Grupo Catalana Occidente (GCO) AI Stock Analysis

• Market Cap: €5.78B
• Dividend Yield: 4.85%
• Average Volume (3M): 83.52K
• Price to Earnings (P/E): 9.1
• Beta (1Y): 0.44
• Revenue Growth: 5.26%
• EPS Growth: 9.62%
• Country: ES
• Employees: 8,518
• Sector: Financial
• Sector Strength: 73
• Industry: Insurance - Diversified
• EPS (TTM): N/A
• Shares Outstanding: 120,000,000
• 10 Day Avg. Volume: 83,732
• 30 Day Avg. Volume: 83,522
• PEG Ratio: 1.02
• Price to Book (P/B): 1.06
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 8.46
• 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

• Rating: 68 Neutral
• Price Target: ―

Grupo Catalana Occidente's stock exhibits a solid technical outlook with strong upward momentum, supported by an attractive valuation with a low P/E ratio. Financial performance is a mixed bag, with strong balance sheet indicators offset by operational inefficiencies and volatile cash flows, which slightly hinder the overall score.

Grupo Catalana Occidente Business Overview & Revenue Model

Company Description

Grupo Catalana Occidente, S.A., together with its subsidiaries, provides insurance products and services worldwide. The company operates through Traditional Business and Credit Insurance Business segments. The company offers multi-risk products and services related to family home, stores, retail, blocks of flats, offices, and SMEs; life insurance products, such as risk, savings, pension plans, and investment funds, as well as funeral and health insurance; machinery breakdown; electrical equipment; and motor insurance. It also provides other insurance products, such as industrial products, accidents, transport, and third-party and civil liability; and credit and surety insurance, as well as reinsurance. In addition, the company is also involved in the real estate development business; and stock broking business. It markets its products primarily under the Seguros Catalana Occidente, Plus Ultra Seguros, Seguros Bilbao, NorteHispana Seguros, Crédito y Caución, Atradius, and Atradius Re brands. The company was formerly known as Catalana Occidente, Sociedad Anónima de Seguros y Reaseguros and changed its name to Grupo Catalana Occidente, S.A. in 2001. The company was incorporated in 1864 and is headquartered in Madrid, Spain. Grupo Catalana Occidente, S.A. is a subsidiary of INOC, S.A.

How the Company Makes Money

Grupo Catalana Occidente makes money through the premiums collected from its wide array of insurance products, including life, health, automotive, property, and casualty insurance. The company also earns revenue through its reinsurance operations, where it provides risk management services to other insurance companies. Additionally, GCO invests the premiums collected in various financial instruments to generate investment income, which forms a significant part of its earnings. The company's revenue is further supported by strategic acquisitions and partnerships, which help expand its market reach and product offerings. By maintaining a balanced portfolio and prudent underwriting practices, GCO manages to sustain profitability and growth in the competitive insurance industry.

Grupo Catalana Occidente Financial Statement Overview

Summary

Grupo Catalana Occidente shows mixed financial health. The balance sheet is strong with low leverage and a solid equity position. However, the income statement indicates challenges with significant EBIT losses affecting profitability. Cash flow is stable but shows volatility, raising concerns about future financial robustness.

Income Statement

The income statement shows a volatile performance. Despite consistent revenue generation, the company experienced a significant EBIT loss in the latest year, pulling down profitability metrics. Net profit margin improved to 25.6% due to cost control, but the drastic drop in EBIT margin (-97.8%) indicates challenges in operational efficiency and competitiveness in the market.

Balance Sheet

The balance sheet displays a strong equity position with an equity ratio of 29.9% and a manageable debt-to-equity ratio of 0.10, indicating low leverage. The return on equity of 11.1% in the latest year reflects sustainable profitability, although there is room for improvement in asset utilization.

Cash Flow

Cash flow from operations remains positive, contributing to a healthy free cash flow. However, the free cash flow growth is volatile, and the absence of operating cash flow in the latest year raises concerns. The free cash flow to net income ratio suggests that cash generation is aligned with reported earnings.

Breakdown
Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement		Total Revenue
2.49B	4.22B	4.49B	4.14B	3.82B
	Gross Profit
2.49B	4.22B	4.49B	4.14B	3.82B
	EBIT
922.69M	838.40M	1.09B	607.34M	98.61M
	EBITDA
906.94M	0.00	809.00M	0.00	0.00
	Net Income Common Stockholders
636.45M	580.60M	472.98M	427.23M	262.33M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
11.52B	1.37B	5.29B	4.92B	4.75B
	Total Assets
19.25B	17.62B	17.97B	18.27B	17.37B
	Total Debt
554.65M	426.81M	325.27M	327.04M	200.70M
	Net Debt
-872.06M	-946.93M	-1.80B	-1.41B	-1.75B
	Total Liabilities
12.96B	12.00B	13.79B	13.80B	13.43B
	Stockholders Equity
5.75B	5.10B	3.78B	4.08B	3.58B
Cash Flow		Free Cash Flow
522.92M	365.94M	451.41M	469.33M	411.10M
	Operating Cash Flow
0.00	428.09M	486.57M	548.94M	498.13M
	Investing Cash Flow
-659.43M	-882.78M	-12.16M	-139.32M	-237.77M
	Financing Cash Flow
-56.01M	-308.00M	-125.99M	-159.39M	-128.86M

Grupo Catalana Occidente Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 49.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For ES:GCO, the sentiment is Positive. The current price of 49 is below the 20-day moving average (MA) of 49.05, above the 50-day MA of 48.72, and above the 200-day MA of 40.61, indicating a neutral trend. The MACD of 0.22 indicates Positive momentum. The RSI at 61.10 is Neutral, neither overbought nor oversold. The STOCH value of 41.67 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for ES:GCO.

Grupo Catalana Occidente Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
GCO	68 Neutral	€5.78B	9.09	11.73%	4.85%	5.26%	9.62%
Sector *	64 Neutral	$12.77B	9.71	7.85%	78.06%	12.07%	-7.97%
0H00		€14.83B	6.84	15.03%	5.95%	―	―
BNC		£88.43B	7.94	13.26%	2.75%	―	―
BVA		€75.97B	7.00	19.33%	6.51%	―	―
0NQ2		€10.14B	10.46		3.98%	―	―
0NV7		€3.24B	13.12	18.80%	1.25%	―	―

Grupo Catalana Occidente Corporate Events

Inoc, S.A. Advances Acquisition of Grupo Catalana Occidente

Inoc, S.A. has announced that its general shareholders’ meeting approved the terms and conditions of its voluntary public offer to acquire all shares of Grupo Catalana Occidente, S.A. The approval includes the delegation to the board of directors to execute the capital increase and issue new class B shares to meet the offer’s consideration, marking a significant step in the acquisition process.

Grupo Catalana Occidente Reports Strong Q1 2025 Results and Potential Acquisition

Grupo Catalana Occidente reported a consolidated result of 194.6 million euros for the first quarter of 2025, marking a 9.1% increase from the previous year, with a 5% rise in business volume to 1,955.7 million euros. The company demonstrated stable growth across its divisions, with notable performance in the insurance and funeral sectors, and highlighted a balanced and diverse business approach. Additionally, Inoc S.A., the controlling shareholder, has submitted a request for a voluntary public offer to acquire 100% of GCO’s shares, indicating potential strategic shifts.

Inoc, S.A. Announces Voluntary Public Offer for Grupo Catalana Occidente Shares

Inoc, S.A. has announced a voluntary public offer for the acquisition of all shares of Grupo Catalana Occidente, S.A., pending authorization from the National Securities Market Commission. The offer includes a bank guarantee of over 2.2 billion euros to ensure payment obligations, and the terms will be detailed in an upcoming brochure.

Inoc, S.A. Announces Voluntary Public Offer for Grupo Catalana Occidente Shares

Inoc, S.A. has announced a voluntary public offer for the acquisition of all shares of Grupo Catalana Occidente, subject to authorization by the National Securities Market Commission. This move could potentially impact Grupo Catalana Occidente’s market positioning and shareholder dynamics, as the offer involves a capital increase and share consideration modality.

Grupo Catalana Occidente Proposes Continued Director Remuneration Policy

Grupo Catalana Occidente has released its annual report on the remuneration policy for directors, which will be proposed for approval at the upcoming General Shareholders’ Meeting. The policy, continuing from previous years, emphasizes moderation, consistency, sustainability, and transparency, aiming to reward responsibility and professional growth while maintaining competitiveness and compliance.

Grupo Catalana Occidente: A Leader in Insurance and Funeral Services

GCO is recognized as the seventh largest insurance group in Spain as of the end of 2024, showcasing its significant market presence and growth. The company’s extensive operations and leadership in various sectors highlight its robust positioning and potential impact on stakeholders in the insurance and funeral industries.