Solvay S.A. (SOLB.BR) 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

+26.0%

€29.95

vs €23.77 price

Levered DCF

€59.29

After debt service

Piotroski score

5 / 9

Average

Altman Z-score

1.59

Distress zone

Rating

B-

Overall 2 / 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	93.66×	14.7×	1.38×	1.33×	2.89×	-2.37×	-34.75×	2.72×
P/B	2.78×	2.44×	2.29×	0.24×	0.31×	0.36×	0.29×	0.22×
P/S	0.6×	0.64×	0.48×	0.16×	0.24×	0.27×	0.25×	0.21×
EV / EBITDA	5.61×	6.41×	8.55×	2.33×	2.64×	2.91×	5.61×	2.62×
Gross margin	21.1%	22.3%	22.9%	25.1%	25.6%	25.8%	26.6%	26.9%
Operating margin	10.1%	13.4%	-1.9%	14.6%	12.6%	9.4%	11.6%	10.3%
Net margin	0.6%	4.3%	34.7%	11.9%	8.3%	-11.2%	-0.7%	7.6%
Current ratio	1.17×	1.3×	1.24×	1.44×	1.24×	1.62×	1.53×	1.68×
Debt / equity	2.13×	1.6×	1.73×	0.28×	0.38×	0.49×	0.47×	0.36×
Interest coverage	4.86×	6.36×	-1.62×	19.86×	13.46×	4.77×	5.22×	5.59×
Dividend yield	9.0%	7.8%	14.7%	16.4%	15.7%	15.0%	15.4%	17.6%
Payout ratio	846.7%	114.8%	20.3%	21.9%	45.5%	-35.4%	-539.2%	47.9%

Key metrics by fiscal year

Metric	FY2025	FY2024	FY2023	FY2022	FY2021	FY2020	FY2019	FY2018
Return on equity	2.9%	16.7%	165.6%	18.0%	10.8%	-15.2%	-0.8%	8.2%
Return on invested capital	2.4%	10.1%	0.4%	12.9%	8.5%	6.4%	-7.6%	5.5%
Return on assets	0.5%	3.3%	29.8%	9.2%	4.7%	-6.5%	-0.4%	3.9%
Free cash flow yield	14.2%	10.1%	29.3%	43.2%	31.5%	27.3%	34.7%	38.0%
Earnings yield	1.1%	6.8%	72.5%	75.0%	34.6%	-42.2%	-2.9%	36.7%
Enterprise value	€4.5B	€4.9B	€4.5B	€4.6B	€5.1B	€5.1B	€6.5B	€5B
Net debt / EBITDA	2.05×	2.1×	3.06×	1.04×	1.23×	1.43×	3.21×	1.4×
Cash conversion cycle (days)	59	71	45	44	41	54	60	57