ENXTPA:SOP

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Sopra Steria Group

Executive Summary

Sopra Steria Group SA provides consulting, systems integration, digital, and software development services in France and internationally. More Details


Snowflake Analysis

Very undervalued with adequate balance sheet.


Similar Companies

Share Price & News

How has Sopra Steria Group's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: SOP's share price has been volatile over the past 3 months.


Market Performance


7 Day Return

-18.6%

SOP

-7.7%

FR IT

-5.5%

FR Market


1 Year Return

-15.5%

SOP

-1.1%

FR IT

-13.9%

FR Market

Return vs Industry: SOP underperformed the French IT industry which returned -2.9% over the past year.

Return vs Market: SOP underperformed the French Market which returned -14.4% over the past year.


Shareholder returns

SOPIndustryMarket
7 Day-18.6%-7.7%-5.5%
30 Day-23.5%-11.7%-4.0%
90 Day-17.8%-10.3%-2.0%
1 Year-15.5%-15.5%-0.5%-1.1%-12.0%-13.9%
3 Year-32.9%-35.0%-2.0%-11.9%-2.1%-10.6%
5 Year-0.5%-6.9%54.3%35.6%22.1%4.0%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

Is Sopra Steria Group undervalued compared to its fair value and its price relative to the market?

27.5%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: SOP (€101.8) is trading below our estimate of fair value (€159.25)

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


Price To Earnings Ratio

PE vs Industry: SOP is good value based on its PE Ratio (14.4x) compared to the FR IT industry average (15.3x).

PE vs Market: SOP is good value based on its PE Ratio (14.4x) compared to the French market (17.3x).


Price to Earnings Growth Ratio

PEG Ratio: SOP is good value based on its PEG Ratio (0.6x)


Price to Book Ratio

PB vs Industry: SOP is good value based on its PB Ratio (1.5x) compared to the FR IT industry average (1.7x).


Next Steps

Future Growth

How is Sopra Steria Group forecast to perform in the next 1 to 3 years based on estimates from 9 analysts?

22.8%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: SOP's forecast earnings growth (22.3% per year) is above the savings rate (0.6%).

Earnings vs Market: SOP's earnings (22.3% per year) are forecast to grow slower than the French market (23.6% per year).

High Growth Earnings: earnings are expected to grow significantly over the next 3 years.

Revenue vs Market: SOP's revenue (3.9% per year) is forecast to grow slower than the French market (6.8% per year).

High Growth Revenue: SOP's revenue (3.9% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: SOP's Return on Equity is forecast to be low in 3 years time (13.9%).


Next Steps

Past Performance

How has Sopra Steria Group performed over the past 5 years?

7.4%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: SOP has high quality earnings.

Growing Profit Margin: SOP's current net profit margins (3.3%) are lower than last year (3.4%).


Past Earnings Growth Analysis

Earnings Trend: SOP's earnings have grown by 7.4% per year over the past 5 years.

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

Earnings vs Industry: SOP had negative earnings growth (-3.1%) over the past year, making it difficult to compare to the IT industry average (-2.1%).


Return on Equity

High ROE: SOP's Return on Equity (10.8%) is considered low.


Next Steps

Financial Health

How is Sopra Steria Group's financial position?


Financial Position Analysis

Short Term Liabilities: SOP's short term assets (€1.7B) do not cover its short term liabilities (€1.8B).

Long Term Liabilities: SOP's short term assets (€1.7B) exceed its long term liabilities (€1.3B).


Debt to Equity History and Analysis

Debt Level: SOP's debt to equity ratio (49.4%) is considered high.

Reducing Debt: SOP's debt to equity ratio has reduced from 74.6% to 49.4% over the past 5 years.

Debt Coverage: SOP's debt is well covered by operating cash flow (69.1%).

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


Balance Sheet


Next Steps

Dividend

What is Sopra Steria Group current dividend yield, its reliability and sustainability?

2.14%

Forecast Dividend Yield


Dividend Yield vs Market

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

High Dividend: Unable to evaluate SOP'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 SOP's dividends per share have been stable in the past.

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


Current Payout to Shareholders

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


Future Payout to Shareholders

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

5.5yrs

Average management tenure


CEO

Vincent Paris (55 yo)

5.58yrs

Tenure

€775,816

Compensation

Mr. Vincent Paris has been the Chief Executive Officer of Sopra Steria Group since March 17, 2015. Mr. Paris served as Deputy Chief Executive Officer of Sopra Group. Mr. Paris served as the Chief Executive ...


CEO Compensation Analysis

Compensation vs Market: Vincent's total compensation ($USD912.08K) is below average for companies of similar size in the French market ($USD1.89M).

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


Leadership Team

NamePositionTenureCompensationOwnership
Vincent Paris
Chief Executive Officer5.58yrs€775.82kno data
Kathleen Clark Bracco
Director of Corporate Development & Director8.33yrs€42.85kno data
Étienne du Vignaux
Chief Financial Officer4.33yrsno datano data
Olivier Psaume
Head of Investor Relationsno datano datano data
Jean-Claude Debray
Director of Communicationno datano datano data
Sandrine Salaun
Head of Human Resources Businessno datano datano data
Richard Wolff
Head of Systemsno datano datano data
John Torrie
Deputy Chief Executive Officer5.58yrsno datano data
Laurent Giovachini
Deputy Chief Executive Officer5.33yrsno datano data
Christophe Bastelica
Secretary of the Board of Directorsno datano datano data

5.5yrs

Average Tenure

55yo

Average Age

Experienced Management: SOP's management team is seasoned and experienced (5.5 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Kathleen Clark Bracco
Director of Corporate Development & Director8.33yrs€42.85kno data
Jean-François Sammarcelli
Independent Director10.5yrs€49.02k0.0025%
€ 52.0k
Eric Hayat
Vice-Chairmanno data€35.55k0.18%
€ 3.9m
Pierre Pasquier
Chairman14.42yrs€535.88k0.53%
€ 11.2m
Sylvie Rémond
Independent Director5.58yrs€14.31k0.00075%
€ 15.8k
Jean-Luc Placet
Independent Director8.33yrs€43.78k0.00049%
€ 10.3k
Marie-Hélène Rigal-Drogerys
Independent Director6.33yrs€65.49k0.00049%
€ 10.3k
Eric Pasquier
Deputy Chairman2.25yrs€42.77k0.015%
€ 321.6k
Jean-Bernard Rampini
Non-Voting Director2.33yrs€17.18k0.012%
€ 255.9k
Jessica Scale
Independent Director4.33yrs€35.55k0.000050%
€ 1.1k
Michael Gollner
Outside Independent Director2.33yrs€26.27k0.00049%
€ 10.3k

6.0yrs

Average Tenure

61yo

Average Age

Experienced Board: SOP's board of directors are considered experienced (6 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

Sopra Steria Group SA's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Sopra Steria Group SA
  • Ticker: SOP
  • Exchange: ENXTPA
  • Founded: 1968
  • Industry: IT Consulting and Other Services
  • Sector: Software
  • Market Cap: €2.106b
  • Shares outstanding: 20.27m
  • Website: https://www.soprasteria.com

Number of Employees


Location

  • Sopra Steria Group SA
  • 6 avenue Kleber
  • Paris
  • Ile-de-France
  • 75116
  • France

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
SOPENXTPA (Euronext Paris)YesOrdinary SharesFREURJan 1992
0NJQLSE (London Stock Exchange)YesOrdinary SharesGBEURJan 1992
SPSA.FOTCPK (Pink Sheets LLC)YesOrdinary SharesUSUSDJan 1992
OR8DB (Deutsche Boerse AG)YesOrdinary SharesDEEURJan 1992
SOPPBATS-CHIXE (BATS 'Chi-X Europe')YesOrdinary SharesGBEURJan 1992

Biography

Sopra Steria Group SA provides consulting, systems integration, digital, and software development services in France and internationally. The company operates through five segments: France, United Kingdom, ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/10/29 22:27
End of Day Share Price2020/10/29 00:00
Earnings2020/06/30
Annual Earnings2019/12/31


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.