Siegfried Holding AG (SFZN) AI Stock Analysis

• Market Cap: CHF4.37B
• Dividend Yield: 0.51%
• Average Volume (3M): 101.52K
• Price to Earnings (P/E): 27.3
• Beta (1Y): 0.82
• Revenue Growth: 0.77%
• EPS Growth: 16.70%
• Country: CH
• Employees: 3,886
• Sector: Healthcare
• Sector Strength: 45
• Industry: Drug Manufacturers - Specialty & Generic
• EPS (TTM): 1.50
• Shares Outstanding: 45,230,000
• 10 Day Avg. Volume: 105,249
• 30 Day Avg. Volume: 101,518
• PEG Ratio: -0.31
• Price to Book (P/B): 4.33
• Price to Sales (P/S): 3.28
• P/FCF Ratio: -352.04
• 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: CHF106.00
• Price Target Upside: 48.46% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 2
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 74 Outperform
• Price Target: CHF112.00 ▲(56.86% Upside)

The score is primarily driven by strong financial performance, especially the debt-free balance sheet and solid profitability. This is tempered by elevated technical overbought conditions and a relatively expensive valuation with a very low dividend yield.

Positive Factors

Debt-free balance sheet

Zero reported debt and a healthy equity ratio materially reduce financial risk and enhance strategic optionality. Over 2–6 months this strengthens the company's ability to fund expansions, absorb pharma-cycle volatility, and pursue long-term customer contracts without refinancing pressure.

Strong profitability margins

Siegfried's robust margins and double-digit ROE indicate durable operational efficiency and pricing power in contract manufacturing. These fundamentals support reinvestment for R&D and capacity, underpin sustainable cash generation and competitive positioning across pharmaceutical and specialty-chemicals segments.

Operating cash generation

Operating cash flow roughly equals reported profits, showing core business converts earnings into cash. This durable cash conversion supports working capital needs and day-to-day operations, providing resilience even if investment cycles fluctuate over the medium term.

Negative Factors

Negative free cash flow

Sustained negative free cash flow constrains financial flexibility and the ability to self-fund growth or shareholder returns. Even with strong margins, persistent FCF deficits over months could force higher external funding or delay strategic investments, raising execution risk.

High capital expenditure burden

The business requires heavy ongoing capex to maintain and expand GMP manufacturing and specialized chemistry capacity. This structural capital intensity reduces net cash retention and raises execution and timing risk for capacity projects, potentially pressuring future free cash flow.

Modest revenue growth

Top-line expansion was modest, suggesting limited near-term volume or pricing growth despite strong margins. Over a multi-month horizon, slow revenue growth can cap scale benefits and makes returns more reliant on margin maintenance and execution of capacity investments to drive meaningful future earnings expansion.

Siegfried Holding AG Business Overview & Revenue Model

Company Description

Siegfried Holding AG (SFZN) is a leading global provider of pharmaceutical and chemical solutions, specializing in the development and manufacturing of active pharmaceutical ingredients (APIs) and intermediates. The company operates in two main sectors: the pharmaceutical segment, which focuses on custom manufacturing and development services for pharmaceuticals, and the specialty chemicals segment that provides advanced intermediates and services for various industries. Siegfried's core products include high-quality APIs, advanced intermediates, and comprehensive development services that cater to both innovative and generic drug markets.

How the Company Makes Money

Siegfried Holding AG generates revenue through multiple key streams primarily centered around its pharmaceutical manufacturing and development services. The company earns money by providing contract manufacturing services for APIs to pharmaceutical companies, which involves both the production of existing drugs and the development of new formulations. Additionally, Siegfried's revenue is bolstered by its specialty chemicals segment, where it produces chemical intermediates for various applications. Significant partnerships with large pharmaceutical companies enhance its revenue potential, as these collaborations often lead to long-term contracts and a steady demand for its manufacturing capabilities. Furthermore, the company benefits from a strong focus on research and development, allowing it to innovate and expand its product offerings, thereby increasing its market share and profitability.

Siegfried Holding AG Financial Statement Overview

Summary

Strong overall fundamentals: solid profitability (net margin 12.37%, EBIT margin 15.39%) and a very strong balance sheet with zero debt and healthy ROE (16.33%). Main offset is negative free cash flow (-12.07M) driven by high capital expenditures.

Income Statement

Siegfried Holding AG has demonstrated consistent revenue growth, with a 1.81% increase from 2023 to 2024. The gross profit margin for 2024 was 25.42%, and the net profit margin was 12.37%, showing strong profitability. The EBIT margin improved to 15.39%, and the EBITDA margin stood at 22.36%, indicating efficient core operations and cost management.

Balance Sheet

The company has a robust balance sheet with zero debt in 2024, significantly improving its debt-to-equity position. Return on Equity (ROE) was strong at 16.33% for 2024, reflecting effective equity use. The equity ratio was 50.69%, suggesting a healthy capital structure with a significant portion of assets financed by equity.

Cash Flow

The operating cash flow to net income ratio was 1.05, indicating good cash generation relative to profit. However, the free cash flow was negative at -12.07 million, reflecting significant capital expenditures. The free cash flow to net income ratio was -0.08, showing a need for improved cash retention.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	1.29B	1.29B	1.27B	1.23B	1.10B	845.06M
Gross Profit	332.51M	329.06M	320.41M	318.69M	239.27M	176.00M
EBITDA	287.63M	289.49M	241.22M	308.30M	213.54M	132.18M
Net Income	154.08M	160.06M	112.77M	156.49M	95.60M	60.87M
Balance Sheet
Total Assets	1.97B	1.93B	1.86B	1.79B	1.67B	1.24B
Cash, Cash Equivalents and Short-Term Investments	35.35M	39.61M	56.63M	91.62M	72.97M	54.44M
Total Debt	465.20M	490.10M	525.00M	590.00M	560.00M	377.50M
Total Liabilities	949.22M	953.81M	1.02B	1.08B	1.06B	746.62M
Stockholders Equity	1.02B	980.19M	838.24M	710.93M	608.22M	495.65M
Cash Flow
Free Cash Flow	-24.18M	-12.07M	71.51M	19.30M	-1.04M	36.15M
Operating Cash Flow	195.75M	168.78M	208.61M	134.50M	112.36M	105.28M
Investing Cash Flow	-233.09M	-190.35M	-146.86M	-103.72M	-250.10M	-69.02M
Financing Cash Flow	7.51M	3.04M	-94.75M	-10.68M	156.24M	-6.12M

Siegfried Holding AG Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 71.40
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Negative
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For CH:SFZN, the sentiment is Positive. The current price of 71.4 is below the 20-day moving average (MA) of 88.79, below the 50-day MA of 79.26, and below the 200-day MA of 85.59, indicating a bullish trend. The MACD of 5.26 indicates Negative momentum. The RSI at 73.74 is Negative, neither overbought nor oversold. The STOCH value of 68.26 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for CH:SFZN.

Siegfried Holding AG Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
BANB	75 Outperform	CHF5.09B	37.60	10.07%	1.43%	17.34%	18.15%
SFZN	74 Outperform	CHF4.37B	27.32	15.79%	0.51%	0.77%	16.70%
GALE	70 Outperform	CHF4.96B	25.22	―	2.36%	5.84%	8.57%
PPGN	61 Neutral	CHF883.59M	-26.98	―	―	12.03%	-19.29%
SDZ	59 Neutral	CHF26.93B	134.75	2.64%	1.02%	―	―
LONN	56 Neutral	CHF35.94B	38.51	―	0.75%	5.93%	29.83%
Sector *	51 Neutral	$7.86B	-0.30	-43.30%	2.27%	22.53%	-2.21%

Siegfried Holding AG Corporate Events

Siegfried expands US small-molecule capacity with Noramco and Extractas acquisition

Siegfried has agreed to acquire the drug substance business of the Noramco Group and Extractas Bioscience from an affiliate of SK Capital Partners, adding three small-molecule manufacturing sites: Noramco in Wilmington, Delaware, Purisys in Athens, Georgia, and Extractas Bioscience in Westbury, Tasmania, together employing around 400 staff. The deal significantly expands Siegfried’s US-based capacity in small-molecule drug substances and controlled substances, complements its existing Pennsville site and early-phase development capabilities, and enhances its extraction expertise, thereby strengthening its integrated CDMO offering and positioning in key growth segments; valued at under 10 times EV/EBITDA and financed with existing and new debt, the transaction is designed to be value accretive and to support the company’s EVOLVE+ strategy of accelerating long-term profitable growth in the world’s largest pharmaceutical market.

The most recent analyst rating on (CH:SFZN) stock is a Hold with a CHF93.00 price target. To see the full list of analyst forecasts on Siegfried Holding AG stock, see the CH:SFZN Stock Forecast page.

Siegfried Announces CFO Transition with Tania Micki Succeeding Reto Suter

Siegfried Holding AG has announced a transition in its Chief Financial Officer position, with Tania Micki set to succeed Reto Suter on July 1, 2026. This change is part of a long-term succession plan, with Micki bringing over 20 years of experience in finance leadership roles from various international companies. The transition is expected to support Siegfried’s continued growth and strategic focus, with Micki’s expertise seen as instrumental in delivering long-term value for shareholders.

The most recent analyst rating on (CH:SFZN) stock is a Hold with a CHF80.00 price target. To see the full list of analyst forecasts on Siegfried Holding AG stock, see the CH:SFZN Stock Forecast page.