AI Spotlight on SW
Company Description
Sodexo S.A. develops, manages, and delivers on-site, benefits and rewards, and personal and home services worldwide.It provides various on-site services, including business and administration, which covers corporate, energy and resources, government and agencies, sports and leisure, and other customers; healthcare and seniors; and education services comprising schools and universities.The company also provides food services; benefits and rewards services, such as employee benefits, incentive and recognition programs, employee mobility, expense management, and public benefits; and personal and home services, including childcare, concierge, and in-home care services.
In addition, it offers facility management services, including cleaning, front of house, security, ground maintenance, mailroom, document management, waste management, laundry, transportation, general repairs, technical maintenance, energy management, asset management, and project management services.The company was formerly known as Sodexho Alliance and changed its name to Sodexo S.A. in 2008.Sodexo S.A. was founded in 1966 and is headquartered in Issy-les-Moulineaux, France.
Market Data
Last Price | 72.2 |
Change Percentage | 1.40% |
Open | 70.45 |
Previous Close | 71.2 |
Market Cap ( Millions) | 10569 |
Volume | 329595 |
Year High | 89.4 |
Year Low | 67.35 |
M A 50 | 76.07 |
M A 200 | 80.43 |
Financial Ratios
FCF Yield | 9.10% |
Dividend Yield | 12.31% |
ROE | 4.10% |
Debt / Equity | 144.59% |
Net Debt / EBIDTA | 222.30% |
Price To Book | 2.8 |
Price Earnings Ratio | 62.94 |
Price To FCF | 10.99 |
Price To sales | 0.44 |
EV / EBITDA | 9.28 |
News
- Feb -03 - Dividend Stocks To Consider In February 2025
- Feb -03 - Sodexo Live! to offer a taste of New Orleans for US Super Bowl LIX
- Jan -20 - Sodexo - Interim report on liquidity contract as of December 31, 2024
- Jan -07 - Sodexo Q1 Fiscal 2025 Revenues: a soft start to the year, as expected
- Jan -06 - Sodexo - Monthly disclosure on share capital and voting rights on December 31, 2024
- Jan -06 - Sodexo to expand Food Hive stores to 100 US colleges by 2026
- Jan -03 - Sodexo plans nearly 100 tech-forward campus c-stores
- Dec -17 - Sodexo: Combined Shareholders’ Meeting of December 17, 2024
- Dec -17 - 3 Dividend Stocks To Consider With Yields Up To 9.6%
- Dec -04 - Sodexo : Monthly disclosure on share capital and voting rights on November 30, 2024
- Dec -03 - Sodexo - Disclosure of transactions in own shares carried out from November 25 to November 27, 2024
- Dec -03 - Sodexo UK & Ireland undergoes leadership transition
- Dec -02 - Compass Group, Aramark, Sodexo boost revenue, tech in FY24
- Nov -27 - Sodexo - Disclosure of transactions in own shares carried out on November 22, 2024
- Nov -26 - December 17, 2024 Sodexo combined shareholders meeting - Availability of the preparatory documents
- Nov -19 - Sodexo - Disclosure of transactions in own shares carried out from November 11 to November 15, 2024
- Nov -18 - Sodexo rewards its chefs in the international sustainable cooking competition Cook for Change
- Nov -14 - International Sustainable Food Barometer (2nd edition) - Inform and Inspire: Two Global Levers Driven by Sodexo to Accelerate a Transition toward Sustainable Food
- Nov -13 - Sodexo - Disclosure of transactions in own shares carried out from November 4 to November 8, 2024
- Nov -13 - Sodexo expands InReach offerings with CRH Catering acquisition
Business Breakdown
Expected Mid-Term Growth
Segment n°1 -> Business & Administrations
Expected Growth : 3.5 %
What the company do ?
Business & Administrations from Sodexo S.A. provides facilities management and food services to businesses, schools, and governments, enhancing quality of life.
Why we expect these perspectives ?
Sodexo's Business & Administrations segment growth of 3.5% is driven by increasing demand for facilities management services, expansion in emerging markets, and a growing need for energy and resource management solutions. Additionally, the segment benefits from the company's expertise in providing integrated services to clients, leading to long-term contracts and steady revenue growth.
Segment n°2 -> Healthcare & Seniors
Expected Growth : 4.5 %
What the company do ?
Healthcare & Seniors from Sodexo S.A. provides food and facilities management services to hospitals, clinics, and senior living communities, enhancing patient and resident experiences.
Why we expect these perspectives ?
Sodexo's Healthcare & Seniors segment growth of 4.5% is driven by increasing demand for elderly care, rising healthcare expenditures, and growing need for nutrition and wellness services. Additionally, the segment benefits from Sodexo's expertise in patient experience, clinical technology, and facility management, as well as its ability to provide integrated services to healthcare providers.
Segment n°3 -> Education
Expected Growth : 3.8 %
What the company do ?
Sodexo S.A. offers education and training programs for its employees, focusing on leadership development, language skills, and industry-specific knowledge.
Why we expect these perspectives ?
Sodexo's Education segment growth of 3.8% is driven by increasing demand for outsourced food and facilities management services in schools and universities, fueled by government initiatives to improve educational infrastructure and rising student enrollment rates. Additionally, the company's focus on digital innovation, sustainability, and customer experience has enhanced its competitive edge, contributing to the segment's growth.
Sodexo S.A. Products
Product Range | What is it ? |
---|---|
Corporate Services | Sodexo's Corporate Services provide a range of solutions to improve the quality of life of employees in the workplace, including food services, facilities management, and benefits and rewards services. |
Healthcare Services | Sodexo's Healthcare Services provide a range of solutions to improve the quality of life of patients and residents in healthcare facilities, including food services, facilities management, and patient satisfaction services. |
Education Services | Sodexo's Education Services provide a range of solutions to improve the quality of life of students and staff in educational institutions, including food services, facilities management, and student life services. |
Government Services | Sodexo's Government Services provide a range of solutions to improve the quality of life of military personnel and government employees, including food services, facilities management, and base operations services. |
Remote Sites Services | Sodexo's Remote Sites Services provide a range of solutions to improve the quality of life of workers in remote locations, including food services, facilities management, and camp management services. |
Benefits and Rewards Services | Sodexo's Benefits and Rewards Services provide a range of solutions to improve employee engagement and motivation, including employee benefits, rewards, and recognition programs. |
Sodexo S.A.'s Porter Forces
Threat Of Substitutes
Sodexo S.A. operates in a highly competitive market, but the threat of substitutes is medium due to the company's diversified portfolio of services and its ability to adapt to changing customer needs.
Bargaining Power Of Customers
Sodexo S.A. has a large and diverse customer base, but the bargaining power of customers is high due to the company's dependence on a few large clients and the competitive nature of the industry.
Bargaining Power Of Suppliers
Sodexo S.A. has a diversified supply chain and is not heavily dependent on a few suppliers, reducing the bargaining power of suppliers.
Threat Of New Entrants
The threat of new entrants is low due to the high barriers to entry in the industry, including the need for significant capital investment and the complexity of providing integrated facilities management services.
Intensity Of Rivalry
The intensity of rivalry is high due to the competitive nature of the industry, with many established players competing for market share.
Strength
Capital Structure
Value | |
---|---|
Debt Weight | 58.43% |
Debt Cost | 3.95% |
Equity Weight | 41.57% |
Equity Cost | 7.69% |
WACC | 5.50% |
Leverage | 140.56% |
Sodexo S.A. : Quality Control
Sodexo S.A. passed 5 out of 9 key points:
Historical Valuation
Price/Earnings Ratio
Margin Valuation
Peers Valuation
Competitors
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