Snam S.p.A.
Snam S.p.A. Fundamental Analysis
Snam S.p.A. (SNMRF) shows weak financial fundamentals with a PE ratio of 31.67, profit margin of 37.05%, and ROE of 7.46%. The company generates $1.8B in annual revenue with weak year-over-year growth of -16.40%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 10.0/100 based on profitability, valuation, growth, and balance sheet metrics. The F grade reflects weak fundamentals and significant financial concerns.
Fundamental Health Score
We analyze SNMRF's fundamental strength across five key dimensions:
Efficiency Score
WeakSNMRF struggles to generate sufficient returns from assets.
Valuation Score
ModerateSNMRF shows balanced valuation metrics.
Growth Score
ModerateSNMRF shows steady but slowing expansion.
Financial Health Score
WeakSNMRF carries high financial risk with limited liquidity.
Profitability Score
WeakSNMRF struggles to sustain strong margins.
Key Financial Metrics
Is SNMRF Expensive or Cheap?
P/E Ratio
SNMRF trades at 31.67 times earnings. This suggests a premium valuation.
PEG Ratio
When adjusting for growth, SNMRF's PEG of -1.74 indicates potential undervaluation.
Price to Book
The market values Snam S.p.A. at 2.34 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at 1.36 times EBITDA. This is generally considered low.
How Well Does SNMRF Make Money?
Net Profit Margin
For every $100 in sales, Snam S.p.A. keeps $37.05 as profit after all expenses.
Operating Margin
Core operations generate 50.08 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $7.46 in profit for every $100 of shareholder equity.
ROA
Snam S.p.A. generates $1.87 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Snam S.p.A. generates strong operating cash flow of $1.68B, reflecting robust business health.
Free Cash Flow
Snam S.p.A. generates weak or negative free cash flow of $-501.00M, restricting financial flexibility.
FCF Per Share
Each share generates $-0.15 in free cash annually.
FCF Yield
SNMRF converts -2.35% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
31.67
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
-1.74
vs 25 benchmark
P/B Ratio
Price to book value ratio
2.34
vs 25 benchmark
P/S Ratio
Price to sales ratio
11.73
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
2.19
vs 25 benchmark
Current Ratio
Current assets to current liabilities
0.83
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.07
vs 25 benchmark
ROA
Return on assets percentage
0.02
vs 25 benchmark
ROCE
Return on capital employed
0.03
vs 25 benchmark
How SNMRF Stacks Against Its Sector Peers
| Metric | SNMRF Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 31.67 | 20.28 | Worse (Expensive) |
| ROE | 7.46% | 920.00% | Weak |
| Net Margin | 37.05% | 736.00% | Weak |
| Debt/Equity | 2.19 | 1.49 | Weak (High Leverage) |
| Current Ratio | 0.83 | 1.44 | Weak Liquidity |
| ROA | 1.87% | -6170.00% (disorted) | Weak |
SNMRF outperforms its industry in 0 out of 6 key metrics, but lagging in P/E Ratio.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews Snam S.p.A.'s 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
32.51%
Industry Style: Defensive, Dividend, Income
High GrowthEPS CAGR
13.67%
Industry Style: Defensive, Dividend, Income
High GrowthFCF CAGR
20.13%
Industry Style: Defensive, Dividend, Income
High Growth