# Indra A (IDR.MC)

Canonical: https://gigainvestors.com/s/IDR.MC

Analysis as of: 2026-10-16T07:35:31.477Z. Financial observations: FY2001–FY2025.

Listing currency: EUR. Reporting currency: EUR.

## Verdict

Not a wonderful business

Quality tests for Buy: not passed (profit record: pass; earnings resilience is evidence only). Published buy qualification: no.

Share price: EUR 63.10 per share; close as of 2026-10-15.

Estimated value: low EUR 36.71 per share, central EUR 44.62 per share, high EUR 49.98 per share. Buy at or below the central value EUR 44.62 per share. Valuation as of 2026-10-16T07:35:31.477Z; scenarios are not confidence intervals.

Expected annual return: 7.4% at the stated quote. About 7.4% a year at today's price (required return 10.0%). required return 10.0% a year (10% floor; ES 10-year bond 4.0% + 4 points).

## Checklist

### understandable: pass

- 2 revenue declines in the last 10 years (informational)

- Financial history: 10 years

- Years with declining revenue: 2

- Years with a net loss: 1

- Operating margin variation: 0.34×

Chart: Operating margin; fiscal year observations.

- FY2016: 0.06×

- FY2017: 0.06×

- FY2018: 0.06×

- FY2019: 0.07×

- FY2020: 0.01×

- FY2021: 0.08×

- FY2022: 0.08×

- FY2023: 0.08×

- FY2024: 0.09×

- FY2025: 0.09×

### moat: fail

- Recent gross margin fell 8.4pp below the typical margin (limit 4pp)

- ROIC, median of available years: 37.9%

- ROIC, second-lowest year: 13.2%

- Typical minus recent gross margin: 8.4 pp

- Typical gross margin (annual median): 32.0%

- Recent gross margin (lower of latest and 3-year median): 23.6%

- Years with nonpositive capital: 0

- Capital spending / revenue: 1.6%

- ROIC including acquisitions, ten-year median: 10.9%

Chart: ROIC excluding acquisitions; fiscal year observations.

- FY2016: 15.3%

- FY2017: 30.1%

- FY2018: 45.7%

- FY2019: 22.8%

- FY2020: 2.3%

- FY2021: 49.1%

- FY2022: 67.4%

- FY2023: 83.0%

- FY2024: 58.0%

- FY2025: 13.2%

### economics: pass

- Owner earnings / net income, 5-yr: 1.06×

- Cash conversion uses consolidated totals: No

- Owner earnings, five-year total: EUR 1.3B

- Net income, five-year total: EUR 1.2B

- Return on incremental invested capital: 91.2%

- Working capital / revenue, annual change: 1.0 pp

- Working capital / revenue, change between three-year averages: 6.0 pp

- Working capital / revenue, final three-year average: 29.3%

Chart: Annual owner cash / profit; fiscal year observations.

- FY2021: 1.16×

- FY2022: 1.16×

- FY2023: 1.06×

- FY2024: 0.90×

- FY2025: 1.09×

### management: pass

- Historical market-dollar context (not the management verdict): 2016 to 2025 (9 years)

- potential debt-funded buybacks (informational)

- buybacks unrelated to price (informational)

- ROIC first 3 years vs last 3 years: 30.1% vs 58.0%

- Per-share earnings: 0.38 to 1.58 (three-year endpoint medians)

- Management verdict uses per-share economic progress: Yes

- Ordinary dilution, 10-year annual growth: -0.3%

- Ordinary dilution, 5-year annual growth: -1.9%

- Market cap gain: EUR 6.6B

- Cumulative retained earnings: EUR 1.3B

- Diluted shares, 10-year annual growth: -0.3%

- Diluted shares, 5-year annual growth: -1.9%

- $1 test, starting fiscal year: FY2016

- $1 test, ending fiscal year: FY2025

- Per-share value growth: 19.5%

- Per-share value change: EUR 1.20

- Per-share value, starting three-year median: EUR 0.38

- Per-share value, ending three-year median: EUR 1.58

- Buybacks concentrated in cheaper years (correlation): -0.01

- Average buyback yield: 4.0%

- Buyback history: 10 years

- Debt-funded buybacks: Yes

- Acquisition spending: EUR 1.2B

- Cumulative net income, 10 years: EUR 1.6B

- ROIC, first three-year median: 30.1%

- ROIC, last three-year median: 58.0%

Chart: Earnings per share; fiscal year observations.

- FY2016: EUR 0.38

- FY2017: EUR 0.63

- FY2018: EUR 0.59

- FY2019: EUR 0.63

- FY2020: EUR -0.30

- FY2021: EUR 0.74

- FY2022: EUR 0.89

- FY2023: EUR 1.15

- FY2024: EUR 1.58

- FY2025: EUR 2.49

### accounting: pass

- Sloan accruals: -0.6%

- Receivables to sales index (DSRI): 1.38×

- Restructuring years, last five: 0

- Stock compensation / operating cash flow: 0.0%

- Earnings backed by cash: Yes

- Operating cash / earnings: 1.13×

- Accounting red flags: 0

- Goodwill and intangibles / equity: 1.10×

Chart: Sloan accruals; fiscal year observations.

- FY2016: -5.0%

- FY2017: -3.1%

- FY2018: -3.6%

- FY2019: -0.7%

- FY2020: -5.7%

- FY2021: -4.4%

- FY2022: -3.9%

- FY2023: -3.7%

- FY2024: -3.5%

- FY2025: -0.6%

## Holders

## Price story

Price needs cash profits to grow 10.7% a year for ten years · "Indra Sistemas Shares Jump as Spanish Armed Forces Overhaul Drives Orders" (finance.yahoo.com, Feb 2026) · sales +12.7%

Story as of 2026-10-16T10:00:05.388Z; price observation 2026-10-15.

Price needs cash profits to grow 10.7% a year for ten years

- 2026-02-26: Indra Sistemas Shares Jump as Spanish Armed Forces Overhaul Drives Orders ([finance.yahoo.com](https://finance.yahoo.com/m/3bf64c66-e5a9-3f42-9e0c-81e09ec202b1/indra-sistemas-shares-jump-as.html))

### Sales · FY2024–2025

sales +12.7%; source https://filings.xbrl.org/95980020140005308793/2024-12-31/ESEF/ES/0/95980020140005308793-20241231-es/reports/95980020140005308793-20241231-es.xhtml; observed 2025-05-08.

- FY2016: EUR 2.7B 

- FY2017: EUR 3.0B 

- FY2018: EUR 3.1B 

- FY2019: EUR 3.2B 

- FY2020: EUR 3.0B 

- FY2021: EUR 3.4B 

- FY2022: EUR 3.9B 

- FY2023: EUR 4.3B 

- FY2024: EUR 4.8B 

- FY2025: EUR 5.5B 

### Gross margin · FY2025

gross margin 23.6%; source https://filings.xbrl.org/95980020140005308793/2024-12-31/ESEF/ES/0/95980020140005308793-20241231-es/reports/95980020140005308793-20241231-es.xhtml; observed 2025-05-08.

- FY2016: 38.0% 

- FY2017: 37.6% 

- FY2018: 26.7% 

- FY2019: 37.2% 

- FY2020: 30.4% 

- FY2021: 30.5% 

- FY2022: 33.5% 

- FY2023: 24.8% 

- FY2024: 34.7% 

- FY2025: 23.6% 

## Owner memo

Memo as of 2026-10-16T08:06:05.509Z.

### How it makes money

Operates in information technology services; annual sales are EUR 5.5 billion.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2025-05-08); FY2025: revenue 5456652000; grossProfit 1285799000; margin = grossProfit / revenue.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16); IDR.MC: Indra Sistemas, S.A., together with its subsidiaries, provides technology services for the defense, aerospace, and advanced digital technologies sectors in Spain, Brazil, the rest of America, Italy, the rest of Europe, Asia, the Middle East, and Africa. It operates through the Defense, Air Traffic, Mobility, and Minsait segments. The company engages in the design, development, production, integration, and maintenance of systems, solutions, and services based on the use of information technologies, including computing, electronics, and communications. It also offers radars and radar systems, air defense systems, surveillance, security and unmanned vehicles, and shipboard systems for air and naval platforms; command and control systems, communications systems, and simulators; land military vehicles; unmanned aerial systems; satellite communication systems; air traffic management systems and equipment; air traffic control training services; and ticketing and tolling systems, information and control systems for multiple infrastructures and modes of transport, railway safety and signaling systems, and transport planning and consulting services. In addition, the company provides proprietary product solutions; implementation of third-party solutions; digital business services, including business consulting, cybersecurity, and advanced technologies; traditional information technology (IT) services, such as IT outsourcing, business process outsourcing, IT restructuring management, and user management; and technology solutions for the energy and industry, telecom and media, public administration and healthcare, and financial services. It offers its services to governments and public administrations under the Indra and Minsait brands. The company was formerly known as Experiencias Industriales S.A. and changed its name to Indra Sistemas, S.A. in 1993. Indra Sistemas, S.A. was founded in 1921 and is headquartered in Alcobendas, Spain.

### Why customers stay

Margins ranged from 23.6% to 34.7% during 2023–25; it earns 37.9% on its capital.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2025-05-08); FY2023: grossProfit / revenue = 24.8%.

- Source: https://filings.xbrl.org/95980020140005308793/2024-12-31/ESEF/ES/0/95980020140005308793-20241231-es/reports/95980020140005308793-20241231-es.xhtml (filed 2025-05-08); FY2024: grossProfit / revenue = 34.7%.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2025-05-08); FY2025: grossProfit / revenue = 23.6%.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2025-05-08); 10-year return on capital observations [[2016,0.15254849573156204],[2017,0.300705930487102],[2018,0.45678369501651844],[2019,0.22770610539915603],[2020,0.023065297600320337],[2021,0.49131865276039877],[2022,0.6737863905058241],[2023,0.8300472747850353],[2024,0.5803450694411536],[2025,0.1322638222781257]]; median 0.3787448127518102. ROIC follows the displayed moat series; financial companies use return on tangible equity.

### Where the cash goes

Paid dividends in 7 of 10 years; bought back EUR 578 million of shares.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2025-05-08); FY2016: growth capex 0; upkeep 38820000; owner earnings 98947000. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2025-05-08); FY2017: growth capex 0; upkeep 52129000; owner earnings 145401000. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2025-05-08); FY2018: growth capex 0; upkeep 88166000; owner earnings 125293000. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2025-05-08); FY2019: growth capex 0; upkeep 94723000; owner earnings 125369400. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2025-05-08); FY2021: growth capex 0; upkeep 49156000; owner earnings 166437600. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2025-05-08); FY2022: growth capex 0; upkeep 54119000; owner earnings 199557400. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2025-05-08); FY2023: growth capex 0; upkeep 62707000; owner earnings 217318400. Growth capex / owner earnings = 0.

- Source: https://filings.xbrl.org/95980020140005308793/2024-12-31/ESEF/ES/0/95980020140005308793-20241231-es/reports/95980020140005308793-20241231-es.xhtml (filed 2025-05-08); FY2024: growth capex 4050000; upkeep 106950000; owner earnings 251071200. Growth capex / owner earnings = 0.016130882395113417.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2025-05-08); FY2025: growth capex 0; upkeep 44078000; owner earnings 476874235.4154422. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2025-05-08); Dividend observations: [[2016,0],[2017,0],[2018,0],[2019,29292000],[2020,258087000],[2021,34071000],[2022,26463000],[2023,44094000],[2024,44100000],[2025,43923000]]. Zero only counted when supported by a complete cash-flow statement.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2025-05-08); FY2025: cash repurchases 578032000 EUR.

### Are managers owners

Insiders own 36% of the company.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16); IDR.MC SharesStats.PercentInsiders = 35.97 percentage points; cache date 2026-10-16.

### What the price says

The price assumes cash profits grow 10.7% yearly over ten years.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2025-05-08); Ten-year compound average after fade. Initial solved rate 0.14159617394326196. Price 63.1; FX 1; discount 0.1; same standard ten-year fade to terminal 0.03. FY2015 owner earnings/share -3.306489452207287 → FY2025 2.72095462462002. Closing-price date 2026-10-15.

## Monthly share-price history (EUR per share)

- 2016-10: EUR 11.29 per share

- 2016-11: EUR 9.75 per share

- 2016-12: EUR 10.41 per share

- 2017-01: EUR 10.19 per share

- 2017-02: EUR 11.91 per share

- 2017-03: EUR 11.97 per share

- 2017-04: EUR 12.59 per share

- 2017-05: EUR 12.35 per share

- 2017-06: EUR 12.64 per share

- 2017-07: EUR 13.10 per share

- 2017-08: EUR 13.22 per share

- 2017-09: EUR 13.37 per share

- 2017-10: EUR 12.34 per share

- 2017-11: EUR 11.45 per share

- 2017-12: EUR 11.41 per share

- 2018-01: EUR 11.84 per share

- 2018-02: EUR 11.37 per share

- 2018-03: EUR 11.23 per share

- 2018-04: EUR 11.48 per share

- 2018-05: EUR 10.85 per share

- 2018-06: EUR 10.25 per share

- 2018-07: EUR 10.39 per share

- 2018-08: EUR 10.60 per share

- 2018-09: EUR 9.89 per share

- 2018-10: EUR 8.74 per share

- 2018-11: EUR 9.29 per share

- 2018-12: EUR 8.24 per share

- 2019-01: EUR 8.98 per share

- 2019-02: EUR 9.52 per share

- 2019-03: EUR 9.90 per share

- 2019-04: EUR 10.50 per share

- 2019-05: EUR 9.43 per share

- 2019-06: EUR 8.89 per share

- 2019-07: EUR 7.77 per share

- 2019-08: EUR 7.16 per share

- 2019-09: EUR 7.94 per share

- 2019-10: EUR 8.66 per share

- 2019-11: EUR 9.74 per share

- 2019-12: EUR 10.18 per share

- 2020-01: EUR 10.36 per share

- 2020-02: EUR 9.87 per share

- 2020-03: EUR 7.50 per share

- 2020-04: EUR 7.87 per share

- 2020-05: EUR 6.95 per share

- 2020-06: EUR 7.00 per share

- 2020-07: EUR 6.37 per share

- 2020-08: EUR 6.09 per share

- 2020-09: EUR 6.08 per share

- 2020-10: EUR 5.15 per share

- 2020-11: EUR 6.70 per share

- 2020-12: EUR 6.98 per share

- 2021-01: EUR 7.27 per share

- 2021-02: EUR 7.28 per share

- 2021-03: EUR 7.50 per share

- 2021-04: EUR 8.67 per share

- 2021-05: EUR 7.01 per share

- 2021-06: EUR 7.70 per share

- 2021-07: EUR 8.82 per share

- 2021-08: EUR 9.14 per share

- 2021-09: EUR 9.28 per share

- 2021-10: EUR 10.45 per share

- 2021-11: EUR 10.28 per share

- 2021-12: EUR 9.52 per share

- 2022-01: EUR 8.99 per share

- 2022-02: EUR 10.28 per share

- 2022-03: EUR 10.10 per share

- 2022-04: EUR 9.77 per share

- 2022-05: EUR 10.14 per share

- 2022-06: EUR 9.13 per share

- 2022-07: EUR 8.90 per share

- 2022-08: EUR 7.84 per share

- 2022-09: EUR 7.86 per share

- 2022-10: EUR 9.05 per share

- 2022-11: EUR 9.80 per share

- 2022-12: EUR 10.65 per share

- 2023-01: EUR 11.20 per share

- 2023-02: EUR 11.94 per share

- 2023-03: EUR 12.45 per share

- 2023-04: EUR 12.00 per share

- 2023-05: EUR 11.47 per share

- 2023-06: EUR 11.58 per share

- 2023-07: EUR 13.22 per share

- 2023-08: EUR 13.05 per share

- 2023-09: EUR 13.70 per share

- 2023-10: EUR 13.25 per share

- 2023-11: EUR 14.15 per share

- 2023-12: EUR 14.00 per share

- 2024-01: EUR 16.47 per share

- 2024-02: EUR 17.67 per share

- 2024-03: EUR 19.21 per share

- 2024-04: EUR 18.03 per share

- 2024-05: EUR 21.10 per share

- 2024-06: EUR 19.31 per share

- 2024-07: EUR 18.54 per share

- 2024-08: EUR 16.92 per share

- 2024-09: EUR 16.49 per share

- 2024-10: EUR 16.20 per share

- 2024-11: EUR 16.66 per share

- 2024-12: EUR 17.08 per share

- 2025-01: EUR 18.55 per share

- 2025-02: EUR 20.96 per share

- 2025-03: EUR 26.72 per share

- 2025-04: EUR 28.02 per share

- 2025-05: EUR 36.24 per share

- 2025-06: EUR 36.86 per share

- 2025-07: EUR 36.34 per share

- 2025-08: EUR 34.48 per share

- 2025-09: EUR 38.10 per share

- 2025-10: EUR 47.96 per share

- 2025-11: EUR 46.00 per share

- 2025-12: EUR 48.54 per share

- 2026-01: EUR 54.60 per share

- 2026-02: EUR 62.75 per share

- 2026-03: EUR 47.24 per share

- 2026-04: EUR 48.81 per share

- 2026-05: EUR 56.88 per share

- 2026-06: EUR 47.92 per share

- 2026-07: EUR 56.80 per share

- 2026-08: EUR 61.20 per share

- 2026-09: EUR 57.98 per share

- 2026-10: EUR 61.80 per share

## Annual estimated value (EUR per share)

- FY2016: low EUR 7.55 per share, central EUR 8.26 per share, high EUR 9.21 per share

- FY2017: low EUR 8.47 per share, central EUR 9.20 per share, high EUR 10.17 per share

- FY2018: low EUR 10.37 per share, central EUR 11.22 per share, high EUR 12.34 per share

- FY2019: low EUR 11.18 per share, central EUR 12.16 per share, high EUR 13.46 per share

- FY2020: low EUR 12.55 per share, central EUR 13.48 per share, high EUR 14.72 per share

- FY2021: low EUR 13.93 per share, central EUR 15.00 per share, high EUR 16.42 per share

- FY2022: low EUR 13.43 per share, central EUR 14.64 per share, high EUR 16.26 per share

- FY2023: low EUR 16.24 per share, central EUR 18.04 per share, high EUR 20.44 per share

- FY2024: low EUR 17.72 per share, central EUR 19.80 per share, high EUR 22.57 per share

- FY2025: low EUR 25.51 per share, central EUR 32.48 per share, high EUR 37.20 per share

Historical values use today's bond yield for every fiscal year

Historical values use today's FX rate into trading currency for every fiscal year

Historical values use current restated fundamentals and current commodity classification; they are not point-in-time estimates

Prior published observations retained from 2026-10-15T06:41:15.364Z where newer inputs omit a numeric field or fiscal period.

## Sources

[Original ESEF filing](https://filings.xbrl.org/95980020140005308793/2024-12-31/ESEF/ES/0/95980020140005308793-20241231-es/reports/95980020140005308793-20241231-es.xhtml); period 2024-12-31, filed 2025-05-08.

Estimates depend on assumptions and are not guarantees or investment advice. Underlying data remains subject to its source licenses; public reading does not grant bulk redistribution rights.