VEOLIA ENVIRONNEMENT (VIE.PA) Stock Fundamental Analysis
EPA:VIE - Euronext Paris - Matif - FR0000124141 - Common Stock - Currency: EUR
Taking everything into account, VIE scores 3 out of 10 in our fundamental rating. VIE was compared to 13 industry peers in the Multi-Utilities industry. VIE has a medium profitability rating, but doesn't score so well on its financial health evaluation. VIE is valied quite expensively at the moment, while it does show a decent growth rate.
1. Profitability
1.1 Basic Checks
VIE had positive earnings in the past year.
In the past year VIE had a positive cash flow from operations.
VIE had positive earnings in each of the past 5 years.
In the past 5 years VIE always reported a positive cash flow from operatings.
1.2 Ratios
The Return On Assets of VIE (1.49%) is worse than 84.62% of its industry peers.
Looking at the Return On Equity, with a value of 8.85%, VIE is doing worse than 69.23% of the companies in the same industry.
VIE has a worse Return On Invested Capital (5.64%) than 61.54% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for VIE is below the industry average of 6.72%.
The last Return On Invested Capital (5.64%) for VIE is above the 3 year average (4.13%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.49% | ||
| ROE | 8.85% | ||
| ROIC | 5.64% |
ROA(3y)1.01%
ROA(5y)0.95%
ROE(3y)5.65%
ROE(5y)5.74%
ROIC(3y)4.13%
ROIC(5y)4.3%
1.3 Margins
VIE has a worse Profit Margin (2.38%) than 76.92% of its industry peers.
VIE's Profit Margin has improved in the last couple of years.
VIE's Operating Margin of 7.21% is on the low side compared to the rest of the industry. VIE is outperformed by 61.54% of its industry peers.
VIE's Operating Margin has been stable in the last couple of years.
VIE's Gross Margin of 17.75% is on the low side compared to the rest of the industry. VIE is outperformed by 84.62% of its industry peers.
VIE's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 7.21% | ||
| PM (TTM) | 2.38% | ||
| GM | 17.75% |
OM growth 3Y13.55%
OM growth 5Y0.44%
PM growth 3Y82.23%
PM growth 5Y7.46%
GM growth 3Y2.55%
GM growth 5Y-0.46%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), VIE is creating some value.
Compared to 1 year ago, VIE has more shares outstanding
The number of shares outstanding for VIE has been increased compared to 5 years ago.
The debt/assets ratio for VIE is higher compared to a year ago.
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.
VIE has a worse Altman-Z score (0.87) than 76.92% of its industry peers.
VIE has a debt to FCF ratio of 16.38. This is a negative value and a sign of low solvency as VIE would need 16.38 years to pay back of all of its debts.
VIE's Debt to FCF ratio of 16.38 is fine compared to the rest of the industry. VIE outperforms 69.23% of its industry peers.
A Debt/Equity ratio of 1.63 is on the high side and indicates that VIE has dependencies on debt financing.
VIE's Debt to Equity ratio of 1.63 is on the low side compared to the rest of the industry. VIE is outperformed by 69.23% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.63 | ||
| Debt/FCF | 16.38 | ||
| Altman-Z | 0.87 |
ROIC/WACC1.25
WACC4.5%
2.3 Liquidity
A Current Ratio of 0.89 indicates that VIE may have some problems paying its short term obligations.
VIE has a Current ratio of 0.89. This is in the lower half of the industry: VIE underperforms 61.54% of its industry peers.
VIE has a Quick Ratio of 0.89. This is a bad value and indicates that VIE is not financially healthy enough and could expect problems in meeting its short term obligations.
The Quick ratio of VIE (0.84) is worse than 61.54% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.89 | ||
| Quick Ratio | 0.84 |
3. Growth
3.1 Past
VIE shows a small growth in Earnings Per Share. In the last year, the EPS has grown by 3.86%.
Measured over the past years, VIE shows a quite strong growth in Earnings Per Share. The EPS has been growing by 15.60% on average per year.
VIE shows a decrease in Revenue. In the last year, the revenue decreased by -1.56%.
The Revenue has been growing by 11.81% on average over the past years. This is quite good.
EPS 1Y (TTM)3.86%
EPS 3Y104.35%
EPS 5Y15.6%
EPS Q2Q%21.04%
Revenue 1Y (TTM)-1.56%
Revenue growth 3Y20.36%
Revenue growth 5Y11.81%
Sales Q2Q%-2.7%
3.2 Future
VIE is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 9.28% yearly.
Based on estimates for the next years, VIE will show a small growth in Revenue. The Revenue will grow by 3.47% on average per year.
EPS Next Y11.55%
EPS Next 2Y11.32%
EPS Next 3Y10.15%
EPS Next 5Y9.28%
Revenue Next Year0.03%
Revenue Next 2Y1.66%
Revenue Next 3Y2.65%
Revenue Next 5Y3.47%
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
Based on the Price/Earnings ratio of 21.37, the valuation of VIE can be described as rather expensive.
Based on the Price/Earnings ratio, VIE is valued expensively inside the industry as 84.62% of the companies are valued cheaper.
Compared to an average S&P500 Price/Earnings ratio of 29.35, VIE is valued a bit cheaper.
The Price/Forward Earnings ratio is 13.61, which 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 76.92% of the companies in the same industry.
VIE 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 | 21.37 | ||
| Fwd PE | 13.61 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, VIE is valued a bit more expensive than the industry average as 69.23% of the companies are valued more cheaply.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of VIE indicates a somewhat cheap valuation: VIE is cheaper than 61.54% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 12.79 | ||
| EV/EBITDA | 6.24 |
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)1.85
PEG (5Y)1.37
EPS Next 2Y11.32%
EPS Next 3Y10.15%
5. Dividend
5.1 Amount
VIE has a Yearly Dividend Yield of 4.59%, which is a nice return.
VIE's Dividend Yield is comparable with the industry average which is at 5.81.
Compared to an average S&P500 Dividend Yield of 2.33, VIE pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.59% |
5.2 History
The dividend of VIE is nicely growing with an annual growth rate of 17.26%!
Dividend Growth(5Y)17.26%
Div Incr Years3
Div Non Decr Years3
5.3 Sustainability
133.06% 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.
DP133.06%
EPS Next 2Y11.32%
EPS Next 3Y10.15%
EPA:VIE (3/7/2025, 7:00:00 PM)
30.77
+0.3 (+0.98%)
Chartmill FA Rating
GICS SectorUtilities
GICS IndustryGroupUtilities
GICS IndustryMulti-Utilities
Earnings (Last)
Earnings (Next)
Inst Owners59.93%
Inst Owner ChangeN/A
Ins Owners0.03%
Ins Owner ChangeN/A
Market Cap22.79B
Analysts80
Price Target36.96 (20.12%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.59% |
Yearly Dividend1.79
Dividend Growth(5Y)17.26%
DP133.06%
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)1.12%
PT rev (3m)0.85%
EPS NQ rev (1m)N/A
EPS NQ rev (3m)N/A
EPS NY rev (1m)-0.16%
EPS NY rev (3m)-3.37%
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)-0.13%
Revenue NY rev (3m)-0.34%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 21.37 | ||
| Fwd PE | 13.61 | ||
| P/S | 0.51 | ||
| P/FCF | 12.79 | ||
| P/OCF | 4.65 | ||
| P/B | 1.89 | ||
| P/tB | N/A | ||
| EV/EBITDA | 6.24 |
EPS(TTM)1.44
EY4.68%
EPS(NY)2.26
Fwd EY7.35%
FCF(TTM)2.41
FCFY7.82%
OCF(TTM)6.62
OCFY21.51%
SpS60.4
BVpS16.24
TBVpS-10.49
PEG (NY)1.85
PEG (5Y)1.37
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.49% | ||
| ROE | 8.85% | ||
| ROCE | 7.86% | ||
| ROIC | 5.64% | ||
| ROICexc | 7.45% | ||
| ROICexgc | 20.31% | ||
| OM | 7.21% | ||
| PM (TTM) | 2.38% | ||
| GM | 17.75% | ||
| FCFM | 3.98% |
ROA(3y)1.01%
ROA(5y)0.95%
ROE(3y)5.65%
ROE(5y)5.74%
ROIC(3y)4.13%
ROIC(5y)4.3%
ROICexc(3y)5.86%
ROICexc(5y)6.09%
ROICexgc(3y)15.52%
ROICexgc(5y)16.1%
ROCE(3y)5.76%
ROCE(5y)6.01%
ROICexcg growth 3Y15.21%
ROICexcg growth 5Y2.78%
ROICexc growth 3Y12.75%
ROICexc growth 5Y-0.61%
OM growth 3Y13.55%
OM growth 5Y0.44%
PM growth 3Y82.23%
PM growth 5Y7.46%
GM growth 3Y2.55%
GM growth 5Y-0.46%
F-Score6
Asset Turnover0.63
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.63 | ||
| Debt/FCF | 16.38 | ||
| Debt/EBITDA | 3.12 | ||
| Cap/Depr | 102.22% | ||
| Cap/Sales | 6.97% | ||
| Interest Coverage | 4.16 | ||
| Cash Conversion | 78.1% | ||
| Profit Quality | 167.35% | ||
| Current Ratio | 0.89 | ||
| Quick Ratio | 0.84 | ||
| Altman-Z | 0.87 |
F-Score6
WACC4.5%
ROIC/WACC1.25
Cap/Depr(3y)90.79%
Cap/Depr(5y)86.64%
Cap/Sales(3y)6.49%
Cap/Sales(5y)6.37%
Profit Quality(3y)245.79%
Profit Quality(5y)444.5%
High Growth Momentum
Growth
EPS 1Y (TTM)3.86%
EPS 3Y104.35%
EPS 5Y15.6%
EPS Q2Q%21.04%
EPS Next Y11.55%
EPS Next 2Y11.32%
EPS Next 3Y10.15%
EPS Next 5Y9.28%
Revenue 1Y (TTM)-1.56%
Revenue growth 3Y20.36%
Revenue growth 5Y11.81%
Sales Q2Q%-2.7%
Revenue Next Year0.03%
Revenue Next 2Y1.66%
Revenue Next 3Y2.65%
Revenue Next 5Y3.47%
EBIT growth 1Y16.09%
EBIT growth 3Y36.67%
EBIT growth 5Y12.3%
EBIT Next Year110.28%
EBIT Next 3Y32.83%
EBIT Next 5Y20.7%
FCF growth 1Y113.26%
FCF growth 3Y18.68%
FCF growth 5Y6.59%
OCF growth 1Y56.16%
OCF growth 3Y22.47%
OCF growth 5Y12%