IVU Traffic Technologies (IVU) AI Stock Analysis

• Market Cap: €370.03M
• Dividend Yield: 1.34%
• Average Volume (3M): 4.76K
• Price to Earnings (P/E): 27.6
• Beta (1Y): 0.41
• Revenue Growth: 12.50%
• EPS Growth: 10.93%
• Country: DE
• Employees: 951
• Sector: General
• Sector Strength: N/A
• Industry: Software - Application
• EPS (TTM): 0.22
• Shares Outstanding: 17,719,160
• 10 Day Avg. Volume: 3,438
• 30 Day Avg. Volume: 4,757
• PEG Ratio: 3.50
• Price to Book (P/B): 3.06
• Price to Sales (P/S): 1.92
• P/FCF Ratio: 40.33
• 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: 76 Outperform
• Price Target: €24.50 ▲(16.11% Upside)

IVU Traffic Technologies scores well due to its strong financial performance, characterized by consistent revenue growth and robust cash flow generation. Technical analysis supports a positive outlook with bullish momentum and strong price trends. Valuation metrics indicate moderate attractiveness, with a reasonable P/E ratio and a modest dividend yield. The absence of earnings call data and corporate events does not impact the overall score.

Positive Factors

Revenue Growth

Consistent revenue growth indicates strong demand for IVU's solutions, suggesting a solid market position and potential for sustained expansion.

Cash Generation

Strong cash generation enhances financial flexibility, enabling IVU to invest in growth opportunities and withstand economic fluctuations.

Profitability Margins

High profitability margins reflect efficient operations and pricing power, supporting long-term financial health and competitive advantage.

Negative Factors

Rising Debt Levels

Rising debt levels may strain financial resources and limit strategic flexibility, potentially impacting future growth and stability.

Cost Pressures

Declining margins suggest rising costs, which could erode profitability if not addressed, impacting long-term financial performance.

Debt Management

While currently manageable, increasing debt requires careful management to avoid future financial strain and maintain stability.

IVU Traffic Technologies Business Overview & Revenue Model

Company Description

IVU Traffic Technologies AG develops, installs, maintains, and operates integrated IT solutions for buses and trains worldwide. The company offers IVU.suite and IVU.rail software and hardware systems that create timetables, plan and optimize the deployment of buses and trains, dispatch drivers and vehicles, control and monitor the operation of vehicle fleets, sell tickets, inform passengers, cash up takings, and prepare statistics. It also provides integration, implementation, support, and cloud hosting and maintenance services. The company was founded in 1976 and is headquartered in Berlin, Germany.

How the Company Makes Money

IVU Traffic Technologies generates revenue through a combination of software licensing, maintenance contracts, and project-based consulting services. Key revenue streams include the sale of its proprietary software solutions, which are licensed to public transport operators for a fee, as well as ongoing maintenance and support services that ensure the software remains up to date and functional. Additionally, IVU earns income from consulting services related to the implementation and optimization of transportation systems. The company also engages in strategic partnerships with various public transport authorities, which can enhance its market reach and lead to additional project opportunities, further contributing to its revenue growth.

IVU Traffic Technologies Financial Statement Overview

Summary

IVU Traffic Technologies exhibits strong financial health with consistent revenue growth, high profitability margins, and effective cash flow management. The company's low leverage and strong return on equity further underscore its financial stability. However, attention should be paid to the increasing debt levels and potential cost pressures affecting net profit margins.

Income Statement

IVU Traffic Technologies shows strong revenue growth with a TTM increase of 3.26% and consistent profitability, evidenced by a high gross profit margin of 83.35% and a solid net profit margin of 8.77%. The EBIT and EBITDA margins are healthy at 13.21% and 16.75%, respectively, indicating efficient operations. However, the slight decline in net profit margin from the previous year suggests potential cost pressures.

Balance Sheet

The company maintains a stable financial position with a low debt-to-equity ratio of 0.24, indicating prudent leverage. The return on equity is strong at 15.49%, reflecting effective use of equity capital. The equity ratio stands at 49.64%, showing a balanced capital structure. However, the increase in total debt over the years could pose a risk if not managed carefully.

Cash Flow

IVU Traffic Technologies demonstrates robust cash flow management with a significant free cash flow growth of 1064.04% in the TTM period. The operating cash flow to net income ratio is 1.32, indicating strong cash generation relative to earnings. The free cash flow to net income ratio of 0.82 suggests efficient conversion of earnings into cash. Despite this, the volatility in free cash flow growth in previous years highlights potential cash flow management challenges.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	150.38M	135.16M	122.49M	113.75M	103.63M	97.79M
Gross Profit	123.17M	113.15M	28.23M	37.98M	32.75M	30.57M
EBITDA	24.81M	22.83M	21.30M	18.81M	16.17M	14.86M
Net Income	13.43M	12.04M	11.38M	10.13M	9.32M	10.09M
Balance Sheet
Total Assets	164.02M	173.62M	152.53M	139.94M	130.32M	125.35M
Cash, Cash Equivalents and Short-Term Investments	56.62M	21.09M	25.40M	23.05M	41.46M	31.10M
Total Debt	19.80M	20.78M	17.12M	9.95M	8.93M	10.38M
Total Liabilities	78.31M	88.78M	73.50M	65.27M	62.44M	62.55M
Stockholders Equity	85.72M	84.83M	79.03M	74.67M	67.88M	62.80M
Cash Flow
Free Cash Flow	30.39M	6.43M	10.16M	2.56M	17.91M	29.28M
Operating Cash Flow	31.04M	8.02M	11.91M	4.47M	19.08M	30.76M
Investing Cash Flow	-275.00K	-373.00K	-751.00K	-12.87M	-1.17M	-22.60M
Financing Cash Flow	-8.83M	-10.67M	-8.82M	-10.02M	-7.54M	-6.32M

IVU Traffic Technologies Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 21.10
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For DE:IVU, the sentiment is Positive. The current price of 21.1 is above the 20-day moving average (MA) of 21.05, above the 50-day MA of 20.79, and above the 200-day MA of 19.80, indicating a bullish trend. The MACD of 0.06 indicates Negative momentum. The RSI at 58.82 is Neutral, neither overbought nor oversold. The STOCH value of 85.71 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for DE:IVU.

IVU Traffic Technologies Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
IVU	76 Outperform	€370.03M	27.55	16.55%	1.34%	12.50%	10.93%
FAA	74 Outperform	€187.00M	20.18	25.57%	0.63%	4.70%	-0.02%
PSAN	58 Neutral	€705.34M	-30.32	-29.16%	―	9.19%	-37.73%
Sector *	55 Neutral	$6.65B	3.83	-15.92%	6.20%	10.91%	7.18%
CSH	52 Neutral	€61.92M	-13.36	-11.64%	0.56%	3.58%	-253.00%