Neinor Homes (HOME) AI Stock Analysis

• Market Cap: €1.92B
• Dividend Yield: 16.56%
• Average Volume (3M): 143.31K
• Price to Earnings (P/E): 25.6
• Beta (1Y): 0.26
• Revenue Growth: -19.93%
• EPS Growth: -42.19%
• Country: ES
• Employees: 356
• Sector: Consumer Cyclical
• Sector Strength: 84
• Industry: Residential Construction
• EPS (TTM): 0.13
• Shares Outstanding: 98,862,690
• 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: €19.00
• Price Target Upside: -0.31% Downside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 1
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 62 Neutral
• Price Target: €20.50 ▲(7.56% Upside)

The overall stock score is primarily driven by the company's financial stability and attractive dividend yield. While technical indicators suggest a lack of strong momentum, the stock's valuation remains appealing due to its high dividend yield. The absence of earnings call and corporate events data limits further insights.

Positive Factors

Low Leverage / Strong Balance Sheet

A debt-to-equity of 0.23 and a near-50% equity ratio give Neinor durable financial flexibility. Conservative leverage reduces refinancing risk across cycles, supports project funding and dividend capacity, and strengthens resilience to downturns in Spanish housing demand.

Healthy Profit Margins

Sustained gross (~31.5%) and net (~12.7%) margins indicate persistent pricing power and operational cost control. Such margin resilience cushions revenue volatility, preserves cash generation for reinvestment or payouts, and supports long-term profitability in developments.

Improving Free Cash Flow

Stronger operating cash conversion and higher free cash flow enhance internal funding for land acquisition, construction and dividends. Durable cash generation lowers reliance on external financing, enabling steadier project execution and capital allocation over the medium term.

Negative Factors

Declining Revenue

A near-20% revenue decline signals weakening sales momentum and lower project delivery or demand. If sustained, reduced scale pressures fixed-cost absorption, limits reinvestment capacity, and could erode competitive positioning in key Spanish metropolitan markets over several quarters.

Earnings Power Weakening

A >40% EPS contraction points to material pressures on profitability or one-off impacts. Persistent EPS declines reduce retained earnings for growth, constrain dividend sustainability and undermine long-term investor confidence, complicating capital raising for new developments.

Negative Investing Cash Flow

Continued negative investing cash flow suggests heavy capital deployment into projects or land without immediate offsetting inflows. Over time this can strain liquidity if operating cash generation weakens, forcing external funding or slower project cadence, limiting strategic expansion.

Neinor Homes Business Overview & Revenue Model

Company Description

Neinor Homes, S.A., together with its subsidiaries, develops, promotes, rental, and manages real estate properties in Spain. The company operates through Legacy, Development, Assets Management-Servicing, and Rental segments. Its land portfolio consists of 160 lots with a total of 9.700 buildable units in Madrid, Catalonia, the Basque Country, Valencia, and Andalusia. Neinor Homes, S.A. was founded in 1988 and is headquartered in Bilbao, Spain.

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 demonstrates financial stability with strong profit margins and efficient cash generation. However, declining revenues and equity present challenges in growth and value retention. The company's low leverage is a positive aspect, providing 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: Positive
• Last Price: 19.06
• 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:HOME, the sentiment is Positive. The current price of 19.06 is above the 20-day moving average (MA) of 18.69, above the 50-day MA of 18.06, and above the 200-day MA of 16.58, indicating a bullish trend. The MACD of 0.37 indicates Negative momentum. The RSI at 59.74 is Neutral, neither overbought nor oversold. The STOCH value of 70.35 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for ES:HOME.

Neinor Homes Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
COL	74 Outperform	€3.26B	6.71	8.84%	5.64%	-16.98%	―
AEDAS	72 Outperform	€985.82M	7.12	16.56%	16.98%	-1.95%	11.63%
MRL	65 Neutral	€7.11B	10.88	8.09%	3.08%	7.09%	369.07%
RLIA	65 Neutral	€1.57B	13.73	3.83%	4.05%	30.74%	67.62%
HOME	62 Neutral	€1.92B	25.62	5.74%	16.56%	-19.93%	-42.19%
Sector *	61 Neutral	$18.38B	12.79	-2.54%	3.03%	1.52%	-15.83%
MVC	56 Neutral	€1.48B	94.47	―	17.21%	―	―