Diebold Nixdorf Inc (DBD) AI Stock Analysis

• Market Cap: $2.22B
• Dividend Yield: N/A
• Average Volume (3M): 207.85K
• Price to Earnings (P/E): 0.8
• Beta (1Y): 1.17
• Revenue Growth: -3.75%
• EPS Growth: -100.59%
• Country: US
• Employees: 21,000
• Sector: Technology
• Sector Strength: 85
• Industry: Software - Application
• EPS (TTM): 0.94
• Shares Outstanding: 36,633,545
• 10 Day Avg. Volume: 184,290
• 30 Day Avg. Volume: 207,854
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• Enterprise Value/Market Cap: 1.28
• Enterprise Value/Revenue: 0.77
• Enterprise Value/Gross Profit: 3.09
• Enterprise Value/Ebitda: 10.15
• 1Y Price Target: $71.67
• Price Target Upside: 20.94% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 3

• Rating: 61 Neutral
• Price Target: $65.00 ▲(9.69% Upside)

Diebold Nixdorf's overall stock score reflects a mix of positive technical momentum and strong earnings call performance, offset by significant financial challenges and valuation concerns. The company's ability to generate positive free cash flow and expand gross margins is promising, but persistent net losses and high debt levels weigh heavily on its financial health. Investors should be cautious of the valuation metrics and monitor the company's strategic initiatives for improvement.

Positive Factors

Product Order Growth

The consistent growth in product orders indicates strong demand and market acceptance, which can drive future revenue and strengthen market position.

Gross Margin Expansion

Improved gross margins suggest better cost management and pricing strategies, enhancing profitability potential and competitive advantage.

AI-Driven Innovations

Adoption of AI-driven solutions can lead to long-term growth by enhancing product offerings and differentiating the company in the market.

Negative Factors

Declining Revenue

A declining revenue trend poses a risk to long-term sustainability, indicating potential challenges in maintaining market share and operational scale.

High Debt Levels

High debt levels can limit financial flexibility and increase risk, potentially impacting the company's ability to invest in growth opportunities.

Negative Cash Flow

Negative cash flow indicates liquidity challenges, which can hinder the company's ability to fund operations and strategic initiatives.

Diebold Nixdorf Inc Business Overview & Revenue Model

Company Description

Diebold Nixdorf Inc. (DBD) is a global leader in providing integrated technology solutions and services for the banking and retail sectors. The company specializes in automating financial transactions and enhancing customer experiences through its advanced self-service solutions, including ATMs, point-of-sale (POS) systems, and software applications. Diebold Nixdorf's offerings aim to improve operational efficiency and drive digital transformation for its clients, making it a pivotal player in the convergence of technology and customer engagement.

How the Company Makes Money

Diebold Nixdorf generates revenue through multiple streams, primarily from the sale of hardware and software solutions, maintenance services, and managed services. The company earns significant income from selling ATMs and POS systems, which are essential for financial institutions and retailers. Additionally, Diebold Nixdorf offers software solutions that enhance transaction processing and data analytics, contributing to its revenue. Maintenance and support services from long-term contracts with clients provide a stable income base, while managed services, which include system monitoring and operation management, also add to revenue. Strategic partnerships with banks and retail chains further bolster its earnings by creating long-term contracts and collaborative projects, enhancing the company’s market presence and operational scale.

Diebold Nixdorf Inc Financial Statement Overview

Summary

Diebold Nixdorf is facing significant financial challenges. The company shows declining revenue and persistent net losses, impacting profitability. Although there are some improvements in financial leverage, the balance sheet remains burdened by high debt. Cash flow management issues are evident with negative operating and free cash flows. Overall, the financial health of Diebold Nixdorf requires strategic initiatives to stabilize operations and enhance profitability.

Income Statement

Diebold Nixdorf's income statement reveals significant challenges. The company's revenue has declined over the years, with a noticeable drop in the latest TTM data compared to the previous year. The gross profit margin for TTM is approximately 31.32%, showing a slight improvement, yet the net income remains negative, leading to a negative net profit margin. Historical EBIT and EBITDA margins have been inconsistent, and the current TTM EBIT margin is 7.57%, indicating slight operational efficiency improvements but still insufficient to achieve profitability. Overall, the income metrics reflect instability and a need for strategic improvement to reverse the declining revenue trend.

Balance Sheet

The balance sheet presents a mixed view. While the company's debt-to-equity ratio has improved in TTM to around 1.00, indicating better financial leverage management compared to previous years, the total debt remains substantial. The equity ratio is approximately 26.22%, suggesting moderate stability, but the company still faces risk due to its high liabilities. Return on equity is not applicable due to negative equity in past years, highlighting financial distress. Overall, the balance sheet shows some improvement in leverage but remains under pressure from high debt levels.

Cash Flow

Cash flow analysis highlights ongoing cash management issues. Operating cash flow is negative in the TTM period, as is free cash flow, indicating challenges in generating cash from operations. The free cash flow to net income ratio is not favorable, reinforcing the difficulty in achieving cash profitability. Although there is a slight improvement in free cash flow from the previous year, the negative operating cash flow persists, suggesting the company continues to struggle with liquidity management.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	3.67B	3.75B	3.76B	3.46B	3.91B	3.90B
Gross Profit	918.10M	920.00M	876.20M	757.30M	1.04B	1.03B
EBITDA	279.50M	335.10M	1.83B	-118.40M	283.20M	184.30M
Net Income	-12.90M	-16.50M	1.38B	-587.80M	-78.40M	-268.50M
Balance Sheet
Total Assets	3.74B	3.54B	4.16B	3.06B	3.51B	3.66B
Cash, Cash Equivalents and Short-Term Investments	310.40M	313.10M	563.60M	343.70M	423.20M	361.70M
Total Debt	1.06B	1.05B	1.36B	2.61B	2.29B	2.35B
Total Liabilities	2.63B	2.61B	3.08B	4.44B	4.34B	4.47B
Stockholders Equity	1.10B	929.80M	1.06B	-1.38B	-845.10M	-827.10M
Cash Flow
Free Cash Flow	221.60M	131.80M	-281.90M	-441.00M	72.00M	-26.70M
Operating Cash Flow	226.50M	149.20M	-257.00M	-387.90M	123.30M	18.00M
Investing Cash Flow	-62.50M	-45.50M	-36.10M	-23.80M	-49.20M	-82.60M
Financing Cash Flow	-240.70M	-366.50M	559.50M	349.80M	-3.60M	16.90M

Diebold Nixdorf Inc Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 59.26
• 50DMA: Negative
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For DBD, the sentiment is Neutral. The current price of 59.26 is below the 20-day moving average (MA) of 61.08, below the 50-day MA of 59.69, and above the 200-day MA of 49.07, indicating a neutral trend. The MACD of 0.15 indicates Positive momentum. The RSI at 45.09 is Neutral, neither overbought nor oversold. The STOCH value of 19.74 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for DBD.

Diebold Nixdorf Inc Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
PLUS	75 Outperform	$1.99B	17.43	11.10%	0.34%	-1.96%	5.19%
JAMF	66 Neutral	$1.40B	―	-6.68%	―	11.36%	46.67%
NATL	66 Neutral	$2.88B	21.98	44.00%	―	-0.61%	―
MLNK	63 Neutral	$1.47B	―	-5.41%	―	5.96%	50.29%
Sector *	61 Neutral	$36.69B	12.42	-10.20%	1.85%	8.50%	-7.32%
DBD	61 Neutral	$2.22B	0.78	-1.23%	―	-3.75%	-100.59%
SEMR	60 Neutral	$1.13B	182.58	-0.50%	―	22.16%	-107.92%

Diebold Nixdorf Inc Corporate Events

Diebold Nixdorf Unveils Growth Acceleration Plan at Investor Day

On February 26, 2025, Diebold Nixdorf held its Investor Day in New York City, announcing a new growth acceleration plan and financial targets for the next three years. The company aims to leverage secular trends in banking and retail to drive growth, profitability, and cash generation, targeting mid-single-digit revenue growth and double-digit adjusted EBITDA growth by 2027. The plan includes generating approximately $800 million in cumulative free cash flow over three years, nearly half of the company’s current market cap, reflecting significant opportunities in its global banking and retail segments.