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Saipem SpA
(SPM)
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Rating:66Neutral
Price Target:
€4.50
▲(16.28% Upside)
Action:Downgraded
Date:04/07/26
The score is primarily supported by the company’s improved financial performance, especially the sharp recovery in operating and free cash flow and sustained profitability since 2023. This is tempered by leverage and thin margins, while technicals show a strong uptrend but overbought signals that increase short-term risk; valuation is reasonable with a supportive dividend yield.
Positive Factors
Diversified EPCI and asset-backed services
Saipem's integrated EPCI, offshore/subsea, onshore EPC and drilling capabilities create durable competitive positioning. Specialized fleet and project execution expertise enable bids on large complex projects, diversify revenue across services, and support long-term contracted cashflows.
Negative Factors
Thin net and dropping gross margins
Net margins near 2% and a recent gross-margin decline materially reduce the company's buffer against cost overruns. For lump-sum and fixed-scope contracts this thin profitability increases exposure to inflation, supply-chain cost swings and adverse project mix, limiting retained earnings.
Read all positive and negative factors
Positive Factors
Negative Factors
Diversified EPCI and asset-backed services
Saipem's integrated EPCI, offshore/subsea, onshore EPC and drilling capabilities create durable competitive positioning. Specialized fleet and project execution expertise enable bids on large complex projects, diversify revenue across services, and support long-term contracted cashflows.
Read all positive factors
Saipem SpA (SPM) vs. iShares MSCI Italy ETF (EWI)
Market Cap
€8.67B
Dividend Yield6.99%
Average Volume (3M)34.08M
Price to Earnings (P/E)34.6
Beta (1Y)0.82
Revenue Growth6.52%
EPS Growth1.86%
CountryIT
Employees30,000
SectorGeneral
Sector StrengthN/A
IndustryOil & Gas Equipment & Services
Share Statistics
EPS (TTM)0.17
Shares Outstanding1,995,631,800
10 Day Avg. Volume33,554,585
30 Day Avg. Volume34,084,585
Financial Highlights & Ratios
PEG Ratio0.00
Price to Book (P/B)1.84
Price to Sales (P/S)0.31
P/FCF Ratio4.26
Enterprise Value/Market CapN/A
Enterprise Value/RevenueN/A
Enterprise Value/Gross ProfitN/A
Enterprise Value/EbitdaN/A
Forecast
1Y Price Target
€5.22Price Target Upside34.98% Upside
Rating ConsensusStrong Buy
Number of Analyst Covering8
EPS Forecast (FY)0.23
Revenue Forecast (FY)€15.60B
Saipem SpA Business Overview & Revenue Model
Company Description
Saipem S.p.A. is a global provider of integrated solutions for the energy and infrastructure sectors. The company's operations are strategically divided into five key segments: Offshore Engineering & Construction, Onshore Engineering & Constructio...
How the Company Makes Money
Saipem primarily makes money by delivering large, contract-based projects and services to energy operators and other customers. Its revenue model is centered on: (1) Engineering, Procurement, Construction and Installation (EPCI) contracts, where S...
Saipem SpA Financial Statement Overview
Summary
Income Statement
67
Positive
Balance Sheet
56
Neutral
Cash Flow
74
Positive
| Breakdown | TTM | Dec 2025 | Dec 2024 | Dec 2023 | Dec 2022 | Dec 2021 |
|---|---|---|---|---|---|---|
Income Statement | ||||||
| Total Revenue | 15.35B | 15.50B | 14.55B | 11.88B | 9.98B | 6.53B |
| Gross Profit | 4.16B | 1.88B | 3.38B | 2.19B | 1.71B | -509.00M |
| EBITDA | 1.42B | 1.71B | 1.33B | 951.00M | 519.00M | -1.83B |
| Net Income | 328.00M | 312.00M | 306.00M | 179.00M | -209.00M | -2.47B |
Balance Sheet | ||||||
| Total Assets | 13.89B | 14.44B | 14.52B | 12.87B | 12.40B | 11.54B |
| Cash, Cash Equivalents and Short-Term Investments | 2.28B | 1.54B | 2.54B | 2.22B | 2.13B | 1.69B |
| Total Debt | 2.87B | 3.11B | 3.02B | 3.12B | 3.03B | 3.94B |
| Total Liabilities | 11.28B | 11.80B | 11.99B | 10.47B | 10.31B | 11.19B |
| Stockholders Equity | 2.61B | 2.64B | 2.52B | 2.39B | 2.07B | 326.00M |
Cash Flow | ||||||
| Free Cash Flow | 1.12B | 1.14B | 724.00M | 104.00M | -1.00B | -208.00M |
| Operating Cash Flow | 1.45B | 1.50B | 1.06B | 586.00M | -477.00M | 90.00M |
| Investing Cash Flow | -616.00M | -640.00M | -542.00M | -175.00M | 5.00M | -490.00M |
| Financing Cash Flow | -1.32B | -1.23B | -544.00M | -282.00M | 871.00M | 331.00M |
Saipem SpA Technical Analysis
Positive
3.87
Price Trends
4.38
Positive
3.94
Positive
3.18
Positive
Market Momentum
-0.01
Positive
50.70
Neutral
25.61
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IT:SPM, the sentiment is Positive. The current price of 3.87 is below the 20-day moving average (MA) of 4.46, below the 50-day MA of 4.38, and above the 200-day MA of 3.18, indicating a neutral trend. The MACD of -0.01 indicates Positive momentum. The RSI at 50.70 is Neutral, neither overbought nor oversold. The STOCH value of 25.61 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for IT:SPM.
Saipem SpA Peers Comparison
UnderperformOutperform
Sector (55)
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
75 Outperform | €25.38B | 14.26 | 11.48% | 4.46% | -6.16% | 7.18% | |
72 Outperform | €254.47M | 13.37 | 7.52% | 2.98% | 26.41% | 57.53% | |
66 Neutral | €8.67B | 34.61 | 13.05% | 6.99% | 6.52% | 1.86% | |
62 Neutral | €59.80B | 25.51 | 5.51% | 6.39% | -10.29% | 0.49% | |
55 Neutral | $6.65B | 3.83 | -15.92% | 6.20% | 10.91% | 7.18% |
* General Sector Average
IT:SPM
Saipem SpA
4.40
2.17
97.62%
IT:ENI
ENI S.p.A.
20.45
7.35
56.15%
IT:TEN
Tenaris
23.68
8.03
51.32%
IT:GSP
Gas Plus S.p.A.
5.84
1.51
34.97%
IT:NXT
Next Geosolutions Europe SpA
16.45
8.44
105.50%
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
Disclaimer
This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.