Jenoptik (JEN) AI Stock Analysis

• Market Cap: €1.53B
• Dividend Yield: 1.97%
• Average Volume (3M): 210.74K
• Price to Earnings (P/E): 18.8
• Beta (1Y): 1.52
• Revenue Growth: -5.27%
• EPS Growth: -13.70%
• Country: DE
• Employees: 4,071
• Sector: Technology
• Sector Strength: 88
• Industry: Hardware, Equipment & Parts
• EPS (TTM): 0.37
• Shares Outstanding: 57,238,117
• 10 Day Avg. Volume: 223,199
• 30 Day Avg. Volume: 210,743
• PEG Ratio: 0.50
• Price to Book (P/B): 1.34
• Price to Sales (P/S): 1.15
• P/FCF Ratio: 17.57
• 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: €27.08
• Price Target Upside: 1.58% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 6
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 76 Outperform
• Price Target: €30.00 ▲(12.53% Upside)

The score is primarily supported by strong financial quality (notably robust free cash flow and moderate leverage) and a clearly positive technical trend (price above major moving averages with positive MACD). This is tempered by weaker recent top-line growth and some margin pressure, plus only moderate valuation appeal given the P/E and modest dividend yield.

Positive Factors

Free Cash Flow Strength

Significant FCF growth improves Jenoptik's ability to fund R&D, capex and service contracts without issuing equity or heavy new debt. This durable cash generation supports reinvestment, debt reduction and strategic initiatives through cycles, enhancing long-term resilience.

Moderate Leverage

A moderate D/E and falling leverage provide financial flexibility for M&A, cyclical downturns and capital allocation choices. Sustained conservative gearing reduces refinancing risk and preserves credit optionality, supporting stable operations and strategic investments over months.

Diversified long-term contracts & partnerships

Established long-term contracts and global partnerships create recurring revenue and service streams across automotive, semiconductor and other industrial end markets. This diversification and embedded customer relationships sustain demand and support steady revenues despite cyclical swings.

Negative Factors

Inconsistent Revenue Growth

Weak and inconsistent top-line trends constrain operating leverage and limit the company's ability to convert fixed-cost platforms into higher profit. Persistent revenue softness undermines long-term margin expansion and makes achieving stronger ROE and reinvestment targets harder.

Declining Return on Equity

A falling ROE indicates the company is generating lower returns from shareholders' capital, reducing attractiveness for long-term investors. Without stronger profitable growth or improved capital allocation, sustaining shareholder returns and justifying reinvestment may prove difficult.

Margin Pressure on Net Profit

Compression of net margins reduces retained earnings and free cash conversion over time, limiting funding for R&D and strategic projects. If margin pressures persist from pricing or cost dynamics, the company may struggle to improve profitability despite solid gross margins.

Jenoptik Business Overview & Revenue Model

Company Description

Jenoptik AG engages in the optics and photonics business in Germany and internationally. The company operates through Light & Optics, Light & Production, and Light & Safety divisions. It offers imaging solutions and cameras, including microscope and thermographic camera, imaging modules, polymer-based camera modules, and digital microscope subsystem; laser and laser technology, such as laser ablation, scoring, cutting, welding, and distance meters and sensors, as well as laser OEM solutions comprising diode laser and disk laser technology, diode pumped disk lasers, laser systems, and LK heat sink; and optical modules and components for light detection and ranging sensors. The company also provides optics and optical systems, including objective lenses for laser material processing, system partner for optics, customized and standardized objective lenses, optical measuring systems, and precision optical components; optical shaft measuring systems, optical 3D measurement technology, optical in-line inspection, vision-systems, and ultra-fast opto-electronic probe card; and optoelectronics and optoelectronic systems comprising system partner for optoelectronic systems, customized-specific optoelectronic systems, optoelectronics assemblies and subsystems, light modulation, and photodiodes and LEDs. In addition, it offers road safety solutions, such as speed enforcement, average speed cameras, red light cameras, evaluation software, and traffic services; and civil security solutions, including automatic number plate recognition and data analysis software, border security, combating organized crime, protecting public places, and monitoring suspect vehicles. The company serves automotive, defense and security, electronics and information technology, healthcare and life science, industry and mechanical engineering, semiconductor equipment, and public safety sectors. Jenoptik AG was founded in 1846 and is headquartered in Jena, Germany.

How the Company Makes Money

Jenoptik generates revenue through multiple key streams, primarily from the sale of high-tech optical systems, laser technology, and industrial measurement solutions. The company benefits from long-term contracts with clients in sectors like automotive and aerospace, enabling stable revenue from ongoing projects. Additionally, Jenoptik has established significant partnerships with global players in the semiconductor and automotive industries, which enhance its market presence and provide recurring revenue opportunities through maintenance and service contracts. The company's focus on innovation and development of advanced technologies also positions it to capitalize on emerging market trends, further contributing to its earnings.

Jenoptik Financial Statement Overview

Summary

Solid overall fundamentals driven by strong cash flow (Cash Flow score 80; FCF growth 30.63%) and moderate leverage (Balance Sheet score 70; debt-to-equity 0.43). Offsetting this, profitability and growth have softened (Income Statement score 75; net margin down to 6.89% and TTM revenue down 1.82%).

Income Statement

Jenoptik's income statement shows a stable gross profit margin of around 32% to 35% over the years, indicating consistent cost management. However, the net profit margin has slightly decreased in the TTM period to 6.89% from 8.30% in the previous year, reflecting some pressure on profitability. Revenue growth has been inconsistent, with a decline of 1.82% in the TTM period, following a modest growth in previous years. EBIT and EBITDA margins remain healthy, though slightly reduced in the TTM period, suggesting operational efficiency but with room for improvement.

Balance Sheet

The balance sheet reflects a moderate debt-to-equity ratio of 0.43 in the TTM period, showing a decrease from previous years, which is a positive sign of reduced leverage. Return on equity has slightly decreased to 8.11% in the TTM period from 9.65% in the previous year, indicating a slight decline in profitability relative to equity. The equity ratio remains stable, suggesting a balanced capital structure, but the company should focus on improving ROE for better shareholder returns.

Cash Flow

Jenoptik's cash flow statement is strong, with a significant free cash flow growth rate of 30.63% in the TTM period, indicating improved cash generation capabilities. The operating cash flow to net income ratio is 0.49, showing a healthy conversion of income to cash. The free cash flow to net income ratio of 0.53 further highlights efficient cash management. Overall, the cash flow position is robust, supporting future investments and debt reduction.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	1.05B	1.12B	1.07B	980.68M	750.72M	615.47M
Gross Profit	336.72M	373.15M	370.52M	310.72M	256.90M	262.19M
EBITDA	198.26M	220.69M	198.69M	173.60M	162.69M	99.06M
Net Income	72.61M	92.65M	72.47M	55.10M	82.00M	41.77M
Balance Sheet
Total Assets	1.66B	1.74B	1.67B	1.67B	1.76B	1.34B
Cash, Cash Equivalents and Short-Term Investments	59.11M	86.74M	67.69M	59.09M	57.14M	69.31M
Total Debt	419.61M	481.12M	490.76M	536.78M	597.74M	269.28M
Total Liabilities	679.42M	772.81M	763.60M	828.46M	976.38M	649.45M
Stockholders Equity	974.94M	960.34M	896.59M	831.95M	767.81M	677.77M
Cash Flow
Free Cash Flow	91.13M	73.12M	77.93M	63.46M	51.87M	46.04M
Operating Cash Flow	171.66M	167.12M	166.99M	142.71M	98.03M	89.75M
Investing Cash Flow	-78.99M	-88.03M	-48.48M	-13.41M	-413.62M	-188.44M
Financing Cash Flow	-95.22M	-62.38M	-104.94M	-127.33M	304.20M	63.72M

Jenoptik Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 26.66
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For DE:JEN, the sentiment is Positive. The current price of 26.66 is above the 20-day moving average (MA) of 21.84, above the 50-day MA of 20.27, and above the 200-day MA of 18.99, indicating a bullish trend. The MACD of 0.91 indicates Negative momentum. The RSI at 69.80 is Neutral, neither overbought nor oversold. The STOCH value of 66.18 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for DE:JEN.

Jenoptik Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
JEN	76 Outperform	€1.53B	18.78	7.17%	1.97%	-5.27%	-13.70%
P4O	64 Neutral	€23.04M	50.45	3.65%	―	-5.92%	-63.83%
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%
M7U	57 Neutral	€64.64M	-9.72	-2.71%	―	-14.11%	-170.11%
DAM	55 Neutral	€102.26M	-17.25	-4.04%	0.41%	-12.13%	-178.13%
V6C	41 Neutral	€37.88M	-5.64	-12.99%	―	-23.69%	-123.57%