BATS-CHIXE:SDGP

Stock Analysis Report

Executive Summary

Synergie SE provides human resources management and development services in Europe, Canada, and Australia.


Snowflake Analysis

Undervalued with excellent balance sheet and pays a dividend.


Similar Companies

Share Price & News

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


Latest Share Price and Events

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


Market Performance


7 Day Return

1.9%

SDGP

-8.8%

GB Professional Services

-5.4%

GB Market


1 Year Return

-48.2%

SDGP

-4.7%

GB Professional Services

-25.2%

GB Market

Return vs Industry: SDGP underperformed the UK Professional Services industry which returned -2.9% over the past year.

Return vs Market: SDGP underperformed the UK Market which returned -25% over the past year.


Shareholder returns

SDGPIndustryMarket
7 Day1.9%-8.8%-5.4%
30 Day-28.1%-18.4%-20.6%
90 Day-44.5%-18.3%-29.1%
1 Year-46.8%-48.2%-2.5%-4.7%-21.5%-25.2%
3 Year-54.8%-57.3%18.0%10.0%-15.3%-25.9%
5 Year-17.4%-25.3%62.0%42.9%-3.6%-25.1%

Price Volatility Vs. Market

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


Simply Wall St News

No news available

Valuation

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

>50%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: SDGP (€16.22) is trading below our estimate of fair value (€87.21)

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


Price To Earnings Ratio

PE vs Industry: SDGP is good value based on its PE Ratio (5.7x) compared to the Professional Services industry average (15.3x).

PE vs Market: SDGP is good value based on its PE Ratio (5.7x) compared to the UK market (12.5x).


Price to Earnings Growth Ratio

PEG Ratio: SDGP is poor value based on its PEG Ratio (10.5x)


Price to Book Ratio

PB vs Industry: SDGP is good value based on its PB Ratio (0.8x) compared to the GB Professional Services industry average (2.3x).


Next Steps

Future Growth

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

-19.4%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: SDGP's forecast earnings growth (0.5% per year) is above the savings rate (0.5%).

Earnings vs Market: SDGP's earnings (0.5% per year) are forecast to grow slower than the UK market (15.6% per year).

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

Revenue vs Market: SDGP's revenue is expected to decline over the next 3 years (-3.7% per year).

High Growth Revenue: SDGP's revenue is forecast to decline over the next 3 years (-3.7% per year).


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: SDGP's Return on Equity is forecast to be low in 3 years time (8.2%).


Next Steps

Past Performance

How has Synergie performed over the past 5 years?

10.8%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: SDGP has high quality earnings.

Growing Profit Margin: SDGP's current net profit margins (2.7%) are lower than last year (3.2%).


Past Earnings Growth Analysis

Earnings Trend: SDGP's earnings have grown by 10.8% per year over the past 5 years.

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

Earnings vs Industry: SDGP had negative earnings growth (-13.1%) over the past year, making it difficult to compare to the Professional Services industry average (12%).


Return on Equity

High ROE: SDGP's Return on Equity (14.4%) is considered low.


Next Steps

Financial Health

How is Synergie's financial position?


Financial Position Analysis

Short Term Liabilities: SDGP's short term assets (€798.5M) exceed its short term liabilities (€560.5M).

Long Term Liabilities: SDGP's short term assets (€798.5M) exceed its long term liabilities (€82.1M).


Debt to Equity History and Analysis

Debt Level: SDGP's debt to equity ratio (15.2%) is considered satisfactory.

Reducing Debt: SDGP's debt to equity ratio has increased from 12.8% to 15.2% over the past 5 years.

Debt Coverage: SDGP's debt is well covered by operating cash flow (129.2%).

Interest Coverage: SDGP's interest payments on its debt are well covered by EBIT (2555.6x coverage).


Balance Sheet

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

Debt Coverage by Assets: SDGP's debt is covered by short term assets (assets are 10.3x debt).


Next Steps

Dividend

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

5.10%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: SDGP's dividend (4.82%) is higher than the bottom 25% of dividend payers in the UK market (2.67%).

High Dividend: SDGP's dividend (4.82%) is low compared to the top 25% of dividend payers in the UK market (7.36%).


Stability and Growth of Payments

Stable Dividend: SDGP's dividends per share have been stable in the past 10 years.

Growing Dividend: SDGP's dividend payments have increased over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: With its reasonably low payout ratio (27.6%), SDGP's dividend payments are well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: SDGP's dividends in 3 years are forecast to be well covered by earnings (34% payout ratio).


Next Steps

Management

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

1.5yrs

Average management tenure


CEO

Daniel Augereau

no data

Tenure

€632,000

Compensation

Mr. Daniel Augereau has been the Chairman of the Executive Board at Synergie SA since October 2018 and serves as its Chief Executive Officer and served Managing Director and Chairman until October 2018. Mr ...


CEO Compensation Analysis

Compensation vs Market: Daniel's total compensation ($USD691.09K) is below average for companies of similar size in the UK market ($USD1.02M).

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


Leadership Team

NamePositionTenureCompensationOwnership
Daniel Augereau
Chairman of the Executive Board & CEOno data€632.00kno data
Yvon Drouet
Deputy CEO of Finance & Investments and Member of the Executive Boardno data€132.00kno data
Sophie Sanchez
CEO of HR1.5yrs€108.00kno data
Olga Medina
Director of Cash Management & Consolidation and Member of the Executive Board1.5yrsno datano data
François Pinte
Director of Secretary Generalno datano datano data
Florence Krynen
Director of Legal Departmentno datano datano data
Arnaud Hugues
Director of Marketing12.25yrsno datano data

1.5yrs

Average Tenure

Experienced Management: SDGP's management team is not considered experienced ( 1.5 years average tenure), which suggests a new team.


Board Members

NamePositionTenureCompensationOwnership
Julien Vaney
Chairman of the Supervisory Board1.5yrs€140.00kno data
Christine Fornaroli
Independant Member of the Supervisory Board1.5yrsno datano data
Quentin Drubbel
Vice Chairman of the Supervisory Board0.25yrno datano data
Michelle Detaille
Independant Member of the Supervisory Board0.25yrno datano data

0.9yrs

Average Tenure

Experienced Board: SDGP's board of directors are not considered experienced ( 0.9 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

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


Key Information

  • Name: Synergie SE
  • Ticker: SDGP
  • Exchange: BATS-CHIXE
  • Founded: 1984
  • Industry: Human Resource and Employment Services
  • Sector: Commercial Services
  • Market Cap: €376.117m
  • Shares outstanding: 23.99m
  • Website: https://www.synergie.com

Number of Employees


Location

  • Synergie SE
  • 11, avenue du Colonel Bonnet
  • Paris
  • Ile-de-France
  • 75016
  • France

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
SDGENXTPA (Euronext Paris)YesCommon SharesFREURJan 1992
0HDQLSE (London Stock Exchange)YesCommon SharesGBEURJan 1992
SDGPBATS-CHIXE (BATS 'Chi-X Europe')YesCommon SharesGBEURJan 1992
YSYBST (Boerse-Stuttgart)YesCommon SharesDEEURJan 1992

Biography

Synergie SE provides human resources management and development services in Europe, Canada, and Australia. It offers temporary employment, recruitment, out-placement, social engineering, consultancy, and training services. The company serves various specialized tertiary sectors and industries, such as aeronautics and renewable energy, construction and public works, market research, retail, services and new information, and communications technologies. It operates through a network of 710 agencies. The company was founded in 1984 and is headquartered in Paris, France. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/04/03 19:42
End of Day Share Price2020/04/02 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.