BASF SE (BAS) AI Stock Analysis

• Market Cap: €37.49B
• Dividend Yield: 5.36%
• Average Volume (3M): 2.82M
• Price to Earnings (P/E): 50.7
• Beta (1Y): 1.16
• Revenue Growth: -2.04%
• EPS Growth: 2258.97%
• Country: DE
• Employees: 111,408
• Sector: Basic Materials
• Sector Strength: 64
• Industry: Chemicals
• EPS (TTM): 1.57
• Shares Outstanding: 893,854,900
• 10 Day Avg. Volume: 2,399,099
• 30 Day Avg. Volume: 2,820,378
• PEG Ratio: -1.23
• Price to Book (P/B): 1.07
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 95.55
• 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: €50.50
• Price Target Upside: 20.67% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 16

• Rating: 60 Neutral
• Price Target: €45.00 ▲(7.53%Upside)

BASF SE's overall stock score is weighted by its solid operational margins and strong capital structure, offset by revenue growth challenges and high valuation concerns. The technical indicators suggest a neutral market sentiment, with a high dividend yield offering some appeal to investors.

Positive Factors

Agro Performance

Agro showed an outstanding performance with a volume growth of +18% and prices were up slightly with +2%.

Market Position

BASF sees itself well positioned to gain share in Europe.

Volume Growth

BASF was able to deliver +6% volume growth in its core businesses, consequently gaining share.

Negative Factors

Earnings Uncertainty

BASF faces headwinds with uncertain earnings due to restrictive US trade policy and low chemical spreads in China.

Political and Economic Challenges

Political support for the chemicals sector does not inspire confidence, with few material perks expected for BASF.

Restructuring and Currency Impact

Despite restructuring efforts by the new CEO, BASF's estimates are being cut due to a weaker USD and tariff headwinds to trade.

BASF SE Business Overview & Revenue Model

Company Description

BASF SE is a German multinational chemical company and one of the largest chemical producers in the world. The company operates in various sectors, including chemicals, materials, industrial solutions, surface technologies, nutrition & care, and agricultural solutions. BASF offers a wide range of products, including chemicals, plastics, performance products, crop protection products, and oil and gas. Its diverse portfolio serves industries such as agriculture, automotive, construction, and consumer goods.

How the Company Makes Money

BASF SE generates revenue through the sale of its extensive range of chemical products and solutions. The company's revenue streams are primarily derived from its six business segments: Chemicals, Materials, Industrial Solutions, Surface Technologies, Nutrition & Care, and Agricultural Solutions. Each segment contributes to the company's earnings by providing specialized products to various industries. For instance, the Agricultural Solutions segment offers crop protection products, seeds, and digital farming solutions to the agricultural sector, while the Surface Technologies segment supplies advanced materials and technologies to industries such as automotive and electronics. BASF also engages in strategic partnerships and investments to enhance its product offerings and market reach, further contributing to its revenue generation.

BASF SE Financial Statement Overview

Summary

BASF SE's financial position is marked by solid operational margins and a strong capital structure. However, challenges are evident in revenue growth and net income conversion to free cash flow, which could impact future financial flexibility.

Income Statement

BASF SE shows a stable gross profit margin at 26.1% for TTM, with an EBIT margin of 4.0% and EBITDA margin of 11.3%, indicating operational efficiency. However, the net profit margin is relatively low at 1.1%, and recent revenue growth is negative, reflecting challenges in revenue expansion.

Balance Sheet

The company maintains a moderate debt-to-equity ratio of 0.63, indicating balanced leverage. The return on equity is modest at 2.0%, suggesting limited profitability for shareholders. The equity ratio stands at 44.3%, highlighting a strong capital structure.

Cash Flow

Operating cash flow to net income ratio is robust at 8.8, suggesting strong cash generation relative to income. However, free cash flow growth is negative, and the free cash flow to net income ratio is low, indicating challenges in converting earnings to free cash.

Breakdown
TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement		Total Revenue
65.11B	65.26B	68.90B	87.33B	78.60B	59.15B
	Gross Profit
16.99B	17.09B	16.70B	21.07B	19.80B	15.11B
	EBIT
2.62B	2.03B	2.24B	2.47B	7.68B	233.00M
	EBITDA
7.37B	6.68B	7.33B	10.22B	10.84B	3.57B
	Net Income Common Stockholders
739.00M	1.30B	225.00M	-391.00M	5.52B	-1.47B
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
2.37B	2.98B	2.68B	2.75B	2.83B	4.54B
	Total Assets
81.42B	80.42B	79.93B	84.47B	87.38B	80.29B
	Total Debt
22.77B	24.00B	21.35B	20.95B	19.14B	21.19B
	Net Debt
20.45B	21.08B	18.72B	18.43B	16.51B	16.86B
	Total Liabilities
44.07B	43.53B	43.28B	43.55B	45.30B	45.89B
	Stockholders Equity
36.09B	35.60B	35.28B	36.60B	40.79B	33.73B
Cash Flow		Free Cash Flow
406.00M	748.00M	2.72B	3.33B	3.71B	2.28B
	Operating Cash Flow
6.48B	6.95B	8.11B	7.71B	7.25B	5.41B
	Investing Cash Flow
-4.89B	-5.08B	-4.99B	-3.78B	-2.62B	-1.90B
	Financing Cash Flow
-2.00B	-1.55B	-2.90B	-4.01B	-6.46B	-1.56B

BASF SE Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 41.85
• 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:BAS, the sentiment is Negative. The current price of 41.85 is below the 20-day moving average (MA) of 42.94, below the 50-day MA of 42.25, and below the 200-day MA of 43.23, indicating a bearish trend. The MACD of -0.26 indicates Positive momentum. The RSI at 43.08 is Neutral, neither overbought nor oversold. The STOCH value of 33.39 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for DE:BAS.

BASF SE Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
NDA	74 Outperform	€3.58B	5.15	14.97%	1.84%	9.35%	489.33%
WCH	66 Neutral	$3.12B	12.95	5.37%	3.77%	-10.63%	-23.15%
SDF	61 Neutral	€2.89B	91.49	0.00%	0.93%	-1.06%	―
BAS	60 Neutral	€37.49B	50.72	2.02%	5.36%	-2.04%	2258.97%
1COV	57 Neutral	€11.06B	―	-6.00%	―	0.01%	-88.69%
LXS	55 Neutral	$2.24B	―	-3.92%	0.36%	-5.18%	-139.96%
Sector *	51 Neutral	$2.02B	-1.14	-21.36%	3.64%	2.88%	-30.57%