Dermapharm Holding SE (DMP) AI Stock Analysis

• Market Cap: €1.80B
• Dividend Yield: 2.71%
• Average Volume (3M): 16.65K
• Price to Earnings (P/E): 17.3
• Beta (1Y): 0.54
• Revenue Growth: 6.24%
• EPS Growth: 83.05%
• Country: DE
• Employees: 3,610
• Sector: Healthcare
• Sector Strength: 38
• Industry: Drug Manufacturers - Specialty & Generic
• EPS (TTM): 0.62
• Shares Outstanding: 53,840,000
• 10 Day Avg. Volume: 12,696
• 30 Day Avg. Volume: 16,647
• PEG Ratio: N/A
• Price to Book (P/B): 0.00
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 0.00
• 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: €44.67
• Price Target Upside: 34.55% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 3

• Rating: 66 Neutral
• Price Target: €37.00 ▲(11.45% Upside)

Dermapharm Holding SE's overall stock score reflects a solid financial performance with stable profitability and balanced leverage. The valuation is reasonable, offering a fair dividend yield, but technical indicators suggest a neutral market position. The absence of significant corporate events or earnings call data limits additional insights.

Positive Factors

Earnings

Dermapharm Holding reported a better-than-expected end to the year with a 7% earnings and 4% sales beat in the fourth quarter.

Financial Performance

The adjusted EBITDA for the fiscal year exceeded expectations, supported by Montavit.

Negative Factors

EBITDA Margin

Group adj. EBITDA is down -8% YoY to €81.3m, translating into a margin 26.9% (PY 29.7%).

Outlook

The outlook on revenue and earnings sits below consensus with expected low single-digit revisions.

Revenue Growth

The new fiscal year guidance appears conservative with only flat revenue growth projected.

Dermapharm Holding SE Business Overview & Revenue Model

Company Description

Dermapharm Holding SE, together with its subsidiaries, engages in the off-patent branded pharmaceuticals business in Germany and internationally. It operates through three segments: Branded Pharmaceuticals and Other Healthcare Products, Parallel Import Business, and Herbal Extracts. The company develops, manufactures, licenses, markets, and sells branded generics, over-the-counter drugs, non-prescription natural remedies, and other healthcare products. It also offers healthcare products in the areas of vitamins, minerals, food supplements, dermatology, allergology, pain and inflammation treatment, cardiovascular support, gynecology, and urology primarily under the Dekristol, Dekristolvit, Allergovit, and Tromcardin brands. In addition, the company provides medical devices under the bite away and Herpotherm names; Momekort, a nasal spray used to treat allergy symptoms; and Azedil, a nasal spray or eye drop. Further, it imports originator pharmaceuticals under the axicorp brand; and offers herbal extracts and natural active ingredients for phytopharmaceuticals, nutraceuticals, and cosmetics. It serves pharmaceutical wholesalers, pharmacies, hospitals, and health food stores. The company was founded in 1991 and is headquartered in Grünwald, Germany. Dermapharm Holding SE is a subsidiary of Themis Beteiligungs-Aktiengesellschaft.

How the Company Makes Money

Dermapharm Holding SE generates revenue through the sale of its extensive range of branded pharmaceutical products, healthcare items, and dietary supplements. The company capitalizes on its robust production capabilities and extensive distribution network to supply products to pharmacies, hospitals, and direct consumers. Key revenue streams include the sales of proprietary dermatological products, vitamins, minerals, and supplements, as well as contract manufacturing services for third parties. Strategic partnerships and acquisitions also play a significant role in enhancing their market presence and expanding their product offerings, contributing to overall earnings.

Dermapharm Holding SE Financial Statement Overview

Summary

Dermapharm Holding SE shows strong profitability with healthy EBIT and EBITDA margins. However, challenges such as a slight decline in gross profit and reduced free cash flow growth impact the score.

Income Statement

Dermapharm Holding SE shows solid profitability with a gross profit margin of 56.5% and a net profit margin of 8.7% for TTM (Trailing-Twelve-Months). The revenue growth rate over the past year is moderate at 5.8%. EBIT and EBITDA margins are healthy at 18.1% and 25.8%, respectively. However, a slight decline in gross profit from the previous annual period indicates potential cost pressures.

Balance Sheet

The company's balance sheet reflects moderate leverage with a debt-to-equity ratio of 1.56. The equity ratio is relatively stable at 30.2%, suggesting a balanced reliance on debt and equity. ROE for TTM (Trailing-Twelve-Months) is decent at 16.2%. Despite a high level of debt, the company maintains a healthy equity base, but increasing liabilities remain a concern.

Cash Flow

The cash flow analysis shows a contraction in free cash flow growth, with a decrease from the previous period. The operating cash flow to net income ratio is 1.60, indicating strong cash generation relative to net income. However, the free cash flow to net income ratio has decreased, highlighting potential challenges in maintaining cash reserves amidst increased capital expenditures.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	1.18B	1.18B	1.14B	1.02B	942.91M	793.83M
Gross Profit	669.35M	767.07M	719.16M	660.83M	620.69M	463.48M
EBITDA	306.09M	320.91M	265.55M	329.81M	358.10M	186.57M
Net Income	103.57M	113.79M	62.37M	134.24M	209.58M	85.83M
Balance Sheet
Total Assets	2.11B	2.08B	2.16B	1.41B	1.41B	1.22B
Cash, Cash Equivalents and Short-Term Investments	118.02M	121.71M	159.54M	161.36M	172.06M	121.66M
Total Debt	995.29M	979.61M	1.08B	516.45M	580.30M	606.80M
Total Liabilities	1.47B	1.47B	1.62B	880.34M	907.13M	899.81M
Stockholders Equity	638.56M	604.42M	539.21M	531.59M	497.32M	321.97M
Cash Flow
Free Cash Flow	124.66M	163.14M	177.88M	249.52M	189.16M	90.30M
Operating Cash Flow	165.91M	201.38M	219.42M	288.53M	250.37M	131.10M
Investing Cash Flow	-32.20M	-29.61M	-415.43M	-99.01M	-129.35M	-105.91M
Financing Cash Flow	-141.96M	-209.17M	204.54M	-199.77M	-80.98M	-14.09M

Dermapharm Holding SE Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 33.20
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For DE:DMP, the sentiment is Negative. The current price of 33.2 is below the 20-day moving average (MA) of 34.40, below the 50-day MA of 34.46, and below the 200-day MA of 35.97, indicating a bearish trend. The MACD of -0.27 indicates Positive momentum. The RSI at 38.77 is Neutral, neither overbought nor oversold. The STOCH value of 14.00 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for DE:DMP.

Dermapharm Holding SE Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
ILM1	76 Outperform	€334.12M	21.56	2.99%	―	5.62%	-21.87%
PSG	75 Outperform	€348.00M	17.31	48.46%	1.76%	13.80%	10.94%
93M1	73 Outperform	€75.99M	2.41	12.12%	6.37%	-15.43%	8.45%
DMP	66 Neutral	€1.80B	17.34	16.97%	2.71%	6.24%	83.05%
APPH	58 Neutral	€92.23M	119.89	2.46%	―	31.12%	―
Sector *	51 Neutral	$7.38B	0.52	-67.26%	2.36%	16.67%	-0.20%