Sacyr SA (SCYR) AI Stock Analysis

• Market Cap: €2.94B
• Dividend Yield: 5.36%
• Average Volume (3M): 2.32M
• Price to Earnings (P/E): 29.1
• Beta (1Y): 0.91
• Revenue Growth: 2.03%
• EPS Growth: -32.59%
• Country: ES
• Employees: 15,121
• Sector: Industrials
• Sector Strength: 72
• Industry: Engineering & Construction
• EPS (TTM): 0.04
• Shares Outstanding: 796,857,800
• 10 Day Avg. Volume: 2,779,551
• 30 Day Avg. Volume: 2,319,344
• PEG Ratio: -0.55
• Price to Book (P/B): 2.32
• Price to Sales (P/S): 0.51
• P/FCF Ratio: 2.43
• 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: €4.56
• Price Target Upside: 20.00% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 3
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 65 Neutral
• Price Target: €4.00 ▲(5.26% Upside)

Sacyr SA's overall stock score is driven by strong financial performance, particularly in cash flow management and operational efficiency. However, high leverage and recent revenue decline pose risks. The technical analysis indicates bullish momentum, but overbought signals suggest caution. The stock's valuation appears high, but the dividend yield offers some compensation.

Positive Factors

Cash Flow Management

Strong cash flow management ensures Sacyr can fund future investments and service debt, supporting long-term financial stability.

Operational Efficiency

Efficient operations with strong margins indicate Sacyr's ability to maintain profitability and competitiveness in the construction sector.

Revenue Diversification

Revenue diversification across multiple sectors and regions reduces risk and enhances Sacyr's resilience against market fluctuations.

Negative Factors

High Leverage

High leverage can strain financial flexibility and increase risk, potentially impacting Sacyr's ability to invest and grow sustainably.

Revenue Decline

A decline in revenue can signal challenges in maintaining growth, affecting Sacyr's market position and long-term profitability.

Low Equity Ratio

A low equity ratio suggests reliance on debt financing, which can be risky if market conditions worsen, impacting Sacyr's financial health.

Sacyr SA Business Overview & Revenue Model

Company Description

Sacyr SA (SCYR) is a multinational construction and infrastructure development company based in Spain. Established in 1986, Sacyr operates primarily in the sectors of construction, engineering, and infrastructure management, focusing on projects related to transportation, water, and energy. The company is known for its large-scale projects, including highways, railways, airports, and environmental services, and it has expanded its operations internationally across various continents.

How the Company Makes Money

Sacyr generates revenue primarily through its construction and engineering services, which account for a significant portion of its income. The company undertakes public and private sector projects, often funded by government contracts or public-private partnerships. Key revenue streams include the construction of infrastructure such as roads, bridges, and tunnels, as well as the management and maintenance of these assets once completed. In addition, Sacyr earns income from its concessions division, where it operates and maintains infrastructure facilities, generating long-term revenue through tolls and service fees. The company also engages in real estate development and has partnerships with various government entities and private corporations, further enhancing its revenue potential through collaborative projects.

Sacyr SA Financial Statement Overview

Summary

Sacyr SA exhibits strong operational efficiency and cash flow management, with robust margins and cash generation capabilities. However, the high leverage and recent revenue decline are areas of concern that need careful monitoring.

Income Statement

Sacyr SA has shown consistent revenue growth, with a notable increase in gross profit margins over the years. The gross profit margin for the latest year was 68.23%, and the net profit margin was 2.48%. The EBIT margin stood strong at 26.80%, indicating efficient operations. However, there was a decline in total revenue from 2023 to 2024, which slightly dampens the overall performance.

Balance Sheet

The balance sheet reflects a high debt-to-equity ratio of 8.70, which may pose a risk if not managed properly. However, the company has improved its equity position over the years, with a return on equity (ROE) of 11.26% for the latest year. The equity ratio is relatively low at 5.60%, indicating high leverage but also potential for high returns.

Cash Flow

Sacyr SA has demonstrated strong cash flow management, with substantial free cash flow growth and a high operating cash flow to net income ratio of 11.41. The company's ability to generate cash from operations has improved significantly, providing a solid foundation for future investments and debt servicing.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	4.69B	4.57B	4.61B	4.98B	4.68B	4.55B
Gross Profit	941.69M	3.12B	3.23B	4.08B	3.07B	2.79B
EBITDA	1.25B	1.33B	1.43B	1.18B	410.34M	1.05B
Net Income	92.13M	113.37M	153.22M	110.52M	-189.18M	35.70M
Balance Sheet
Total Assets	17.95B	17.97B	17.31B	17.56B	14.98B	14.39B
Cash, Cash Equivalents and Short-Term Investments	1.63B	1.70B	1.77B	1.80B	1.95B	1.36B
Total Debt	8.99B	8.76B	8.69B	9.89B	7.94B	6.87B
Total Liabilities	15.90B	15.91B	15.56B	16.20B	14.02B	13.43B
Stockholders Equity	906.76M	1.01B	795.76M	535.66M	409.37M	557.31M
Cash Flow
Free Cash Flow	0.00	961.34M	624.31M	135.40M	427.98M	410.22M
Operating Cash Flow	0.00	1.29B	847.59M	737.75M	629.04M	545.23M
Investing Cash Flow	0.00	-746.23M	-339.58M	-1.48B	-970.85M	-963.78M
Financing Cash Flow	0.00	-519.72M	-541.79M	854.26M	690.71M	163.96M

Sacyr SA Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 3.80
• 50DMA: Negative
• 100DMA: Positive
• 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:SCYR, the sentiment is Positive. The current price of 3.8 is below the 20-day moving average (MA) of 3.82, below the 50-day MA of 3.82, and above the 200-day MA of 3.54, indicating a neutral trend. The MACD of <0.01 indicates Positive momentum. The RSI at 49.60 is Neutral, neither overbought nor oversold. The STOCH value of 34.53 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for ES:SCYR.

Sacyr SA Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
ACS	70 Outperform	€21.71B	24.68	19.75%	2.36%	25.47%	7.63%
FCC	70 Outperform	€5.29B	22.32	5.28%	4.43%	5.00%	-64.19%
ANA	69 Neutral	€9.93B	11.89	18.00%	2.91%	4.87%	339.22%
SCYR	65 Neutral	€2.94B	29.13	10.80%	5.36%	2.03%	-32.59%
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%
ENO	60 Neutral	€2.05B	-22.05	-6.79%	13.24%	11.61%	-212.68%
OHLA	48 Neutral	€474.66M	-12.56	-6.41%	―	1.39%	72.34%