Thales Earnings: Strong Q1 Results Aligned With Our Expectations, We Retain Our Fair Value Estimate
Wide-moat Thales reported strong first-quarter results, ahead of management guidance. Our fair value estimate is unchanged.
Thales HO
Bulls Say, Bears Say
Bulls
Expectations for higher defense budgets in Europe over the medium term will benefit Thales' core defense-related sales.
Bears
Global supply chain bottlenecks and rising inflation could affect the group's delivery schedules and weigh on margins in the short term.
Is it the right time to buy, sell, or hold?
Start a free trial of Morningstar Investor to unlock exclusive ratings and continuous analyst coverage to help you decide if HO is a good fit for your portfolio.
News
-
Correction to Thales Alenia Headlines
-
European Arms Makers Expect Record Sales Growth on Rising Geopolitical Tensions — At a Glance
-
Thales Shares Jump After Results Beat Expectations
-
Thales Forecasts Continued Sales Growth After Defense Spending Pushes Orders to New High — Update
-
Thales Forecasts Continued Sales Growth After Defense Spending Pushes Orders to New High
-
Thales Wins $2.29 Billion Contract to Support U.K.'s Royal Navy With AI, Data
-
European Stocks Drop as Spirit-Makers Lag; Oil Gains — Market Talk
-
Thales Shares Fall on Weak Orders
Trading Information
- Previous Close Price
- €161.05
- Day Range
- €162.30–163.65
- 52-Week Range
- €126.55–163.65
- Bid/Ask
- €163.10 / €163.20
- Market Cap
- €33.50 Bil
- Volume/Avg
- 35,180 / 296,711
Key Statistics
- Price/Earnings (Normalized)
- 20.49
- Price/Sales
- 1.80
- Dividend Yield (Trailing)
- 1.89%
- Dividend Yield (Forward)
- 1.89%
- Total Yield
- 3.37%
Company Profile
Thales is a French aerospace and defense industrial and one of Europe’s largest defense contractors with EUR 18 billion in sales. The company has three reportable segments: (1) Defense and security provides sensors, mission systems, communications, and control systems to European and export defense customers; (2) Aerospace sells avionics and satellites to the civil, defense, and governmental markets; and (3) Digital identity and security provides biometric, data and identity security solutions, payments services, and the manufacturing of SIM cards.
- Sector
- Industrials
- Industry
- Aerospace & Defense
- Stock Style Box
- Large Core
- Total Number of Employees
- 81,000
- Website
- https://www.thalesgroup.com
Competitors
Valuation
|
Metric
|
HO
|
GD
|
LMT
|
|---|---|---|---|
Price/Earnings (Normalized) | 20.49 | 23.50 | 16.66 |
Price/Book Value | 4.80 | 3.69 | 16.60 |
Price/Sales | 1.80 | 1.84 | 1.64 |
Price/Cash Flow | 24.80 | 19.89 | 13.83 |
Price/Earnings
HO
GD
LMT
Financial Strength
|
Metric
|
HO
|
GD
|
LMT
|
|---|---|---|---|
Quick Ratio | 0.56 | 0.76 | 0.99 |
Current Ratio | 0.89 | 1.44 | 1.21 |
Interest Coverage | 5.42 | 13.19 | 9.84 |
Quick Ratio
HO
GD
LMT
Profitability
|
Metric
|
HO
|
GD
|
LMT
|
|---|---|---|---|
Return on Assets (Normalized) | 4.57% | 6.58% | 12.47% |
Return on Equity (Normalized) | 23.45% | 17.44% | 82.57% |
Return on Invested Capital (Normalized) | 12.39% | 12.06% | 29.85% |
Return on Assets
HO
GD
LMT
Aerospace & Defense Industry Comparables
|
Ticker
|
Name
|
Morningstar Rating for Stocks
|
Capital Allocation
|
Economic Moat
|
Market Cap
|
|---|---|---|---|---|---|
GE
| GE Aerospace | Jmsnhtjjt | Ktjh | $179.6 Bil | |
RTX
| RTX Corp | Vwhmphhlsy | Wjz | $134.8 Bil | |
EADSY
| Airbus SE ADR | Hjvbnqbq | Wqy | $131.0 Bil | |
LMT
| Lockheed Martin Corp | Lmgpxwdxl | Dxph | $110.8 Bil | |
BA
| Boeing Co | Qjvrrylkd | Hgs | $110.4 Bil | |
GD
| General Dynamics Corp | Mnmjfqldf | Ywh | $79.1 Bil | |
TDG
| TransDigm Group Inc | Wwsskhydyq | Lgmx | $71.9 Bil | |
NOC
| Northrop Grumman Corp | Zmdzdlbpf | Vwwm | $69.5 Bil | |
BAESY
| BAE Systems PLC ADR | Kbndqdcg | Pdjfm | $51.8 Bil | |
RYCEY
| Rolls-Royce Holdings PLC ADR | Zpcssrkv | Yfndpn | $44.1 Bil |