VEOLIA ENVIRONNEMENT (VVD.DE) Stock Fundamental Analysis
Europe - FRA:VVD - FR0000124141 - Common Stock
29.77 EUR
+0.18 (+0.61%)
Taking everything into account, VVD scores 4 out of 10 in our fundamental rating. VVD was compared to 14 industry peers in the Multi-Utilities industry. There are concerns on the financial health of VVD while its profitability can be described as average. VVD has a correct valuation and a medium growth rate.
1. Profitability
1.1 Basic Checks
VVD had positive earnings in the past year.
In the past year VVD had a positive cash flow from operations.
VVD had positive earnings in each of the past 5 years.
In the past 5 years VVD always reported a positive cash flow from operatings.
1.2 Ratios
VVD has a worse Return On Assets (1.51%) than 92.86% of its industry peers.
VVD has a Return On Equity of 8.52%. This is in the lower half of the industry: VVD underperforms 71.43% of its industry peers.
With a Return On Invested Capital value of 5.75%, VVD is not doing good in the industry: 64.29% of the companies in the same industry are doing better.
VVD had an Average Return On Invested Capital over the past 3 years of 5.04%. This is in line with the industry average of 6.45%.
The 3 year average ROIC (5.04%) for VVD 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
Looking at the Profit Margin, with a value of 2.46%, VVD is doing worse than 92.86% of the companies in the same industry.
VVD's Profit Margin has been stable in the last couple of years.
VVD has a worse Operating Margin (7.50%) than 71.43% of its industry peers.
VVD's Operating Margin has improved in the last couple of years.
With a Gross Margin value of 18.04%, VVD is not doing good in the industry: 92.86% of the companies in the same industry are doing better.
In the last couple of years the Gross Margin of VVD has remained more or less at the same level.
| 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
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), VVD is creating some value.
VVD has more shares outstanding than it did 1 year ago.
The number of shares outstanding for VVD has been increased compared to 5 years ago.
The debt/assets ratio for VVD is higher compared to a year ago.
2.2 Solvency
Based on the Altman-Z score of 0.87, we must say that VVD is in the distress zone and has some risk of bankruptcy.
VVD's Altman-Z score of 0.87 is on the low side compared to the rest of the industry. VVD is outperformed by 71.43% of its industry peers.
VVD has a debt to FCF ratio of 14.13. This is a negative value and a sign of low solvency as VVD would need 14.13 years to pay back of all of its debts.
VVD has a Debt to FCF ratio of 14.13. This is amongst the best in the industry. VVD outperforms 85.71% of its industry peers.
A Debt/Equity ratio of 1.55 is on the high side and indicates that VVD has dependencies on debt financing.
VVD's Debt to Equity ratio of 1.55 is in line compared to the rest of the industry. VVD outperforms 50.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.55 | ||
| Debt/FCF | 14.13 | ||
| Altman-Z | 0.87 |
ROIC/WACC1.25
WACC4.59%
2.3 Liquidity
A Current Ratio of 0.91 indicates that VVD may have some problems paying its short term obligations.
The Current ratio of VVD (0.91) is comparable to the rest of the industry.
VVD has a Quick Ratio of 0.91. This is a bad value and indicates that VVD is not financially healthy enough and could expect problems in meeting its short term obligations.
With a Quick ratio value of 0.86, VVD perfoms like the industry average, outperforming 42.86% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.91 | ||
| Quick Ratio | 0.86 |
3. Growth
3.1 Past
VVD shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 15.01%, which is quite good.
The Earnings Per Share has been growing slightly by 7.31% on average over the past years.
Looking at the last year, VVD shows a decrease in Revenue. The Revenue has decreased by -1.45% in the last year.
The Revenue has been growing by 10.45% on average over the past years. This is quite good.
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
Based on estimates for the next years, VVD will show a quite strong growth in Earnings Per Share. The EPS will grow by 8.29% on average per year.
VVD is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 3.60% yearly.
EPS Next Y8.12%
EPS Next 2Y8.38%
EPS Next 3Y8.51%
EPS Next 5Y8.29%
Revenue Next Year1.95%
Revenue Next 2Y3.01%
Revenue Next 3Y3.17%
Revenue Next 5Y3.6%
3.3 Evolution
The EPS growth rate is stable: in the next years the growth will be about the same 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
A Price/Earnings ratio of 20.11 indicates a rather expensive valuation of VVD.
Based on the Price/Earnings ratio, VVD is valued more expensive than 92.86% of the companies in the same industry.
Compared to an average S&P500 Price/Earnings ratio of 27.57, VVD is valued a bit cheaper.
With a Price/Forward Earnings ratio of 13.33, VVD is valued correctly.
VVD's Price/Forward Earnings is on the same level as the industry average.
VVD is valuated rather cheaply when we compare the Price/Forward Earnings ratio to 23.09, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 20.11 | ||
| Fwd PE | 13.33 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of VVD is on the same level as its industry peers.
Based on the Price/Free Cash Flow ratio, VVD is valued cheaply inside the industry as 85.71% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 10.65 | ||
| EV/EBITDA | 5.69 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates VVD does not grow enough to justify the current Price/Earnings ratio.
PEG (NY)2.48
PEG (5Y)2.75
EPS Next 2Y8.38%
EPS Next 3Y8.51%
5. Dividend
5.1 Amount
VVD has a Yearly Dividend Yield of 4.68%, which is a nice return.
VVD's Dividend Yield is a higher than the industry average which is at 5.06.
Compared to an average S&P500 Dividend Yield of 2.32, VVD pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.68% |
5.2 History
The dividend of VVD 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
VVD pays out 110.63% of its income as dividend. This is not a sustainable payout ratio.
VVD's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP110.63%
EPS Next 2Y8.38%
EPS Next 3Y8.51%
FRA:VVD (10/21/2025, 7:00:00 PM)
29.77
+0.18 (+0.61%)
Chartmill FA Rating
GICS SectorUtilities
GICS IndustryGroupUtilities
GICS IndustryMulti-Utilities
Earnings (Last)
Earnings (Next)
Inst Owners69.87%
Inst Owner ChangeN/A
Ins Owners0.04%
Ins Owner ChangeN/A
Market Cap22.08B
Revenue(TTM)44.69B
Net Income(TTM)1.10B
Analysts76
Price Target36.17 (21.5%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.68% |
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)0.1%
PT rev (3m)-0.65%
EPS NQ rev (1m)N/A
EPS NQ rev (3m)N/A
EPS NY rev (1m)0.03%
EPS NY rev (3m)0.35%
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)0%
Revenue NY rev (3m)-0.11%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 20.11 | ||
| Fwd PE | 13.33 | ||
| P/S | 0.49 | ||
| P/FCF | 10.65 | ||
| P/OCF | 4.38 | ||
| P/B | 1.71 | ||
| P/tB | N/A | ||
| EV/EBITDA | 5.69 |
EPS(TTM)1.48
EY4.97%
EPS(NY)2.23
Fwd EY7.5%
FCF(TTM)2.79
FCFY9.39%
OCF(TTM)6.79
OCFY22.82%
SpS60.25
BVpS17.41
TBVpS-9.37
PEG (NY)2.48
PEG (5Y)2.75
Graham Number24.08
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%
ROICexgc growth 3Y15.28%
ROICexgc 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
WACC4.59%
ROIC/WACC1.25
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 Y8.12%
EPS Next 2Y8.38%
EPS Next 3Y8.51%
EPS Next 5Y8.29%
Revenue 1Y (TTM)-1.45%
Revenue growth 3Y16.17%
Revenue growth 5Y10.45%
Sales Q2Q%-0.2%
Revenue Next Year1.95%
Revenue Next 2Y3.01%
Revenue Next 3Y3.17%
Revenue Next 5Y3.6%
EBIT growth 1Y7.58%
EBIT growth 3Y38.14%
EBIT growth 5Y13.96%
EBIT Next Year98.4%
EBIT Next 3Y29.88%
EBIT Next 5Y19.04%
FCF growth 1Y10.91%
FCF growth 3Y13.48%
FCF growth 5Y7.99%
OCF growth 1Y0.58%
OCF growth 3Y16.98%
OCF growth 5Y10.29%