Dr. Hoenle AG (HNL) AI Stock Analysis

• Market Cap: €48.49M
• Dividend Yield: N/A
• Average Volume (3M): 6.13K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.88
• Revenue Growth: -2.20%
• EPS Growth: -153.32%
• Country: DE
• Employees: 585
• Sector: General
• Sector Strength: N/A
• Industry: Electrical Equipment & Parts
• EPS (TTM): N/A
• Shares Outstanding: 6,062,930
• 10 Day Avg. Volume: 3,193
• 30 Day Avg. Volume: 6,130
• PEG Ratio: -0.26
• Price to Book (P/B): 0.89
• Price to Sales (P/S): 0.72
• P/FCF Ratio: 20.64
• 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
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 42 Neutral
• Price Target: €7.00 ▼(-1.41% Downside)

Dr. Hoenle AG's overall stock score is primarily impacted by its financial performance and technical analysis. The company faces significant financial challenges with declining revenues and persistent losses. Technical indicators show bearish momentum, with the stock trading below key moving averages. Valuation concerns are heightened by a negative P/E ratio and lack of dividend yield, making the stock less attractive to investors.

Positive Factors

Cash Flow Improvements

The significant growth in free cash flow indicates improved cash generation, which can support future investments and debt management.

Moderate Leverage

A moderate debt-to-equity ratio suggests financial stability, allowing the company to potentially leverage debt for growth without excessive risk.

Stable Gross Profit Margin

A stable gross profit margin indicates resilience in core operations, providing a foundation for potential profitability improvements.

Negative Factors

Declining Revenue

Declining revenue growth poses a challenge to sustaining market position and profitability, necessitating strategic adjustments to reverse the trend.

Negative Return on Equity

A negative return on equity indicates inefficiencies in generating profits from shareholders' investments, impacting long-term financial health.

Operational Inefficiencies

Operational inefficiencies, as evidenced by negative profitability metrics, hinder the company's ability to achieve sustainable growth and competitiveness.

Dr. Hoenle AG Business Overview & Revenue Model

Company Description

Dr. Hönle AG supplies industrial UV technologies and systems in Germany and internationally. The company operates through three segments: Adhesives, Equipment & Systems, and Glass & Lamps. The Adhesives segment provides industrial adhesives for applications, such as consumer electronics, medical technology, optics and opto electronics, automotive, and glass processing. The Equipment & Systems segment engages in the drying of inks and coatings, curing of adhesives and plastics, disinfecting surfaces, and solar simulation. The Glass & Lamps segment offers quartz glass tubing and rods for the lamp, automotive, semiconductor, and fibre cable industries, as well as lamps for water disinfection, and the drying of coatings and adhesives. The company was founded in 1976 and is headquartered in Munich, Germany.

How the Company Makes Money

Dr. Hoenle AG generates revenue primarily through the sale of its UV technology products and systems, which include UV lamps, UV curing systems, and disinfection solutions. The company has established key revenue streams from both domestic and international markets, leveraging its expertise to serve various industries. Additionally, HNL may earn income from service contracts, maintenance agreements, and partnerships with manufacturers and distributors that enhance market reach. Strategic alliances with companies in related sectors also contribute to its earnings by facilitating technology integration and expanding product applications.

Dr. Hoenle AG Financial Statement Overview

Summary

Dr. Hoenle AG faces significant financial challenges, with declining revenues and persistent losses impacting profitability. While the balance sheet shows moderate leverage, the negative return on equity and operational inefficiencies are concerning. Cash flow improvements are a positive sign, but the company must focus on enhancing operational performance and profitability to ensure long-term financial stability.

Income Statement

Dr. Hoenle AG's income statement reveals significant challenges. The company has experienced declining revenue over recent periods, with a TTM revenue growth rate of -1.34%. Profitability metrics are concerning, with negative net profit and EBIT margins, indicating operational inefficiencies and potential cost management issues. The gross profit margin remains relatively stable, suggesting some resilience in core operations.

Balance Sheet

The balance sheet shows moderate financial stability. The debt-to-equity ratio is at 0.65, indicating a manageable level of leverage. However, the return on equity is negative, reflecting ongoing losses. The equity ratio stands at 52.3%, suggesting a reasonable level of equity financing relative to assets, but the company needs to address profitability to improve overall financial health.

Cash Flow

Cash flow analysis shows mixed results. The operating cash flow to net income ratio is positive, indicating some cash generation capability despite net losses. Free cash flow has grown significantly by 60.39% in the TTM period, which is a positive sign. However, the free cash flow to net income ratio suggests reliance on non-operational cash inflows, highlighting the need for improved operational performance.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	96.48M	98.73M	106.34M	116.09M	115.17M	93.88M
Gross Profit	57.53M	60.07M	53.35M	69.28M	69.34M	60.54M
EBITDA	2.62M	3.02M	539.00K	20.41M	14.02M	14.82M
Net Income	-13.59M	-13.28M	-11.01M	-13.36M	-4.82M	5.68M
Balance Sheet
Total Assets	149.36M	155.38M	176.16M	195.46M	202.91M	196.20M
Cash, Cash Equivalents and Short-Term Investments	5.91M	7.51M	9.32M	7.13M	12.07M	34.17M
Total Debt	50.80M	53.24M	56.89M	59.53M	53.64M	46.41M
Total Liabilities	71.11M	75.70M	80.02M	88.22M	91.78M	79.51M
Stockholders Equity	78.12M	79.42M	95.82M	106.88M	110.72M	116.34M
Cash Flow
Free Cash Flow	2.96M	3.44M	209.00K	-11.71M	-15.96M	-22.96M
Operating Cash Flow	4.90M	5.53M	3.14M	-7.41M	1.13M	7.23M
Investing Cash Flow	-195.00K	-2.37M	2.65M	-1.69M	-24.50M	-30.74M
Financing Cash Flow	-5.62M	-4.90M	-3.42M	3.73M	1.25M	43.25M

Dr. Hoenle AG Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 7.10
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For DE:HNL, the sentiment is Positive. The current price of 7.1 is below the 20-day moving average (MA) of 7.16, below the 50-day MA of 7.11, and below the 200-day MA of 8.49, indicating a neutral trend. The MACD of 0.19 indicates Negative momentum. The RSI at 68.06 is Neutral, neither overbought nor oversold. The STOCH value of 69.98 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for DE:HNL.

Dr. Hoenle AG Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
S188	68 Neutral	€31.74M	8.19	4.50%	3.62%	76.29%	347.70%
Sector *	55 Neutral	$6.65B	3.83	-15.92%	6.20%	10.91%	7.18%
MSAG	43 Neutral	€38.58M	-5.50	-11.55%	―	-40.37%	-406.54%
HNL	42 Neutral	€48.49M	-3.52	-15.84%	―	-2.20%	-153.32%

Dr. Hoenle AG Corporate Events

Dr. Hoenle AG Announces Managerial Share Purchase

Dr. Hoenle AG announced a managerial transaction involving the purchase of shares by Dr. Richter Vermögens- und Beteiligungsverwaltung GmbH, a member of the managing body. The transaction, which took place outside a trading venue, involved a total volume of 385,426.33 EUR at an aggregated price of 6.8035 EUR per share. This move could indicate confidence in the company’s future prospects and may impact stakeholder perceptions positively.

The most recent analyst rating on (DE:HNL) stock is a Hold with a EUR7.00 price target. To see the full list of analyst forecasts on Dr. Hoenle AG stock, see the DE:HNL Stock Forecast page.