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Novem Group SA (DE:NVM)
XETRA:NVM
Germany Market
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Novem Group SA (NVM) AI Stock Analysis

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DE:NVM

Novem Group SA

(XETRA:NVM)

Rating:55Neutral
Price Target:
€4.00
▼(-0.25%Downside)
The overall stock score is primarily driven by mixed financial performance and bearish technical indicators. While the company shows some financial stability through cash flow, challenges in growth and efficiency, combined with negative market momentum, weigh down its prospects. Fair valuation provides some balance, but without a dividend yield, the stock may lack appeal for certain investors.

Novem Group SA (NVM) vs. iShares MSCI Germany ETF (EWG)

Novem Group SA Business Overview & Revenue Model

Company DescriptionNovem Group SA (NVM) is a leading global supplier specializing in high-quality decorative interior trim for the automotive industry. The company operates within the automotive sector, offering a wide range of products including wood, aluminum, carbon, and premium synthetic materials that enhance the interior aesthetics of vehicles. With a focus on innovation and craftsmanship, Novem Group serves major automotive manufacturers worldwide, delivering components that meet the highest standards of design and functionality.
How the Company Makes MoneyNovem Group SA generates revenue primarily through the sale of its decorative interior trim products to automotive manufacturers. These products are integrated into vehicles during the production process, making Novem a key supplier for car manufacturers seeking to enhance their vehicle interiors. The company's revenue streams are largely driven by long-term contracts and partnerships with major automotive brands, ensuring a stable and recurring income. Novem's commitment to quality and innovation allows it to maintain competitive pricing and secure a strong position in the market. Additionally, the company invests in research and development to continually improve its product offerings, meeting the evolving demands of the automotive industry.

Novem Group SA Financial Statement Overview

Summary
Novem Group SA has shown mixed financial performance. Improvements in cost management and leverage are positive, but there are challenges in revenue growth and operational efficiency. Cash flow stability is a notable strength, despite a need for overall financial structure improvements.
Income Statement
60
Neutral
Novem Group SA has shown volatility in its revenue growth, with a decline over the past two years. Gross profit margin improved significantly from past years, suggesting better cost management. However, the net profit margin and EBIT margin have decreased, indicating challenges in maintaining operational efficiency. EBITDA margin also declined, reflecting potential operational inefficiencies.
Balance Sheet
55
Neutral
The company's debt-to-equity ratio has improved due to reduced debt levels, indicating better leverage management. However, the equity ratio remains low, suggesting potential financial instability. Return on equity has decreased, pointing to challenges in generating returns from shareholders' investments.
Cash Flow
70
Positive
The cash flow position of Novem Group SA is relatively stable. Operating cash flow remains positive, although it has decreased over the past year. Free cash flow to net income ratio indicates good cash conversion, despite a decline in free cash flow growth. The operating cash flow to net income ratio is strong, showing efficient cash generation relative to net income.
BreakdownMar 2025Mar 2024Mar 2023Mar 2022Mar 2021
Income Statement
Total Revenue541.46M635.51M700.30M614.63M602.72M
Gross Profit271.45M97.24M338.12M316.10M305.96M
EBITDA77.08M99.69M113.05M105.98M110.82M
Net Income11.13M34.78M49.98M43.97M9.73M
Balance Sheet
Total Assets568.07M616.21M638.01M594.04M629.95M
Cash, Cash Equivalents and Short-Term Investments150.10M141.51M165.47M116.97M175.30M
Total Debt256.77M257.21M257.31M283.95M895.89M
Total Liabilities474.13M526.32M530.75M526.39M1.14B
Stockholders Equity93.94M89.89M107.26M67.66M-505.09M
Cash Flow
Free Cash Flow23.83M36.66M80.39M61.95M86.48M
Operating Cash Flow41.35M52.75M98.33M80.54M105.51M
Investing Cash Flow-12.85M-10.02M-13.78M-15.49M-15.77M
Financing Cash Flow-18.70M-60.86M-35.55M-124.89M-110.70M

Novem Group SA Technical Analysis

Technical Analysis Sentiment
Neutral
Last Price4.01
Price Trends
50DMA
4.21
Negative
100DMA
4.16
Negative
200DMA
4.83
Negative
Market Momentum
MACD
-0.04
Positive
RSI
47.96
Neutral
STOCH
36.22
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For DE:NVM, the sentiment is Neutral. The current price of 4.01 is below the 20-day moving average (MA) of 4.11, below the 50-day MA of 4.21, and below the 200-day MA of 4.83, indicating a bearish trend. The MACD of -0.04 indicates Positive momentum. The RSI at 47.96 is Neutral, neither overbought nor oversold. The STOCH value of 36.22 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for DE:NVM.

Novem Group SA Peers Comparison

Overall Rating
UnderperformOutperform
Sector (63)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
78
Outperform
€90.63M8.296.72%6.03%-2.91%-33.41%
63
Neutral
$17.26B10.39-8.50%3.06%1.63%-25.95%
59
Neutral
€159.50M8.20-14.80%8.62%-6.39%-181.07%
56
Neutral
€200.09M-26.01%1.26%-11.16%-463.07%
55
Neutral
€172.55M15.3612.22%8.87%-14.80%-67.71%
51
Neutral
€277.83M-19.89%3.39%-3.49%-421.15%
46
Neutral
€100.58M-15.91%-18.47%-892.72%
* Consumer Cyclical Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
DE:NVM
Novem Group SA
4.10
-1.32
-24.35%
DE:ZIL2
ElringKlinger
4.42
-0.22
-4.70%
DE:BDT
Bertrandt
19.80
-6.45
-24.58%
DE:ED4
EDAG Engineering
6.38
-4.12
-39.24%
DE:PWO
Progress Werk Oberkirch
29.00
1.89
6.98%
DE:GMM
Grammer
6.75
-1.40
-17.18%
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

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.Date of analysis: Jul 15, 2025