Thales S.A. (HO.PA) Valuation

Valuation

Model-based estimates, not advice. The DCF is the discounted-cash-flow value per share; compare it with the price, not as a target.

DCF fair value

+0.7%

€231.56

vs €229.90 price

Levered DCF

€452.87

After debt service

Piotroski score

8 / 9

Strong

Altman Z-score

1.7

Distress zone

Rating

B+

Overall 3 / 5

Ratios by fiscal year

Margins and yields are shares of revenue, equity or price; multiples are ×.

Metric	FY2025	FY2024	FY2023	FY2022	FY2021	FY2020	FY2019	FY2018
P/E	28.2×	20.07×	27.28×	22.55×	14.61×	33×	17.52×	22.08×
P/B	5.93×	3.79×	4.09×	3.52×	2.46×	3.11×	3.61×	3.8×
P/S	2.13×	1.38×	1.52×	1.44×	0.98×	0.94×	1.07×	1.37×
EV / EBITDA	14.79×	11.81×	13.18×	10.22×	7.73×	10.68×	9.32×	9.87×
Gross margin	26.4%	26.1%	25.9%	25.4%	24.9%	23.2%	24.6%	25.8%
Operating margin	10.0%	8.3%	8.6%	7.7%	7.1%	4.8%	7.0%	8.8%
Net margin	7.6%	6.9%	5.6%	6.4%	6.7%	2.8%	6.1%	6.2%
Current ratio	0.84×	0.81×	0.87×	1.01×	1.06×	1.01×	0.91×	1.16×
Debt / equity	0.77×	1.04×	1.23×	0.76×	0.91×	1.49×	1.15×	0.48×
Interest coverage	9.53×	5.87×	6.84×	21.04×	14.1×	8×	24.87×	19.03×
Dividend yield	1.7%	2.5%	2.3%	2.2%	2.6%	0.5%	2.4%	1.8%
Payout ratio	46.6%	49.9%	61.9%	50.3%	38.3%	17.6%	41.3%	38.9%

Key metrics by fiscal year

Metric	FY2025	FY2024	FY2023	FY2022	FY2021	FY2020	FY2019	FY2018
Return on equity	21.0%	18.9%	15.0%	15.6%	16.8%	9.5%	20.6%	17.2%
Return on invested capital	11.1%	7.6%	7.2%	7.4%	6.4%	4.1%	6.5%	9.6%
Return on assets	4.3%	3.5%	2.6%	3.3%	3.3%	1.5%	3.6%	3.8%
Free cash flow yield	5.6%	7.1%	3.5%	10.1%	14.2%	6.0%	6.4%	4.1%
Earnings yield	3.5%	5.0%	3.7%	4.4%	6.8%	3.0%	5.7%	4.5%
Enterprise value	€48.9B	€31.6B	€32.4B	€25.6B	€16.8B	€18.5B	€23B	€18.8B
Net debt / EBITDA	0.51×	1.14×	1.81×	0.15×	0.4×	1.5×	1.35×	-1.53×
Cash conversion cycle (days)	240	227	210	198	199	207	84	149