ENXTPA:ALO

Stock Analysis Report

Executive Summary

Alstom SA develops and markets systems, equipment, and services for the transport sector in Europe, the Americas, Asia and Pacific, the Middle-East, and Africa.

Snowflake

Fundamentals

Flawless balance sheet average dividend payer.


Similar Companies

Share Price & News

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


Latest Share Price and Events


Market Performance


7 Day Return

-1.4%

ALO

-1.6%

FR Machinery

-0.9%

FR Market


1 Year Return

0.1%

ALO

-7.7%

FR Machinery

12.5%

FR Market

Return vs Industry: ALO exceeded the French Machinery industry which returned -7.7% over the past year.

Return vs Market: ALO underperformed the French Market which returned 12.5% over the past year.


Shareholder returns

ALOIndustryMarket
7 Day-1.4%-1.6%-0.9%
30 Day-1.8%-2.8%-0.8%
90 Day-1.9%-6.5%-0.5%
1 Year15.0%0.1%2.8%-7.7%16.3%12.5%
3 Year83.5%57.0%50.9%33.5%43.1%29.1%
5 Year60.8%37.6%36.1%19.9%71.4%45.4%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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

19.18x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: ALO (€37.25) is trading above our estimate of fair value (€22.19)

Significantly Below Fair Value: ALO is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: ALO is poor value based on its PE Ratio (19.2x) compared to the Machinery industry average (10.9x).

PE vs Market: ALO is poor value based on its PE Ratio (19.2x) compared to the French market (17.3x).


Price to Earnings Growth Ratio

PEG Ratio: ALO is poor value based on its PEG Ratio (1.9x)


Price to Book Ratio

PB vs Industry: ALO is overvalued based on its PB Ratio (2x) compared to the FR Machinery industry average (1.3x).


Next Steps

Future Growth

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

10.1%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: ALO's forecast earnings growth (10.1% per year) is above the savings rate (0.7%).

Earnings vs Market: ALO's earnings (10.1% per year) are forecast to grow slower than the French market (11.4% per year).

High Growth Earnings: ALO's earnings are forecast to grow, but not significantly.

Revenue vs Market: ALO's revenue (5% per year) is forecast to grow faster than the French market (4.4% per year).

High Growth Revenue: ALO's revenue (5% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: ALO's Return on Equity is forecast to be low in 3 years time (15%).


Next Steps

Past Performance

How has Alstom performed over the past 5 years?

38.4%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Earnings Trend: ALO's earnings have grown significantly by 38.4% per year over the past 5 years.

Accelerating Growth: ALO's earnings growth over the past year (38.3%) is below its 5-year average (38.4% per year).

Earnings vs Industry: ALO earnings growth over the past year (38.3%) exceeded the Machinery industry -4.8%.


Return on Equity

High ROE: ALO's Return on Equity (10.7%) is considered low.


Return on Assets

ROA vs Industry: ALO's Return on Assets is below or equal to the Machinery industry average last year.


Return on Capital Employed

ROCE Improving: ALO has significantly improved its Return on Capital Employed over the past 3 years.


Next Steps

Financial Health

How is Alstom's financial position?


Financial Position Analysis

Short Term Liabilities: ALO's short term assets (€9.1B) exceeds its short term liabilities (€8.1B)

Long Term Liabilities: ALO's short term assets (9.1B) exceeds its long term liabilities (1.2B)


Debt to Equity History and Analysis

Debt Level: ALO's debt to equity ratio (26.5%) is considered satisfactory

Reducing Debt: ALO's debt to equity ratio has reduced from 102.8% to 26.5% over the past 5 years.

Debt Coverage: ALO's debt is well covered by operating cash flow (38.6%).

Interest Coverage: ALO's interest payments on its debt are well covered by EBIT (10.8x coverage).


Balance Sheet

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

Debt Coverage by Assets: ALO's debt is covered by short term assets (assets are 8.254990x debt).


Next Steps

Dividend

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

14.77%

Current Dividend Yield


Dividend Yield vs Market

company14.8%marketbottom25%1.5%markettop25%4.7%industryaverage12.9%forecastin3Years1.9%

Current dividend yield vs market & industry


Stability and Growth of Payments

Notable Dividend: ALO's dividend (14.77%) is higher than the bottom 25% of dividend payers in the French market (1.55%).

High Dividend: ALO's dividend (14.77%) is in the top 25% of dividend payers in the French market (4.71%)

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

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


Current Payout to Shareholders

Dividend Coverage: With its high payout ratio (283.2%), ALO's dividend payments are not well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: ALO's dividends in 3 years are forecast to be well covered by earnings (30.4% payout ratio).


Next Steps

Management

What is the CEO of Alstom's salary, the management and board of directors tenure and is there insider trading?

1.8yrs

Average management tenure


CEO

Henri Poupart-Lafarge (50yo)

3.7yrs

Tenure

€3,106,877

Compensation

Mr. Henri Poupart-Lafarge has been Chief Executive Officer and Chairman at Alstom Transport Deutschland GmbH since February 1, 2016. Mr. Poupart-Lafarge has been Chief Executive Officer at Alstom Deutschla ...


CEO Compensation Analysis

Compensation vs. Market: Henri's total compensation ($USD3.46M) is about average for companies of similar size in the French market ($USD2.66M).

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


Management Age and Tenure

1.8yrs

Average Tenure

57yo

Average Age

Experienced Management: ALO's management team is not considered experienced ( 1.8 years average tenure), which suggests a new team.


Board Age and Tenure

4.3yrs

Average Tenure

62yo

Average Age

Experienced Board: ALO's board of directors are considered experienced (4.3 years average tenure).


Insider Trading

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Ownership Breakdown


Management Team

  • Georg Gasteiger (67yo)

    Head of Alstom Power AG

    • Tenure: 0yrs
  • Henri Poupart-Lafarge (50yo)

    CEO & Director

    • Tenure: 3.7yrs
    • Compensation: €3.11m
  • Dominique Pouliquen (59yo)

    Chief Performance Officer

    • Tenure: 3.2yrs
  • Thierry Best (59yo)

    Chief Operating Officer

    • Tenure: 0yrs
  • Jérôme Wallut (55yo)

    Senior Vice-President of North American Rail Transportation Business

    • Tenure: 5.1yrs
  • Alexandre Domingues

    Chief Information & Transformation Officer

    • Tenure: 1.8yrs
  • Laurent Martinez (50yo)

    CFO & Senior VP of Finance

    • Tenure: 1.3yrs
  • Anne-Sophie Chauveau-Galas

    Senior Vice President of Human Resources & Sustainable Development

    • Tenure: 0.4yrs
  • Emmanuelle Petrovic

    Senior VP of Legal & General Counsel

    • Tenure: 0.4yrs
  • Bruno Tourne

    Vice President of Communications

    • Tenure: 0yrs

Board Members

  • Gérard Hauser (78yo)

    Director

    • Tenure: 16.6yrs
    • Compensation: €92.42k
  • Olivier Bouygues (69yo)

    Director

    • Tenure: 13.3yrs
    • Compensation: €67.78k
  • Yann Delabrière (69yo)

    Lead Director

    • Tenure: 2.3yrs
    • Compensation: €124.62k
  • Nuria Fernandez (59yo)

    • Tenure: 0yrs
  • Chungunco Bi (57yo)

    Independent Director

    • Tenure: 5.3yrs
    • Compensation: €75.75k
  • Henri Poupart-Lafarge (50yo)

    CEO & Director

    • Tenure: 3.7yrs
    • Compensation: €3.11m
  • Sylvie Rucar (62yo)

    Independent Director

    • Tenure: 4.3yrs
    • Compensation: €108.25k
  • Philippe Marien (63yo)

    Director

    • Tenure: 11.6yrs
    • Compensation: €85.00k
  • Sylvie de Beaupuy (62yo)

    Independent Director

    • Tenure: 2.8yrs
    • Compensation: €86.78k
  • Françoise Colpron (48yo)

    Independent Director

    • Tenure: 2.3yrs
    • Compensation: €67.78k

Company Information

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


Key Information

  • Name: Alstom SA
  • Ticker: ALO
  • Exchange: ENXTPA
  • Founded: 1992
  • Industry: Construction Machinery and Heavy Trucks
  • Sector: Capital Goods
  • Market Cap: €8.355b
  • Shares outstanding: 224.30m
  • Website: https://www.alstom.com

Number of Employees


Location

  • Alstom SA
  • 48, rue Albert Dhalenne
  • Saint-Ouen
  • Ile-de-France
  • 93400
  • France

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
ALOENXTPA (Euronext Paris)YesOrdinary SharesFREURJun 1998
AOMDDB (Deutsche Boerse AG)YesOrdinary SharesDEEURJun 1998
AOMF.FOTCPK (Pink Sheets LLC)YesOrdinary SharesUSUSDJun 1998
0J2RLSE (London Stock Exchange)YesOrdinary SharesGBEURJun 1998
ALOPBATS-CHIXE (BATS 'Chi-X Europe')YesOrdinary SharesGBEURJun 1998
ALSOWBAG (Wiener Boerse AG)YesOrdinary SharesATEURJun 1998
ALOSWX (SIX Swiss Exchange)YesOrdinary SharesCHCHFJun 1998
ALSM.YOTCPK (Pink Sheets LLC)ADRUSUSDOct 2008

Biography

Alstom SA develops and markets systems, equipment, and services for the transport sector in Europe, the Americas, Asia and Pacific, the Middle-East, and Africa. The company offers metros, tramways, tram-tr ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/10/22 20:46
End of Day Share Price2019/10/22 00:00
Earnings2019/03/31
Annual Earnings2019/03/31


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.