Verallia SA
Verallia SA Fundamental Analysis
Verallia SA (VRLA.PA) shows weak financial fundamentals with a PE ratio of 23.02, profit margin of 2.72%, and ROE of 10.50%. The company generates $3.3B in annual revenue with weak year-over-year growth of -11.47%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 9.4/100 based on profitability, valuation, growth, and balance sheet metrics. The F grade reflects weak fundamentals and significant financial concerns.
Fundamental Health Score
We analyze VRLA.PA's fundamental strength across five key dimensions:
Efficiency Score
WeakVRLA.PA struggles to generate sufficient returns from assets.
Valuation Score
ExcellentVRLA.PA trades at attractive valuation levels.
Growth Score
WeakVRLA.PA faces weak or negative growth trends.
Financial Health Score
ModerateVRLA.PA shows balanced financial health with some risks.
Profitability Score
WeakVRLA.PA struggles to sustain strong margins.
Key Financial Metrics
Is VRLA.PA Expensive or Cheap?
P/E Ratio
VRLA.PA trades at 23.02 times earnings. This indicates a fair valuation.
PEG Ratio
When adjusting for growth, VRLA.PA's PEG of -0.47 indicates potential undervaluation.
Price to Book
The market values Verallia SA at 2.38 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at 0.30 times EBITDA. This is generally considered low.
How Well Does VRLA.PA Make Money?
Net Profit Margin
For every $100 in sales, Verallia SA keeps $2.72 as profit after all expenses.
Operating Margin
Core operations generate 9.97 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $10.50 in profit for every $100 of shareholder equity.
ROA
Verallia SA generates $2.04 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Verallia SA produces operating cash flow of $484.86M, showing steady but balanced cash generation.
Free Cash Flow
Verallia SA produces free cash flow of $254.67M, offering steady but limited capital for shareholder returns and expansion.
FCF Per Share
Each share generates $2.16 in free cash annually.
FCF Yield
VRLA.PA converts 12.12% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
23.02
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
-0.47
vs 25 benchmark
P/B Ratio
Price to book value ratio
2.38
vs 25 benchmark
P/S Ratio
Price to sales ratio
0.63
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
2.59
vs 25 benchmark
Current Ratio
Current assets to current liabilities
1.009
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.11
vs 25 benchmark
ROA
Return on assets percentage
0.02
vs 25 benchmark
ROCE
Return on capital employed
0.11
vs 25 benchmark
How VRLA.PA Stacks Against Its Sector Peers
| Metric | VRLA.PA Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 23.02 | 23.78 | Neutral |
| ROE | 10.50% | 1098.00% | Weak |
| Net Margin | 2.72% | -626.00% (disorted) | Weak |
| Debt/Equity | 2.59 | 0.86 | Weak (High Leverage) |
| Current Ratio | 1.01 | 2.64 | Neutral |
| ROA | 2.04% | -8081.00% (disorted) | Weak |
VRLA.PA outperforms its industry in 0 out of 6 key metrics, but lagging in ROE.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews Verallia SA's 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
31.49%
Industry Style: Cyclical, Growth, Discretionary
High GrowthEPS CAGR
100.60%
Industry Style: Cyclical, Growth, Discretionary
High GrowthFCF CAGR
35.58%
Industry Style: Cyclical, Growth, Discretionary
High Growth