EnviTec Biogas AG (ETG) AI Stock Analysis

• Market Cap: €256.16M
• Dividend Yield: 2.9%
• Average Volume (3M): 1.04K
• Price to Earnings (P/E): 18.3
• Beta (1Y): 0.19
• Revenue Growth: -32.48%
• EPS Growth: -71.97%
• Country: DE
• Employees: 685
• Sector: Utilities
• Sector Strength: 65
• Industry: Renewable Utilities
• EPS (TTM): 0.53
• Shares Outstanding: 15,000,000
• 10 Day Avg. Volume: 801
• 30 Day Avg. Volume: 1,040
• PEG Ratio: -0.31
• Price to Book (P/B): 2.43
• Price to Sales (P/S): 1.23
• P/FCF Ratio: -6.63
• 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: N/A
• Price Target Upside: N/A
• Rating Consensus: Hold
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 64 Neutral
• Price Target: €20.50 ▲(18.84% Upside)

The overall stock score of 64 reflects financial challenges with declining revenue and cash flow issues, offset by a stable balance sheet and reasonable valuation. Technical indicators suggest a bearish trend, impacting the overall score.

Positive Factors

Business Model Strength

The company's focus on renewable energy and waste management provides a sustainable business model with multiple revenue streams, including plant construction, biogas sales, and service contracts, ensuring long-term growth potential.

Market Position

A strong international presence allows EnviTec to leverage global opportunities in renewable energy, enhancing its competitive position and ability to secure long-term contracts with diverse clients.

Balance Sheet Health

A healthy equity ratio indicates a stable financial foundation, reducing reliance on debt and providing resilience against economic fluctuations, supporting long-term operational stability.

Negative Factors

Revenue Decline

Declining revenue growth poses a challenge to profitability and may impact the company's ability to invest in new projects, potentially hindering future expansion and competitive positioning.

Cash Flow Issues

Negative free cash flow indicates potential liquidity challenges, limiting the company's ability to fund operations and growth initiatives without external financing, impacting long-term financial health.

Profitability Pressure

A declining net profit margin reflects reduced operational efficiency and profitability, which may affect the company's ability to reinvest in its business and maintain competitive advantages over time.

EnviTec Biogas AG Business Overview & Revenue Model

Company Description

EnviTec Biogas AG manufactures and operates biogas and biomethane plants in Germany, Italy, Great Britain, Czechia, France, Denmark, the United States, China, Greece, and internationally. It operates through three segments: Operation, Services, and Plant Construction. The company offers biogas plant related services, such as planning and turnkey construction, upgrading, biological and technical, and plant and operational management services. It also generates electricity, heat, and gas in its own biogas plants. The company was founded in 2002 and is headquartered in Lohne, Germany.

How the Company Makes Money

EnviTec Biogas AG generates revenue through multiple streams, primarily by designing and constructing biogas plants for clients across different sectors, including agriculture, food waste management, and municipal waste. The company earns income from the sale of biogas produced at these facilities, which is often sold to energy companies or used to generate electricity and heat. Additionally, ETG benefits from service contracts that involve the ongoing maintenance and operation of biogas plants, ensuring a steady income flow. Partnerships with municipal governments and agricultural cooperatives also play a significant role in expanding their client base and securing long-term contracts. Furthermore, the company may receive subsidies and incentives from governmental bodies promoting renewable energy initiatives, which further enhances its revenue potential.

EnviTec Biogas AG Financial Statement Overview

Summary

EnviTec Biogas AG's financials reflect challenges with declining revenue and margins impacting overall health. The balance sheet is stable but cash flow issues, particularly negative free cash flow, highlight the need for strategic adjustments.

Income Statement

The income statement shows a mixed performance with a declining revenue and profit trend. Gross profit margin has been relatively stable, but there was a notable decrease in net profit margin from 13.7% to 8.2% in the latest period. EBIT and EBITDA margins also declined, indicating pressure on operational efficiency. Revenue growth has been negative in the most recent year, posing a challenge for future profitability.

Balance Sheet

The balance sheet indicates moderate financial leverage with a debt-to-equity ratio of 0.68. Return on equity has decreased from 30.4% to 16.2%, reflecting lower profitability. The equity ratio remains healthy at 42.7%, suggesting a stable capital structure, but the declining ROE could be a concern if not addressed.

Cash Flow

Cash flow analysis reveals a deterioration in free cash flow, which turned negative in the latest year due to increased capital expenditures and lower operating cash flow. The operating cash flow to net income ratio has turned negative, indicating cash flow challenges that need addressing to sustain operations without relying on external financing.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	310.01M	350.31M	427.11M	390.55M	262.37M	192.27M
Gross Profit	128.10M	141.74M	185.40M	86.02M	82.50M	67.01M
EBITDA	13.32M	69.47M	109.79M	83.20M	39.05M	33.89M
Net Income	13.97M	28.63M	58.46M	45.80M	15.77M	12.34M
Balance Sheet
Total Assets	429.01M	413.81M	417.32M	340.59M	252.77M	238.56M
Cash, Cash Equivalents and Short-Term Investments	29.25M	26.60M	85.30M	69.41M	19.81M	14.79M
Total Debt	135.89M	120.72M	101.43M	59.17M	47.80M	56.91M
Total Liabilities	237.48M	229.44M	216.76M	173.39M	118.70M	105.43M
Stockholders Equity	184.40M	176.47M	192.02M	162.59M	131.46M	129.66M
Cash Flow
Free Cash Flow	0.00	-64.78M	28.75M	59.82M	22.14M	19.56M
Operating Cash Flow	0.00	-10.37M	83.29M	97.33M	37.35M	27.54M
Investing Cash Flow	0.00	-43.32M	-49.90M	-35.92M	-12.88M	932.17K
Financing Cash Flow	0.00	-15.74M	-17.48M	-4.51M	-19.67M	-28.84M

EnviTec Biogas AG Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 17.25
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For DE:ETG, the sentiment is Negative. The current price of 17.25 is below the 20-day moving average (MA) of 17.85, below the 50-day MA of 18.26, and below the 200-day MA of 23.48, indicating a bearish trend. The MACD of -0.27 indicates Positive momentum. The RSI at 42.70 is Neutral, neither overbought nor oversold. The STOCH value of 20.69 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for DE:ETG.

EnviTec Biogas AG Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	66 Neutral	$17.65B	18.10	5.60%	3.62%	6.62%	11.55%
MLP	65 Neutral	€748.80M	11.43	11.63%	5.26%	2.33%	1.58%
ETG	64 Neutral	€256.16M	18.34	7.87%	2.90%	-32.48%	-71.97%
EKT	60 Neutral	€478.76M	13.80	17.69%	1.45%	-51.12%	-53.26%
MVV1	51 Neutral	€2.02B	16.19	5.62%	4.08%	-8.49%	-31.95%
ABO	45 Neutral	€110.77M	-70.00	-1.00%	4.08%	―	―
PNE3	41 Neutral	€771.00M	-1,278.48	-0.43%	0.40%	122.85%	98.21%