Dassault Systemes SA (DASTY) AI Stock Analysis

• Market Cap: $49.74B
• Dividend Yield: 0.49%
• Average Volume (3M): 8.46K
• Price to Earnings (P/E): 37.8
• Beta (1Y): 0.71
• Revenue Growth: 3.42%
• EPS Growth: 7.71%
• Country: US
• Employees: 24,433
• Sector: Technology
• Sector Strength: 57
• Industry: Software - Application
• EPS (TTM): 0.41
• Shares Outstanding: 1,338,435,300
• 10 Day Avg. Volume: 25,393
• 30 Day Avg. Volume: 8,464
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): 8.79
• Price to Cash Flow (P/CF): N/A
• 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: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0

Dassault Systemes SA demonstrates strong financial performance, supported by consistent revenue and profit growth, efficient operations, and solid cash flow. The positive outlook from the earnings call, with strong software revenue growth and major contract wins, boosts confidence. However, technical indicators suggest some caution due to ongoing bearish trends. The stock's high valuation reflects growth potential but may limit immediate upside. Overall, the stock score reflects a balanced view of its strengths and market challenges.

Dassault Systemes SA Business Overview & Revenue Model

Company Description

Dassault Systèmes SE provides software solutions and services worldwide. It offers SOLIDWORKS design software for 3D design, electrical and printed circuit board design, product data management, simulation, manufacturing, and technical communication; CATIA, an engineering and design software for product 3D computer-aided design; GEOVIA for modeling and simulating the earth; and BIOVIA that provides the scientific community with advanced biological, chemical, and materials experiences. The company also provides SIMULIA that delivers realistic simulation applications; DELMIA, which enables global industrial operations; 3DVIA that provides 3D space planning solutions; and ENOVIA that enables to plan and track the definition of success for customer. In addition, it offers Centric PLM, a product lifecycle management software solution; 3DEXCITE, a real-time 3D visualization software; NETVIBES, which enables organizations to gather, align, and enrich big data; 3DEXPERIENCE platform that provides organizations a holistic and real-time view of their business activities and ecosystem, as well as connecting people, ideas, data, and solutions together in a single environment; and MEDIDATA, a clinical research study software that provides evidences and insights to pharmaceutical, biotech, medical device, and diagnostic companies, as well as academic researchers. Further, the company provides consulting, deployment, outcome based, and training services. It primarily serves companies in the transportation and mobility; industrial equipment; aerospace and defense; high-tech; life sciences and healthcare; energy and materials; home and lifestyle; construction, cities, and territories; consumer packaged goods and retail; marine and offshore; and business services sectors through distributors and resellers. Dassault Systèmes SE was incorporated in 1981 and is headquartered in Vélizy-Villacoublay, France.

How the Company Makes Money

Dassault Systèmes generates revenue primarily through the sale of software licenses, subscription fees, and maintenance contracts. The company offers its 3DEXPERIENCE platform and related applications on both perpetual and subscription-based licensing models. In addition to license sales, Dassault Systèmes earns from providing maintenance services, which ensure software updates and technical support for its clients. The company also derives income from consulting services, helping businesses implement and optimize their usage of Dassault's software solutions. Strategic partnerships with major industry players and educational institutions further enhance its market presence and contribute to revenue growth.

Dassault Systemes SA Financial Statement Overview

Summary

Dassault Systemes SA exhibits strong financial health characterized by consistent revenue and profit growth, efficient operations, and solid cash generation. The company maintains a healthy balance sheet with low leverage and high equity levels. While the financial performance is impressive, ongoing focus on optimizing asset utilization and managing liabilities could further strengthen its financial position.

Income Statement

Dassault Systemes SA shows a strong financial performance with a consistent growth trajectory. The TTM revenue of €6.21 billion represents a growth of 4.41% from the previous year, while the gross profit margin is robust at 80.65%. Net profit margin stands at a healthy 19.31%, indicating strong profitability. The company maintains stable EBIT and EBITDA margins at 22.12% and 30.94% respectively, underscoring its operational efficiency.

Balance Sheet

The balance sheet of Dassault Systemes SA is solid with a debt-to-equity ratio of 0.27, reflecting prudent leverage management. The equity ratio of 58.32% suggests a strong equity base relative to total assets. The return on equity is impressive at 13.24%, highlighting effective utilization of shareholders' funds. The company's financial stability is evident, though attention to further reducing liabilities could enhance this position.

Cash Flow

Cash flow analysis reveals a healthy financial posture with a free cash flow growth rate of 3.27% year-over-year. The operating cash flow to net income ratio is 1.38, indicating efficient cash generation from operations. The free cash flow to net income ratio stands at 1.22, showing strong conversion of earnings into cash. These metrics highlight the company's robust cash flow management.

Breakdown
Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement		Total Revenue
6.21B	5.95B	5.67B	4.86B	4.45B
	Gross Profit
5.20B	4.98B	4.75B	4.07B	3.70B
	EBIT
1.36B	1.24B	1.30B	1.02B	669.70M
	EBITDA
1.92B	1.81B	1.94B	1.61B	1.29B
	Net Income Common Stockholders
1.20B	1.05B	931.50M	773.70M	491.00M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
3.95B	3.57B	2.77B	2.98B	2.15B
	Total Assets
15.55B	14.62B	14.26B	14.22B	12.96B
	Total Debt
2.49B	3.60B	3.58B	4.47B	4.83B
	Net Debt
-1.46B	32.60M	807.70M	1.49B	2.68B
	Total Liabilities
6.47B	6.78B	6.94B	8.01B	7.86B
	Stockholders Equity
9.07B	7.83B	7.31B	6.20B	5.06B
Cash Flow		Free Cash Flow
1.47B	1.42B	1.39B	1.51B	1.11B
	Operating Cash Flow
1.66B	1.57B	1.53B	1.61B	1.24B
	Investing Cash Flow
-191.70M	-161.60M	-213.90M	-160.40M	-208.00M
	Financing Cash Flow
-1.21B	-536.70M	-1.59B	-711.90M	-741.90M

Dassault Systemes SA Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 37.00
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For DASTY, the sentiment is Negative. The current price of 37 is below the 20-day moving average (MA) of 37.25, below the 50-day MA of 39.94, and below the 200-day MA of 37.67, indicating a bearish trend. The MACD of -0.70 indicates Negative momentum. The RSI at 43.68 is Neutral, neither overbought nor oversold. The STOCH value of 43.39 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for DASTY.

Dassault Systemes SA Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
DASTY	79 Outperform	$49.74B	37.80	14.36%	0.49%	3.42%	7.71%
PAYC	78 Outperform	$13.07B	25.33	34.88%	0.68%	11.19%	51.03%
CDNS	77 Outperform	$77.30B	73.12	26.13%	―	13.48%	0.66%
ADSK	73 Outperform	$57.87B	53.02	49.69%	―	12.35%	22.28%
ANSS	68 Neutral	$27.73B	48.35	10.03%	―	12.11%	14.35%
PTC	62 Neutral	$18.25B	46.78	12.99%	―	6.05%	63.78%
Sector *	59 Neutral	$10.74B	10.21	-6.69%	3.04%	7.44%	-10.92%