ENXTPA:CLA

Stock Analysis Report

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Executive Summary

Claranova S.E. engages in the digital printing, management of the Internet of Things, and e-commerce businesses in the Unites States, the United Kingdom, Germany, France, other European countries, and internationally.

Rewards

Trading at 40.3% below our estimate of its fair value

Earnings are forecast to grow 117.6% per year

Risk Analysis

No risks detected for CLA from our risk checks.


Snowflake Analysis

Excellent balance sheet with reasonable growth potential.


Similar Companies

Share Price & News

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


Latest Share Price and Events

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


Market Performance


7 Day Return

12.4%

CLA

-0.9%

FR Software

0.5%

FR Market


1 Year Return

-30.7%

CLA

14.2%

FR Software

-6.0%

FR Market

Return vs Industry: CLA underperformed the French Software industry which returned 17.2% over the past year.

Return vs Market: CLA underperformed the French Market which returned -3.1% over the past year.


Shareholder returns

CLAIndustryMarket
7 Day12.4%-0.9%0.5%
30 Day9.0%-2.2%-3.2%
90 Day-1.4%8.2%6.9%
1 Year-30.7%-30.7%14.8%14.2%-4.0%-6.0%
3 Year42.4%42.4%76.5%73.2%9.6%0.1%
5 Year393.8%393.8%124.7%117.3%24.1%6.9%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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

40.3%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: CLA (€5.93) is trading below our estimate of fair value (€9.93)

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


Price To Earnings Ratio

PE vs Industry: CLA is unprofitable, so we can't compare its PE Ratio to the FR Software industry average.

PE vs Market: CLA is unprofitable, so we can't compare its PE Ratio to the French market.


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate CLA's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: CLA is overvalued based on its PB Ratio (4.2x) compared to the FR Software industry average (2.2x).


Next Steps

Future Growth

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

117.6%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: CLA is forecast to become profitable over the next 3 years, which is considered faster growth than the savings rate (0.6%).

Earnings vs Market: CLA is forecast to become profitable over the next 3 years, which is considered above average market growth.

High Growth Earnings: CLA's is expected to become profitable in the next 3 years.

Revenue vs Market: CLA's revenue (15.9% per year) is forecast to grow faster than the French market (6.1% per year).

High Growth Revenue: CLA's revenue (15.9% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: CLA's Return on Equity is forecast to be low in 3 years time (19.3%).


Next Steps

  • Explore growth companies in the Software industry.

Past Performance

How has Claranova performed over the past 5 years?

-10.7%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: CLA is currently unprofitable.

Growing Profit Margin: CLA is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: CLA is unprofitable, and losses have increased over the past 5 years at a rate of 10.7% per year.

Accelerating Growth: Unable to compare CLA's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: CLA is unprofitable, making it difficult to compare its past year earnings growth to the Software industry (-3.2%).


Return on Equity

High ROE: CLA has a negative Return on Equity (-61.94%), as it is currently unprofitable.


Next Steps

Financial Health

How is Claranova's financial position?


Financial Position Analysis

Short Term Liabilities: CLA's short term assets (€128.5M) exceed its short term liabilities (€90.4M).

Long Term Liabilities: CLA's short term assets (€128.5M) exceed its long term liabilities (€67.4M).


Debt to Equity History and Analysis

Debt Level: CLA's debt to equity ratio (95.2%) is considered high.

Reducing Debt: CLA had negative shareholder equity 5 years ago, but is now positive and has therefore improved.


Balance Sheet


Cash Runway Analysis

For companies that have on average been loss making in the past we assess whether they have at least 1 year of cash runway.

Stable Cash Runway: Whilst unprofitable CLA has sufficient cash runway for more than 3 years if it maintains its current positive free cash flow level.

Forecast Cash Runway: CLA is unprofitable but has sufficient cash runway for more than 3 years, due to free cash flow being positive and growing by 52.6% per year.


Next Steps

Dividend

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


Dividend Yield vs Market

Notable Dividend: Unable to evaluate CLA's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.

High Dividend: Unable to evaluate CLA's dividend yield against the top 25% of dividend payers, as the company has not reported any recent payouts.


Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if CLA's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if CLA's dividend payments have been increasing.


Current Payout to Shareholders

Dividend Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of CLA'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?

4.5yrs

Average management tenure


CEO

Pierre Cesarini (58 yo)

7.25yrs

Tenure

€2,732,208

Compensation

Mr. Pierre Cesarini serves as the President of Navendis Sarl. Mr. Cesarini has been Group Chief Executive Officer of Claranova S.A. since May 14, 2013 and has been its Chairman of the Management Board sinc ...


CEO Compensation Analysis

Compensation vs Market: Pierre's total compensation ($USD3.24M) is above average for companies of similar size in the French market ($USD507.76K).

Compensation vs Earnings: Pierre's compensation has increased whilst the company is unprofitable.


Leadership Team

NamePositionTenureCompensationOwnership
Pierre Cesarini
Group CEO7.25yrs€2.73mno data
Sébastien Martin
Executive VP & Member of Management Board4.58yrs€591.90kno data
Jean-Yves Quentel
Group Chief Financial Officer0.17yrno datano data
Todd Helfstein
Member of Management Board. President of PlanetArt & President of Avanquest Software - North America4.5yrsno datano data
Roger Bloxberg
Member of Management Board4.5yrsno datano data
Kevin Bromber
Head of MyDevices & Member of Management Board4.5yrsno datano data
Olivier Thirion
E-Commerce Business Unit Director & Member of Management Board4.5yrsno datano data
Phil Schnyder
Director of On-Line Business & Member of Management Board4.5yrsno datano data
Brian Oh
Managing Director of Korea15.42yrsno datano data
Serge Bedrossian
10.58yrsno datano data

4.5yrs

Average Tenure

51.5yo

Average Age

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


Board Members

NamePositionTenureCompensationOwnership
Pierre Cesarini
Group CEO7.25yrs€2.73mno data
Francis Meston
Director0.083yrno datano data
Caroline Le Bigot
Independent Vice-Chairwoman of the Board1.25yrs€44.00kno data
Luisa Munaretto
Independent Vice-Chairwoman of the Boardno data€44.00kno data
Jean-Loup Rousseau
Independent Director4.17yrs€36.00kno data
Jérôme Bichut
Director0.083yrno datano data
Joanna Gordon
Director0.083yrno datano data

0.7yrs

Average Tenure

58yo

Average Age

Experienced Board: CLA's board of directors are not considered experienced ( 0.7 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

Claranova SE's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Claranova SE
  • Ticker: CLA
  • Exchange: ENXTPA
  • Founded: 1984
  • Industry: Application Software
  • Sector: Software
  • Market Cap: €232.264m
  • Shares outstanding: 39.20m
  • Website: https://www.claranova.com

Number of Employees


Location

  • Claranova SE
  • 89-91 Boulevard National
  • Immeuble Vision Défense
  • La Garenne-Colombes
  • Ile-de-France
  • 92250
  • France

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
CLAENXTPA (Euronext Paris)YesOrdinary SharesFREURDec 1996
0N6KLSE (London Stock Exchange)YesOrdinary SharesGBEURDec 1996
BV51DB (Deutsche Boerse AG)YesOrdinary SharesDEEURDec 1996
CLAPBATS-CHIXE (BATS 'Chi-X Europe')YesOrdinary SharesGBEURDec 1996

Biography

Claranova S.E. engages in the digital printing, management of the Internet of Things, and e-commerce businesses in the Unites States, the United Kingdom, Germany, France, other European countries, and inte ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/08/06 22:17
End of Day Share Price2020/08/06 00:00
Earnings2019/12/31
Annual Earnings2019/06/30


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.