VEOLIA ENVIRONNEMENT (VIE.PA) Stock Fundamental Analysis
EPA:VIE - Euronext Paris - Matif - FR0000124141 - Common Stock - Currency: EUR
We assign a fundamental rating of 4 out of 10 to VIE. VIE was compared to 12 industry peers in the Multi-Utilities industry. There are concerns on the financial health of VIE while its profitability can be described as average. VIE has a decent growth rate and is not valued too expensively.
1. Profitability
1.1 Basic Checks
VIE had positive earnings in the past year.
VIE had a positive operating cash flow in the past year.
Each year in the past 5 years VIE has been profitable.
Each year in the past 5 years VIE had a positive operating cash flow.
1.2 Ratios
With a Return On Assets value of 1.51%, VIE is not doing good in the industry: 83.33% of the companies in the same industry are doing better.
VIE's Return On Equity of 8.52% is on the low side compared to the rest of the industry. VIE is outperformed by 66.67% of its industry peers.
VIE's Return On Invested Capital of 5.75% is in line compared to the rest of the industry. VIE outperforms 50.00% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for VIE is in line with the industry average of 6.55%.
The 3 year average ROIC (5.04%) for VIE is below the current ROIC(5.75%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.51% | ||
| ROE | 8.52% | ||
| ROIC | 5.75% |
ROA(3y)1.26%
ROA(5y)0.95%
ROE(3y)7.32%
ROE(5y)5.34%
ROIC(3y)5.04%
ROIC(5y)4.36%
1.3 Margins
VIE's Profit Margin of 2.46% is on the low side compared to the rest of the industry. VIE is outperformed by 83.33% of its industry peers.
VIE's Profit Margin has been stable in the last couple of years.
The Operating Margin of VIE (7.50%) is worse than 66.67% of its industry peers.
In the last couple of years the Operating Margin of VIE has grown nicely.
The Gross Margin of VIE (18.04%) is worse than 83.33% of its industry peers.
VIE's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 7.5% | ||
| PM (TTM) | 2.46% | ||
| GM | 18.04% |
OM growth 3Y18.91%
OM growth 5Y3.17%
PM growth 3Y20.1%
PM growth 5Y1.34%
GM growth 3Y3.77%
GM growth 5Y1.11%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so VIE is still creating some value.
The number of shares outstanding for VIE has been increased compared to 1 year ago.
The number of shares outstanding for VIE has been increased compared to 5 years ago.
Compared to 1 year ago, VIE has a worse debt to assets ratio.
2.2 Solvency
Based on the Altman-Z score of 0.87, we must say that VIE is in the distress zone and has some risk of bankruptcy.
With a Altman-Z score value of 0.87, VIE perfoms like the industry average, outperforming 41.67% of the companies in the same industry.
The Debt to FCF ratio of VIE is 14.13, which is on the high side as it means it would take VIE, 14.13 years of fcf income to pay off all of its debts.
With a decent Debt to FCF ratio value of 14.13, VIE is doing good in the industry, outperforming 75.00% of the companies in the same industry.
VIE has a Debt/Equity ratio of 1.55. This is a high value indicating a heavy dependency on external financing.
VIE has a Debt to Equity ratio (1.55) which is in line with its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.55 | ||
| Debt/FCF | 14.13 | ||
| Altman-Z | 0.87 |
ROIC/WACC1.27
WACC4.53%
2.3 Liquidity
VIE has a Current Ratio of 0.91. This is a bad value and indicates that VIE is not financially healthy enough and could expect problems in meeting its short term obligations.
Looking at the Current ratio, with a value of 0.91, VIE is in line with its industry, outperforming 41.67% of the companies in the same industry.
VIE has a Quick Ratio of 0.91. This is a bad value and indicates that VIE is not financially healthy enough and could expect problems in meeting its short term obligations.
VIE's Quick ratio of 0.86 is on the low side compared to the rest of the industry. VIE is outperformed by 66.67% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.91 | ||
| Quick Ratio | 0.86 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an nice 15.01% over the past year.
The Earnings Per Share has been growing slightly by 7.31% on average over the past years.
VIE shows a decrease in Revenue. In the last year, the revenue decreased by -1.45%.
VIE shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 10.45% yearly.
EPS 1Y (TTM)15.01%
EPS 3Y31.56%
EPS 5Y7.31%
EPS Q2Q%7.14%
Revenue 1Y (TTM)-1.45%
Revenue growth 3Y16.17%
Revenue growth 5Y10.45%
Sales Q2Q%-0.2%
3.2 Future
VIE is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 7.38% yearly.
The Revenue is expected to grow by 3.49% on average over the next years.
EPS Next Y7.74%
EPS Next 2Y8.34%
EPS Next 3Y8.65%
EPS Next 5Y7.38%
Revenue Next Year2.07%
Revenue Next 2Y3.09%
Revenue Next 3Y3.44%
Revenue Next 5Y3.49%
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 stable.
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 20.92, VIE is valued on the expensive side.
83.33% of the companies in the same industry are cheaper than VIE, based on the Price/Earnings ratio.
Compared to an average S&P500 Price/Earnings ratio of 27.41, VIE is valued a bit cheaper.
A Price/Forward Earnings ratio of 13.91 indicates a correct valuation of VIE.
VIE's Price/Forward Earnings ratio is a bit more expensive when compared to the industry. VIE is more expensive than 66.67% of the companies in the same industry.
VIE's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 35.19.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 20.92 | ||
| Fwd PE | 13.91 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of VIE is on the same level as its industry peers.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of VIE indicates a rather cheap valuation: VIE is cheaper than 91.67% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 11.06 | ||
| EV/EBITDA | 5.81 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates VIE does not grow enough to justify the current Price/Earnings ratio.
PEG (NY)2.7
PEG (5Y)2.86
EPS Next 2Y8.34%
EPS Next 3Y8.65%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 4.56%, VIE is a good candidate for dividend investing.
VIE's Dividend Yield is comparable with the industry average which is at 5.01.
Compared to an average S&P500 Dividend Yield of 2.35, VIE pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.56% |
5.2 History
The dividend of VIE is nicely growing with an annual growth rate of 14.14%!
Dividend Growth(5Y)14.14%
Div Incr Years4
Div Non Decr Years4
5.3 Sustainability
110.63% of the earnings are spent on dividend by VIE. This is not a sustainable payout ratio.
The dividend of VIE is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP110.63%
EPS Next 2Y8.34%
EPS Next 3Y8.65%
EPA:VIE (7/14/2025, 5:35:30 PM)
30.96
+0.16 (+0.52%)
Chartmill FA Rating
GICS SectorUtilities
GICS IndustryGroupUtilities
GICS IndustryMulti-Utilities
Earnings (Last)
Earnings (Next)
Inst Owners62.28%
Inst Owner ChangeN/A
Ins Owners0.04%
Ins Owner ChangeN/A
Market Cap22.93B
Analysts76.8
Price Target36.42 (17.64%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.56% |
Yearly Dividend1.72
Dividend Growth(5Y)14.14%
DP110.63%
Div Incr Years4
Div Non Decr Years4
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%
PT rev (3m)-1.86%
EPS NQ rev (1m)N/A
EPS NQ rev (3m)N/A
EPS NY rev (1m)0%
EPS NY rev (3m)0.22%
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)0%
Revenue NY rev (3m)-1.21%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 20.92 | ||
| Fwd PE | 13.91 | ||
| P/S | 0.51 | ||
| P/FCF | 11.06 | ||
| P/OCF | 4.55 | ||
| P/B | 1.78 | ||
| P/tB | N/A | ||
| EV/EBITDA | 5.81 |
EPS(TTM)1.48
EY4.78%
EPS(NY)2.23
Fwd EY7.19%
FCF(TTM)2.8
FCFY9.04%
OCF(TTM)6.8
OCFY21.97%
SpS60.33
BVpS17.43
TBVpS-9.39
PEG (NY)2.7
PEG (5Y)2.86
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.51% | ||
| ROE | 8.52% | ||
| ROCE | 7.92% | ||
| ROIC | 5.75% | ||
| ROICexc | 8.05% | ||
| ROICexgc | 23.25% | ||
| OM | 7.5% | ||
| PM (TTM) | 2.46% | ||
| GM | 18.04% | ||
| FCFM | 4.64% |
ROA(3y)1.26%
ROA(5y)0.95%
ROE(3y)7.32%
ROE(5y)5.34%
ROIC(3y)5.04%
ROIC(5y)4.36%
ROICexc(3y)6.81%
ROICexc(5y)6.13%
ROICexgc(3y)18.27%
ROICexgc(5y)16.36%
ROCE(3y)6.95%
ROCE(5y)6.02%
ROICexcg growth 3Y15.28%
ROICexcg growth 5Y0.49%
ROICexc growth 3Y14.61%
ROICexc growth 5Y-0.23%
OM growth 3Y18.91%
OM growth 5Y3.17%
PM growth 3Y20.1%
PM growth 5Y1.34%
GM growth 3Y3.77%
GM growth 5Y1.11%
F-Score6
Asset Turnover0.61
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.55 | ||
| Debt/FCF | 14.13 | ||
| Debt/EBITDA | 3.11 | ||
| Cap/Depr | 96.55% | ||
| Cap/Sales | 6.63% | ||
| Interest Coverage | 4.55 | ||
| Cash Conversion | 78.45% | ||
| Profit Quality | 188.28% | ||
| Current Ratio | 0.91 | ||
| Quick Ratio | 0.86 | ||
| Altman-Z | 0.87 |
F-Score6
WACC4.53%
ROIC/WACC1.27
Cap/Depr(3y)95.76%
Cap/Depr(5y)89.42%
Cap/Sales(3y)6.68%
Cap/Sales(5y)6.46%
Profit Quality(3y)191.78%
Profit Quality(5y)437.08%
High Growth Momentum
Growth
EPS 1Y (TTM)15.01%
EPS 3Y31.56%
EPS 5Y7.31%
EPS Q2Q%7.14%
EPS Next Y7.74%
EPS Next 2Y8.34%
EPS Next 3Y8.65%
EPS Next 5Y7.38%
Revenue 1Y (TTM)-1.45%
Revenue growth 3Y16.17%
Revenue growth 5Y10.45%
Sales Q2Q%-0.2%
Revenue Next Year2.07%
Revenue Next 2Y3.09%
Revenue Next 3Y3.44%
Revenue Next 5Y3.49%
EBIT growth 1Y7.58%
EBIT growth 3Y38.14%
EBIT growth 5Y13.96%
EBIT Next Year98.78%
EBIT Next 3Y30.19%
EBIT Next 5Y18.78%
FCF growth 1Y10.91%
FCF growth 3Y13.48%
FCF growth 5Y7.99%
OCF growth 1Y0.58%
OCF growth 3Y16.98%
OCF growth 5Y10.29%