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Market Cap

€1.5b

Last Updated

2021/04/13 19:16 UTC

Data Sources

Company Financials +

Executive Summary

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. More Details


Snowflake Analysis

Good value with mediocre balance sheet.


Similar Companies

Share Price & News

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


Latest Share Price and Events

Stable Share Price: COFA is not significantly more volatile than the rest of French stocks over the past 3 months, typically moving +/- 5% a week.

Volatility Over Time: COFA's weekly volatility (5%) has been stable over the past year.


Market Performance


7 Day Return

0.5%

COFA

1.7%

FR Insurance

1.3%

FR Market


1 Year Return

58.6%

COFA

55.5%

FR Insurance

39.2%

FR Market

Return vs Industry: COFA exceeded the French Insurance industry which returned 54% over the past year.

Return vs Market: COFA exceeded the French Market which returned 39.2% over the past year.


Shareholder returns

COFAIndustryMarket
7 Day0.5%1.7%1.3%
30 Day4.0%2.2%3.1%
90 Day12.3%17.7%9.4%
1 Year58.6%58.6%60.2%55.5%41.9%39.2%
3 Year12.0%-1.1%10.3%-3.4%29.1%18.6%
5 Year68.2%35.9%58.4%21.8%70.0%45.5%

Long-Term Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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

1.6%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: COFA (€9.95) is trading below our estimate of fair value (€9.98)

Significantly Below Fair Value: COFA is trading below fair value, but not by a significant amount.


Price To Earnings Ratio

PE vs Industry: COFA is poor value based on its PE Ratio (18x) compared to the XE Insurance industry average (13.8x).

PE vs Market: COFA is good value based on its PE Ratio (18x) compared to the French market (25.3x).


Price to Earnings Growth Ratio

PEG Ratio: COFA is good value based on its PEG Ratio (1x)


Price to Book Ratio

PB vs Industry: COFA is good value based on its PB Ratio (0.7x) compared to the XE Insurance industry average (1.1x).


Future Growth

How is COFACE forecast to perform in the next 1 to 3 years based on estimates from 5 analysts?

18.9%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: COFA's forecast earnings growth (18.9% per year) is above the savings rate (0.4%).

Earnings vs Market: COFA's earnings (18.9% per year) are forecast to grow slower than the French market (21.3% per year).

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

Revenue vs Market: COFA's revenue (1.9% per year) is forecast to grow slower than the French market (6.9% per year).

High Growth Revenue: COFA's revenue (1.9% 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 (7.7%).


Past Performance

How has COFACE performed over the past 5 years?

9.5%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: COFA has high quality earnings.

Growing Profit Margin: COFA's current net profit margins (5.6%) are lower than last year (9.6%).


Past Earnings Growth Analysis

Earnings Trend: COFA's earnings have grown by 9.5% per year over the past 5 years.

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

Earnings vs Industry: COFA had negative earnings growth (-43.4%) over the past year, making it difficult to compare to the Insurance industry average (-12.3%).


Return on Equity

High ROE: COFA's Return on Equity (4.1%) is considered low.


Financial Health

How is COFACE's financial position?


Financial Position Analysis

Short Term Liabilities: COFA's short term assets (€4.1B) do not cover its short term liabilities (€4.6B).

Long Term Liabilities: COFA's short term assets (€4.1B) exceed its long term liabilities (€962.9M).


Debt to Equity History and Analysis

Debt Level: COFA's debt to equity ratio (135.5%) is considered high.

Reducing Debt: COFA's debt to equity ratio has reduced from 155.9% to 135.5% over the past 5 years.

Debt Coverage: COFA's debt is not well covered by operating cash flow (7.2%).

Interest Coverage: COFA's interest payments on its debt are well covered by EBIT (7.4x coverage).


Balance Sheet


Dividend

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

5.58%

Current Dividend Yield


Upcoming Dividend Payment

TodayApr 14 2021Ex Dividend DateMay 19 2021Dividend Pay DateMay 21 20212 days from Ex DividendBuy in the next 34 days to receive the upcoming dividend

Dividend Yield vs Market

Notable Dividend: COFA's dividend (5.53%) is higher than the bottom 25% of dividend payers in the French market (1.29%).

High Dividend: COFA's dividend (5.53%) is in the top 25% of dividend payers in the French market (3.98%)


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 5 years.


Current Payout to Shareholders

Dividend Coverage: With its high payout ratio (99.8%), COFA's dividend payments are not well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: COFA's dividends in 3 years are not forecast to be well covered by earnings (98.6% payout ratio).


Next Steps

Management

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

4.6yrs

Average management tenure


CEO

Xavier Durand (56 yo)

5.17yrs

Tenure

€1,923,786

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 ($USD2.29M) is above average for companies of similar size in the French market ($USD893.50K).

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


Leadership Team

Experienced Management: COFA's management team is considered experienced (4.6 years average tenure).


Board Members

Experienced Board: COFA's board of directors are not considered experienced ( 2 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 company bio, 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
  • Market Cap: €1.467b
  • Shares outstanding: 148.98m
  • Website: https://www.coface.com

Number of Employees


Location

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

Listings


Biography

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


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/04/13 19:16
End of Day Share Price2021/04/13 00:00
Earnings2020/12/31
Annual Earnings2020/12/31


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.