ENXTPA:SO

Stock Analysis Report

Executive Summary

Somfy SA manufactures and sells automatic controls for openings and closures in homes and buildings.

Snowflake

Fundamentals

Flawless balance sheet established dividend payer.

Share Price & News

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


Latest Share Price and Events


Market Performance


7 Day Return

1.2%

SO

2.1%

FR Electrical

-0.9%

FR Market


1 Year Return

27.7%

SO

37.6%

FR Electrical

12.3%

FR Market

Return vs Industry: SO underperformed the French Electrical industry which returned 37.6% over the past year.

Return vs Market: SO exceeded the French Market which returned 12.3% over the past year.


Shareholder returns

SOIndustryMarket
7 Day1.2%2.1%-0.9%
30 Day3.3%6.3%0.1%
90 Day2.0%6.5%-0.2%
1 Year29.9%27.7%41.3%37.6%16.1%12.3%
3 Year20.1%14.7%41.5%31.1%42.8%28.9%
5 Year244.5%84.2%69.1%45.7%71.2%45.1%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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

19.66x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: SO (€84.9) is trading above our estimate of fair value (€54.72)

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


Price To Earnings Ratio

PE vs Industry: SO is poor value based on its PE Ratio (19.7x) compared to the Electrical industry average (14.5x).

PE vs Market: SO is poor value based on its PE Ratio (19.7x) compared to the French market (17.3x).


Price to Earnings Growth Ratio

PEG Ratio: SO is poor value based on its PEG Ratio (3x)


Price to Book Ratio

PB vs Industry: SO is overvalued based on its PB Ratio (3.1x) compared to the FR Electrical industry average (2.3x).


Next Steps

Future Growth

How is Somfy forecast to perform in the next 1 to 3 years based on estimates from 4 analysts?

6.6%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: SO's forecast earnings growth (6.6% per year) is above the savings rate (0.7%).

Earnings vs Market: SO's earnings (6.6% per year) are forecast to grow slower than the French market (11.4% per year).

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

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

High Growth Revenue: SO'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: SO's Return on Equity is forecast to be low in 3 years time (15.1%).


Next Steps

Past Performance

How has Somfy performed over the past 5 years?

7.0%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Earnings Trend: SO's earnings have grown by 7% per year over the past 5 years.

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

Earnings vs Industry: SO had negative earnings growth (-8.3%) over the past year, making it difficult to compare to the Electrical industry average (1.3%).


Return on Equity

High ROE: SO's Return on Equity (15.8%) is considered low.


Return on Assets

ROA vs Industry: SO has a higher Return on Assets than the Electrical industry average last year.


Return on Capital Employed

ROCE Improving: SO's Return on Capital Employed has declined over the past 3 years.


Next Steps

Financial Health

How is Somfy's financial position?


Financial Position Analysis

Short Term Liabilities: SO's short term assets (€694.1M) exceeds its short term liabilities (€238.8M)

Long Term Liabilities: SO's short term assets (694.1M) exceeds its long term liabilities (109.2M)


Debt to Equity History and Analysis

Debt Level: SO's debt to equity ratio (3.5%) is considered satisfactory

Reducing Debt: SO's debt to equity ratio has reduced from 9% to 3.5% over the past 5 years.

Debt Coverage: SO's debt is well covered by operating cash flow (632.4%).

Interest Coverage: SO's interest payments on its debt are well covered by EBIT (106.9x coverage).


Balance Sheet

Inventory Level: SO has a high level of physical assets or inventory.

Debt Coverage by Assets: SO's debt is covered by short term assets (assets are 21.3x debt).


Next Steps

Dividend

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

1.65%

Current Dividend Yield


Dividend Yield vs Market

company1.6%marketbottom25%1.5%markettop25%4.7%industryaverage2.5%forecastin3Years1.8%

Current dividend yield vs market & industry


Stability and Growth of Payments

Notable Dividend: SO's dividend (1.65%) is higher than the bottom 25% of dividend payers in the French market (1.55%).

High Dividend: SO's dividend (1.65%) is low compared to the top 25% of dividend payers in the French market (4.65%).

Stable Dividend: SO's dividends per share have been stable in the past 10 years.

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


Current Payout to Shareholders

Dividend Coverage: With its reasonably low payout ratio (32.4%), SO's dividend payments are well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: SO's dividends in 3 years are forecast to be well covered by earnings (33.7% payout ratio).


Next Steps

Management

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

4.4yrs

Average board tenure


CEO

Jean Despature (41yo)

0yrs

Tenure

€1,194,192

Compensation

Mr. Jean Guillaume Despature has been Chairman of the Management Board at Somfy SA since March 9, 2016. and has been its member since November 6, 2014. Mr. Despature serves as Chairperson of The Supervisor ...


CEO Compensation Analysis

Compensation vs. Market: Jean's total compensation ($USD1.33M) is about average for companies of similar size in the French market ($USD1.40M).

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


Board Age and Tenure

4.4yrs

Average Tenure

56yo

Average Age

Experienced Board: SO's board of directors are considered experienced (4.4 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

  • Jean Despature (41yo)

    Chairman of the Management Board

    • Tenure: 0yrs
    • Compensation: €1.19m
  • Pierre Ribeiro (52yo)

    Group CFO & Member of Management Board

    • Tenure: 0yrs
    • Compensation: €737.27k
  • Valérie Dixmier

    Human Resources & Organization Director

    • Tenure: 0yrs
  • Steven Montgomery

    Managing Director of UK & Ireland

    • Tenure: 0yrs

Board Members

  • Michel Rollier (75yo)

    Independent Chairman of the Supervisory Board

    • Tenure: 6.4yrs
    • Compensation: €96.03k
  • Victor Despature (69yo)

    Vice Chairman of Supervisory Board

    • Tenure: 0yrs
    • Compensation: €17.80k
  • Anthony Stahl (45yo)

    Member of Supervisory Board

    • Tenure: 17.3yrs
  • Florence Noblot (56yo)

    Independent Member of the Supervisory Board

    • Tenure: 2.4yrs
    • Compensation: €4.80k
  • Sophie Desormière (52yo)

    Independent Member of Supervisory Board

    • Tenure: 2.4yrs
    • Compensation: €8.00k
  • Paule Cellard (64yo)

    Independent Member of Supervisory Board

    • Tenure: 6.4yrs
    • Compensation: €14.40k
  • Marie Bavarel-Despature (38yo)

    Member of Supervisory Board

    • Tenure: 2.4yrs
    • Compensation: €8.00k

Company Information

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


Key Information

  • Name: Somfy SA
  • Ticker: SO
  • Exchange: ENXTPA
  • Founded: 1969
  • Industry: Electrical Components and Equipment
  • Sector: Capital Goods
  • Market Cap: €2.916b
  • Shares outstanding: 34.34m
  • Website: https://www.somfy-group.com/fr-fr

Number of Employees


Location

  • Somfy SA
  • 50 avenue du Nouveau-Monde
  • BP 152
  • Cluses
  • Rhône-Alpes
  • 74307
  • France

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
SOENXTPA (Euronext Paris)YesOrdinary SharesFREURJan 1992
0RR3LSE (London Stock Exchange)YesOrdinary SharesGBEURJan 1992

Biography

Somfy SA manufactures and sells automatic controls for openings and closures in homes and buildings. The company offers home automation solutions for shutters, solar protection, curtains, gates, garage doo ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/10/23 20:34
End of Day Share Price2019/10/23 00:00
Earnings2019/06/30
Annual Earnings2018/12/31


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.