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GEA Group AG (DE:G1A)
XETRA:G1A
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GEA Group AG (G1A) AI Stock Analysis

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DE:G1A

GEA Group AG

(XETRA:G1A)

Rating:74Outperform
Price Target:
€72.00
▲(13.74% Upside)
GEA Group AG's stock score is primarily driven by strong financial performance and positive technical indicators. The company's operational efficiency and solid balance sheet are significant strengths. However, the high P/E ratio and modest dividend yield suggest valuation concerns. The absence of earnings call data and corporate events limits additional insights.

GEA Group AG (G1A) vs. iShares MSCI Germany ETF (EWG)

GEA Group AG Business Overview & Revenue Model

Company DescriptionGEA Group Aktiengesellschaft engages in the development and production of systems and components for the food processing industry worldwide. The company operates through five divisions: Separation & Flow Technologies, Liquid & Power Technologies, Food & Health Technologies, Farm Technologies, and Heating & Refrigeration Technologies. It provides separators, decanters, homogenizers, valves, and pumps; and process solutions for the dairy, food, beverage, chemical, and other industries. The company also offers solutions for food processing and pharmaceutical industries, which includes preparation, marinating, and processing of meat, poultry, seafood, vegan products, pasta production, baking, slicing, packaging, and confectionary, as well as frozen food processing; and granulation systems and tablet presses. In addition, it provides integrated customer solutions for milk production and livestock farming, such as automatic milking, feeding systems, conventional milking solutions, manure handling, and digital herd management tools; and sustainable energy solutions for an array of industries including food, beverage, dairy, and oil and gas in the field of industrial refrigeration and temperature control. The company was formerly known as mg technologies ag and changed its name to GEA Group Aktiengesellschaft in 2005. GEA Group Aktiengesellschaft was founded in 1881 and is headquartered in Düsseldorf, Germany.
How the Company Makes MoneyGEA Group AG generates revenue primarily through the sale of machinery, equipment, and systems related to food and beverage processing, as well as pharmaceutical manufacturing. The company earns money through direct sales, service contracts, and aftermarket services, which include maintenance and spare parts. Key revenue streams are driven by the demand for advanced processing technologies, efficiency improvements in production lines, and the growing trend towards automation in manufacturing. Significant partnerships with major players in the food and beverage sectors, along with ongoing investments in R&D to innovate and improve their product offerings, further contribute to GEA's earnings.

GEA Group AG Financial Statement Overview

Summary
GEA Group AG demonstrates strong operational efficiency and a solid balance sheet with low leverage. However, the decline in revenue and free cash flow growth in TTM poses challenges. The company needs to focus on improving profitability and reversing the negative revenue trend to enhance its financial performance.
Income Statement
75
Positive
GEA Group AG's income statement shows a strong gross profit margin of 36.34% for TTM, indicating efficient cost management. However, the net profit margin is relatively low at 7.15%, suggesting room for improvement in profitability. The revenue growth rate has declined by 21.2% in TTM, which is a concern. Despite this, EBIT and EBITDA margins are healthy at 11.23% and 14.36%, respectively, reflecting operational efficiency.
Balance Sheet
80
Positive
The balance sheet of GEA Group AG is robust with a low debt-to-equity ratio of 0.21, indicating conservative leverage. The return on equity is strong at 16.89%, showcasing effective use of equity to generate profits. The equity ratio stands at 39.69%, reflecting a solid capital structure with a significant portion of assets financed by equity.
Cash Flow
70
Positive
Cash flow analysis reveals a decline in free cash flow growth by 10.82% in TTM, which is a concern. However, the operating cash flow to net income ratio is 1.77, indicating strong cash generation relative to net income. The free cash flow to net income ratio is 0.67, suggesting that a significant portion of net income is converted into free cash flow.
BreakdownTTMDec 2024Dec 2023Dec 2022Dec 2021Dec 2020
Income Statement
Total Revenue5.43B5.42B5.37B5.16B4.70B4.64B
Gross Profit2.00B1.94B1.82B1.72B1.56B1.42B
EBITDA808.59M713.78M657.37M599.32M506.82M404.19M
Net Income397.07M385.04M392.76M401.43M305.17M96.83M
Balance Sheet
Total Assets5.62B6.03B5.95B5.92B5.87B5.69B
Cash, Cash Equivalents and Short-Term Investments362.38M638.31M627.93M752.80M972.58M866.34M
Total Debt463.55M294.78M256.69M372.37M428.53M576.53M
Total Liabilities3.39B3.61B3.56B3.64B3.80B3.77B
Stockholders Equity2.23B2.42B2.40B2.28B2.08B1.92B
Cash Flow
Free Cash Flow441.13M473.01M305.21M265.53M552.15M617.63M
Operating Cash Flow701.40M710.12M533.57M469.33M682.00M715.22M
Investing Cash Flow-228.74M-205.63M-200.64M-175.78M-112.47M-91.20M
Financing Cash Flow-465.10M-483.94M-397.80M-497.55M-479.52M-138.64M

GEA Group AG Technical Analysis

Technical Analysis Sentiment
Positive
Last Price63.30
Price Trends
50DMA
61.70
Positive
100DMA
59.65
Positive
200DMA
55.13
Positive
Market Momentum
MACD
0.09
Positive
RSI
51.67
Neutral
STOCH
28.15
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For DE:G1A, the sentiment is Positive. The current price of 63.3 is below the 20-day moving average (MA) of 63.96, above the 50-day MA of 61.70, and above the 200-day MA of 55.13, indicating a neutral trend. The MACD of 0.09 indicates Positive momentum. The RSI at 51.67 is Neutral, neither overbought nor oversold. The STOCH value of 28.15 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for DE:G1A.

GEA Group AG Peers Comparison

Overall Rating
UnderperformOutperform
Sector (64)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
74
Outperform
€10.21B26.2017.92%1.82%1.93%2.27%
64
Neutral
$10.73B15.747.56%2.01%2.76%-15.10%
€1.41B14.47-6.59%
€3.03B10.6511.92%
€4.00B13.9615.37%
€1.54B12.7411.18%
€7.09B28.2233.60%
* Industrials Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
DE:G1A
GEA Group AG
63.30
21.95
53.07%
GB:0J9C
Durr AG
19.66
2.29
13.18%
GB:0EXP
Jungheinrich
30.38
4.82
18.86%
GB:0LQ4
Krones AG
128.40
12.02
10.33%
GB:0BQE
KSB AG
858.00
309.18
56.34%
GB:0FRJ
Rational
634.39
-225.95
-26.26%
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.Date of analysis: Aug 20, 2025