VIVENDI SE (VIV.PA) Stock Fundamental Analysis
EPA:VIV - Euronext Paris - Matif - FR0000127771 - Common Stock - Currency: EUR
We assign a fundamental rating of 4 out of 10 to VIV. VIV was compared to 65 industry peers in the Media industry. While VIV is still in line with the averages on profitability rating, there are concerns on its financial health. A decent growth rate in combination with a cheap valuation! Better keep an eye on VIV.
1. Profitability
1.1 Basic Checks
VIV had positive earnings in the past year.
In the past year VIV had a positive cash flow from operations.
VIV had positive earnings in 4 of the past 5 years.
Each year in the past 5 years VIV had a positive operating cash flow.
1.2 Ratios
The Return On Assets of VIV (1.03%) is comparable to the rest of the industry.
VIV has a Return On Equity (2.39%) which is in line with its industry peers.
VIV has a Return On Invested Capital of 1.84%. This is comparable to the rest of the industry: VIV outperforms 40.30% of its industry peers.
VIV had an Average Return On Invested Capital over the past 3 years of 1.81%. This is significantly below the industry average of 8.66%.
The 3 year average ROIC (1.81%) for VIV is below the current ROIC(1.84%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.03% | ||
| ROE | 2.39% | ||
| ROIC | 1.84% |
ROA(3y)23.94%
ROA(5y)15.97%
ROE(3y)42.21%
ROE(5y)29.22%
ROIC(3y)1.81%
ROIC(5y)2.17%
1.3 Margins
VIV has a Profit Margin of 3.85%. This is comparable to the rest of the industry: VIV outperforms 59.70% of its industry peers.
VIV's Profit Margin has improved in the last couple of years.
VIV has a Operating Margin (6.48%) which is in line with its industry peers.
VIV's Operating Margin has declined in the last couple of years.
VIV's Gross Margin of 45.83% is in line compared to the rest of the industry. VIV outperforms 46.27% of its industry peers.
In the last couple of years the Gross Margin of VIV has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 6.48% | ||
| PM (TTM) | 3.85% | ||
| GM | 45.83% |
OM growth 3Y17.87%
OM growth 5Y-6.92%
PM growth 3Y-38.56%
PM growth 5Y33.42%
GM growth 3Y1.82%
GM growth 5Y0.23%
2. Health
2.1 Basic Checks
VIV has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
The number of shares outstanding for VIV remains at a similar level compared to 1 year ago.
Compared to 5 years ago, VIV has less shares outstanding
VIV has a worse debt/assets ratio than last year.
2.2 Solvency
Based on the Altman-Z score of 0.68, we must say that VIV is in the distress zone and has some risk of bankruptcy.
VIV's Altman-Z score of 0.68 is on the low side compared to the rest of the industry. VIV is outperformed by 67.16% of its industry peers.
The Debt to FCF ratio of VIV is 10.28, which is on the high side as it means it would take VIV, 10.28 years of fcf income to pay off all of its debts.
VIV's Debt to FCF ratio of 10.28 is in line compared to the rest of the industry. VIV outperforms 41.79% of its industry peers.
VIV has a Debt/Equity ratio of 0.37. This is a healthy value indicating a solid balance between debt and equity.
VIV's Debt to Equity ratio of 0.37 is fine compared to the rest of the industry. VIV outperforms 64.18% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.37 | ||
| Debt/FCF | 10.28 | ||
| Altman-Z | 0.68 |
ROIC/WACC0.37
WACC4.96%
2.3 Liquidity
A Current Ratio of 0.72 indicates that VIV may have some problems paying its short term obligations.
With a Current ratio value of 0.72, VIV is not doing good in the industry: 70.15% of the companies in the same industry are doing better.
VIV has a Quick Ratio of 0.72. This is a bad value and indicates that VIV is not financially healthy enough and could expect problems in meeting its short term obligations.
VIV has a worse Quick ratio (0.64) than 71.64% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.72 | ||
| Quick Ratio | 0.64 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 140.21% over the past year.
VIV shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 31.28% yearly.
Looking at the last year, VIV shows a quite strong growth in Revenue. The Revenue has grown by 9.54% in the last year.
Measured over the past years, VIV shows a decrease in Revenue. The Revenue has been decreasing by -5.48% on average per year.
EPS 1Y (TTM)140.21%
EPS 3Y-32.36%
EPS 5Y31.28%
EPS Q2Q%-2.5%
Revenue 1Y (TTM)9.54%
Revenue growth 3Y6.63%
Revenue growth 5Y-5.48%
Sales Q2Q%275.91%
3.2 Future
VIV is expected to show a decrease in Earnings Per Share. In the coming years, the EPS will decrease by -4.60% yearly.
Based on estimates for the next years, VIV will show a small growth in Revenue. The Revenue will grow by 0.44% on average per year.
EPS Next Y27.91%
EPS Next 2Y19.79%
EPS Next 3Y15.45%
EPS Next 5Y-4.6%
Revenue Next Year86.35%
Revenue Next 2Y38.43%
Revenue Next 3Y25.03%
Revenue Next 5Y0.44%
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 accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 7.57 indicates a rather cheap valuation of VIV.
Based on the Price/Earnings ratio, VIV is valued cheaply inside the industry as 83.58% of the companies are valued more expensively.
The average S&P500 Price/Earnings ratio is at 29.35. VIV is valued rather cheaply when compared to this.
With a Price/Forward Earnings ratio of 3.18, the valuation of VIV can be described as very cheap.
97.01% of the companies in the same industry are more expensive than VIV, based on the Price/Forward Earnings ratio.
When comparing the Price/Forward Earnings ratio of VIV to the average of the S&P500 Index (22.10), we can say VIV is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 7.57 | ||
| Fwd PE | 3.18 |
4.2 Price Multiples
The rest of the industry has a similar Enterprise Value to EBITDA ratio as VIV.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of VIV indicates a rather cheap valuation: VIV is cheaper than 88.06% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 3.46 | ||
| EV/EBITDA | 7.61 |
4.3 Compensation for Growth
VIV's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
VIV's earnings are expected to grow with 15.45% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.27
PEG (5Y)0.24
EPS Next 2Y19.79%
EPS Next 3Y15.45%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 8.80%, VIV is a good candidate for dividend investing.
In the last 3 months the price of VIV has falen by -66.26%. A price decline artificially increases the dividend yield. It may be a sign investors do not expect the dividend to last.
VIV's Dividend Yield is rather good when compared to the industry average which is at 4.64. VIV pays more dividend than 97.01% of the companies in the same industry.
VIV's Dividend Yield is rather good when compared to the S&P500 average which is at 2.33.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 8.8% |
5.2 History
The dividend of VIV decreases each year by -11.11%.
Dividend Growth(5Y)-11.11%
Div Incr Years0
Div Non Decr Years2
5.3 Sustainability
62.72% of the earnings are spent on dividend by VIV. This is not a sustainable payout ratio.
VIV's earnings and Dividend Rate are declining. This means the current dividend is most likely not sustainable.
DP62.72%
EPS Next 2Y19.79%
EPS Next 3Y15.45%
EPA:VIV (3/7/2025, 7:00:00 PM)
2.953
+0.11 (+3.91%)
Chartmill FA Rating
GICS SectorCommunication Services
GICS IndustryGroupMedia & Entertainment
GICS IndustryMedia
Earnings (Last)
Earnings (Next)
Inst Owners21.27%
Inst Owner ChangeN/A
Ins Owners30.02%
Ins Owner ChangeN/A
Market Cap3.04B
Analysts70.77
Price Target3.86 (30.71%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 8.8% |
Yearly Dividend0.25
Dividend Growth(5Y)-11.11%
DP62.72%
Div Incr Years0
Div Non Decr Years2
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)-70.32%
EPS NQ rev (1m)N/A
EPS NQ rev (3m)N/A
EPS NY rev (1m)0%
EPS NY rev (3m)3.23%
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)0%
Revenue NY rev (3m)0.54%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 7.57 | ||
| Fwd PE | 3.18 | ||
| P/S | 0.29 | ||
| P/FCF | 3.46 | ||
| P/OCF | 2.21 | ||
| P/B | 0.18 | ||
| P/tB | N/A | ||
| EV/EBITDA | 7.61 |
EPS(TTM)0.39
EY13.21%
EPS(NY)0.93
Fwd EY31.47%
FCF(TTM)0.85
FCFY28.93%
OCF(TTM)1.34
OCFY45.31%
SpS10.2
BVpS16.43
TBVpS-1.12
PEG (NY)0.27
PEG (5Y)0.24
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.03% | ||
| ROE | 2.39% | ||
| ROCE | 2.64% | ||
| ROIC | 1.84% | ||
| ROICexc | 1.93% | ||
| ROICexgc | 6.68% | ||
| OM | 6.48% | ||
| PM (TTM) | 3.85% | ||
| GM | 45.83% | ||
| FCFM | 8.37% |
ROA(3y)23.94%
ROA(5y)15.97%
ROE(3y)42.21%
ROE(5y)29.22%
ROIC(3y)1.81%
ROIC(5y)2.17%
ROICexc(3y)2.07%
ROICexc(5y)2.43%
ROICexgc(3y)5.74%
ROICexgc(5y)9.31%
ROCE(3y)2.54%
ROCE(5y)3.08%
ROICexcg growth 3Y27.93%
ROICexcg growth 5Y-16.11%
ROICexc growth 3Y30.67%
ROICexc growth 5Y-14.21%
OM growth 3Y17.87%
OM growth 5Y-6.92%
PM growth 3Y-38.56%
PM growth 5Y33.42%
GM growth 3Y1.82%
GM growth 5Y0.23%
F-Score6
Asset Turnover0.27
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.37 | ||
| Debt/FCF | 10.28 | ||
| Debt/EBITDA | 4.74 | ||
| Cap/Depr | 77.93% | ||
| Cap/Sales | 4.74% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 104.39% | ||
| Profit Quality | 217.28% | ||
| Current Ratio | 0.72 | ||
| Quick Ratio | 0.64 | ||
| Altman-Z | 0.68 |
F-Score6
WACC4.96%
ROIC/WACC0.37
Cap/Depr(3y)61.58%
Cap/Depr(5y)58.76%
Cap/Sales(3y)4.38%
Cap/Sales(5y)4.16%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)140.21%
EPS 3Y-32.36%
EPS 5Y31.28%
EPS Q2Q%-2.5%
EPS Next Y27.91%
EPS Next 2Y19.79%
EPS Next 3Y15.45%
EPS Next 5Y-4.6%
Revenue 1Y (TTM)9.54%
Revenue growth 3Y6.63%
Revenue growth 5Y-5.48%
Sales Q2Q%275.91%
Revenue Next Year86.35%
Revenue Next 2Y38.43%
Revenue Next 3Y25.03%
Revenue Next 5Y0.44%
EBIT growth 1Y18.23%
EBIT growth 3Y25.69%
EBIT growth 5Y-12.02%
EBIT Next Year131.39%
EBIT Next 3Y36.29%
EBIT Next 5YN/A
FCF growth 1Y1.62%
FCF growth 3Y-11.51%
FCF growth 5Y-8.17%
OCF growth 1Y8.33%
OCF growth 3Y-8.12%
OCF growth 5Y-4.34%