Georg Fischer AG (GF) AI Stock Analysis

• Market Cap: CHF5.07B
• Dividend Yield: 2.18%
• Average Volume (3M): 117.85K
• Price to Earnings (P/E): 18.3
• Beta (1Y): 0.92
• Revenue Growth: -24.42%
• EPS Growth: 32.48%
• Country: CH
• Employees: 19,023
• Sector: Industrials
• Sector Strength: 72
• Industry: Industrial - Machinery
• EPS (TTM): 2.19
• Shares Outstanding: 82,017,960
• 10 Day Avg. Volume: 153,717
• 30 Day Avg. Volume: 117,849
• PEG Ratio: -2.90
• Price to Book (P/B): 51.63
• Price to Sales (P/S): 1.45
• P/FCF Ratio: 31.61
• 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: CHF74.60
• Price Target Upside: 20.61% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 5

• Rating: 60 Neutral
• Price Target: CHF66.00 ▲(6.71% Upside)

The overall stock score of 60 reflects the company's solid cash flow management and fair valuation, offset by challenges in revenue growth and balance sheet stability. Technical indicators suggest a neutral market sentiment, with no significant momentum in either direction.

Positive Factors

Cash Flow Management

Effective cash flow management indicates operational strength and provides the company with the ability to invest in growth opportunities and manage debt.

Strategic Partnerships

Strategic partnerships can drive innovation and market expansion, providing a competitive edge and supporting long-term revenue growth.

Product Diversification

Diversified operations across multiple sectors reduce dependency on a single market, enhancing resilience and stability against industry-specific downturns.

Negative Factors

Revenue Decline

Declining revenue suggests challenges in market demand or competitive pressures, which could hinder growth and profitability if not addressed.

High Leverage

High leverage can limit financial flexibility and increase risk, potentially impacting the company's ability to invest in growth and withstand economic downturns.

Balance Sheet Weakness

A weak balance sheet with negative equity suggests financial instability, which could affect the company's ability to secure financing and invest in future growth.

Georg Fischer AG Business Overview & Revenue Model

Company Description

Georg Fischer AG provides piping systems, and casting and machining solutions in Europe, the Americas, Asia, and internationally. The company offers plastic and metal piping systems for the transportation of water, abrasive and aggressive liquids, and gases, as well as corresponding services for industry, utilities, and building services sectors; and fittings, valves, pipes, automation, and jointing technologies for various water cycle applications. It also provides lightweight components for mobility and energy industries. In addition, the company offers machines, system solutions, and customer services for manufacturing molds, tools, and parts in the aerospace, information and communication technology, electronic, medical, and automotive industries. Further, it provides milling, wire-cutting, and die-sinking services; spindles; electro discharge machining (EDM), laser texturing, laser micromachining, and additive manufacturing machines; and tooling and automation services, as well as digitalization solutions. The company was founded in 1802 and is headquartered in Schaffhausen, Switzerland.

How the Company Makes Money

Georg Fischer AG generates revenue through multiple streams across its three business sectors. GF Piping Systems earns money by supplying a wide range of piping solutions and related products to various industries, including water management and construction, with a focus on sustainability and innovation. GF Automotive's revenue is derived from the production of lightweight cast components and assemblies for automotive manufacturers, emphasizing the growing demand for energy-efficient and safety-enhancing vehicle parts. GF Machining Solutions contributes to the company’s earnings by selling advanced machinery and technology solutions to manufacturers, thereby capitalizing on the increasing need for precision manufacturing and automation. Additionally, GF benefits from strategic partnerships with industry leaders, which enhance its market presence and enable collaboration on innovative projects, further contributing to its revenue growth.

Georg Fischer AG Financial Statement Overview

Summary

Georg Fischer AG faces challenges in revenue growth and balance sheet stability, with high leverage impacting financial flexibility. However, effective cash flow management reflects operational strengths. The company needs to focus on improving profitability and reducing debt to enhance financial health.

Income Statement

The revenue of Georg Fischer AG experienced a decrease from CHF 4.026 billion in 2023 to CHF 3.892 billion in 2024. Key profitability metrics include a gross profit margin of 41.56% and a net profit margin of 5.50% in 2024. The EBIT margin stands at 8.73% and EBITDA margin at 13.10%, indicating moderate operating efficiency. The decline in revenue and net income signals a need for improvement in growth strategies.

Balance Sheet

Georg Fischer AG displays a weak balance sheet with negative stockholders' equity of CHF 44 million in 2023, improving slightly to CHF 109 million in 2024. The debt-to-equity ratio is concerning due to high debt levels. Despite a higher equity ratio of 2.54% in 2024, the overall leverage remains high, presenting significant financial risk.

Cash Flow

The company shows strong cash flow management with an increase in operating cash flow from CHF 338 million in 2023 to CHF 393 million in 2024. Free cash flow improved by 33.83% to CHF 178 million, highlighting effective capital expenditure control. However, the free cash flow to net income ratio suggests room for better cash conversion efficiency.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	3.74B	3.89B	4.03B	4.00B	3.72B	3.18B
Gross Profit	1.31B	1.62B	899.00M	899.00M	748.00M	597.00M
EBITDA	576.00M	510.00M	467.00M	513.00M	414.00M	302.00M
Net Income	277.00M	214.00M	235.00M	276.00M	214.00M	116.00M
Balance Sheet
Total Assets	3.53B	4.28B	4.12B	3.73B	3.81B	3.50B
Cash, Cash Equivalents and Short-Term Investments	488.00M	682.00M	566.00M	894.00M	944.00M	841.00M
Total Debt	2.06B	2.57B	2.44B	735.00M	999.00M	958.00M
Total Liabilities	3.30B	4.12B	4.10B	2.08B	2.31B	2.11B
Stockholders Equity	178.00M	109.00M	-44.00M	1.60B	1.47B	1.35B
Cash Flow
Free Cash Flow	148.00M	178.00M	133.00M	165.00M	146.00M	201.00M
Operating Cash Flow	378.00M	393.00M	338.00M	331.00M	291.00M	346.00M
Investing Cash Flow	257.00M	-281.00M	-2.12B	-123.00M	-168.00M	-110.00M
Financing Cash Flow	-722.00M	-4.00M	1.50B	-236.00M	-35.00M	94.00M

Georg Fischer AG Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 61.85
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For CH:GF, the sentiment is Negative. The current price of 61.85 is below the 20-day moving average (MA) of 63.34, below the 50-day MA of 63.87, and below the 200-day MA of 64.94, indicating a bearish trend. The MACD of -0.57 indicates Positive momentum. The RSI at 42.55 is Neutral, neither overbought nor oversold. The STOCH value of 20.73 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for CH:GF.

Georg Fischer AG Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
SUN	73 Outperform	CHF4.51B	16.52	21.40%	3.19%	5.79%	13.20%
KARN	70 Outperform	CHF2.33B	31.47	―	1.98%	11.43%	6.46%
BUCN	68 Neutral	CHF3.88B	17.20	12.05%	2.90%	-11.64%	-24.17%
VACN	68 Neutral	CHF9.40B	42.07	28.09%	1.99%	19.22%	11.62%
INRN	68 Neutral	CHF2.04B	34.38	13.23%	1.29%	-3.67%	-12.95%
GF	60 Neutral	CHF5.07B	18.30	―	2.18%	-24.42%	32.48%
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%