Grand City Properties SA (GYC) AI Stock Analysis

• Market Cap: €1.86B
• Dividend Yield: N/A
• Average Volume (3M): 117.24K
• Price to Earnings (P/E): 8.4
• Beta (1Y): 0.47
• Revenue Growth: -1.22%
• EPS Growth: N/A
• Country: DE
• Employees: 614
• Sector: Real Estate
• Sector Strength: 55
• Industry: Real Estate - Services
• EPS (TTM): 0.35
• Shares Outstanding: 176,187,900
• 10 Day Avg. Volume: 149,259
• 30 Day Avg. Volume: 117,241
• PEG Ratio: -0.13
• Price to Book (P/B): 0.29
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 7.30
• 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: €13.58
• Price Target Upside: 22.34% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 8

• Rating: 70 Neutral
• Price Target: €12.00 ▲(8.11%Upside)

Grand City Properties SA shows a robust financial performance, particularly in profitability and cash flow resilience. The technical analysis suggests stable trading conditions with slight bullish momentum, while the valuation metrics indicate the stock is attractively priced. These factors collectively contribute to a solid investment prospect.

Positive Factors

Market Fundamentals

The underlying market fundamentals for residential landlords in Germany remain supportive for Grand City Properties.

Operational Efficiency

Grand City Properties' high operational efficiency, with an adjusted EBITDA margin of 78-79%, should help mitigate the impact from higher financing costs.

Negative Factors

Stock Performance

The performance of Grand City Properties’ share price has recently been weaker relative to its sector peers.

Grand City Properties SA Business Overview & Revenue Model

Company Description

Grand City Properties S.A. engages in the residential real estate business in Germany, the United Kingdom, and internationally. The company invests in, manages, and rents real estate properties in North Rhine-Westphalia and Berlin; metropolitan regions of Dresden, Leipzig, and Halle; and the cities in the north of Germany, Bremen, Hamburg, and Hannover, as well as other urban centers, such as Nuremberg, Munch, Mannheim, Frankfurt, and London. Grand City Properties S.A. was founded in 2004 and is based in Luxembourg.

How the Company Makes Money

Grand City Properties SA primarily generates revenue through rental income from its extensive portfolio of residential properties. The company focuses on acquiring undervalued properties in prime urban locations, upgrading them to improve living standards, and then renting them out at competitive rates. This approach not only maximizes occupancy rates but also enhances rental yields. Additionally, GYC may realize gains from the strategic sale of properties once they have appreciated in value. The company also benefits from economies of scale in property management, reducing operational costs and improving profitability. Key partnerships with local service providers and contractors further optimize property enhancements and maintenance, contributing to the overall financial performance of the company.

Grand City Properties SA Financial Statement Overview

Summary

Grand City Properties SA has shown resilience with a strong comeback in profitability and cash flows in 2024. Despite challenges in revenue growth, the company maintains solid margins and cash flow metrics. The balance sheet remains stable with manageable leverage, supporting future growth prospects.

Income Statement

Grand City Properties SA shows a volatile revenue trajectory with a drop in revenue from 2023 to 2024 but overall growth since 2020. The company has achieved a strong net profit margin in 2024, recovering from a significant loss in 2023. EBIT and EBITDA margins are favorable, indicating efficient operations despite previous setbacks.

Balance Sheet

The balance sheet depicts moderate leverage with a stable debt-to-equity ratio over the years. Return on equity rebounded in 2024, showing improved profitability. However, the equity ratio has been slightly declining, indicating a gradual increase in financial leverage.

Cash Flow

Free cash flow has grown consistently, showing strong cash generation capabilities. The operating cash flow to net income ratio is healthy, demonstrating effective cash management. The company has maintained a strong free cash flow to net income ratio, reinforcing its ability to generate cash relative to net income.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	422.69M	607.74M	396.04M	374.55M	372.46M
Gross Profit	168.99M	328.69M	129.75M	156.49M	145.98M
EBITDA	365.46M	317.79M	305.53M	299.38M	301.79M
Net Income	238.99M	-513.81M	153.96M	548.56M	395.07M
Balance Sheet
Total Assets	11.22B	10.92B	11.13B	11.56B	10.87B
Cash, Cash Equivalents and Short-Term Investments	1.51B	1.23B	427.36M	1.11B	1.69B
Total Debt	4.29B	4.25B	3.99B	4.51B	4.27B
Total Liabilities	5.80B	5.69B	5.22B	5.76B	5.31B
Stockholders Equity	4.91B	3.48B	5.25B	5.19B	5.02B
Cash Flow
Free Cash Flow	281.83M	246.86M	211.58M	208.69M	234.77M
Operating Cash Flow	284.46M	249.41M	216.12M	217.06M	242.15M
Investing Cash Flow	52.02M	147.80M	-167.69M	-198.46M	-391.67M
Financing Cash Flow	-93.37M	405.30M	-567.42M	-537.19M	650.62M

Grand City Properties SA Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 11.10
• 50DMA: Positive
• 100DMA: Positive
• 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:GYC, the sentiment is Positive. The current price of 11.1 is above the 20-day moving average (MA) of 11.07, above the 50-day MA of 10.91, and below the 200-day MA of 11.26, indicating a neutral trend. The MACD of 0.03 indicates Positive momentum. The RSI at 53.17 is Neutral, neither overbought nor oversold. The STOCH value of 73.92 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for DE:GYC.

Grand City Properties SA Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
DEQ	77 Outperform	€1.74B	14.11	6.26%	11.40%	-7.84%	―
AT1	72 Outperform	€3.37B	14.94	2.91%	―	-3.28%	―
GYC	70 Neutral	€1.86B	8.44	6.27%	―	-1.22%	―
LEG	68 Neutral	€5.63B	22.41	3.32%	3.57%	3.25%	―
TEG	67 Neutral	€2.64B	24.42	3.56%	2.33%	-22.37%	―
PAT	66 Neutral	€709.08M	53.22	1.19%	3.66%	-7.62%	―
Sector *	61 Neutral	AU$2.82B	8.09	4.17%	5.29%	17.25%	41.52%