R. Stahl (RSL2) AI Stock Analysis

• Market Cap: €95.31M
• Dividend Yield: N/A
• Average Volume (3M): 569.00
• Price to Earnings (P/E): ―
• Beta (1Y): 0.53
• Revenue Growth: -11.00%
• EPS Growth: -1.60%
• Country: DE
• Employees: 1,732
• Sector: Industrials
• Sector Strength: 72
• Industry: Industrial - Machinery
• EPS (TTM): 0.39
• Shares Outstanding: 6,440,000
• 10 Day Avg. Volume: 256
• 30 Day Avg. Volume: 569
• PEG Ratio: <0.01
• Price to Book (P/B): 1.46
• Price to Sales (P/S): 0.31
• P/FCF Ratio: 7.10
• 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: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0
• EPS Forecast (FY): -0.04
• Revenue Forecast (FY): €282.37M

• Rating: 40 Underperform
• Price Target: €14.00 ▼(-4.11% Downside)

R. Stahl's overall stock score is primarily impacted by its financial performance and technical analysis. The company faces significant financial challenges, including declining revenue growth and profitability issues. Technical indicators suggest bearish momentum, with the stock trading below key moving averages. Valuation concerns are heightened by a negative P/E ratio and lack of dividend yield, making the stock less attractive to investors.

Positive Factors

Strong Gross Profit Margin

A strong gross profit margin indicates efficient production and pricing strategies, which can support profitability as the company addresses other financial challenges.

Strategic Partnerships

Strategic partnerships enhance product offerings and market reach, providing a competitive advantage and potential for revenue growth in the long term.

Diverse Revenue Streams

Diverse revenue streams from equipment sales and services ensure stability and resilience against sector-specific downturns, supporting long-term business sustainability.

Negative Factors

Declining Revenue Growth

Declining revenue growth suggests challenges in market demand or competitive positioning, which could impact long-term financial health if not addressed.

Increased Leverage

Higher leverage increases financial risk and limits flexibility, potentially affecting the company's ability to invest in growth or weather economic downturns.

Negative Free Cash Flow Growth

Negative free cash flow growth indicates cash generation issues, which can hinder the company's ability to fund operations and invest in future opportunities.

R. Stahl Business Overview & Revenue Model

Company Description

R. Stahl (RSL2) is a leading global provider of industrial automation solutions with a focus on explosion protection, safety systems, and communication technology. The company serves various sectors including oil and gas, chemicals, pharmaceuticals, and food processing, offering a wide range of products such as control systems, sensors, and communication devices specifically designed for use in hazardous environments.

How the Company Makes Money

R. Stahl generates revenue through multiple key streams including the sale of specialized equipment and systems for explosion protection and automation, which are critical in industries that operate in hazardous locations. The company also earns income from providing maintenance and support services for its products, ensuring ongoing client engagement and satisfaction. Additionally, R. Stahl collaborates with other industry leaders for the development of innovative solutions, which enhances its product offerings and market reach. The company's strategic partnerships and focus on high-quality, reliable products contribute significantly to its earnings.

R. Stahl Financial Statement Overview

Summary

R. Stahl's financial statements present a mixed picture. The company maintains a strong gross profit margin, but declining revenue and profitability metrics are concerning. The balance sheet shows moderate leverage and equity levels, but low ROE indicates limited shareholder returns. Cash flow metrics suggest stability but highlight areas for improvement in cash generation.

Income Statement

R. Stahl's income statement shows a mixed performance. The TTM data indicates a decline in revenue growth rate by 3.41%, which is concerning. Gross profit margin remains strong at approximately 66.62%, but the net profit margin is low at 0.33%, indicating profitability challenges. The negative EBIT and EBITDA margins in the TTM suggest operational inefficiencies or high expenses. Overall, while the company maintains a solid gross margin, the declining revenue and profitability metrics are areas of concern.

Balance Sheet

The balance sheet reflects a moderate financial position. The debt-to-equity ratio of 0.85 indicates a balanced leverage, but the return on equity (ROE) is low at 1.52%, suggesting limited returns for shareholders. The equity ratio stands at 24.95%, indicating a moderate level of equity financing. While the company manages its debt well, the low ROE highlights the need for improved profitability.

Cash Flow

Cash flow analysis reveals some challenges. The free cash flow growth rate is negative at -9.63% in the TTM, indicating declining cash generation. The operating cash flow to net income ratio is 0.29, suggesting that operating cash flows are not significantly higher than net income. The free cash flow to net income ratio of 0.52 indicates some ability to convert income into cash. Overall, the cash flow position is stable but shows signs of strain.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	313.37M	343.09M	329.51M	273.29M	247.06M	245.44M
Gross Profit	175.06M	227.53M	218.44M	180.43M	165.65M	162.76M
EBITDA	22.91M	34.19M	26.47M	24.23M	18.28M	18.87M
Net Income	-4.21M	5.82M	195.00K	1.95M	-4.91M	-3.50M
Balance Sheet
Total Assets	275.84M	265.15M	286.21M	259.69M	246.00M	256.24M
Cash, Cash Equivalents and Short-Term Investments	12.35M	16.27M	11.55M	16.06M	6.34M	19.85M
Total Debt	72.04M	61.23M	66.94M	64.94M	47.78M	52.93M
Total Liabilities	206.67M	192.83M	218.50M	188.35M	196.24M	208.09M
Stockholders Equity	68.93M	72.13M	67.56M	71.15M	49.55M	47.91M
Cash Flow
Free Cash Flow	861.00K	14.80M	300.00K	-8.06M	-3.31M	5.13M
Operating Cash Flow	16.04M	28.56M	14.22M	5.99M	11.86M	17.86M
Investing Cash Flow	-14.48M	-13.83M	-13.94M	-10.41M	-18.12M	-12.21M
Financing Cash Flow	-5.20M	-9.77M	-4.38M	14.31M	-7.62M	-348.00K

R. Stahl Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 14.60
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For DE:RSL2, the sentiment is Negative. The current price of 14.6 is below the 20-day moving average (MA) of 14.99, below the 50-day MA of 15.45, and below the 200-day MA of 17.44, indicating a bearish trend. The MACD of -0.22 indicates Negative momentum. The RSI at 43.68 is Neutral, neither overbought nor oversold. The STOCH value of 43.82 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for DE:RSL2.

R. Stahl Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
AAG	75 Outperform	€139.17M	10.06	8.44%	1.82%	-26.69%	-1.95%
GSC1	67 Neutral	€162.05M	20.86	2.79%	0.67%	-3.37%	15.71%
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%
TTR1	61 Neutral	€221.05M	20.62	10.85%	1.66%	―	―
SKB	51 Neutral	€174.17M	-11.48	-4.67%	―	4.81%	75.36%
LPK	48 Neutral	€131.06M	-131.55	-1.16%	―	-1.24%	41.31%
RSL2	40 Underperform	€95.31M	-22.66	-5.89%	―	-11.00%	-1.60%