Porsche Automobil Holding (PAH3) AI Stock Analysis

• Market Cap: €11.46B
• Dividend Yield: 5.1%
• Average Volume (3M): 526.28K
• Price to Earnings (P/E): 2.1
• Beta (1Y): 1.11
• Revenue Growth: N/A
• EPS Growth: N/A
• Country: DE
• Employees: 48
• Sector: Consumer Cyclical
• Sector Strength: 80
• Industry: Auto - Manufacturers
• EPS (TTM): 2.40
• Shares Outstanding: 153,124,980
• 10 Day Avg. Volume: 452,925
• 30 Day Avg. Volume: 526,279
• 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: €42.33
• Price Target Upside: 14.93% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 5

• Rating: 66 Neutral
• Price Target: €39.00 ▲(5.89% Upside)

The overall stock score of 66 reflects a blend of strong technical analysis and reasonable valuation, offset by challenges in financial performance. The stock's uptrend and attractive dividend yield are significant positives, while profitability and revenue volatility remain key concerns.

Positive Factors

Negative Factors

Company Structure

The complexity of PAH's structure could lead to a greater market discount, as diversification is not rewarded.

Corporate Governance

Persistent concerns over corporate governance and M&A strategy continue to weigh on the stock.

Dividend

Analysts expect a likely cut in VW's dividend due to concessions to unions and weak free cash flow.

Earnings

Analysts have downgraded VW to Hold due to a lower dividend and slower deleveraging, with no change in sight.

Porsche Automobil Holding Business Overview & Revenue Model

Company Description

Porsche Automobil Holding SE, through its subsidiaries, operates as an automobile manufacturer worldwide. It operates through two segments, PSE and Intelligent Transport Systems. The company offers motorcycles, small cars, and luxury vehicles, as well as commercial vehicles, such as pick-ups, buses, and heavy trucks under the Volkswagen, Audi, SEAT, KODA, Bentley, Bugatti, Lamborghini, Porsche, Ducati, Scania, and MAN brand names. It also develops software solutions for transport logistics, as well as traffic planning and management; and provides dealer and customer financing, leasing, banking, insurance, fleet management, and mobility services. Porsche has an agreement with ABB to develop a high-power charger for its electric vehicles in Japan. The company was formerly known as Dr. Ing. h.c. F. Porsche Aktiengesellschaft and changed its name to Porsche Automobil Holding SE in November 2007. Porsche Automobil Holding SE is headquartered in Stuttgart, Germany.

How the Company Makes Money

Porsche Automobil Holding generates revenue primarily through its ownership stake in Porsche AG and Volkswagen AG, which contribute substantially to its earnings. The company's revenue model is driven by the sale of premium and luxury vehicles, with a focus on high-margin sports cars and electric vehicles. Additional revenue streams include dividends from its equity holdings, capital gains from investments, and income from various partnerships in automotive technology and innovation. The company's strong brand reputation, combined with its commitment to innovation and sustainability, also enhances its market position and profitability.

Porsche Automobil Holding Financial Statement Overview

Summary

Porsche Automobil Holding's financial performance is mixed. The income statement shows significant revenue and profitability challenges, with negative margins in 2024. The balance sheet is strong with a solid equity base and low debt levels, but return on equity is concerning. Cash flow management is efficient, although declining metrics highlight operational pressures.

Income Statement

Porsche Automobil Holding's income statement reveals significant volatility. The revenue dropped dramatically in 2024, which negatively impacted gross and net profit margins. The gross profit margin shifted from 99.54% in 2023 to a loss in 2024. Net profit margin also turned negative in 2024 compared to 93.96% in 2023. This indicates substantial challenges in maintaining profitability and revenue consistency.

Balance Sheet

The balance sheet showcases a stable equity foundation with a strong equity ratio of 81.95% in 2024. The debt-to-equity ratio remains low, indicating prudent financial leverage management. However, the return on equity turned negative in 2024, highlighting profitability concerns despite a robust equity position.

Cash Flow

Cash flow analysis shows a decline in operating cash flow in 2024, yet it remains positive. The free cash flow growth rate turned negative due to reduced operating cash flow. Despite this, operating cash flow relative to net income remains favorable, suggesting operational cash generation efficiency.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	-22.03B	-19.85B	5.42B	5.44B	4.64B	2.70B
Gross Profit	-22.03B	-19.87B	5.42B	5.44B	4.63B	2.70B
EBITDA	-22.40B	-19.79B	5.44B	5.41B	4.59B	2.66B
Net Income	-22.17B	-20.02B	5.07B	5.49B	4.57B	2.62B
Balance Sheet
Total Assets	42.12B	42.84B	62.36B	58.79B	42.53B	36.25B
Cash, Cash Equivalents and Short-Term Investments	2.28B	2.41B	1.01B	446.00M	642.00M	603.00M
Total Debt	7.57B	7.56B	6.72B	7.09B	0.00	38.00M
Total Liabilities	7.70B	7.73B	7.03B	7.37B	336.00M	304.00M
Stockholders Equity	34.42B	35.11B	55.33B	51.42B	42.20B	35.95B
Cash Flow
Free Cash Flow	1.44B	1.43B	1.87B	8.28B	736.00M	771.00M
Operating Cash Flow	1.44B	1.43B	1.87B	791.00M	733.00M	773.00M
Investing Cash Flow	-742.00M	-277.00M	-243.00M	-7.29B	-4.00M	-186.00M
Financing Cash Flow	37.00M	37.00M	-1.22B	6.29B	-691.00M	-680.00M

Porsche Automobil Holding Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 36.83
• 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:PAH3, the sentiment is Positive. The current price of 36.83 is above the 20-day moving average (MA) of 36.25, above the 50-day MA of 35.13, and above the 200-day MA of 34.58, indicating a bullish trend. The MACD of 0.64 indicates Negative momentum. The RSI at 56.58 is Neutral, neither overbought nor oversold. The STOCH value of 63.10 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for DE:PAH3.

Porsche Automobil Holding Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
PAH3	66 Neutral	€11.46B	2.05		5.10%	―	―
Sector *	61 Neutral	$17.75B	12.56	-5.49%	3.02%	1.43%	-14.12%
MBGAF	―	$60.51B	8.44	7.24%	7.86%	―	―
BAMXF	―	$62.46B	10.32	6.06%	4.76%	―	―
0O0V	―	€53.64B	8.95	6.28%	―	―	―
0P6O	―	€51.58B	6.10	5.01%	―	―	―
0P6N	―	€51.58B	6.25	5.01%	―	―	―