Abeo SA (ABEO) AI Stock Analysis

• Market Cap: €71.39M
• Dividend Yield: 3.45%
• Average Volume (3M): 1.20K
• Price to Earnings (P/E): 11.3
• Beta (1Y): 0.16
• Revenue Growth: 0.13%
• EPS Growth: 273.40%
• Country: FR
• Employees: 1,392
• Sector: Industrials
• Sector Strength: 78
• Industry: Leisure
• EPS (TTM): 0.50
• Shares Outstanding: 7,543,305
• 10 Day Avg. Volume: 575
• 30 Day Avg. Volume: 1,202
• PEG Ratio: N/A
• Price to Book (P/B): 0.00
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 0.00
• 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: €25.00
• Price Target Upside: 163.16% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 1

• Rating: 64 Neutral
• Price Target: ―

Abeo SA's overall score reflects a company with strong revenue growth and cash flow generation, but facing challenges in profitability and valuation. The financial performance is a key strength, yet declining net profit margins and return on equity highlight areas for improvement. Technical analysis shows neutral to mild upward momentum, while the high P/E ratio suggests potential overvaluation concerns. Further enhancement in operational efficiency and strategic cost management could significantly improve the stock's appeal.

Abeo SA Business Overview & Revenue Model

Company Description

Abéo SA designs, manufactures, and distributes sports and leisure equipment in France and internationally. It offers gymnastics apparatus and landing mats, team sports equipment, physical education, climbing walls, and changing room fittings. The comany also provides assistance in implementing projects to professional customers in specialized sports halls and clubs, leisure centers, education, local authorities, construction professionals, and other sectors. It offers its products under the GYMNOVA, JANSSEN-FRITSEN, SPIETH GYMNASTICS, SPIETH AMERICA, SCHELDE SPORTS, ERHARD, BOSAN, EP, CLIP'n CLIMB, TOP 30, CLIMBAT, DOCK 39, FUN SPOT, FRANCE EQUIPEMENT, SANITEC, NAVIC, PROSPEC, and META brands. The company was founded in 1955 and is headquartered in Rioz, France.

How the Company Makes Money

Abeo SA generates revenue primarily through the sale of its diverse range of sports and leisure equipment. Its key revenue streams include the gymnastics and sports equipment sector, which involves selling products such as gymnastic apparatus and sports hall equipment, and the climbing sector, which focuses on climbing walls and related equipment. The sale of changing room fittings, which includes lockers and benches, also contributes to its income. The company benefits from strategic partnerships and contracts with educational institutions, sports clubs, and local governments, which ensure a steady demand for its products. Additionally, Abeo SA engages in international markets, expanding its reach and customer base, which further enhances its revenue potential.

Abeo SA Financial Statement Overview

Summary

Abeo SA exhibits strong revenue growth and solid cash flow generation, highlighting its ability to drive top-line performance and convert earnings into cash effectively. However, declining net profit margins and return on equity indicate potential pressures on profitability. The moderate leverage suggests manageable financial risk, but further improvement in operational efficiency and profitability is necessary to enhance the overall financial health.

Income Statement

Abeo SA demonstrates solid top-line growth with a revenue increase of 4.03% from the prior year, indicating a positive growth trajectory. The gross profit margin is robust at 61.56%, suggesting effective cost management. However, the net profit margin has declined to 0.68%, down from 2.82% the previous year, which raises concerns about increasing operating costs or non-operating expenses. The EBIT and EBITDA margins of 6.65% and 10.99%, respectively, reflect decent operational efficiency, though there is room for improvement in profitability.

Balance Sheet

The balance sheet reveals a debt-to-equity ratio of 0.99, indicating moderate leverage which is manageable but something to monitor if liabilities increase. The equity ratio stands at 36.14%, showing a reasonable proportion of equity financing. However, the return on equity has dropped significantly to 1.55% from 6.04% last year, suggesting a decline in the company's ability to generate profit from shareholders' equity.

Cash Flow

Cash flow analysis shows a strong improvement with free cash flow growing significantly by 199.34% year-over-year. The operating cash flow to net income ratio is healthy at 5.80, indicating strong cash conversion from net income. However, the free cash flow to net income ratio of 2.63 highlights a reliance on free cash flow for financing activities, which may limit reinvestment opportunities.

Breakdown	Mar 2024	Mar 2023	Mar 2022	Mar 2021	Mar 2020
Income Statement
Total Revenue	248.39M	238.77M	205.31M	173.97M	235.71M
Gross Profit	152.95M	17.64M	15.85M	10.03M	10.62M
EBITDA	27.31M	25.81M	26.00M	15.64M	20.42M
Net Income	1.70M	6.73M	7.20M	-611.00K	690.00K
Balance Sheet
Total Assets	303.53M	323.88M	344.92M	324.82M	323.59M
Cash, Cash Equivalents and Short-Term Investments	11.01M	31.64M	65.92M	72.00M	56.47M
Total Debt	108.86M	118.04M	145.60M	162.03M	154.51M
Total Liabilities	194.37M	212.65M	239.07M	229.75M	226.50M
Stockholders Equity	109.69M	111.38M	105.79M	94.80M	97.15M
Cash Flow
Free Cash Flow	4.48M	1.50M	17.88M	12.02M	24.20M
Operating Cash Flow	9.86M	6.87M	22.42M	14.94M	28.93M
Investing Cash Flow	-13.05M	-5.05M	-5.62M	-2.80M	-6.08M
Financing Cash Flow	-33.54M	-30.56M	-25.03M	4.49M	4.47M

Abeo SA Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 9.50
• 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 FR:ABEO, the sentiment is Positive. The current price of 9.5 is above the 20-day moving average (MA) of 9.33, above the 50-day MA of 9.42, and above the 200-day MA of 9.41, indicating a bullish trend. The MACD of 0.03 indicates Negative momentum. The RSI at 56.05 is Neutral, neither overbought nor oversold. The STOCH value of 76.96 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for FR:ABEO.

Abeo SA Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	66 Neutral	£2.68B	13.05	3.30%	3.25%	2.40%	-22.21%
ABEO	64 Neutral	€71.39M	11.26	5.23%	3.45%	0.13%	273.40%
DJX	―	€127.50M	15.62	7.26%	―	―	―
LXB	―	€41.77M	5.52	35.62%	―	―	―
MLCMB	―	€222.15M	11.08		3.33%	―	―
MLIFS	―	€60.88M	―		―	―	―
ALPJT	―	€66.91M	39.52		2.10%	―	―