Cegedim (ALCGM) AI Stock Analysis

• Market Cap: €136.87M
• Dividend Yield: N/A
• Average Volume (3M): 11.58K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.39
• Revenue Growth: 3.79%
• EPS Growth: -797.10%
• Country: FR
• Employees: 6,605
• Sector: Technology
• Sector Strength: 88
• Industry: Medical - Healthcare Information Services
• EPS (TTM): 0.10
• Shares Outstanding: 14,097,155
• 10 Day Avg. Volume: 10,897
• 30 Day Avg. Volume: 11,578
• PEG Ratio: -0.12
• Price to Book (P/B): 0.66
• Price to Sales (P/S): 0.27
• P/FCF Ratio: 14.63
• 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: €14.00
• Price Target Upside: 29.63% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 1
• EPS Forecast (FY): 1.75
• Revenue Forecast (FY): €682.63M

• Rating: 60 Neutral
• Price Target: €14.50 ▲(34.26% Upside)
• Action: Reiterated Date: 10/25/25
• Date: Action: Reiterated 10/25/25

Cegedim's overall stock score is primarily influenced by its solid revenue growth and strong technical momentum. However, challenges with profitability, financial stability, and valuation concerns due to a negative P/E ratio and lack of dividend yield weigh down the score. The absence of earnings call data and corporate events means these factors did not influence the score.

Positive Factors

Business model diversification

Multiple, complementary revenue streams (subscriptions, transaction fees, consulting and data services) create durable cash inflows and reduce reliance on any single customer or product. This mix supports predictable recurring revenue and resilience through sector cycles in healthcare IT.

Recurring revenue and strategic partners

High share of subscription-based services and partnerships with pharma and insurers increase client stickiness and recurring margins. Long-term contracts and institutional customers enable cross-sell, higher retention, and steadier revenue visibility over multiple quarters.

Consistent revenue growth trend

Sustained top-line growth indicates ongoing demand for healthcare CRM, EHR and analytics. Steady revenue expansion provides a platform to scale gross margins, invest in product development, and pursue strategic initiatives without relying solely on cost cuts.

Negative Factors

Negative profitability

Recurring negative net income and shrinking EBIT margins threaten long-term sustainability; without margin recovery, the firm may struggle to self-fund R&D and growth initiatives, risking dilution or debt-funded expansion to maintain competitiveness.

Weakened equity and elevated debt

A declining equity ratio and substantial total debt increase financial risk and limit strategic flexibility. Higher leverage raises refinancing and interest-rate vulnerability and could constrain investments, hiring, or M&A needed to defend market position.

Volatile free cash flow

Operating cash generation is positive, but volatile free cash flow reduces capacity for consistent capital allocation. FCF swings complicate long-term planning for product investment, debt reduction, or returns to shareholders, weakening financial resilience.

Cegedim Business Overview & Revenue Model

Company Description

Cegedim SA operates as a technology and services company in the field of digital data flow management for healthcare ecosystem and B2B in France, rest of Europe, and internationally. It operates through Health Insurance, HR and E-Services; Healthcare Professionals; and Cloud & Support segments. The Health Insurance, HR and E-Services segment markets various products and services to insurance companies, mutual insurers, personal protection insurers, and insurance brokers, as well as engages in the interactions between these entities and healthcare professionals. This segment also provides solutions for IT services and hosting, digitization, human resources and payroll management outsourcing, electronic data exchange, and data processing services. The Healthcare Professionals division sells management software, databases, and solutions to doctors, paramedical professionals, pharmacists, and healthcare facilities. It also operates as a business software publisher for healthcare and insurance professionals. The company was incorporated in 1969 and is headquartered in Boulogne-Billancourt, France. Cegedim SA is a subsidiary of FCB SAS.

How the Company Makes Money

Cegedim generates revenue through multiple streams, primarily by providing software solutions and data services to healthcare organizations and pharmaceutical companies. Key revenue models include subscription fees for software licenses, transaction fees for data services, and consulting fees for strategic advisory services. Cegedim also benefits from partnerships with major healthcare stakeholders, including pharmaceutical firms and insurance companies, which enhance its market reach and credibility. Additionally, the company may earn revenue through research and development contracts, leveraging its expertise in healthcare analytics and technology.

Cegedim Financial Statement Overview

Summary

Cegedim exhibits solid revenue growth but faces challenges with profitability and financial stability, as reflected in negative net incomes and fluctuating cash flows. The company needs to focus on cost management and improving operational efficiencies to enhance profitability and strengthen its balance sheet.

Income Statement

Cegedim's revenue has shown a consistent growth trend over recent years, with a notable increase from 2023 to 2024. However, the company struggles with profitability, as indicated by negative net income in the latest period and declining EBIT margins. The gross profit margin remains strong, but net profit margins are negative, highlighting ongoing challenges in managing costs or achieving operational efficiencies.

Balance Sheet

Cegedim's balance sheet shows a moderate debt-to-equity ratio, indicating a balanced approach to leveraging. However, the recent decrease in stockholders' equity and a high level of total debt pose potential financial stability risks. The equity ratio has also declined, reflecting increased liabilities relative to assets.

Cash Flow

Cegedim has demonstrated strong operating cash flow generation, though free cash flow has been volatile, with a significant decline in the latest period. The operating cash flow to net income ratio is high, which is positive, but the free cash flow to net income ratio is lower, indicating potential concerns in sustaining free cash flows.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	654.50M	616.00M	555.21M	524.71M	496.94M
Gross Profit	624.93M	255.63M	528.65M	498.01M	471.45M
EBITDA	101.56M	95.25M	94.96M	103.64M	60.71M
Net Income	-14.71M	-7.41M	13.62M	26.22M	10.84M
Balance Sheet
Total Assets	986.89M	924.07M	889.91M	797.59M	905.36M
Cash, Cash Equivalents and Short-Term Investments	49.58M	46.61M	55.55M	24.16M	24.73M
Total Debt	325.85M	285.10M	284.59M	275.50M	266.46M
Total Liabilities	704.39M	629.51M	585.78M	565.20M	697.45M
Stockholders Equity	264.35M	276.18M	285.16M	232.06M	207.66M
Cash Flow
Free Cash Flow	11.93M	22.43M	10.34M	45.23M	35.85M
Operating Cash Flow	101.85M	97.92M	86.48M	95.98M	110.38M
Investing Cash Flow	-111.32M	-75.30M	-20.17M	-70.11M	-69.26M
Financing Cash Flow	13.12M	-31.07M	-33.89M	-26.74M	-45.20M

Cegedim Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 10.80
• 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 FR:ALCGM, the sentiment is Negative. The current price of 10.8 is below the 20-day moving average (MA) of 11.16, below the 50-day MA of 12.58, and below the 200-day MA of 11.60, indicating a bearish trend. The MACD of -0.69 indicates Negative momentum. The RSI at 32.89 is Neutral, neither overbought nor oversold. The STOCH value of 51.22 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for FR:ALCGM.

Cegedim Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
EQS	74 Outperform	€534.73M	10.15	16.40%	2.85%	4.45%	-14.08%
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%
ALCGM	60 Neutral	€136.87M	-9.67	-5.44%	―	3.79%	-797.10%
ALKEY	57 Neutral	€116.88M	2.81	―	―	-4.16%	―
AL2SI	52 Neutral	€486.07M	69.71	―	―	―	―