Grupo Empresarial San Jose, S.A. (GSJ) AI Stock Analysis

• Market Cap: €512.41M
• Dividend Yield: 1.89%
• Average Volume (3M): 60.76K
• Price to Earnings (P/E): 13.9
• Beta (1Y): 0.58
• Revenue Growth: 3.23%
• EPS Growth: 12.32%
• Country: ES
• Employees: 3,856
• Sector: Industrials
• Sector Strength: 72
• Industry: Engineering & Construction
• EPS (TTM): 0.16
• Shares Outstanding: 65,026,085
• 10 Day Avg. Volume: 115,408
• 30 Day Avg. Volume: 60,758
• PEG Ratio: 0.16
• Price to Book (P/B): 1.54
• Price to Sales (P/S): 0.22
• P/FCF Ratio: 2.89
• 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: 76 Outperform
• Price Target: €8.50 ▲(8.28% Upside)

Grupo Empresarial San Jose, S.A. demonstrates strong financial performance with robust revenue and profit growth, supported by a healthy balance sheet. Technical indicators show positive momentum, although the stock is approaching overbought levels. Valuation metrics suggest the stock is fairly valued, with a reasonable P/E ratio and a modest dividend yield. The absence of earnings call data and corporate events does not impact the overall score.

Positive Factors

Strong Financial Health

A strong balance sheet with low leverage risk indicates financial stability, allowing the company to invest in growth opportunities and weather economic downturns.

Revenue Growth

Consistent revenue growth highlights the company's ability to expand its market presence and effectively manage its diverse portfolio, supporting long-term business sustainability.

Cash Flow Generation

Robust cash flow generation ensures financial flexibility, enabling the company to fund operations, repay debt, and invest in future projects without relying heavily on external financing.

Negative Factors

EBIT and EBITDA Margins Pressure

Pressure on operating margins could impact profitability if not addressed, potentially affecting the company's ability to reinvest in growth and maintain competitive positioning.

EPS Decline

A decline in EPS growth suggests challenges in maintaining profitability, which could affect investor confidence and limit the company's ability to attract capital for expansion.

Operating Efficiency Concerns

While cost management is effective, pressure on operating efficiency could hinder long-term profitability, necessitating strategic adjustments to improve margins.

Grupo Empresarial San Jose, S.A. Business Overview & Revenue Model

Company Description

Grupo Empresarial San José, S.A. engages in construction business in Spain and internationally. It constructs hospitals, buildings and facilities, energy power plants, and infrastructure projects, as well as conserves parks and gardens; and undertakes civil, and engineering and industrial construction works. The company also researches and develops energy efficiency and renewable energy projects; and provides consultancy and project management services for the architecture, civil engineering/infrastructure, real estate management, technology, and sustainable development projects. In addition, it engages in agriculture and cattle businesses; and distributes sport and fashion clothes under the Arena, Teva, Hoka, Diadora, Hunter, Fred Perry clothing, and Dr. Martens brands. The company was formerly known as Udra S.A. and changed its name to Grupo Empresarial San José, S.A. in June 2008. Grupo Empresarial San José, S.A. was founded in 1962 and is headquartered in Madrid, Spain.

How the Company Makes Money

GSJ generates revenue through multiple streams, including contract work in construction and infrastructure development for government and private sector clients. The company typically earns money by securing contracts for large-scale projects, which may include road construction, building facilities, and urban development initiatives. Additionally, GSJ may engage in real estate development, generating profits through the sale or lease of residential and commercial properties. Strategic partnerships with governmental bodies and other corporations enhance its project pipeline, while a focus on sustainability may open up opportunities for specialized funding or incentives. Overall, the combination of diverse project engagements and strategic collaborations contributes significantly to GSJ's earnings.

Grupo Empresarial San Jose, S.A. Financial Statement Overview

Summary

Grupo Empresarial San Jose, S.A. exhibits strong financial health across all verticals. Revenue and profit growth are encouraging, with effective management of costs and cash flows. The balance sheet reflects low financial risk with a strong equity foundation. Continued focus on operational efficiency could further enhance profitability.

Income Statement

The income statement shows strong revenue growth, with a significant increase from the previous year. Gross profit and net profit margins are reasonable, reflecting effective cost management. However, EBIT and EBITDA margins indicate some pressure on operating efficiency in recent years.

Balance Sheet

The balance sheet is healthy, with a robust equity ratio and low debt-to-equity ratio, indicating financial stability and low leverage risk. Return on Equity (ROE) has shown improvement, reflecting enhanced profitability for shareholders.

Cash Flow

The company demonstrates strong cash flow generation, with consistent free cash flow growth. The operating cash flow to net income ratio is solid, indicating efficient conversion of net income into cash. The free cash flow to net income ratio also underscores financial flexibility.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	1.56B	1.56B	1.34B	1.09B	927.69M	961.98M
Gross Profit	361.42M	393.55M	355.44M	319.21M	269.81M	292.17M
EBITDA	90.01M	69.12M	51.32M	43.59M	41.71M	57.37M
Net Income	26.58M	33.02M	19.94M	16.61M	12.10M	22.75M
Balance Sheet
Total Assets	1.33B	1.30B	1.14B	978.66M	933.07M	988.50M
Cash, Cash Equivalents and Short-Term Investments	522.90M	490.70M	411.68M	328.47M	313.92M	306.83M
Total Debt	12.44M	19.22M	17.93M	13.60M	114.23M	166.61M
Total Liabilities	1.08B	1.05B	919.56M	772.11M	750.93M	818.99M
Stockholders Equity	214.34M	218.22M	181.38M	174.44M	151.66M	143.33M
Cash Flow
Free Cash Flow	0.00	116.46M	97.87M	25.23M	24.41M	71.67M
Operating Cash Flow	0.00	122.41M	103.38M	31.61M	30.88M	74.48M
Investing Cash Flow	0.00	-30.42M	22.41M	-12.09M	38.41M	24.22M
Financing Cash Flow	0.00	-15.52M	-18.18M	-10.98M	-58.40M	-32.84M

Grupo Empresarial San Jose, S.A. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 7.85
• 50DMA: Positive
• 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:GSJ, the sentiment is Positive. The current price of 7.85 is above the 20-day moving average (MA) of 7.70, above the 50-day MA of 7.48, and above the 200-day MA of 6.67, indicating a bullish trend. The MACD of 0.11 indicates Negative momentum. The RSI at 59.78 is Neutral, neither overbought nor oversold. The STOCH value of 76.26 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for ES:GSJ.

Grupo Empresarial San Jose, S.A. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
FER	78 Outperform	€41.70B	12.47	69.30%	1.42%	5.75%	346.20%
GSJ	76 Outperform	€512.41M	13.92	17.08%	1.89%	3.23%	12.32%
FCC	70 Outperform	€5.20B	21.96	5.28%	4.49%	5.00%	-64.19%
SCYR	65 Neutral	€3.08B	30.50	10.80%	5.28%	2.03%	-32.59%
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%
TRE	58 Neutral	€2.40B	18.30	24.64%	―	41.87%	55.79%
OHLA	48 Neutral	€516.81M	-13.70	-6.41%	―	1.39%	72.34%