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COFA

COFACE ENXTPA:COFA Stock Report

Last Price

€10.04

Market Cap

€1.5b

7D

-2.6%

1Y

-1.3%

Updated

24 Jun, 2022

Data

Company Financials +
COFA fundamental analysis
Snowflake Score
Valuation5/6
Future Growth0/6
Past Performance5/6
Financial Health4/6
Dividends2/6

COFA Stock Overview

COFACE SA, through its subsidiaries, provides credit insurance products and related services for microenterprises, small and medium enterprises, mid-market companies, international corporations, financial institutions, and clients of distribution partners.

COFACE Competitors

 

 

 

 

 

 

 

 

 

 

 

 

Price History & Performance

Summary of all time highs, changes and price drops for COFACE
Historical stock prices
Current Share Price€10.04
52 Week High€13.19
52 Week Low€8.25
Beta0.93
1 Month Change-5.10%
3 Month Change-5.01%
1 Year Change-1.28%
3 Year Change13.19%
5 Year Change14.35%
Change since IPO-11.07%

Recent News & Updates

Shareholder Returns

COFAFR InsuranceFR Market
7D-2.6%-0.3%3.6%
1Y-1.3%6.8%-11.3%

Return vs Industry: COFA underperformed the French Insurance industry which returned 5.8% over the past year.

Return vs Market: COFA exceeded the French Market which returned -14% over the past year.

Price Volatility

Is COFA's price volatile compared to industry and market?
COFA volatility
COFA Average Weekly Movement5.8%
Insurance Industry Average Movement5.1%
Market Average Movement5.0%
10% most volatile stocks in FR Market9.2%
10% least volatile stocks in FR Market2.9%

Stable Share Price: COFA is not significantly more volatile than the rest of French stocks over the past 3 months, typically moving +/- 6% a week.

Volatility Over Time: COFA's weekly volatility (6%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
19463,667Xavier Durandhttps://www.coface.com

COFACE SA, through its subsidiaries, provides credit insurance products and related services for microenterprises, small and medium enterprises, mid-market companies, international corporations, financial institutions, and clients of distribution partners. The company offers credit insurance products to protect companies against default on payment of its trade receivables. It also provides integrated credit management solutions comprising credit insurance, single risk insurance, business information and debt collection services for insured and uninsured businesses; and factoring services, as well as contract and environmental surety, customs and excise, and legal bonds; and payment guarantees.

COFACE Fundamentals Summary

How do COFACE's earnings and revenue compare to its market cap?
COFA fundamental statistics
Market Cap€1.50b
Earnings (TTM)€233.69m
Revenue (TTM)€1.66b

6.4x

P/E Ratio

0.9x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
COFA income statement (TTM)
Revenue€1.66b
Cost of Revenue€577.31m
Gross Profit€1.08b
Other Expenses€844.36m
Earnings€233.69m

Last Reported Earnings

Mar 31, 2022

Next Earnings Date

Jul 28, 2022

Earnings per share (EPS)1.56
Gross Margin65.12%
Net Profit Margin14.12%
Debt/Equity Ratio156.1%

How did COFA perform over the long term?

See historical performance and comparison

Dividends

14.9%

Current Dividend Yield

100%

Payout Ratio
We’ve recently updated our valuation analysis.

Valuation

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

Valuation Score

5/6

Valuation Score 5/6

  • 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 COFA?

Other financial metrics that can be useful for relative valuation.

COFA 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/Revenue2.7x
Enterprise Value/EBITDA14.1x
PEG Ratio-2.2x

Price to Earnings Ratio vs Peers

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

COFA PE Ratio vs Peers
The above table shows the PE ratio for COFA vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyPEEstimated GrowthMarket Cap
Peer Average9x

Price-To-Earnings vs Peers: COFA is good value based on its Price-To-Earnings Ratio (6.4x) compared to the peer average (9x).


Price to Earnings Ratio vs Industry

How does COFA's PE Ratio compare vs other companies in the Insurance Industry?

Price-To-Earnings vs Industry: COFA is good value based on its Price-To-Earnings Ratio (6.4x) compared to the European Insurance industry average (9.8x)


Price to Earnings Ratio vs Fair Ratio

What is COFA'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.

COFA PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio6.4x
Fair PE Ratio9.9x

Price-To-Earnings vs Fair Ratio: COFA is good value based on its Price-To-Earnings Ratio (6.4x) compared to the estimated Fair Price-To-Earnings Ratio (9.9x).


Share Price vs Fair Value

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

Below Fair Value: COFA (€10.04) is trading below our estimate of fair value (€13.52)

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


Price to Earnings Growth Ratio

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


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Future Growth

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

Future Growth Score

0/6

Future Growth Score 0/6

  • Earnings vs Savings Rate

  • Earnings vs Market

  • High Growth Earnings

  • Revenue vs Market

  • High Growth Revenue

  • Future ROE


-2.9%

Forecasted annual earnings growth

Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: COFA's earnings are forecast to decline over the next 3 years (-2.9% per year).

Earnings vs Market: COFA's earnings are forecast to decline over the next 3 years (-2.9% per year).

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

Revenue vs Market: COFA's revenue (3.3% per year) is forecast to grow slower than the French market (5.9% per year).

High Growth Revenue: COFA's revenue (3.3% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: COFA's Return on Equity is forecast to be low in 3 years time (9.3%).


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Past Performance

How has COFACE performed over the past 5 years?

Past Performance Score

5/6

Past Performance Score 5/6

  • Quality Earnings

  • Growing Profit Margin

  • Earnings Trend

  • Accelerating Growth

  • Earnings vs Industry

  • High ROE


21.5%

Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: COFA has high quality earnings.

Growing Profit Margin: COFA's current net profit margins (14.1%) are higher than last year (8.5%).


Past Earnings Growth Analysis

Earnings Trend: COFA's earnings have grown significantly by 21.5% per year over the past 5 years.

Accelerating Growth: COFA's earnings growth over the past year (84.6%) exceeds its 5-year average (21.5% per year).

Earnings vs Industry: COFA earnings growth over the past year (84.6%) exceeded the Insurance industry 13.6%.


Return on Equity

High ROE: COFA's Return on Equity (10.9%) is considered low.


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Financial Health

How is COFACE's financial position?

Financial Health Score

4/6

Financial Health Score 4/6

  • Short Term Liabilities

  • Long Term Liabilities

  • Debt Level

  • Reducing Debt

  • Debt Coverage

  • Interest Coverage

Financial Position Analysis

Short Term Liabilities: COFA's short term assets (€4.8B) exceed its short term liabilities (€3.0B).

Long Term Liabilities: COFA's short term assets (€4.8B) exceed its long term liabilities (€3.3B).


Debt to Equity History and Analysis

Debt Level: COFA's net debt to equity ratio (137.9%) is considered high.

Reducing Debt: COFA's debt to equity ratio has reduced from 166.6% to 156.1% over the past 5 years.

Debt Coverage: COFA's debt is not well covered by operating cash flow (8.1%).

Interest Coverage: COFA's interest payments on its debt are well covered by EBIT (14.7x coverage).


Balance Sheet


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Dividend

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

Dividend Score

2/6

Dividend Score 2/6

  • Notable Dividend

  • High Dividend

  • Stable Dividend

  • Growing Dividend

  • Earnings Coverage

  • Future Dividend Coverage


14.94%

Current Dividend Yield

Dividend Yield vs Market

Notable Dividend: COFA's dividend (14.94%) is higher than the bottom 25% of dividend payers in the French market (1.82%).

High Dividend: COFA's dividend (14.94%) is in the top 25% of dividend payers in the French market (5.47%)


Stability and Growth of Payments

Stable Dividend: COFA has been paying a dividend for less than 10 years and during this time payments have been volatile.

Growing Dividend: COFA's dividend payments have increased, but the company has only paid a dividend for 6 years.


Earnings Payout to Shareholders

Earnings Coverage: With its high payout ratio (99.9%), COFA's dividend payments are not well covered by earnings.


Cash Payout to Shareholders

Cash Flow Coverage: With its high cash payout ratio (92.3%), COFA's dividend payments are not well covered by cash flows.


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Management

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

4.9yrs

Average management tenure


CEO

Xavier Durand (57 yo)

6.33yrs

Tenure

€2,545,955

Compensation

Mr. Xavier Pascal Durand has been Chief Executive Officer of Coface SA since February 9, 2016 and was its MD. Mr. Durand has been Chief Executive Officer of the Insurance Group Coface since February 2016....


CEO Compensation Analysis

Compensation vs Market: Xavier's total compensation ($USD2.69M) is above average for companies of similar size in the French market ($USD949.24K).

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


Leadership Team

Experienced Management: COFA's management team is considered experienced (4.9 years average tenure).


Board Members

Experienced Board: COFA's board of directors are not considered experienced ( 1.3 years average tenure), which suggests a new board.


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

COFACE SA's employee growth, exchange listings and data sources


Key Information

  • Name: COFACE SA
  • Ticker: COFA
  • Exchange: ENXTPA
  • Founded: 1946
  • Industry: Property and Casualty Insurance
  • Sector: Insurance
  • Implied Market Cap: €1.499b
  • Shares outstanding: 149.33m
  • Website: https://www.coface.com

Number of Employees


Location

  • COFACE SA
  • 1, place Costes et Bellonte
  • Bois-Colombes
  • Ile-de-France
  • 92270
  • France

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2022/06/24 00:00
End of Day Share Price2022/06/24 00:00
Earnings2022/03/31
Annual Earnings2021/12/31


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.