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WAVESTONE (WAVE.PA) Stock Fundamental Analysis

Europe - Euronext Paris - EPA:WAVE - FR0013357621 - Common Stock

60.8 EUR
-0.5 (-0.82%)
Last: 1/26/2026, 1:14:56 PM
Fundamental Rating

6

Taking everything into account, WAVE scores 6 out of 10 in our fundamental rating. WAVE was compared to 70 industry peers in the IT Services industry. While WAVE has a great health rating, its profitability is only average at the moment. WAVE is valied quite expensively at the moment, while it does show a decent growth rate.


Dividend Valuation Growth Profitability Health

6

1. Profitability

1.1 Basic Checks

  • WAVE had positive earnings in the past year.
  • WAVE had a positive operating cash flow in the past year.
  • Each year in the past 5 years WAVE has been profitable.
  • Each year in the past 5 years WAVE had a positive operating cash flow.
WAVE.PA Yearly Net Income VS EBIT VS OCF VS FCFWAVE.PA Yearly Net Income VS EBIT VS OCF VS FCFYearly Net Income VS EBIT VS OCF VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 20M 40M 60M 80M 100M

1.2 Ratios

  • WAVE's Return On Assets of 8.42% is amongst the best of the industry. WAVE outperforms 84.29% of its industry peers.
  • With a Return On Equity value of 12.21%, WAVE perfoms like the industry average, outperforming 50.00% of the companies in the same industry.
  • WAVE has a Return On Invested Capital of 11.36%. This is in the better half of the industry: WAVE outperforms 72.86% of its industry peers.
  • The Average Return On Invested Capital over the past 3 years for WAVE is significantly below the industry average of 26.75%.
Industry RankSector Rank
ROA 8.42%
ROE 12.21%
ROIC 11.36%
ROA(3y)7.66%
ROA(5y)7.8%
ROE(3y)12.97%
ROE(5y)14.22%
ROIC(3y)11.44%
ROIC(5y)12.28%
WAVE.PA Yearly ROA, ROE, ROICWAVE.PA Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 5 10 15 20

1.3 Margins

  • With a decent Profit Margin value of 8.33%, WAVE is doing good in the industry, outperforming 80.00% of the companies in the same industry.
  • In the last couple of years the Profit Margin of WAVE has grown nicely.
  • With an excellent Operating Margin value of 11.74%, WAVE belongs to the best of the industry, outperforming 81.43% of the companies in the same industry.
  • In the last couple of years the Operating Margin of WAVE has declined.
  • WAVE's Gross Margin of 85.44% is fine compared to the rest of the industry. WAVE outperforms 75.71% of its industry peers.
  • WAVE's Gross Margin has declined in the last couple of years.
Industry RankSector Rank
OM 11.74%
PM (TTM) 8.33%
GM 85.44%
OM growth 3Y-9.16%
OM growth 5Y-1.75%
PM growth 3Y-9.65%
PM growth 5Y1.65%
GM growth 3Y-4.64%
GM growth 5Y-2.67%
WAVE.PA Yearly Profit, Operating, Gross MarginsWAVE.PA Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 20 40 60 80

8

2. Health

2.1 Basic Checks

  • WAVE has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
  • Compared to 1 year ago, WAVE has less shares outstanding
  • The number of shares outstanding for WAVE has been increased compared to 5 years ago.
  • Compared to 1 year ago, WAVE has an improved debt to assets ratio.
WAVE.PA Yearly Shares OutstandingWAVE.PA Yearly Shares OutstandingYearly Shares Outstanding 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 5M 10M 15M 20M
WAVE.PA Yearly Total Debt VS Total AssetsWAVE.PA Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 200M 400M 600M 800M

2.2 Solvency

  • WAVE has an Altman-Z score of 5.24. This indicates that WAVE is financially healthy and has little risk of bankruptcy at the moment.
  • WAVE's Altman-Z score of 5.24 is amongst the best of the industry. WAVE outperforms 92.86% of its industry peers.
  • WAVE has a debt to FCF ratio of 0.39. This is a very positive value and a sign of high solvency as it would only need 0.39 years to pay back of all of its debts.
  • Looking at the Debt to FCF ratio, with a value of 0.39, WAVE belongs to the top of the industry, outperforming 95.71% of the companies in the same industry.
  • WAVE has a Debt/Equity ratio of 0.03. This is a healthy value indicating a solid balance between debt and equity.
  • WAVE's Debt to Equity ratio of 0.03 is amongst the best of the industry. WAVE outperforms 94.29% of its industry peers.
Industry RankSector Rank
Debt/Equity 0.03
Debt/FCF 0.39
Altman-Z 5.24
ROIC/WACC1.45
WACC7.83%
WAVE.PA Yearly LT Debt VS Equity VS FCFWAVE.PA Yearly LT Debt VS Equity VS FCFYearly LT Debt VS Equity VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 200M 400M 600M

2.3 Liquidity

  • WAVE has a Current Ratio of 1.37. This is a normal value and indicates that WAVE is financially healthy and should not expect problems in meeting its short term obligations.
  • WAVE has a better Current ratio (1.37) than 64.29% of its industry peers.
  • A Quick Ratio of 1.37 indicates that WAVE should not have too much problems paying its short term obligations.
  • Looking at the Quick ratio, with a value of 1.37, WAVE is in the better half of the industry, outperforming 70.00% of the companies in the same industry.
Industry RankSector Rank
Current Ratio 1.37
Quick Ratio 1.37
WAVE.PA Yearly Current Assets VS Current LiabilitesWAVE.PA Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 100M 200M 300M

5

3. Growth

3.1 Past

  • WAVE shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 22.20%, which is quite impressive.
  • WAVE shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 14.55% yearly.
  • The Revenue has been growing slightly by 7.00% in the past year.
  • Measured over the past years, WAVE shows a quite strong growth in Revenue. The Revenue has been growing by 17.46% on average per year.
EPS 1Y (TTM)22.2%
EPS 3Y6.62%
EPS 5Y14.55%
EPS Q2Q%11.64%
Revenue 1Y (TTM)7%
Revenue growth 3Y26.15%
Revenue growth 5Y17.46%
Sales Q2Q%0.06%

3.2 Future

  • Based on estimates for the next years, WAVE will show a quite strong growth in Earnings Per Share. The EPS will grow by 11.42% on average per year.
  • WAVE is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 3.67% yearly.
EPS Next Y10.61%
EPS Next 2Y11.85%
EPS Next 3Y11.42%
EPS Next 5YN/A
Revenue Next Year1.71%
Revenue Next 2Y2.92%
Revenue Next 3Y3.67%
Revenue Next 5YN/A

3.3 Evolution

  • The estimated forward EPS growth is still strong, although it is decreasing when compared to the stronger growth in the past 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.
WAVE.PA Yearly Revenue VS EstimatesWAVE.PA Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 200M 400M 600M 800M 1B
WAVE.PA Yearly EPS VS EstimatesWAVE.PA Yearly EPS VS EstimatesYearly EPS VS Estimates 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 1 2 3 4

3

4. Valuation

4.1 Price/Earnings Ratio

  • WAVE is valuated rather expensively with a Price/Earnings ratio of 18.88.
  • WAVE's Price/Earnings ratio is in line with the industry average.
  • WAVE's Price/Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 27.21.
  • Based on the Price/Forward Earnings ratio of 15.42, the valuation of WAVE can be described as correct.
  • WAVE's Price/Forward Earnings is on the same level as the industry average.
  • When comparing the Price/Forward Earnings ratio of WAVE to the average of the S&P500 Index (25.98), we can say WAVE is valued slightly cheaper.
Industry RankSector Rank
PE 18.88
Fwd PE 15.42
WAVE.PA Price Earnings VS Forward Price EarningsWAVE.PA Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 5 10 15 20 25

4.2 Price Multiples

  • Based on the Enterprise Value to EBITDA ratio, WAVE is valued a bit more expensive than 65.71% of the companies in the same industry.
  • WAVE's Price/Free Cash Flow is on the same level as the industry average.
Industry RankSector Rank
P/FCF 14.5
EV/EBITDA 12.04
WAVE.PA Per share dataWAVE.PA EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 10 20 30

4.3 Compensation for Growth

  • WAVE's PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
  • WAVE has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)1.78
PEG (5Y)1.3
EPS Next 2Y11.85%
EPS Next 3Y11.42%

4

5. Dividend

5.1 Amount

  • WAVE has a yearly dividend return of 0.77%, which is pretty low.
  • Compared to an average industry Dividend Yield of 2.27, WAVE has a dividend in line with its industry peers.
  • With a Dividend Yield of 0.77, WAVE pays less dividend than the S&P500 average, which is at 1.81.
Industry RankSector Rank
Dividend Yield 0.77%

5.2 History

  • The dividend of WAVE is nicely growing with an annual growth rate of 10.75%!
Dividend Growth(5Y)10.75%
Div Incr Years0
Div Non Decr Years3
WAVE.PA Yearly Dividends per shareWAVE.PA Yearly Dividends per shareYearly Dividends per share 2019 2021 2022 2023 2024 2025 0.1 0.2 0.3 0.4

5.3 Sustainability

  • 14.36% of the earnings are spent on dividend by WAVE. This is a low number and sustainable payout ratio.
  • WAVE's earnings are growing around the same pace than its dividend. As long as the earnings growth is kept the dividend growth is sustainable.
DP14.36%
EPS Next 2Y11.85%
EPS Next 3Y11.42%
WAVE.PA Yearly Income VS Free CF VS DividendWAVE.PA Yearly Income VS Free CF VS DividendYearly Income VS Free CF VS Dividend 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 20M 40M 60M 80M
WAVE.PA Dividend Payout.WAVE.PA Dividend Payout, showing the Payout Ratio.WAVE.PA Dividend Payout.PayoutRetained Earnings

WAVESTONE / WAVE.PA FAQ

What is the ChartMill fundamental rating of WAVESTONE (WAVE.PA) stock?

ChartMill assigns a fundamental rating of 6 / 10 to WAVE.PA.


Can you provide the valuation status for WAVESTONE?

ChartMill assigns a valuation rating of 4 / 10 to WAVESTONE (WAVE.PA). This can be considered as Fairly Valued.


Can you provide the profitability details for WAVESTONE?

WAVESTONE (WAVE.PA) has a profitability rating of 6 / 10.


What are the PE and PB ratios of WAVESTONE (WAVE.PA) stock?

The Price/Earnings (PE) ratio for WAVESTONE (WAVE.PA) is 18.88 and the Price/Book (PB) ratio is 2.35.


Can you provide the financial health for WAVE stock?

The financial health rating of WAVESTONE (WAVE.PA) is 7 / 10.