TRATON SE (8TRA) AI Stock Analysis

• Market Cap: €13.24B
• Dividend Yield: 6.34%
• Average Volume (3M): 178.11K
• Price to Earnings (P/E): 6.1
• Beta (1Y): 1.29
• Revenue Growth: -2.98%
• EPS Growth: -14.55%
• Country: DE
• Employees: 106,140
• Sector: Industrials
• Sector Strength: 72
• Industry: Agricultural - Machinery
• EPS (TTM): N/A
• Shares Outstanding: 500,000,000
• 10 Day Avg. Volume: 185,345
• 30 Day Avg. Volume: 178,111
• 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: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: €33.29
• Price Target Upside: 24.22% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 9

• Rating: 66 Neutral
• Price Target: €28.00 ▲(4.48% Upside)

The overall stock score is primarily influenced by strong financial performance and attractive valuation, offset by bearish technical indicators and mixed earnings call sentiment. The company's strategic investments in electrification are positive, but market challenges and cash flow issues pose risks.

TRATON SE Business Overview & Revenue Model

Company Description

Traton SE manufactures commercial vehicles worldwide. It operates in Industrial Business and Financial Services segments. The company offers light and heavy-duty commercial vehicles, such as trucks and bus chassis; vans; construction vehicles; city buses; and intercity and travel coaches, as well as spare parts and services. It also provides a cloud-based platform for freight transportation under the RIO brand name. The company offers its products and services under the MAN, Scania, Navistar, and Volkswagen Caminhões e Ônibus brands. In addition, it provides a range of financial solutions, including dealer and customer finance, leasing, and insurance products. The company was founded in 2015 and is based in Munich, Germany. Traton SE is a subsidiary of Volkswagen Finance Luxemburg S.A.

How the Company Makes Money

TRATON SE generates revenue primarily through the sale of its commercial vehicles, including trucks and buses, which are sold to a wide range of customers, from logistics companies to municipalities. The company also earns money through aftermarket services, including parts sales, maintenance, and repair services for its vehicles. Additionally, TRATON benefits from financing services offered to customers purchasing its vehicles. Key partnerships with logistics firms and other companies in the transportation sector enhance its market reach and contribute to its earnings. The company's focus on sustainability, such as developing electric and alternative fuel vehicles, also positions it to capture emerging market trends, further supporting its revenue growth.

TRATON SE Financial Statement Overview

Summary

TRATON SE shows strong revenue and profit growth, improved margins, and a healthier balance sheet with zero debt. However, challenges persist in cash flow management due to capital investments impacting free cash flow.

Income Statement

TRATON SE has demonstrated strong revenue growth with a 13.3% increase from 2022 to 2023, and a further growth to 2024. The gross profit margin improved to 21.3% in 2024, reflecting effective cost management. The net profit margin also increased to 5.9% in 2024, indicating enhanced profitability. Consistently rising EBIT and EBITDA margins, reaching 8.9% and 15.6% respectively, further underline the company's robust operational performance.

Balance Sheet

The company has significantly reduced its total debt from 2023 to 2024, resulting in a debt-free balance sheet, which enhances financial stability. The equity ratio improved to 27.2% in 2024, showing stronger equity funding. However, the return on equity decreased slightly to 15.7% in 2024, suggesting potential for improving shareholder returns.

Cash Flow

TRATON SE's cash flow performance highlights some concerns with negative free cash flow in 2024, despite a positive operating cash flow. The free cash flow growth rate has been negative due to higher capital expenditures, impacting liquidity. However, the operating cash flow remains robust relative to net income, indicating strong operational cash generation.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	45.99B	47.47B	46.87B	40.34B	30.62B	22.58B
Gross Profit	9.45B	10.10B	9.24B	6.85B	5.54B	3.46B
EBITDA	6.47B	7.42B	6.68B	4.81B	3.14B	2.52B
Net Income	2.18B	2.80B	2.45B	1.14B	457.00M	-123.00M
Balance Sheet
Total Assets	66.45B	65.55B	61.70B	58.26B	55.12B	42.77B
Cash, Cash Equivalents and Short-Term Investments	3.27B	3.41B	1.78B	2.21B	2.81B	4.27B
Total Debt	0.00	9.43B	21.70B	21.13B	18.20B	12.30B
Total Liabilities	49.13B	47.70B	45.21B	43.88B	41.67B	29.60B
Stockholders Equity	17.32B	17.84B	16.48B	14.37B	13.44B	12.94B
Cash Flow
Free Cash Flow	-430.00M	-401.00M	374.00M	-2.57B	-65.00M	676.00M
Operating Cash Flow	2.49B	2.34B	2.58B	-660.00M	1.53B	1.99B
Investing Cash Flow	-3.03B	-2.81B	-2.37B	-1.81B	-2.45B	-215.00M
Financing Cash Flow	1.05B	1.39B	-128.00M	2.22B	1.17B	-1.87B

TRATON SE Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 26.80
• 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 DE:8TRA, the sentiment is Negative. The current price of 26.8 is above the 20-day moving average (MA) of 26.73, below the 50-day MA of 29.00, and below the 200-day MA of 29.48, indicating a neutral trend. The MACD of -0.71 indicates Negative momentum. The RSI at 43.33 is Neutral, neither overbought nor oversold. The STOCH value of 75.48 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for DE:8TRA.

TRATON SE Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
MTX	―	€20.42B	23.96	24.74%	0.58%	45.24%	―
HLAG	―	€21.71B	9.19	13.10%	6.80%	19.74%	208.29%
HOT	―	€19.15B	23.33	108.18%	2.03%	25.95%	17.64%
8TRA	―	€13.24B	6.08	12.80%	6.34%	-2.98%	-14.55%
G1A	―	€10.13B	26.00	17.92%	1.81%	1.93%	2.27%
Sector *	―	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%
DTG	―	€28.06B	11.53	11.21%	5.42%	-6.83%	-32.20%

TRATON SE Corporate Events

TRATON GROUP Faces Decline in Q3 2025 Unit Sales Amid Market Challenges

TRATON GROUP reported a 16% decline in unit sales in the third quarter of 2025, selling 71,400 vehicles compared to 85,300 in the same period last year. The decline is attributed to weak market conditions, particularly in Brazil and the US, affecting brands like Scania and International Motors. However, there was a notable increase in all-electric vehicle sales, indicating a shift towards sustainable transportation solutions. MAN Truck & Bus saw a 24% increase in unit sales, driven by strong performance in buses and vans, while Volkswagen Truck & Bus experienced a slight decrease due to the Brazilian market slowdown.

Dr. Arno Antlitz Joins TRATON SE’s Supervisory Board

Dr. Arno Antlitz has been appointed as a member of the Supervisory Board of TRATON SE, enhancing the company’s leadership with his experience from Volkswagen AG. This appointment is expected to strengthen TRATON SE’s strategic direction and operational oversight, potentially impacting its market position and stakeholder interests positively.

TRATON SE’s Earnings Call: Mixed Results Amid Global Challenges

TRATON SE’s recent earnings call painted a mixed picture for the company, showcasing both promising advancements and significant challenges. While the company made strides in electrification and financial services, and saw increased deliveries and order intake in Europe, these positives were tempered by difficulties in North America and Brazil, a decline in sales revenue, and a lowered full-year outlook due to ongoing market uncertainties and unfavorable mix and currency effects.