Avolta AG (AVOL) AI Stock Analysis

• Market Cap: CHF6.61B
• Dividend Yield: 2.17%
• Average Volume (3M): 172.22K
• Price to Earnings (P/E): 56.7
• Beta (1Y): 1.22
• Revenue Growth: 4.23%
• EPS Growth: -4.24%
• Country: CH
• Employees: 57,679
• Sector: Services
• Sector Strength: N/A
• Industry: Specialty Retail
• EPS (TTM): 1.55
• Shares Outstanding: 146,509,670
• 10 Day Avg. Volume: 141,847
• 30 Day Avg. Volume: 172,218
• PEG Ratio: 5.55
• Price to Book (P/B): 2.28
• Price to Sales (P/S): 0.39
• P/FCF Ratio: 2.53
• 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: CHF50.29
• Price Target Upside: 9.37% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 8

• Rating: 70 Outperform
• Price Target: CHF49.00 ▲(6.57% Upside)

Avolta AG's strong financial performance and positive earnings call sentiment are the primary drivers of its stock score. The company's robust revenue growth and cash flow generation are significant strengths. However, high leverage and a high P/E ratio present risks. Technical indicators suggest limited momentum, and regional challenges could impact future growth.

Avolta AG Business Overview & Revenue Model

Company Description

Avolta AG operates as a travel retailer. The company's retail brands include general travel retail shops under the Dufry, World Duty Free, Nuance, Hellenic Duty Free, Colombian Emeralds, Duty Free Uruguay, Hudson, Duty Free Shop Argentina, RegStaer, Autogrill, Hellenic Duty Free, HMSHost, and World Duty Free brands; Dufry shopping stores; brand boutiques; convenience stores primarily under the Hudson brand; and specialized shops and theme stores. It offers perfumes and cosmetics, food and confectionery, wines and spirits, watches and jewelry, fashion and leather, tobacco goods, souvenirs, electronics, soft drinks, packaged food, travel accessories, personal items, sunglasses, destination merchandise, and other products, as well as newspapers, magazines, and books. It operates duty-free and duty-paid shops located at airports, cruise lines, seaports, railway stations, and downtown tourist areas worldwide. The company was formerly known as Dufry AG and changed its name to Avolta AG in November 2023. The company was incorporated in 1865 and is headquartered in Basel, Switzerland.

How the Company Makes Money

Avolta AG generates revenue primarily through the sale and installation of solar energy systems, which include photovoltaic panels and associated infrastructure. The company also earns income from energy storage solutions, allowing customers to optimize their energy consumption and reduce costs. Additionally, Avolta AG provides consulting services focused on energy efficiency, which contributes to its revenue stream. Strategic partnerships with technology providers and energy companies enhance its market position and facilitate access to new customer segments, further boosting earnings. Government incentives and subsidies for renewable energy projects also play a significant role in supporting Avolta AG's financial performance.

Avolta AG Financial Statement Overview

Summary

Avolta AG exhibits strong revenue growth and operational performance, as reflected in its income statement. However, the balance sheet reveals high leverage, which could be a potential risk. The cash flow statement is a highlight, showcasing excellent cash generation capabilities. Overall, the company is on a growth trajectory but should manage its debt levels carefully to ensure long-term stability.

Income Statement

Avolta AG has shown significant revenue growth over the years, with a notable increase from 2023 to 2024. The gross profit margin is strong, indicating effective cost management. However, the net profit margin remains relatively low, suggesting room for improvement in operational efficiency. The EBIT and EBITDA margins are healthy, reflecting a solid operational performance.

Balance Sheet

The company has a high debt-to-equity ratio, indicating significant leverage, which could pose risks if not managed carefully. However, the return on equity has improved, showing better utilization of shareholder funds. The equity ratio is relatively low, suggesting a high reliance on debt financing.

Cash Flow

Avolta AG has demonstrated strong free cash flow growth, supported by robust operating cash flows. The operating cash flow to net income ratio is favorable, indicating efficient cash generation relative to net income. The free cash flow to net income ratio is also strong, highlighting the company's ability to convert earnings into cash.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	6.73B	13.72B	12.79B	6.88B	3.92B	2.56B
Gross Profit	4.35B	4.26B	3.92B	4.19B	2.21B	1.38B
EBITDA	745.00M	2.84B	2.47B	1.62B	1.13B	-807.80M
Net Income	27.00M	103.00M	87.30M	58.20M	-385.40M	-2.51B
Balance Sheet
Total Assets	16.63B	17.40B	16.51B	9.31B	9.99B	11.26B
Cash, Cash Equivalents and Short-Term Investments	935.00M	756.00M	769.50M	854.70M	793.50M	360.30M
Total Debt	10.04B	11.91B	11.19B	6.58B	7.45B	9.12B
Total Liabilities	14.67B	14.88B	14.02B	8.34B	8.96B	10.34B
Stockholders Equity	1.83B	2.35B	2.36B	893.00M	956.60M	839.30M
Cash Flow
Free Cash Flow	1.26B	2.12B	1.92B	1.40B	587.00M	-464.30M
Operating Cash Flow	1.49B	2.60B	2.36B	1.51B	678.20M	-345.30M
Investing Cash Flow	-189.00M	-312.00M	-1.00M	-67.40M	-72.80M	-74.90M
Financing Cash Flow	-1.04B	-2.18B	-2.40B	-1.34B	-136.20M	257.00M

Avolta AG Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 45.98
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For CH:AVOL, the sentiment is Positive. The current price of 45.98 is above the 20-day moving average (MA) of 45.40, above the 50-day MA of 44.57, and above the 200-day MA of 40.52, indicating a bullish trend. The MACD of 0.24 indicates Negative momentum. The RSI at 58.63 is Neutral, neither overbought nor oversold. The STOCH value of 89.00 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for CH:AVOL.

Avolta AG Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
SFSN	71 Outperform	4.10B	17.56	15.65%	1.91%	-0.71%	-6.12%
AVOL	70 Outperform	CHF6.61B	56.72	5.71%	2.17%	4.23%	-4.24%
DKSH	68 Neutral	3.50B	17.99	11.80%	4.36%	2.66%	2.91%
SKAN	67 Neutral	1.31B	81.72	19.78%	0.69%	-3.45%	-49.82%
ADEN	65 Neutral	3.58B	13.17	9.07%	4.68%	-4.68%	-5.79%
VZN	63 Neutral	6.66B	29.88	20.70%	1.61%	8.15%	12.24%
Sector *	55 Neutral	$13.29B	17.42	10.03%	0.93%	7.13%	-12.93%

Avolta AG Corporate Events

Avolta AG Expands Retail Presence at Atlanta Airport with New Contracts

Avolta AG has secured two 10-year contracts to open 20 new retail stores at Hartsfield-Jackson Atlanta International Airport, reinforcing its leadership in North America’s travel retail sector. This expansion includes partnerships with local businesses and the integration of digital technologies to enhance the shopping experience, reflecting a strategic alignment with the airport’s mission to offer diverse and innovative retail options.

The most recent analyst rating on (CH:AVOL) stock is a Buy with a CHF51.00 price target. To see the full list of analyst forecasts on Avolta AG stock, see the CH:AVOL Stock Forecast page.

Avolta AG Expands Retail Presence at San José International Airport

Avolta AG has secured a 12-year contract to open six retail and travel convenience shops at San José International Airport, marking a significant expansion in a high-traffic location. This venture is part of Avolta’s Destination 2027 strategy, aiming to enhance passenger experience with digital technology and loyalty programs, while supporting airport infrastructure and showcasing local businesses.

The most recent analyst rating on (CH:AVOL) stock is a Buy with a CHF40.00 price target. To see the full list of analyst forecasts on Avolta AG stock, see the CH:AVOL Stock Forecast page.