Sixt SE (SIX2) AI Stock Analysis

• Market Cap: €3.69B
• Dividend Yield: 3.1%
• Average Volume (3M): 58.14K
• Price to Earnings (P/E): 14.5
• Beta (1Y): 1.26
• Revenue Growth: 9.68%
• EPS Growth: 17.82%
• Country: DE
• Employees: 7,864
• Sector: Services
• Sector Strength: N/A
• Industry: Rental & Leasing Services
• EPS (TTM): 1.67
• Shares Outstanding: 30,367,110
• 10 Day Avg. Volume: 49,233
• 30 Day Avg. Volume: 58,136
• 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: €108.00
• Price Target Upside: 24.14% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 6

• Rating: 78 Outperform
• Price Target: €102.00 ▲(17.24% Upside)

Sixt SE's overall stock score is driven by strong financial performance and positive technical indicators. The company's robust cash flow and revenue growth are significant strengths, while the valuation is reasonable. The absence of earnings call and corporate events data does not impact the score.

Positive Factors

Stock Valuation

Sixt trades close to historic lows, making it an attractive buy.

Travel Demand

Resilient travel demand over the summer months, particularly in Europe, is expected to support profitability.

Negative Factors

Economic Downturn

A potential recession could lead to significant estimate cuts given pressure on volumes and rental prices, as well as residuals.

Macroeconomic Factors

Macro uncertainty remains relatively elevated, which could impact future performance.

Sixt SE Business Overview & Revenue Model

Company Description

Sixt SE (SIX2) is a leading international mobility service provider based in Germany, primarily focused on car rental and leasing services. The company operates in several sectors, including vehicle rental, car leasing, and mobility solutions, catering to both business and private customers. Sixt offers a diverse fleet of vehicles, ranging from economy cars to luxury models, and provides additional services such as chauffeur and shuttle services, as well as digital mobility solutions through its app and online platforms.

How the Company Makes Money

Sixt SE generates revenue through multiple key streams, primarily by offering car rental services to individuals and businesses, which include short-term and long-term rentals. The company also earns income from its leasing division, providing vehicles to corporate clients for extended periods. Additional revenue comes from ancillary services such as insurance, fuel sales, and GPS equipment rentals. Partnerships with airlines, hotels, and travel agencies also enhance their revenue model by integrating car rental services into travel packages. Furthermore, Sixt benefits from a growing digital platform that enables online bookings, improving customer reach and operational efficiency.

Sixt SE Financial Statement Overview

Summary

Sixt SE demonstrates strong financial performance with significant revenue growth and robust profitability margins. The cash flow is particularly impressive, showing a substantial improvement from negative to positive free cash flow. However, there is room for improvement in operational efficiency and capital structure.

Income Statement

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

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

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	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	4.08B	4.00B	3.62B	3.07B	2.28B	1.53B
Gross Profit	2.89B	3.11B	2.84B	2.44B	1.78B	850.95M
EBITDA	875.19M	712.47M	759.51M	737.24M	611.65M	119.37M
Net Income	254.48M	243.91M	335.14M	385.70M	313.15M	-33.25M
Balance Sheet
Total Assets	7.10B	6.55B	6.45B	5.55B	4.52B	4.43B
Cash, Cash Equivalents and Short-Term Investments	391.21M	163.58M	5.92M	26.57M	265.83M	753.32M
Total Debt	0.00	3.13B	3.30B	2.51B	2.00B	2.38B
Total Liabilities	5.03B	4.42B	4.45B	3.57B	2.77B	3.03B
Stockholders Equity	2.07B	2.13B	2.00B	1.98B	1.75B	1.39B
Cash Flow
Free Cash Flow	652.08M	989.92M	-151.33M	-266.35M	44.09M	647.12M
Operating Cash Flow	738.99M	1.08B	-90.07M	-201.58M	79.11M	669.28M
Investing Cash Flow	-86.57M	-89.60M	-67.22M	-57.20M	-85.06M	12.61M
Financing Cash Flow	-294.13M	-832.87M	136.67M	17.55M	-489.30M	-89.64M

Sixt SE Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 87.00
• 50DMA: Negative
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For DE:SIX2, the sentiment is Neutral. The current price of 87 is below the 20-day moving average (MA) of 91.20, below the 50-day MA of 87.41, and above the 200-day MA of 79.21, indicating a neutral trend. The MACD of -0.43 indicates Positive momentum. The RSI at 43.12 is Neutral, neither overbought nor oversold. The STOCH value of 14.74 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for DE:SIX2.

Sixt SE Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
SIX2	78 Outperform	€3.69B	14.50	14.91%	3.10%	9.68%	17.82%
GBF	76 Outperform	€3.47B	18.78	15.17%	2.29%	11.94%	-14.89%
KRN	67 Neutral	€4.15B	14.43	15.37%	2.00%	10.25%	20.72%
Sector *	66 Neutral	€7.42B	13.39	35.49%	3.63%	2.10%	-117.48%
KGX	65 Neutral	€7.82B	33.99	3.89%	1.39%	-2.50%	-32.31%
JUN3	65 Neutral	€3.31B	11.61	11.92%	2.48%	-1.50%	2.01%
TKA	43 Neutral	€5.51B	―	-9.83%	1.68%	-4.07%	56.41%