Brockhaus Technologies AG (BKHT) AI Stock Analysis

• Market Cap: €114.39M
• Dividend Yield: 2.11%
• Average Volume (3M): 7.88K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.56
• Revenue Growth: 8.80%
• EPS Growth: -1561.66%
• Country: DE
• Employees: 391
• Sector: Technology
• Sector Strength: 83
• Industry: Asset Management
• EPS (TTM): N/A
• Shares Outstanding: 10,947,637
• 10 Day Avg. Volume: 10,368
• 30 Day Avg. Volume: 7,884
• 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: €30.50
• Price Target Upside: 194.69% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 2

• Rating: 42 Neutral
• Price Target: €11.00 ▲(6.28% Upside)

Brockhaus Technologies AG's overall stock score is primarily impacted by its weak financial performance and bearish technical indicators. The company faces significant financial challenges with declining profitability and high leverage. Technical analysis shows the stock is in a downtrend with oversold conditions. Valuation metrics are unattractive due to negative earnings, further weighing down the score.

Positive Factors

Full-year guidance

Management confirmed the full-year guidance with expected revenues and adjusted EBITDA aligning with consensus estimates.

HR Benefit & Mobility Platform growth

The HR Benefit & Mobility Platform segment experienced a strong growth of 20% year-over-year.

Order backlog

The order backlog remained high, providing good visibility into year-end.

Negative Factors

Earnings miss

The company reported an adjusted EBITDA of -€2m, missing financial expectations.

Guidance suspension

Management suspended their previously released mid-term guidance for 2025.

Sales decline

The final quarter saw a significant performance drop, leading to a 33% year-over-year sales decline.

Brockhaus Technologies AG Business Overview & Revenue Model

Company Description

Brockhaus Technologies AG (BKHT) is a technology-driven company specializing in the development of innovative software solutions and services aimed at optimizing processes across various industries. The company operates primarily in sectors such as data analytics, artificial intelligence, and automation, providing a range of products that include cloud-based software platforms, data management tools, and consulting services designed to enhance operational efficiency and decision-making for its clients.

How the Company Makes Money

Brockhaus Technologies AG generates revenue through multiple streams, primarily from software licensing, subscription fees for its cloud-based services, and consulting engagements. The company charges clients for the use of its proprietary software solutions, which are tailored to meet specific industry needs. Additionally, BKHT earns revenue from long-term contracts and service agreements related to software implementation and ongoing support. Significant partnerships with key industry players and technology providers further enhance its market reach and capability, contributing to its overall earnings. The company also invests in research and development to continuously innovate its product offerings, which helps maintain a competitive edge and attract new clients.

Brockhaus Technologies AG Financial Statement Overview

Summary

Brockhaus Technologies AG is facing financial challenges, with declining revenue and profitability, high leverage, and moderate cash flow performance. The income statement highlights significant losses and reduced margins, while the balance sheet shows high debt levels. Cash flow analysis indicates some liquidity but declining free cash flow growth.

Income Statement

Brockhaus Technologies AG has experienced a decline in revenue growth and profitability. The gross profit margin has decreased from 63.43% in 2023 to 49.94% in 2024, indicating reduced efficiency in generating profit from sales. The net profit margin is negative, showing a significant loss in 2024. The EBIT and EBITDA margins have also deteriorated, reflecting operational challenges. Overall, the income statement shows a concerning trend with declining revenue and profitability.

Balance Sheet

The company's balance sheet shows a high debt-to-equity ratio of 1.31 in 2024, indicating significant leverage and potential financial risk. The return on equity is negative, reflecting the company's inability to generate profit from shareholders' equity. However, the equity ratio remains stable, suggesting a reasonable proportion of equity financing. The balance sheet indicates financial stability concerns due to high leverage and negative returns.

Cash Flow

Cash flow analysis reveals a decline in free cash flow growth, with a negative growth rate of -8.28% in 2024. The operating cash flow to net income ratio is positive, indicating some ability to generate cash from operations despite net losses. The free cash flow to net income ratio is close to 1, suggesting that the company is managing to convert its earnings into cash flow. Overall, the cash flow statement shows moderate performance with some liquidity concerns.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	200.15M	186.63M	142.71M	39.04M	51.89M
Gross Profit	99.95M	118.39M	91.72M	30.17M	38.49M
EBITDA	12.95M	52.42M	51.51M	-6.82M	6.81M
Net Income	-55.55M	-3.34M	49.02M	-15.88M	-6.76M
Balance Sheet
Total Assets	798.32M	666.18M	655.51M	614.50M	306.42M
Cash, Cash Equivalents and Short-Term Investments	60.91M	53.67M	70.80M	30.33M	123.94M
Total Debt	261.60M	279.40M	252.69M	266.15M	52.81M
Total Liabilities	561.13M	368.35M	340.17M	359.58M	82.98M
Stockholders Equity	200.29M	258.31M	272.70M	222.04M	223.44M
Cash Flow
Free Cash Flow	34.14M	30.04M	31.76M	-8.67M	4.25M
Operating Cash Flow	36.01M	34.80M	34.91M	-6.21M	5.69M
Investing Cash Flow	-8.22M	-9.90M	53.03M	-143.96M	-1.41M
Financing Cash Flow	-36.94M	-42.59M	-46.70M	55.67M	102.31M

Brockhaus Technologies AG Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 10.35
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Positive
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For DE:BKHT, the sentiment is Negative. The current price of 10.35 is below the 20-day moving average (MA) of 11.40, below the 50-day MA of 12.73, and below the 200-day MA of 18.07, indicating a bearish trend. The MACD of -0.65 indicates Positive momentum. The RSI at 25.16 is Positive, neither overbought nor oversold. The STOCH value of 18.14 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for DE:BKHT.

Brockhaus Technologies AG Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
B7E	70 Neutral	€89.73M	6.83	0.48%	3.25%	-24.50%	―
Sector *	61 Neutral	$35.52B	8.84	-11.06%	1.87%	8.55%	-8.14%
BKHT	42 Neutral	€114.39M	―	-3.16%	2.11%	8.80%	-1561.66%
PZS	―	€63.09M	44.02	2.00%	2.16%	―	―
IPOK	―	€26.83M	3.95	44.23%	63.90%	―	―
SVE	―	€63.24M	4.10	-19.20%	―	―	―
A7A	57 Neutral	€121.95M	―		―	―	―