Gestamp Automocion (GEST) AI Stock Analysis

• Market Cap: €1.90B
• Dividend Yield: 3.46%
• Average Volume (3M): 318.09K
• Price to Earnings (P/E): 12.0
• Beta (1Y): 0.66
• Revenue Growth: -4.69%
• EPS Growth: -8.38%
• Country: ES
• Employees: 40,032
• Sector: Industrials
• Sector Strength: 72
• Industry: Auto - Parts
• EPS (TTM): 0.05
• 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: €3.40
• Price Target Upside: 18.06% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 1
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 60 Neutral
• Price Target: €3.00 ▲(4.17% Upside)

Gestamp Automocion's overall stock score reflects its operational efficiency and reasonable valuation. However, the stock faces significant challenges with declining revenue, high leverage, and bearish technical indicators. The attractive dividend yield is a positive aspect, but the company needs to address its financial risks and improve market sentiment to enhance its stock performance.

Gestamp Automocion Business Overview & Revenue Model

Company Description

Gestamp Automoción, S.A. designs, develops, manufactures, and sells metal automotive components in Europe, North America, South America, and Asia. The company offers Body-in-White products, such as bonnets, roofs, doors, and mudguards, as well as other surface and assembly parts; and structural and crash-related elements that include floors, pillars, rails, and wheel arches. It also provides chassis parts, such as systems; frames and related parts comprising front and rear axles and couplings; control arms; and integrated couplings. In addition, the company offers mechanism parts, including hinges, door checks, electrical systems, and powered systems, as well as driver controls. It provides its products to manufacturers of light vehicles. The company was incorporated in 1997 and is headquartered in Madrid, Spain. Gestamp Automoción, S.A. is a subsidiary of Gestamp 2020, S.L.

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 shows operational efficiency with stable EBIT and EBITDA margins. However, it faces challenges with declining revenue and profitability, and high leverage poses a financial risk. Recent improvements in cash flow generation are positive, but the company needs to address revenue growth and leverage for enhanced financial stability.

Income Statement

Gestamp Automocion's income statement shows moderate performance with a declining revenue trend in the TTM period, indicating potential market challenges. The gross profit margin has decreased from previous years, reflecting cost pressures. Net profit margin remains low, suggesting limited profitability. However, the company maintains stable EBIT and EBITDA margins, indicating operational efficiency.

Balance Sheet

The balance sheet reveals a high debt-to-equity ratio, indicating significant leverage, which could pose financial risk. Return on equity has decreased, reflecting reduced profitability for shareholders. The equity ratio is stable, suggesting a balanced asset structure, but the high debt level remains a concern.

Cash Flow

Cash flow analysis shows strong free cash flow growth in the TTM period, indicating improved cash generation capabilities. The operating cash flow to net income ratio is stable, suggesting efficient cash management. However, the free cash flow to net income ratio indicates room for improvement in converting profits into cash.

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	1.32B	1.20B	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: Negative
• Last Price: 2.88
• 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:GEST, the sentiment is Negative. The current price of 2.88 is below the 20-day moving average (MA) of 3.21, below the 50-day MA of 3.27, and below the 200-day MA of 2.99, indicating a bearish trend. The MACD of -0.10 indicates Positive momentum. The RSI at 27.22 is Positive, neither overbought nor oversold. The STOCH value of 6.83 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for ES:GEST.

Gestamp Automocion Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
CIE	75 Outperform	€3.47B	10.58	23.31%	3.15%	-2.79%	0.61%
PSG	69 Neutral	€1.41B	12.96	14.39%	4.67%	10.40%	62.70%
TUB	65 Neutral	€393.52M	12.89	11.13%	5.90%	-10.37%	38.82%
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%
GEST	60 Neutral	€1.90B	11.97	7.70%	3.46%	-4.69%	-8.38%
TLGO	48 Neutral	€319.21M	-1.77	-92.71%	―	-16.41%	-952.46%