STRATEC Biomedical (SBS) AI Stock Analysis

• Market Cap: €350.09M
• Dividend Yield: 2.25%
• Average Volume (3M): 15.55K
• Price to Earnings (P/E): 20.7
• Beta (1Y): 1.35
• Revenue Growth: -1.64%
• EPS Growth: 22.60%
• Country: DE
• Employees: 1,462
• Sector: Healthcare
• Sector Strength: 45
• Industry: Medical - Devices
• EPS (TTM): 0.09
• Shares Outstanding: 12,157,841
• 10 Day Avg. Volume: 11,323
• 30 Day Avg. Volume: 15,548
• PEG Ratio: 4.75
• Price to Book (P/B): 1.49
• Price to Sales (P/S): 1.41
• P/FCF Ratio: 11.87
• 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: €36.25
• Price Target Upside: 35.77% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 5

• Rating: 59 Neutral
• Price Target: €28.00 ▲(4.87% Upside)

STRATEC Biomedical's overall stock score reflects a mixed financial performance and bearish technical indicators. The company's fair valuation provides some support, but declining financial metrics and negative market momentum are significant concerns.

STRATEC Biomedical Business Overview & Revenue Model

Company Description

STRATEC Biomedical (SBS) is a leading company in the field of biomedical engineering, specializing in the development and manufacturing of automated laboratory systems and diagnostic instruments. The company operates primarily in the healthcare sector, providing innovative solutions for in-vitro diagnostics, including a wide range of analyzers, consumables, and software. STRATEC's products are designed to enhance laboratory efficiency and improve the quality of patient care, serving a global customer base that includes diagnostic companies and laboratories.

How the Company Makes Money

STRATEC Biomedical generates revenue through multiple streams, primarily by providing automated diagnostic systems and associated consumables to healthcare organizations and laboratories. The company earns money from the sales of its proprietary analyzers and instruments, which are often sold in partnership with major diagnostic companies that utilize STRATEC's technology in their own products. Additionally, STRATEC benefits from recurring revenue through the sale of consumables that are required for the operation of its diagnostic systems. The company also engages in long-term contracts and collaborations with partners, which can include joint development projects and technology licensing agreements, further contributing to its revenue. Overall, STRATEC's business model is built on providing high-quality, reliable solutions that enable its customers to improve diagnostic processes and patient outcomes.

STRATEC Biomedical Financial Statement Overview

Summary

STRATEC Biomedical shows a mixed financial performance with stable gross profit margins but declining net profit margins and revenue. The balance sheet indicates moderate financial stability with a manageable debt-to-equity ratio. However, significant reductions in free cash flow highlight potential liquidity issues.

Income Statement

STRATEC Biomedical's income statement shows a mixed performance. The company has a stable gross profit margin of around 29.65% in TTM, indicating efficient production processes. However, the net profit margin has decreased to 6.22% in TTM, reflecting challenges in controlling costs or pricing strategies. Revenue has declined by 3.35% in TTM, suggesting potential market or competitive pressures. The EBIT and EBITDA margins are relatively healthy at 10.83% and 18.38%, respectively, but have shown a downward trend, indicating potential operational inefficiencies.

Balance Sheet

The balance sheet of STRATEC Biomedical reflects moderate financial stability. The debt-to-equity ratio stands at 0.54 in TTM, which is manageable but indicates a reliance on debt financing. The return on equity has decreased to 6.23% in TTM, suggesting reduced profitability for shareholders. The equity ratio is not explicitly calculated, but the company's equity position appears stable relative to its assets, indicating a solid capital structure.

Cash Flow

STRATEC Biomedical's cash flow statement reveals some concerns. The free cash flow has significantly decreased by 59.31% in TTM, highlighting potential liquidity issues. The operating cash flow to net income ratio is 0.54, indicating that cash generation from operations is not fully covering net income. The free cash flow to net income ratio is 0.63, suggesting that the company is not generating sufficient free cash flow relative to its net income, which could impact future investments or debt repayments.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	257.14M	257.62M	270.41M	274.63M	287.33M	250.10M
Gross Profit	77.96M	76.39M	68.16M	79.49M	87.71M	68.99M
EBITDA	45.08M	47.34M	43.16M	57.53M	66.52M	56.72M
Net Income	14.70M	16.02M	15.37M	29.22M	39.96M	25.18M
Balance Sheet
Total Assets	422.41M	445.06M	466.58M	397.50M	368.52M	331.90M
Cash, Cash Equivalents and Short-Term Investments	18.70M	48.73M	34.22M	24.07M	48.72M	39.15M
Total Debt	128.70M	130.53M	141.37M	87.15M	85.30M	109.58M
Total Liabilities	185.71M	202.53M	233.25M	172.32M	162.77M	159.36M
Stockholders Equity	236.70M	242.53M	233.33M	225.18M	205.76M	172.54M
Cash Flow
Free Cash Flow	10.98M	30.52M	2.00M	-8.74M	43.24M	6.27M
Operating Cash Flow	25.56M	48.71M	19.43M	10.28M	63.47M	31.85M
Investing Cash Flow	-16.16M	-15.97M	-44.16M	-19.00M	-20.13M	-21.84M
Financing Cash Flow	-21.09M	-20.30M	35.44M	-14.11M	-34.33M	5.22M

STRATEC Biomedical Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 26.70
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For DE:SBS, the sentiment is Negative. The current price of 26.7 is below the 20-day moving average (MA) of 29.22, below the 50-day MA of 27.95, and below the 200-day MA of 27.30, indicating a bearish trend. The MACD of -0.16 indicates Positive momentum. The RSI at 39.40 is Neutral, neither overbought nor oversold. The STOCH value of 39.76 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for DE:SBS.

STRATEC Biomedical Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
EUZ	66 Neutral	€1.06B	28.87	17.61%	0.94%	9.42%	9.54%
DRW3	64 Neutral	€1.26B	14.53	6.87%	2.62%	-0.03%	-14.15%
SBS	59 Neutral	€350.09M	20.71	―	2.25%	-1.64%	22.60%
Sector *	51 Neutral	$7.86B	-0.30	-43.30%	2.27%	22.53%	-2.21%
BIO	51 Neutral	€1.31B	64.15	―	0.11%	-18.82%	-113.85%
BNN	49 Neutral	€49.38M	-3.55	-111.86%	―	-4.90%	-69.80%