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Sixt (0NW7) (DE:SIX2)
:SIX2

Sixt SE (SIX2) AI Stock Analysis

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DE

Sixt SE

(LSE:SIX2)

Rating:80Outperform
Price Target:
€94.00
▲(17.13%Upside)
Sixt SE's solid financial performance, characterized by strong revenue growth and cash flow, is a significant strength. Technical indicators suggest moderate momentum, while valuation metrics like the P/E ratio and dividend yield provide additional support. Overall, the company is well-positioned in its industry, with a positive outlook.
Positive Factors
Expansion
Sixt is expanding in the US as well as other businesses such as subscription and Van & Truck.
Revenue Performance
Sixt's Q1 print beats revenue expectations, primarily due to stronger-than-expected average selling prices.
Travel Outlook
A solid travel outlook bares very positively for potential upgrades during the year, particularly given improved pricing discipline at peers.
Negative Factors
Economic Uncertainty
Macro uncertainty remains relatively elevated, which could impact future performance.
Recession Risk
A potential recession could lead to significant estimate cuts given pressure on volumes and rental prices, as well as residuals.
US Tariffs
Implications of US tariffs could affect the company.

Sixt SE (SIX2) vs. iShares MSCI Germany ETF (EWG)

Sixt SE Business Overview & Revenue Model

Company DescriptionSixt SE (SIX2) is a global leader in mobility services, headquartered in Germany. The company operates in the vehicle rental industry, offering a wide range of services including short-term rental, long-term rental, and car leasing solutions for both private and corporate customers. Sixt SE is known for its extensive fleet of premium vehicles and a robust digital platform that allows customers to book and manage rentals efficiently.
How the Company Makes MoneySixt SE generates its revenue primarily through its vehicle rental business. The company offers short-term and long-term vehicle rentals, with a diverse fleet that includes premium cars, SUVs, and vans. Revenue is driven by rental fees, which vary based on the type of vehicle, rental duration, and additional services or insurances opted by the customer. Sixt also earns income from its leasing operations, providing tailored leasing solutions to businesses and individuals. Furthermore, the company has developed strategic partnerships with airlines, hotels, and travel agencies, which help drive customer acquisition and retention. Ancillary services, such as navigation systems, child seats, and additional insurance packages, contribute to additional revenue streams.

Sixt SE Financial Statement Overview

Summary
Sixt SE demonstrates a solid financial performance with strong revenue growth of 19.32% and healthy profitability, evidenced by a gross profit margin of 61.30% and a net profit margin of 5.65%. Cash flow is particularly strong, transitioning from negative to positive free cash flow. However, there is room for improvement in operational efficiency and capital structure.
Income Statement
85
Very Positive
Sixt SE has shown strong revenue growth from 2023 to 2024, increasing by approximately 19.32%. The gross profit margin for 2024 is a robust 61.30%, and the net profit margin is 5.65%, which indicates healthy profitability. However, the net income decreased from the previous year, and the EBITDA margin of 16.21% suggests room for improvement in operational efficiency.
Balance Sheet
78
Positive
The company's debt-to-equity ratio is moderate, indicating a balanced approach to leverage, with a ratio of 1.47 in 2024. The return on equity is 11.46%, reflecting good profitability relative to equity. Meanwhile, the equity ratio is 32.50%, suggesting a solid equity base but potential for improved capital structure.
Cash Flow
92
Very Positive
Sixt SE shows impressive cash flow performance, with a substantial improvement in free cash flow from negative in 2023 to positive in 2024. The operating cash flow to net income ratio is strong, reflecting efficient cash conversion, and the free cash flow to net income ratio also indicates healthy cash generation relative to profits.
Breakdown
TTMDec 2024Dec 2023Dec 2022Dec 2021Dec 2020
Income StatementTotal Revenue
4.38B4.00B3.62B3.07B2.28B1.53B
Gross Profit
2.66B3.11B2.84B2.44B1.78B1.10B
EBIT
11.89M482.69M573.20M1.03B801.41M311.28M
EBITDA
875.19M712.47M759.51M737.24M611.65M119.37M
Net Income Common Stockholders
254.48M243.91M335.14M385.70M313.15M-98.81M
Balance SheetCash, Cash Equivalents and Short-Term Investments
5.92M163.58M5.92M26.57M265.83M753.32M
Total Assets
6.91B6.55B6.45B5.55B4.52B4.43B
Total Debt
3.30B3.13B3.30B2.51B2.00B2.38B
Net Debt
3.29B2.96B3.29B2.48B1.74B1.62B
Total Liabilities
4.91B4.42B4.45B3.57B2.77B3.03B
Stockholders Equity
2.00B2.13B2.00B1.98B1.75B1.39B
Cash FlowFree Cash Flow
652.08M989.92M-151.33M-266.35M44.09M647.12M
Operating Cash Flow
738.99M1.08B-90.07M-201.58M79.11M669.28M
Investing Cash Flow
-86.57M-89.60M-67.22M-57.20M-85.06M12.61M
Financing Cash Flow
-294.13M-832.87M136.67M17.55M-489.30M-89.64M

Sixt SE Technical Analysis

Technical Analysis Sentiment
Positive
Last Price80.25
Price Trends
50DMA
77.76
Positive
100DMA
78.45
Positive
200DMA
73.27
Positive
Market Momentum
MACD
0.27
Positive
RSI
52.67
Neutral
STOCH
-19.92
Positive
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For DE:SIX2, the sentiment is Positive. The current price of 80.25 is above the 20-day moving average (MA) of 79.69, above the 50-day MA of 77.76, and above the 200-day MA of 73.27, indicating a bullish trend. The MACD of 0.27 indicates Positive momentum. The RSI at 52.67 is Neutral, neither overbought nor oversold. The STOCH value of -19.92 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for DE:SIX2.

Sixt SE Peers Comparison

Overall Rating
UnderperformOutperform
Sector (66)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
80
Outperform
€3.40B14.8012.50%4.85%10.10%-12.20%
DEGBF
78
Outperform
€2.95B15.9214.62%3.05%15.42%-6.80%
DEKRN
77
Outperform
€4.50B15.6915.25%1.82%14.42%26.41%
72
Outperform
€3.93B13.5912.41%2.09%-2.78%-3.44%
DEKGX
71
Outperform
€5.80B28.483.39%1.85%-0.69%-40.58%
66
Neutral
$4.51B12.295.40%248.53%4.14%-12.41%
DETKA
44
Neutral
€5.29B-9.83%1.76%-4.07%56.41%
* Industrials Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
DE:SIX2
Sixt SE
80.25
10.75
15.47%
DE:TKA
thyssenkrupp
8.50
4.37
105.76%
DE:KGX
KION GROUP AG
44.22
3.95
9.80%
DE:JUN3
Jungheinrich
38.50
4.13
12.01%
DE:KRN
Krones AG
142.40
20.87
17.17%
DE:GBF
Bilfinger
79.05
29.13
58.36%
Glossary
OutperformA stock rated as "Outperform" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests that the stock is likely to deliver higher returns compared to the average returns of other stocks in the same sector or market index. Investors might consider this stock a good buying opportunity.
NeutralA stock rated as "Neutral" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly attractive nor unattractive for investment. Investors may consider holding onto the stock, as it is not expected to either significantly outperform or underperform the market.
UnderperformA stock rated as "Underperform" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests that the stock may deliver lower returns compared to the average returns of other stocks in the same sector or market index. Investors might consider selling the stock or avoiding it as an investment.

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.