Compagnie Plastic Omnium (ENXTPA:POM) - Share price, News & Analysis

POM fundamental analysis
Snowflake Score
Valuation	4/6
Future Growth	4/6
Past Performance	2/6
Financial Health	5/6
Dividends	3/6

POM Stock Overview

Rewards

Trading at 40.9% below our estimate of its fair value

Earnings are forecast to grow 28.32% per year

Became profitable this year

Risk Analysis

Volatile share price over the past 3 months

Compagnie Plastic Omnium Competitors

Price History & Performance

Summary of all time highs, changes and price drops for Compagnie Plastic Omnium
Historical stock prices
Current Share Price	€16.49
52 Week High	€27.84
52 Week Low	€14.19
Beta	2.26
1 Month Change	-3.00%
3 Month Change	4.77%
1 Year Change	-39.29%
3 Year Change	-28.08%
5 Year Change	-48.36%
Change since IPO	1,159.92%

Recent News & Updates

Jun 07

Compagnie Plastic Omnium SE (EPA:POM) Shares Could Be 36% Below Their Intrinsic Value Estimate

Today we'll do a simple run through of a valuation method used to estimate the attractiveness of Compagnie Plastic...

Mar 29

Compagnie Plastic Omnium (EPA:POM) Might Be Having Difficulty Using Its Capital Effectively

What are the early trends we should look for to identify a stock that could multiply in value over the long term...

Shareholder Returns

	POM	FR Auto Components	FR Market
7D	2.2%	-3.5%	3.6%
1Y	-39.3%	-31.6%	-11.3%

Return vs Industry: POM underperformed the French Auto Components industry which returned -31.6% over the past year.

Return vs Market: POM underperformed the French Market which returned -11.3% over the past year.

Price Volatility

Is POM's price volatile compared to industry and market?
POM volatility
POM Average Weekly Movement	6.6%
Auto Components Industry Average Movement	6.6%
Market Average Movement	5.0%
10% most volatile stocks in FR Market	9.2%
10% least volatile stocks in FR Market	2.9%

Stable Share Price: POM is more volatile than 75% of French stocks over the past 3 months, typically moving +/- 7% a week.

Volatility Over Time: POM's weekly volatility (7%) has been stable over the past year, but is still higher than 75% of French stocks.

About the Company

Founded	Employees	CEO	Website
1946	20,872	Laurent Favre	https://www.plasticomnium.com

Compagnie Plastic Omnium SE designs, develops, manufactures, and sells intelligent exterior systems, clean energy systems, and modules for the automotive industry in France, rest of Europe, North America, China, rest of Asia, and internationally. It offers intelligent exterior systems, including bumpers, energy absorption systems, tailgate modules, spoilers, fender supports, and rocket panels, as well as radar and other sensors. The company also manufactures blown polyethylene energy systems, including fuel tanks for internal combustion or hybrid vehicles; and depollution systems for diesel engines.

Compagnie Plastic Omnium Fundamentals Summary

How do Compagnie Plastic Omnium's earnings and revenue compare to its market cap?
POM fundamental statistics
Market Cap	€2.39b
Earnings (TTM)	€126.37m
Revenue (TTM)	€7.23b

18.9x

P/E Ratio

0.3x

P/S Ratio

Is POM overvalued?

See Fair Value and valuation analysis

Earnings & Revenue

Key profitability statistics from the latest earnings report
POM income statement (TTM)
Revenue	€7.23b
Cost of Revenue	€6.40b
Gross Profit	€830.47m
Other Expenses	€704.10m
Earnings	€126.37m

Last Reported Earnings

Dec 31, 2021

Next Earnings Date

Jul 25, 2022

Earnings per share (EPS)	0.87
Gross Margin	11.48%
Net Profit Margin	1.75%
Debt/Equity Ratio	79.3%

How did POM perform over the long term?

See historical performance and comparison

Dividends

1.7%

Current Dividend Yield

32%

Payout Ratio

We’ve recently updated our valuation analysis.

Valuation

Is POM undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

4/6

Valuation Score 4/6

Price-To-Earnings vs Peers
Price-To-Earnings vs Industry
Price-To-Earnings vs Fair Ratio
Below Fair Value
Significantly Below Fair Value
PEG Ratio

Key Valuation Metric

Which metric is best to use when looking at relative valuation for POM?

Other financial metrics that can be useful for relative valuation.

The above table shows the n/a ratio for POM. This is calculated by dividing POM's market cap by their current preferred multiple.
What is POM's n/a Ratio?
n/a Ratio	0x
n/a	n/a
Market Cap	€2.39b

POM key valuation metrics and ratios. From Price to Earnings, Price to Sales and Price to Book to Price to Earnings Growth Ratio, Enterprise Value and EBITDA.
Key Statistics
Enterprise Value/Revenue	0.5x
Enterprise Value/EBITDA	6.6x
PEG Ratio	0.7x

Price to Earnings Ratio vs Peers

How does POM's PE Ratio compare to its peers?

POM PE Ratio vs Peers

The above table shows the PE ratio for POM vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
Company	PE	Estimated Growth	Market Cap
Peer Average	64.6x

Forward PE

Price-To-Earnings vs Peers: POM is good value based on its Price-To-Earnings Ratio (18.9x) compared to the peer average (64.6x).

Price to Earnings Ratio vs Industry

How does POM's PE Ratio compare vs other companies in the Auto Components Industry?

Price-To-Earnings vs Industry: POM is expensive based on its Price-To-Earnings Ratio (18.9x) compared to the French Auto Components industry average (10.2x)

Price to Earnings Ratio vs Fair Ratio

What is POM's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

POM PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio	18.9x
Fair PE Ratio	16.3x

Price-To-Earnings vs Fair Ratio: POM is expensive based on its Price-To-Earnings Ratio (18.9x) compared to the estimated Fair Price-To-Earnings Ratio (16.3x).

Share Price vs Fair Value

What is the Fair Price of POM when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: POM (€16.49) is trading below our estimate of fair value (€27.89)

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

Price to Earnings Growth Ratio

PEG Ratio: POM is good value based on its PEG Ratio (0.7x)

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Future Growth

How is Compagnie Plastic Omnium forecast to perform in the next 1 to 3 years based on estimates from 6 analysts?

Future Growth Score

4/6

Future Growth Score 4/6

Earnings vs Savings Rate
Earnings vs Market
High Growth Earnings
Revenue vs Market
High Growth Revenue
Future ROE

28.3%

Forecasted annual earnings growth

Earnings and Revenue Growth Forecasts

Analyst Future Growth Forecasts

Earnings vs Savings Rate: POM's forecast earnings growth (28.3% per year) is above the savings rate (0.3%).

Earnings vs Market: POM's earnings (28.3% per year) are forecast to grow faster than the French market (11.7% per year).

High Growth Earnings: POM's earnings are expected to grow significantly over the next 3 years.

Revenue vs Market: POM's revenue (9.2% per year) is forecast to grow faster than the French market (5.9% per year).

High Growth Revenue: POM's revenue (9.2% per year) is forecast to grow slower than 20% per year.

Earnings per Share Growth Forecasts

Future Return on Equity

Future ROE: POM's Return on Equity is forecast to be low in 3 years time (15.7%).

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Past Performance

How has Compagnie Plastic Omnium performed over the past 5 years?

Past Performance Score

2/6

Past Performance Score 2/6

Quality Earnings
Growing Profit Margin
Earnings Trend
Accelerating Growth
Earnings vs Industry
High ROE

-30.0%

Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: POM has high quality earnings.

Growing Profit Margin: POM became profitable in the past.

Past Earnings Growth Analysis

Earnings Trend: POM's earnings have declined by 30% per year over the past 5 years.

Accelerating Growth: POM has become profitable in the last year, making the earnings growth rate difficult to compare to its 5-year average.

Earnings vs Industry: POM has become profitable in the last year, making it difficult to compare its past year earnings growth to the Auto Components industry (38%).

Return on Equity

High ROE: POM's Return on Equity (6.6%) is considered low.

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Financial Health

How is Compagnie Plastic Omnium's financial position?

Financial Health Score

5/6

Financial Health Score 5/6

Short Term Liabilities
Long Term Liabilities
Debt Level
Reducing Debt
Debt Coverage
Interest Coverage

Financial Position Analysis

Short Term Liabilities: POM's short term assets (€2.6B) do not cover its short term liabilities (€2.8B).

Long Term Liabilities: POM's short term assets (€2.6B) exceed its long term liabilities (€1.5B).

Debt to Equity History and Analysis

Debt Level: POM's net debt to equity ratio (35.7%) is considered satisfactory.

Reducing Debt: POM's debt to equity ratio has reduced from 86.6% to 79.3% over the past 5 years.

Debt Coverage: POM's debt is well covered by operating cash flow (33.6%).

Interest Coverage: POM's interest payments on its debt are well covered by EBIT (6.1x coverage).

Balance Sheet

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Dividend

What is Compagnie Plastic Omnium current dividend yield, its reliability and sustainability?

Dividend Score

3/6

Dividend Score 3/6

Notable Dividend
High Dividend
Stable Dividend
Growing Dividend
Earnings Coverage
Future Dividend Coverage

1.70%

Current Dividend Yield

Dividend Yield vs Market

Notable Dividend: POM's dividend (1.7%) isn’t notable compared to the bottom 25% of dividend payers in the French market (1.8%).

High Dividend: POM's dividend (1.7%) is low compared to the top 25% of dividend payers in the French market (5.42%).

Stability and Growth of Payments

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

Growing Dividend: POM's dividend payments have increased over the past 10 years.

Earnings Payout to Shareholders

Earnings Coverage: With its reasonably low payout ratio (32.2%), POM's dividend payments are well covered by earnings.

Cash Payout to Shareholders

Cash Flow Coverage: With its low cash payout ratio (17%), POM's dividend payments are well covered by cash flows.

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Management

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

1.4yrs

Average management tenure

CEO

Laurent Favre (49 yo)

2.42yrs

Tenure

€2,984,576

Compensation

Mr. Laurent Favre serves as the Chief Executive Officer at Compagnie Plastic Omnium SA since January 1, 2020 and was its Co-Chief Executive Officer until January 1, 2020 and He serves as Director at Compag...

CEO Compensation Analysis

Compensation vs Market: Laurent's total compensation ($USD3.15M) is above average for companies of similar size in the French market ($USD1.91M).

Compensation vs Earnings: Laurent's compensation has been consistent with company performance over the past year.

Leadership Team

Experienced Management: POM's management team is not considered experienced ( 1.4 years average tenure), which suggests a new team.

Board Members

Experienced Board: POM's board of directors are seasoned and experienced ( 12.5 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.

Data	Last Updated (UTC time)
Company Analysis	2022/06/25 00:00
End of Day Share Price	2022/06/24 00:00
Earnings	2021/12/31
Annual Earnings	2021/12/31