ENXTPA:ATEME

Stock Analysis Report

Executive Summary

ATEME SA, together with its subsidiaries, provides video delivery infrastructure solutions worldwide.

Snowflake

Fundamentals

High growth potential with excellent balance sheet.


Similar Companies

Share Price & News

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


Latest Share Price and Events


Market Performance


7 Day Return

0.9%

ATEME

0.2%

FR Communications

-0.03%

FR Market


1 Year Return

9.6%

ATEME

-10.0%

FR Communications

10.4%

FR Market

Return vs Industry: ATEME exceeded the French Communications industry which returned -10% over the past year.

Return vs Market: ATEME underperformed the French Market which returned 10.4% over the past year.


Shareholder returns

ATEMEIndustryMarket
7 Day0.9%0.2%-0.03%
30 Day-3.6%1.2%-0.8%
90 Day-7.0%-6.0%-0.8%
1 Year9.6%9.6%-9.9%-10.0%14.2%10.4%
3 Year96.5%96.5%-28.7%-33.7%42.3%28.5%
5 Year251.1%251.1%-13.7%-35.0%72.6%46.3%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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

46.7%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: ATEME (€11.2) is trading below our estimate of fair value (€21.01)

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


Price To Earnings Ratio

PE vs Industry: ATEME is poor value based on its PE Ratio (31.5x) compared to the Communications industry average (18.2x).

PE vs Market: ATEME is poor value based on its PE Ratio (31.5x) compared to the French market (17.2x).


Price to Earnings Growth Ratio

PEG Ratio: ATEME is good value based on its PEG Ratio (0.7x)


Price to Book Ratio

PB vs Industry: ATEME is overvalued based on its PB Ratio (5.6x) compared to the FR Communications industry average (1.3x).


Next Steps

Future Growth

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

43.9%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: ATEME's forecast earnings growth (43.9% per year) is above the savings rate (0.7%).

Earnings vs Market: ATEME's earnings (43.9% per year) are forecast to grow faster than the French market (11.5% per year).

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

Revenue vs Market: ATEME's revenue (16.9% per year) is forecast to grow faster than the French market (4.4% per year).

High Growth Revenue: ATEME's revenue (16.9% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: ATEME's Return on Equity is forecast to be high in 3 years time (27.8%)


Next Steps

Past Performance

How has ATEME performed over the past 5 years?

56.4%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Earnings Trend: ATEME has become profitable over the past 5 years, growing earnings by 56.4% per year.

Accelerating Growth: ATEME's earnings growth over the past year (907%) exceeds its 5-year average (56.4% per year).

Earnings vs Industry: ATEME earnings growth over the past year (907%) exceeded the Communications industry 31.9%.


Return on Equity

High ROE: ATEME's Return on Equity (17.7%) is considered low.


Return on Assets

ROA vs Industry: ATEME has a higher Return on Assets than the Communications industry average last year.


Return on Capital Employed

ROCE Improving: ATEME's Return on Capital Employed has declined over the past 3 years.


Next Steps

Financial Health

How is ATEME's financial position?


Financial Position Analysis

Short Term Liabilities: ATEME's short term assets (€37.4M) exceeds its short term liabilities (€18.1M)

Long Term Liabilities: ATEME's short term assets (37.4M) exceeds its long term liabilities (6.7M)


Debt to Equity History and Analysis

Debt Level: ATEME's debt to equity ratio (24.7%) is considered satisfactory

Reducing Debt: ATEME's debt to equity ratio has reduced from 181.1% to 24.7% over the past 5 years.

Debt Coverage: ATEME's operating cash flow is negative, therefore debt is not well covered.

Interest Coverage: ATEME's interest payments on its debt are well covered by EBIT (31.8x coverage).


Balance Sheet

Inventory Level: ATEME has a low level of unsold assets or inventory.

Debt Coverage by Assets: ATEME's debt is covered by short term assets (assets are 7.188530x debt).


Next Steps

Dividend

What is ATEME's current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

companyn/amarketbottom25%1.5%markettop25%4.7%industryaverage2.7%forecastin3Years0%

Current dividend yield vs market & industry


Stability and Growth of Payments

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

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

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

Growing Dividend: Insufficient data to determine if ATEME'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 ATEME's dividend in 3 years as they are not forecast to pay a notable one for the French market.


Next Steps

Management

What is the CEO of ATEME's salary, the management and board of directors tenure and is there insider trading?

10.5yrs

Average management tenure


CEO

Michel Artieres 0

17.6yrs

Tenure

€316,948

Compensation

Mr. Michel Artieres co-founded ATEME SA in 1991 and has been it's Chairman since November 17, 1997 and its Chief Executive Officer since March 27, 2002. Mr. Artieres was directed R&D in Image Processing an ...


CEO Compensation Analysis

Compensation vs. Market: Michel's total compensation ($USD353.11K) is about average for companies of similar size in the French market ($USD174.91K).

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


Management Age and Tenure

10.5yrs

Average Tenure

Experienced Management: ATEME's management team is seasoned and experienced (10.5 years average tenure).


Board Age and Tenure

9.6yrs

Average Tenure

Experienced Board: ATEME's board of directors are considered experienced (9.6 years average tenure).


Insider Trading

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Ownership Breakdown


Management Team

  • Michel Artieres

    Co-Founder

    • Tenure: 17.6yrs
    • Compensation: €316.95k
  • Joseph Soueidi

    Chief Operating Officer

    • Tenure: 10.5yrs
  • Fabrice Sana

    Chief Financial Officer

    • Tenure: 12.8yrs
  • Pierre Larbier

    Chief Technology Officer

    • Tenure: 0yrs
  • Eunsook Wi

    Head of ATEME's Korean Office

    • Tenure: 7.8yrs
  • Remi Beaudouin

    Chief Strategy Officer

    • Tenure: 0.8yrs

Board Members

  • Jacques Galloy (49yo)

    Director

    • Tenure: 4.8yrs
    • Compensation: €21.00k
  • Michel Artieres

    Co-Founder

    • Tenure: 17.6yrs
    • Compensation: €316.95k
  • Laurent Cadieu

    Director

    • Tenure: 9.6yrs
  • Benoît Fouchard

    Director

    • Tenure: 13.8yrs
    • Compensation: €15.75k
  • Joanna Darlington

    Director

    • Tenure: 4.3yrs
    • Compensation: €15.75k

Company Information

ATEME SA's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: ATEME SA
  • Ticker: ATEME
  • Exchange: ENXTPA
  • Founded: 1991
  • Industry: Communications Equipment
  • Sector: Tech
  • Market Cap: €116.765m
  • Shares outstanding: 10.43m
  • Website: https://www.ateme.com

Number of Employees


Location

  • ATEME SA
  • 6 rue Dewoitine
  • Vélizy-Villacoublay
  • Ile-de-France
  • 78140
  • France

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
ATEMEENXTPA (Euronext Paris)YesCommon StockFREURJul 2014
0QVWLSE (London Stock Exchange)YesCommon StockGBEURJul 2014
AYDBST (Boerse-Stuttgart)YesCommon StockDEEURJul 2014
ATEMEPBATS-CHIXE (BATS 'Chi-X Europe')YesCommon StockGBEURJul 2014

Biography

ATEME SA, together with its subsidiaries, provides video delivery infrastructure solutions worldwide. The company offers various solutions, such as TITAN Live, a software-based live video compression for d ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/10/22 21:36
End of Day Share Price2019/10/22 00:00
Earnings2019/06/30
Annual Earnings2018/12/31


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.