Jerónimo Martins, SGPS, S.A.
Jerónimo Martins, SGPS, S.A. Fundamental Analysis
Jerónimo Martins, SGPS, S.A. (JRONY) shows moderate financial fundamentals with a PE ratio of 10.15, profit margin of 1.80%, and ROE of 21.16%. The company generates $72.0B in annual revenue with moderate year-over-year growth of 9.33%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 48.6/100 based on profitability, valuation, growth, and balance sheet metrics. The D grade reflects weak fundamentals and significant financial concerns.
Fundamental Health Score
We analyze JRONY's fundamental strength across five key dimensions:
Efficiency Score
WeakJRONY struggles to generate sufficient returns from assets.
Valuation Score
ExcellentJRONY trades at attractive valuation levels.
Growth Score
ModerateJRONY shows steady but slowing expansion.
Financial Health Score
WeakJRONY carries high financial risk with limited liquidity.
Profitability Score
ModerateJRONY maintains healthy but balanced margins.
Key Financial Metrics
Is JRONY Expensive or Cheap?
P/E Ratio
JRONY trades at 10.15 times earnings. This suggests potential undervaluation.
PEG Ratio
When adjusting for growth, JRONY's PEG of 0.44 indicates potential undervaluation.
Price to Book
The market values Jerónimo Martins, SGPS, S.A. at 2.10 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at 3.92 times EBITDA. This is generally considered low.
How Well Does JRONY Make Money?
Net Profit Margin
For every $100 in sales, Jerónimo Martins, SGPS, S.A. keeps $1.80 as profit after all expenses.
Operating Margin
Core operations generate 3.55 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $21.16 in profit for every $100 of shareholder equity.
ROA
Jerónimo Martins, SGPS, S.A. generates $4.14 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Jerónimo Martins, SGPS, S.A. generates limited operating cash flow of $4.51B, signaling weaker underlying cash strength.
Free Cash Flow
Jerónimo Martins, SGPS, S.A. produces free cash flow of $2.50B, offering steady but limited capital for shareholder returns and expansion.
FCF Per Share
Each share generates $7.95 in free cash annually.
FCF Yield
JRONY converts 9.50% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
10.15
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
0.44
vs 25 benchmark
P/B Ratio
Price to book value ratio
2.10
vs 25 benchmark
P/S Ratio
Price to sales ratio
0.37
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
1.69
vs 25 benchmark
Current Ratio
Current assets to current liabilities
0.58
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.21
vs 25 benchmark
ROA
Return on assets percentage
0.04
vs 25 benchmark
ROCE
Return on capital employed
0.17
vs 25 benchmark
How JRONY Stacks Against Its Sector Peers
| Metric | JRONY Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 10.15 | 22.36 | Better (Cheaper) |
| ROE | 21.16% | 1238.00% | Weak |
| Net Margin | 1.80% | -5096.00% (disorted) | Weak |
| Debt/Equity | 1.69 | 1.23 | Weak (High Leverage) |
| Current Ratio | 0.58 | 2.47 | Weak Liquidity |
| ROA | 4.14% | -191998.00% (disorted) | Weak |
JRONY outperforms its industry in 1 out of 6 key metrics, but lagging in ROE.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews Jerónimo Martins, SGPS, S.A.'s 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
79.55%
Industry Style: Defensive, Dividend, Low Volatility
High GrowthEPS CAGR
53.64%
Industry Style: Defensive, Dividend, Low Volatility
High GrowthFCF CAGR
10.85%
Industry Style: Defensive, Dividend, Low Volatility
High Growth