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Lectra

ENXTPA:LSS
Snowflake Description

Flawless balance sheet second-rate dividend payer.

The Snowflake is generated from 30 checks in 5 different areas, read more below.
LSS
ENXTPA
€718M
Market Cap
  1. Home
  2. FR
  3. Software
Company description

Lectra SA provides technologies for fashion, automotive, and furniture. The last earnings update was 42 days ago. More info.


Add to Portfolio Compare Print
  • Lectra has significant price volatility in the past 3 months.
LSS Share Price and Events
7 Day Returns
-0.2%
ENXTPA:LSS
2.1%
FR Software
1.2%
FR Market
1 Year Returns
14.9%
ENXTPA:LSS
30.3%
FR Software
20.8%
FR Market
LSS Shareholder Return
  7 Day 30 Day 90 Day 1 Year 3 Year 5 Year
Lectra (LSS) -0.2% -2.8% 25.6% 14.9% 30.4% 138.8%
FR Software 2.1% 4.1% 11.7% 30.3% 91.1% 177.5%
FR Market 1.2% -0.7% 3.6% 20.8% 27.4% 50.8%
1 Year Return vs Industry and Market
  • LSS underperformed the Software industry which returned 30.3% over the past year.
  • LSS underperformed the Market in France which returned 20.8% over the past year.
Price Volatility
LSS
Industry
5yr Volatility vs Market
Related Companies

Value

 Is Lectra undervalued based on future cash flows and its price relative to the stock market?

Value is all about what a company is worth versus what price it is available for. If you went into a grocery store and all the bananas were on sale at half price, they could be considered undervalued.
INTRINSIC VALUE BASED ON FUTURE CASH FLOWS
Here we compare the current share price of Lectra to its discounted cash flow analysis.value.

The discounted cash flow value is simply looking at what the company is worth today, based on estimates of how much money it is expected to make in the future.
Raw Data

Below are the data sources, inputs and calculation used to determine the intrinsic value for Lectra.

ENXTPA:LSS Discounted Cash Flow Data Sources
Data Point Source Value
Valuation Model 2 Stage Free Cash Flow to Equity
Levered Free Cash Flow Average of 3 Analyst Estimates (S&P Global) See below
Discount Rate (Cost of Equity) See below 6.6%
Perpetual Growth Rate 10-Year FR Government Bond Rate -0.1%

An important part of a discounted cash flow is the discount rate, below we explain how it has been calculated.

Calculation of Discount Rate/ Cost of Equity for ENXTPA:LSS
Data Point Calculation/ Source Result
Risk-Free Rate 10-Year FR Govt Bond Rate -0.1%
Equity Risk Premium S&P Global 6.1%
Software Unlevered Beta Simply Wall St/ S&P Global 1.14
Re-levered Beta = Unlevered beta (1 + (1- tax rate) (Debt/Equity))
= 1.136 (1 + (1- 33%) (2.74%))
1.105
Levered Beta Levered Beta limited to 0.8 to 2.0
(practical range for a stable firm)
1.11
Discount Rate/ Cost of Equity = Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= -0.11% + (1.105 * 6.07%)
6.6%

Discounted Cash Flow Calculation for ENXTPA:LSS using 2 Stage Free Cash Flow to Equity Model

The calculations below outline how an intrinsic value for Lectra is arrived at by discounting future cash flows to their present value using the 2 stage method. We try to start with analysts estimates of free cash flow, however if these are not available we use the most recent financial results. In the 1st stage we continue to grow the free cash flow over a 10 year period, with the growth rate trending towards the perpetual growth rate used in the 2nd stage. The 2nd stage assumes the company grows at a stable rate into perpetuity.

Note: Free cash flow to equity valuations ignore the company's cash or debt.

ENXTPA:LSS DCF 1st Stage: Next 10 year cash flow forecast
Levered FCF (EUR, Millions) Source Present Value
Discounted (@ 6.6%)
2020 29.80 Analyst x3 27.96
2021 34.40 Analyst x3 30.27
2022 34.21 Est @ -0.55% 28.24
2023 34.07 Est @ -0.42% 26.38
2024 33.95 Est @ -0.33% 24.67
2025 33.86 Est @ -0.26% 23.08
2026 33.79 Est @ -0.22% 21.60
2027 33.73 Est @ -0.18% 20.23
2028 33.67 Est @ -0.16% 18.95
2029 33.62 Est @ -0.15% 17.75
Present value of next 10 years cash flows €239.00
ENXTPA:LSS DCF 2nd Stage: Terminal Value
Calculation Result
Terminal Value = FCF2029 × (1 + g) ÷ (Discount Rate – g)
= €33.62 × (1 + -0.11%) ÷ (6.6% – -0.11%)
€500.70
Present Value of Terminal Value = Terminal Value ÷ (1 + r)10
= €500.70 ÷ (1 + 6.6%)10
€264.29
ENXTPA:LSS Total Equity Value
Calculation Result
Total Equity Value = Present value of next 10 years cash flows + Terminal Value
= €239.00 + €264.29
€503.29
Equity Value per Share
(EUR)
= Total value / Shares Outstanding
= €503.29 / 32.07
€15.69
ENXTPA:LSS Discount to Share Price
Calculation Result
Value per share (EUR) From above. €15.69
Current discount Discount to share price of €22.40
= -1 x (€22.40 - €15.69) / €15.69
-42.8%

Learn more about our DCF calculations in Simply Wall St’s analysis model .

  • The current share price of Lectra is above its future cash flow value.
Often investors are willing to pay a premium for a company that has a high dividend or the potential for future growth.
PRICE RELATIVE TO MARKET
We can also value a company based on what the stock market is willing to pay for it. This is similar to the price of fruit (e.g. Mangoes or Avocados) increasing when they are out of season, or how much your home is worth.

The amount the stock market is willing to pay for Lectra's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are Lectra's earnings available for a low price, and how does this compare to other companies in the same industry?
Raw Data
ENXTPA:LSS PE (Price to Earnings) Ratio Data Sources
Data Point Source Value
Earnings Per Share * Company Filings (2019-09-30) in EUR €0.94
ENXTPA:LSS Share Price ** ENXTPA (2019-12-11) in EUR €22.4
France Software Industry PE Ratio Median Figure of 18 Publicly-Listed Software Companies 34.77x
France Market PE Ratio Median Figure of 406 Publicly-Listed Companies 17.67x

* Trailing twelve months (TTM) annual GAAP earnings per share excluding extraordinary items.

** Primary Listing of Lectra.

ENXTPA:LSS PE (Price to Earnings) Ratio Calculation
Calculation Outcome
PE Ratio

= ENXTPA:LSS Share Price ÷ EPS (both in EUR)

= 22.4 ÷ 0.94

23.87x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Lectra is good value based on earnings compared to the FR Software industry average.
  • Lectra is overvalued based on earnings compared to the France market.
Price based on expected Growth
Does Lectra's expected growth come at a high price?
Raw Data
ENXTPA:LSS PEG (Price to Earnings to Growth) Ratio Data Sources
Data Point Source Value
PE Ratio See PE Ratio Section 23.87x
Net Income Annual Growth Rate See Future Growth Section.
Line of Best Fit* through Consensus Estimate Earnings of 3 Analysts
8.2%per year
France Software Industry PEG Ratio Median Figure of 15 Publicly-Listed Software Companies 2.18x
France Market PEG Ratio Median Figure of 254 Publicly-Listed Companies 1.53x

*Line of best fit is calculated by linear regression .

ENXTPA:LSS PEG (Price to Earnings to Growth) Ratio Calculation
Calculation Outcome
PEG Ratio

= PE Ratio ÷ Net Income Annual Growth Rate

= 23.87x ÷ 8.2%

2.9x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Lectra is poor value based on expected growth next year.
Price based on value of assets
What value do investors place on Lectra's assets?
Raw Data
ENXTPA:LSS PB (Price to Book) Ratio Data Sources
Data Point Source Value
Book Value per Share Company Filings (2019-09-30) in EUR €5.46
ENXTPA:LSS Share Price * ENXTPA (2019-12-11) in EUR €22.4
France Software Industry PB Ratio Median Figure of 27 Publicly-Listed Software Companies 2.04x
France Market PB Ratio Median Figure of 594 Publicly-Listed Companies 1.45x
ENXTPA:LSS PB (Price to Book) Ratio Calculation
Calculation Outcome
PB Ratio

= ENXTPA:LSS Share Price ÷ Book Value per Share (both in EUR)

= 22.4 ÷ 5.46

4.1x

* Primary Listing of Lectra.

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Lectra is overvalued based on assets compared to the FR Software industry average.
X
Value checks
We assess Lectra's value by looking at:
  1. Is the discounted cash flow value less than 20%, or 40% of the share price? (2 checks) ( Click here or on bar chart for details of DCF calculation. )
  2. Is the PE ratio less than the market average, and/ or less than the Software industry average (and greater than 0)? (2 checks)
  3. Is the PEG ratio within a reasonable range (0 to 1)? (1 check)
  4. Is the PB ratio less than the Software industry average (and greater than 0)? (1 check)
  5. Lectra has a total score of 1/6, see the detailed checks below.

    Note: We use GAAP Earnings per Share in all our calculations including PE and PEG Ratio.

    Full details on the Value part of the Simply Wall St company analysis model.

Future Performance

 How is Lectra expected to perform in the next 1 to 3 years based on estimates from 3 analysts?

The future performance of a company is measured in the same way as past performance, by looking at estimated growth and how much profit it is expected to make.

Future estimates come from professional analysts. Just like forecasting the weather, they don’t always get it right!
Annual Growth Rate
8.2%
Expected annual growth in earnings.
Earnings growth vs Low Risk Savings
Is Lectra expected to grow at an attractive rate?
  • Lectra's earnings growth is expected to exceed the low risk savings rate of -0.1%.
Growth vs Market Checks
  • Lectra's earnings growth is positive but not above the France market average.
  • Lectra's revenue growth is expected to exceed the France market average.
Annual Growth Rates Comparison
Raw Data
ENXTPA:LSS Future Growth Rates Data Sources
Data Point Source Value (per year)
ENXTPA:LSS Future Earnings Growth Rate Line of Best Fit* through Consensus Estimate Earnings of 3 Analysts 8.2%
ENXTPA:LSS Future Revenue Growth Rate Line of Best Fit* through Consensus Estimate Revenue of 3 Analysts 5%
France Software Industry Earnings Growth Rate Market Cap Weighted Average 16.2%
France Software Industry Revenue Growth Rate Market Cap Weighted Average 12.6%
France Market Earnings Growth Rate Market Cap Weighted Average 11.4%
France Market Revenue Growth Rate Market Cap Weighted Average 4.6%

*Line of best fit is calculated by linear regression .

Industry and Market average data is calculated daily.

Learn more about our growth rate calculations in Simply Wall St’s analysis model.

Analysts growth expectations
Raw Data
ENXTPA:LSS Analysts Growth Expectations Data Sources
Data Point Source Value
Past Financials Company Filings (2 months ago) See Below
Future Estimates Average of up to 3 Analyst Estimates (S&P Global) See Below
All numbers in EUR Millions and using Trailing twelve months (TTM) annual period rather than quarterly.
ENXTPA:LSS Future Estimates Data
Date (Data in EUR Millions) Revenue Cash Flow Net Income * Avg. No. Analysts
2023-12-31 343 1
2022-12-31 327 1
2021-12-31 306 52 35 3
2020-12-31 291 49 33 3
2019-12-31 279 47 30 3
2019-12-11
ENXTPA:LSS Past Financials Data
Date (Data in EUR Millions) Revenue Cash Flow Net Income *
2019-09-30 281 42 30
2019-06-30 280 36 29
2019-03-31 282 37 29
2018-12-31 283 29 29
2018-09-30 279 31 29
2018-06-30 279 33 29
2018-03-31 275 30 28
2017-12-31 277 41 29
2017-09-30 275 34 28
2017-06-30 272 41 29
2017-03-31 267 42 28
2016-12-31 260 31 27

*GAAP earnings excluding extraordinary items.

Super high growth metrics
High Growth Checks
  • Lectra's earnings are expected to grow by 8.2% yearly, however this is not considered high growth (20% yearly).
  • Lectra's revenue is expected to grow by 5% yearly, however this is not considered high growth (20% yearly).
Past and Future Earnings per Share
The accuracy of the analysts who estimate the future performance data can be gauged below. We look back 3 years and see if they were any good at predicting what actually occurred. We also show the highest and lowest estimates looking forward to see if there is a wide range.
Raw Data
ENXTPA:LSS Past and Future Earnings per Share
Data Point Source Value
Past Financials Company Filings (2 months ago) See Below
Future Estimates Average of up to 3 Analyst Estimates (S&P Global) See Below

All data from Lectra Company Filings, last reported 2 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

ENXTPA:LSS Future Estimates Data
Date (Data in EUR Millions) EPS * EPS High Estimate EPS Low Estimate Avg. No. Analysts
2023-12-31
2022-12-31
2021-12-31 1.12 1.14 1.10 2.00
2020-12-31 1.01 1.02 1.00 2.00
2019-12-31 0.92 0.94 0.90 2.00
2019-12-11
ENXTPA:LSS Past Financials Data
Date (Data in EUR Millions) EPS *
2019-09-30 0.94
2019-06-30 0.91
2019-03-31 0.92
2018-12-31 0.91
2018-09-30 0.93
2018-06-30 0.91
2018-03-31 0.89
2017-12-31 0.93
2017-09-30 0.89
2017-06-30 0.92
2017-03-31 0.90
2016-12-31 0.86

*GAAP earnings excluding extraordinary items.

Performance in 3 years
In the same way as past performance we look at the future estimated return (profit) compared to the available funds. We do this looking forward 3 years.
  • Lectra is not expected to efficiently use shareholders’ funds in the future (Return on Equity less than 20%).
X
Future performance checks
We assess Lectra's future performance by looking at:
  1. Is the annual earnings growth rate expected to beat the low risk savings rate, plus a premium to keep pace with inflation?
  2. Is the annual earnings growth rate expected to beat the average growth rate in earnings of the France market? (1 check)
  3. Is the annual revenue growth rate expected to beat the average growth rate in revenue of the France market? (1 check)
  4. Is the annual earnings growth rate expected to be above 20%? (1 check)
  5. Is the annual revenue growth rate expected to be above 20%? (1 check)
  6. Is the Return on Equity in 3 years expected to be over 20%? (1 check)
Some of the above checks will fail if the company is expected to be loss making in the relevant year.
Lectra has a total score of 2/6, see the detailed checks below.

Note 1: We use GAAP Net Income Excluding Exceptional Items for our Earnings in all our calculations.

Full details on the Future part of the Simply Wall St company analysis model.

Past Performance

  How has Lectra performed over the past 5 years?

The past performance of a company can be measured by how much growth it has experienced and how much profit it makes relative to the funds and assets it has available.
Past earnings growth
Below we compare Lectra's growth in the last year to its industry (Software).
Past Earnings growth analysis
We also check if the company has grown in the past 5 years, and whether it has maintained that growth in the year.
  • Lectra's year on year earnings growth rate has been positive over the past 5 years.
  • Lectra's 1-year earnings growth is less than its 5-year average (2.3% vs 12.2%)
  • Lectra's earnings growth has not exceeded the FR Software industry average in the past year (2.3% vs 3%).
Earnings and Revenue History
Lectra's revenue and profit over the past 5 years is shown below, any years where they have experienced a loss will show up in red.
Raw Data

All data from Lectra Company Filings, last reported 2 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

ENXTPA:LSS Past Revenue, Cash Flow and Net Income Data
Date (Data in EUR Millions) Revenue Net Income * G+A Expenses R&D Expenses
2019-09-30 280.77 29.95 141.80 21.23
2019-06-30 279.52 29.11 141.21 21.40
2019-03-31 282.36 29.09 142.58 21.41
2018-12-31 282.56 28.74 141.80 21.50
2018-09-30 279.08 29.28 141.56 21.16
2018-06-30 278.93 28.80 142.29 20.42
2018-03-31 274.91 28.17 141.61 20.16
2017-12-31 277.20 29.26 142.85 19.81
2017-09-30 275.13 28.01 143.06 18.67
2017-06-30 272.33 28.74 142.30 17.92
2017-03-31 267.44 28.03 140.85 16.72
2016-12-31 260.16 26.66 139.01 15.45
2016-09-30 252.93 26.14 136.09 15.67
2016-06-30 247.80 25.04 134.65 15.33
2016-03-31 243.98 24.80 134.22 14.72
2015-12-31 237.89 23.38 133.17 14.32
2015-09-30 233.12 20.74 131.53 14.29
2015-06-30 227.61 18.92 129.32 14.18
2015-03-31 219.81 16.50 125.99 14.10
2014-12-31 211.34 14.37 122.45 13.48
2014-09-30 206.94 12.53 121.13 12.60
2014-06-30 203.96 11.61 119.86 12.41
2014-03-31 202.34 11.15 118.07 12.22
2013-12-31 203.03 21.78 116.51 12.50
2013-09-30 201.10 22.44 115.14 12.27
2013-06-30 198.19 21.99 114.42 12.06
2013-03-31 198.97 23.18 114.05 11.68
2012-12-31 198.44 13.33 114.09 11.54

*GAAP earnings excluding extraordinary items.

Performance last year
We want to ensure a company is making the most of what it has available. This is done by comparing the return (profit) to a company's available funds, assets and capital.
  • Lectra has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).
  • Lectra used its assets more efficiently than the FR Software industry average last year based on Return on Assets.
  • Lectra's use of capital deteriorated last year versus 3 years ago (Return on Capital Employed).
X
Past performance checks
We assess Lectra's performance over the past 5 years by checking for:
  1. Has earnings increased in past 5 years? (1 check)
  2. Has the earnings growth in the last year exceeded that of the Software industry? (1 check)
  3. Is the recent earnings growth over the last year higher than the average annual growth over the past 5 years? (1 check)
  4. Is the Return on Equity (ROE) higher than 20%? (1 check)
  5. Is the Return on Assets (ROA) above industry average? (1 check)
  6. Has the Return on Capital Employed (ROCE) increased from 3 years ago? (1 check)
The above checks will fail if the company has reported a loss in the most recent earnings report. Some checks require at least 3 or 5 years worth of data.
Lectra has a total score of 2/6, see the detailed checks below.

Note: We use GAAP Net Income excluding extraordinary items in all our calculations.

Full details on the Past part of the Simply Wall St company analysis model.

Health

 How is Lectra's financial health and their level of debt?

A company's financial position is much like your own financial position, it includes everything you own (assets) and owe (liabilities).

The boxes below represent the relative size of what makes up Lectra's finances.

The net worth of a company is the difference between its assets and liabilities.
Net Worth
  • Lectra is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.
  • Lectra's cash and other short term assets cover its long term commitments.
Balance sheet
This treemap shows a more detailed breakdown of Lectra's finances. If any of them are yellow this indicates they may be out of proportion and red means they relate to one of the checks below.
Assets
Liabilities and shares
The 'shares' portion represents any funds contributed by the owners (shareholders) and any profits.
  • High level of physical assets or inventory.
  • Lectra has no debt, it does not need to be covered by short term assets.
Historical Debt
Nearly all companies have debt. Debt in itself isn’t bad, however if the debt is too high, or the company can’t afford to pay the interest on its debts this may have impacts in the future.

The graphic below shows equity (available funds) and debt, we ideally want to see the red area (debt) decreasing.

If there is any debt we look at the companies capability to repay it, and whether the level has increased over the past 5 years.
Raw Data

All data from Lectra Company Filings, last reported 2 months ago.

ENXTPA:LSS Past Debt and Equity Data
Date (Data in EUR Millions) Total Equity Total Debt Cash & Short Term Investments
2019-09-30 174.95 0.00 102.37
2019-06-30 171.95 0.00 104.01
2019-03-31 177.64 0.00 113.52
2018-12-31 170.38 0.00 102.22
2018-09-30 161.40 0.00 89.11
2018-06-30 152.49 0.00 87.00
2018-03-31 156.74 0.00 93.57
2017-12-31 151.21 0.00 98.13
2017-09-30 141.77 0.00 84.04
2017-06-30 134.41 0.00 81.09
2017-03-31 139.50 0.00 90.03
2016-12-31 132.58 0.00 75.70
2016-09-30 123.00 0.00 67.27
2016-06-30 113.86 0.00 57.83
2016-03-31 118.13 0.00 63.41
2015-12-31 112.95 0.00 59.35
2015-09-30 105.25 0.00 52.04
2015-06-30 97.97 0.00 41.54
2015-03-31 99.63 0.00 43.51
2014-12-31 94.30 0.39 43.48
2014-09-30 88.99 0.39 32.49
2014-06-30 83.35 0.39 29.25
2014-03-31 86.38 0.39 32.40
2013-12-31 83.83 0.89 29.53
2013-09-30 78.62 0.89 25.76
2013-06-30 73.86 0.89 23.34
2013-03-31 77.50 0.97 28.52
2012-12-31 65.00 6.73 20.97
  • Lectra has no debt.
  • Lectra has no debt compared to 5 years ago when it was 0.4%.
  • Lectra has no debt, it does not need to be covered by operating cash flow.
  • Lectra has no debt, therefore coverage of interest payments is not a concern.
X
Financial health checks
We assess Lectra's financial health by checking for:
  1. Are short term assets greater than short term liabilities? (1 check)
  2. Are short term assets greater than long term liabilities? (1 check)
  3. Has the debt to equity ratio increased in the past 5 years? (1 check)
  4. Is the debt to equity ratio over 40%? (1 check)
  5. Is the debt covered by operating cash flow? (1 check)
  6. Are earnings greater than 5x the interest on debt (if company pays interest at all)? (1 check)
  7. Lectra has a total score of 6/6, see the detailed checks below.
For companies that are loss making and have been so on average in the past we replace the last 2 checks with:
  1. Does cash and short term investments cover stable operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)
  2. Does cash and short term investments cover growing operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)


Full details on the Health part of the Simply Wall St company analysis model.

Dividends

 What is Lectra's current dividend yield, its reliability and sustainability?

Dividends are regular cash payments to you from the company, similar to a bank paying you interest on a savings account.
Annual Dividend Income
Dividend payments
1.79%
Current annual income from Lectra dividends. Estimated to be 2.12% next year.
If you bought €2,000 of Lectra shares you are expected to receive €36 in your first year as a dividend.
Dividend Amount
Here we look how much dividend is being paid, if any. Is it above what you can get in a savings account? It is up there with the best dividend paying companies?
  • Lectra's pays a higher dividend yield than the bottom 25% of dividend payers in France (1.49%).
  • Lectra's dividend is below the markets top 25% of dividend payers in France (4.59%).
Annualized Historical and Future Dividends
It is important to see if the dividend for a company is stable, and not wildly increasing/decreasing each year. This graph shows you the historical rate to count toward your assessment of the stock.

We also check to see if the dividend has increased in the past 10 years.
Raw Data
ENXTPA:LSS Annualized Past and Future Dividends
Data Point Source Value
Past Annualized Dividend Yield S&P Global Market Data See Below
Past Dividends per Share Company Filings/ Annualized Dividend Payments See Below
Future Dividends per Share Estimates Average of up to 3 Analyst Estimates (S&P Global) See Below
France Software Industry Average Dividend Yield Market Cap Weighted Average of 10 Stocks 0.5%
France Market Average Dividend Yield Market Cap Weighted Average of 310 Stocks 2.9%
France Minimum Threshold Dividend Yield 10th Percentile 0.9%
France Bottom 25% Dividend Yield 25th Percentile 1.5%
France Top 25% Dividend Yield 75th Percentile 4.6%

Industry and Market average data is calculated daily.

Note all dividend per share amounts are annualized and not quarterly or other period.

ENXTPA:LSS Future Dividends Estimate Data
Date (Data in €) Dividend per Share (annual) Avg. No. Analysts
2023-12-31
2022-12-31
2021-12-31 0.52 3.00
2020-12-31 0.46 3.00
2019-12-31 0.45 3.00
2019-12-11
ENXTPA:LSS Past Annualized Dividends Data
Date (Data in €) Dividend per share (annual) Avg. Yield (%)
2019-03-29 0.400 1.996
2019-02-12 0.400 1.827
2018-03-29 0.380 1.834
2018-02-12 0.380 1.665
2017-03-31 0.350 1.436
2017-02-09 0.350 1.680
2016-03-31 0.300 1.979
2016-02-11 0.300 2.327
2015-02-11 0.250 2.102
2014-03-31 0.220 2.690
2014-02-11 0.220 2.783
2013-02-12 0.220 3.678
2012-07-26 0.220 4.614
2012-02-09 0.220 4.987
2011-04-28 0.180 3.361

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Whilst dividend payments have been stable, Lectra has been paying a dividend for less than 10 years.
  • Dividend payments have increased, but Lectra only paid a dividend in the past 9 years.
Current Payout to shareholders
What portion of Lectra's earnings are paid to the shareholders as a dividend.
  • Dividends paid are well covered by earnings (2.3x coverage).
Future Payout to shareholders
  • Dividends after 3 years are expected to be well covered by earnings (2.1x coverage).
X
Income/ dividend checks
We assess Lectra's dividend by checking for:
  1. Firstly is the company paying a notable dividend (greater than 0.9%) - if not then the rest of the checks are ignored.
  2. Is current dividend yield above the bottom 25% of dividend payers? (1 check)
  3. Is current dividend yield above the top 25% of dividend payers? (1 check)
  4. Have they paid a dividend for 10 years, and during this period has the dividend been volatile (drop of more than 25%)? (1 check)
  5. If they have paid a dividend for 10 years has it increased in this time? (1 check)
  6. How sustainable is the dividend, can Lectra afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks)
  7. Lectra has a total score of 3/6, see the detailed checks below.


Full details on the Dividends part of the Simply Wall St company analysis model.

Management

 What is the CEO of Lectra's salary, the management and board of directors tenure and is there insider trading?

Management is one of the most important areas of a company. We look at unreasonable CEO compensation, how long the team and board of directors have been around for and insider trading.
CEO
Daniel Harari
COMPENSATION €724,391
AGE 64
TENURE AS CEO 17.6 years
CEO Bio

Mr. Daniel Harari has been the Chief Executive Officer of Lectra SA since May 3, 2002 and has been its Chairman of the Board since July 27, 2017. Mr. Harari has been the Chief Executive Officer of Compagnie Financière du Scribe since 1986. He served as a Director of Sales & Marketing of Lectra SA. He served as Vice President of la Société d'Etudes et de Gestion Financière Meeschaert from 1980 to 1983. He served as the Chairman and Chief Executive Officer of La Solution Informatique from 1984 to 1990 and Interleaf France from 1986 to 1989, a subsidiary of the US software publisher, both of which he founded in Paris, France. Mr. Harari served as the Chairman of the Board and Chief Executive Officer of Lectra SA from 1991. He has been a director of Compagnie Financière du Scribe since 1981. He has been an Director at Lectra SA since 1991. Mr. Harari is a graduate of the École Polytechnique and the Institut Supérieur des Affaires (Paris, coupled with the second year of the Stanford Business School MBA program, Palo Alto, CA, United States).

CEO Compensation
  • Daniel's compensation has been consistent with company performance over the past year, both up more than 20%.
  • Daniel's remuneration is about average for companies of similar size in France.
Management Team Tenure

Average tenure and age of the Lectra management team in years:

2.8
Average Tenure
55
Average Age
  • The tenure for the Lectra management team is about average.
Management Team

Daniel Harari

TITLE
Chairman & CEO
COMPENSATION
€724K
AGE
64
TENURE
17.6 yrs

Jérôme Viala

TITLE
Executive Vice President
AGE
57

Edouard Macquin

TITLE
President of Americas
AGE
53
TENURE
0.9 yrs

Véronique Zoccoletto

TITLE
Chief Transformation Officer
AGE
59
TENURE
3.4 yrs

Olivier du Chesnay

TITLE
Chief Financial Officer
AGE
44
TENURE
2.3 yrs

Alexandra Boisson

TITLE
General Counsel & Compliance Officer

Céline Bedouet

TITLE
Chief Marketing & Communications Officer
AGE
42

Régis Bévillon

TITLE
Director of Human Resources

Fabio Canali

TITLE
President of Southern Europe & North Africa
AGE
57

Laurence Jacquot

TITLE
Chief Customer Success Officer
AGE
52
Board of Directors Tenure

Average tenure and age of the Lectra board of directors in years:

2.9
Average Tenure
65
Average Age
  • The average tenure for the Lectra board of directors is less than 3 years, this suggests a new board.
Board of Directors

Daniel Harari

TITLE
Chairman & CEO
COMPENSATION
€724K
AGE
64
TENURE
2.4 yrs

Bernard Jourdan

TITLE
Lead Independent Director
COMPENSATION
€52K
AGE
74
TENURE
2.9 yrs

Anne Binder

TITLE
Independent Director
COMPENSATION
€49K
AGE
68
TENURE
8.2 yrs

Nathalie Rossiensky

TITLE
Independent Director
COMPENSATION
€49K
AGE
49
TENURE
3.7 yrs

Ross McInnes

TITLE
Independent Director
COMPENSATION
€49K
AGE
65
TENURE
1.9 yrs
Who owns this company?
Recent Insider Trading
  • No 3 month open market individual insider trading information.
Recent Insider Transactions
Announced Type Name Entity Role Start End Shares Max Price (€) Value (€)
X
Management checks
We assess Lectra's management by checking for:
  1. Is the CEO's compensation unreasonable compared to market cap? (1 check)
  2. Has the CEO's compensation increased more than 20% whilst the EPS is down more then 20%? (1 check)
  3. Is the average tenure of the management team less than 2 years? (1 check)
  4. Is the average tenure of the board of directors team less than 3 years? (1 check)
  5. Lectra has a total score of 0/6, this is not included on the snowflake, see the detailed checks below.


Note: We use the top 6 management executives and board members in our calculations.

Note 2: Insider trading include any internal stakeholders and these transactions .

Full details on the Management part of the Simply Wall St company analysis model.

News

Simply Wall St News

Is Lectra's (EPA:LSS) Share Price Gain Of 133% Well Earned?

Check out our latest analysis for Lectra While markets are a powerful pricing mechanism, share prices reflect investor sentiment, not just underlying business performance. … One way to examine how market sentiment has changed over time is to look at the interaction between a company's share price and its earnings per share (EPS). … Over half a decade, Lectra managed to grow its earnings per share at 18% a year.

Simply Wall St -

Do Directors Own Lectra SA (EPA:LSS) Shares?

Lectra is a smaller company with a market capitalization of €573m, so it may still be flying under the radar of many institutional investors. … Our analysis of the ownership of the company, below, shows that institutions are noticeable on the share registry. … Check out our latest analysis for Lectra ENXTPA:LSS Ownership Summary, August 7th 2019 What Does The Institutional Ownership Tell Us About Lectra?

Simply Wall St -

Are Lectra SA’s (EPA:LSS) High Returns Really That Great?

To be precise, we'll consider its Return On Capital Employed (ROCE), as that will inform our view of the quality of the business. … The formula for calculating the return on capital employed is: Return on Capital Employed = Earnings Before Interest and Tax (EBIT) ÷ (Total Assets - Current Liabilities) Or for Lectra: 0.20 = €41m ÷ (€327m - €126m) (Based on the trailing twelve months to March 2019.) Therefore, Lectra has an ROCE of 20%. … Due to the way ROCE is calculated, a high level of current liabilities makes a company look as though it has less capital employed, and thus can (sometimes unfairly) boost the ROCE.

Simply Wall St -

Is Lectra SA (EPA:LSS) A Volatile Stock?

Beta can be a useful tool to understand how much a stock is influenced by market risk (volatility). … A stock with a beta below one is either less volatile than the market, or more volatile but not corellated with the overall market. … This is above 1, so historically its share price has been influenced by the broader volatility of the stock market.

Simply Wall St -

Why Lectra SA (EPA:LSS) Could Be Worth Watching

According to my valuation model, Lectra seems to be fairly priced at around 19.33% above my intrinsic value, which means if you buy Lectra today, you’d be paying a relatively reasonable price for it. … Although value investors would argue that it’s the intrinsic value relative to the price that matter the most, a more compelling investment thesis would be high growth potential at a cheap price. … LSS’s optimistic future growth appears to have been factored into the current share price, with shares trading around its fair value.

Simply Wall St -

Does Lectra SA's (EPA:LSS) Past Performance Indicate A Stronger Future?

After reading Lectra SA's (EPA:LSS) most recent earnings announcement (31 March 2019), I found it useful to look back at how the company has performed in the past and compare this against the latest numbers. … However, this one-year growth rate has been lower than its average earnings growth rate over the past 5 years of 17%, indicating the rate at which LSS is growing has slowed down. … Companies that have performed well in the past, such as Lectra gives investors conviction.

Simply Wall St -

Do You Like Lectra SA (EPA:LSS) At This P/E Ratio?

We'll show how you can use Lectra SA's (EPA:LSS) P/E ratio to inform your assessment of the investment opportunity. … How Do I Calculate A Price To Earnings Ratio … Price to Earnings Ratio = Share Price ÷ Earnings per Share (EPS)

Simply Wall St -

Estimating The Intrinsic Value Of Lectra SA (EPA:LSS)

I will be using the Discounted Cash Flow (DCF) model! … We generally believe that a company's value is the present value of all of the cash it will generate in the future. … If you want to learn more about discounted cash flow, the rationale behind this calculation can be read in detail in the Simply Wall St analysis model.

Simply Wall St -

What Kind Of Shareholder Owns Most Lectra SA (EPA:LSS) Stock?

The big shareholder groups in Lectra SA (EPA:LSS) have power over the company. … Institutions often own shares in more established companies, while it's not unusual to see insiders own a fair bit of smaller companies. … With a market capitalization of €722m, Lectra is a decent size, so it is probably on the radar of institutional investors.

Simply Wall St -

Is Now The Time To Look At Buying Lectra SA (EPA:LSS)?

Lectra SA (EPA:LSS), which is in the software business, and is based in France,. … As a stock with high coverage by analysts, you could assume any recent changes in the company’s outlook is already priced into the stock? … Let’s take a look at Lectra’s outlook and value based on the most recent financial data to see if the opportunity still exists

Simply Wall St -

Company Info

Description

Lectra SA provides technologies for fashion, automotive, and furniture. The company’s solutions enable customers to automate and optimize product design, development, and manufacture of garments, shoes, luggage, car seats and interiors, airbags, and sofas; and the management of collections that cover the entire product lifecycle to help companies control calendars, schedules, resources and costs, as well as handling complex relationships with external suppliers, lean cutting room, and fashion design solutions in the fashion and apparel industry. It also offers technical maintenance, support, training, and consulting services; and sells consumables and parts. The company serves fashion and apparel, automotive, and furniture markets, as well as other industries, such as composites, technical textiles, and leather. It operates in Europe, the Americas, the Asia-Pacific, and internationally. Lectra SA was founded in 1973 and is headquartered in Paris, France.

Details
Name: Lectra SA
LSS
Exchange: ENXTPA
Founded: 1973
€718,455,427
32,073,903
Website: http://www.lectra.com
Address: Lectra SA
16-18 rue Chalgrin,
Paris,
Ile-de-France, 75016,
France
Listings
Exchange Symbol Ticker Symbol Security Exchange Country Currency Listed on
ENXTPA LSS Ordinary Shares Euronext Paris FR EUR 02. Jan 1992
OTCPK LCTS.F Ordinary Shares Pink Sheets LLC US USD 02. Jan 1992
DB LET Ordinary Shares Deutsche Boerse AG DE EUR 02. Jan 1992
LSE 0IVJ Ordinary Shares London Stock Exchange GB EUR 02. Jan 1992
BATS-CHIXE LSSP Ordinary Shares BATS 'Chi-X Europe' GB EUR 02. Jan 1992
Number of employees
Current staff
Staff numbers
1,750
Lectra employees.
Industry
Application Software
Software
Company Analysis and Financial Data Status
Area Date (UTC time)
Company Analysis updated: 2019/12/11 20:45
End of day share price update: 2019/12/11 00:00
Last estimates confirmation: 2019/12/03
Last earnings filing: 2019/10/30
Last earnings reported: 2019/09/30
Last annual earnings reported: 2018/12/31


All dates and times in UTC. All financial data provided by Standard & Poor’s Capital IQ.

Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.