Aroundtown SA (AT1) AI Stock Analysis

• Market Cap: €3.52B
• Dividend Yield: N/A
• Average Volume (3M): 2.11M
• Price to Earnings (P/E): 4.9
• Beta (1Y): 0.90
• Revenue Growth: -1.82%
• EPS Growth: N/A
• Country: DE
• Employees: 1,506
• Sector: Real Estate
• Sector Strength: 53
• Industry: Real Estate - Services
• EPS (TTM): 0.12
• Shares Outstanding: 1,537,025,600
• 10 Day Avg. Volume: 2,615,602
• 30 Day Avg. Volume: 2,112,118
• 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: €3.12
• Price Target Upside: -3.41% Downside
• Rating Consensus: Hold
• Number of Analyst Covering: 14

• Rating: 64 Neutral
• Price Target: €3.50 ▲(8.36% Upside)

Aroundtown SA's stock score is primarily influenced by its mixed financial performance and technical indicators. While the company shows strong profitability, the decline in revenue and moderate cash conversion efficiency are concerns. The technical analysis indicates weak momentum, contributing to a cautious outlook. However, the low P/E ratio suggests potential undervaluation, providing some upside potential.

Positive Factors

Profitability

Strong profitability indicates effective cost management and operational efficiency, which can support long-term financial health and reinvestment opportunities.

Cash Flow Generation

Improved cash flow generation enhances financial flexibility, allowing the company to invest in growth opportunities and manage debt more effectively.

Equity Utilization

Improved ROE suggests better utilization of shareholder equity, which can lead to increased investor confidence and potential for higher returns.

Negative Factors

Revenue Decline

A decline in revenue growth can hinder the company's ability to expand and compete, affecting long-term market position and profitability.

Cash Conversion Efficiency

Moderate cash conversion efficiency may limit the company's ability to quickly convert earnings into cash, affecting liquidity and investment capacity.

Historical Volatility in ROE

Volatility in ROE reflects inconsistent financial performance, which can impact investor trust and the company's ability to sustain growth.

Aroundtown SA Business Overview & Revenue Model

Company Description

Aroundtown SA, together with its subsidiaries, operates as a real estate company in Germany, the Netherlands, the United Kingdom, Belgium, and internationally. It invests in commercial and residential real estate properties, such as office, hotel, logistics, wholesale, retail, and other properties. The company was formerly known as Aroundtown Property Holdings PLC and changed its name to Aroundtown SA in September 2017. Aroundtown SA was founded in 2004 and is based in Luxembourg City, Luxembourg.

How the Company Makes Money

Aroundtown SA generates revenue through several key streams, primarily from rental income derived from its extensive portfolio of properties, which includes commercial spaces and residential units leased to tenants. Additionally, the company earns income through property management services and development projects, where it sells newly developed properties or leases them out. Significant partnerships with various stakeholders in the real estate sector, such as construction firms and local governments, also contribute to its earnings. Furthermore, Aroundtown capitalizes on market trends and opportunities by strategically acquiring undervalued assets, which can lead to appreciation in property values and increased rental yields over time.

Aroundtown SA Financial Statement Overview

Summary

Aroundtown SA demonstrates solid profitability and cash flow management, particularly in the most recent period. Despite challenges in revenue consistency and high leverage, the company shows resilience and efficiency in its operations. Continued focus on debt management and revenue stabilization can enhance financial stability.

Income Statement

Aroundtown SA's income statement shows a strong recovery in profitability with a TTM gross profit margin of 60.05% and a net profit margin of 28.24%, indicating effective cost management and profitability. However, the revenue growth rate is inconsistent, with a recent TTM growth of 15.56% following a decline in previous years. EBIT and EBITDA margins show significant improvement in the TTM period, reflecting operational efficiency but with past volatility.

Balance Sheet

The balance sheet reveals a high debt-to-equity ratio of 1.13, suggesting a leveraged position typical for the real estate sector but posing potential risk. Positive ROE of 3.11% in the TTM period indicates modest returns to shareholders. The equity ratio stands at 36.92%, showing a stable capital structure, though with room for improvement in reducing leverage.

Cash Flow

Aroundtown SA's cash flow statement highlights a robust free cash flow generation, with a TTM free cash flow to net income ratio of 1.98, indicating strong cash conversion. The operating cash flow to net income ratio of 2.03 further underscores efficient cash management. However, fluctuations in free cash flow growth rates suggest volatility in cash flow generation.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	1.36B	1.18B	1.19B	1.61B	1.32B	1.18B
Gross Profit	825.60M	630.70M	554.40M	915.00M	790.20M	737.70M
EBITDA	1.74B	701.70M	-2.60B	712.40M	642.20M	562.80M
Net Income	937.30M	256.30M	-1.83B	-457.10M	1.08B	741.30M
Balance Sheet
Total Assets	33.56B	33.62B	33.56B	37.35B	39.38B	31.02B
Cash, Cash Equivalents and Short-Term Investments	3.33B	3.89B	3.13B	3.08B	3.74B	3.34B
Total Debt	13.79B	14.70B	14.55B	14.94B	15.74B	11.97B
Total Liabilities	18.16B	18.61B	18.41B	19.52B	20.23B	15.44B
Stockholders Equity	12.45B	12.17B	12.40B	14.33B	15.28B	13.56B
Cash Flow
Free Cash Flow	794.80M	801.20M	541.70M	761.60M	-174.40M	579.50M
Operating Cash Flow	814.70M	820.50M	557.90M	788.00M	625.80M	615.80M
Investing Cash Flow	297.90M	152.60M	523.80M	408.50M	1.08B	1.01B
Financing Cash Flow	-591.30M	-495.90M	-753.00M	-1.76B	-2.61B	-1.63B

Aroundtown SA Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 3.23
• 50DMA: Negative
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For DE:AT1, the sentiment is Positive. The current price of 3.23 is below the 20-day moving average (MA) of 3.25, below the 50-day MA of 3.28, and above the 200-day MA of 2.87, indicating a neutral trend. The MACD of -0.02 indicates Positive momentum. The RSI at 47.69 is Neutral, neither overbought nor oversold. The STOCH value of 55.92 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for DE:AT1.

Aroundtown SA Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
LEG	72 Outperform	€5.11B	8.42	7.79%	3.99%	5.99%	―
DEQ	71 Outperform	€1.40B	10.50	6.55%	28.32%	-7.17%	―
GYC	69 Neutral	€1.86B	4.55	9.27%	―	0.19%	―
AT1	64 Neutral	€3.52B	4.91	9.56%	―	-1.82%	―
TEG	64 Neutral	€2.77B	9.37	4.01%	2.73%	-22.06%	―
PAT	59 Neutral	€607.78M	28.46	2.06%	4.94%	-9.25%	―
Sector *	65 Neutral	$2.17B	12.19	3.79%	4.94%	3.15%	1.96%