NORMA Group SE (NOEJ) AI Stock Analysis

• Market Cap: €484.95M
• Dividend Yield: 2.63%
• Average Volume (3M): 57.39K
• Price to Earnings (P/E): 209.9
• Beta (1Y): 1.36
• Revenue Growth: -7.04%
• EPS Growth: -91.90%
• Country: DE
• Employees: 6,003
• Sector: Industrials
• Sector Strength: 88
• Industry: Manufacturing - Metal Fabrication
• EPS (TTM): N/A
• Shares Outstanding: 31,862,400
• 10 Day Avg. Volume: 58,767
• 30 Day Avg. Volume: 57,391
• PEG Ratio: -2.66
• Price to Book (P/B): 0.74
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 6.68
• 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: €20.25
• Price Target Upside: 33.05% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 5

• Rating: 61 Neutral
• Price Target: €16.00 ▲(5.12%Upside)

NORMA Group SE demonstrates a strong financial foundation with positive cash flows and manageable debt levels, but faces challenges with declining profitability margins and inconsistent revenue growth. The technical indicators show a bullish trend, but overbought conditions could lead to a price correction. The stock appears overvalued with a high P/E ratio, though the dividend yield offers some benefits.

NORMA Group SE Business Overview & Revenue Model

Company Description

NORMA Group SE is a global market leader in engineered joining technology. The company specializes in designing and manufacturing a wide range of high-quality clamps, connectors, and fluid systems for various industries, including automotive, industrial applications, and infrastructure. With a focus on innovation and sustainability, NORMA Group SE provides essential components that ensure the safe and efficient transportation of fluids and gases.

How the Company Makes Money

NORMA Group SE generates revenue primarily through the sale of its engineered joining technology products, which include clamps, connectors, and fluid systems. These products are essential for various applications in the automotive industry, where they are used in vehicle manufacturing and maintenance. The company also serves industrial sectors by providing solutions for machinery and equipment, as well as infrastructure projects that require robust fluid management systems. NORMA Group SE benefits from long-term relationships and contracts with major automotive manufacturers and industrial clients, contributing to stable and recurring revenue streams. Additionally, the company's focus on innovation and sustainability allows it to offer high-value-added products that meet stringent regulatory standards, further enhancing its market position and profitability.

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

NORMA Group SE Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 15.22
• 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 Neutral. The current price of 15.22 is below the 20-day moving average (MA) of 15.39, above the 50-day MA of 14.06, and above the 200-day MA of 13.49, indicating a neutral trend. The MACD of 0.43 indicates Positive momentum. The RSI at 54.55 is Neutral, neither overbought nor oversold. The STOCH value of 55.56 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for DE:NOEJ.

NORMA Group SE Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
STM	76 Outperform	€606.38M	9.21	9.96%	4.47%	9.58%	-10.37%
SHF	72 Outperform	€525.12M	24.96	17.51%	―	24.01%	74.23%
Sector *	68 Neutral	€10.38B	31.33	7.07%	2.62%	4.25%	-23.14%
SFQ	67 Neutral	€720.86M	11.23	12.40%	5.35%	-14.58%	-26.10%
NOEJ	61 Neutral	€484.95M	209.93	0.33%	2.63%	-7.04%	-91.90%
ZIL2	51 Neutral	€276.25M	―	-19.89%	3.41%	-3.49%	-421.15%