Heidelberger Druckmaschinen (HDD) AI Stock Analysis

• Market Cap: €625.41M
• Dividend Yield: N/A
• Average Volume (3M): 2.07M
• Price to Earnings (P/E): 17.1
• Beta (1Y): 0.73
• Revenue Growth: 3.97%
• EPS Growth: N/A
• Country: DE
• Employees: 9,398
• Sector: Industrials
• Sector Strength: 76
• Industry: Industrial - Machinery
• EPS (TTM): -0.04
• Shares Outstanding: 304,479,280
• 10 Day Avg. Volume: 649,238
• 30 Day Avg. Volume: 2,069,261
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• 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: €2.23
• Price Target Upside: 9.85% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 3

• Rating: 63 Neutral
• Price Target: €2.50 ▲(23.15% Upside)

Heidelberger Druckmaschinen's stock score is influenced primarily by its financial performance and technical analysis. The company shows signs of financial recovery, but challenges in revenue growth and cash flow management persist. Positive technical indicators suggest short-term strength, but the high P/E ratio raises concerns about overvaluation.

Heidelberger Druckmaschinen Business Overview & Revenue Model

Company Description

Heidelberger Druckmaschinen Aktiengesellschaft, together with its subsidiaries, manufactures, sells, and deals in printing press and other print media industry products in Europe, the Middle East, Africa, Asia/Pacific, Eastern Europe, North America, and South America. The company operates through Print Solutions, Packaging Solutions, and Technology Solutions segments. It offers printing machines, including digital, offset, narrow web, screen, and inline-flexo printing, as well as remarketed equipment; and finishing equipment comprising cutting, die-cutting and embossing, folding, inspection, folding carton gluing, hot foil stamping, and shingled folding. The company also provides technical services, such as installation and relocation, maintenance and cleaning, remote support, repair, and overhauling services, as well as service parts; and performance services consisting of performance evaluation, color management, training, upgrades and retrofits, monitoring, output optimization, print shop optimization, and investment planning. In addition, it offers financial services; and consumables, such as plates, films, chemicals, proofing, glues, digital and analog engraving, blankets, inks, dampening rollers, coatings, varnishes, blankets, rollers, pressroom chemicals, cutting knives, banderoles, ink duct foils, wash-up cloths and spray powders, dispersion glues, binding glues, stitching wires and sealing threads, and folding carton gluing supplies. Further, the company provides software solutions. The company was formerly known as Schnellpressenfabrik AG Heidelberg and changed its name to Heidelberger Druckmaschinen Aktiengesellschaft in 1967. Heidelberger Druckmaschinen Aktiengesellschaft was founded in 1850 and is based in Heidelberg, Germany.

How the Company Makes Money

Heidelberger Druckmaschinen generates revenue primarily through the sale of printing machinery and equipment, which includes both new and used printing presses. The company also offers maintenance, repair, and spare parts services, contributing to a steady stream of income. Additionally, HDD provides workflow solutions and digital printing technologies, which enhance operational efficiency and profitability for clients. Another significant revenue stream comes from software solutions that aid in the management and optimization of printing processes. Strategic partnerships with suppliers and technology firms, as well as a focus on innovation, further bolster HDD's financial performance, allowing the company to adapt to market demands and expand its customer base.

Heidelberger Druckmaschinen Financial Statement Overview

Summary

Heidelberger Druckmaschinen is showing gradual financial recovery with improved profitability margins and operational efficiency. However, challenges remain in sustaining revenue growth and managing high liabilities. Cash flow stability is a concern, necessitating focused management efforts to enhance long-term financial health.

Income Statement

Heidelberger Druckmaschinen has shown a mixed performance in recent years. The gross profit margin has been consistent, reflecting stable cost management. However, net profit margins have been volatile, with recent improvements. Revenue growth has been inconsistent, suggesting challenges in sustaining top-line growth. EBIT and EBITDA margins have improved, indicating better operational efficiency, although still recovering from past losses.

Balance Sheet

The company maintains a moderate debt-to-equity ratio, reflecting a balanced approach to leveraging. Return on equity has shown improvement, though remains modest, indicating moderate efficiency in generating returns from equity. The equity ratio is stable, suggesting a consistent asset financing strategy. However, total liabilities have been relatively high, indicating potential risks if not managed carefully.

Cash Flow

Heidelberger Druckmaschinen's cash flow performance highlights both strengths and weaknesses. The free cash flow has fluctuated, with recent improvements but still showing periods of negative cash flow. The operating cash flow to net income ratio suggests reasonable cash conversion, but volatility in free cash flow raises concerns about long-term sustainability. Overall, cash flow management needs attention to ensure stable cash reserves.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	2.28B	2.28B	2.40B	2.47B	2.18B	1.91B
Gross Profit	1.13B	1.13B	1.15B	1.17B	1.04B	988.25M
EBITDA	139.00M	141.00M	152.00M	202.00M	146.30M	96.72M
Net Income	5.00M	5.00M	39.00M	91.00M	33.00M	-42.89M
Balance Sheet
Total Assets	2.17B	2.17B	2.11B	2.22B	2.18B	2.17B
Cash, Cash Equivalents and Short-Term Investments	116.00M	116.00M	153.00M	116.00M	140.24M	197.88M
Total Debt	76.00M	76.00M	73.00M	96.00M	128.29M	263.52M
Total Liabilities	1.63B	1.63B	1.59B	1.71B	1.94B	2.06B
Stockholders Equity	545.00M	545.00M	527.00M	513.00M	242.01M	109.04M
Cash Flow
Free Cash Flow	25.00M	25.00M	25.00M	-45.00M	-4.20M	-59.75M
Operating Cash Flow	113.00M	113.00M	90.00M	33.00M	51.22M	55.00K
Investing Cash Flow	-62.00M	-62.00M	-34.00M	39.00M	36.33M	39.77M
Financing Cash Flow	-31.00M	-31.00M	-53.00M	-60.00M	-152.36M	-208.02M

Heidelberger Druckmaschinen Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 2.03
• 50DMA: Positive
• 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:HDD, the sentiment is Positive. The current price of 2.03 is below the 20-day moving average (MA) of 2.15, above the 50-day MA of 1.78, and above the 200-day MA of 1.30, indicating a neutral trend. The MACD of 0.07 indicates Positive momentum. The RSI at 54.26 is Neutral, neither overbought nor oversold. The STOCH value of 24.17 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for DE:HDD.

Heidelberger Druckmaschinen Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	64 Neutral	$10.95B	16.37	8.81%	1.96%	2.68%	-15.33%
HDD	63 Neutral	€625.41M	17.14	7.19%	―	3.97%	―
0J9C	―	€1.52B	14.47	-6.59%	―	―	―
0G15	―	€248.86M	―	-15.05%	―	―	―
0LQ4	―	€4.22B	14.59	15.37%	―	―	―
0GJK	―	€497.82M	15.87	47.90%	―	―	―
HG1	―	€429.85M	34.50	11.73%	3.82%	―	―