Brockhaus Technologies AG (BKHT) AI Stock Analysis

• Market Cap: €135.19M
• Dividend Yield: 1.78%
• Average Volume (3M): 8.29K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.72
• Revenue Growth: 8.80%
• EPS Growth: -1561.66%
• Country: DE
• Employees: 391
• Sector: Technology
• Sector Strength: 88
• Industry: Asset Management
• EPS (TTM): N/A
• Shares Outstanding: 10,947,637
• 10 Day Avg. Volume: 3,536
• 30 Day Avg. Volume: 8,289
• PEG Ratio: >-0.01
• Price to Book (P/B): 1.22
• Price to Sales (P/S): 1.22
• P/FCF Ratio: 7.13
• 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: €30.00
• Price Target Upside: 150.00% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 1

• Rating: 48 Neutral
• Price Target: €12.00 ▲(0.00% Upside)

Brockhaus Technologies AG's overall stock score is primarily impacted by its weak financial performance, characterized by declining revenue, negative profitability, and high leverage. Technical analysis provides some positive signals with short-term momentum, but valuation remains a concern due to negative earnings. The absence of earnings call data and notable corporate events limits further insights.

Positive Factors

Innovative Product Offerings

Brockhaus Technologies AG's focus on cutting-edge technologies like AI and automation positions it well for long-term growth, as these sectors are expected to expand significantly, driving demand for innovative solutions.

Diverse Revenue Streams

The company's diversified revenue streams from software licensing, subscriptions, and consulting provide a stable financial base, reducing reliance on a single income source and enhancing resilience to market fluctuations.

Strong Market Partnerships

Strategic partnerships with industry leaders enhance Brockhaus Technologies AG's market reach and capability, fostering growth opportunities and strengthening its competitive position in the technology sector.

Negative Factors

Declining Revenue

The declining revenue trend indicates challenges in maintaining market share or product demand, which could hinder long-term growth prospects and necessitate strategic adjustments to reverse the trend.

High Leverage

Significant leverage poses financial risks, limiting the company's ability to invest in growth opportunities and increasing vulnerability to economic downturns, potentially impacting long-term financial stability.

Negative Profitability

Persistent negative profitability highlights operational inefficiencies and challenges in cost management, which could strain resources and limit the company's ability to invest in future growth initiatives.

Brockhaus Technologies AG Business Overview & Revenue Model

Company Description

Brockhaus Technologies AG is a private equity firm. The firm specializing in middle market, later stage, mature, growth capital and buyout investments. It operates as a technology holding company that acquires and holds majority stakes in growth companies in the German speaking region. Brockhaus Technologies AG was founded in 2017 and is based in Frankfurt am Main, Germany.

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	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	211.51M	200.15M	186.63M	142.71M	39.04M	51.89M
Gross Profit	122.25M	99.95M	118.39M	91.72M	30.17M	38.49M
EBITDA	4.02M	12.95M	52.42M	51.51M	-6.82M	6.81M
Net Income	-56.49M	-55.55M	-3.34M	49.02M	-15.88M	-6.76M
Balance Sheet
Total Assets	609.89M	798.32M	666.18M	655.51M	614.50M	306.42M
Cash, Cash Equivalents and Short-Term Investments	43.16M	60.91M	53.67M	70.80M	30.33M	123.94M
Total Debt	252.76M	261.60M	279.40M	252.69M	266.15M	52.81M
Total Liabilities	383.93M	561.13M	368.35M	340.17M	359.58M	82.98M
Stockholders Equity	192.01M	200.29M	258.31M	272.70M	222.04M	223.44M
Cash Flow
Free Cash Flow	17.21M	34.14M	30.04M	31.76M	-8.67M	4.25M
Operating Cash Flow	22.16M	36.01M	34.80M	34.91M	-6.21M	5.69M
Investing Cash Flow	-8.98M	-8.22M	-9.90M	53.03M	-143.96M	-1.41M
Financing Cash Flow	-44.01M	-36.94M	-42.59M	-46.70M	55.67M	102.31M

Brockhaus Technologies AG Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 12.00
• 50DMA: Positive
• 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:BKHT, the sentiment is Negative. The current price of 12 is above the 20-day moving average (MA) of 11.64, above the 50-day MA of 11.18, and below the 200-day MA of 16.20, indicating a neutral trend. The MACD of 0.46 indicates Negative momentum. The RSI at 55.23 is Neutral, neither overbought nor oversold. The STOCH value of 27.07 is Neutral, 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	€89.28M	4.37	8.40%	3.13%	-29.22%	―
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%
A7A	57 Neutral	€136.25M	―	―	―	―	―
BKHT	48 Neutral	€135.19M	―	-3.16%	1.78%	8.80%	-1561.66%