Allgeier (AEIN) AI Stock Analysis

• Market Cap: €194.38M
• Dividend Yield: 2.51%
• Average Volume (3M): 9.06K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.78
• Revenue Growth: -26.34%
• EPS Growth: -101.49%
• Country: DE
• Employees: 3,140
• Sector: Technology
• Sector Strength: 88
• Industry: Information Technology Services
• EPS (TTM): 0.14
• Shares Outstanding: 11,501,613
• 10 Day Avg. Volume: 14,323
• 30 Day Avg. Volume: 9,065
• PEG Ratio: -0.54
• Price to Book (P/B): 1.24
• Price to Sales (P/S): 0.43
• P/FCF Ratio: 6.69
• 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: €22.00
• Price Target Upside: 7.32% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 1
• EPS Forecast (FY): 0.89
• Revenue Forecast (FY): €402.43M

• Rating: 59 Neutral
• Price Target: €23.50 ▲(14.63% Upside)
• Action: Reiterated Date: 12/19/25
• Date: Action: Reiterated 12/19/25

The overall stock score is primarily influenced by financial performance and technical analysis. While the company shows strong cash flow and reduced debt, profitability challenges weigh heavily on its valuation. Positive technical indicators suggest potential for price appreciation, but the negative P/E ratio highlights significant risks.

Positive Factors

Leverage Reduction

A materially lower debt-to-equity ratio meaningfully reduces financial risk and interest burden, increasing flexibility to fund strategic investments or weather downturns. Lower leverage strengthens the balance sheet and supports durable capital allocation and M&A optionality over months.

Strong Free Cash Flow

Sustained free cash flow growth and high conversion of net income to FCF indicate the business generates cash despite earnings volatility. Reliable cash generation underpins investment, debt reduction, and dividends, providing a durable buffer for multi-quarter strategic execution.

Diversified, Recurring Revenue Mix

A mix of project-based work and recurring maintenance/subscription contracts plus long-term client partnerships supports more predictable revenue and cross-sell opportunities. This structural diversity reduces single-client exposure and helps stabilize revenue over several quarters.

Negative Factors

Declining Revenue Trend

A pronounced multi-period revenue decline erodes scale economics and can weaken pricing power and negotiating leverage with clients and partners. Persistent top-line contraction makes it harder to cover fixed costs and sustain long-term investments in product and talent.

Negative Profitability Metrics

A negative net margin, even with stable operating margins, signals the company isn’t sustainably converting revenue into shareholder returns. Over months this constrains retained earnings, limits reinvestment, and raises reliance on continued cost cuts or structural change to restore profitability.

Earnings Collapse / EPS Contraction

An annual EPS decline exceeding 100% reflects severe earnings volatility or losses that undermine investor confidence and internal funding capacity. Such a collapse can force tougher capital choices, slower hiring, or external financing to support strategic initiatives over the coming quarters.

Allgeier Business Overview & Revenue Model

Company Description

Allgeier (AEIN) is a leading technology and consulting company based in Germany, specializing in IT services and solutions across various sectors, including finance, healthcare, and telecommunications. The company offers a wide range of services, such as software development, IT consulting, digital transformation, and managed services, aimed at enhancing operational efficiency and driving innovation for its clients.

How the Company Makes Money

Allgeier generates revenue through multiple streams, primarily by providing IT services and solutions to businesses in various industries. Key revenue streams include project-based services, ongoing maintenance and support contracts, and subscription-based models for software solutions. The company often engages in long-term partnerships with clients, allowing for recurring revenue through sustained service agreements. Additionally, strategic alliances with other technology firms enhance its service offerings and help capture new market opportunities, further contributing to its earnings.

Allgeier Financial Statement Overview

Summary

The company faces revenue and profitability challenges with declining revenue and negative net profit margins. However, significant debt reduction and strong cash flow generation provide a positive outlook for financial stability.

Income Statement

The income statement shows a declining revenue trend with a negative revenue growth rate of -7.06% TTM. Gross profit margin improved to 34.78% TTM, but the net profit margin turned negative at -0.07% TTM, indicating profitability challenges. EBIT and EBITDA margins are relatively stable, though lower than previous years, reflecting operational efficiency issues.

Balance Sheet

The balance sheet indicates a significant reduction in debt, with a debt-to-equity ratio improving to 0.20 TTM from 1.33 in the previous year. However, return on equity is negative at -0.18% TTM, highlighting profitability issues. The equity ratio remains stable, suggesting a balanced asset structure.

Cash Flow

Cash flow analysis reveals strong free cash flow growth of 24.98% TTM, indicating improved cash generation. The operating cash flow to net income ratio is healthy at 0.63 TTM, and free cash flow to net income ratio is robust at 0.80 TTM, suggesting efficient cash management despite net income challenges.

Breakdown	TTM	Mar 2025	Mar 2024	Mar 2023	Mar 2022	Mar 2021
Income Statement
Total Revenue	339.20M	402.96M	488.82M	480.36M	403.61M	763.85M
Gross Profit	117.98M	127.05M	138.31M	119.45M	84.76M	191.22M
EBITDA	40.32M	55.68M	59.50M	62.87M	42.05M	28.34M
Net Income	-235.00K	7.34M	13.08M	21.62M	11.80M	12.54M
Balance Sheet
Total Assets	450.04M	470.68M	524.76M	512.82M	484.99M	243.90M
Cash, Cash Equivalents and Short-Term Investments	26.10M	57.53M	83.04M	87.42M	69.41M	60.80M
Total Debt	25.47M	185.73M	199.88M	193.30M	182.93M	59.62M
Total Liabilities	263.18M	276.49M	335.56M	332.48M	322.08M	138.38M
Stockholders Equity	129.39M	139.46M	138.57M	131.73M	114.94M	102.06M
Cash Flow
Free Cash Flow	39.19M	25.77M	17.02M	24.34M	23.88M	83.94M
Operating Cash Flow	49.27M	37.80M	31.59M	31.68M	29.10M	95.71M
Investing Cash Flow	-4.88M	-26.77M	-36.71M	-17.93M	-149.93M	-166.35M
Financing Cash Flow	-55.06M	-27.20M	5.95M	-1.18M	95.34M	39.70M

Allgeier Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 20.50
• 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 DE:AEIN, the sentiment is Negative. The current price of 20.5 is above the 20-day moving average (MA) of 18.72, above the 50-day MA of 20.34, and above the 200-day MA of 18.77, indicating a bearish trend. The MACD of -1.13 indicates Positive momentum. The RSI at 33.84 is Neutral, neither overbought nor oversold. The STOCH value of 47.61 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for DE:AEIN.

Allgeier Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
OBS	75 Outperform	€51.61M	14.74	10.88%	1.77%	2.84%	21.48%
SHF	65 Neutral	€574.57M	22.18	19.08%	―	20.52%	84.19%
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%
AEIN	59 Neutral	€194.38M	-815.53	0.37%	2.51%	-26.34%	-101.49%
A1OS	55 Neutral	€184.83M	23.63	10.26%	3.99%	-1.50%	-37.05%
QBY	50 Neutral	€20.03M	40.20	-1.93%	―	-3.43%	78.06%
KSC	42 Neutral	€16.83M	-0.91	-31.92%	―	-15.56%	-100.13%