Grammer (GMM) AI Stock Analysis

• Market Cap: €99.09M
• Dividend Yield: N/A
• Average Volume (3M): 1.38K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.46
• Revenue Growth: -18.47%
• EPS Growth: -892.72%
• Country: DE
• Employees: 12,000
• Sector: Industrials
• Sector Strength: 85
• Industry: Auto - Parts
• EPS (TTM): -4.88
• Shares Outstanding: 15,237,922
• 10 Day Avg. Volume: 1,318
• 30 Day Avg. Volume: 1,381
• PEG Ratio: 0.10
• Price to Book (P/B): 1.14
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 29.03
• 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: N/A
• Number of Analyst Covering: 0

• Rating: 45 Neutral
• Price Target: €7.00 ▲(5.26%Upside)

Grammer faces significant challenges, primarily due to financial instability marked by inconsistent revenue growth and declining margins. Technical indicators reflect bearish sentiment, while its valuation is unattractive with a negative P/E ratio and no dividend yield. These factors collectively result in a low overall stock score.

Grammer Business Overview & Revenue Model

Company Description

Grammer AG engages in the development, producing, and selling of components and systems for automotive interiors worldwide. It operates in two divisions, Automotive and Commercial Vehicles. The Automotive division supplies headrests, armrests, center console systems, interior components and operating elements, and thermoplastic solutions to automakers and automotive system suppliers. The Commercial Vehicles division offers driver and passenger seats for trucks, tractors, construction machinery, and forklifts; to commercial vehicles OEMs; and to bus and rolling stock OEMs and railway operators, as well as seats and seating systems for trains and buses. The company was founded in 1880 and is based in Ursensollen, Germany. Grammer AG is a subsidiary of Ningbo Jifeng Auto Parts Co., Ltd.

How the Company Makes Money

Grammer generates revenue primarily through the sale of its automotive interior components and commercial vehicle seats. The company's key revenue streams include long-term supply agreements with major automotive manufacturers and commercial vehicle producers. Grammer also benefits from strategic partnerships and collaborations that enhance its product offerings and expand its market reach. Additionally, the company's focus on innovation and customization allows it to offer premium products that command higher prices, contributing to its earnings.

Grammer Financial Statement Overview

Summary

Grammer's financial health shows stress, with declining profitability and cash flow. Revenue growth is inconsistent, and margins are under pressure. High leverage and declining equity position raise concerns about financial stability.

Income Statement

Grammer's income statement shows a mixed performance. The gross profit margin has been declining, indicating increased cost pressures. The net profit margin has been volatile, with a significant loss in the most recent year. Revenue growth shows inconsistency, and the EBIT and EBITDA margins have decreased, reflecting operational challenges.

Balance Sheet

The balance sheet reflects moderate financial stability. The debt-to-equity ratio is relatively high, suggesting significant leverage, which poses potential risks. Return on equity has been negative in recent years, and the equity ratio has decreased, indicating reduced shareholder value. However, the company maintains a reasonable level of assets to support operations.

Cash Flow

Cash flow analysis reveals some concerns. Free cash flow has fluctuated, with a negative trend recently, impacting future investment capacity. The operating cash flow to net income ratio is positive but highlights challenges in translating profits into cash. The company has managed its cash flows to support financing needs, albeit with increasing reliance on debt.

Breakdown
Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement		Total Revenue
1.92B	2.06B	2.16B	1.90B	1.71B
	Gross Profit
189.31M	245.81M	140.51M	175.31M	125.27M
	EBIT
72.80M	122.44M	-44.63M	18.86M	-46.76M
	EBITDA
94.83M	63.96M	128.50M	112.83M	40.75M
	Net Income Common Stockholders
-92.54M	1.80M	-77.77M	1.85M	-64.71M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
219.85M	131.00M	108.59M	113.44M	89.84M
	Total Assets
1.70B	1.53B	1.44B	1.48B	1.38B
	Total Debt
696.30M	525.19M	535.85M	530.45M	445.64M
	Net Debt
476.45M	394.19M	427.26M	417.01M	355.80M
	Total Liabilities
1.43B	1.22B	1.14B	1.14B	1.07B
	Stockholders Equity
251.57M	263.94M	299.41M	343.02M	303.03M
Cash Flow		Free Cash Flow
-44.88M	52.19M	27.27M	-13.22M	-41.95M
	Operating Cash Flow
25.66M	132.41M	106.72M	71.28M	31.06M
	Investing Cash Flow
-42.08M	-84.26M	-75.44M	-76.84M	-67.34M
	Financing Cash Flow
159.76M	-11.54M	-41.94M	-4.83M	-38.10M

Grammer Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 6.65
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For DE:GMM, the sentiment is Negative. The current price of 6.65 is below the 20-day moving average (MA) of 7.23, below the 50-day MA of 7.20, and above the 200-day MA of 6.58, indicating a neutral trend. The MACD of -0.22 indicates Positive momentum. The RSI at 34.19 is Neutral, neither overbought nor oversold. The STOCH value of 1.75 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for DE:GMM.

Grammer Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	66 Neutral	$4.49B	12.22	5.40%	3.71%	4.17%	-11.97%
GMM	45 Neutral	€99.09M	―	-15.91%	―	-18.47%	-892.72%
0NRG		€2.82B	15.12	14.62%	3.20%	―	―
0NI1		€79.72B	104.71	21.45%	0.45%	―	―
0MYZ		€2.78B	20.00	30.25%	3.73%	―	―
0N2Z		€1.45B	22.22	11.64%	1.45%	―	―
CTTAF		$17.67B	12.59	10.07%	3.26%	―	―