Solvay
Market Cap
€10.9b
Last Updated
2021/05/05 17:58 UTC
Data Sources
Company Financials +
Executive Summary
Solvay SA operates as an advanced materials and specialty chemicals worldwide. More Details
Rewards
Risk Analysis
Snowflake Analysis
Mediocre balance sheet with moderate growth potential.
Similar Companies
Share Price & News
How has Solvay's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: SOLB is not significantly more volatile than the rest of Belgian stocks over the past 3 months, typically moving +/- 3% a week.
Volatility Over Time: SOLB's weekly volatility (3%) has been stable over the past year.
Market Performance
7 Day Return
3.5%
SOLB
1.5%
BE Chemicals
-0.3%
BE Market
1 Year Return
51.8%
SOLB
46.0%
BE Chemicals
30.7%
BE Market
Return vs Industry: SOLB exceeded the Belgian Chemicals industry which returned 41.1% over the past year.
Return vs Market: SOLB exceeded the Belgian Market which returned 29.9% over the past year.
Shareholder returns
| SOLB | Industry | Market | |
|---|---|---|---|
| 7 Day | 3.5% | 1.5% | -0.3% |
| 30 Day | 3.9% | 5.6% | 2.9% |
| 90 Day | 16.3% | 10.0% | 4.8% |
| 1 Year | 56.9%51.8% | 49.2%46.0% | 32.7%30.7% |
| 3 Year | 5.0%-3.8% | 7.7%1.4% | -2.3%-7.1% |
| 5 Year | 41.6%24.0% | 74.4%57.3% | -3.0%-12.0% |
Long-Term Price Volatility Vs. Market
How volatile is Solvay's share price compared to the market and industry in the last 5 years?
Simply Wall St News
3 weeks ago | Simply Wall St
Zooming in on EBR:SOLB's 3.5% Dividend Yield1 month ago | Simply Wall St
Why Solvay SA (EBR:SOLB) Could Be Worth Watching2 months ago | Simply Wall St
Is Solvay (EBR:SOLB) A Risky Investment?Valuation
Is Solvay undervalued compared to its fair value and its price relative to the market?
49.0%
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: SOLB (€110.75) is trading below our estimate of fair value (€217.14)
Significantly Below Fair Value: SOLB is trading below fair value by more than 20%.
Price To Earnings Ratio
PE vs Industry: SOLB is unprofitable, so we can't compare its PE Ratio to the XE Chemicals industry average.
PE vs Market: SOLB is unprofitable, so we can't compare its PE Ratio to the Belgian market.
Price to Earnings Growth Ratio
PEG Ratio: Insufficient data to calculate SOLB's PEG Ratio to determine if it is good value.
Price to Book Ratio
PB vs Industry: SOLB's PB Ratio (1.6x) is in line with the BE Chemicals industry average.
Future Growth
How is Solvay forecast to perform in the next 1 to 3 years based on estimates from 10 analysts?
55.7%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: SOLB is forecast to become profitable over the next 3 years, which is considered faster growth than the savings rate (1.2%).
Earnings vs Market: SOLB is forecast to become profitable over the next 3 years, which is considered above average market growth.
High Growth Earnings: SOLB's is expected to become profitable in the next 3 years.
Revenue vs Market: SOLB's revenue (1.8% per year) is forecast to grow slower than the Belgian market (5.5% per year).
High Growth Revenue: SOLB's revenue (1.8% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: SOLB's Return on Equity is forecast to be low in 3 years time (12.7%).
Past Performance
How has Solvay performed over the past 5 years?
-43.6%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: SOLB is currently unprofitable.
Growing Profit Margin: SOLB is currently unprofitable.
Past Earnings Growth Analysis
Earnings Trend: SOLB is unprofitable, and losses have increased over the past 5 years at a rate of 43.6% per year.
Accelerating Growth: Unable to compare SOLB's earnings growth over the past year to its 5-year average as it is currently unprofitable
Earnings vs Industry: SOLB is unprofitable, making it difficult to compare its past year earnings growth to the Chemicals industry (5.6%).
Return on Equity
High ROE: SOLB has a negative Return on Equity (-14.95%), as it is currently unprofitable.
Financial Health
How is Solvay's financial position?
Financial Position Analysis
Short Term Liabilities: SOLB's short term assets (€4.5B) exceed its short term liabilities (€2.8B).
Long Term Liabilities: SOLB's short term assets (€4.5B) do not cover its long term liabilities (€6.7B).
Debt to Equity History and Analysis
Debt Level: SOLB's debt to equity ratio (42.3%) is considered high.
Reducing Debt: SOLB's debt to equity ratio has reduced from 66.9% to 42.3% over the past 5 years.
Debt Coverage: SOLB's debt is well covered by operating cash flow (40.2%).
Interest Coverage: SOLB is unprofitable, therefore interest payments are not well covered by earnings.
Balance Sheet
Dividend
What is Solvay current dividend yield, its reliability and sustainability?
3.39%
Current Dividend Yield
Upcoming Dividend Payment
Dividend Yield vs Market
Notable Dividend: SOLB's dividend (3.39%) is higher than the bottom 25% of dividend payers in the Belgian market (1.81%).
High Dividend: SOLB's dividend (3.39%) is low compared to the top 25% of dividend payers in the Belgian market (4.61%).
Stability and Growth of Payments
Stable Dividend: SOLB's dividend payments have been volatile in the past 10 years.
Growing Dividend: SOLB's dividend payments have increased over the past 10 years.
Current Payout to Shareholders
Dividend Coverage: SOLB is paying a dividend but the company is unprofitable.
Future Payout to Shareholders
Future Dividend Coverage: SOLB's dividends in 3 years are forecast to be well covered by earnings (45.1% payout ratio).
Next Steps
Management
How experienced are the management team and are they aligned to shareholders interests?
4.3yrs
Average management tenure
CEO
Ilham Kadri (51 yo)
2.17yrs
Tenure
€4,102,137
Compensation
Dr. Ilham Kadri has been Chief Executive Officer and Non independent Director at Solvay SA since March 1, 2019. Dr. Kadri was an Executive Officer of Solvay SA since January 1, 2019 until March 1, 2019. Sh...
CEO Compensation Analysis
Compensation vs Market: Ilham's total compensation ($USD4.92M) is above average for companies of similar size in the Belgian market ($USD2.13M).
Compensation vs Earnings: Ilham's compensation has been consistent with company performance over the past year.
Leadership Team
Experienced Management: SOLB's management team is considered experienced (4.3 years average tenure).
Board Members
Experienced Board: SOLB's board of directors are considered experienced (7.8 years average tenure).
Ownership
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.
Ownership Breakdown
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
Top Shareholders
Company Information
Solvay SA's company bio, employee growth, exchange listings and data sources
Key Information
- Name: Solvay SA
- Ticker: SOLB
- Exchange: ENXTBR
- Founded: 1863
- Industry: Diversified Chemicals
- Sector: Materials
- Market Cap: €10.935b
- Shares outstanding: 103.16m
- Website: https://www.solvay.com
Number of Employees
Location
- Solvay SA
- Rue de Ransbeek, 310
- Brussels
- Brussels
- 1120
- Belgium
Listings
Biography
Solvay SA operates as an advanced materials and specialty chemicals worldwide. It operates through four segments: Materials, Chemicals, Solutions, and Corporate & Business Services. The Materials segment o...
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2021/05/05 17:58 |
| End of Day Share Price | 2021/05/05 00:00 |
| Earnings | 2020/12/31 |
| Annual Earnings | 2020/12/31 |
Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.