Thales S.A.
Thales S.A. Fundamental Analysis
Thales S.A. (THLEF) shows moderate financial fundamentals with a PE ratio of 48.19, profit margin of 4.99%, and ROE of 14.55%. The company generates $21.3B in annual revenue with strong year-over-year growth of 11.66%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 58.8/100 based on profitability, valuation, growth, and balance sheet metrics. The C grade reflects average fundamentals, with notable risks in certain areas.
Fundamental Health Score
We analyze THLEF's fundamental strength across five key dimensions:
Efficiency Score
WeakTHLEF struggles to generate sufficient returns from assets.
Valuation Score
WeakTHLEF trades at a premium to fair value.
Growth Score
ExcellentTHLEF delivers strong and consistent growth momentum.
Financial Health Score
WeakTHLEF carries high financial risk with limited liquidity.
Profitability Score
WeakTHLEF struggles to sustain strong margins.
Key Financial Metrics
Is THLEF Expensive or Cheap?
P/E Ratio
THLEF trades at 48.19 times earnings. This suggests a premium valuation.
PEG Ratio
When adjusting for growth, THLEF's PEG of 14.66 indicates potential overvaluation.
Price to Book
The market values Thales S.A. at 7.20 times its book value. This suggests the stock is fully valued or overvalued on an asset basis.
EV/EBITDA
Enterprise value stands at 16.94 times EBITDA. This signals the market has high growth expectations.
How Well Does THLEF Make Money?
Net Profit Margin
For every $100 in sales, Thales S.A. keeps $4.99 as profit after all expenses.
Operating Margin
Core operations generate 8.72 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $14.55 in profit for every $100 of shareholder equity.
ROA
Thales S.A. generates $2.74 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Thales S.A. produces operating cash flow of $3.25B, showing steady but balanced cash generation.
Free Cash Flow
Thales S.A. generates strong free cash flow of $2.59B, providing ample flexibility for dividends, buybacks, or growth.
FCF Per Share
Each share generates $12.62 in free cash annually.
FCF Yield
THLEF converts 4.99% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
48.19
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
14.66
vs 25 benchmark
P/B Ratio
Price to book value ratio
7.20
vs 25 benchmark
P/S Ratio
Price to sales ratio
2.40
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
1.02
vs 25 benchmark
Current Ratio
Current assets to current liabilities
0.82
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.15
vs 25 benchmark
ROA
Return on assets percentage
0.03
vs 25 benchmark
ROCE
Return on capital employed
0.14
vs 25 benchmark
How THLEF Stacks Against Its Sector Peers
| Metric | THLEF Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 48.19 | 26.49 | Worse (Expensive) |
| ROE | 14.55% | 1307.00% | Weak |
| Net Margin | 4.99% | -5131.00% (disorted) | Weak |
| Debt/Equity | 1.02 | 0.81 | Weak (High Leverage) |
| Current Ratio | 0.82 | 10.48 | Weak Liquidity |
| ROA | 2.74% | -1549792.00% (disorted) | Weak |
THLEF 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 Thales S.A.'s 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
15.62%
Industry Style: Cyclical, Value, Infrastructure
High GrowthEPS CAGR
30.82%
Industry Style: Cyclical, Value, Infrastructure
High GrowthFCF CAGR
54.07%
Industry Style: Cyclical, Value, Infrastructure
High Growth