GRUPO EZENTIS S.A (EZE) AI Stock Analysis

• Market Cap: €47.66M
• Dividend Yield: N/A
• Average Volume (3M): 1.10M
• Price to Earnings (P/E): ―
• Beta (1Y): 0.94
• Revenue Growth: 85.86%
• EPS Growth: -103.22%
• Country: ES
• Employees: 166
• Sector: Services
• Sector Strength: N/A
• Industry: Engineering & Construction
• EPS (TTM): >-0.01
• Shares Outstanding: 546,364,400
• 10 Day Avg. Volume: 1,358,654
• 30 Day Avg. Volume: 1,103,329
• PEG Ratio: 0.24
• Price to Book (P/B): -11.02
• Price to Sales (P/S): 2.90
• P/FCF Ratio: -33.42
• 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): N/A
• Revenue Forecast (FY): N/A

• Rating: 39 Underperform
• Price Target: €0.00 ▼(-100.00% Downside)

The overall stock score of 39 reflects significant financial challenges faced by GRUPO EZENTIS S.A, including deteriorating revenues, persistent losses, and high leverage. Technical analysis indicates bearish trends with weak momentum, while valuation metrics highlight ongoing losses and lack of profitability. The absence of earnings call data and corporate events further underscores the company's precarious position.

Positive Factors

Diverse Revenue Streams

The company's diverse revenue streams from engineering and infrastructure services in energy and telecommunications sectors provide a stable foundation for long-term growth and resilience against sector-specific downturns.

Strategic Partnerships

Long-term contracts and project opportunities from strategic partnerships enhance revenue stability and offer potential for sustainable growth through increased market penetration and collaborative innovation.

Market Presence

A strong market presence across multiple sectors allows the company to leverage its brand and expertise, enhancing competitive positioning and facilitating access to new business opportunities.

Negative Factors

High Leverage

High leverage and negative equity indicate financial instability, limiting the company's ability to invest in growth opportunities and increasing vulnerability to economic downturns.

Negative Cash Flows

Persistent negative cash flows suggest liquidity challenges, hindering the company's ability to fund operations and strategic initiatives without external financing, which could further increase debt.

Declining Revenues

Declining revenues and negative margins reflect a struggling business environment, challenging the company's ability to maintain profitability and necessitating strategic restructuring to reverse the trend.

GRUPO EZENTIS S.A Business Overview & Revenue Model

Company Description

Grupo Ezentis, S.A. operates telecommunications and energy infrastructures primarily in Latin America, Spain, and rest of The European Union. The company offers operation and maintenance services for fixed and mobile telecommunications infrastructure networks, such as evaluation, design and engineering for networks of optical fibre, multi-pair, and structured cabling; civil engineering work for pipes and fiber-optic cameras and multi-pair cables; remodeling and recovery services for customer premise equipment; maintains, installs, and constructs mobile radio base stations for mobile networks; manages multi-service networks; and develops OSS for telecoms operators. It also provides various energy services, such as installation and maintenance of transport and distribution lines, substations, and transformation centers; smart grids; high-voltage lines; civil and electromechanical works; construction and maintenance of public lighting networks; and water and waste supply and treatment systems. In addition, the company offers network engineering and implementation, network security and management, consultancy/PMO, and geographical information systems localization, as well as systems design, architecture, and development services; and alarm systems, access and presence control systems, security installations maintenance, protection against theft, closed circuit TV, fire detection systems, security audit, and customized security solutions. It serves telecommunications, electricity, water, gas, oil, and mining sectors. Grupo Ezentis, S.A. was incorporated in 1959 and is headquartered in Seville, Spain.

How the Company Makes Money

GRUPO EZENTIS S.A generates revenue through multiple streams, primarily by providing engineering and infrastructure services to clients in the energy and telecommunications sectors. Key revenue streams include contracts for the construction and maintenance of telecommunications networks, which involve both public and private sector projects. Additionally, the company earns income from the installation of electrical infrastructure and related services. Strategic partnerships with major telecommunications operators and utility companies further bolster its revenue, as these collaborations often lead to long-term contracts and project opportunities. The company's ability to adapt to market demands and invest in technological advancements also plays a significant role in its financial performance.

GRUPO EZENTIS S.A Financial Statement Overview

Summary

GRUPO EZENTIS S.A displays a concerning financial trajectory with deteriorating revenues, persistent losses, high leverage, and negative cash flows. The company faces significant financial challenges, including poor profitability, strained liquidity, and potential solvency risks. The overall financial health is fragile, requiring strategic restructuring to stabilize and enhance financial performance.

Income Statement

The income statement reveals a significant decline in revenue over the years, with a steep drop from 2019 to 2024. Gross profit has turned negative in recent years, and the company has consistently reported operating and net losses, indicating poor profitability and efficiency. Revenue growth has been negative, and margins are unfavorable, signaling a struggling business environment.

Balance Sheet

The balance sheet shows negative stockholders' equity, a high debt load, and poor equity ratios, reflecting potential solvency issues. The debt-to-equity ratio is non-calculable due to negative equity, indicating financial instability. The company is highly leveraged and lacks sufficient assets to cover liabilities, posing significant financial risks.

Cash Flow

Cash flow analysis reveals negative operating and free cash flows, indicating cash usage rather than generation. The company struggles to generate cash from its operations, and free cash flow has declined sharply. Cash flow ratios highlight a disconnect between earnings and cash flows, suggesting liquidity challenges.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	14.13M	13.88M	17.28M	21.59M	216.29M	367.20M
Gross Profit	2.43M	10.17M	14.04M	-4.89M	110.52M	250.91M
EBITDA	604.00K	-2.24M	88.18M	-24.77M	-41.37M	-11.41M
Net Income	-1.29M	-1.67M	194.14M	-60.47M	-144.15M	-43.08M
Balance Sheet
Total Assets	37.41M	6.33M	12.13M	75.72M	197.01M	326.59M
Cash, Cash Equivalents and Short-Term Investments	4.43M	1.22M	2.01M	5.40M	10.09M	16.75M
Total Debt	11.22M	1.04M	2.82M	152.38M	175.43M	191.64M
Total Liabilities	33.90M	9.97M	17.25M	281.78M	360.30M	377.74M
Stockholders Equity	1.25M	-3.65M	-5.13M	-206.06M	-163.29M	-51.15M
Cash Flow
Free Cash Flow	-7.32M	-1.20M	-21.85M	7.81M	-11.50M	-19.38M
Operating Cash Flow	-7.26M	-1.15M	-21.83M	10.67M	-2.75M	-12.59M
Investing Cash Flow	1.10M	59.00K	-15.00K	-2.86M	-7.13M	-5.69M
Financing Cash Flow	9.37M	295.00K	18.00M	-7.81M	-2.54M	7.86M

GRUPO EZENTIS S.A Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 0.10
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Positive
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For ES:EZE, the sentiment is Negative. The current price of 0.1 is above the 20-day moving average (MA) of 0.09, above the 50-day MA of 0.10, and below the 200-day MA of 0.11, indicating a bearish trend. The MACD of >-0.01 indicates Positive momentum. The RSI at 25.60 is Positive, neither overbought nor oversold. The STOCH value of 16.03 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for ES:EZE.

GRUPO EZENTIS S.A Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
TUB	65 Neutral	€393.52M	12.89	11.13%	5.89%	-10.37%	38.82%
ENO	62 Neutral	€2.44B	―	-6.79%	27.64%	11.61%	-212.68%
TRE	58 Neutral	€2.33B	21.96	24.64%	―	41.87%	55.79%
Sector *	55 Neutral	$13.29B	17.42	10.03%	0.93%	7.13%	-12.93%
OHLA	43 Neutral	€610.08M	-8.60	-6.41%	―	1.39%	72.34%
EZE	39 Underperform	€47.66M	―	―	―	85.86%	-103.22%
MDF	39 Underperform	€53.79M	-0.55	―	―	-17.32%	-24.27%