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Saipem

BIT:SPM
Snowflake Description

Reasonable growth potential with mediocre balance sheet.

The Snowflake is generated from 30 checks in 5 different areas, read more below.
SPM
BIT
€4B
Market Cap
  1. Home
  2. IT
  3. Energy
Company description

Saipem S.p.A. engages in the engineering, drilling, and construction of projects in the energy and infrastructure sectors worldwide. The last earnings update was 34 days ago. More info.


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SPM Share Price and Events
7 Day Returns
0.3%
BIT:SPM
2.3%
Europe Energy Services
-0.8%
IT Market
1 Year Returns
7.1%
BIT:SPM
-26%
Europe Energy Services
-9.9%
IT Market
SPM Shareholder Return
  7 Day 30 Day 90 Day 1 Year 3 Year 5 Year
Saipem (SPM) 0.3% -10.9% -2.1% 7.1% 9.4% -97.9%
Europe Energy Services 2.3% -4.9% 0.8% -26% -24.4% -83.9%
IT Market -0.8% -5% 1% -9.9% 2.8% -36.6%
1 Year Return vs Industry and Market
  • SPM outperformed the Energy Services industry which returned -26% over the past year.
  • SPM outperformed the Market in Italy which returned -9.9% over the past year.
Price Volatility
SPM
Industry
5yr Volatility vs Market

Value

 Is Saipem undervalued based on future cash flows and its price relative to the stock market?

Value is all about what a company is worth versus what price it is available for. If you went into a grocery store and all the bananas were on sale at half price, they could be considered undervalued.
INTRINSIC VALUE BASED ON FUTURE CASH FLOWS
Here we compare the current share price of Saipem to its discounted cash flow analysis.value.

The discounted cash flow value is simply looking at what the company is worth today, based on estimates of how much money it is expected to make in the future.
Raw Data

Below are the data sources, inputs and calculation used to determine the intrinsic value for Saipem.

BIT:SPM Discounted Cash Flow Data Sources
Data Point Source Value
Valuation Model 2 Stage Free Cash Flow to Equity
Levered Free Cash Flow Average of 19 Analyst Estimates (S&P Global) See below
Discount Rate (Cost of Equity) See below 14%
Perpetual Growth Rate 10-Year IT Government Bond Rate 2.9%

An important part of a discounted cash flow is the discount rate, below we explain how it has been calculated.

Calculation of Discount Rate/ Cost of Equity for BIT:SPM
Data Point Calculation/ Source Result
Risk-Free Rate 10-Year IT Govt Bond Rate 2.9%
Equity Risk Premium S&P Global 9%
Energy Services Unlevered Beta Simply Wall St/ S&P Global 1.01
Re-levered Beta = Unlevered beta (1 + (1- tax rate) (Debt/Equity))
= 1.013 (1 + (1- 24%) (42.13%))
1.226
Levered Beta Levered Beta limited to 0.8 to 2.0
(practical range for a stable firm)
1.23
Discount Rate/ Cost of Equity = Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= 2.93% + (1.226 * 9.02%)
14%

Discounted Cash Flow Calculation for BIT:SPM using 2 Stage Free Cash Flow to Equity Model

The calculations below outline how an intrinsic value for Saipem is arrived at by discounting future cash flows to their present value using the 2 stage method. We try to start with analysts estimates of free cash flow, however if these are not available we use the most recent financial results. In the 1st stage we continue to grow the free cash flow over a 10 year period, with the growth rate trending towards the perpetual growth rate used in the 2nd stage. The 2nd stage assumes the company grows at a stable rate into perpetuity.

BIT:SPM DCF 1st Stage: Next 10 year cash flow forecast
Levered FCF (EUR, Millions) Source Present Value
Discounted (@ 14%)
2019 286.86 Analyst x7 251.64
2020 374.75 Analyst x11 288.38
2021 503.17 Analyst x10 339.67
2022 633.67 Analyst x3 375.24
2023 687.00 Analyst x2 356.87
2024 731.91 Est @ 6.54% 333.52
2025 771.85 Est @ 5.46% 308.54
2026 808.13 Est @ 4.7% 283.38
2027 841.83 Est @ 4.17% 258.95
2028 873.81 Est @ 3.8% 235.79
Present value of next 10 years cash flows €3,031.99
BIT:SPM DCF 2nd Stage: Terminal Value
Calculation Result
Terminal Value = FCF2028 × (1 + g) ÷ (Discount Rate – g)
= €873.81 × (1 + 2.93%) ÷ (14% – 2.93%)
€8,131.13
Present Value of Terminal Value = Terminal Value ÷ (1 + r)10
= €8,131.13 ÷ (1 + 14%)10
€2,194.14
BIT:SPM Total Equity Value
Calculation Result
Total Equity Value = Present value of next 10 years cash flows + Terminal Value
= €3,031.99 + €2,194.14
€5,226.13
Equity Value per Share
(EUR)
= Total value / Shares Outstanding
= €5,226.13 / 996.17
€5.25
BIT:SPM Discount to Share Price
Calculation Result
Value per share (EUR) From above. €5.25
Current discount Discount to share price of €4.16
= -1 x (€4.16 - €5.25) / €5.25
20.8%

Learn more about our DCF calculations in Simply Wall St’s analysis model .

Current Discount
Amount off the current price Saipem is available for.
Intrinsic value
21%
Share price is €4.16 vs Future cash flow value of €5.25
Current Discount Checks
For Saipem to be considered undervalued it must be available for at least 20% below the current price. Less than 40% is even better.
  • Saipem's share price is below the future cash flow value, and at a moderate discount (> 20%).
  • Saipem's share price is below the future cash flow value, but not at a substantial discount (< 40%).
PRICE RELATIVE TO MARKET
We can also value a company based on what the stock market is willing to pay for it. This is similar to the price of fruit (e.g. Mangoes or Avocados) increasing when they are out of season, or how much your home is worth.

The amount the stock market is willing to pay for Saipem's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are Saipem's earnings available for a low price, and how does this compare to other companies in the same industry?
Raw Data
BIT:SPM PE (Price to Earnings) Ratio Data Sources
Data Point Source Value
Earnings Per Share * Company Filings (2019-03-31) in EUR €-0.47
BIT:SPM Share Price ** BIT (2019-05-22) in EUR €4.16
Europe Energy Services Industry PE Ratio Median Figure of 27 Publicly-Listed Energy Services Companies 21.17x
Italy Market PE Ratio Median Figure of 239 Publicly-Listed Companies 15.19x

* Trailing twelve months (TTM) annual GAAP earnings per share excluding extraordinary items.

** Primary Listing of Saipem.

BIT:SPM PE (Price to Earnings) Ratio Calculation
Calculation Outcome
PE Ratio

= BIT:SPM Share Price ÷ EPS (both in EUR)

= 4.16 ÷ -0.47

-8.77x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Saipem is loss making, we can't compare its value to the Europe Energy Services industry average.
  • Saipem is loss making, we can't compare the value of its earnings to the Italy market.
Price based on expected Growth
Does Saipem's expected growth come at a high price?
Raw Data
BIT:SPM PEG (Price to Earnings to Growth) Ratio Data Sources
Data Point Source Value
PE Ratio See PE Ratio Section -8.77x
Net Income Annual Growth Rate See Future Growth Section.
Line of Best Fit* through Consensus Estimate Earnings of 19 Analysts
35.2%per year
Europe Energy Services Industry PEG Ratio Median Figure of 22 Publicly-Listed Energy Services Companies 1.04x
Italy Market PEG Ratio Median Figure of 158 Publicly-Listed Companies 1.41x

*Line of best fit is calculated by linear regression .

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Unable to calculate PEG ratio for Saipem, we can't assess if its growth is good value.
Price based on value of assets
What value do investors place on Saipem's assets?
Raw Data
BIT:SPM PB (Price to Book) Ratio Data Sources
Data Point Source Value
Book Value per Share Company Filings (2019-03-31) in EUR €3.98
BIT:SPM Share Price * BIT (2019-05-22) in EUR €4.16
Europe Energy Services Industry PB Ratio Median Figure of 62 Publicly-Listed Energy Services Companies 0.92x
Italy Market PB Ratio Median Figure of 320 Publicly-Listed Companies 1.45x
BIT:SPM PB (Price to Book) Ratio Calculation
Calculation Outcome
PB Ratio

= BIT:SPM Share Price ÷ Book Value per Share (both in EUR)

= 4.16 ÷ 3.98

1.05x

* Primary Listing of Saipem.

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Saipem is overvalued based on assets compared to the Europe Energy Services industry average.
X
Value checks
We assess Saipem's value by looking at:
  1. Is the discounted cash flow value less than 20%, or 40% of the share price? (2 checks) ( Click here or on bar chart for details of DCF calculation. )
  2. Is the PE ratio less than the market average, and/ or less than the Energy Services industry average (and greater than 0)? (2 checks)
  3. Is the PEG ratio within a reasonable range (0 to 1)? (1 check)
  4. Is the PB ratio less than the Energy Services industry average (and greater than 0)? (1 check)
  5. Saipem has a total score of 1/6, see the detailed checks below.

    Note: We use GAAP Earnings per Share in all our calculations including PE and PEG Ratio.

    Full details on the Value part of the Simply Wall St company analysis model.

Future Performance

 How is Saipem expected to perform in the next 1 to 3 years based on estimates from 19 analysts?

The future performance of a company is measured in the same way as past performance, by looking at estimated growth and how much profit it is expected to make.

Future estimates come from professional analysts. Just like forecasting the weather, they don’t always get it right!
Annual Growth Rate
35.2%
Expected annual growth in earnings.
Earnings growth vs Low Risk Savings
Is Saipem expected to grow at an attractive rate?
  • Saipem's earnings growth is expected to exceed the low risk savings rate of 2.9%.
Growth vs Market Checks
  • Saipem's earnings growth is expected to exceed the Italy market average.
  • Saipem's revenue growth is expected to exceed the Italy market average.
Annual Growth Rates Comparison
Raw Data
BIT:SPM Future Growth Rates Data Sources
Data Point Source Value (per year)
BIT:SPM Future Earnings Growth Rate Line of Best Fit* through Consensus Estimate Earnings of 19 Analysts 35.2%
BIT:SPM Future Revenue Growth Rate Line of Best Fit* through Consensus Estimate Revenue of 19 Analysts 7.3%
Europe Energy Services Industry Earnings Growth Rate Market Cap Weighted Average 31.2%
Europe Energy Services Industry Revenue Growth Rate Market Cap Weighted Average 8.5%
Italy Market Earnings Growth Rate Market Cap Weighted Average 9.9%
Italy Market Revenue Growth Rate Market Cap Weighted Average 3.3%

*Line of best fit is calculated by linear regression .

Industry and Market average data is calculated daily.

Learn more about our growth rate calculations in Simply Wall St’s analysis model.

Analysts growth expectations
Raw Data
BIT:SPM Analysts Growth Expectations Data Sources
Data Point Source Value
Past Financials Company Filings (1 month ago) See Below
Future Estimates Average of up to 19 Analyst Estimates (S&P Global) See Below
All numbers in EUR Millions and using Trailing twelve months (TTM) annual period rather than quarterly.
BIT:SPM Future Estimates Data
Date (Data in EUR Millions) Revenue Cash Flow Net Income * Avg. No. Analysts
2023-12-31 13,669 1,124 774 1
2022-12-31 11,139 1,024 474 3
2021-12-31 10,218 893 349 16
2020-12-31 9,433 797 247 19
2019-12-31 8,974 765 124 18
BIT:SPM Past Financials Data
Date (Data in EUR Millions) Revenue Cash Flow Net Income *
2019-03-31 8,777 712 -449
2018-12-31 8,536 711 -472
2018-09-30 8,181 566 -628
2018-06-30 8,207 684 -541
2018-03-31 8,665 684 -377
2017-12-31 9,012 459 -328
2017-09-30 8,994 700 -219
2017-06-30 9,321 854 -2,250
2017-03-31 9,429 938 -2,101
2016-12-31 10,006 978 -2,087
2016-09-30 10,955 1,085 -1,865
2016-06-30 11,416 532 167

*GAAP earnings excluding extraordinary items.

Super high growth metrics
High Growth Checks
  • Saipem's earnings are expected to grow significantly at over 20% yearly.
  • Saipem's revenue is expected to grow by 7.3% yearly, however this is not considered high growth (20% yearly).
Past and Future Earnings per Share
The accuracy of the analysts who estimate the future performance data can be gauged below. We look back 3 years and see if they were any good at predicting what actually occurred. We also show the highest and lowest estimates looking forward to see if there is a wide range.
Raw Data
BIT:SPM Past and Future Earnings per Share
Data Point Source Value
Past Financials Company Filings (1 month ago) See Below
Future Estimates Average of up to 19 Analyst Estimates (S&P Global) See Below

All data from Saipem Company Filings, last reported 1 month ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

BIT:SPM Future Estimates Data
Date (Data in EUR Millions) EPS * EPS High Estimate EPS Low Estimate Avg. No. Analysts
2023-12-31 0.76 0.76 0.76 1.00
2022-12-31 0.48 0.65 0.30 2.00
2021-12-31 0.34 0.48 0.20 15.00
2020-12-31 0.24 0.33 0.13 19.00
2019-12-31 0.12 0.16 0.08 15.00
BIT:SPM Past Financials Data
Date (Data in EUR Millions) EPS *
2019-03-31
2018-12-31 -0.47
2018-09-30
2018-06-30 -0.54
2018-03-31
2017-12-31 -0.33
2017-09-30
2017-06-30 -2.29
2017-03-31
2016-12-31 -2.50
2016-09-30
2016-06-30 0.44

*GAAP earnings excluding extraordinary items.

Performance in 3 years
In the same way as past performance we look at the future estimated return (profit) compared to the available funds. We do this looking forward 3 years.
  • Saipem is not expected to efficiently use shareholders’ funds in the future (Return on Equity less than 20%).
X
Future performance checks
We assess Saipem's future performance by looking at:
  1. Is the annual earnings growth rate expected to beat the low risk savings rate, plus a premium to keep pace with inflation?
  2. Is the annual earnings growth rate expected to beat the average growth rate in earnings of the Europe market? (1 check)
  3. Is the annual revenue growth rate expected to beat the average growth rate in revenue of the Europe market? (1 check)
  4. Is the annual earnings growth rate expected to be above 20%? (1 check)
  5. Is the annual revenue growth rate expected to be above 20%? (1 check)
  6. Is the Return on Equity in 3 years expected to be over 20%? (1 check)
Some of the above checks will fail if the company is expected to be loss making in the relevant year.
Saipem has a total score of 4/6, see the detailed checks below.

Note 1: We use GAAP Net Income Excluding Exceptional Items for our Earnings in all our calculations.

Full details on the Future part of the Simply Wall St company analysis model.

Past Performance

  How has Saipem performed over the past 5 years?

The past performance of a company can be measured by how much growth it has experienced and how much profit it makes relative to the funds and assets it has available.
Past earnings growth
Below we compare Saipem's growth in the last year to its industry (Energy Services).
Past Earnings growth analysis
We also check if the company has grown in the past 5 years, and whether it has maintained that growth in the year.
  • Saipem does not make a profit and their year on year earnings growth rate was negative over the past 5 years.
  • Unable to compare Saipem's 1-year earnings growth to the 5-year average as it is not currently profitable.
  • Unable to compare Saipem's 1-year growth to the Europe Energy Services industry average as it is not currently profitable.
Earnings and Revenue History
Saipem's revenue and profit over the past 5 years is shown below, any years where they have experienced a loss will show up in red.
Raw Data

All data from Saipem Company Filings, last reported 1 month ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

BIT:SPM Past Revenue, Cash Flow and Net Income Data
Date (Data in EUR Millions) Revenue Net Income * G+A Expenses R&D Expenses
2019-03-31 8,777.00 -449.00 711.00
2018-12-31 8,536.00 -472.00 671.00
2018-09-30 8,181.00 -628.00 2,181.00
2018-06-30 8,207.00 -541.00 2,202.00
2018-03-31 8,665.00 -377.00 652.00
2017-12-31 9,012.00 -328.00 716.00
2017-09-30 8,994.00 -219.00 2,376.00
2017-06-30 9,321.00 -2,250.00 2,419.00
2017-03-31 9,429.00 -2,101.00 2,476.00
2016-12-31 10,006.00 -2,087.00 2,521.00
2016-09-30 10,955.00 -1,865.00 3,145.00
2016-06-30 11,416.00 167.00 3,255.00
2016-03-31 11,335.00 -822.00 3,378.00
2015-12-31 11,515.00 -806.00 3,530.00
2015-09-30 11,856.00 -1,308.00 3,784.00
2015-06-30 12,294.00 -1,286.00 3,849.00
2015-03-31 13,013.00 -214.00 3,878.00
2014-12-31 12,886.00 -230.00 3,825.00
2014-09-30 12,639.00 282.00 3,461.00
2014-06-30 12,572.00 307.00 3,438.00
2014-03-31 11,654.00 -208.00 3,368.00
2013-12-31 11,852.00 -159.00 3,337.00
2013-09-30 11,866.00 -294.00 3,179.00
2013-06-30 11,973.00 -145.00 3,107.00
2013-03-31 13,083.00 538.00 3,030.00
2012-12-31 13,124.00 659.00 2,949.00
2012-09-30 13,390.00 982.00 2,850.00
2012-06-30 13,001.00 957.00 2,761.00

*GAAP earnings excluding extraordinary items.

Performance last year
We want to ensure a company is making the most of what it has available. This is done by comparing the return (profit) to a company's available funds, assets and capital.
  • It is difficult to establish if Saipem has efficiently used shareholders’ funds last year (Return on Equity greater than 20%) as it is loss-making.
  • It is difficult to establish if Saipem has efficiently used its assets last year compared to the Europe Energy Services industry average (Return on Assets) as it is loss-making.
  • It is difficult to establish if Saipem improved its use of capital last year versus 3 years ago (Return on Capital Employed) as it is currently loss-making.
X
Past performance checks
We assess Saipem's performance over the past 5 years by checking for:
  1. Has earnings increased in past 5 years? (1 check)
  2. Has the earnings growth in the last year exceeded that of the Energy Services industry? (1 check)
  3. Is the recent earnings growth over the last year higher than the average annual growth over the past 5 years? (1 check)
  4. Is the Return on Equity (ROE) higher than 20%? (1 check)
  5. Is the Return on Assets (ROA) above industry average? (1 check)
  6. Has the Return on Capital Employed (ROCE) increased from 3 years ago? (1 check)
The above checks will fail if the company has reported a loss in the most recent earnings report. Some checks require at least 3 or 5 years worth of data.
Saipem has a total score of 0/6, see the detailed checks below.

Note: We use GAAP Net Income excluding extraordinary items in all our calculations.

Full details on the Past part of the Simply Wall St company analysis model.

Health

 How is Saipem's financial health and their level of debt?

A company's financial position is much like your own financial position, it includes everything you own (assets) and owe (liabilities).

The boxes below represent the relative size of what makes up Saipem's finances.

The net worth of a company is the difference between its assets and liabilities.
Net Worth
  • Saipem's short term (1 year) commitments are greater than its holdings of cash and other short term assets.
  • Saipem's long term commitments exceed its cash and other short term assets.
Balance sheet
This treemap shows a more detailed breakdown of Saipem's finances. If any of them are yellow this indicates they may be out of proportion and red means they relate to one of the checks below.
Assets
Liabilities and shares
The 'shares' portion represents any funds contributed by the owners (shareholders) and any profits.
  • High level of physical assets or inventory.
  • Debt is not covered by short term assets, assets are 0.2x debt.
Historical Debt
Nearly all companies have debt. Debt in itself isn’t bad, however if the debt is too high, or the company can’t afford to pay the interest on its debts this may have impacts in the future.

The graphic below shows equity (available funds) and debt, we ideally want to see the red area (debt) decreasing.

If there is any debt we look at the companies capability to repay it, and whether the level has increased over the past 5 years.
Raw Data

All data from Saipem Company Filings, last reported 1 month ago.

BIT:SPM Past Debt and Equity Data
Date (Data in EUR Millions) Total Equity Total Debt Cash & Short Term Investments
2019-03-31 4,001.00 1,745.00
2018-12-31 4,036.00 2,951.00 1,760.00
2018-09-30 4,191.00 1,270.00
2018-06-30 4,199.00 3,050.00 1,723.00
2018-03-31 4,552.00 1,200.00
2017-12-31 4,599.00 3,118.00 1,820.00
2017-09-30 4,881.00 1,355.00
2017-06-30 4,845.00 3,371.00 1,866.00
2017-03-31 4,933.00 1,605.00
2016-12-31 4,885.00 3,400.00 1,947.00
2016-09-30 5,053.00 1,673.00
2016-06-30 7,100.00 3,626.00 1,682.00
2016-03-31 7,146.00 2,040.00
2015-12-31 3,519.00 6,513.00 1,092.00
2015-09-30 3,416.00 7,209.00 1,287.00
2015-06-30 3,346.00 7,001.00 1,437.00
2015-03-31 4,128.00 5,193.00
2014-12-31 4,178.00 6,094.00 1,611.00
2014-09-30 4,668.00 5,130.00
2014-06-30 4,821.00 6,561.00 1,401.00
2014-03-31 4,762.00 5,563.00
2013-12-31 4,744.00 6,116.00 1,325.00
2013-09-30 4,676.00 5,082.00
2013-06-30 4,538.00 6,179.00 1,533.00
2013-03-31 5,554.00 4,845.00
2012-12-31 5,280.00 5,683.00 1,325.00
2012-09-30 5,297.00 4,407.00
2012-06-30 4,953.00 5,246.00 1,236.00
  • Saipem's level of debt (43.6%) compared to net worth is high (greater than 40%).
  • The level of debt compared to net worth has been reduced over the past 5 years (117% vs 43.6% today).
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.

  • Whilst loss making Saipem has sufficient cash runway for more than 3 years if it maintains the current positive free cash flow level.
  • Whilst loss making Saipem has sufficient cash runway for more than 3 years, due to free cash flow being positive and growing by 2% per year.
X
Financial health checks
We assess Saipem's financial health by checking for:
  1. Are short term assets greater than short term liabilities? (1 check)
  2. Are short term assets greater than long term liabilities? (1 check)
  3. Has the debt to equity ratio increased in the past 5 years? (1 check)
  4. Is the debt to equity ratio over 40%? (1 check)
  5. Is the debt covered by operating cash flow? (1 check)
  6. Are earnings greater than 5x the interest on debt (if company pays interest at all)? (1 check)
  7. Saipem has a total score of 3/6, see the detailed checks below.
For companies that are loss making and have been so on average in the past we replace the last 2 checks with:
  1. Does cash and short term investments cover stable operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)
  2. Does cash and short term investments cover growing operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)


Full details on the Health part of the Simply Wall St company analysis model.

Dividends

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

Dividends are regular cash payments to you from the company, similar to a bank paying you interest on a savings account.
Annual Dividend Income
Dividend payments
0%
Current annual income from Saipem dividends. Estimated to be 1.24% next year.
If you bought €2,000 of Saipem shares you are expected to receive €0 in your first year as a dividend.
Dividend Amount
Here we look how much dividend is being paid, if any. Is it above what you can get in a savings account? It is up there with the best dividend paying companies?
  • Unable to evaluate Saipem's dividend yield against the bottom 25% of dividend payers as the company has not reported any payouts.
  • Unable to evaluate Saipem's dividend against the top 25% market benchmark as the company has not reported any payouts.
Annualized Historical and Future Dividends
It is important to see if the dividend for a company is stable, and not wildly increasing/decreasing each year. This graph shows you the historical rate to count toward your assessment of the stock.

We also check to see if the dividend has increased in the past 10 years.
Raw Data
BIT:SPM Annualized Past and Future Dividends
Data Point Source Value
Past Annualized Dividend Yield S&P Global Market Data See Below
Past Dividends per Share Company Filings/ Annualized Dividend Payments See Below
Future Dividends per Share Estimates Average of up to 19 Analyst Estimates (S&P Global) See Below
Europe Energy Services Industry Average Dividend Yield Market Cap Weighted Average of 15 Stocks 3.5%
Italy Market Average Dividend Yield Market Cap Weighted Average of 186 Stocks 4.2%
Italy Minimum Threshold Dividend Yield 10th Percentile 1.2%
Italy Bottom 25% Dividend Yield 25th Percentile 2.1%
Italy Top 25% Dividend Yield 75th Percentile 4.5%

Industry and Market average data is calculated daily.

Note all dividend per share amounts are annualized and not quarterly or other period.

BIT:SPM Future Dividends Estimate Data
Date (Data in €) Dividend per Share (annual) Avg. No. Analysts
2023-12-31 0.22 1.00
2022-12-31 0.21 1.00
2021-12-31 0.08 17.00
2020-12-31 0.05 19.00
2019-12-31 0.01 18.00
BIT:SPM Past Annualized Dividends Data
Date (Data in €) Dividend per share (annual) Avg. Yield (%)
2015-02-16 0.000 0.000
2014-10-28 0.000 0.000
2014-08-06 0.000 0.000
2014-07-29 0.000 0.000
2014-04-24 0.000 0.000
2014-03-17 0.000 0.000
2013-02-13 6.800 3.891
2012-08-02 7.000 2.145
2012-07-30 7.000 1.877
2012-03-30 7.000 2.039
2012-02-13 7.000 1.833
2011-03-29 6.300 1.908
2011-02-10 6.300 1.749
2010-03-10 5.500 1.862
2010-02-10 5.500 2.209

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Unable to perform a dividend volatility check as Saipem has not reported any payouts.
  • Unable to verify if Saipem's dividend has been increasing as the company has not reported any payouts.
Current Payout to shareholders
What portion of Saipem's earnings are paid to the shareholders as a dividend.
  • Unable to calculate sustainability of dividends as Saipem has not reported any payouts.
Future Payout to shareholders
  • Dividends after 3 years are expected to be well covered by earnings (3x coverage).
X
Income/ dividend checks
We assess Saipem's dividend by checking for:
  1. Firstly is the company paying a notable dividend (greater than 1.2%) - if not then the rest of the checks are ignored.
  2. Is current dividend yield above the bottom 25% of dividend payers? (1 check)
  3. Is current dividend yield above the top 25% of dividend payers? (1 check)
  4. Have they paid a dividend for 10 years, and during this period has the dividend been volatile (drop of more than 25%)? (1 check)
  5. If they have paid a dividend for 10 years has it increased in this time? (1 check)
  6. How sustainable is the dividend, can Saipem afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks)
  7. Saipem has a total score of 1/6, see the detailed checks below.


Full details on the Dividends part of the Simply Wall St company analysis model.

Management

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

Management is one of the most important areas of a company. We look at unreasonable CEO compensation, how long the team and board of directors have been around for and insider trading.
CEO
Stefano Cao
COMPENSATION €618,000
AGE 67
TENURE AS CEO 4.1 years
CEO Bio

Mr. Stefano Cao has been the Chief Executive Officer and Director at Saipem SpA since April 30, 2015. Mr. Cao served as the Chief Executive Officer at Sintonia S.A. from February 2009 to July 2012. He served as the Chief Operating Officer of Exploration & Production Division at Eni SpA from 2000 to 2008. He served at Eni SpA for over 27 years and served as its General Manager of Exploration & Production division from 2000 to 2008. From 2001 to 2003, he served as the President at Agip International B.V. and at Agip Exploration B.V. From May 2004 to 2006, he served as the President of Eni Corporate University. He joined ENI group S.p.A as Technical Engineer active mainly in offshore construction since December 1, 1976 and served as a Manager since October 1, 1983. He spent 24 years from 1976 to November 2000 at Saipem Spa. From 1999 to 2000, he served as the Chairman of Saipem SpA and as its Managing Director and Chief Operating Officer from 1996 to 1999. He joined Saipem in 1976 and served as a Field Engineer and Site in Sea Platforms business as Manager until 1982. At Saipem, he also served as Project Manager, Branch Manager and Operation Manager of offshore activities from 1982 to 1986. He also served as a Deputy General Manager of Sea Platforms Business at Saipem until 1993 and as a General Manager of Marketing and Technical Activities. He served as the Managing Director of Operations at Saipem since 1996 and the Managing Director of Production and Marketing since 1998. From 1993 to 1996, Mr. Cao served as a General Manager of Commercial and Technical Activities at Saipem SpA, Vice General Manager and Operations Manager of the Offshore Construction Division - Saipem SpA since 1988, Engineering Manager of the Offshore Construction Division - Saipem SpA since 1986, General Manager of Operations at Saipem (UK) Ltd. since 1984. At Saipet, Mr. Cao served as an Area Manager of North Sea Projects since 1983, Area Manager of Danish Projects since 1981, Project Manager of North Sea Projects (BP Magnus &West Sole) since 1980, General Superintendent in the Sicily Channel crossing Project for T.M.P.C. since 1980, Operational Tests Supervisor on semisubmersible lay vessel 'Castoro Sei' and General Superintendent in the Messina Strait crossing Project at Snam SpA since 1979, Completed Works Supervisor on semisubmersible lay vessel 'Castoro Sei' since 1978, Assistant to the Construction Manager in the sealines installation Project for QGPC (Qatar) since 1977 and as Assistant to the Spread Superintendent in the offshore construction operations (sealines and platforms) in the Mediterranean Sea for AGIP since 1976. He left Saipem S.p.A in 2000 as executive Chairman. Mr. Stefano Cao is a corporate executive with vast experience in the energy and infrastructure sectors. He has been a Director of Sagat S.p.A., since April 30, 2015, ADR and Aeroporti Holding S.r.l. He serves as a Member of Advisory Board at Ambienta SGR S.p.A. He served as a Director of Aeroporti di Roma SpA from March 11, 2009 to April 29, 2015. He served as a Director of Generale Mobiliare Interessenze Azionarie S.p.A. since April 28, 2009. He served as Chairman of SPIG S.p.A from 2014 to April 2015 and a shareholder and board member of Exploenergy S.r.l. He served as a Director of A2A S.p.A. from 2012 to April 29, 2015 and its Member of Management Board since June 2012. He served as a Director of Aeroporto di Firenze S.p.A. He served as an Independent Director of Telecom Italia Mobile S.p.A. since April 16, 2007. He served as a Director of Atlantia SpA. Mr. Cao served as a Director of Autostrade per l'Italia Spa until April 29, 2015. He served as an Independent Director of Telecom Italia S.p.A. since April 16, 2007. He served as a Director of Telecom Italia S.p.A. from February 27, 2009 to December 2009. He served as a Non-Executive Director of Petrofac Limited from May 13, 2010 to April 29, 2015. He served as a Director of Joint Stock Company Gazprom Neft from November 2007 to March 5, 2009. He served as a Director of Sintonia S.A. until July 2012. He has more than 32 years' experience in the oil and gas industry. Mr. Cao holds a Degree in Mining Engineering and Mechanical Engineering from Università degli Studi, Rome in 1976 and Master Degree in Mechanical Engineering.

CEO Compensation
  • Insufficient data for Stefano to compare compensation growth.
  • Stefano's remuneration is higher than average for companies of similar size in Italy.
Management Team Tenure

Average tenure of the Saipem management team in years:

2.8
Average Tenure
  • The tenure for the Saipem management team is about average.
Management Team

Stefano Cao

TITLE
CEO & Non Independent Director
COMPENSATION
€618K
AGE
67
TENURE
4.1 yrs

Stefano Cavacini

TITLE
Chief Financial Officer
AGE
46
TENURE
0.5 yrs

Davide Ruvolo

TITLE
Corporate Head of M&A

Gaetano Colucci

TITLE
Senior Vice President of Public Affairs & Communication
TENURE
2.8 yrs
Board of Directors Tenure

Average tenure and age of the Saipem board of directors in years:

1
Average Tenure
57
Average Age
  • The average tenure for the Saipem board of directors is less than 3 years, this suggests a new board.
Board of Directors

Francesco Caio

TITLE
Non-Independent Chairman
AGE
61
TENURE
1 yrs

Stefano Cao

TITLE
CEO & Non Independent Director
COMPENSATION
€618K
AGE
67
TENURE
4.1 yrs

Mario Busso

TITLE
Chairman of the Board of Auditors
COMPENSATION
€67K
TENURE
2.1 yrs

Ines Mazzilli

TITLE
Non-Executive & Independent Director
AGE
56
TENURE
1 yrs

Paolo Fumagalli

TITLE
Non-Executive & Independent Director
AGE
58
TENURE
1 yrs

Federico Ferro-Luzzi

TITLE
Independent Non-Executive Director
COMPENSATION
€75K
TENURE
4.1 yrs

Maria Elena Bruna Cappello

TITLE
Non-Executive & Independent Director
COMPENSATION
€53K
AGE
50
TENURE
4.1 yrs

Paul Schapira

TITLE
Non-Executive & Independent Director
TENURE
1 yrs

Claudia Carloni

TITLE
Non-Executive & Non-Independent Director

Pierfrancesco Latini

TITLE
Non Independent Director
AGE
50
TENURE
0.4 yrs
Who owns this company?
Recent Insider Trading
  • No 3 month insider trading information.
Recent Insider Transactions
Announced Type Name Entity Role Start End Shares Max Price (€) Value (€)
X
Management checks
We assess Saipem's management by checking for:
  1. Is the CEO's compensation unreasonable compared to market cap? (1 check)
  2. Has the CEO's compensation increased more than 20% whilst the EPS is down more then 20%? (1 check)
  3. Is the average tenure of the management team less than 2 years? (1 check)
  4. Is the average tenure of the board of directors team less than 3 years? (1 check)
  5. Saipem has a total score of 0/6, this is not included on the snowflake, see the detailed checks below.


Note: We use the top 6 management executives and board members in our calculations.

Note 2: Insider trading include any internal stakeholders and these transactions .

Full details on the Management part of the Simply Wall St company analysis model.

News

Simply Wall St News

A Look At The Intrinsic Value Of Saipem S.p.A. (BIT:SPM)

(BIT:SPM) from its intrinsic value? … Anyone interested in learning a bit more about intrinsic value should have a read of the Simply Wall St analysis model. … The first stage is generally a higher growth period which levels off heading towards the terminal value, captured in the second 'steady growth' period.

Simply Wall St -

Should You Be Pleased About The CEO Pay At Saipem S.p.A.'s (BIT:SPM)

Participate in a short research study and receive a 6-month subscription to the award winning Simply Wall St research tool (valued at $60)! … This report will, first, examine the CEO compensation levels in comparison to CEO compensation at companies of similar size. … How Does Stefano Cao's Compensation Compare With Similar Sized Companies?

Simply Wall St -

How Many Saipem SpA (BIT:SPM) Shares Do Institutions Own?

Institutions often own shares in more established companies, while it's not unusual to see insiders own a fair bit of smaller companies. … Taking a look at the our data on the ownership groups (below), it's seems that. … institutions own shares in the company.

Simply Wall St -

How Should Investors React To Saipem SpA's (BIT:SPM) CEO Pay?

First, this article will compare CEO compensation with compensation at similar sized companies. … How Does Stefano Cao's Compensation Compare With Similar Sized Companies. … We looked at a group of companies with market capitalizations from €3.5b to €10.4b, and the median CEO compensation was €1m

Simply Wall St -

Saipem SpA (BIT:SPM): Time For A Financial Health Check

Small-caps and large-caps are wildly popular among investors; however, mid-cap stocks, such as Saipem SpA (BIT:SPM) with a market-capitalization of €5.0b, rarely draw their attention. … While they are less talked about as an investment category, mid-cap risk-adjusted returns have generally been better than more commonly focused stocks that fall into the small- or large-cap categories. … This article will examine SPM’s financial liquidity and debt levels to get an idea of whether the company can deal with cyclical downturns and maintain funds to accommodate strategic spending for future growth.

Simply Wall St -

Who Are The Top Investors In Saipem SpA (BIT:SPM)?

In this article, I will take a quick look at Saipem SpA’s (BIT:SPM) recent ownership structure – an unconventional investing subject, but an important one. … When it comes to ownership structure of a company, the impact has been observed in both the long-and short-term performance of shares. … Therefore, it is beneficial for us to examine SPM's ownership structure in more detail.

Simply Wall St -

Has Saipem SpA (BIT:SPM) Got Enough Cash?

Mid-caps stocks, like Saipem SpA (BIT:SPM) with a market capitalization of €3.64b, aren’t the focus of most investors who prefer to direct their investments towards either large-cap or small-cap stocks. … This article will examine SPM’s financial liquidity and debt levels to get an idea of whether the company can deal with cyclical downturns and maintain funds to accommodate strategic spending for future growth. … Remember this is a very top-level look that focuses exclusively on financial health, so I recommend a deeper analysis.

Simply Wall St -

How Does Saipem Sp.A. (BIT:SPM) Affect Your Portfolio Returns?

See our latest analysis for Saipem An interpretation of SPM's beta With a beta of 2.58, Saipem is a stock that tends to experience more gains than the market during a growth phase and also a bigger reduction in value compared to the market during a broad downturn. … Therefore, this is a type of risk which is associated with higher beta. … I test SPM’s ratio of fixed assets to total assets in order to determine how high the risk is associated with this type of constraint.

Simply Wall St -

Who Owns Most Of Saipem Sp.A. (BIT:SPM)?

See our latest analysis for Saipem BIT:SPM Ownership_summary May 14th 18 Institutional Ownership In SPM's case, institutional ownership stands at 10.16%, significant enough to cause considerable price moves in the case of large institutional transactions, especially when there is a low level of public shares available on the market to trade. … General Public Ownership The general public holds a substantial 46.27% stake in SPM, making it a highly popular stock among retail investors. … Thus, potential investors should look into these business relations and check how it can impact long-term shareholder returns.Next Steps: The company's high institutional ownership makes margin of safety a very important consideration to existing investors since long bull and bear trends often emerge when these big-ticket investors see a change in long-term potential of the company.

Simply Wall St -

Market Sentiment Around Loss-Making Saipem Sp.A. (BIT:SPM)

They expect the company to post a final loss in 2017, before turning a profit of €115.78M in 2018. … Working backwards from analyst estimates, it turns out that they expect the company to grow 31.50% year-on-year, on average, which is extremely buoyant. … Next Steps: There are too many aspects of SPM to cover in one brief article, but the key fundamentals for the company can all be found in one place – SPM’s company page on Simply Wall St.

Simply Wall St -

Company Info

Description

Saipem S.p.A. engages in the engineering, drilling, and construction of projects in the energy and infrastructure sectors worldwide. The company operates through five divisions: Offshore Engineering & Construction (E&C), Onshore E&C, Offshore Drilling, Onshore Drilling, and Floaters segments. It provides engineering, procurement, project management, and construction services primarily for the oil and gas, complex civil and marine infrastructure, and environmental markets. The company offers offshore E&C products and services, including platforms, pipelines, subsea field developments, and MMO activities; and designs and constructs hydrocarbon production and treatment facilities, and large onshore treatment and transportation systems and facilities. It also provides offshore and onshore drilling services in deep water, in frontier, and remote areas and environment for oil and gas industries, national companies, and independent operators; and refinery, syngas and fertilizer, petrochemical, upstream, LNG, high tech floater, offshore full field development, trunkline, and renewable and green technologies, as well as life-cycle services under the XSIGHT name. In addition, the company offers vessels and fabrication yards; and research and technology development services, as well as engineering, technology, and commissioning services. As of December 31, 2018, its offshore drilling fleet consisted of 12 vessels, including 6 ultra-deep-water units, 2 high specification jack-ups, 3 standard jack-ups, and 1 barge tender rig; and onshore drilling rig fleet comprised 87 units. Saipem S.p.A. is headquartered in Milan, Italy.

Details
Name: Saipem S.p.A.
SPM
Exchange: BIT
Founded:
€4,141,457,418
996,169,217
Website: http://www.saipem.com
Address: Saipem S.p.A.
Via Martiri di Cefalonia 67,
San Donato Milanese,
Milan,
Milan, 20097,
Italy
Listings
Exchange Symbol Ticker Symbol Security Exchange Country Currency Listed on
BIT SPM Ordinary Shares Borsa Italiana IT EUR 02. Jan 1992
OTCPK SAPM.F Ordinary Shares Pink Sheets LLC US USD 02. Jan 1992
DB SPE1 Ordinary Shares Deutsche Boerse AG DE EUR 02. Jan 1992
LSE 0RPI Ordinary Shares London Stock Exchange GB EUR 02. Jan 1992
WBAG SPM Ordinary Shares Wiener Boerse AG AT EUR 02. Jan 1992
OTCPK SAPM.Y UNSPONSORED ADR Pink Sheets LLC US USD 27. Oct 2008
BIT SPMR Saving Shares Borsa Italiana IT EUR 21. Jan 1987
LSE 0RPJ Saving Shares London Stock Exchange GB EUR 21. Jan 1987
BIT SPM NPV Borsa Italiana IT EUR 22. May 2019
Number of employees
Current staff
Staff numbers
32,000
Saipem employees.
Industry
Oil and Gas Equipment and Services
Energy
Company Analysis and Financial Data Status
Area Date (UTC time)
Company Analysis updated: 2019/05/22 20:54
End of day share price update: 2019/05/22 00:00
Last estimates confirmation: 2019/05/22
Last earnings filing: 2019/04/18
Last earnings reported: 2019/03/31
Last annual earnings reported: 2018/12/31


All dates and times in UTC. All financial data provided by Standard & Poor’s Capital IQ.

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.