Galenica AG (GALE) AI Stock Analysis

• Market Cap: CHF4.27B
• Dividend Yield: 2.68%
• Average Volume (3M): 62.79K
• Price to Earnings (P/E): 22.2
• Beta (1Y): 0.30
• Revenue Growth: 5.84%
• EPS Growth: 8.57%
• Country: CH
• Employees: 4,511
• Sector: Healthcare
• Sector Strength: 51
• Industry: Medical - Distribution
• EPS (TTM): 1.81
• Shares Outstanding: 50,000,000
• 10 Day Avg. Volume: 61,697
• 30 Day Avg. Volume: 62,787
• PEG Ratio: N/A
• Price to Book (P/B): 0.00
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 0.00
• 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: CHF86.25
• Price Target Upside: 0.64% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 4

• Rating: 65 Neutral
• Price Target: CHF92.00 ▲(7.35% Upside)

Galenica AG's strong financial performance is the primary driver of its stock score, supported by solid revenue growth and profitability. The technical analysis presents a mixed picture, with no clear momentum, while the valuation is reasonable with a decent dividend yield. The absence of recent earnings call insights and corporate events means these factors do not influence the score.

Galenica AG Business Overview & Revenue Model

Company Description

Galenica AG (GALE) is a Swiss-based healthcare group specializing in pharmaceutical logistics, retail, and product development. The company operates through two main segments: Health & Beauty and Services. Its core offerings include a wide range of pharmaceuticals, health and beauty products, and related services, distributed through an extensive network of pharmacies and logistics partners across Switzerland.

How the Company Makes Money

Galenica AG generates revenue through multiple streams, primarily driven by its Health & Beauty and Services segments. In the Health & Beauty segment, the company earns income from the sale of pharmaceutical and healthcare products through its own pharmacy network and third-party retail partnerships. The Services segment contributes to revenue through pharmaceutical logistics and distribution services, including warehousing and transportation for pharmaceutical companies. The company also benefits from strategic partnerships with healthcare providers and manufacturers, enhancing its product offerings and market reach.

Galenica AG Financial Statement Overview

Summary

Galenica AG exhibits a strong financial position with consistent revenue growth and solid profitability margins. The company maintains a strong equity base and favorable debt-to-equity improvements, though there's room for improvement in operational efficiency and cash conversion.

Income Statement

Galenica AG has demonstrated solid revenue growth over the years, with a notable increase in gross profit margin. The net profit margin is healthy, indicating effective cost management. However, the slight decline in EBIT margin suggests some pressure on operational efficiency.

Balance Sheet

The company maintains a strong equity base with a favorable equity ratio, reflecting financial stability. The reduction in total debt over time has improved the debt-to-equity ratio, enhancing the company's leverage position. Continued improvement in ROE highlights effective utilization of equity.

Cash Flow

Solid operating cash flow generation supports the company's liquidity. The free cash flow growth is commendable, supporting potential reinvestment and shareholder returns. However, the free cash flow to net income ratio indicates room for improvement in converting earnings to cash.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	3.92B	3.75B	4.01B	3.83B	3.48B
Gross Profit	1.09B	387.60M	374.13M	350.55M	349.41M
EBITDA	331.31M	306.92M	290.46M	300.33M	302.78M
Net Income	182.95M	173.60M	165.13M	167.68M	172.25M
Balance Sheet
Total Assets	3.07B	2.99B	2.66B	2.62B	2.26B
Cash, Cash Equivalents and Short-Term Investments	129.68M	116.16M	93.93M	164.98M	59.78M
Total Debt	235.89M	236.04M	686.49M	672.65M	640.63M
Total Liabilities	1.52B	1.52B	1.41B	1.38B	1.21B
Stockholders Equity	1.55B	1.47B	1.25B	1.23B	1.05B
Cash Flow
Free Cash Flow	192.34M	149.34M	166.51M	273.02M	168.67M
Operating Cash Flow	264.70M	225.71M	236.87M	333.10M	224.36M
Investing Cash Flow	-151.08M	-124.17M	-130.62M	-88.34M	-115.84M
Financing Cash Flow	-100.22M	-79.05M	-177.21M	-139.53M	-139.30M

Galenica AG Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 85.70
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For CH:GALE, the sentiment is Positive. The current price of 85.7 is above the 20-day moving average (MA) of 85.29, below the 50-day MA of 86.78, and above the 200-day MA of 81.04, indicating a neutral trend. The MACD of -0.47 indicates Negative momentum. The RSI at 49.67 is Neutral, neither overbought nor oversold. The STOCH value of 71.16 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for CH:GALE.

Galenica AG Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
GALE	65 Neutral	CHF4.27B	22.21		2.68%	5.84%	8.57%
Sector *	51 Neutral	$7.84B	-0.18	-41.53%	2.28%	22.72%	-1.87%
0QND	―	CHF4.77B	35.71	10.07%	1.33%	―	―
MEDGF	―	$3.57B	45.75	20.81%	0.45%	―	―
SGFEF	―	$4.64B	28.15	15.79%	0.43%	―	―
TCHBF	―	$2.60B	36.44	4.57%	1.80%	―	―
0QLQ	―	CHF5.34B	61.14	13.49%	0.56%	―	―

Galenica AG Corporate Events

Galenica AG Reports Strong Half-Year Results, Raises EBIT Outlook

Galenica AG reported a 5.0% increase in sales to CHF 1,995.4 million for the first half of 2025, with adjusted EBIT rising by 10.9% to CHF 109.9 million. The company has raised its EBIT growth outlook to between 7% and 9%, driven by strong demand for prescription drugs and positive special effects. This performance positions Galenica slightly ahead of the broader pharmaceutical and consumer healthcare markets, indicating a robust operational footing and promising future prospects.

The most recent analyst rating on (CH:GALE) stock is a Hold with a CHF89.00 price target. To see the full list of analyst forecasts on Galenica AG stock, see the CH:GALE Stock Forecast page.

Galenica Expands into Diagnostics with Labor Team Acquisition

Galenica AG has announced its entry into the diagnostics business through the acquisition of Labor Team Group, a leading Swiss diagnostics service provider. This strategic move is expected to strengthen Galenica’s healthcare network and expand its offerings in the medical segment, particularly in diagnostics. The acquisition aligns with Galenica’s goal of enhancing healthcare connectivity and innovation, and it positions the company to meet future regulatory challenges in the Swiss laboratory market. The transaction is subject to approval by the Swiss Competition Commission and is anticipated to close in the second half of 2025.

The most recent analyst rating on (CH:GALE) stock is a Hold with a CHF89.00 price target. To see the full list of analyst forecasts on Galenica AG stock, see the CH:GALE Stock Forecast page.

Galenica AG Reports Strong Revenue Growth in Early 2025

Galenica AG reported a 4.7% increase in revenue to CHF 1,314.2 million for the first four months of 2025, driven by strong demand for GLP-1-based weight loss products and a robust flu season boosting prescription drug sales. The company confirmed its financial outlook for 2025, expecting revenue growth of 3-5% and EBIT growth of 4-6%, indicating a positive trajectory in its market positioning. The growth was supported by various segments, including Products & Care and Logistics & IT, with notable contributions from local pharmacies and wholesale operations.

The most recent analyst rating on (CH:GALE) stock is a Hold with a CHF89.00 price target. To see the full list of analyst forecasts on Galenica AG stock, see the CH:GALE Stock Forecast page.