Edel SE & Co. KGAA (EDL) AI Stock Analysis

• Market Cap: €89.99M
• Dividend Yield: 7.14%
• Average Volume (3M): 1.42K
• Price to Earnings (P/E): 8.1
• Beta (1Y): 0.26
• Revenue Growth: -7.73%
• EPS Growth: -9.17%
• Country: DE
• Employees: 1,017
• Sector: Communication Services
• Sector Strength: 97
• Industry: Entertainment
• EPS (TTM): N/A
• Shares Outstanding: 22,734,512
• 10 Day Avg. Volume: 1,729
• 30 Day Avg. Volume: 1,420
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• 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: €4.50
• Price Target Upside: 7.14% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 1

• Rating: 68 Neutral
• Price Target: €4.50 ▲(7.14% Upside)

The overall stock score of 68 reflects a balanced view of Edel SE & Co. KGAA's current position. The most significant factor is the company's financial performance, which highlights challenges in revenue growth and profitability. However, technical analysis indicates bullish momentum, and the valuation is attractive with a low P/E ratio and high dividend yield, making it appealing for value and income investors.

Positive Factors

Comprehensive Value Chain

Edel's integrated value chain from production to distribution enhances control over quality and costs, providing a competitive edge in the media industry.

Gross Profit Margin Improvement

Improved gross profit margins indicate effective cost management, which can enhance profitability and provide a buffer against revenue fluctuations.

Diverse Revenue Streams

Diverse revenue streams reduce dependency on a single income source, providing stability and resilience against market volatility.

Negative Factors

Declining Revenue Trend

A declining revenue trend suggests challenges in market demand or competitive positioning, potentially impacting long-term growth prospects.

Increasing Leverage

Higher leverage increases financial risk and can limit strategic flexibility, especially if revenue growth remains challenged.

Negative Free Cash Flow

Negative free cash flow indicates potential liquidity issues, which could constrain investment in growth opportunities and affect financial health.

Edel SE & Co. KGAA Business Overview & Revenue Model

Company Description

Edel SE & Co. KGaA operates as a music company in Europe. The company produces, markets, and distributes CDs, DVDs, Blu-rays, vinyl records, and LPs. It also publishes and distributes guidebooks, non-fiction, and children's books, as well as magazines, brochures, catalogues, commercial, and multi-media print products and packaging. In addition, the company offers various TV series and film entertainment. Edel SE & Co. KGaA was founded in 1986 and is based in Hamburg, Germany.

How the Company Makes Money

Edel SE & Co. KGaA generates revenue through multiple streams. The primary source of income is the production and distribution of music and video content. This includes the sale of physical media such as CDs, vinyl, and DVDs, as well as digital downloads and streaming services. Additionally, Edel earns money through its publishing segment, which involves the sale of rights and licenses for books and audiobooks. The company also provides logistics and distribution services, which are critical for the delivery of media products to various retail and digital platforms. Partnerships with artists, producers, and other media companies play a significant role in enhancing its content offerings and expanding its market reach.

Edel SE & Co. KGAA Financial Statement Overview

Summary

Edel SE & Co. KGAA faces challenges in revenue growth and profitability, with operational and cash flow inefficiencies. The balance sheet shows increasing leverage, posing potential risks. Despite improvements in gross profit margin, overall financial performance reflects the need for strategic adjustments to enhance profitability and cash flow generation.

Income Statement

Edel SE & Co. KGAA shows a declining revenue trend with total revenue decreasing from 280.2M to 258.6M in the latest period. The gross profit margin improved significantly, suggesting better cost management. However, EBIT was zero, indicating operational challenges. EBITDA margin is relatively stable, but net profit margin decreased, reflecting profitability concerns.

Balance Sheet

The company's debt-to-equity ratio increased, indicating higher leverage, which could pose financial risk. ROE remains modest, showing average profitability on shareholder investments. The equity ratio indicates a moderate level of equity financing, which is stable but not highly robust.

Cash Flow

Free cash flow turned negative, reflecting challenges in generating cash after capital expenditures. The operating cash flow to net income ratio is positive but has decreased, indicating reduced efficiency in cash generation relative to income. The free cash flow to net income ratio highlights cash flow issues.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	258.57M	258.57M	280.22M	277.02M	251.33M	214.10M
Gross Profit	124.68M	199.40M	134.02M	132.33M	124.58M	100.38M
EBITDA	32.05M	32.84M	31.43M	30.84M	25.31M	18.12M
Net Income	11.04M	11.04M	12.15M	11.59M	6.58M	2.54M
Balance Sheet
Total Assets	205.10M	205.10M	193.15M	196.23M	160.65M	158.98M
Cash, Cash Equivalents and Short-Term Investments	11.90M	11.90M	16.50M	15.66M	8.85M	15.54M
Total Debt	71.80M	71.80M	56.03M	58.45M	43.31M	56.76M
Total Liabilities	150.88M	150.88M	143.22M	152.31M	124.04M	126.38M
Stockholders Equity	53.51M	53.51M	48.85M	43.08M	35.75M	31.94M
Cash Flow
Free Cash Flow	-5.07M	-7.68M	12.81M	-4.00M	10.50M	15.36M
Operating Cash Flow	11.92M	12.59M	32.09M	15.06M	21.96M	21.66M
Investing Cash Flow	-23.44M	-22.78M	-19.34M	-20.28M	-11.35M	-7.05M
Financing Cash Flow	-2.04M	-4.58M	-6.80M	-1.49M	-4.85M	-11.51M

Edel SE & Co. KGAA Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 4.20
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For DE:EDL, the sentiment is Positive. The current price of 4.2 is above the 20-day moving average (MA) of 4.17, above the 50-day MA of 4.13, and above the 200-day MA of 4.17, indicating a bullish trend. The MACD of 0.02 indicates Negative momentum. The RSI at 59.14 is Neutral, neither overbought nor oversold. The STOCH value of 46.67 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for DE:EDL.

Edel SE & Co. KGAA Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
EDL	68 Neutral	€89.99M	8.10	21.57%	7.14%	-7.73%	-9.17%
Sector *	60 Neutral	$47.40B	4.51	-11.27%	4.14%	2.83%	-41.62%
0LAC	―	€78.58M	―	-1300.43%	―	―	―
KA8	―	€16.02M	27.35	9.53%	4.52%	―	―
PAL	―	€35.03M	―	-368.47%	―	―	―
G6P0	―	€1.13M	10.61		―	―	―
CLIQ	54 Neutral	€18.54M	0.91	-31.39%	2.81%	―	―