Evonik (EVK) AI Stock Analysis

• Market Cap: €6.67B
• Dividend Yield: 9%
• Average Volume (3M): 1.24M
• Price to Earnings (P/E): 15.7
• Beta (1Y): 0.99
• Revenue Growth: -5.92%
• EPS Growth: -58.33%
• Country: DE
• Employees: 31,585
• Sector: Basic Materials
• Sector Strength: 58
• Industry: Chemicals - Specialty
• EPS (TTM): 0.27
• Shares Outstanding: 466,000,000
• 10 Day Avg. Volume: 1,023,876
• 30 Day Avg. Volume: 1,242,903
• PEG Ratio: -0.24
• Price to Book (P/B): 0.86
• Price to Sales (P/S): 0.51
• P/FCF Ratio: 8.93
• 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: €14.76
• Price Target Upside: 13.54% Upside
• Rating Consensus: Moderate Sell
• Number of Analyst Covering: 11
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 58 Neutral
• Price Target: €14.00 ▲(7.69% Upside)

Evonik's overall stock score is primarily influenced by its stable financial performance, which is offset by bearish technical indicators and a high P/E ratio. The attractive dividend yield provides some support, but the lack of growth momentum and technical weakness are significant concerns.

Positive Factors

Diversified Revenue Streams

Evonik's diversified portfolio across multiple industries reduces dependency on any single market, enhancing resilience and growth potential.

Strong Cash Flow

Consistent free cash flow generation provides Evonik with the flexibility to invest in growth opportunities and manage debt efficiently.

Operational Efficiency

Strong operational efficiency supports profitability and competitive positioning, allowing Evonik to maintain margins despite market challenges.

Negative Factors

Revenue Decline

A decline in revenue and net income indicates challenges in maintaining growth momentum, potentially impacting long-term financial performance.

Income Growth Headwinds

Headwinds in income growth suggest potential difficulties in expanding profitability, which could affect future earnings and investment capacity.

High Debt Levels

High debt levels can strain financial flexibility and increase risk, necessitating careful management to avoid impacting long-term stability.

Evonik Business Overview & Revenue Model

Company Description

Evonik Industries AG is a global leader in specialty chemicals, headquartered in Essen, Germany. The company operates through several segments, including Nutrition & Care, Resource Efficiency, Performance Materials, and Specialty Additives. Evonik's core products range from high-performance materials and additives used in various industries to nutritional products for animal feed and personal care applications, showcasing its commitment to innovation and sustainability.

How the Company Makes Money

Evonik generates revenue primarily through the sale of specialty chemicals and materials across diverse industries. Its main revenue streams include the production and supply of additives, surfactants, and polymers that cater to sectors such as automotive, construction, consumer goods, and agriculture. The Nutrition & Care segment, which focuses on animal nutrition and health, is a significant contributor to earnings, driven by global demand for sustainable feed solutions. Additionally, Evonik has established strategic partnerships with key players in various industries to enhance its product offerings and expand market reach, thereby bolstering its financial performance. The company's commitment to research and development also plays a crucial role in creating innovative solutions that meet evolving customer needs, further driving revenue growth.

Evonik Financial Statement Overview

Summary

Evonik presents a stable financial profile with strong cash flow generation and a balanced capital structure. While income growth faces headwinds, the company's operational efficiency and prudent financial management provide resilience against market challenges.

Income Statement

Evonik demonstrates a stable performance in its income statement. The TTM (Trailing-Twelve-Months) gross profit margin is healthy, and the EBIT and EBITDA margins reflect operational efficiency. However, there is a notable decline in revenue and net income from the previous year, indicating challenges in maintaining growth momentum.

Balance Sheet

The balance sheet shows a solid equity base with a moderate debt-to-equity ratio, indicating a balanced capital structure. While the return on equity has improved, it remains essential to monitor potential risks due to the relatively high total debt levels.

Cash Flow

The cash flow statement is robust, with consistent free cash flow generation and a strong operating cash flow to net income ratio. The company manages its capital expenditure well, ensuring sustainable cash flow despite fluctuations in net income.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	14.71B	15.16B	15.27B	18.49B	14.96B	12.20B
Gross Profit	3.63B	3.74B	3.39B	4.23B	4.03B	3.37B
EBITDA	1.93B	1.76B	991.00M	2.07B	2.18B	1.76B
Net Income	424.00M	222.00M	-465.00M	540.00M	746.00M	465.00M
Balance Sheet
Total Assets	19.05B	19.75B	21.26B	21.81B	22.28B	20.90B
Cash, Cash Equivalents and Short-Term Investments	846.00M	618.00M	1.03B	1.12B	919.00M	1.06B
Total Debt	0.00	3.78B	4.25B	4.22B	3.64B	3.84B
Total Liabilities	10.49B	10.65B	12.28B	10.75B	12.91B	12.80B
Stockholders Equity	8.49B	9.02B	8.91B	10.97B	9.29B	8.01B
Cash Flow
Free Cash Flow	472.00M	873.00M	801.00M	785.00M	929.00M	771.00M
Operating Cash Flow	1.28B	1.71B	1.59B	1.65B	1.81B	1.73B
Investing Cash Flow	-765.00M	-663.00M	-653.00M	-777.00M	-1.07B	-570.00M
Financing Cash Flow	-652.00M	-1.33B	-823.00M	-672.00M	-856.00M	-1.73B

Evonik Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 13.00
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For DE:EVK, the sentiment is Negative. The current price of 13 is below the 20-day moving average (MA) of 13.35, below the 50-day MA of 14.12, and below the 200-day MA of 16.96, indicating a bearish trend. The MACD of -0.38 indicates Negative momentum. The RSI at 36.78 is Neutral, neither overbought nor oversold. The STOCH value of 19.22 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for DE:EVK.

Evonik Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
FPE	74 Outperform	€4.48B	13.47	16.00%	3.87%	1.42%	-0.40%
Sector *	61 Neutral	$10.43B	7.12	-0.05%	2.87%	2.86%	-36.73%
BNR	60 Neutral	€7.15B	17.12	9.62%	4.24%	-3.35%	-23.06%
EVK	58 Neutral	€6.67B	15.73	1.08%	9.00%	-5.92%	-58.33%
WCH	58 Neutral	$3.34B	13.86	―	3.70%	-10.63%	-23.15%
1COV	52 Neutral	€10.95B	-29.67	-7.19%	―	-5.27%	-75.47%
LXS	45 Neutral	$1.50B	―	-5.69%	0.58%	-6.82%	71.94%