Villeroy & Boch (VIB3) AI Stock Analysis

• Market Cap: €448.91M
• Dividend Yield: 5.33%
• Average Volume (3M): 3.53K
• Price to Earnings (P/E): 27.9
• Beta (1Y): 0.48
• Revenue Growth: 34.92%
• EPS Growth: -58.07%
• Country: DE
• Employees: 12,827
• Sector: Consumer Goods
• Sector Strength: N/A
• Industry: Furnishings, Fixtures & Appliances
• EPS (TTM): 0.27
• Shares Outstanding: 14,044,800
• 10 Day Avg. Volume: 2,827
• 30 Day Avg. Volume: 3,529
• 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: €16.00
• Price Target Upside: -5.04% Downside
• Rating Consensus: Hold
• Number of Analyst Covering: 1

• Rating: 54 Neutral
• Price Target: €17.50 ▲(3.86% Upside)

Villeroy & Boch's overall stock score reflects a combination of mixed financial performance, bearish technical indicators, and a high valuation. The company's operational efficiency improvements are overshadowed by declining revenue and cash flow issues. Technical analysis indicates potential further downside, while the high P/E ratio suggests overvaluation, despite an attractive dividend yield.

Villeroy & Boch Business Overview & Revenue Model

Company Description

Villeroy & Boch AG, together with its subsidiaries, manufactures and sells ceramic products primarily under the Villeroy & Boch brand in Germany, rest of Europe, and internationally. It operates through two divisions, Bathroom and Wellness, and Dining & Lifestyle divisions. The Bathroom and Wellness division manufactures ceramic sanitary ware, ceramic kitchen sinks, bathroom furniture, bathtubs and shower tubs, whirlpools, bath and kitchen fittings, and accessories. The Dining & Lifestyle provides tableware, and glass and cutlery for tables, as well as accessories, gifts, and clever to go solutions made of porcelain. It also offers tiles, fittings, wooden flooring, lighting, kitchen and bathroom textiles, and kitchen furniture, as well as furniture for living, dining, and sleeping areas. The company sells its products through a network of approximately 90 Villeroy & Boch stores and 500 points of sale facilities at department stores, as well as through its online shops. It serves dealers, craftsmen, architects, interior designers, planners, porcelain retailers, department store chains, e-commerce providers, and residential constructors, as well as operators of hotels and restaurants. Villeroy & Boch AG was founded in 1748 and is headquartered in Mettlach, Germany.

How the Company Makes Money

Villeroy & Boch generates revenue through multiple key streams, primarily from the sale of its core products in tableware, bathroom solutions, and tiles. The company markets its products through various channels, including retail partnerships, direct-to-consumer sales via online platforms, and participation in trade shows and exhibitions. Significant partnerships with hospitality brands and contracts with builders enhance its market reach and stability. Additionally, Villeroy & Boch invests in product innovation and marketing strategies to attract new customers and maintain brand loyalty, which further contributes to its profitability.

Villeroy & Boch Financial Statement Overview

Summary

Villeroy & Boch's financial performance is mixed. While operational efficiency has improved, as seen in EBIT and EBITDA margins, the company faces challenges with declining revenue and cash flow issues. The balance sheet remains stable, but profitability and liquidity need attention.

Income Statement

Villeroy & Boch's income statement shows mixed performance. The TTM (Trailing-Twelve-Months) gross profit margin is healthy at 38.09%, but the net profit margin is low at 1.08%, indicating challenges in converting revenue into profit. Revenue growth has been negative recently, with a significant decline of 89.2% in the latest period, which is concerning. However, EBIT and EBITDA margins have improved over the previous year, suggesting operational efficiency gains.

Balance Sheet

The balance sheet reflects a moderate financial position. The debt-to-equity ratio is 0.71, indicating a balanced approach to leveraging. Return on equity is modest at 4.51%, showing limited profitability from shareholder investments. The equity ratio is stable, suggesting a solid asset base relative to equity. Overall, the company maintains a stable but not overly aggressive financial structure.

Cash Flow

Cash flow analysis reveals some weaknesses. The free cash flow has decreased significantly, with a growth rate of -71.08% in the TTM period. The operating cash flow to net income ratio is low at 0.08, indicating challenges in converting earnings into cash. The negative free cash flow to net income ratio further highlights cash flow issues. These factors suggest potential liquidity concerns.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	1.50B	1.42B	901.90M	994.50M	945.00M	800.90M
Gross Profit	571.20M	534.00M	392.20M	425.50M	418.30M	322.40M
EBITDA	148.20M	119.00M	143.20M	142.30M	136.00M	79.90M
Net Income	16.20M	5.90M	60.70M	71.20M	60.20M	22.60M
Balance Sheet
Total Assets	1.72B	1.75B	1.10B	980.20M	972.40M	914.30M
Cash, Cash Equivalents and Short-Term Investments	67.90M	91.10M	395.50M	262.50M	264.10M	297.80M
Total Debt	242.70M	200.60M	254.90M	127.30M	148.20M	156.50M
Total Liabilities	1.38B	1.38B	708.00M	607.70M	658.80M	662.60M
Stockholders Equity	343.40M	364.50M	384.40M	368.70M	309.90M	246.90M
Cash Flow
Free Cash Flow	-7.20M	100.00K	26.60M	17.40M	48.10M	116.60M
Operating Cash Flow	49.50M	58.40M	67.60M	54.10M	73.80M	136.50M
Investing Cash Flow	-52.50M	-465.80M	5.20M	-19.20M	-75.90M	-17.40M
Financing Cash Flow	-31.10M	117.10M	76.50M	-69.00M	-33.50M	-30.10M

Villeroy & Boch Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 16.85
• 50DMA: Negative
• 100DMA: Negative
• 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:VIB3, the sentiment is Negative. The current price of 16.85 is below the 20-day moving average (MA) of 17.25, below the 50-day MA of 17.53, and above the 200-day MA of 15.97, indicating a neutral trend. The MACD of -0.16 indicates Positive momentum. The RSI at 38.27 is Neutral, neither overbought nor oversold. The STOCH value of 19.05 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for DE:VIB3.

Villeroy & Boch Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	57 Neutral	$3.38B	8.63	-34.32%	2.92%	-25.56%	-353.61%
VIB3	54 Neutral	€448.91M	27.91	4.61%	5.33%	34.92%	-58.07%
0N2Q	―	€299.48M	12.53	9.96%	9.04%	―	―
0F2Z	―	€147.45M	34.29	4.69%	7.28%	―	―
TPG	72 Outperform	€212.34M	4.74	31.97%	―	5.73%	-25.98%
WEW	57 Neutral	€264.72M	56.64	6.37%	―	-0.39%	―
NVM	55 Neutral	€164.81M	6.66	26.85%	8.87%	-11.68%	4.45%