Gestamp Automocion (GEST) AI Stock Analysis

• Market Cap: €1.85B
• Dividend Yield: 3.05%
• Average Volume (3M): 318.09K
• Price to Earnings (P/E): 11.8
• Beta (1Y): 0.67
• Revenue Growth: -3.58%
• EPS Growth: -29.51%
• Country: ES
• Employees: 40,032
• Sector: Industrials
• Sector Strength: 72
• Industry: Auto - Parts
• EPS (TTM): 0.08
• Shares Outstanding: 575,514,340
• 10 Day Avg. Volume: 366,310
• 30 Day Avg. Volume: 318,093
• PEG Ratio: -0.23
• Price to Book (P/B): 0.62
• Price to Sales (P/S): 0.12
• P/FCF Ratio: 12.19
• 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: €2.80
• Price Target Upside: -14.11% Downside
• Rating Consensus: Moderate Sell
• Number of Analyst Covering: 2

• Rating: 63 Neutral
• Price Target: €3.50 ▲(7.36% Upside)

Gestamp Automocion's overall stock score reflects a balance of moderate financial performance and reasonable valuation. The company's operational efficiency is offset by challenges in revenue growth and high leverage. Technical indicators suggest a bearish trend, but the valuation remains attractive with a decent dividend yield.

Gestamp Automocion Business Overview & Revenue Model

Company Description

Gestamp Automocion (GEST) is a global leader in the design, development, and manufacturing of automotive components and systems. Specializing in metal forming, Gestamp operates primarily in the automotive sector, providing innovative solutions for vehicle manufacturers. The company's core products include body-in-white components, chassis, and other critical structural elements that enhance vehicle safety and performance. With a commitment to sustainability and technological advancement, Gestamp serves a diverse range of customers, including major automotive brands worldwide.

How the Company Makes Money

Gestamp generates revenue primarily through the sale of its automotive components and systems to car manufacturers. The company's revenue model is based on long-term contracts and partnerships with major automotive OEMs (Original Equipment Manufacturers), enabling stable cash flows. Key revenue streams include the manufacturing and supply of metal components, assembly services, and engineering solutions tailored to client specifications. Additionally, Gestamp invests in research and development to innovate new products and improve existing ones, which helps maintain competitive pricing and enhance profitability. Strategic partnerships with automotive leaders and a focus on emerging markets further contribute to the company's earnings.

Gestamp Automocion Financial Statement Overview

Summary

Gestamp Automocion exhibits strong revenue growth and improving profitability metrics, indicating a positive trajectory in the post-pandemic environment. While leverage remains high, operational efficiencies and strong cash generation capabilities support financial stability. Continued focus on debt management and free cash flow improvement is crucial.

Income Statement

Gestamp Automocion has shown a strong recovery in its revenue with a growth rate of 13.3% from 2020 to 2021 and 24.5% from 2021 to 2022, although it slightly declined by 2.2% in 2023. The gross profit margin remains healthy around 37-38% over the years. However, the net profit margin has seen fluctuations, with a notable recovery from a negative margin in 2020 to positive values in subsequent years. The EBIT and EBITDA margins indicate consistent operational efficiency improvements.

Balance Sheet

The company's debt-to-equity ratio is relatively high, indicating significant leverage. However, the return on equity (ROE) has improved significantly post-2020, showcasing better profitability on shareholder's equity. The equity ratio has been stable, reflecting a balanced approach to financing through equity and liabilities.

Cash Flow

Gestamp Automocion's cash flow statement shows a decline in free cash flow growth in recent years, suggesting challenges in maintaining surplus cash after capital expenditures. However, the operating cash flow to net income ratio is favorable, indicating strong cash generation relative to net income. The free cash flow to net income ratio has fluctuated, pointing to variability in cash retention after expenses.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	11.71B	12.00B	12.27B	10.73B	8.09B	7.46B
Gross Profit	3.96B	4.60B	4.50B	3.95B	3.36B	3.00B
EBITDA	1.25B	1.30B	1.34B	1.22B	1.01B	613.26M
Net Income	157.16M	188.49M	280.67M	259.97M	215.46M	-143.86M
Balance Sheet
Total Assets	10.44B	10.49B	9.93B	10.04B	8.64B	9.36B
Cash, Cash Equivalents and Short-Term Investments	1.33B	1.38B	1.32B	1.72B	1.49B	2.31B
Total Debt	3.48B	3.48B	3.38B	3.94B	3.81B	4.82B
Total Liabilities	7.57B	7.48B	7.07B	7.28B	6.42B	7.40B
Stockholders Equity	2.13B	2.28B	2.20B	2.13B	1.75B	1.51B
Cash Flow
Free Cash Flow	270.34M	116.04M	211.30M	261.70M	213.95M	322.75M
Operating Cash Flow	1.22B	1.07B	1.16B	1.04B	827.39M	880.40M
Investing Cash Flow	-838.80M	-1.02B	-924.19M	-806.61M	-631.72M	-479.42M
Financing Cash Flow	-133.47M	-70.82M	-726.93M	-39.16M	-1.07B	1.29B

Gestamp Automocion Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 3.26
• 50DMA: Negative
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For ES:GEST, the sentiment is Positive. The current price of 3.26 is above the 20-day moving average (MA) of 3.24, below the 50-day MA of 3.35, and above the 200-day MA of 2.94, indicating a neutral trend. The MACD of -0.03 indicates Negative momentum. The RSI at 49.95 is Neutral, neither overbought nor oversold. The STOCH value of 74.93 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for ES:GEST.

Gestamp Automocion Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
CIE	78 Outperform	€3.32B	10.12	23.31%	3.20%	-2.79%	0.61%
PSG	69 Neutral	€1.57B	14.80	14.39%	4.20%	12.67%	81.37%
TUB	65 Neutral	€411.62M	13.49	11.13%	6.02%	-10.37%	38.82%
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%
GEST	63 Neutral	€1.85B	11.75	7.13%	3.05%	-3.58%	-29.51%
TLGO	43 Neutral	€311.42M	20.37	-92.71%	―	-16.41%	-952.46%