CIE Automotive S.A.
🇪🇸 CIE.MC · Madrid · ES0105630315
Consumer
EUR 27.35 price at analysis
Scores
Key Metrics
Powered by EODHDP/E (TTM)
9.7
P/E (Price-to-Earnings)Shows how much investors pay for each $1 of profit. We display the TTM P/E (Trailing Twelve Months) which uses actual earnings from the last 4 quarters. This is more reliable than Forward P/E which uses analyst estimates.
Calculation: 27.35 ÷ 2.82 = 9.7
TTM period through: 2025-12-31
Forward P/E (estimated): 12.5
Based on analyst estimates
Reference: Provider P/E (Trailing): 9.7
Yield (Fwd)
3.40%
Dividend YieldThe Forward yield (Fwd) shows the next announced annual dividend / current price — what you'd earn going forward. The Trailing yield (TTM) in the tooltip shows dividends actually paid in the last 12 months. Forward is shown as primary because it reflects the company's current commitment to shareholders.
Net Debt/EBITDA (TTM)
1.7x
Latest quarter: 3.5x
Net Debt / EBITDAA leverage ratio showing how many years of EBITDA (earnings before interest, taxes, depreciation, and amortization) it would take to repay net debt. EBITDA approximates operating cash generation. Lower ratios (e.g., <3x) are generally safer; higher (e.g., >5x) may indicate more financial risk.
TTM through: 2025-12-31
Latest quarter (2025-12-31): 3.5x
The quarterly value can spike when quarterly EBITDA is very low (e.g., one-time charges).
Quick guide: <2x manageable, >4x can be risky (sector-dependent).
Payout (Fwd)
33.0%
Payout RatioDividends as a percentage of earnings. The Forward payout (Fwd) uses the announced dividend divided by actual past earnings (TTM) — it tells you if the company can afford what it promised. Very high payouts can be risky, especially if profits fall.
Announced dividend / actual earnings (TTM)
Payout (TTM): 32.6%
Cash Flow Payout (TTM): 18.2%
FCF Coverage (TTM): 3.61x
ROE
19.6%
ROE (Return on Equity)A profitability measure: how much profit is generated from shareholders’ equity. Higher isn’t always better if it comes from high debt.
EV/EBITDA
5.5x
EV/EBITDAA valuation ratio that compares total business value (including debt) to EBITDA. Lower can mean cheaper, but context matters.
Summary
CIE Automotive is a highly efficient global automotive components supplier with an impressive track record of compounding returns and strong cash generation. Trading at €27.35, below our fair value estimate of €34-42, the stock represents a 24-53% upside to fair value, making it worth considering for new positions. The highly secure 3.4% yield (covered 3.6x by free cash flow) provides stable income while investors wait for the broader macro valuation overhang to dissipate.
Sector Context
CIE Automotive is a global supplier of automotive components and subassemblies, generating revenue by designing and manufacturing parts for vehicle manufacturers worldwide. While the automotive sector is inherently cyclical and sensitive to consumer discretionary spending, CIE mitigates these risks through high operational efficiency, diverse geographic exposure, and disciplined capital allocation, making it unusually resilient for a consumer cyclical business.
Temporary Opportunity Identified
Cyclical macro headwinds, including elevated oil prices and inflation fears, are temporarily compressing the valuation multiple despite the company generating strong profits and cash flows.
📊 Strategy Analysis
- • Trading at €27.35 with a TTM P/E of 9.71, well within the target 8-15x range and below our historical fair value estimate of €34-42, offering 24-53% potential upside.
- • Exceptional dividend safety with a low Cash Flow Payout ratio of 18.20% and robust Free Cash Flow coverage of 3.61x.
- • Impressive deleveraging trajectory, bringing Net Debt/EBITDA down to a very safe 1.73x compared to 2.9x in 2019.
- • Strong fundamental profitability indicators, including a 19.59% ROE and resilient EBITDA margins of 18.85%.
⚠ What to Watch
- • The consumer automotive sector is inherently cyclical and highly sensitive to broader macroeconomic slowdowns or persistent inflationary pressures.
- • Recent geopolitical headwinds and surging oil prices (>$100/barrel) could temporarily compress margins and dampen consumer vehicle demand.
- • Slight profit softening in specific regional subsidiaries, such as CIE Automotive India, warrants monitoring despite strong parent company results.
📊 Historical Trends (10 Years)
Powered by EODHDThese charts show how key metrics have evolved over the past decade, helping you identify if the company is improving or deteriorating.
Debt Evolution (Net Debt / EBITDA)
Lower values are better. A declining trend indicates the company is reducing its debt (deleveraging).
Revenue & Earnings Growth
Consistent growth in revenueRevenue
The money a company brings in from selling its products or services. It’s the top line before costs. (blue) and earningsEarnings (Profit)
What’s left after expenses. Positive earnings mean the business made a profit; negative means a loss. (green) indicates a healthy business. Look for upward trends and recoveries after temporary dips.
Dividend Sustainability (FCF vs Dividends Paid)
Free cash flowFree Cash Flow
Cash left after the company pays for running the business and maintaining it. Often used to fund dividends, pay debt, or buy back shares. (FCFFCF (Free Cash Flow)
Short for Free Cash Flow: cash left after operating needs and maintenance spending., blue) should cover dividends paidDividends Paid
Cash the company paid out to shareholders. It’s not guaranteed and can change over time. (green). If dividends consistently exceed FCFFCF (Free Cash Flow)
Short for Free Cash Flow: cash left after operating needs and maintenance spending., the dividend may be at risk.
Analysis date: 2026-04-04
Disclaimer: This information is for educational purposes only. Not financial advice.