tiprankstipranks
Saipem (SAPMY)
OTHER OTC:SAPMY
Want to see SAPMY full AI Analyst Report?

Saipem (SAPMY) AI Stock Analysis

44 Followers

Top Page

SAPMY

Saipem

(OTC:SAPMY)

Select Model
Select Model
Select Model
Neutral 63 (OpenAI - 5.2)
Rating:63Neutral
Price Target:
$1.00
▲(8.70% Upside)
Action:Reiterated
Date:07/09/26
The score is driven primarily by improved financial performance—especially the step-change in cash generation and sustained profitability since 2023—tempered by continued balance-sheet leverage and thin net margins. Technicals are neutral-to-soft in the near term (below key short-term averages with slightly negative MACD), and valuation is a headwind due to the high P/E despite a supportive dividend yield.
Positive Factors
Cash Generation
Saipem's TTM free cash flow has scaled sharply versus 2023, indicating improved project cash conversion and working-capital management. Durable FCF supports reinvestment in vessels and technology, funds debt reduction, and provides a buffer for multi-month project timing variability.
Negative Factors
Elevated Leverage
Debt still exceeds equity (debt-to-equity ~1.18), which limits financial flexibility in a cyclical, project-driven industry. Elevated leverage increases interest and refinancing risk, constrains ability to absorb project cost overruns, and narrows room for opportunistic investments over months.
Read all positive and negative factors
Positive Factors
Negative Factors
Cash Generation
Saipem's TTM free cash flow has scaled sharply versus 2023, indicating improved project cash conversion and working-capital management. Durable FCF supports reinvestment in vessels and technology, funds debt reduction, and provides a buffer for multi-month project timing variability.
Read all positive factors

Saipem (SAPMY) vs. SPDR S&P 500 ETF (SPY)

Saipem Business Overview & Revenue Model

Company Description
Saipem SpA provides energy and infrastructure solutions worldwide. It operates through Asset Based Services, Offshore Drilling, and Energy Carriers segments. The company offers development of subsea fields and pipelaying; installation and lifting ...
How the Company Makes Money
Saipem primarily makes money by executing large, contract-based projects for customers in the energy and infrastructure sectors. Revenue is mainly generated from: (1) EPCI and project execution contracts, where Saipem is paid to engineer, procure ...

Saipem Earnings Call Summary

Earnings Call Date:Oct 23, 2024
(Q3-2024)
|
% Change Since: |
Next Earnings Date:Jul 27, 2026
Earnings Call Sentiment Positive
The earnings call reflects a strong performance in Q3 2024, with significant achievements in order intake, revenue growth, and cash flow generation. While there are challenges related to the temporary suspension in Saudi Arabia and legacy onshore projects, the company's upgraded guidance and robust backlog provide a positive outlook.
Positive Updates
Record Order Intake and Backlog
Saipem recorded the highest quarterly order intake since Q2 2019, with an order intake of EUR 6.4 billion, and a backlog standing at EUR 33 billion, an all-time high.
Negative Updates
Impact of Saudi Aramco's Temporary Suspension
The temporary suspension impacted the drilling operations, particularly for the Perro Negro fleet, leading to adjustments in operations and financial expectations.
Read all updates
Q3-2024 Updates
Negative
Record Order Intake and Backlog
Saipem recorded the highest quarterly order intake since Q2 2019, with an order intake of EUR 6.4 billion, and a backlog standing at EUR 33 billion, an all-time high.
Read all positive updates
Company Guidance
In the recent earnings call, Saipem executive Alessandro Puliti provided a robust outlook for the company's performance in 2024. For the third quarter, Saipem achieved the highest quarterly order intake since Q2 2019, with revenues reaching €3.7 billion, marking a 23% year-on-year increase. The company also reported an EBITDA of €340 million, reflecting a 48% year-on-year growth. The EBITDA margin improved by 40 basis points to 9.2%, supported by the E&C and drilling offshore activities. Saipem's net cash flow generation stood at €115 million, with a significant order intake of €6.4 billion, leading to a record high backlog of €33 billion. Based on these strong results, Saipem upgraded its 2024 guidance, expecting revenues to exceed €14 billion and EBITDA to surpass €1.3 billion, driven by the performance in offshore E&C and despite some impact from the temporary suspension of operations in Saudi Arabia.

Saipem Financial Statement Overview

Summary
Financials show a clear turnaround with sustained positive earnings since 2023 and steadily growing revenue. The strongest element is improved and rising operating/free cash flow through TTM. Offsetting this, net margins remain thin (~2%) and leverage is still elevated (debt-to-equity ~1.18), which increases sensitivity to project execution and cost pressures.
Income Statement
72
Positive
Balance Sheet
61
Positive
Cash Flow
78
Positive
BreakdownTTMDec 2025Dec 2024Dec 2023Dec 2022Dec 2021
Income Statement
Total Revenue15.52B14.89B14.55B11.88B9.99B6.53B
Gross Profit5.53B1.81B4.43B3.69B3.31B-136.00M
EBITDA1.58B1.64B1.05B782.00M398.00M-1.79B
Net Income312.00M297.77M306.00M179.00M-337.30M-2.74B
Balance Sheet
Total Assets5.68B14.61B14.52B12.87B12.40B13.14B
Cash, Cash Equivalents and Short-Term Investments1.22B2.35B2.54B2.22B2.28B1.92B
Total Debt1.24B3.10B3.02B3.12B2.13B2.83B
Total Liabilities3.02B11.97B11.99B10.47B10.31B11.19B
Stockholders Equity2.66B2.64B2.52B2.39B2.21B326.00M
Cash Flow
Free Cash Flow1.22B1.11B735.00M114.00M-990.00M-141.00M
Operating Cash Flow1.50B1.44B1.06B586.00M-477.00M90.00M
Investing Cash Flow-869.00M-614.74M-542.00M-175.00M5.00M-490.00M
Financing Cash Flow-1.03B-1.18B-544.00M-282.00M871.00M331.00M

Saipem Peers Comparison

Overall Rating
UnderperformOutperform
Sector (65)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
76
Outperform
$4.31B12.8434.58%2.39%88.22%
67
Neutral
$3.70B12.3023.78%-0.92%78.25%
65
Neutral
$15.17B7.614.09%5.20%3.87%-62.32%
63
Neutral
$9.87B27.159.16%11.44%6.53%
59
Neutral
$6.00B-1.74-32.79%12.90%-274.70%
58
Neutral
$6.87B80.421.45%3.24%-1.33%-84.10%
57
Neutral
$2.63B-38.11-0.84%7.91%-120.67%
* Energy Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
SAPMY
Saipem
0.99
0.45
84.04%
NOV
NOV
19.30
6.80
54.42%
OII
Oceaneering International
43.28
22.63
109.59%
TDW
Tidewater
73.97
25.31
52.01%
RIG
Transocean
5.31
2.67
101.14%
SDRL
Seadrill Limited
43.06
14.29
49.67%
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.Date of analysis: Jul 09, 2026