CTS Eventim AG & Co. KGaA (EVD) AI Stock Analysis

• Market Cap: €10.02B
• Dividend Yield: 1.4%
• Average Volume (3M): 140.95K
• Price to Earnings (P/E): 33.7
• Beta (1Y): 0.76
• Revenue Growth: 20.72%
• EPS Growth: -0.33%
• Country: DE
• Employees: 4,434
• Sector: Industrials
• Sector Strength: 83
• Industry: Entertainment
• EPS (TTM): 0.48
• Shares Outstanding: 96,000,000
• 10 Day Avg. Volume: 108,166
• 30 Day Avg. Volume: 140,952
• PEG Ratio: 0.22
• Price to Book (P/B): 7.82
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 45.58
• 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: €117.67
• Price Target Upside: 12.71% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 10

• Rating: 72 Outperform
• Price Target: €112.00 ▲(7.28%Upside)

The overall score is primarily driven by strong financial performance, characterized by high profitability and low leverage. However, operational inefficiencies and declining cash flow growth pose risks. Technical indicators suggest bearish momentum, and the stock's high valuation could limit upside potential.

Positive Factors

Business Prospects

The price target has been increased from €100 to €127, reflecting improved business prospects.

Financial Performance

CTS Eventim reported strong preliminary Q4 figures, exceeding expectations with a 4% adjusted EBITDA beat on full-year results.

Sales Growth

Both the Ticketing and Live Entertainment segments contributed to strong growth, with sales surpassing the previous year's figures significantly.

Negative Factors

Cost Pressures

There is ongoing upward pressure on infrastructure, personnel, and fees, affecting the company's cost structure.

CTS Eventim AG & Co. KGaA Business Overview & Revenue Model

Company Description

CTS Eventim AG & Co. KGaA operates in the leisure events market in Germany, Italy, the United States, Switzerland, Austria, Finland, the Netherlands, Spain, and internationally. It operates through two segments, Ticketing and Live Entertainment. The Ticketing segment produces, sells, brokers, distributes, and markets tickets for concerts, theatre, art, sports, and other events. It markets events (tickets) through eventim.Web and using its network platform, EVENTIM.Net; in-house ticketing products through EVENTIM.Inhouse; sport ticketing products through EVENTIM.Tixx; and self-service products for promotors through EVENTIM.Light, as well as provides a solution for ticket sales and admission control through EVENTIM.Access. This segment also operates kinoheld software for cinema operators; EVENTIM.fanSALE, a resale portal where customers sell event tickets to other customers; and online portal under various brands, such as eventim.de, oeticket.com, ticketcorner.ch, ticketone.it, and entradas.com. The Live Entertainment segment plans, prepares, and performs tours, events, and festivals including music events and concerts, as well as markets music productions. This segment is also involved in the operation of venues. The company was formerly known as CTS EVENTIM AG and changed its name to CTS Eventim AG & Co. KGaA in May 2014. CTS Eventim AG & Co. KGaA was founded in 1989 and is headquartered in Bremen, Germany.

How the Company Makes Money

CTS Eventim generates revenue primarily through its two main business segments: Ticketing and Live Entertainment. In the Ticketing segment, the company earns money by charging service fees on tickets sold through its platforms, which include online portals and physical points of sale. This segment benefits from high-margin digital sales and the proliferation of e-commerce. In the Live Entertainment segment, revenue is derived from organizing and promoting events, with income coming from ticket sales, sponsorships, and concessions. Strategic partnerships with artists, venues, and other event organizers, as well as investments in technology and infrastructure, further bolster CTS Eventim's revenue streams. The company's large customer base and established market presence enable it to capitalize on the growing demand for live events and digital ticketing solutions.

CTS Eventim AG & Co. KGaA Financial Statement Overview

Summary

CTS Eventim AG & Co. KGaA displays strong financial health with robust profitability and low leverage. Revenue growth is commendable, but operational efficiency issues are evident with a zero EBIT margin. Despite a generally positive cash flow position, declining free cash flow growth may signal potential liquidity issues.

Income Statement

The company has demonstrated strong revenue growth, with a substantial increase from 2023 to 2024. The gross profit margin stands at approximately 26.4% for 2024, indicating efficient cost management. However, EBIT margin is zero, suggesting issues with operational efficiency despite a healthy EBITDA margin of 22.4%. Net profit margin in 2024 is around 11.4%, reflecting decent profitability.

Balance Sheet

The balance sheet shows a strong equity position with an equity ratio of approximately 25.2% for 2024. The debt-to-equity ratio is low at about 0.12, indicating low leverage. Return on Equity (ROE) for 2024 is impressive at 31.0%, highlighting effective utilization of equity resources.

Cash Flow

Operating cash flow is healthy, but there is a decline from the previous year. The free cash flow to net income ratio is positive, indicating efficient cash generation relative to net income. However, the free cash flow growth rate is negative, suggesting potential challenges in sustaining cash flows.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	2.81B	2.36B	1.93B	407.82M	256.84M
Gross Profit	740.57M	603.16M	448.32M	80.71M	9.82M
EBITDA	596.99M	450.50M	394.81M	207.10M	-92.71M
Net Income	318.87M	274.64M	203.75M	87.91M	-88.07M
Balance Sheet
Total Assets	4.07B	3.20B	2.61B	2.29B	1.83B
Cash, Cash Equivalents and Short-Term Investments	1.80B	1.67B	1.26B	1.01B	764.15M
Total Debt	120.05M	124.66M	121.29M	135.58M	137.76M
Total Liabilities	2.88B	2.18B	1.77B	1.70B	1.33B
Stockholders Equity	1.03B	896.81M	731.62M	529.95M	448.02M
Cash Flow
Free Cash Flow	329.89M	459.13M	125.50M	467.70M	-142.05M
Operating Cash Flow	506.42M	630.12M	179.03M	502.74M	-125.68M
Investing Cash Flow	179.62M	-616.74M	-44.00M	-62.62M	-20.26M
Financing Cash Flow	-193.85M	-141.64M	-29.89M	-222.68M	98.42M

CTS Eventim AG & Co. KGaA Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 104.40
• 50DMA: Negative
• 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:EVD, the sentiment is Negative. The current price of 104.4 is below the 20-day moving average (MA) of 105.43, below the 50-day MA of 104.68, and above the 200-day MA of 94.93, indicating a neutral trend. The MACD of -0.67 indicates Positive momentum. The RSI at 44.51 is Neutral, neither overbought nor oversold. The STOCH value of 54.11 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for DE:EVD.

CTS Eventim AG & Co. KGaA Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
EVD	72 Outperform	€10.02B	33.69	29.22%	1.40%	20.72%	-0.33%
Sector *	58 Neutral	$1.33B	4.26	-2.93%	9.53%	3.41%	-51.76%
0DVE		€428.82M	51.53	2.50%	1.54%	―	―
0MPJ		€9.63B	25.46	16.56%	1.69%	―	―
PAL		€29.66M	―	-368.47%	―	―	―
HAG	79 Outperform	€10.93B	117.49	10.95%	0.50%	25.46%	41.26%
CLIQ	59 Neutral	€37.73M	0.91	-30.95%	0.72%	―	―