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CANCOM SE (DE:COK)
XETRA:COK
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CANCOM SE (COK) AI Stock Analysis

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DE:COK

CANCOM SE

(XETRA:COK)

Rating:56Neutral
Price Target:
€23.50
▲(4.21% Upside)
The overall stock score for CANCOM SE is primarily influenced by its strong financial performance, particularly in revenue growth and balance sheet strength. However, technical analysis indicates bearish momentum, and the stock appears overvalued based on its P/E ratio. The high dividend yield provides some support, but operational efficiency and cash flow management need improvement to enhance future performance.
Positive Factors
Financial Performance
First quarter preliminaries suggest top-line and EBITDA growth of 6% and 26% for the remainder of the year to meet consensus expectations.
Guidance and Forecasts
Management confirmed the full-year guidance in light of first recovery signs and in anticipation of a stronger second half due to reviving public client business.
Negative Factors
Market Conditions
Cancom cited continued customer reluctance and economic uncertainty in its core German market.
Profitability
Profitability looks even worse than in 1Q25, with EBITA down 81% YoY, reaching a margin of merely 0.6%.
Revenue Decline
H1 revenues declined -4% YoY to €803.8m, while EBITDA dropped -34% YoY to €36.7m.

CANCOM SE (COK) vs. iShares MSCI Germany ETF (EWG)

CANCOM SE Business Overview & Revenue Model

Company DescriptionCANCOM SE, together with its subsidiaries, offers information technology (IT) infrastructure and services in Germany and internationally. The company operates in two segments, Cloud Solutions and IT Solutions. The Cloud Solutions segment provides cloud and shared managed services, including project-related cloud hardware, software, and services. The IT Solutions segment offers a range of services related to IT infrastructure and applications. Its services include IT strategy consulting, project planning and implementation, system integration, and IT procurement through e-procurement services, as well as professional IT services and support. The company offers AHP Enterprise Cloud, an IT multi-cloud management software, as well as provides cloud computing, mobile solutions, internet of things, data analytics, and IT security services. It serves commercial end users ranging from small and medium enterprises to large companies and corporations, and public institutions. The company was founded in 1992 and is based in Munich, Germany.
How the Company Makes MoneyCANCOM SE generates revenue through multiple streams, primarily by offering IT solutions and services. Key revenue streams include the sale of hardware and software products, consulting services, and managed IT services. The company also derives significant income from its cloud services, where it provides infrastructure and platform solutions to businesses. Strategic partnerships with major technology vendors like Microsoft and Cisco bolster its offerings and enhance revenue potential. Additionally, CANCOM benefits from recurring revenue through long-term service contracts and maintenance agreements, which contribute to stable cash flow.

CANCOM SE Financial Statement Overview

Summary
CANCOM SE demonstrates robust revenue growth and a strong balance sheet with low leverage. However, profitability margins are under pressure, and cash flow management needs improvement. The company is well-positioned in the Information Technology Services industry but should focus on enhancing operational efficiency and cash flow generation to sustain growth.
Income Statement
75
Positive
CANCOM SE shows a consistent revenue growth trend with a TTM revenue increase of 5.5%. Gross profit margins remain healthy at around 40%, indicating strong cost management. However, net profit margins are relatively low at 1.5%, suggesting potential inefficiencies or high expenses. EBIT and EBITDA margins have slightly declined, indicating a need for operational improvements.
Balance Sheet
80
Positive
The company's balance sheet is strong with a low debt-to-equity ratio of 0.6%, reflecting prudent financial management. Return on equity is modest at 4.4%, indicating room for improvement in generating returns for shareholders. The equity ratio is stable, suggesting a solid capital structure.
Cash Flow
65
Positive
Operating cash flow is positive, but free cash flow has decreased by 11% in the TTM, indicating potential cash management issues. The operating cash flow to net income ratio is 0.25, suggesting that cash generation is not fully aligned with reported profits. The free cash flow to net income ratio is strong at 0.86, indicating efficient cash conversion.
BreakdownTTMDec 2024Dec 2023Dec 2022Dec 2021Dec 2020
Income Statement
Total Revenue1.71B1.74B1.53B1.31B1.31B1.66B
Gross Profit690.14M693.34M567.08M437.69M431.10M472.48M
EBITDA99.50M120.79M124.72M103.66M124.53M100.56M
Net Income18.95M33.45M36.83M30.80M44.86M61.76M
Balance Sheet
Total Assets1.34B1.41B1.55B1.31B1.41B1.25B
Cash, Cash Equivalents and Short-Term Investments85.13M144.67M222.55M393.17M652.97M338.37M
Total Debt191.57M193.98M211.06M137.13M129.73M117.78M
Total Liabilities795.25M832.53M824.01M610.28M592.58M635.20M
Stockholders Equity545.22M574.00M724.08M694.51M813.72M614.31M
Cash Flow
Free Cash Flow106.88M170.60M72.61M-80.00M39.16M31.33M
Operating Cash Flow125.17M192.88M98.40M-53.56M72.31M68.24M
Investing Cash Flow-25.24M-43.23M-74.42M-34.25M332.17M-50.56M
Financing Cash Flow-185.10M-227.47M-190.40M-171.89M-90.47M-42.32M

CANCOM SE Technical Analysis

Technical Analysis Sentiment
Negative
Last Price22.55
Price Trends
50DMA
24.71
Negative
100DMA
25.96
Negative
200DMA
24.91
Negative
Market Momentum
MACD
-0.50
Negative
RSI
41.58
Neutral
STOCH
17.73
Positive
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For DE:COK, the sentiment is Negative. The current price of 22.55 is below the 20-day moving average (MA) of 22.75, below the 50-day MA of 24.71, and below the 200-day MA of 24.91, indicating a bearish trend. The MACD of -0.50 indicates Negative momentum. The RSI at 41.58 is Neutral, neither overbought nor oversold. The STOCH value of 17.73 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for DE:COK.

CANCOM SE Peers Comparison

Overall Rating
UnderperformOutperform
Sector (61)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
61
Neutral
$35.55B8.91-10.55%1.87%8.47%-8.26%
56
Neutral
€710.67M38.193.11%4.43%-0.29%-48.23%
€578.13M47.176.72%0.87%
€227.18M13.5015.12%
€212.20M45.034.26%2.72%
€4.71B22.0311.61%
€439.64M11.4015.59%2.99%
* Technology Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
DE:COK
CANCOM SE
22.55
-3.65
-13.92%
GB:0N5I
adesso AG
88.60
33.07
59.55%
GB:0JCO
All for One Group
44.00
-3.49
-7.35%
GB:0RUM
Allgeier
18.35
3.06
20.01%
GB:0DPM
Bechtle Aktiengesellschaft
37.38
1.26
3.49%
GB:0O2W
GFT Technologies
16.78
-3.98
-19.17%
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.Date of analysis: Aug 20, 2025