Soltec Power Holdings SA (SOL) AI Stock Analysis

• Market Cap: €210.44M
• Dividend Yield: N/A
• Average Volume (3M): 0.00
• Price to Earnings (P/E): ―
• Beta (1Y): -0.16
• Revenue Growth: -65.28%
• EPS Growth: 24.77%
• Country: ES
• Employees: 1,434
• Sector: Technology
• Sector Strength: 88
• Industry: Solar
• EPS (TTM): -0.24
• Shares Outstanding: 456,933,600
• 10 Day Avg. Volume: 0
• 30 Day Avg. Volume: 0
• PEG Ratio: >-0.01
• Price to Book (P/B): -1.88
• Price to Sales (P/S): 0.45
• P/FCF Ratio: -50.85
• 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: 39 Underperform
• Price Target: €1.50 ▼(-14.29% Downside)

The overall stock score is primarily influenced by poor financial performance and weak technical indicators. The company's financial instability, marked by declining revenues and negative profitability, is a significant concern. Additionally, the bearish technical analysis and unattractive valuation further contribute to the low score.

Positive Factors

Technological Advancements

Soltec's focus on advanced solar tracking solutions enhances energy efficiency, providing a competitive edge in the growing renewable energy market.

Strategic Partnerships

Strategic partnerships expand Soltec's market reach and can lead to larger project contracts, supporting long-term revenue growth and market position.

Improved Operating Cash Flow

Improved operating cash flow indicates better cash generation from operations, enhancing financial stability and ability to fund business activities.

Negative Factors

Declining Revenue

Continued revenue decline suggests challenges in market demand or competitive positioning, impacting long-term growth and profitability.

Negative Profitability

Sustained negative profitability reflects operational inefficiencies, which can hinder investment in growth and innovation, affecting future prospects.

High Leverage

High leverage and negative equity indicate financial instability, limiting flexibility and increasing risk in meeting financial obligations.

Soltec Power Holdings SA Business Overview & Revenue Model

Company Description

Soltec Power Holdings SA (SOL) is a leading global provider of solar tracking solutions, primarily focused on the photovoltaic sector. The company specializes in the design, manufacturing, and installation of solar trackers, which are devices that orient solar panels toward the sun to maximize energy capture. Soltec operates in various markets around the world, offering innovative technology that enhances the efficiency and performance of solar energy systems. Additionally, the company is involved in project development and the provision of integrated solutions for large-scale solar power plants.

How the Company Makes Money

Soltec generates revenue primarily through the sale of its solar tracking systems and related services, which include installation and maintenance. The company's revenue model is based on direct sales to solar project developers and operators, as well as long-term service agreements. Key revenue streams include the manufacturing and sale of solar trackers, which are a critical component in solar energy projects, and earnings from project development activities. Soltec also benefits from strategic partnerships with energy companies and project developers, which can enhance its market reach and lead to larger project contracts. Factors contributing to its earnings include the growing demand for renewable energy solutions, technological advancements in solar tracking systems, and favorable regulatory environments promoting solar energy investments.

Soltec Power Holdings SA Financial Statement Overview

Summary

Soltec Power Holdings SA faces significant financial challenges, including declining revenues, negative profitability, and a highly leveraged balance sheet with negative equity. Although there's an improvement in operating cash flow, the overall financial health remains under strain.

Income Statement

Soltec Power Holdings SA has experienced declining revenue with a significant drop from 2022 to 2023 and further decline in 2024. The company reported negative EBIT and EBITDA margins over the last two years, reflecting operational inefficiencies. Gross profit margins have also decreased over time, eroding profitability. Net income has been negative for the last few years, indicating challenges in converting sales into profit.

Balance Sheet

The balance sheet shows a concerning debt-to-equity ratio, particularly with negative stockholders' equity in 2024, indicating over-leverage. Total liabilities have consistently exceeded total assets, leading to negative equity and highlighting financial instability. The equity ratio has deteriorated, signaling potential risk in financial health.

Cash Flow

Cash flow analysis reveals an improvement in operating cash flow in 2024, although free cash flow remains negative. The operating cash flow to net income ratio improved, suggesting better operational cash generation relative to net income. However, persistent negative free cash flow signals challenges in covering capital expenditures and other financial obligations.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	165.09M	326.32M	407.14M	568.20M	346.51M	235.65M
Gross Profit	102.96M	93.42M	168.53M	239.39M	127.06M	58.68M
EBITDA	12.50M	-57.52M	-4.63M	35.64M	4.74M	-3.49M
Net Income	-101.58M	-205.79M	-23.38M	13.09M	-1.17M	-4.93M
Balance Sheet
Total Assets	404.17M	463.58M	733.79M	555.81M	476.95M	311.44M
Cash, Cash Equivalents and Short-Term Investments	32.94M	10.71M	38.56M	29.15M	43.55M	128.05M
Total Debt	224.08M	207.24M	249.30M	163.65M	110.72M	85.89M
Total Liabilities	496.10M	541.21M	589.94M	393.14M	329.97M	168.97M
Stockholders Equity	-91.75M	-77.56M	143.93M	162.71M	147.03M	142.47M
Cash Flow
Free Cash Flow	12.74M	-2.86M	-27.42M	-59.73M	-78.41M	-41.65M
Operating Cash Flow	18.08M	3.57M	-5.20M	20.73M	17.12M	-34.11M
Investing Cash Flow	-6.01M	-13.58M	-32.19M	-99.16M	-101.20M	-6.88M
Financing Cash Flow	6.55M	2.54M	60.93M	64.02M	-5.89M	141.05M

Soltec Power Holdings SA Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
SLR	76 Outperform	€2.21B	12.62	26.57%	―	43.90%	123.87%
GRE	74 Outperform	€2.35B	24.92	26.86%	―	―	―
ANA	69 Neutral	€10.08B	12.07	18.00%	2.87%	4.87%	339.22%
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%
TRE	58 Neutral	€2.17B	16.59	24.64%	―	41.87%	55.79%
ENC	49 Neutral	€571.51M	-18.34	-5.36%	4.84%	-11.51%	-170.43%
SOL	39 Underperform	€210.44M	-0.41	―	―	-65.28%	24.77%