ENXTPA:ECASA

Stock Analysis Report

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Executive Summary

ECA SA engages in the robotics, automated systems, simulation, and industrial businesses worldwide. More Details


Snowflake Analysis

High growth potential with adequate balance sheet.


Similar Companies

Share Price & News

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


Latest Share Price and Events

Stable Share Price: ECASA has not had significant price volatility in the past 3 months.


Market Performance


7 Day Return

-5.0%

ECASA

-4.4%

FR Aerospace & Defense

-3.8%

FR Market


1 Year Return

-8.8%

ECASA

-36.5%

FR Aerospace & Defense

-11.4%

FR Market

Return vs Industry: ECASA exceeded the French Aerospace & Defense industry which returned -33.5% over the past year.

Return vs Market: ECASA exceeded the French Market which returned -9.6% over the past year.


Shareholder returns

ECASAIndustryMarket
7 Day-5.0%-4.4%-3.8%
30 Day-3.4%2.8%1.2%
90 Day3.2%-2.3%-2.2%
1 Year-7.4%-8.8%-36.4%-36.5%-9.5%-11.4%
3 Year3.9%0.7%-17.3%-20.0%0.7%-8.0%
5 Year57.1%47.8%15.7%7.9%26.2%7.4%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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

58.84x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: ECASA (€23.5) is trading above our estimate of fair value (€17.77)

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


Price To Earnings Ratio

PE vs Industry: ECASA is poor value based on its PE Ratio (60.9x) compared to the FR Aerospace & Defense industry average (18.4x).

PE vs Market: ECASA is poor value based on its PE Ratio (60.9x) compared to the French market (18.2x).


Price to Earnings Growth Ratio

PEG Ratio: ECASA is good value based on its PEG Ratio (0.9x)


Price to Book Ratio

PB vs Industry: ECASA is overvalued based on its PB Ratio (2.7x) compared to the FR Aerospace & Defense industry average (1.4x).


Next Steps

Future Growth

How is ECA forecast to perform in the next 1 to 3 years based on estimates from 2 analysts?

67.4%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: ECASA's forecast earnings growth (67.4% per year) is above the savings rate (0.6%).

Earnings vs Market: ECASA's earnings (67.4% per year) are forecast to grow faster than the French market (23.4% per year).

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

Revenue vs Market: ECASA's revenue (21.3% per year) is forecast to grow faster than the French market (6.8% per year).

High Growth Revenue: ECASA's revenue (21.3% per year) is forecast to grow faster than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: ECASA's Return on Equity is forecast to be low in 3 years time (10.9%).


Next Steps

Past Performance

How has ECA performed over the past 5 years?

-6.8%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: ECASA has a large one-off loss of €1.8M impacting its June 30 2020 financial results.

Growing Profit Margin: ECASA's current net profit margins (3.3%) are lower than last year (7.1%).


Past Earnings Growth Analysis

Earnings Trend: ECASA's earnings have declined by 6.8% per year over the past 5 years.

Accelerating Growth: ECASA's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: ECASA had negative earnings growth (-57.6%) over the past year, making it difficult to compare to the Aerospace & Defense industry average (-36%).


Return on Equity

High ROE: ECASA's Return on Equity (4.7%) is considered low.


Next Steps

Financial Health

How is ECA's financial position?


Financial Position Analysis

Short Term Liabilities: ECASA's short term assets (€127.3M) exceed its short term liabilities (€95.4M).

Long Term Liabilities: ECASA's short term assets (€127.3M) exceed its long term liabilities (€19.6M).


Debt to Equity History and Analysis

Debt Level: ECASA's debt to equity ratio (44.2%) is considered high.

Reducing Debt: ECASA's debt to equity ratio has increased from 6.8% to 44.2% over the past 5 years.

Debt Coverage: ECASA's debt is well covered by operating cash flow (57.6%).

Interest Coverage: ECASA earns more interest than it pays, so coverage of interest payments is not a concern.


Balance Sheet


Next Steps

Dividend

What is ECA current dividend yield, its reliability and sustainability?

2.20%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: ECASA's dividend (2.13%) is higher than the bottom 25% of dividend payers in the French market (1.55%).

High Dividend: ECASA's dividend (2.13%) is low compared to the top 25% of dividend payers in the French market (5.32%).


Stability and Growth of Payments

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

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


Current Payout to Shareholders

Dividend Coverage: With its high payout ratio (129.6%), ECASA's dividend payments are not well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: ECASA's dividends in 3 years are forecast to be well covered by earnings (25% payout ratio).


Next Steps

Management

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

4.5yrs

Average management tenure


CEO

Guenael Guillerme

7.67yrs

Tenure

€185,000

Compensation

Mr. Guenael Guillerme has been the Chief Executive Officer at ECA SA since February 2013. Mr. Guillerme serves as the Managing Director and Head of Robotics and Integrated Systems Department at ECA SA. Mr ...


CEO Compensation Analysis

Compensation vs Market: Guenael's total compensation ($USD218.93K) is below average for companies of similar size in the French market ($USD515.31K).

Compensation vs Earnings: Guenael's compensation has increased by more than 20% whilst company earnings have fallen more than 20% in the past year.


Leadership Team

NamePositionTenureCompensationOwnership
Guenael Guillerme
CEO, MD7.67yrs€185.00kno data
Jean-Louis Sambarino
Head of Simulation Departmentno data€180.01kno data
Gilbert Rosso
Head of Aerospace Department4.5yrsno datano data
Philippe Novelli
Chief Commercial Officer for the Robotics Division2.5yrsno datano data

4.5yrs

Average Tenure

Experienced Management: ECASA's management team is considered experienced (4.5 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Guenael Guillerme
CEO, MD7.67yrs€185.00kno data
Jean-Pierre Gorgé
Director16.42yrs€68.84kno data
Raphaël Gorgé
Chairman of the Board14.33yrs€403.39kno data
Loic Le Berre
3.33yrs€261.90kno data
Céline Leroy
0.083yr€154.59kno data
Catherine Gorgé
Director9.33yrs€10.00kno data
Hélène de Cointet
Director0.083yrno datano data
Alexandra Ayakatsikas
Director0.083yrno datano data

5.3yrs

Average Tenure

Experienced Board: ECASA's board of directors are considered experienced (5.3 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

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


Key Information

  • Name: ECA SA
  • Ticker: ECASA
  • Exchange: ENXTPA
  • Founded: 1936
  • Industry: Aerospace and Defense
  • Sector: Capital Goods
  • Market Cap: €199.371m
  • Shares outstanding: 8.78m
  • Website: https://www.ecagroup.com

Number of Employees


Location

  • ECA SA
  • 262, Rue Des Freres Lumiere
  • La Garde
  • Provence-Alpes-Côte d'Azur
  • 83130
  • France

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
ECASAENXTPA (Euronext Paris)YesOrdinary SharesFREURJul 2004
0E8ALSE (London Stock Exchange)YesOrdinary SharesGBEURJul 2004
ECASAPBATS-CHIXE (BATS 'Chi-X Europe')YesOrdinary SharesGBEURJul 2004

Biography

ECA SA engages in the robotics, automated systems, simulation, and industrial businesses worldwide. It designs, develops, supplies, and supports robotic systems, as well as training simulators, remotely op ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/10/28 21:11
End of Day Share Price2020/10/28 00:00
Earnings2020/06/30
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.