Safran SA - Revision history

>Archierjeremy: /* ESG Performance and Sustainability Analysis */

2023-08-21T13:11:10Z

ESG Performance and Sustainability Analysis

← Older revision		Revision as of 14:11, 21 August 2023
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	Sustainalytics conducts sustainability assessments for listed companies, evaluating their environmental, social, and governance performance. The assigned rating is derived from an ESG risk assessment, where the lowest score signifies the best extra-financial performance.		Sustainalytics conducts sustainability assessments for listed companies, evaluating their environmental, social, and governance performance. The assigned rating is derived from an ESG risk assessment, where the lowest score signifies the best extra-financial performance.
	{\| class="wikitable"		{\| class="wikitable"
	\|+ ESG Risk Assessment (Environment, Social, and Governance)<ref>https://finance.yahoo.com/quote/~~UBS~~/sustainability/</ref>		\|+ ESG Risk Assessment (Environment, Social, and Governance)<ref>https://fr.finance.yahoo.com/quote/SAF.PA/sustainability/</ref>
	\|-		\|-
	! Total ESG Risk Score		! Total ESG Risk Score

>Archierjeremy: /* ESG Performance and Sustainability Analysis */

2023-08-21T13:10:14Z

ESG Performance and Sustainability Analysis

← Older revision		Revision as of 14:10, 21 August 2023
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	Sustainalytics conducts sustainability assessments for listed companies, evaluating their environmental, social, and governance performance. The assigned rating is derived from an ESG risk assessment, where the lowest score signifies the best extra-financial performance.		Sustainalytics conducts sustainability assessments for listed companies, evaluating their environmental, social, and governance performance. The assigned rating is derived from an ESG risk assessment, where the lowest score signifies the best extra-financial performance.
	{\| class="wikitable"		{\| class="wikitable"
	\|+ ESG Risk Assessment (Environment, Social, and Governance)<ref>https://finance.yahoo.com/quote/~~SAF.PA~~/sustainability/</ref>		\|+ ESG Risk Assessment (Environment, Social, and Governance)<ref>https://finance.yahoo.com/quote/UBS/sustainability/</ref>
	\|-		\|-
	! Total ESG Risk Score		! Total ESG Risk Score

>Archierjeremy: /* What's the Current Value of Safran? */

2023-08-09T09:42:06Z

What's the Current Value of Safran?

← Older revision		Revision as of 10:42, 9 August 2023
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	! colspan="4" \|Safran Current Valuation - July 2023		! colspan="4" \|Safran Current Valuation - July 2023
	\|-		\|-
	\|Share Price (@30/06)		\|Share Price (@30/07)
	\|[€]		\|[€]
	\|		\|

>Archierjeremy: /* What's the Current Value of Safran */

2023-08-09T09:38:22Z

What's the Current Value of Safran

← Older revision		Revision as of 10:38, 9 August 2023
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	== Valuation ==		== Valuation ==
	===What's the Current Value of Safran===		===What's the Current Value of Safran?===
	As of 26th July 2023, the stock of Safran closed at 144.82€ per share, demonstrating a steady recovery from the impact of the Covid-19 pandemic. The current stock price is approaching its historical peak value of 148.45€, which was recorded in November 2019, indicating positive momentum in the market.		As of 26th July 2023, the stock of Safran closed at 144.82€ per share, demonstrating a steady recovery from the impact of the Covid-19 pandemic. The current stock price is approaching its historical peak value of 148.45€, which was recorded in November 2019, indicating positive momentum in the market.
	{\| class="wikitable"		{\| class="wikitable"

>Archierjeremy: /* Previous Four Years */

2023-08-09T09:36:17Z

Previous Four Years

← Older revision		Revision as of 10:36, 9 August 2023
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	==== Financial Performance Analysis ====		==== Financial Performance Analysis ====
	Safran has experienced a downturn in its financial performance over the last few years, and several factors may have contributed to this decline.		Safran has experienced a downturn in its financial performance over the last few years, and several factors may have contributed to this decline.
	[[File:Safran metrics.png\|center\|thumb\|500x500px]]		[[File:Safran metrics.png\|center\|thumb\|500x500px\|Safran Financial Performance Summary (2019-2022)]]
	The first significant cause contributing to Safran's recent poor results is the Covid-19 pandemic, which led to a drastic shutdown in air traffic. As international travel and aviation activities were severely restricted, demand for aircraft engines and related products declined substantially, affecting Safran's revenue and profitability.		The first significant cause contributing to Safran's recent poor results is the Covid-19 pandemic, which led to a drastic shutdown in air traffic. As international travel and aviation activities were severely restricted, demand for aircraft engines and related products declined substantially, affecting Safran's revenue and profitability.

>Archierjeremy: /* Reference */

2023-08-01T13:12:42Z

Reference

← Older revision		Revision as of 14:12, 1 August 2023
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	</syntaxhighlight>		</syntaxhighlight>

	== ~~Reference~~ ==		== References ==
	__INDEX__		__INDEX__

>Archierjeremy: /* Monte Carlo Simulations */

2023-07-31T10:33:43Z

Monte Carlo Simulations

← Older revision		Revision as of 11:33, 31 July 2023
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	== Monte Carlo Simulations ==		== Monte Carlo Simulations ==

			=== Data ===
	Introducing our cutting-edge Monte Carlo simulation for Safran's stock price analysis! By harnessing the power of this advanced computational method, we aim to provide you with invaluable insights into the potential behavior of Safran's stocks over time.		Introducing our cutting-edge Monte Carlo simulation for Safran's stock price analysis! By harnessing the power of this advanced computational method, we aim to provide you with invaluable insights into the potential behavior of Safran's stocks over time.
	[[File:Sfran stock.png\|none\|thumb\|500x500px\|Historical price of Safran's equity]]		[[File:Sfran stock.png\|none\|thumb\|500x500px\|Historical price of Safran's equity]]
	Our Monte Carlo simulation involves running thousands of random simulations based on a variety of input variables, including historical price data, volatility, and other essential market factors. Through this approach, we generate a comprehensive probability distribution of possible outcomes, enabling you to assess the potential risk and returns associated with investing in Safran.		Our Monte Carlo simulation involves running thousands of random simulations based on a variety of input variables, including historical price data, volatility, and other essential market factors. Through this approach, we generate a comprehensive probability distribution of possible outcomes, enabling you to assess the potential risk and returns associated with investing in Safran.
	[[File:Log distr.png\|none\|thumb\|400x400px\|Logarithmic distribution of past prices]]		[[File:Log distr.png\|none\|thumb\|400x400px\|Logarithmic distribution of past prices]]

			=== Simulations ===
	With our simulation, you can make data-driven decisions and gain a deeper understanding of the uncertainty surrounding the stock's performance. Embrace the future of equity research and explore the vast range of possibilities to optimize your investment strategies effectively.		With our simulation, you can make data-driven decisions and gain a deeper understanding of the uncertainty surrounding the stock's performance. Embrace the future of equity research and explore the vast range of possibilities to optimize your investment strategies effectively.
	[[File:MC simu.png\|none\|thumb\|500x500px\|Price paths of Safran's stock 50 days in the future for 100 simulations]]		[[File:MC simu.png\|none\|thumb\|500x500px\|Price paths of Safran's stock 50 days in the future for 100 simulations]]

>Archierjeremy: /* Valuation */

2023-07-31T10:19:15Z

Valuation

Show changes

>Archierjeremy: /* What's the expected return of an Investment in the Company? */

2023-07-30T20:07:48Z

What's the expected return of an Investment in the Company?

← Older revision		Revision as of 21:07, 30 July 2023
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	Based on our DCF model and the current market value, the Stockhub users estimate that the expected return of an investment in Safran over the next five years is approximately '''5.21%'''. In practical terms, this means that a £1,000 investment in Safran is projected to grow to £1,052.10 in five years' time.		Based on our DCF model and the current market value, the Stockhub users estimate that the expected return of an investment in Safran over the next five years is approximately '''5.21%'''. In practical terms, this means that a £1,000 investment in Safran is projected to grow to £1,052.10 in five years' time.

	Assuming that a suitable return level over five years is 10% per year and achieves its expected return level (of 5.21%), then an investment in the company is considered to be an 'unsuitable' one.		Assuming that a suitable return level over five years is 10% per year and achieves its expected return level (of 5.21%), then an investment in the company is considered to be an '''<nowiki/>'unsuitable'''' one.

	== Appendix ==		== Appendix ==

>Archierjeremy: /* What's the Current Value of Safran */

2023-07-30T20:06:22Z

What's the Current Value of Safran

← Older revision		Revision as of 21:06, 30 July 2023
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	The company is renowned for its commitment to innovation and excellence. Operating across aircraft propulsion, aircraft equipment, and defense segments, Safran delivers cutting-edge solutions that cater to the evolving needs of the aviation and defense industries worldwide. With a strong focus on research and development, the company continuously pushes the boundaries of technology, striving to enhance the performance, efficiency, and sustainability of its products while fostering collaborative industry partnerships to drive progress in these domains.<ref name=":0" />		The company is renowned for its commitment to innovation and excellence. Operating across aircraft propulsion, aircraft equipment, and defense segments, Safran delivers cutting-edge solutions that cater to the evolving needs of the aviation and defense industries worldwide. With a strong focus on research and development, the company continuously pushes the boundaries of technology, striving to enhance the performance, efficiency, and sustainability of its products while fostering collaborative industry partnerships to drive progress in these domains.<ref name=":0" />

			Assuming that Safran implements certain growth strategies and other relevant assumptions, the expected return of an investment in the company over the next five years is approximately 5.21%. This translates to an annual return of around 1.04%. In practical terms, a £100,000 investment in Safran is projected to grow to approximately £105,210 in five years' time.

	== Operations ==		== Operations ==
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	#'''Trading Comps''': The negative income and EBITDA figures made it impractical to apply the P/E or EV/EBITDA ratios in this case. This straightforward analysis makes it evident that the company is considered '''overvalued''' when utilizing the PB ratio. The current market value per share is 144.82€, whereas our analysis, based on the PB ratio, estimates it to be '''101.87€.'''		#'''Trading Comps''': The negative income and EBITDA figures made it impractical to apply the P/E or EV/EBITDA ratios in this case. This straightforward analysis makes it evident that the company is considered '''overvalued''' when utilizing the PB ratio. The current market value per share is 144.82€, whereas our analysis, based on the PB ratio, estimates it to be '''101.87€.'''
	#'''Dividend Discount Model''': In 2019, Safran encountered challenges that led to the inability to pay dividends. However, the company has demonstrated a consistent track record of paying fair dividends in the preceding years. To assess Safran's valuation, we utilized the Gordon Growth Model (GGM) by projecting the past dividend growth rate to estimate the 2023 dividend. The GGM valuation resulted in a per-share value of '''19.67€'''. Assuming market efficiency, i.e. the current share price is correct, the adequate cost of equity of Safran would be '''2.64%'''.		#'''Dividend Discount Model''': In 2019, Safran encountered challenges that led to the inability to pay dividends. However, the company has demonstrated a consistent track record of paying fair dividends in the preceding years. To assess Safran's valuation, we utilized the Gordon Growth Model (GGM) by projecting the past dividend growth rate to estimate the 2023 dividend. The GGM valuation resulted in a per-share value of '''19.67€'''. Assuming market efficiency, i.e. the current share price is correct, the adequate cost of equity of Safran would be '''2.64%'''.

			=== What's the expected return of an Investment in the Company? ===
			Based on our DCF model and the current market value, the Stockhub users estimate that the expected return of an investment in Safran over the next five years is approximately '''5.21%'''. In practical terms, this means that a £1,000 investment in Safran is projected to grow to £1,052.10 in five years' time.

			Assuming that a suitable return level over five years is 10% per year and achieves its expected return level (of 5.21%), then an investment in the company is considered to be an 'unsuitable' one.

	== Appendix ==		== Appendix ==