Neinor Homes (HOME) AI Stock Analysis

• Market Cap: €1.54B
• Dividend Yield: 18.27%
• Average Volume (3M): 143.31K
• Price to Earnings (P/E): 22.7
• Beta (1Y): 0.31
• Revenue Growth: -19.93%
• EPS Growth: -42.19%
• Country: ES
• Employees: 356
• Sector: Real Estate
• Sector Strength: 53
• Industry: Residential Construction
• EPS (TTM): 0.13
• Shares Outstanding: 89,962,500
• 10 Day Avg. Volume: 121,684
• 30 Day Avg. Volume: 143,311
• PEG Ratio: -0.64
• Price to Book (P/B): 1.47
• Price to Sales (P/S): 2.59
• P/FCF Ratio: 12.47
• 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: €19.20
• Price Target Upside: 14.29% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 1

• Rating: 58 Neutral
• Price Target: €17.50 ▲(4.17% Upside)

Neinor Homes' overall stock score is primarily influenced by its financial stability and attractive dividend yield. However, declining revenues and weak technical indicators present challenges. The stock's valuation is moderate, but the high dividend yield offers a buffer against market volatility.

Neinor Homes Business Overview & Revenue Model

Company Description

Neinor Homes (HOME) is a prominent Spanish real estate development company specializing in the construction and sale of residential properties. The company primarily focuses on the development of new homes, catering to various segments of the market, including single-family homes, apartments, and urban developments. Neinor Homes operates in key metropolitan areas across Spain, leveraging its expertise in property development to meet the growing demand for quality housing.

How the Company Makes Money

Neinor Homes generates revenue primarily through the sale of residential properties. The company develops and builds homes, which are then marketed and sold to individual buyers and investors. In addition to direct home sales, Neinor Homes may also engage in partnerships with other real estate entities and financial institutions to fund its projects, enabling them to expand their development capabilities. Furthermore, the company may benefit from revenue streams associated with property management and consulting services, as well as potential land acquisitions and sales. The overall demand for housing in urban areas and the company's strategic position within the Spanish real estate market are significant factors contributing to its earnings.

Neinor Homes Financial Statement Overview

Summary

Neinor Homes shows financial stability with strong profit margins and efficient cash generation. However, declining revenues and equity signal potential challenges in growth and value retention. The company's low leverage is a positive aspect, providing it with a solid foundation to address market fluctuations.

Income Statement

The income statement shows declining revenue over recent years, with a revenue decrease from 2023 to 2024. However, the company maintains a stable gross profit margin of approximately 31.5% in 2024. The net profit margin slightly improved to 12.7% in 2024, reflecting efficient cost management. However, the negative revenue growth and reduced EBIT margin indicate challenges in growing sales and maintaining operational efficiency.

Balance Sheet

The balance sheet is relatively strong with a low debt-to-equity ratio of 0.23 in 2024, reflecting conservative leverage. The equity ratio is also healthy at 49.8%, indicating a strong equity base compared to total assets. However, declining stockholders' equity from 2023 to 2024 suggests potential concerns in value retention.

Cash Flow

The cash flow statement indicates a significant improvement in free cash flow from 2023 to 2024, driven by strong operating cash flow. The operating cash flow to net income ratio is favorable, suggesting efficient cash generation from operations. However, the free cash flow growth rate is moderate, and the investing cash flow remains negative, which could impact future growth investments.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	462.55M	486.69M	590.63M	765.29M	914.30M	572.80M
Gross Profit	150.60M	153.23M	185.96M	208.99M	242.99M	155.91M
EBITDA	65.05M	104.12M	132.72M	120.68M	148.78M	101.92M
Net Income	55.49M	62.01M	90.63M	96.27M	103.03M	70.12M
Balance Sheet
Total Assets	1.82B	1.73B	1.65B	1.78B	1.97B	1.56B
Cash, Cash Equivalents and Short-Term Investments	469.65M	375.17M	188.70M	227.82M	283.33M	270.21M
Total Debt	174.02M	194.29M	387.89M	470.37M	557.07M	336.75M
Total Liabilities	824.37M	863.59M	667.61M	850.97M	1.02B	698.06M
Stockholders Equity	989.78M	858.74M	975.37M	927.17M	943.38M	860.61M
Cash Flow
Free Cash Flow	63.39M	101.10M	9.88M	148.30M	224.46M	133.86M
Operating Cash Flow	65.59M	102.58M	10.51M	151.56M	225.20M	134.67M
Investing Cash Flow	-28.46M	-24.00M	81.00M	-21.82M	-43.78M	-22.69M
Financing Cash Flow	190.63M	92.31M	-130.69M	-211.85M	-141.99M	-15.18M

Neinor Homes Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 16.80
• 50DMA: Negative
• 100DMA: Negative
• 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:HOME, the sentiment is Negative. The current price of 16.8 is below the 20-day moving average (MA) of 17.16, below the 50-day MA of 17.27, and above the 200-day MA of 15.55, indicating a neutral trend. The MACD of -0.09 indicates Positive momentum. The RSI at 43.34 is Neutral, neither overbought nor oversold. The STOCH value of 23.72 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for ES:HOME.

Neinor Homes Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
AEDAS	80 Outperform	€874.68M	6.13	15.63%	19.01%	1.01%	37.24%
COL	75 Outperform	€3.45B	7.18	8.84%	5.34%	-16.98%	―
MRL	75 Outperform	€7.64B	11.52	9.06%	2.71%	7.19%	470.92%
RLIA	70 Outperform	€1.43B	12.51	3.83%	4.22%	30.74%	67.62%
MVC	66 Neutral	€1.57B	98.76	―	7.31%	―	―
Sector *	65 Neutral	$2.17B	12.19	3.79%	4.94%	3.15%	1.96%
HOME	58 Neutral	€1.54B	22.74	5.74%	18.27%	-19.93%	-42.19%