WATCH Vallourec S.A. (VK.PA)
Basic Materials · Steel · PAR · France
57
Final Score
-119.9%
Margin of Safety
75
Quality Score
$21.75
Current Price
$5.8B
Market Cap
💱 Quoted on the exchange as 18.76 EUR.
This company reports its financials in USD, so every figure on this
page — price, valuation and margin of safety — is shown in USD at a rate of
1.1592, keeping the price directly comparable to the intrinsic value derived
from those statements.
Key Metrics
Pe Ratio
14.00
Forward Pe
9.35
Pb Ratio
1.76
Ev Ebitda
4.80
Roe
15.8%
Gross Margin
29.7%
Operating Margin
14.2%
Net Margin
9.6%
Dividend Yield
935.0%
Debt To Equity
36.40
Current Ratio
2.13
Beta
0.43
📈 Trend Charts
Revenue Trend
EPS Trend
Net Income Trend
Free Cash Flow Trend
Intrinsic Value Estimates
Low
$7.91
Base
$9.89
High
$11.87
Pipeline Stage Details
Stage A — Hard Filters ✅
Pe Ratio
14.00
Eps Positive Years
3.00
Eps Lookback
4.00
Fcf Positive Years
3.00
Fcf Lookback
4.00
Debt To Equity
0.36
Current Ratio
2.13
Dilution Cagr
0.00
Stage B — Quality Score: 75/100
Stage C — Cyclicality: MED
Normalized EPS
$0.94
Stage F — Final Score Breakdown
| Component | Weighted Score |
|---|---|
| Valuation | 3.0 |
| Earnings Quality | 18.8 |
| Balance Sheet | 18.0 |
| Stability | 8.2 |
| Moat Proxies | 9.0 |
Top Drivers
- High quality business (score 75/100): above-average returns on capital and reliable earnings generation.
- Reasonable P/E of 14.0x — below long-run market average (~15-17x), suggesting the stock is not overpriced.
- High ROIC of 17.8% — the business earns well above its cost of capital, indicating a strong competitive advantage and efficient capital allocation (Buffett seeks ROIC > 12%).
- Fortress balance sheet: D/E of 0.36x (conservative) and current ratio of 2.13x — ample liquidity and low financial risk. Graham emphasis on capital preservation.
- Strong free cash flow generation — the company converts earnings into real cash effectively, supporting dividends, buybacks, and debt reduction.
Top Risks
- Moderate cyclicality (Cyclical sector: Basic Materials) — earnings may fluctuate.
- Quality concern: Revenue declining: -7.9% CAGR
Financial History
| Year | Revenue | Gross Profit | Operating Income | Net Income | EPS |
|---|---|---|---|---|---|
| 2021 | N/A | N/A | N/A | N/A | $N/A |
| 2022 | $4.9B | $1.1B | $471.1M | $-366.4M | $-1.60 |
| 2023 | $5.1B | $1.6B | $992.7M | $495.9M | $2.07 |
| 2024 | $4.0B | $1.2B | $605.8M | $452.1M | $1.90 |
| 2025 | $3.8B | $1.1B | $589.0M | $354.6M | $1.40 |
Cash Flow History
| Year | Operating CF | CapEx | Free Cash Flow |
|---|---|---|---|
| 2021 | N/A | N/A | N/A |
| 2022 | $-25.0M | $-190.7M | $-215.7M |
| 2023 | $694.9M | $-212.6M | $482.3M |
| 2024 | $487.6M | $-166.7M | $321.0M |
| 2025 | $559.9M | $-175.9M | $384.0M |