This is a high value indicating a heavy dependency on external financing.
With a Debt to Equity ratio value of 1.87, SRG is not doing good in the industry: 60.00% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.87 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 0.96 |
ROIC/WACC1.46
WACC4.91%
2.3 Liquidity
SRG has a Current Ratio of 0.90. This is a bad value and indicates that SRG is not financially healthy enough and could expect problems in meeting its short term obligations.
Looking at the Current ratio, with a value of 0.90, SRG is in line with its industry, outperforming 60.00% of the companies in the same industry.
SRG has a Quick Ratio of 0.90. This is a bad value and indicates that SRG is not financially healthy enough and could expect problems in meeting its short term obligations.
SRG's Quick ratio of 0.66 is on the low side compared to the rest of the industry. SRG is outperformed by 60.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.9 | ||
| Quick Ratio | 0.66 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an nice 12.43% over the past year.
SRG shows a small growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 2.97% yearly.
Looking at the last year, SRG shows a decrease in Revenue. The Revenue has decreased by -7.46% in the last year.
Measured over the past years, SRG shows a small growth in Revenue. The Revenue has been growing by 6.01% on average per year.
EPS 1Y (TTM)12.43%
EPS 3Y-5.86%
EPS 5Y2.97%
EPS Q2Q%-4.76%
Revenue 1Y (TTM)-7.46%
Revenue growth 3Y2.67%
Revenue growth 5Y6.01%
Sales Q2Q%3.54%
3.2 Future
Based on estimates for the next years, SRG will show a small growth in Earnings Per Share. The EPS will grow by 3.64% on average per year.
SRG is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 2.96% yearly.
EPS Next Y8.76%
EPS Next 2Y4.5%
EPS Next 3Y4.63%
EPS Next 5Y3.64%
Revenue Next Year0.05%
Revenue Next 2Y3.01%
Revenue Next 3Y3.82%
Revenue Next 5Y2.96%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better 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
With a Price/Earnings ratio of 13.45, SRG is valued correctly.
80.00% of the companies in the same industry are cheaper than SRG, based on the Price/Earnings ratio.
The average S&P500 Price/Earnings ratio is at 26.11. SRG is valued slightly cheaper when compared to this.
SRG is valuated correctly with a Price/Forward Earnings ratio of 12.90.
Compared to the rest of the industry, the Price/Forward Earnings ratio of SRG is on the same level as its industry peers.
Compared to an average S&P500 Price/Forward Earnings ratio of 22.55, SRG is valued a bit cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 13.45 | ||
| Fwd PE | 12.9 |
4.2 Price Multiples
The rest of the industry has a similar Enterprise Value to EBITDA ratio as SRG.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 9.28 |
4.3 Compensation for Growth
SRG's PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
The decent profitability rating of SRG may justify a higher PE ratio.
PEG (NY)1.54
PEG (5Y)4.53
EPS Next 2Y4.5%
EPS Next 3Y4.63%
5. Dividend
5.1 Amount
SRG has a Yearly Dividend Yield of 5.40%, which is a nice return.
Compared to an average industry Dividend Yield of 4.94, SRG pays a bit more dividend than its industry peers.
Compared to an average S&P500 Dividend Yield of 2.37, SRG pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.4% |
5.2 History
The dividend of SRG has a limited annual growth rate of 4.51%.
Dividend Growth(5Y)4.51%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
SRG pays out 43.67% of its income as dividend. This is a bit on the high side, but may be sustainable.
The dividend of SRG is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP43.67%
EPS Next 2Y4.5%
EPS Next 3Y4.63%
BIT:SRG (11/3/2025, 5:36:15 PM)
5.38
+0.03 (+0.6%)
Chartmill FA Rating
GICS SectorUtilities
GICS IndustryGroupUtilities
GICS IndustryGas Utilities
Earnings (Last)
Earnings (Next)
Inst Owners29.49%
Inst Owner ChangeN/A
Ins Owners7.45%
Ins Owner ChangeN/A
Market Cap18.08B
Revenue(TTM)5.50B
Net Income(TTM)2.21B
Analysts68.7
Price Target5.55 (3.16%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.4% |
Yearly Dividend0.28
Dividend Growth(5Y)4.51%
DP43.67%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)5.67%
Min EPS beat(2)-6.3%
Max EPS beat(2)17.64%
EPS beat(4)2
Avg EPS beat(4)2.44%
Min EPS beat(4)-13.92%
Max EPS beat(4)17.64%
EPS beat(8)4
Avg EPS beat(8)2.26%
EPS beat(12)6
Avg EPS beat(12)0.08%
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)0
Avg Revenue beat(2)-0.95%
Min Revenue beat(2)-1.8%
Max Revenue beat(2)-0.11%
Revenue beat(4)0
Avg Revenue beat(4)-7.75%
Min Revenue beat(4)-25.83%
Max Revenue beat(4)-0.11%
Revenue beat(8)2
Avg Revenue beat(8)2.07%
Revenue beat(12)5
Avg Revenue beat(12)12.97%
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)0.25%
PT rev (3m)0.72%
EPS NQ rev (1m)0%
EPS NQ rev (3m)1.78%
EPS NY rev (1m)0%
EPS NY rev (3m)3.61%
Revenue NQ rev (1m)0.51%
Revenue NQ rev (3m)1.78%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-0.88%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 13.45 | ||
| Fwd PE | 12.9 | ||
| P/S | 3.29 | ||
| P/FCF | N/A | ||
| P/OCF | 9.63 | ||
| P/B | 1.98 | ||
| P/tB | 2.5 | ||
| EV/EBITDA | 9.28 |
EPS(TTM)0.4
EY7.43%
EPS(NY)0.42
Fwd EY7.75%
FCF(TTM)-0.29
FCFYN/A
OCF(TTM)0.56
OCFY10.39%
SpS1.64
BVpS2.72
TBVpS2.16
PEG (NY)1.54
PEG (5Y)4.53
Graham Number4.95
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.13% | ||
| ROE | 24.13% | ||
| ROCE | 9.95% | ||
| ROIC | 7.18% | ||
| ROICexc | 7.68% | ||
| ROICexgc | 8.27% | ||
| OM | 49.28% | ||
| PM (TTM) | 40.11% | ||
| GM | 51.9% | ||
| FCFM | N/A |
ROA(3y)2.99%
ROA(5y)3.75%
ROE(3y)12.65%
ROE(5y)15.15%
ROIC(3y)4.63%
ROIC(5y)4.83%
ROICexc(3y)4.97%
ROICexc(5y)5.28%
ROICexgc(3y)5.31%
ROICexgc(5y)5.63%
ROCE(3y)6.69%
ROCE(5y)7.13%
ROICexgc growth 3Y-1.38%
ROICexgc growth 5Y-4.6%
ROICexc growth 3Y-1.53%
ROICexc growth 5Y-4.68%
OM growth 3Y3.22%
OM growth 5Y-2.76%
PM growth 3Y-8.04%
PM growth 5Y-2.91%
GM growth 3Y4.14%
GM growth 5Y-0.97%
F-Score5
Asset Turnover0.15
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.87 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 4.52 | ||
| Cap/Depr | 262.59% | ||
| Cap/Sales | 51.59% | ||
| Interest Coverage | 6.56 | ||
| Cash Conversion | 49.56% | ||
| Profit Quality | N/A | ||
| Current Ratio | 0.9 | ||
| Quick Ratio | 0.66 | ||
| Altman-Z | 0.96 |
F-Score5
WACC4.91%
ROIC/WACC1.46
Cap/Depr(3y)209.59%
Cap/Depr(5y)186.27%
Cap/Sales(3y)52.8%
Cap/Sales(5y)47.64%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)12.43%
EPS 3Y-5.86%
EPS 5Y2.97%
EPS Q2Q%-4.76%
EPS Next Y8.76%
EPS Next 2Y4.5%
EPS Next 3Y4.63%
EPS Next 5Y3.64%
Revenue 1Y (TTM)-7.46%
Revenue growth 3Y2.67%
Revenue growth 5Y6.01%
Sales Q2Q%3.54%
Revenue Next Year0.05%
Revenue Next 2Y3.01%
Revenue Next 3Y3.82%
Revenue Next 5Y2.96%
EBIT growth 1Y11.62%
EBIT growth 3Y5.97%
EBIT growth 5Y3.08%
EBIT Next Year69.4%
EBIT Next 3Y23.61%
EBIT Next 5Y14.97%
FCF growth 1Y-103.83%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y75.19%
OCF growth 3Y10.68%
OCF growth 5Y4.07%
SNAM SPA / SRG.MI FAQ
What is the ChartMill fundamental rating of SNAM SPA (SRG.MI) stock?
ChartMill assigns a fundamental rating of 4 / 10 to SRG.MI.
Can you provide the valuation status for SNAM SPA?
ChartMill assigns a valuation rating of 3 / 10 to SNAM SPA (SRG.MI). This can be considered as Overvalued.
Can you provide the profitability details for SNAM SPA?
SNAM SPA (SRG.MI) has a profitability rating of 6 / 10.
Can you provide the PE and PB ratios for SRG stock?
The Price/Earnings (PE) ratio for SNAM SPA (SRG.MI) is 13.45 and the Price/Book (PB) ratio is 1.98.
How sustainable is the dividend of SNAM SPA (SRG.MI) stock?
The dividend rating of SNAM SPA (SRG.MI) is 6 / 10 and the dividend payout ratio is 43.67%.