Linea Directa Aseguradora SA (LDA) AI Stock Analysis

• Market Cap: €1.43B
• Dividend Yield: 4.74%
• Average Volume (3M): 261.20K
• Price to Earnings (P/E): 16.6
• Beta (1Y): 0.48
• Revenue Growth: 5.26%
• EPS Growth: 128.61%
• Country: ES
• Employees: 2,430
• Sector: Financial
• Sector Strength: 70
• Industry: Insurance - Property & Casualty
• EPS (TTM): N/A
• Shares Outstanding: 1,088,416,900
• 10 Day Avg. Volume: 233,348
• 30 Day Avg. Volume: 261,203
• PEG Ratio: -0.01
• Price to Book (P/B): 3.23
• Price to Sales (P/S): 1.16
• P/FCF Ratio: 19.35
• 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: Moderate Buy
• Number of Analyst Covering: 0

• Rating: 68 Neutral
• Price Target: €1.50 ▲(30.43% Upside)

Linea Directa Aseguradora SA's overall stock score is driven by its strong financial performance, particularly its robust balance sheet and revenue growth. However, technical indicators suggest bearish momentum, and while the valuation is reasonable, it is not significantly undervalued. The absence of earnings call data and corporate events limits additional insights.

Linea Directa Aseguradora SA Business Overview & Revenue Model

Company Description

Línea Directa Aseguradora, S.A., Compañía de Seguros y Reaseguros engages in insurance and reinsurance business in Spain and Portugal. It offers motor, home, health, and other insurance products, as well as other non-life insurance products under the Línea Directa, Penelope Seguros, Aprecio, and Vivaz Seguros brands. The company also provides vehicle inspection and repair, and roadside assistance, as well as sundry services related to motorcycles; insurance brokerage services; and claims management, claims-related repair work, and other specialized household services. It distributes its products through telephone and internet sales channels. The company was formerly known as Bankinter Aseguradora Directa, S.A. Compañía de Seguros y Reaseguros and changed its name to Línea Directa Aseguradora, S.A., Compañía de Seguros y Reaseguros in January 1995. Línea Directa Aseguradora, S.A., Compañía de Seguros y Reaseguros was incorporated in 1994 and is based in Tres Cantos, Spain.

How the Company Makes Money

Linea Directa Aseguradora SA generates revenue primarily through the sale of insurance premiums across its various product lines. The company collects premiums from policyholders, which are then pooled to cover claims, administrative costs, and to generate profit. A significant portion of revenue comes from its auto insurance segment, which is bolstered by a direct sales model that reduces overhead costs compared to traditional agents. Additionally, the company invests a portion of its premium income into financial markets, earning investment income that contributes to overall profitability. Partnerships with automotive companies and financial institutions also enhance its customer reach and provide cross-selling opportunities, further solidifying its revenue streams.

Linea Directa Aseguradora SA Financial Statement Overview

Summary

Linea Directa Aseguradora SA shows strong revenue growth and improving profitability. The balance sheet is robust with zero debt, but cash flow volatility needs attention.

Income Statement

Linea Directa Aseguradora SA demonstrates strong revenue growth with a notable turnaround in net income from negative to positive in 2024. The company maintains a stable gross profit margin, but the absence of EBIT and EBITDA values in some years indicates potential volatility in operational efficiency.

Balance Sheet

The company exhibits a strong balance sheet characterized by zero debt in 2024 and a consistent increase in stockholders' equity. The debt-to-equity ratio is favorable, indicating prudent financial management. However, a decrease in total assets over the years suggests a need for strategic asset growth.

Cash Flow

Free cash flow has shown positive growth, indicating improved liquidity and operational cash generation. However, fluctuations in operating cash flow and the absence of operating cash flow in 2024 could be a concern for stability in cash generation.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	1.07B	998.20M	1.01B	945.31M	927.72M	913.22M
Gross Profit	780.97M	998.20M	967.12M	945.31M	927.72M	919.55M
EBITDA	107.16M	83.31M	-6.55M	92.42M	155.19M	185.91M
Net Income	82.57M	64.22M	-4.39M	63.13M	110.14M	134.85M
Balance Sheet
Total Assets	1.31B	1.24B	1.13B	1.20B	1.37B	1.44B
Cash, Cash Equivalents and Short-Term Investments	0.00	999.95M	919.09M	795.84M	980.77M	1.08B
Total Debt	3.28M	2.83M	2.82M	3.77M	4.53M	2.77M
Total Liabilities	931.40M	877.82M	812.29M	904.91M	990.20M	969.17M
Stockholders Equity	377.89M	358.32M	313.04M	300.33M	378.27M	467.36M
Cash Flow
Free Cash Flow	149.02M	59.75M	40.80M	64.07M	107.97M	107.77M
Operating Cash Flow	155.39M	82.40M	62.49M	70.88M	117.64M	129.91M
Investing Cash Flow	-99.86M	-77.62M	-69.33M	52.85M	66.05M	-54.62M
Financing Cash Flow	-44.59M	-30.13M	-3.29M	-191.63M	-201.28M	-33.87M

Linea Directa Aseguradora SA Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 1.15
• 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:LDA, the sentiment is Negative. The current price of 1.15 is below the 20-day moving average (MA) of 1.26, below the 50-day MA of 1.29, and below the 200-day MA of 1.26, indicating a bearish trend. The MACD of -0.02 indicates Positive momentum. The RSI at 27.86 is Positive, neither overbought nor oversold. The STOCH value of 3.43 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for ES:LDA.

Linea Directa Aseguradora SA Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
LDA	―	€1.43B	16.60	22.96%	4.74%	5.26%	128.61%
GCO	―	€5.82B	8.72	11.53%	2.46%	4.70%	18.04%
Sector *	―	$18.00B	11.42	9.92%	3.81%	9.73%	1.22%