Deutz AG (DEZ) AI Stock Analysis

• Market Cap: €1.07B
• Dividend Yield: 2.25%
• Average Volume (3M): 1.01M
• Price to Earnings (P/E): 29.9
• Beta (1Y): 1.41
• Revenue Growth: -7.63%
• EPS Growth: -51.48%
• Country: DE
• Employees: 5,511
• Sector: Industrials
• Sector Strength: 92
• Industry: Industrial - Machinery
• EPS (TTM): -0.07
• Shares Outstanding: 138,761,920
• 10 Day Avg. Volume: 953,996
• 30 Day Avg. Volume: 1,009,988
• PEG Ratio: -0.85
• Price to Book (P/B): 1.21
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 16.05
• 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: 40.21% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 3

• Rating: 73 Outperform
• Price Target: €8.50 ▲(12.43%Upside)

Deutz AG's overall stock score is driven primarily by its stable financial performance and positive technical indicators. The company's financials reflect operational efficiency and effective cash management, although there is room for improvement in profitability. The technical analysis indicates strong bullish momentum, but potential overvaluation could pose risks. The absence of recent earnings call insights and corporate events means these areas did not influence the overall score.

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
	EBIT
7.90M	35.80M	130.20M	89.40M	37.20M	-73.10M
	EBITDA
111.20M	149.70M	220.20M	194.90M	127.70M	-18.40M
	Net Income Common Stockholders
33.00M	51.80M	81.90M	80.20M	38.20M	-107.60M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
85.80M	62.00M	90.10M	54.90M	36.10M	64.70M
	Total Assets
1.75B	1.68B	1.59B	1.48B	1.29B	1.18B
	Total Debt
0.00	287.60M	253.50M	219.10M	115.80M	148.50M
	Net Debt
-85.80M	225.60M	163.40M	164.20M	79.70M	83.80M
	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: 7.56
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

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 7.56 is above the 20-day moving average (MA) of 7.32, above the 50-day MA of 6.85, and above the 200-day MA of 5.05, indicating a bullish trend. The MACD of 0.23 indicates Positive momentum. The RSI at 61.21 is Neutral, neither overbought nor oversold. The STOCH value of 77.50 is Neutral, 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
DEZ	73 Outperform	€1.07B	29.91	1.96%	2.25%	-7.63%	-51.48%
Sector *	66 Neutral	$4.50B	12.28	5.32%	248.52%	4.13%	-12.36%
0J9C		€1.62B	15.33	4.78%	2.99%	―	―
0BQD		€1.42B	12.40	11.29%	3.17%	―	―
0BQE		€1.42B	11.53	11.29%	3.45%	―	―
0QUL		€658.26M	9.96	9.96%	4.33%	―	―
0RTR		€770.33M	16.90	11.34%	2.90%	―	―