DB:VVU

Stock Analysis Report

Executive Summary

Vivendi SA operates as a content media and communication company in France, rest of Europe, the Americas, Asia/Oceania, and Africa.

Rewards

Trading at 22.7% below its fair value

Revenue is forecast to grow 4.47% per year

Earnings grew by 1063.2% over the past year

Risk Analysis

Earnings are forecast to decline by an average of -1.6% per year for the next 3 years

Debt is not well covered by operating cash flow

Unstable dividend track record

Highly volatile share price over past 3 months



Snowflake Analysis

Solid track record and good value.


Similar Companies

Share Price & News

How has Vivendi's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: VVU's share price has been volatile over the past 3 months.


Market Performance


7 Day Return

4.8%

VVU

8.0%

DE Entertainment

2.2%

DE Market


1 Year Return

-24.3%

VVU

-8.2%

DE Entertainment

-17.2%

DE Market

Return vs Industry: VVU underperformed the German Entertainment industry which returned -9.9% over the past year.

Return vs Market: VVU underperformed the German Market which returned -17.5% over the past year.


Shareholder returns

VVUIndustryMarket
7 Day4.8%8.0%2.2%
30 Day-15.3%-14.9%-15.7%
90 Day-24.9%-25.4%-24.0%
1 Year-22.8%-24.3%-7.0%-8.2%-14.9%-17.2%
3 Year14.8%7.9%-3.0%-7.2%-16.4%-23.3%
5 Year12.1%-16.9%40.9%30.2%-16.5%-27.8%

Price Volatility Vs. Market

How volatile is Vivendi's share price compared to the market and industry in the last 5 years?


Simply Wall St News

No news available

Valuation

Is Vivendi undervalued compared to its fair value and its price relative to the market?

22.7%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: VVU (€19.5) is trading below our estimate of fair value (€25.22)

Significantly Below Fair Value: VVU is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: VVU is good value based on its PE Ratio (15.2x) compared to the Entertainment industry average (29.3x).

PE vs Market: VVU is good value based on its PE Ratio (15.2x) compared to the German market (16.3x).


Price to Earnings Growth Ratio

PEG Ratio: VVU's earnings are forecast to decline next year, so we can't calculate its PEG ratio.


Price to Book Ratio

PB vs Industry: VVU is overvalued based on its PB Ratio (1.5x) compared to the DE Entertainment industry average (1x).


Next Steps

Future Growth

How is Vivendi forecast to perform in the next 1 to 3 years based on estimates from 13 analysts?

-1.6%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: VVU's earnings are forecast to decline over the next 3 years (-1.6% per year).

Earnings vs Market: VVU's earnings are forecast to decline over the next 3 years (-1.6% per year).

High Growth Earnings: VVU's earnings are forecast to decline over the next 3 years.

Revenue vs Market: VVU's revenue (4.5% per year) is forecast to grow faster than the German market (4.1% per year).

High Growth Revenue: VVU's revenue (4.5% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: VVU's Return on Equity is forecast to be low in 3 years time (11.5%).


Next Steps

Past Performance

How has Vivendi performed over the past 5 years?

19.3%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: VVU has high quality earnings.

Growing Profit Margin: VVU's current net profit margins (10%) are higher than last year (1%).


Past Earnings Growth Analysis

Earnings Trend: VVU has become profitable over the past 5 years, growing earnings by 19.3% per year.

Accelerating Growth: VVU's earnings growth over the past year (1063.2%) exceeds its 5-year average (19.3% per year).

Earnings vs Industry: VVU earnings growth over the past year (1063.2%) exceeded the Entertainment industry -50.4%.


Return on Equity

High ROE: VVU's Return on Equity (10.4%) is considered low.


Next Steps

Financial Health

How is Vivendi's financial position?


Financial Position Analysis

Short Term Liabilities: VVU's short term assets (€10.1B) do not cover its short term liabilities (€13.0B).

Long Term Liabilities: VVU's short term assets (€10.1B) exceed its long term liabilities (€8.7B).


Debt to Equity History and Analysis

Debt Level: VVU's debt to equity ratio (44.5%) is considered high.

Reducing Debt: VVU's debt to equity ratio has increased from 10.2% to 44.5% over the past 5 years.

Debt Coverage: VVU's debt is not well covered by operating cash flow (18.3%).

Interest Coverage: VVU's interest payments on its debt are well covered by EBIT (19.5x coverage).


Balance Sheet

Inventory Level: VVU has a low level of unsold assets or inventory.

Debt Coverage by Assets: VVU's debt is covered by short term assets (assets are 1.5x debt).


Next Steps

Dividend

What is Vivendi's current dividend yield, its reliability and sustainability?

3.07%

Current Dividend Yield


Upcoming Dividend Payment


Dividend Yield vs Market

Notable Dividend: VVU's dividend (3.07%) is higher than the bottom 25% of dividend payers in the German market (1.68%).

High Dividend: VVU's dividend (3.07%) is low compared to the top 25% of dividend payers in the German market (4.97%).


Stability and Growth of Payments

Stable Dividend: VVU's dividend payments have been volatile in the past 10 years.

Growing Dividend: VVU's dividend payments have fallen over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: With its reasonably low payout ratio (46.8%), VVU's dividend payments are well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: VVU's dividends in 3 years are forecast to be well covered by earnings (44.8% payout ratio).


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

4.3yrs

Average management tenure


CEO

Arnaud de Puyfontaine (55yo)

5.67s

Tenure

€3,858,372

Compensation

Mr. Arnaud Roy de Puyfontaine, E.S.C.P., M.B.A., has been Chairman of Management Board at Vivendi SA since June 24, 2014 and has been a Member of Management Board since June 26, 2013 and serves as its Chie ...


CEO Compensation Analysis

Compensation vs Market: Arnaud's total compensation ($USD4.26M) is about average for companies of similar size in the German market ($USD5.29M).

Compensation vs Earnings: Arnaud's compensation has increased by more than 20% in the past year.


Leadership Team

NamePositionTenureCompensationOwnership
Arnaud de Puyfontaine
Chairman of Management Board & CEO5.67yrs€3.86mno data
Hervé Philippe
CFO & Member of Management Board6.17yrs€2.09mno data
Frédéric Crépin
Member of the Management Board4.25yrs€2.17mno data
Simon Gillham
Senior EVP of Communications & Member of Management Board4.25yrs€1.93mno data
Stéphane Roussel
Member of Management Board & COO4.25yrs€3.06mno data
Gilles Alix
Member of the Management Board & Senior VP2.42yrs€446.92kno data
Cédric de Bailliencourt
Member of the Management Board & Senior VP2.42yrs€357.76kno data
Xavier Le Roy
Executive Vice President of Investor Relationsno datano datano data
Mathieu Peyceré
Executive Vice President of Group Human Resources7.58yrsno datano data
Vincent Vallejo
Senior Vice President of Audit & Special Projects15.83yrsno datano data

4.3yrs

Average Tenure

58yo

Average Age

Experienced Management: VVU's management team is considered experienced (4.3 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Philippe Bénacin
Vice Chairman of Supervisory Board5.67yrs€105.00k0.0012% 274.3k
Jean-Rene Fourtou
Honorary Chairman5.67yrsno datano data
Henri Lachmann
Honorary Vice-Chairman of the Supervisory Boardno data€30.00kno data
Vincent Bollore
Censor & Special Advisor to the Chairman of the Management Board0.83yr€110.00k0.00051% 116.6k
Dominique Delport
Member of Supervisory Board4.83yrs€65.00kno data
Aliza Jabès
Independent Member of Supervisory Board9.83yrs€80.00k0.00067% 153.1k
Yannick Bolloré
Chairman of Supervisory Board1.83yrs€80.00k0.00031% 70.9k
Katie Stanton
Independent Member of Supervisory Board5.67yrs€100.00k0.000090% 20.6k
Catherine Lawson-Hall
Independent Member of Supervisory Board4.42yrs€135.00k0.000090% 20.6k
Michèle Reiser
Independent Member of the Supervisory Board1.83yrs€85.00k0.000090% 20.6k

4.8yrs

Average Tenure

58.5yo

Average Age

Experienced Board: VVU's board of directors are considered experienced (4.8 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

Vivendi SA's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Vivendi SA
  • Ticker: VVU
  • Exchange: DB
  • Founded: 1853
  • Industry: Movies and Entertainment
  • Sector: Media
  • Market Cap: €22.855b
  • Shares outstanding: 1.17b
  • Website: https://www.vivendi.com

Number of Employees


Location

  • Vivendi SA
  • 42 avenue de Friedland
  • Cedex 08
  • Paris
  • Ile-de-France
  • 75380
  • France

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
VIVENXTPA (Euronext Paris)YesCommon SharesFREURDec 2000
VVUDB (Deutsche Boerse AG)YesCommon SharesDEEURDec 2000
VIVSWX (SIX Swiss Exchange)YesCommon SharesCHCHFDec 2000
0IIFLSE (London Stock Exchange)YesCommon SharesGBEURDec 2000
VIVE.FOTCPK (Pink Sheets LLC)YesCommon SharesUSUSDDec 2000
VIVBIT (Borsa Italiana)YesCommon SharesITEURDec 2000
VVUXTRA (XETRA Trading Platform)YesCommon SharesDEEURDec 2000
VIVPBATS-CHIXE (BATS 'Chi-X Europe')YesCommon SharesGBEURDec 2000
VIVWBAG (Wiener Boerse AG)YesCommon SharesATEURDec 2000
VIVEN NBMV (Bolsa Mexicana de Valores)YesCommon SharesMXMXNDec 2000
VIVH.YOTCPK (Pink Sheets LLC)UNSPON ADR EACH REPR 1 ORD EUR5.50USUSDJan 2011
VVUDDB (Deutsche Boerse AG)UNSPON ADR EACH REPR 1 ORD EUR5.50DEEURJan 2011

Biography

Vivendi SA operates as a content media and communication company in France, rest of Europe, the Americas, Asia/Oceania, and Africa. It operates through Universal Music Group, Canal+ Group, Havas Group, Editis, Gameloft, Vivendi Village, and New Initiatives segments. The Universal Music Group segment engages in the sale of digital and physical recorded music; and exploitation of music publishing rights, as well as provision of artist and merchandising services. The Canal+ Group segment publishes and distributes premium and thematic pay-TV and free-to-air channels; and produces, sells, and distributes movies and TV series. The Havas Group segment includes communications disciplines, such as creativity, media expertise, and healthcare/wellness. The Editis segment engages in the publishing of literature, educational, and reference books, as well as selling and distribution of books. The Gameloft segment engages in the creation and publishing of downloadable video games for mobile phones, tablets, triple-play boxes, and smart TVs. The Vivendi Village segment provides ticketing services and live performances through Olympia production, festival production, and venues. The New Initiatives segment operates Dailymotion, a video content aggregation and distribution platform, as well as develops ultra-high-speed Internet service. The company was formerly known as Vivendi Universal S.A. and changed its name to Vivendi SA in April 2006. Vivendi SA was founded in 1853 and is headquartered in Paris, France. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/03/31 20:44
End of Day Share Price2020/03/31 00:00
Earnings2019/12/31
Annual Earnings2019/12/31


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.