NORMA Group SE (NOEJ) AI Stock Analysis

• Market Cap: €551.22M
• Dividend Yield: 2.39%
• Average Volume (3M): 80.49K
• Price to Earnings (P/E): 542.3
• Beta (1Y): 1.43
• Revenue Growth: -6.98%
• EPS Growth: -95.85%
• Country: DE
• Employees: 6,003
• Sector: Industrials
• Sector Strength: 83
• Industry: Manufacturing - Metal Fabrication
• EPS (TTM): 0.16
• Shares Outstanding: 31,862,400
• 10 Day Avg. Volume: 90,042
• 30 Day Avg. Volume: 80,493
• 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: €19.25
• Price Target Upside: 17.38% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 5

• Rating: 55 Neutral
• Price Target: €17.50 ▲(6.71% Upside)

The overall stock score is primarily influenced by financial performance challenges, including declining revenue growth and low profitability. While technical analysis shows positive momentum, the high P/E ratio suggests overvaluation risks. The absence of earnings call data and corporate events means these factors do not influence the score.

NORMA Group SE Business Overview & Revenue Model

Company Description

NORMA Group SE, together with its subsidiaries, manufactures and sells engineered joining technology solutions in Europe, the Middle East, Africa, the Americas, and the Asia-Pacific. The company provides quick connectors, hose clamps, retaining clamps, and pipe couplings. The company sells its products to distributors, original equipment manufacturer aftermarket customers, technical wholesalers, and hardware stores under the ABA, Breeze, Clamp-All, CONNECTORS, FISH, Gemi, Kimplas, NDS, NORMA, Raindrip, R.G.RAY, Serflex, TORCA, and TRUSTLENE brand names through its distribution network, sales representatives, retailers, and importers. The company also provides water management, emobility thermal management, and commercial and passenger vehicles solutions. NORMA Group SE was founded in 1896 and is headquartered in Maintal, Germany.

How the Company Makes Money

NORMA Group SE generates revenue primarily through the sale of its products, which include a wide range of joining technology solutions tailored to specific industry needs. The company operates on a business-to-business (B2B) model, supplying its products to OEMs (Original Equipment Manufacturers) and Tier 1 suppliers in the automotive sector, as well as to various industrial and infrastructure markets. Key revenue streams include standard products, customized solutions, and aftermarket services. Additionally, NORMA Group benefits from strategic partnerships with major automotive manufacturers and industrial players, enhancing its market presence and driving sales growth. The company also invests in research and development to innovate and expand its product offerings, further contributing to its earnings potential.

NORMA Group SE Financial Statement Overview

Summary

NORMA Group SE maintains a solid financial foundation with manageable debt levels and positive operating cash flows. However, declining profitability margins and inconsistent revenue growth pose challenges. Strategic focus on enhancing operational efficiencies and revenue stabilization is needed to improve overall financial health.

Income Statement

NORMA Group SE shows a stable gross profit margin of around 37% to 54% over the years, indicating efficient cost management. The net profit margin has declined recently to 0.2% in TTM, mainly due to reduced net income. Revenue growth has been inconsistent, with a noticeable drop in the latest period compared to the previous year, indicating potential market challenges. Overall, profitability margins are compressing, signaling a need for strategic improvements.

Balance Sheet

The balance sheet presents a moderate debt-to-equity ratio of approximately 0.63 in the TTM period, reflecting manageable leverage. The equity ratio remains stable around 49%, suggesting a balanced financial structure. However, the declining return on equity, currently at 0.3% for TTM, highlights reduced profitability returns on shareholders' investments.

Cash Flow

Cash flow analysis reveals strong operational cash generation with a consistently positive free cash flow. The free cash flow to net income ratio is robust, indicating effective cash conversion. However, recent free cash flow growth is negative, pointing to reduced cash generation efficiency compared to past periods.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	1.11B	1.16B	1.22B	1.24B	1.09B	952.17M
Gross Profit	649.18M	667.85M	661.94M	664.45M	612.44M	536.67M
EBITDA	133.68M	155.69M	157.37M	157.41M	164.88M	98.30M
Net Income	1.02M	14.70M	27.83M	39.07M	55.93M	5.67M
Balance Sheet
Total Assets	1.35B	1.44B	1.49B	1.56B	1.50B	1.41B
Cash, Cash Equivalents and Short-Term Investments	117.46M	133.23M	165.21M	171.49M	188.22M	185.87M
Total Debt	433.58M	455.28M	509.99M	516.74M	501.79M	519.77M
Total Liabilities	705.20M	715.26M	799.84M	855.32M	829.64M	825.19M
Stockholders Equity	648.06M	720.99M	693.10M	705.07M	668.25M	589.31M
Cash Flow
Free Cash Flow	59.58M	82.07M	58.20M	22.11M	61.74M	94.12M
Operating Cash Flow	119.26M	136.99M	118.91M	76.61M	108.39M	133.54M
Investing Cash Flow	-49.60M	-63.45M	-59.76M	-44.48M	-45.16M	-39.09M
Financing Cash Flow	-104.79M	-114.12M	-57.94M	-54.52M	-71.09M	-80.97M

NORMA Group SE Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 16.40
• 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:NOEJ, the sentiment is Positive. The current price of 16.4 is above the 20-day moving average (MA) of 16.37, above the 50-day MA of 15.15, and above the 200-day MA of 13.79, indicating a bullish trend. The MACD of 0.53 indicates Positive momentum. The RSI at 52.12 is Neutral, neither overbought nor oversold. The STOCH value of 38.60 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for DE:NOEJ.

NORMA Group SE Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	59 Neutral	C$7.23B	-0.68	4.17%	2.34%	9.14%	-33.97%
NOEJ	55 Neutral	€551.22M	542.32	0.15%	2.39%	-6.98%	-95.85%
0MG5	―	€293.36M	―	-23.03%	―	―	―
0O4N	―	€730.85M	14.97	10.72%	―	―	―
0P5F	―	€38.62M	―		―	―	―
0NJB	―	€536.75M	25.31	16.15%	―	―	―
0QUL	―	€585.39M	11.29	8.01%	―	―	―