Galderma Group AG (GALD) AI Stock Analysis

• Market Cap: CHF37.24B
• Dividend Yield: 0.09%
• Average Volume (3M): 337.59K
• Price to Earnings (P/E): 114.8
• Beta (1Y): 0.87
• Revenue Growth: 6.22%
• EPS Growth: N/A
• Country: CH
• Employees: 6,545
• Sector: Healthcare
• Sector Strength: 45
• Industry: Household & Personal Products
• EPS (TTM): 1.12
• Shares Outstanding: 237,897,630
• 10 Day Avg. Volume: 210,266
• 30 Day Avg. Volume: 337,589
• PEG Ratio: -0.21
• Price to Book (P/B): 3.38
• Price to Sales (P/S): 5.93
• P/FCF Ratio: 123.57
• 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: CHF161.56
• Price Target Upside: 1.87% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 10
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 70 Outperform
• Price Target: CHF171.00 ▲(7.82% Upside)

Galderma Group AG's strong financial performance and positive technical indicators are the primary drivers of its stock score. However, the high P/E ratio and low dividend yield suggest potential overvaluation, which tempers the overall score. The absence of earnings call data and corporate events means these factors do not influence the score.

Positive Factors

Revenue Growth

The 21% revenue growth indicates strong demand for Galderma's products and effective market penetration, supporting long-term business expansion.

Profitability

High gross and positive net profit margins reflect efficient operations and pricing power, enhancing Galderma's competitive position and financial health.

Cash Flow Generation

Strong cash flow generation ensures Galderma can fund operations and growth initiatives, providing financial flexibility and resilience against market fluctuations.

Negative Factors

Past Income Volatility

Historical volatility in net income suggests potential challenges in maintaining consistent profitability, which could impact long-term financial predictability.

Debt Levels

While debt levels have improved, previous high leverage could limit financial flexibility and increase risk if not managed carefully.

Historical Cash Flow Volatility

Volatile cash flow history may indicate challenges in sustaining consistent cash generation, potentially affecting Galderma's ability to invest in growth.

Galderma Group AG Business Overview & Revenue Model

Company Description

Galderma Group AG is engaged in cosmetic industry. Its segment includes Injectable Aesthetics, Dermatological Skincare and Therapeutic Dermatology.

How the Company Makes Money

Galderma generates revenue through multiple streams, primarily from the sale of its pharmaceutical products, aesthetic treatments, and consumer skin care lines. The company earns significant income from its portfolio of prescription medications that treat conditions like acne, rosacea, and eczema. Additionally, Galderma's aesthetic segment, which includes popular products like Restylane and Dysport, contributes substantial revenue through both professional treatments and retail sales. Partnerships with healthcare providers, clinics, and aesthetic practitioners also enhance revenue generation by expanding distribution channels and facilitating product adoption. The company's focus on innovation and research in dermatology further drives sales, as they continue to introduce new products and treatments that meet evolving consumer needs.

Galderma Group AG Financial Statement Overview

Summary

Galderma Group AG demonstrates strong financial health with significant revenue growth and improved profitability metrics. The company's balance sheet reflects solid equity and manageable debt levels, contributing to its stability. Cash flow generation is strong, supporting operational needs and growth investments. While past volatility in income and debt levels presents potential risks, current trends indicate a positive outlook.

Income Statement

Galderma Group AG has shown significant improvement in revenue growth, with a 21% increase from the previous year. The gross profit margin is strong at 69.5%, and the net profit margin has turned positive, indicating improved profitability. EBIT and EBITDA margins suggest robust operational efficiency. However, fluctuations in past net income pose a concern for stability.

Balance Sheet

The company's debt-to-equity ratio stands at a conservative level, indicating a balanced leverage position. The equity ratio of 61.7% showcases financial stability and strong equity base. Return on equity has improved, reflecting better profitability for shareholders. Past high levels of debt require ongoing monitoring despite improvements.

Cash Flow

Galderma's cash flow performance is commendable, with free cash flow showing robust growth. The operating cash flow to net income ratio is strong, indicating efficient cash conversion. Free cash flow to net income ratio is positive, but historical volatility in free cash flow growth necessitates cautious optimism.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	4.04B	4.44B	3.67B	3.59B	3.12B
Gross Profit	2.78B	3.08B	2.56B	2.45B	2.18B
EBITDA	939.25M	959.00M	690.44M	592.24M	476.06M
Net Income	327.69M	231.00M	-48.11M	-94.07M	-141.07M
Balance Sheet
Total Assets	12.88B	12.62B	10.49B	11.49B	11.45B
Cash, Cash Equivalents and Short-Term Investments	458.00M	457.00M	309.35M	216.59M	261.68M
Total Debt	2.85B	2.76B	4.13B	5.23B	5.18B
Total Liabilities	5.15B	4.83B	5.97B	7.35B	7.31B
Stockholders Equity	7.73B	7.79B	4.52B	4.13B	4.14B
Cash Flow
Free Cash Flow	730.52M	213.00M	37.09M	-46.03M	61.90M
Operating Cash Flow	822.25M	429.77M	139.11M	106.30M	178.92M
Investing Cash Flow	-187.04M	-287.10M	-156.10M	-70.48M	-487.76M
Financing Cash Flow	-586.78M	-51.08M	127.34M	-68.86M	290.01M

Galderma Group AG Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 158.60
• 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:GALD, the sentiment is Positive. The current price of 158.6 is above the 20-day moving average (MA) of 149.49, above the 50-day MA of 144.10, and above the 200-day MA of 120.39, indicating a bullish trend. The MACD of 2.60 indicates Negative momentum. The RSI at 66.43 is Neutral, neither overbought nor oversold. The STOCH value of 86.07 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for CH:GALD.

Galderma Group AG Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
NOVN	80 Outperform	CHF193.14B	16.27	―	3.32%	7.62%	-18.33%
ALC	75 Outperform	$31.96B	35.20	4.82%	0.44%	0.39%	-12.46%
ROG	73 Outperform	CHF250.44B	26.41	31.98%	3.10%	4.77%	-11.07%
STMN	72 Outperform	CHF15.11B	38.46	―	1.00%	4.49%	45.08%
GALD	70 Outperform	CHF37.24B	114.79	―	0.09%	6.22%	―
SDZ	59 Neutral	$24.46B	124.00	2.64%	1.07%	―	―
Sector *	51 Neutral	$7.86B	-0.30	-43.30%	2.27%	22.53%	-2.21%