(HO) Thales S.A. - Ratings and Ratios
Defence Systems, Aerospace Avionics, Digital Security, Air Traffic Control
Dividends
| Dividend Yield | 1.42% |
| Yield on Cost 5y | 5.62% |
| Yield CAGR 5y | 18.00% |
| Payout Consistency | 89.8% |
| Payout Ratio | 72.8% |
| Risk via 5d forecast | |
|---|---|
| Volatility | 38.5% |
| Value at Risk 5%th | 59.5% |
| Relative Tail Risk | -6.08% |
| Reward TTM | |
|---|---|
| Sharpe Ratio | 1.84 |
| Alpha | 86.80 |
| CAGR/Max DD | 1.59 |
| Character TTM | |
|---|---|
| Hurst Exponent | 0.492 |
| Beta | -0.132 |
| Beta Downside | -0.203 |
| Drawdowns 3y | |
|---|---|
| Max DD | 20.55% |
| Mean DD | 7.27% |
| Median DD | 5.69% |
Description: HO Thales S.A. December 04, 2025
Thales S.A. (HO) is a French multinational that designs and delivers integrated solutions across defence & security, aerospace & space, and digital identity & security markets. Its portfolio spans advanced air-defence and combat systems, C4ISR and mission-critical communications, cyber-defence, robotics, drones, naval warfare platforms, and satellite-based services, as well as banking-payment, biometric, and IoT security offerings for civilian customers.
Key financial snapshots (FY 2023) show €20.2 bn of revenue, with the defence segment contributing roughly 55 % and the digital identity & security segment growing at a 9 % CAGR over the past three years. The company’s order backlog stood at €27 bn, reflecting strong multi-year contracts with governments and large-scale commercial partners.
Sector drivers that materially affect Thales include rising sovereign defence budgets-global defence spending is projected to rise 3.5 % YoY in 2024-and accelerated adoption of secure digital identity solutions driven by regulatory mandates (e.g., PSD2, e-ID) and the expansion of 5G/IoT ecosystems.
Thales continues to invest in high-growth technologies such as quantum-grade silicon security chips and cryogenic cooling for space payloads, positioning the firm to capture upside from the emerging satellite-as-a-service market.
For a deeper quantitative view, the ValueRay platform offers a granular breakdown of Thales valuation metrics and scenario analysis.
Piotroski VR‑10 (Strict, 0-10) 6.5
| Net Income (2.08b TTM) > 0 and > 6% of Revenue (6% = 2.43b TTM) |
| FCFTA 0.08 (>2.0%) and ΔFCFTA 0.69pp (YES ≥ +1.0pp, WARN ≥ +0.5pp) |
| NWC/Revenue -11.12% (prev 0.99%; Δ -12.11pp) (YES ≤20% & Δ≤-1pp; WARN ≤25% & Δ≤0 oder ≤40% & Δ≤-3pp) |
| CFO/TA 0.11 (>3.0%) and CFO 4.47b > Net Income 2.08b (YES >=105%, WARN >=100%) |
| Net Debt (3.48b) to EBITDA (4.79b) ratio: 0.73 <= 3.0 (WARN <= 3.5) |
| Current Ratio 0.82 (target 1.5–3.0; WARN 1.2–<1.5 or >3.0–5.0; CFO/TA gate active) |
| Outstanding Shares last Quarter (205.9m) change vs 12m ago -1.86% (target <= -2.0% for YES) |
| Gross Margin 26.07% (prev 25.98%; Δ 0.09pp) >=18% & Δ>=+0.5pp (WARN >=15% & Δ>=0) |
| Asset Turnover 109.5% (prev 75.69%; Δ 33.79pp) >=50% & Δ>=+2pp (WARN >=35% & Δ>=0) |
| Interest Coverage Ratio 6.84 (EBITDA TTM 4.79b / Interest Expense TTM 405.5m) >= 6 (WARN >= 3) |
Altman Z'' 0.23
| (A) -0.12 = (Total Current Assets 21.03b - Total Current Liabilities 25.54b) / Total Assets 38.89b |
| (B) 0.11 = Retained Earnings (Balance) 4.15b / Total Assets 38.89b |
| (C) 0.07 = EBIT TTM 2.77b / Avg Total Assets 37.04b |
| (D) 0.13 = Book Value of Equity 4.10b / Total Liabilities 31.72b |
| Total Rating: 0.23 = (6.56 * A) + (3.26 * B) + (6.72 * C) + (1.05 * D) |
ValueRay F-Score (Strict, 0-100) 77.24
| 1. Piotroski 6.50pt |
| 2. FCF Yield 5.96% |
| 3. FCF Margin 7.93% |
| 4. Debt/Equity 1.02 |
| 5. Debt/Ebitda 0.73 |
| 6. ROIC - WACC (= 24.25)% |
| 7. RoE 28.86% |
| 8. Rev. Trend 25.89% |
| 9. EPS Trend -3.36% |
What is the price of HO shares?
Over the past week, the price has changed by +16.84%, over one month by +18.28%, over three months by +3.60% and over the past year by +95.44%.
Is HO a buy, sell or hold?
What are the forecasts/targets for the HO price?
| Issuer | Target | Up/Down from current |
|---|---|---|
| Wallstreet Target Price | 275 | 2.4% |
| Analysts Target Price | - | - |
| ValueRay Target Price | 353.6 | 31.7% |
HO Fundamental Data Overview January 06, 2026
Market Cap EUR = 50.57b (50.57b EUR * 1.0 EUR.EUR)
P/E Trailing = 48.4449
P/E Forward = 19.3424
P/S = 2.3687
P/B = 6.765
P/EG = 1.8789
Beta = 0.124
Revenue TTM = 40.55b EUR
EBIT TTM = 2.77b EUR
EBITDA TTM = 4.79b EUR
Long Term Debt = 4.03b EUR (estimated: total debt 7.31b - short term 3.28b)
Short Term Debt = 3.28b EUR (from shortTermDebt, last quarter)
Debt = 7.31b EUR (from shortLongTermDebtTotal, last quarter)
Net Debt = 3.48b EUR (from netDebt column, last quarter)
Enterprise Value = 54.00b EUR (50.57b + Debt 7.31b - CCE 3.89b)
Interest Coverage Ratio = 6.84 (Ebit TTM 2.77b / Interest Expense TTM 405.5m)
FCF Yield = 5.96% (FCF TTM 3.22b / Enterprise Value 54.00b)
FCF Margin = 7.93% (FCF TTM 3.22b / Revenue TTM 40.55b)
Net Margin = 5.12% (Net Income TTM 2.08b / Revenue TTM 40.55b)
Gross Margin = 26.07% ((Revenue TTM 40.55b - Cost of Revenue TTM 29.98b) / Revenue TTM)
Gross Margin QoQ = 26.39% (prev 25.86%)
Tobins Q-Ratio = 1.39 (Enterprise Value 54.00b / Total Assets 38.89b)
Interest Expense / Debt = 1.59% (Interest Expense 116.2m / Debt 7.31b)
Taxrate = 24.19% (204.9m / 846.9m)
NOPAT = 2.10b (EBIT 2.77b * (1 - 24.19%))
Current Ratio = 0.82 (Total Current Assets 21.03b / Total Current Liabilities 25.54b)
Debt / Equity = 1.02 (Debt 7.31b / totalStockholderEquity, last quarter 7.14b)
Debt / EBITDA = 0.73 (Net Debt 3.48b / EBITDA 4.79b)
Debt / FCF = 1.08 (Net Debt 3.48b / FCF TTM 3.22b)
Total Stockholder Equity = 7.19b (last 4 quarters mean from totalStockholderEquity)
RoA = 5.34% (Net Income 2.08b / Total Assets 38.89b)
RoE = 28.86% (Net Income TTM 2.08b / Total Stockholder Equity 7.19b)
RoCE = 24.71% (EBIT 2.77b / Capital Employed (Equity 7.19b + L.T.Debt 4.03b))
RoIC = 29.23% (NOPAT 2.10b / Invested Capital 7.19b)
WACC = 4.98% (E(50.57b)/V(57.88b) * Re(5.53%) + D(7.31b)/V(57.88b) * Rd(1.59%) * (1-Tc(0.24)))
Discount Rate = 5.53% (= CAPM, Blume Beta Adj.) -> floored to rf + 0.7*ERP = 8.05%
Shares Correlation 3-Years: -33.33 | Cagr: -0.62%
[DCF Debug] Terminal Value 78.82% ; FCFE base≈3.00b ; Y1≈3.11b ; Y5≈3.55b
Fair Price DCF = 303.9 (DCF Value 62.44b / Shares Outstanding 205.5m; 5y FCF grow 3.96% → 3.0% )
EPS Correlation: -3.36 | EPS CAGR: -57.45% | SUE: 0.0 | # QB: 0
Revenue Correlation: 25.89 | Revenue CAGR: 3.58% | SUE: 0.12 | # QB: 0
EPS next Year (2026-12-31): EPS=10.89 | Chg30d=-0.053 | Revisions Net=-3 | Growth EPS=+16.9% | Growth Revenue=+7.5%