Viscofan (VIS) AI Stock Analysis

• Market Cap: €2.77B
• Dividend Yield: 4.88%
• Average Volume (3M): 51.65K
• Price to Earnings (P/E): 17.4
• Beta (1Y): 0.21
• Revenue Growth: 1.19%
• EPS Growth: 7.76%
• Country: ES
• Employees: 5,480
• Sector: Industrials
• Sector Strength: 90
• Industry: Packaging & Containers
• EPS (TTM): 0.69
• Shares Outstanding: 46,500,000
• 10 Day Avg. Volume: 25,879
• 30 Day Avg. Volume: 51,650
• PEG Ratio: 3.82
• Price to Book (P/B): 3.07
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 538.53
• 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: €70.25
• Price Target Upside: 18.07% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 4

• Rating: 69 Neutral
• Price Target: €68.00 ▲(14.29%Upside)

Viscofan's strong financial performance is the most significant factor driving its score, supported by solid revenue growth and profitability. However, technical analysis suggests caution due to bearish momentum. The fair valuation, complemented by a decent dividend yield, balances the overall outlook.

Viscofan Business Overview & Revenue Model

Company Description

Viscofan, S.A., together with its subsidiaries, manufactures and distributes artificial casings primarily for use in the meat and other industry worldwide. The company offers cellulose casings for cooked, smoked, or unsmoked sausages; collagen casings for processed, fresh, and pre-cooked fried sausages or dry-cured snacks; fibrous casings for sliced goods, such as mortadella or salamis; and other plastic casings and packing solutions. The company offers its cellulosic wraps under the Viscofan brands; collagen casings under the Colfan, NDX, Viscofan Natur, Edicurve, Eficook, and Efidry brands; fibrous casings under the Securex, Zip, PSX, and Titanium brands; casings, films, bags, and other plastic products under the Viscofan Smoke, Betan, Tripan, V-4000 brands; functional solutions under the Vispice, Roast-E, Smoke-E, and Edileaf brands; and vegetable casings under the Viscofan Veggie brand. It also manufactures interleaver films; leases industrial machinery; and generates and sells electricity through its cogeneration plants. The company was formerly known as Viscofan, Industria Navarra de Envolturas Celulósicas, S.A. and changed its name to Viscofan, S.A. in June 2002.Viscofan, S.A. was incorporated in 1975 and is headquartered in Tajonar, Spain.

How the Company Makes Money

Viscofan generates revenue primarily through the sale of its artificial casings to meat producers and food companies globally. The company's key revenue streams include the production and distribution of cellulose, collagen, fibrous, and plastic casings, each tailored for specific types of meat products such as sausages, hams, and other processed meats. Viscofan's strategic partnerships with food manufacturers and its investment in research and development enhance its product offerings and market reach, contributing significantly to its earnings. Additionally, Viscofan's global presence allows it to capitalize on economies of scale and cater to regional preferences, further boosting its financial performance.

Viscofan Financial Statement Overview

Summary

Viscofan shows strong financial performance with consistent revenue growth and high profitability. Solid margins indicate effective cost management and operational efficiency, though the increase in total debt warrants some monitoring.

Income Statement

Viscofan demonstrates strong financial performance with consistent revenue growth and high profitability. The company achieved a notable revenue growth from 2020 to 2024, showcasing resilience and demand in its industry. With a robust gross profit margin and a solid net profit margin over the years, it indicates effective cost management and operational efficiency. The EBIT and EBITDA margins further reflect the company's strong earnings capability before non-operating expenses and taxes, positioning it well within the industry.

Balance Sheet

The balance sheet of Viscofan indicates solid financial health with a favorable debt-to-equity ratio, reflecting prudent leverage management. The equity ratio remains strong, showcasing the company's reliance on equity financing and reduced financial risk. The consistent increase in stockholders’ equity over years reflects sound reinvestment and profit retention strategies. However, the increase in total debt warrants monitoring to ensure continued financial stability amidst growth.

Cash Flow

Viscofan's cash flow statement highlights a robust operating cash flow, emphasizing its strong cash-generating capability from core operations. The free cash flow growth remains positive, supporting reinvestment and potential dividends. However, variations in capital expenditures suggest strategic investments, which must be balanced to maintain cash flow stability. The operating cash flow to net income ratio is healthy, indicating effective cash conversion from earnings.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	1.20B	1.20B	1.23B	1.20B	969.24M	912.16M
Gross Profit	535.41M	813.58M	771.15M	811.72M	686.02M	639.63M
EBITDA	278.19M	299.97M	259.52M	263.47M	249.62M	232.33M
Net Income	146.48M	157.02M	140.96M	139.43M	133.00M	122.51M
Balance Sheet
Total Assets	1.41B	1.40B	1.41B	1.34B	1.17B	1.04B
Cash, Cash Equivalents and Short-Term Investments	64.67M	55.94M	52.76M	51.93M	92.11M	52.74M
Total Debt	211.71M	212.95M	201.12M	162.82M	106.83M	105.75M
Total Liabilities	475.55M	463.94M	449.74M	437.80M	346.02M	304.19M
Stockholders Equity	932.49M	937.20M	957.77M	906.87M	822.78M	736.25M
Cash Flow
Free Cash Flow	0.00	160.79M	68.58M	5.16M	125.52M	123.02M
Operating Cash Flow	0.00	235.82M	145.71M	120.73M	221.30M	178.34M
Investing Cash Flow	0.00	-79.08M	-75.12M	-113.95M	-94.68M	-53.58M
Financing Cash Flow	0.00	-152.71M	-70.72M	-48.45M	-90.94M	-119.96M

Viscofan Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 59.50
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For ES:VIS, the sentiment is Negative. The current price of 59.5 is below the 20-day moving average (MA) of 59.96, below the 50-day MA of 61.31, and below the 200-day MA of 60.43, indicating a bearish trend. The MACD of -0.49 indicates Negative momentum. The RSI at 40.44 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 Negative sentiment for ES:VIS.

Viscofan Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
VIS	69 Neutral	€2.77B	17.42	16.55%	4.88%	1.19%	7.76%
Sector *	65 Neutral	$10.94B	15.62	5.18%	2.23%	3.14%	-26.85%
0DZC	―	€2.91B	8.95	23.42%	3.74%	―	―
0K97	―	€1.98B	16.61	-11.39%	35.52%	―	―
0O6D	―	€534.77M	11.34	13.16%	3.41%	―	―
0KD1	―	€429.14M	19.57	7.40%	4.43%	―	―
0NV7	―	€3.20B	13.03	18.80%	1.61%	―	―

Viscofan Corporate Events

Viscofan Approves Key Financial Resolutions and Incentive Plans

Viscofan’s General Shareholders’ Meeting approved several key resolutions, including the annual accounts for 2024, a new dividend system, and capital increases to support this system. The meeting also approved a long-term incentive plan for the management team and re-elected PricewaterhouseCoopers as the auditor. These decisions reflect Viscofan’s strategic focus on financial flexibility and rewarding stakeholders, potentially strengthening its market position.

Viscofan Announces 2025 Flexible Dividend Schedule

Viscofan has announced the estimated schedule for its optional dividend system, ‘Viscofan Flexible Remuneration,’ for the fiscal year 2025. Shareholders can choose to receive their dividends in new shares, cash, or transfer their rights in the market. This initiative, approved by the General Shareholders’ Meeting, aims to provide flexibility and enhance shareholder engagement. The execution involves a detailed timeline for capital increase and dividend payments, indicating a strategic move to strengthen its market position and offer varied financial benefits to its stakeholders.

Viscofan Achieves Revenue Growth Amidst Currency Challenges in Q1 2025

Viscofan reported a 6.1% increase in turnover to €307.3 million for the first quarter of 2025, with growth across all geographical areas. EBITDA rose by 11.7% to €68.8 million, though net results slightly declined by 0.7% due to negative exchange differences. Despite this, the company maintained strong operational performance, driven by increased volumes in main casing families and higher revenues from cogeneration in Spain, aligning with its strategic plan Beyond25.

Viscofan Executes Share Buyback Program

Viscofan has executed a share buyback program, purchasing 23,630 of its own shares between April 14 and April 17, 2025. This move, approved by the Board of Directors and aligned with EU regulations, reflects the company’s strategic financial management and may influence its market positioning and shareholder value.