olivLaw · European equity research
Sodexo SW.PA
France · Euronext Paris · ISIN FR0000121220 · Vertical: Listed companies from France
Sodexo is a global provider of food and facilities management services to corporate, education, healthcare and senior-living clients across many countries. Its sustainability roadmap Better Tomorrow 2028 links responsible purchasing and food-waste reduction to long-term climate goals, with progress reported for fiscal 2025.
At the close of 05 Nov 2026, Sodexo (SW.PA) stock was 60.50 EUR (+2.46% on the day), with market capitalisation 8.8 bn EUR, P/E 12.8 on diluted EPS of 4.71 EUR over the last 12 months, dividend yield 4.38%, beta 0.40, 52-week range 38.62–60.50 EUR.
Data as of · AI analysis dated · Source: ESEF annual reports and closing prices, computed by olivLaw.
Price history
Loading chart…
Technical reading
- RSI (14)
- 64.6
- strong (55–70)
- Bollinger (20, 2)
- 53.92 – 61.43
- in the upper half of the band · %B 0.88 · band width 13.0%
- SMA 50 / 200
- 56.98 / 50.51
- uptrend (price > SMA50 > SMA200)
- MACD (12, 26, 9)
- 0.99 / 0.75
- MACD above signal
Indicators describe past prices; on their own they do not predict direction. On our history the RSI ≤ 40 filter added no return (see the signals methodology).
Performance
| Company | EURO STOXX 50 | vs EURO STOXX 50 | Vertical median | |
|---|---|---|---|---|
| 1 month | +11.9% | −0.6% | +12.6 pp | — |
| 3 months | +6.2% | −4.2% | +10.4 pp | — |
| 6 months | +40.5% | +4.3% | +36.2 pp | — |
| Year to date | +38.4% | +7.5% | +30.9 pp | — |
| 1 year | +29.1% | +9.9% | +19.1 pp | −6.8% |
| 3 years | −16.2% | +49.8% | −66.0 pp | −15.9% |
| 5 years | −3.5% | +42.8% | −46.4 pp | — |
Price returns, dividends excluded.
Quarterly results
ESEF annual reports carry no quarters: the results are annual (below).
E/P over time
E/P = trailing-12-month diluted EPS / price at quarter end. E/P is the inverse of P/E and stays defined when earnings are negative.
Today's P/E sits at the 33 percentile of its own 3-quarter history (min 10.9, median 13.4, max 71.2; quarters with earnings only).
Fiscal years
| Fiscal year | 2023 | 2024 | 2025 |
|---|---|---|---|
| Revenue | 22.6 bn | 23.8 bn | 24.1 bn |
| Revenue YoY | unavailable | +5.1% | +1.2% |
| Net income | 794.0 m | 168.0 m | 695.0 m |
| Net income YoY | unavailable | −78.8% | +313.7% |
| Diluted EPS | 5.38 | 1.13 | 4.71 |
| Diluted EPS YoY | unavailable | −79.0% | +316.8% |
| net % | 3.5% | 0.7% | 2.9% |
| Free cash flow | unavailable | unavailable | unavailable |
Balance sheet & financial health
Fiscal year 2025 · 31 Aug 2025
- Cash
- 2.1 bn EUR
- Financial debt
- unavailable EUR
- Net debt
- unavailable EUR
- Equity
- 3.8 bn EUR
- Total assets
- 14.8 bn EUR
- Debt / equity
- unavailable
- Current ratio
- 1.08x
- ROE
- 18.3%
- ROA
- 4.7%
- FCF margin
- unavailable
Financial statements (source on every figure)
Revenue and net income (EUR)
Margins
Income statement · EUR
| Line | 2023 | 2024 | 2025 | Source (latest year) |
|---|---|---|---|---|
| Revenue | 22.6 bn | 23.8 bn | 24.1 bn | esef· 18 Nov 2025verified |
| Cost of revenue | 19.9 bn | 21.0 bn | 21.2 bn | esef· 18 Nov 2025verified |
| Gross profit | 2.7 bn | 2.8 bn | 2.8 bn | esef· 18 Nov 2025verified |
| Interest expense | 191.0 m | 183.0 m | 178.0 m | esef· 18 Nov 2025verified |
| Pre-tax income | 749.0 m | 996.0 m | 904.0 m | esef· 18 Nov 2025verified |
| Income tax | 181.0 m | 249.0 m | 198.0 m | esef· 18 Nov 2025verified |
| Net income | 794.0 m | 168.0 m | 695.0 m | esef· 18 Nov 2025verified |
| Diluted EPS | 5.38 | 1.13 | 4.71 | esef· 18 Nov 2025verified |
| Dividend per share | 2.40 | 9.34 | 2.65 | esef· 18 Nov 2025verified |
Balance sheet · EUR
| Line | 2023 | 2024 | 2025 | Source (latest year) |
|---|---|---|---|---|
| Cash | 2.0 bn | 2.1 bn | 2.1 bn | esef· 18 Nov 2025verified |
| Receivables | 3.6 bn | 3.7 bn | 3.8 bn | esef· 18 Nov 2025verified |
| Inventories | 324.0 m | 322.0 m | 304.0 m | esef· 18 Nov 2025verified |
| Current assets | 11.4 bn | 6.4 bn | 6.3 bn | esef· 18 Nov 2025verified |
| Property, plant & equipment, net | 510.0 m | 552.0 m | 571.0 m | esef· 18 Nov 2025verified |
| Goodwill | 5.6 bn | 5.6 bn | 5.4 bn | esef· 18 Nov 2025verified |
| Intangibles (excl. goodwill) | 448.0 m | 436.0 m | 507.0 m | esef· 18 Nov 2025verified |
| Total assets | 20.8 bn | 15.0 bn | 14.8 bn | esef· 18 Nov 2025verified |
| Current liabilities | 9.8 bn | 5.9 bn | 5.8 bn | esef· 18 Nov 2025verified |
| Equity | 4.6 bn | 3.8 bn | 3.8 bn | esef· 18 Nov 2025verified |
| Shares outstanding at year end | 146.0 m | 146.1 m | 146.0 m | esef· 18 Nov 2025derived |
Cash flow · EUR
Computed indicators
Growth
Profitability
Returns
Balance sheet
Liquidity
Cash
Efficiency
Market and valuation
1 indicators that do not apply to the sector.
Valuation
olivLaw classification
- indicators available: 3 of at least 6
- score weight coverage: 20.8% of at least 60%
A scoring methodology on indicators and valuation, not investment advice.
Closing price
05 Nov 2026Source: olivLaw, closing series
Market cap: 8.8 bn EUR
Key indicators
Coverage and freshness
The data is older than the freshness threshold.
Score by group
21% · Insufficient data
Estimated value range
The combined range = the median of the valid methods' low, central and high values; it is not a probability interval and does not cover every result. Envelope of all methods: 36.04 – 140.36 EUR.
Valuation assumptions are editorial choices, not measured; beta is not measured.
Method ranges (EUR per share)
— — Mid · ▏ Price
Valuation methods
- DCF (discounted cash flow)unavailable · input data missing
- Peers: EV/EBITDAunavailable · net debt missing: EV cannot be bridged to equity (missing debt is not zero)
- Peers: P/E52.24 – 140.36 (Mid 80.69)20 companies used · median multiple 17.1x · quartiles 11.1x – 29.8x74SW.PA, ABEO.PA, AC.PA, ADP.PA, AF.PA, AI.PA, ALBON.PA, ALCIS.PA, ALCLA.PA, ALFER.PA, ALHEX.PA, ALO.PA, ALPWG.PA, ALSOG.PA, ANTIN.PA, ARAMI.PA, ATE.PA, AUB.PA, AURE.PA, BB.PA
- Dividend discount (DDM)36.04 – 49.15 (Mid 41.58)
Assumptions (illustrative, editorial)
- Risk-free rate
- 3.0%
- Equity risk premium
- 5.5%
- Beta (default)
- 1.00
- Cost of equity
- 8.5%
- Terminal growth
- 2.0%
Factor scorecard
Insufficient data
Minimum-evidence gate: indicators available: 3 of at least 6; score weight coverage: 20.8% of at least 60%
| Factor | Value | Score | Weight used |
|---|---|---|---|
| ROIC · Quality | unavailable | unavailable | — |
| Net margin · Quality | 2.9% | 72 (vs peers) | 30% |
| FCF conversion · Quality | unavailable | unavailable | — |
| Revenue CAGR 3Y · Growth | unavailable | unavailable | — |
| EPS CAGR 3Y · Growth | unavailable | unavailable | — |
| Net debt / EBITDA · Balance sheet | unavailable | unavailable | — |
| Interest coverage · Balance sheet | unavailable | unavailable | — |
| Current ratio · Balance sheet | 1.1x | 24 (on a fixed band) | 20% |
| P/E (TTM) · Valuation | 12.8x | 74 (vs peers) | 50% |
| EV/EBITDA · Valuation | unavailable | unavailable | — |
| FCF yield · Valuation | unavailable | unavailable | — |
| Shareholder yield (distributions) · Returns | unavailable | unavailable | — |
| Payout ratio (FCF) · Returns | unavailable | unavailable | — |
Factors without a value were dropped; the remaining weights were renormalised.
Score groups
- Balance sheet· partial24/100 · 1/3 factors with a value
- Growth· partialunavailable · 0/2 factors with a value
- Quality· partial72/100 · 1/3 factors with a value
- Returns· partialunavailable · 0/2 factors with a value
- Valuation· partial74/100 · 1/3 factors with a value
A «partial» group is computed from under half of its weight or from one factor: it is not a full assessment of the group.
Memo
SODEXO (SW.PA). Latest full fiscal year: 2025; data up to 2025-08-31.
Figures computed from the financial statements: revenue 24.1 bn EUR in 2025; YoY growth 1.2%; net margin 2.9%; ROE 18.4%.
The estimated value range is 44.14–94.75 EUR per share (median of 2 methods, agreement: low); assumptions are illustrative. Against the central value of 61.13 EUR, the price of 60.50 EUR leaves a potential of 1.0% (value / price − 1) and a margin of safety of 1.0% (1 − price / value). The range is the median of the methods' low, central and high values, not a probability interval.
Insufficient data for a verdict (indicators available: 3 of at least 6; score weight coverage: 20.8% of at least 60%).
Text generated deterministically from the figures shown; no language model. Not investment advice.
What supports the thesis
- Net margin: 2.9%
- P/E (TTM): 12.8x
What contradicts it
- Current ratio: 1.1x
- The valuation methods diverge
Not assessed (insufficient data or a ratio without meaning): ROIC, FCF conversion, Revenue CAGR 3Y, EPS CAGR 3Y, Net debt / EBITDA, Interest coverage, EV/EBITDA, FCF yield, Shareholder yield (distributions), Payout ratio (FCF).
Versus the vertical median
Listed companies from France · same country · compared with 39 companies
Multiples and returns vs the median
Price rebased to 100 (monthly, 5 years)
Companies in the vertical
| Market cap | P/E | ROE | Net margin | Revenue YoY | 1A / 3A | |
|---|---|---|---|---|---|---|
| AI.PAL'air Liquide Societe Anonyme Pour L'etude Et L'exploitation Des Procedes Georges Claude | 109.3 bn | 33.2 | 12.9% | 12.2% | −2.0% | +26% / +32% |
| AC.PAAccor | 13.8 bn | 30.7 | 9.6% | 8.0% | +0.6% | +6% / +56% |
| ADP.PAAeroports De Paris | 11.7 bn | 34.1 | 7.8% | 5.6% | +12.1% | −7% / +4% |
| SW.PASodexo | 8.8 bn | 12.8 | 18.4% | 2.9% | +1.2% | +33% / −15% |
| AKE.PAArkema | 7.1 bn | 115.4 | 0.9% | 0.7% | −5.0% | +12% / −37% |
| ALO.PAAlstom | 5.8 bn | 18.3 | 3.1% | 1.7% | +3.7% | −51% / −4% |
| AF.PAAir France - Klm | 4.3 bn | 13.6 | — | 1.0% | +4.8% | +20% / +9% |
| ATE.PAAlten | 3.1 bn | 29.5 | 4.8% | 2.6% | −1.1% | +33% / −29% |
| BB.PASociete Bic | 2.7 bn | 31.3 | 5.0% | 4.1% | −4.8% | +32% / +5% |
| ANTIN.PAAntin Infrastructure Partners | 1.4 bn | 13.0 | 21.9% | 36.6% | −8.1% | −24% / −35% |
| 74SW.PA74software | 792.7 m | 20.9 | 8.9% | 8.5% | +44.8% | −13% / +41% |
| AUB.PAAubay | 667.4 m | 17.8 | 13.6% | 6.3% | +11.3% | +3% / +45% |
| ASY.PAAssystem | 507.1 m | 69.9 | 2.5% | 1.1% | +7.4% | −19% / −18% |
| ATO.PAAtos Se | 483.0 m | — | -23,400.0% | -17.5% | −16.5% | −45% / −94% |
| ARAMI.PAAramis Group | 298.8 m | 15.0 | 10.0% | 0.8% | +6.3% | −33% / −16% |
| ARVEN.PAArverne Group | 246.1 m | — | -14.0% | -115.3% | +27.0% | +20% / −35% |
| BGO.PACompagnie Chargeurs Invest | 189.4 m | — | -8.6% | -5.7% | −2.9% | unavailable / unavailable |
| ALCIS.PACatering International & Services | 145.0 m | 28.4 | 9.3% | 1.9% | +5.8% | +39% / +107% |
| ALCGM.PACegedim | 144.6 m | — | -2.6% | -1.2% | +10.9% | −26% / −49% |
| ATEME.PAAteme | 144.0 m | 151.3 | 2.8% | 1.0% | +2.2% | +82% / +77% |
| ALHEX.PAHexaom | 144.0 m | 6.7 | 9.9% | 2.2% | +13.1% | −32% / +7% |
| ALBON.PACompagnie Lebon | 111.7 m | 16.5 | 4.2% | 8.8% | −17.9% | +6% / +8% |
| ALHYF.PALhyfe | 75.8 m | — | -33.4% | -570.5% | +287.2% | unavailable / unavailable |
| ALFER.PASergeferrari Group | 61.5 m | 11.5 | 5.1% | 1.5% | +7.4% | −33% / −27% |
| ABEO.PAAbeo | 60.8 m | 7.3 | 6.9% | 3.0% | +12.6% | −13% / −54% |
1- and 3-year price returns: for SW.PA from daily closes (the same as the performance table), for the other companies from month-end closes.
olivLaw engine forecast
The world engine ran after the company's latest material disclosure. Probabilities are of TOUCHING a level within the horizon (not closing there) and sit next to the random walk (p_rw), the no-information benchmark.
The engine has no published run for this company yet.
Valuation scenarios (editable assumptions)
Illustrative scenarios
Illustrative: not forecasts and without probabilities. Each case is one coherent set of assumptions, computed on today's figures.
Estimated price (EUR)
| Estimated price | Bear | Base | Bull |
|---|---|---|---|
| 1 years | 34.93 Total return -39% · Per year -39% | 61.85 Total return 7% · Per year 7% | 93.31 Total return 60% · Per year 60% |
| 3 years | 31.66 Total return -38% · Per year -15% | 63.29 Total return 18% · Per year 6% | 105.15 Total return 91% · Per year 24% |
| 5 years | 28.70 Total return -37% · Per year -9% | 64.77 Total return 30% · Per year 5% | 118.51 Total return 126% · Per year 18% |
- Exit P/E± 15.82
- Net margin± 11.08
- Annual revenue growth± 9.39
- Annual dilution± 0.93
AI analysis
AI-generatedAI-generated analysis (Claude) from cited public sources; it may contain errors. Not investment advice. As of 27 Oct 2026 · Model: claude-haiku-5-5.
In brief
Sodexo is a global provider of food and facilities management services to corporate, education, healthcare and senior-living clients across many countries. Its sustainability roadmap Better Tomorrow 2028 links responsible purchasing and food-waste reduction to long-term climate goals, with progress reported for fiscal 2025 1.
SWOT
Strengths
- Global footprint with a large and diversified workforce across regions and segments, providing operational stability.
- Strong external recognition on ethics and climate, including rankings from EcoVadis and CDP.
- Reporting systems and food-waste programmes built into operations and tied to sustainability-linked financing.
Weaknesses
- Progress on cage-free eggs has been uneven across regions, and some targets have been pushed back for certain countries.
- Supply chain emissions, which make up most of the footprint, remain difficult to reduce.
- Headcount in North America declined because of contract terminations in education.
Opportunities
- Demand for healthy, low-footprint meals could grow if institutional clients request them more often.
- The healthcare and seniors segment shows commercial momentum in several regions.
- Tighter reporting requirements could favour providers with solid data and mature systems.
Threats
- Avian flu outbreaks can disrupt supply and affect costs and commitments.
- Geopolitical instability and security risks in some areas can affect clients and consumers.
- Loss of large client contracts, such as in education, can quickly reduce volumes in one region.
Risks
- Supply disruption for eggs and meatmedium
Animal disease outbreaks can interrupt supply chains and slow welfare targets, with cost effects.
- Reputational risk around animal welfaremedium
The document acknowledges reputational and legal risk arising from claims about animal welfare in the supply chain.
- Consumer safety risksmedium
In some areas consumers may face higher safety risks linked to geopolitical instability, terrorism or epidemics, which calls for rapid response capacity.
- Business ethics compliance risklow
Breaches of rules on corruption and anticompetitive practices could create legal, operational and reputational risks.
- Loss of education contractslow
Terminations of education clients, present in the report for North America, could reduce headcount and revenue in an important region.
Investment thesis
What would need to be true (bull case)
- If food-waste and emissions reductions continue, Sodexo could strengthen its edge with clients who demand measurable sustainability.
- Global presence and external recognition may support new contracts and retention of institutional clients.
- The healthcare and seniors segment shows commercial momentum, which could bring sustained growth if the trend holds.
What would break the thesis
- If cage-free sourcing targets remain delayed, the company may find it hard to meet its public commitments.
- Loss of large contracts such as in education could reduce volumes faster than they can be replaced.
- Supply costs and disruption from epidemics could compress margins, especially if they cannot be passed on to clients.
What to watch
- Progress toward the Better Tomorrow 2028 targets on food waste and emissions2028
- Evolution of North American headcount after education contract terminationsNext 10-K
- Pace of cage-free egg sourcing in Europe and the United States2026
- Impact of CSRD reporting on supplier and emissions data2027
Products, market & competition
AI-generatedAI-generated analysis (Claude) from cited public sources; it may contain errors. Not investment advice. As of 27 Oct 2026 · Model: claude-haiku-5-5.
The business
Sodexo presents itself in its annual report as a global provider of food services and client services management for companies, administrations, education, healthcare and seniors. The group connects producers, suppliers, clients and consumers every day, which according to the document gives it a central role in the food system 1. Total headcount reached 426 464 employees at 31 August 2025, a slight increase from the prior year 1. The report stresses that sustainability is built into operations rather than run as a separate programme 1.
Segments
Food and client services by region
Operations are organised across Europe, North America and the rest of the world. At 31 August 2025 North America had the largest headcount among the regional groupings, but its workforce fell slightly because of contract terminations in education, while Europe grew thanks to Sodexo Live! in the United Kingdom and the Healthcare & Seniors segment 1.
Healthcare and seniors
The document mentions sustained commercial momentum in Healthcare & Seniors across Europe, as well as robust growth in Brazil and Chile linked to this activity 1. The segment appears as one of the growth drivers for headcount in certain countries, although the report does not detail segment revenue in this section 1.
Market context
Sodexo operates in food services and facilities management for institutional and corporate clients, with a significant presence in the United States, India and Brazil, where its largest workforces are located 1. According to the report, food systems account for about one third of global greenhouse gas emissions, and reducing food waste is treated as a key policy and operational lever 1.
Trends
- Shift toward lower-carbon foodtailwind
Sodexo aims for 70% of main dishes in its central menus to be low-carbon by 2030, which could support demand for plant-based menus if clients adopt them 1.
- Sustainability reporting under CSRDmixed
CSRD requirements oblige detailed disclosure on emissions, waste and suppliers; this could raise administrative costs while favouring companies that already have mature data systems 1.
- Avian flu and supply chainsheadwind
Avian flu outbreaks in early 2025 temporarily disrupted supply of cage-free eggs and slowed progress, even reversing some gains from earlier years 1. Cost pressure on supply remains a risk factor 1.
- Demand for animal welfare and ethical sourcingmixed
Animal welfare commitments such as ECC in Europe and BCC in the United States and Canada guide purchasing and may strengthen the position with clients sensitive to these issues, but implementation is uneven across regions 1.
Competitive position
The annual report does not list direct competitors, and this analysis uses no data beyond the source. Competition appears to revolve mainly around service quality, contract pricing, the ability to meet sustainability standards and the ability to win long-term contracts with institutional clients 1. External certification and assessment, such as the EcoVadis ranking among the top 2% of companies, may influence client purchasing decisions 1.
Differentiation through sustainability and ethics is central to the positioning. External recognitions, such as the 'Most Ethical Companies' designation and the CDP A- rating, support the group's reputation with clients and investors 1.
- Institutional food service operators
The document does not name competitors; other food service providers in the sector are not identified here.
- Regional catering providers
Local markets are contested by regional operators, which the report does not enumerate.
- Facilities management operators
Companies offering integrated facilities management compete for contracts with the same institutional clients.
- Corporate and event catering businesses
These players compete in corporate and event segments, where demand for flexible services is high.
News & filings
In the press
- Concedieri în masă la Sodexo: Peste 1.000 de angajați vor rămâne fără locuri de muncăAntena 3 CNN · 28 Aug 2026 · RO
Annual reports (ESEF)
- Annual report 202518 Nov 2025
- Annual report 202412 Nov 2024
Sources
- [1] Annual report, fiscal year ended 2025-08-31 (ESEF) · SEC / Sodexo · 31 Aug 2025
Figures computed by olivLaw from ESEF annual reports and closing prices; the qualitative analysis is AI-generated from cited sources. Not investment advice.