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KWS SAAT SE (DE:KWS)
XETRA:KWS

KWS SAAT (KWS) AI Stock Analysis

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DE

KWS SAAT

(XETRA:KWS)

Rating:76Outperform
Price Target:
€66.00
▲(12.82%Upside)
KWS SAAT's strong financial performance and stable technical analysis drive the overall score. The company's efficient financial management and solid profitability margins are key strengths, while the reasonable valuation further supports a positive outlook. The absence of significant earnings call data and corporate events results in a neutral impact from these areas.

KWS SAAT (KWS) vs. iShares MSCI Germany ETF (EWG)

KWS SAAT Business Overview & Revenue Model

Company DescriptionKWS SAAT SE & Co. KGaA, commonly known as KWS, is a leading global seed company headquartered in Germany. The company operates primarily in the agricultural sector, focusing on the breeding and distribution of seeds for various crops such as corn, sugar beet, cereals, rapeseed, sunflowers, and vegetables. With a history dating back to 1856, KWS is committed to developing high-performing seed varieties that improve agricultural productivity and sustainability.
How the Company Makes MoneyKWS generates revenue through the sale of seeds across its diverse portfolio of crops. The company's primary revenue streams include the sale of commercial seeds directly to farmers, agricultural cooperatives, and distributors worldwide. KWS invests heavily in research and development to create innovative and resilient seed varieties that meet the evolving needs of modern agriculture, which helps drive demand and sales. Strategic partnerships and collaborations with research institutions and other agricultural companies further enhance their product offerings and market reach. Additionally, KWS offers services related to seed technology and agricultural consulting, contributing to their overall earnings.

KWS SAAT Financial Statement Overview

Summary
KWS SAAT demonstrates strong financial performance with robust profitability and effective equity utilization. The income statement is solid, though the company should monitor cash flow and leverage closely to sustain growth. The balance sheet shows resilience despite minor fluctuations in assets and liabilities.
Income Statement
82
Very Positive
KWS SAAT shows strong performance in the income statement with a stable gross profit margin at 100% TTM, supported by consistent revenue figures. The EBIT margin is healthy at 17.6% TTM, and the net profit margin is robust at 14.7% TTM. Despite a recent decline in revenue from the previous year's annual report, the company has maintained profitability through cost management.
Balance Sheet
78
Positive
The balance sheet of KWS SAAT reflects stability with an equity ratio of 54.2% TTM, indicating solid financial health. The debt-to-equity ratio is manageable at 0.43, suggesting reasonable leverage. The return on equity is strong at 16.5% TTM, showing effective use of equity capital. However, slight fluctuations in total assets and liabilities warrant attention.
Cash Flow
75
Positive
The cash flow statement indicates strong free cash flow generation with a significant growth rate of 2352% TTM. The operating cash flow to net income ratio is 0.75 TTM, indicating efficient cash conversion from profits. However, the free cash flow to net income ratio of 0.98 TTM is slightly below expectations, reflecting some cash flow management challenges.
Breakdown
TTMJun 2024Jun 2023Jun 2022Jun 2021Jun 2020
Income StatementTotal Revenue
1.58B1.68B1.82B1.54B1.31B1.28B
Gross Profit
1.58B1.06B1.02B845.21M739.54M732.65M
EBIT
277.65M301.95M222.76M155.06M137.03M137.37M
EBITDA
273.29M396.98M330.55M246.59M235.69M229.60M
Net Income Common Stockholders
231.43M130.83M126.99M107.76M110.61M95.33M
Balance SheetCash, Cash Equivalents and Short-Term Investments
306.00M259.22M241.53M258.92M263.34M183.13M
Total Assets
3.35B2.96B2.75B2.65B2.38B2.24B
Total Debt
862.90M658.79M785.13M770.00M742.20M636.12M
Net Debt
600.30M436.43M612.14M566.33M519.46M544.65M
Total Liabilities
1.89B1.56B1.46B1.41B1.32B1.24B
Stockholders Equity
1.46B1.40B1.29B1.25B1.05B994.36M
Cash FlowFree Cash Flow
226.02M6.74M35.14M6.17M87.41M21.73M
Operating Cash Flow
174.12M157.92M144.65M100.32M168.32M136.16M
Investing Cash Flow
155.00M-103.39M-100.14M-90.87M-84.16M-499.86M
Financing Cash Flow
-369.85M24.75M-59.34M-28.43M34.93M-82.48M

KWS SAAT Technical Analysis

Technical Analysis Sentiment
Positive
Last Price58.50
Price Trends
50DMA
55.84
Positive
100DMA
56.76
Positive
200DMA
59.01
Negative
Market Momentum
MACD
0.41
Negative
RSI
60.52
Neutral
STOCH
61.93
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For DE:KWS, the sentiment is Positive. The current price of 58.5 is above the 20-day moving average (MA) of 56.57, above the 50-day MA of 55.84, and below the 200-day MA of 59.01, indicating a neutral trend. The MACD of 0.41 indicates Negative momentum. The RSI at 60.52 is Neutral, neither overbought nor oversold. The STOCH value of 61.93 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for DE:KWS.

KWS SAAT Peers Comparison

Overall Rating
UnderperformOutperform
Sector (66)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
DEKWS
76
Outperform
€1.93B15.569.99%1.71%-19.73%-13.98%
66
Neutral
$4.51B12.295.40%248.53%4.14%-12.41%
DECEA
44
Neutral
€66.30M-77.69%-16.25%43.58%
* Industrials Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
DE:KWS
KWS SAAT
58.50
>-0.01
>-0.01%
DE:CEA
FRIWO AG
7.75
-14.25
-64.77%
Glossary
OutperformA stock rated as "Outperform" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests that the stock is likely to deliver higher returns compared to the average returns of other stocks in the same sector or market index. Investors might consider this stock a good buying opportunity.
NeutralA stock rated as "Neutral" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly attractive nor unattractive for investment. Investors may consider holding onto the stock, as it is not expected to either significantly outperform or underperform the market.
UnderperformA stock rated as "Underperform" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests that the stock may deliver lower returns compared to the average returns of other stocks in the same sector or market index. Investors might consider selling the stock or avoiding it as an investment.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.