Arbonia AG (ARBN) AI Stock Analysis

• Market Cap: CHF338.01M
• Dividend Yield: 82.95%
• Average Volume (3M): 120.70K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.49
• Revenue Growth: N/A
• EPS Growth: N/A
• Country: CH
• Employees: 2,763
• Sector: Industrials
• Sector Strength: 72
• Industry: Construction
• EPS (TTM): -1.02
• Shares Outstanding: 69,473,240
• 10 Day Avg. Volume: 113,069
• 30 Day Avg. Volume: 120,697
• PEG Ratio: -0.63
• Price to Book (P/B): 0.82
• Price to Sales (P/S): 1.40
• P/FCF Ratio: -23.50
• 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: CHF6.45
• Price Target Upside: 23.56% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 2
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 50 Neutral
• Price Target: CHF5.00 ▼(-4.21% Downside)

Arbonia AG's overall stock score is primarily influenced by its financial performance and technical analysis. The company shows revenue growth and a strong gross margin but faces challenges in profitability and cash flow management. Technical indicators suggest bearish momentum, with the stock trading below key moving averages. The valuation is mixed, with a negative P/E ratio but a very high dividend yield. These factors combined result in a moderate overall score.

Positive Factors

Revenue Growth

The consistent revenue growth indicates strong demand for Arbonia's products, suggesting a robust market position and potential for future expansion.

Gross Profit Margin

A high gross profit margin reflects efficient production processes and pricing power, contributing to long-term profitability and competitive advantage.

Stable Balance Sheet

A stable balance sheet with manageable debt levels provides financial flexibility, supporting sustainable growth and operational resilience.

Negative Factors

Net Profit Margin

Low net profit margins suggest difficulties in controlling costs or pricing, which could hinder long-term profitability and shareholder returns.

Free Cash Flow

Negative free cash flow indicates potential cash management issues, limiting the company's ability to invest in growth opportunities and pay dividends.

Operational Efficiency

Zero EBIT margin points to operational inefficiencies, which could affect the company's ability to generate profits and compete effectively in the market.

Arbonia AG Business Overview & Revenue Model

Company Description

Arbonia AG is a Swiss-based company that operates in the construction and building materials sector, focusing on providing innovative solutions for the heating, ventilation, and air conditioning (HVAC) industries. The company is organized into several segments, including Heating Technology, Sanitary Equipment, and Windows & Doors, offering a diverse range of products such as radiators, bathroom fixtures, and energy-efficient windows. Arbonia is dedicated to sustainability and energy efficiency, catering to both residential and commercial markets across Europe.

How the Company Makes Money

Arbonia AG generates revenue primarily through the sale of its various building and heating products across its core segments. The Heating Technology segment contributes a significant portion of the revenue, focusing on radiators and heating systems that are essential for both new constructions and renovations. The Sanitary Equipment segment offers products like showers, toilets, and washbasins, which are targeted at both residential and commercial customers. The Windows & Doors segment provides energy-efficient window and door solutions, capitalizing on trends toward sustainable building practices. Key revenue streams include direct sales to contractors, distribution partnerships with retailers, and collaborations with construction firms for large-scale projects. Additionally, Arbonia's emphasis on energy-efficient products aligns with regulatory trends in Europe, potentially driving demand and growth in their earnings. The company may also benefit from partnerships with technology providers to enhance product offerings and market reach.

Arbonia AG Financial Statement Overview

Summary

Arbonia AG demonstrates potential in revenue growth and a strong gross margin but struggles with net profitability and cash flow management. The balance sheet is stable with a reasonable debt level, but overall profitability and cash flow generation need improvement to enhance financial health.

Income Statement

Arbonia AG's income statement shows mixed results. The gross profit margin for 2024 is approximately 61.97%, indicating strong profitability at the gross level. However, the net profit margin is only 1.49%, reflecting challenges in maintaining profitability after operating expenses. Revenue increased by 10.23% from 2023 to 2024, showing positive growth. Despite the growth, EBIT margin is 0%, and EBITDA margin is 16.59%, suggesting issues in operational efficiency.

Balance Sheet

The balance sheet reveals a moderate financial structure. The debt-to-equity ratio for 2024 is 0.40, indicating manageable leverage. Return on equity is 0.87%, pointing to limited returns for shareholders. The equity ratio is 55.67%, demonstrating a solid equity base. Overall, the balance sheet is stable but shows limited profitability.

Cash Flow

Cash flow analysis shows areas of concern. Free cash flow turned negative in 2024 at -€33 million, down from €9.1 million in 2023, indicating potential cash management issues. The operating cash flow to net income ratio is 4.99, reflecting strong cash conversion, but the free cash flow to net income ratio is negative, pointing to challenges in capital management.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	585.33M	556.31M	504.61M	555.91M	1.19B	1.04B
Gross Profit	233.86M	344.92M	305.89M	328.37M	655.45M	594.11M
EBITDA	43.38M	70.17M	62.22M	44.91M	123.03M	112.31M
Net Income	119.94M	8.28M	-17.21M	19.13M	27.54M	29.73M
Balance Sheet
Total Assets	1.09B	1.70B	1.48B	1.52B	1.62B	1.52B
Cash, Cash Equivalents and Short-Term Investments	23.00M	23.64M	17.16M	29.20M	253.87M	52.11M
Total Debt	156.80M	374.49M	217.58M	213.56M	160.65M	179.49M
Total Liabilities	341.92M	753.76M	561.61M	531.97M	578.95M	621.96M
Stockholders Equity	747.88M	946.42M	920.97M	987.54M	1.04B	893.22M
Cash Flow
Free Cash Flow	-31.66M	-33.03M	9.10M	-196.94M	-56.34M	45.77M
Operating Cash Flow	13.78M	41.34M	100.99M	-25.76M	92.78M	141.31M
Investing Cash Flow	588.22M	-162.69M	-98.62M	-219.79M	159.89M	-88.80M
Financing Cash Flow	-610.57M	129.94M	1.41M	21.46M	-57.52M	-51.37M

Arbonia AG Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 5.22
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For CH:ARBN, the sentiment is Negative. The current price of 5.22 is above the 20-day moving average (MA) of 5.08, above the 50-day MA of 5.02, and below the 200-day MA of 5.42, indicating a bearish trend. The MACD of -0.11 indicates Positive momentum. The RSI at 32.70 is Neutral, neither overbought nor oversold. The STOCH value of 15.84 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for CH:ARBN.

Arbonia AG Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
BEAN	70 Outperform	CHF10.29B	60.27	31.53%	1.22%	16.73%	14.51%
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%
SWTQ	58 Neutral	CHF366.54M	62.12	0.83%	6.02%	-5.85%	-83.70%
OERL	57 Neutral	CHF1.13B	-1,129.68	―	6.26%	-17.75%	83.94%
BYS	55 Neutral	CHF582.16M	-9.51	-9.18%	1.50%	-21.53%	-4693.32%
ARBN	50 Neutral	CHF338.01M	-3.10	―	82.95%	―	―
METN	48 Neutral	CHF381.93M	-29.39	-3.04%	2.47%	-56.09%	-118.83%

Arbonia AG Corporate Events

Arbonia AG Expands European Market Presence with Strategic Acquisitions

Arbonia AG has acquired the Portuguese market leader Cicomol SA and the German metal frame manufacturer Rüthener Zargenbau GmbH (RZB) to strengthen its market position in Europe. These acquisitions are expected to enhance Arbonia’s value chain and provide sales synergies, particularly in Spain, Portugal, and France. The acquisitions, financed through existing credit lines, are margin-enhancing and value-enhancing, with both companies generating significant sales and having an EBITDA margin above Arbonia’s. The integration includes the continuation of existing management and employees to maintain customer relationships and ongoing projects.

The most recent analyst rating on (CH:ARBN) stock is a Hold with a CHF5.50 price target. To see the full list of analyst forecasts on Arbonia AG stock, see the CH:ARBN Stock Forecast page.