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Sesa SpA
MIL:SES

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Sesa SpA
MIL:SES
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Price: 86.55 EUR 2.61% Market Closed
Market Cap: €1.3B

EV/FCFF

4.4
Current
61%
Cheaper
vs 3-y average of 11.1

Enterprise Value to Free Cash Flow to Firm (EV/FCFF) ratio compares a company`s total enterprise value to the free cash flow available to all investors, both debt and equity holders. It shows how much investors are paying for each dollar of cash flow the business generates before interest payments.

EV/FCFF
4.4
=
Enterprise Value
€845.4m
/
Free Cash Flow to Firm
€225.2m

Enterprise Value to Free Cash Flow to Firm (EV/FCFF) ratio compares a company`s total enterprise value to the free cash flow available to all investors, both debt and equity holders. It shows how much investors are paying for each dollar of cash flow the business generates before interest payments.

EV/FCFF
4.4
=
Enterprise Value
€845.4m
/
Free Cash Flow to Firm
€225.2m

Valuation Scenarios

Sesa SpA is trading below its 3-year average

If EV/FCFF returns to its 3-Year Average (11.1), the stock would be worth €220.43 (155% upside from current price).

Statistics
Positive Scenarios
4/4
Maximum Downside
No Downside Scenarios
Maximum Upside
+577%
Average Upside
317%
Scenario EV/FCFF Value Implied Price Upside/Downside
Current Multiple 4.4 €86.55
0%
3-Year Average 11.1 €220.43
+155%
5-Year Average 13 €257.06
+197%
Industry Average 29.6 €586.13
+577%
Country Average 19.1 €379.28
+338%

Forward EV/FCFF
Today’s price vs future free cash flow to firm

Not enough data available to calculate forward EV/FCFF

Peer Comparison

All Multiples
EV/FCFF
P/E
All Countries
Close
Market Cap EV/FCFF P/E
IT
Sesa SpA
MIL:SES
1.3B EUR 4.4 11.4
US
TD Synnex Corp
NYSE:SNX
18.2B USD 16.2 18.6
US
CDW Corp
NASDAQ:CDW
17.7B USD 19.7 16.6
JP
Daiwa Tsushin Co Ltd
TSE:7116
2.7T JPY -2.9 17.3
ZA
Datatec Ltd
JSE:DTC
16.3B ZAR 3.7 12.2
CN
Unisplendour Corp Ltd
SZSE:000938
91.5B CNY 35.4 54.3
US
Arrow Electronics Inc
NYSE:ARW
9.6B USD -332.6 16.8
TW
WT Microelectronics Co Ltd
TWSE:3036
258.1B TWD 18.7 19.4
US
Avnet Inc
NASDAQ:AVT
6.7B USD 42.6 32.3
CN
Shenzhen Huaqiang Industry Co Ltd
SZSE:000062
38.6B CNY -38.1 83.4
TW
WPG Holdings Ltd
TWSE:3702
169.6B TWD 13.5 17.5

Market Distribution

Lower than 94% of companies in Italy
Percentile
6th
Based on 642 companies
6th percentile
4.4
Low
1.5 — 11.6
Typical Range
11.6 — 29.6
High
29.6 —
Distribution Statistics
Italy
Min 1.5
30th Percentile 11.6
Median 19.1
70th Percentile 29.6
Max 15 011.5

Sesa SpA
Glance View

Sesa SpA, founded in 1973 in Empoli, Italy, has evolved into a prominent player in the technology sector, serving primarily as a value-added distributor in the IT industry. The company's journey is akin to a meticulously crafted strategy unfolding in the competitive landscape of technology distribution. Initially, Sesa distinguished itself by delivering IT solutions and services, establishing a strong foothold in the Italian market. Over time, it expanded its operations to encompass the entire European market, leveraging its in-depth understanding of customer needs and advanced technological trends. Sesa’s business model centers around identifying top-tier IT products and solutions and efficiently channeling them to an array of business clients, ranging from multinational corporations to small and medium enterprises (SMEs). In its quest to remain at the forefront of IT services, Sesa has embraced a holistic, customer-centric approach, integrating value-added services such as managed services, cloud computing, and digital transformation solutions. By aligning itself with leading global technology companies, Sesa positions itself as a key partner in navigating the digital ecosystem. Its revenue model is primarily driven by distributing cutting-edge IT products while layering additional profits through consulting services and tailored technological solutions. The company’s adeptness at anticipating market shifts and its strategic acquisitions of smaller, niche players have allowed it to maintain robust growth and expand its competitive edge. Through this integrative methodology, Sesa not only propels its own financial success but also supports its clients in achieving technological advancement and operational excellence.

SES Intrinsic Value
132.99 EUR
Undervaluation 35%
Intrinsic Value
Price €86.55
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