BASF SE (BASFY) AI Stock Analysis

• Market Cap: $43.24B
• Dividend Yield: 5.25%
• Average Volume (3M): 142.54K
• Price to Earnings (P/E): 54.3
• Beta (1Y): 0.89
• Revenue Growth: -3.06%
• EPS Growth: 1458.45%
• Country: US
• Employees: 111,408
• Sector: Basic Materials
• Sector Strength: 66
• Industry: Chemicals
• EPS (TTM): 0.45
• Shares Outstanding: 3,570,088,600
• 10 Day Avg. Volume: 162,216
• 30 Day Avg. Volume: 142,539
• PEG Ratio: 0.25
• Price to Book (P/B): 0.28
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 3.11
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: $12.60
• Price Target Upside: 6.24% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 1

• Rating: 62 Neutral
• Price Target: $12.50 ▲(5.40%Upside)

BASFY's overall score reflects solid operational efficiency and strategic investments, despite challenges in North American volumes and cash flow. The high P/E ratio suggests overvaluation, partially offset by a strong dividend yield. The stable EBITDA and commitment to local production are positive, but macroeconomic risks and regional declines remain concerns.

BASF SE Business Overview & Revenue Model

Company Description

BASF SE operates as a chemical company worldwide. The company operates through six segments: Chemicals, Materials, Industrial Solutions, Surface Technologies, Nutrition & Care, and Agricultural Solutions. The Chemicals segment provides petrochemicals and intermediates. The Materials segment offers advanced materials and their precursors for applications and systems, such as isocyanates and polyamides, as well as inorganic basic products and specialties for plastic and plastic processing industries. The Industrial Solutions segment develops and markets ingredients and additives for industrial applications, such as polymer dispersions, pigments, resins, electronic materials, antioxidants, light stabilizers, oilfield chemicals, mineral processing, and hydrometallurgical chemicals. The Surface Technologies segment offers chemical solutions and automotive OEM, which include refinish coatings, surface treatment, catalysts, battery materials, and precious and base metal services for the automotive and chemical industries. The Nutrition & Care segment provides nutrition and care ingredients for food and feed producers, as well as pharmaceutical, cosmetics, detergent, and cleaner industries. The Agricultural Solutions segment offers crop protection products and seeds, such as fungicides, herbicides, insecticides, and biological crop production products, as well as seed treatment products. The company has strategic partnerships with Contemporary Amperex TechnologyCo., Limited on battery materials solutions, including cathode active materials and battery recycling. BASF SE was founded in 1865 and is headquartered in Ludwigshafen am Rhein, Germany.

How the Company Makes Money

BASF SE makes money primarily through the production and sale of chemicals and related products across its diverse business segments. The Chemicals segment, which includes products such as petrochemicals and intermediates, serves as a cornerstone for BASF's operations, supplying essential materials to other segments and industries. The Materials segment focuses on performance materials and monomers, catering to sectors like automotive and construction. Industrial Solutions offers solutions in the form of chemical-based products for various industries including electronics and energy. Surface Technologies is a leading supplier of coatings and catalysts, predominantly serving the automotive industry. In Nutrition & Care, BASF provides ingredients for consumer goods, pharmaceuticals, and animal nutrition. The Agricultural Solutions segment offers a comprehensive portfolio of crop protection products. Additionally, BASF generates revenue from its oil and gas segment through Wintershall Dea, a joint venture focusing on exploration and production of oil and gas resources. Strategic partnerships, diversified product offerings, and a global presence significantly contribute to BASF’s revenue streams.

BASF SE Financial Statement Overview

Summary

BASF SE shows solid operational efficiency with stable margins, but revenue volatility and declining net income pose challenges. The balance sheet reflects prudent leverage use and financial stability, but returns on equity are modest. Cash flow management sees mixed results, with strong operating cash flows but declining free cash flow. Overall, the company needs to address profitability and cash flow sustainability to enhance financial health.

Income Statement

The TTM (Trailing-Twelve-Months) figures show a gross profit margin of 26.08% and a net profit margin of 1.13%, indicating some profitability but with pressure on the bottom line. Revenue has fluctuated with a recent decline, but EBIT and EBITDA margins are stable. This reflects moderate profitability and efficiency in operations despite revenue challenges.

Balance Sheet

The debt-to-equity ratio is 0.63, showing a reasonable use of leverage. ROE is low at 2.05%, signaling limited returns on equity. The equity ratio stands at 44.31%, indicating financial stability. Overall, the balance sheet presents a balanced leverage position with stability, though returns could be improved.

Cash Flow

The free cash flow growth rate shows a significant decline, reflecting cash flow challenges. Operating cash flow to net income ratio is strong at 8.76, demonstrating effective cash generation relative to net income. However, free cash flow to net income is weak at 0.55, highlighting potential issues in maintaining free cash flow levels.

Breakdown
TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement		Total Revenue
65.11B	65.26B	68.90B	87.33B	78.60B	59.15B
	Gross Profit
16.99B	17.09B	16.70B	21.07B	19.80B	15.11B
	EBIT
2.62B	2.03B	2.24B	2.47B	7.68B	233.00M
	EBITDA
7.03B	7.77B	7.33B	10.22B	10.84B	3.57B
	Net Income Common Stockholders
739.00M	1.30B	225.00M	-391.00M	5.52B	-1.47B
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
2.37B	2.98B	2.68B	2.75B	2.83B	4.54B
	Total Assets
81.42B	80.42B	77.39B	84.47B	87.38B	80.29B
	Total Debt
22.77B	24.00B	21.35B	20.95B	19.14B	21.19B
	Net Debt
20.45B	21.08B	18.72B	18.43B	16.51B	16.86B
	Total Liabilities
44.07B	43.53B	40.75B	43.55B	45.30B	45.89B
	Stockholders Equity
36.09B	35.60B	35.28B	36.60B	40.79B	33.73B
Cash Flow		Free Cash Flow
406.00M	748.00M	2.72B	3.33B	3.71B	2.28B
	Operating Cash Flow
6.48B	6.95B	8.11B	7.71B	7.25B	5.41B
	Investing Cash Flow
-4.89B	-5.08B	-4.99B	-3.78B	-2.62B	-1.90B
	Financing Cash Flow
-2.00B	-1.55B	-2.90B	-4.01B	-6.46B	-1.56B

BASF SE Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 11.86
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For BASFY, the sentiment is Negative. The current price of 11.86 is below the 20-day moving average (MA) of 12.04, below the 50-day MA of 12.01, and above the 200-day MA of 11.85, indicating a neutral trend. The MACD of -0.01 indicates Positive momentum. The RSI at 44.22 is Neutral, neither overbought nor oversold. The STOCH value of 25.14 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for BASFY.

BASF SE Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
DOW	69 Neutral	$20.15B	71.23	1.60%	9.82%	-2.08%	-76.11%
BASFY	62 Neutral	$43.24B	54.27	2.00%	5.25%	-3.06%	1458.45%
TROX	56 Neutral	$871.54M	―	-8.44%	9.09%	4.15%	57.25%
CE	53 Neutral	$5.95B	6.84	-26.94%	0.22%	-5.98%	-183.27%
Sector *	51 Neutral	$1.99B	-1.26	-21.11%	5.30%	2.92%	-30.46%
BAK	46 Neutral	$1.52B	―	-8638.28%	―	0.81%	-34.74%
HUN	46 Neutral	$1.82B	―	-4.46%	9.57%	0.02%	-43.65%