OTCPK:VEOE.Y

Stock Analysis Report

Executive Summary

Veolia Environnement S.A. designs and provides water, waste, and energy management solutions worldwide.


Snowflake Analysis

Solid track record and fair value.


Similar Companies

Share Price & News

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


Latest Share Price and Events

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


Market Performance


7 Day Return

17.2%

VEOE.Y

23.7%

US Integrated Utilities

12.5%

US Market


1 Year Return

-5.7%

VEOE.Y

-8.7%

US Integrated Utilities

-12.7%

US Market

Return vs Industry: VEOE.Y exceeded the US Integrated Utilities industry which returned -9.2% over the past year.

Return vs Market: VEOE.Y exceeded the US Market which returned -11.9% over the past year.


Shareholder returns

VEOE.YIndustryMarket
7 Day17.2%23.7%12.5%
30 Day-26.0%-9.1%-14.7%
90 Day-20.4%-15.7%-21.5%
1 Year-2.4%-5.7%-5.5%-8.7%-10.9%-12.7%
3 Year26.2%13.8%15.7%4.1%12.6%5.4%
5 Year28.5%9.3%42.1%13.4%31.9%17.5%

Price Volatility Vs. Market

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


Simply Wall St News

No news available

Valuation

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

49.4%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: VEOE.Y ($21.16) is trading below our estimate of fair value ($41.99)

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


Price To Earnings Ratio

PE vs Industry: VEOE.Y is good value based on its PE Ratio (14.3x) compared to the Integrated Utilities industry average (19.1x).

PE vs Market: VEOE.Y is poor value based on its PE Ratio (14.3x) compared to the US market (13x).


Price to Earnings Growth Ratio

PEG Ratio: VEOE.Y is poor value based on its PEG Ratio (2.1x)


Price to Book Ratio

PB vs Industry: VEOE.Y is overvalued based on its PB Ratio (1.8x) compared to the US Integrated Utilities industry average (1.6x).


Next Steps

Future Growth

How is Veolia Environnement forecast to perform in the next 1 to 3 years based on estimates from 13 analysts?

6.8%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: VEOE.Y's forecast earnings growth (6.8% per year) is above the savings rate (1.7%).

Earnings vs Market: VEOE.Y's earnings (6.8% per year) are forecast to grow slower than the US market (12.3% per year).

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

Revenue vs Market: VEOE.Y's revenue (2.2% per year) is forecast to grow slower than the US market (7.3% per year).

High Growth Revenue: VEOE.Y's revenue (2.2% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: VEOE.Y's Return on Equity is forecast to be low in 3 years time (12.8%).


Next Steps

Past Performance

How has Veolia Environnement performed over the past 5 years?

15.1%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: VEOE.Y has high quality earnings.

Growing Profit Margin: VEOE.Y's current net profit margins (2.7%) are higher than last year (1.6%).


Past Earnings Growth Analysis

Earnings Trend: VEOE.Y's earnings have grown by 15.1% per year over the past 5 years.

Accelerating Growth: VEOE.Y's earnings growth over the past year (73.9%) exceeds its 5-year average (15.1% per year).

Earnings vs Industry: VEOE.Y earnings growth over the past year (73.9%) exceeded the Integrated Utilities industry 5.7%.


Return on Equity

High ROE: VEOE.Y's Return on Equity (12.3%) is considered low.


Next Steps

Financial Health

How is Veolia Environnement's financial position?


Financial Position Analysis

Short Term Liabilities: VEOE.Y's short term assets (€16.9B) do not cover its short term liabilities (€18.8B).

Long Term Liabilities: VEOE.Y's short term assets (€16.9B) exceed its long term liabilities (€15.1B).


Debt to Equity History and Analysis

Debt Level: VEOE.Y's debt to equity ratio (213.5%) is considered high.

Reducing Debt: VEOE.Y's debt to equity ratio has increased from 119.4% to 213.5% over the past 5 years.

Debt Coverage: VEOE.Y's debt is well covered by operating cash flow (20.4%).

Interest Coverage: VEOE.Y's interest payments on its debt are well covered by EBIT (3.2x coverage).


Balance Sheet

Inventory Level: VEOE.Y has a high level of physical assets or inventory.

Debt Coverage by Assets: VEOE.Y's debt is covered by short term assets (assets are 1.1x debt).


Next Steps

Dividend

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

5.28%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: VEOE.Y's dividend (5.28%) is higher than the bottom 25% of dividend payers in the US market (1.98%).

High Dividend: VEOE.Y's dividend (5.28%) is low compared to the top 25% of dividend payers in the US market (5.49%).


Stability and Growth of Payments

Stable Dividend: VEOE.Y's dividend payments have been volatile in the past 10 years.

Growing Dividend: VEOE.Y's dividend payments have fallen over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: At its current payout ratio (75.7%), VEOE.Y's payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: VEOE.Y's dividends in 3 years are forecast to be covered by earnings (78.5% payout ratio).


Next Steps

Management

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

2.2yrs

Average management tenure


CEO

Antoine Frérot (61yo)

10.33s

Tenure

€2,228,590

Compensation

Mr. Antoine Frérot serves as the Chairman and Chief Executive Officer at Veolia Komodity CR, s.r.o. Mr. Frérot serves as the Chairman and Chief Executive Officer of Veolia Environmental Services North Amer ...


CEO Compensation Analysis

Compensation vs Market: Antoine's total compensation ($USD2.47M) is below average for companies of similar size in the US market ($USD11.74M).

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


Leadership Team

NamePositionTenureCompensationOwnership
Antoine Frérot
Chairman & CEO10.33yrs€2.23m0.0071% 825.2k
Claude Laruelle
Chief Financial Officer1.42yrsno datano data
Estelle Brachlianoff
Chief Operating Officer1.5yrsno datano data
Jean-Christophe Laissy
Senior VP of Information Systems & Technology? and CIO2.17yrsno datano data
Ronald Wasylec
Head of Investor Relationsno datano datano data
Éric Haza
Chief Legal Officerno datano datano data
Jean-Baptiste Carpentier
Chief Compliance Officer2.17yrsno datano data
Laurent Obadia
Senior VP of Communications and Advisor to the Chairman & CEO2.17yrsno datano data
Jean-Marie Lambert
Senior Executive Vice President of Human Resourcesno datano datano data
Régis Calmels
Senior Executive Vice President of Asiano datano datano data

2.2yrs

Average Tenure

61yo

Average Age

Experienced Management: VEOE.Y's management team is considered experienced (2.2 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Antoine Frérot
Chairman & CEO10.33yrs€2.23m0.0071% 825.2k
Louis Schweitzer
Vice Chairman6.83yrs€86.47k0.0056% 652.9k
Paolo Scaroni
Director13.25yrs€23.45k0.00017% 19.8k
Isabelle Courville
Independent Director3.92yrs€60.79k0.00018% 20.9k
Jacques Aschenbroich
Independent Director7.83yrs€40.16k0.00039% 45.4k
Maryse Aulagnon
Former Independent Director2.33yrs€87.90k0.00054% 62.8k
Nathalie Rachou
Independent Director7.83yrs€59.56k0.00015% 17.5k
Olivier Mareuse
Independent Director8yrs€17.74kno data
Marion Guillou
Independent Director7.25yrs€32.80k0.00014% 16.3k
Pavel Páša
Representative Director5.42yrs€27.70kno data

7.5yrs

Average Tenure

63.5yo

Average Age

Experienced Board: VEOE.Y's board of directors are considered experienced (7.5 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

Veolia Environnement S.A.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Veolia Environnement S.A.
  • Ticker: VEOE.Y
  • Exchange: OTCPK
  • Founded: 1853
  • Industry: Multi-Utilities
  • Sector: Utilities
  • Market Cap: €10.497b
  • Listing Market Cap: €11.639b
  • Shares outstanding: 554.66m
  • Website: https://www.veolia.com/fr

Number of Employees


Location

  • Veolia Environnement S.A.
  • 30, rue Madeleine-Vionnet
  • Aubervilliers
  • Ile-de-France
  • 93300
  • France

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
VEOE.FOTCPK (Pink Sheets LLC)YesOrdinary SharesUSUSDJul 2000
VIEENXTPA (Euronext Paris)YesOrdinary SharesFREURJul 2000
VVDDB (Deutsche Boerse AG)YesOrdinary SharesDEEURJul 2000
0NY8LSE (London Stock Exchange)YesOrdinary SharesGBEURJul 2000
VIEPBATS-CHIXE (BATS 'Chi-X Europe')YesOrdinary SharesGBEURJul 2000
VVDXTRA (XETRA Trading Platform)YesOrdinary SharesDEEURJul 2000
VIEWBAG (Wiener Boerse AG)YesOrdinary SharesATEURJul 2000
VIESWX (SIX Swiss Exchange)YesOrdinary SharesCHCHFJul 2000
VVDETLX (Eurotlx)YesOrdinary SharesITEURJul 2000
VIE NBMV (Bolsa Mexicana de Valores)YesOrdinary SharesMXMXNJul 2000
VEOE.YOTCPK (Pink Sheets LLC)ADR EACH REP ONE ORD EUR13.5(SPON)USUSDOct 2001
VVDHDB (Deutsche Boerse AG)ADR EACH REP ONE ORD EUR13.5(SPON)DEEUROct 2001
VVDHBST (Boerse-Stuttgart)ADR EACH REP ONE ORD EUR13.5(SPON)DEEUROct 2001
A1HEWBBST (Boerse-Stuttgart)4.45%-VAR SUB NTS PERP EUR1000DEEURJan 2013

Biography

Veolia Environnement S.A. designs and provides water, waste, and energy management solutions worldwide. The company is involved in the resource management, production, and delivery of drinking water and industrial process water; collection, treatment, and recycling of wastewater, including the treatment and recovery of waste; and design and construction of treatment and network infrastructure. It also provides waste collection, waste material recovery, waste-to-energy, organic waste material recovery, hazardous waste treatment, dismantling and remediation, urban cleaning, and industrial maintenance and cleaning services. In addition, the company engages in the operation and maintenance of heating and cooling networks; development of energy services to reduce the energy consumption and CO2 emissions of buildings; and optimization of industrial utilities, as well as energy use related to processes and industrial buildings. It offers drinking water to 100 million people; wastewater services to 61.3 million people; and waste collection services to 39.6 million people, as well as heating and cooling services to 8.1 million people. The company was formerly known as Vivendi Environnement and changed its name to Veolia Environnement S.A. in 2003. Veolia Environnement S.A. was founded in 1853 and is headquartered in Aubervilliers, France. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/03/30 00:51
End of Day Share Price2020/03/27 00:00
Earnings2019/12/31
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.