Deutz AG (DEZ) AI Stock Analysis

• Market Cap: €1.01B
• Dividend Yield: 2.35%
• Average Volume (3M): 690.64K
• Price to Earnings (P/E): 28.2
• Beta (1Y): 1.41
• Revenue Growth: -7.63%
• EPS Growth: -51.48%
• Country: DE
• Employees: 5,511
• Sector: Industrials
• Sector Strength: 87
• Industry: Industrial - Machinery
• EPS (TTM): 0.06
• Shares Outstanding: 138,761,920
• 10 Day Avg. Volume: 504,599
• 30 Day Avg. Volume: 690,637
• PEG Ratio: 0.06
• Price to Book (P/B): 0.73
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -978.98
• 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: €10.60
• Price Target Upside: 46.41% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 3

• Rating: 57 Neutral
• Price Target: €7.00 ▼(-3.31%Downside)

Deutz AG's stock score is primarily influenced by its stable financial performance, which is offset by bearish technical indicators. The company's financial health is sound, but the stock is currently underperforming in the market, as evidenced by negative technical signals. Valuation suggests the stock is fairly priced, providing moderate attractiveness for potential investors.

Deutz AG Business Overview & Revenue Model

Company Description

DEUTZ Aktiengesellschaft manufactures diesel and gas engines in Europe, the Middle East, Africa, the Asia Pacific, and the Americas. It operates through three segments: DEUTZ Compact Engines, DEUTZ Customized Solutions, and Other. The DEUTZ Compact Engines segment provides servicing of liquid-cooled engines with capacities of up to 8 liters. The DEUTZ Customized Solutions segment offers air-cooled drives and liquid-cooled engines with a capacity exceeding 8 liters; and reconditioned exchange engines and parts. The Other segment is involved in manufacturing electric and hybrid drive systems for marine applications under the Torqeedo brand; and development of battery management hardware and software products under the Futavis name, as well as focuses on the electrification of drive systems and electric-powered watercraft. The company also offers installation, maintenance, and repair services for engines. Its products are used in various applications, such as construction equipment, agricultural machinery, material handling equipment, ground support equipment, stationary equipment, commercial vehicles, rail vehicles, boats, and other applications. The company was founded in 1864 and is headquartered in Cologne, Germany.

How the Company Makes Money

Deutz AG generates revenue primarily through the sale of diesel engines and related components. Its key revenue streams include the manufacturing and distribution of engines for various industrial applications, including construction machinery, agricultural equipment, and commercial vehicles. The company also earns revenue from the sale of spare parts and maintenance services for its engines. Additionally, Deutz has strategic partnerships with major original equipment manufacturers (OEMs) and other industrial companies, which contribute to its earnings by providing a consistent demand for its engine products. The company's focus on developing engines that comply with evolving emissions regulations also positions it to capitalize on the growing demand for environmentally friendly industrial solutions.

Deutz AG Financial Statement Overview

Summary

Deutz AG demonstrates a stable financial position with consistent revenue growth and a solid cash flow foundation. While profitability metrics indicate operational efficiency, there is room for improvement in net profit margins and equity utilization. The company's leverage is well-managed, supporting a stable balance sheet.

Income Statement

Deutz AG has shown moderate revenue growth with a solid gross profit margin. However, net profit margins have fluctuated, indicating some instability in profitability. The EBIT and EBITDA margins suggest efficient operations, though there's room for improvement.

Balance Sheet

The company's debt-to-equity ratio is manageable, indicating a balanced leverage. Return on equity has been positive but not exceptional, reflecting moderate effectiveness in utilizing equity. The equity ratio shows a stable financial structure, but there's a need for stronger equity growth.

Cash Flow

Deutz AG exhibits strong operating cash flow relative to net income, indicating effective cash generation. Free cash flow growth has been inconsistent but shows potential. The company maintains a positive cash flow to net income ratio, reflecting good liquidity management.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	1.85B	1.81B	2.06B	1.95B	1.62B	1.30B
Gross Profit	405.60M	400.80M	446.80M	360.80M	272.50M	185.00M
EBITDA	123.10M	149.70M	220.20M	194.90M	127.70M	-18.40M
Net Income	33.00M	51.80M	81.90M	80.20M	38.20M	-107.60M
Balance Sheet
Total Assets	1.75B	1.68B	1.59B	1.48B	1.29B	1.18B
Cash, Cash Equivalents and Short-Term Investments	85.80M	62.00M	90.10M	54.90M	36.10M	64.70M
Total Debt	0.00	287.60M	253.50M	219.10M	115.80M	148.50M
Total Liabilities	922.50M	835.40M	847.00M	806.60M	701.70M	645.10M
Stockholders Equity	831.80M	847.90M	743.20M	668.80M	588.40M	535.20M
Cash Flow
Free Cash Flow	61.00M	37.50M	60.10M	-500.00K	31.60M	-31.00M
Operating Cash Flow	132.10M	101.70M	125.10M	57.70M	93.30M	44.90M
Investing Cash Flow	-176.70M	-171.90M	-97.90M	-67.20M	-67.20M	-76.20M
Financing Cash Flow	61.70M	41.30M	-4.60M	27.60M	-56.10M	41.50M

Deutz AG Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 7.24
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For DE:DEZ, the sentiment is Positive. The current price of 7.24 is above the 20-day moving average (MA) of 7.19, above the 50-day MA of 7.08, and above the 200-day MA of 5.25, indicating a bullish trend. The MACD of -0.03 indicates Positive momentum. The RSI at 55.42 is Neutral, neither overbought nor oversold. The STOCH value of 86.98 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for DE:DEZ.

Deutz AG Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	65 Neutral	$10.56B	15.49	5.57%	1.96%	2.71%	-26.28%
DEZ	57 Neutral	€1.01B	28.16	1.96%	2.35%	-7.63%	-51.48%
0J9C		€1.56B	14.80	4.78%	2.70%	―	―
0BQD		€1.54B	12.70	11.29%	3.03%	―	―
0BQE		€1.54B	13.01	11.29%	2.60%	―	―
0QUL		€687.90M	10.33	9.96%	4.13%	―	―
0RTR		€773.31M	16.97	11.34%	2.47%	―	―