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ERF

Eurofins ScientificENXTPA:ERF Stock Report

Market Cap

€23.0b

7D

-4.4%

1Y

79.8%

Updated

24 Sep, 2021

Data

Company Financials +
ERF fundamental analysis
Snowflake Score
Valuation1/6
Future Growth0/6
Past Performance6/6
Financial Health4/6
Dividends0/6

ERF Overview

Eurofins Scientific SE, together with its subsidiaries, provides various analytical testing and laboratory services worldwide.

Eurofins Scientific Competitors

Price History & Performance

Summary of all time highs, changes and price drops for Eurofins Scientific
Historical stock prices
Current Share Price€119.94
52 Week High€61.32
52 Week Low€127.68
Beta0.58
1 Month Change1.03%
3 Month Change24.74%
1 Year Change79.82%
3 Year Change145.28%
5 Year Change196.62%
Change since IPO50,301.31%

Recent News & Updates

Aug 29
Are Eurofins Scientific SE (EPA:ERF) Investors Paying Above The Intrinsic Value?

Are Eurofins Scientific SE (EPA:ERF) Investors Paying Above The Intrinsic Value?

Today we will run through one way of estimating the intrinsic value of Eurofins Scientific SE ( EPA:ERF ) by taking the...

Aug 15
We Think Eurofins Scientific (EPA:ERF) Can Manage Its Debt With Ease

We Think Eurofins Scientific (EPA:ERF) Can Manage Its Debt With Ease

Some say volatility, rather than debt, is the best way to think about risk as an investor, but Warren Buffett famously...

Jun 24
Do Eurofins Scientific's (EPA:ERF) Earnings Warrant Your Attention?

Do Eurofins Scientific's (EPA:ERF) Earnings Warrant Your Attention?

It's only natural that many investors, especially those who are new to the game, prefer to buy shares in 'sexy' stocks...

Shareholder Returns

ERFFR Life SciencesFR Market
7D-4.4%-1.6%0.03%
1Y79.8%57.6%39.2%

Return vs Industry: ERF exceeded the French Life Sciences industry which returned 64.6% over the past year.

Return vs Market: ERF exceeded the French Market which returned 40.1% over the past year.

Price Volatility

Is ERF's price volatile compared to industry and market?
ERF volatility
ERF Beta0.58
Industry Beta0.56
Market Beta1

Stable Share Price: ERF is not significantly more volatile than the rest of French stocks over the past 3 months, typically moving +/- 4% a week.

Volatility Over Time: ERF's weekly volatility (4%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
198755,000Gilles Martinhttps://www.eurofins.com

Eurofins Scientific SE, together with its subsidiaries, provides various analytical testing and laboratory services worldwide. The company offers a portfolio of approximately 200,000 analytical methods for evaluating the safety, identity, composition, authenticity, origin, traceability, and purity of biological substances and products, as well as for clinical diagnostic. It provides agroscience, agro testing, assurance, biopharma, clinical diagnostics, consumer product testing, cosmetics and personal care, environment testing, food and feed testing, forensic, genomic, maritime, materials and engineering, technologies, and REACH services.

Eurofins Scientific Fundamentals Summary

How do Eurofins Scientific's earnings and revenue compare to its market cap?
ERF fundamental statistics
Market Cap€23.01b
Earnings (TTM)€825.10m
Revenue (TTM)€6.39b

27.9x

P/E Ratio

3.6x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
ERF income statement (TTM)
Revenue€6.39b
Cost of Revenue€4.46b
Gross Profit€1.93b
Expenses€1.10b
Earnings€825.10m

Last Reported Earnings

Jun 30, 2021

Next Earnings Date

n/a

Earnings per share (EPS)4.30
Gross Margin30.17%
Net Profit Margin12.92%
Debt/Equity Ratio51.6%

How did ERF perform over the long term?

See historical performance and comparison

Dividends

0.6%

Current Dividend Yield

16%

Payout Ratio

Valuation

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

27.88x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: ERF (€119.94) is trading above our estimate of fair value (€83.08)

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


Price To Earnings Ratio

PE vs Industry: ERF is good value based on its PE Ratio (27.9x) compared to the European Life Sciences industry average (52.8x).

PE vs Market: ERF is poor value based on its PE Ratio (27.9x) compared to the French market (21.1x).


Price to Earnings Growth Ratio

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


Price to Book Ratio

PB vs Industry: ERF is overvalued based on its PB Ratio (5.6x) compared to the XE Life Sciences industry average (5x).


Future Growth

How is Eurofins Scientific forecast to perform in the next 1 to 3 years based on estimates from 18 analysts?

-6.1%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: ERF's earnings are forecast to decline over the next 3 years (-6.1% per year).

Earnings vs Market: ERF's earnings are forecast to decline over the next 3 years (-6.1% per year).

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

Revenue vs Market: ERF's revenue (0.2% per year) is forecast to grow slower than the French market (6.3% per year).

High Growth Revenue: ERF's revenue (0.2% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: ERF's Return on Equity is forecast to be low in 3 years time (14.2%).


Past Performance

How has Eurofins Scientific performed over the past 5 years?

36.9%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: ERF has high quality earnings.

Growing Profit Margin: ERF's current net profit margins (12.9%) are higher than last year (4%).


Past Earnings Growth Analysis

Earnings Trend: ERF's earnings have grown significantly by 36.9% per year over the past 5 years.

Accelerating Growth: ERF's earnings growth over the past year (335.4%) exceeds its 5-year average (36.9% per year).

Earnings vs Industry: ERF earnings growth over the past year (335.4%) exceeded the Life Sciences industry 79.1%.


Return on Equity

High ROE: ERF's Return on Equity (21%) is considered high.


Financial Health

How is Eurofins Scientific's financial position?


Financial Position Analysis

Short Term Liabilities: ERF's short term assets (€2.4B) exceed its short term liabilities (€1.8B).

Long Term Liabilities: ERF's short term assets (€2.4B) do not cover its long term liabilities (€2.8B).


Debt to Equity History and Analysis

Debt Level: ERF's debt to equity ratio (51.6%) is considered high.

Reducing Debt: ERF's debt to equity ratio has reduced from 122.2% to 51.6% over the past 5 years.

Debt Coverage: ERF's debt is well covered by operating cash flow (70.2%).

Interest Coverage: ERF's interest payments on its debt are well covered by EBIT (12.9x coverage).


Balance Sheet


Dividend

What is Eurofins Scientific current dividend yield, its reliability and sustainability?

0.57%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: ERF's dividend (0.57%) isn’t notable compared to the bottom 25% of dividend payers in the French market (1.28%).

High Dividend: ERF's dividend (0.57%) is low compared to the top 25% of dividend payers in the French market (3.93%).


Stability and Growth of Payments

Stable Dividend: ERF is not paying a notable dividend for the French market, therefore no need to check if payments are stable.

Growing Dividend: ERF is not paying a notable dividend for the French market, therefore no need to check if payments are increasing.


Current Payout to Shareholders

Dividend Coverage: ERF is not paying a notable dividend for the French market.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of ERF's dividend in 3 years as they are not forecast to pay a notable one for the French market.


Next Steps

Management

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

4.4yrs

Average board tenure


CEO

Gilles Martin (58 yo)

no data

Tenure

€1,153,960

Compensation

Dr. Gilles G. Martin, Ph D., serves as the Chief Executive Officer at Eurofins Scientific, Inc. Dr. Martin serves as Chief Executive Officer of Eurofins Nihon Kankyo K.K. and Eurofins Scientific Group. He...


CEO Compensation Analysis

Compensation vs Market: Gilles's total compensation ($USD1.35M) is below average for companies of similar size in the French market ($USD3.28M).

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


Board Members

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

Eurofins Scientific SE's employee growth, exchange listings and data sources


Key Information

  • Name: Eurofins Scientific SE
  • Ticker: ERF
  • Exchange: ENXTPA
  • Founded: 1987
  • Industry: Life Sciences Tools and Services
  • Sector: Pharmaceuticals & Biotech
  • Market Cap: €23.005b
  • Shares outstanding: 191.81m
  • Website: https://www.eurofins.com

Number of Employees


Location

  • Eurofins Scientific SE
  • 23 Val Fleuri
  • Luxembourg City
  • 1526
  • Luxembourg

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/09/24 22:54
End of Day Share Price2021/09/24 00:00
Earnings2021/06/30
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.