Europacorp (ALECP) AI Stock Analysis

• Market Cap: €53.89M
• Dividend Yield: N/A
• Average Volume (3M): 12.09K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.06
• Revenue Growth: 1.83%
• EPS Growth: 54.76%
• Country: FR
• Employees: 28
• Sector: Communication Services
• Sector Strength: 97
• Industry: Entertainment
• EPS (TTM): -0.01
• Shares Outstanding: 125,420,006
• 10 Day Avg. Volume: 11,568
• 30 Day Avg. Volume: 12,091
• PEG Ratio: 0.02
• Price to Book (P/B): -24.87
• Price to Sales (P/S): 1.84
• P/FCF Ratio: -6.86
• 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: 45 Neutral
• Price Target: €0.43 ▼(-12.24% Downside)

The score is primarily held back by weak financial performance (declining revenue/profitability, high leverage with negative equity, and poor cash generation). Technical indicators provide some support with price above key moving averages and positive MACD, but the negative P/E and lack of dividend data keep valuation assessment unfavorable.

Positive Factors

Diversified revenue streams

Multiple revenue streams — theatrical, home entertainment, streaming licenses, TV licensing, merchandising and co-productions — reduce dependence on single box-office hits. This diversification smooths cash flows, supports recurring licensing revenue, and increases resilience over months.

Large intellectual-property library

Control of a vast intellectual-property library enables multi-year monetization via licensing, syndication, remakes, and merchandising. A deep content catalog provides a durable competitive moat, steady licensing revenue and lower acquisition costs for new releases over the medium term.

Underlying operational profitability (EBITDA)

Despite net losses, the relatively strong EBITDA margin indicates operational efficiencies in production and distribution. This underlying profitability can help absorb fixed costs, support recovery when revenues stabilize, and improve cash generation potential over the medium term.

Negative Factors

High leverage and negative equity

Negative shareholders' equity and elevated leverage materially constrain financial flexibility. With liabilities exceeding assets, refinancing risk and covenant pressure rise, limiting the company's ability to fund productions or pursue strategic investments without costly external financing or asset sales.

Negative free cash flow and weak cash conversion

Persistent negative free cash flow and weak cash conversion mean reported earnings are not translating into cash. This forces reliance on external financing or asset disposals to fund operations and content investment, increasing dilution and impairing long-term sustainability.

Declining revenue and negative profitability

Declining revenues and a negative net profit margin signal structural demand weakness or margin erosion. Continued top-line contraction reduces scale benefits, limits reinvestment in content, and undermines prospects for returning to sustainable profitability absent a clear revenue recovery plan.

Europacorp Business Overview & Revenue Model

Company Description

EuropaCorp, together with its subsidiaries, engages in the production and distribution of films and television series and dramas in France and internationally. The company is involved in the cinematographic works, distribution of films to theaters, international sales of film rights, sale of television broadcasting rights, and sale of broadcasting rights to video-on-demand subscription platforms, as well as operation of movie complexes. It also provides audiovisual communication services; licensing and partnerships, line production, and coproduction services; and operates as an executive producer and co-producer. In addition, the company publishes and distributes videos; and provides consulting and operational assistance to businesses and other organizations in communication and corporate image, as well as distributes and markets of films; and engages in the publishing of music and books, as well as exploitation of musical works. Further, it is involved in audiovisual post-production activities, including editing, mixing, and visual effects; production, promotion, and organization of events; production and distribution of institutional and advertising films; advertising consultancy and advertising space purchasing activities; and development of film projects. Additionally, the company offers consulting and technical services for sound, lighting, editing, structures, and image projection. EuropaCorp was incorporated in 1992 and is headquartered in Saint-Denis, France.

How the Company Makes Money

Europacorp generates revenue through multiple streams: theatrical releases of films, where ticket sales contribute significantly to earnings, especially for blockbuster titles. Additionally, the company earns money from home entertainment sales, including DVD and Blu-ray sales, as well as digital downloads and streaming rights. Licensing agreements for television broadcasts and international distribution further bolster its income. The company has also formed partnerships with various streaming platforms, allowing it to monetize its content through licensing deals. Furthermore, merchandising related to its films contributes to revenue, alongside potential revenue from co-productions and collaborations with other production companies.

Europacorp Financial Statement Overview

Summary

Weak overall financial health: declining revenue and shrinking gross margin, negative net profit margin, high leverage with negative equity, and deteriorating free cash flow metrics outweigh the relatively stronger EBITDA margin.

Income Statement

The income statement shows a declining revenue trend with a negative revenue growth rate in the most recent year. Gross profit margin has decreased significantly from previous years, indicating reduced efficiency in cost management. The net profit margin is negative, reflecting ongoing losses. However, the EBITDA margin remains relatively strong, suggesting some operational efficiency.

Balance Sheet

The balance sheet reveals a high debt-to-equity ratio, indicating significant leverage and potential financial risk. The negative stockholders' equity is concerning, as it suggests liabilities exceed assets. Return on equity is positive but volatile, reflecting inconsistent profitability.

Cash Flow

Cash flow analysis shows a negative free cash flow growth rate, indicating challenges in generating cash. The operating cash flow to net income ratio is below 1, suggesting that not all earnings are being converted into cash. The free cash flow to net income ratio is negative, highlighting cash flow issues.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	31.60M	31.57M	35.33M	37.49M	35.29M	41.49M
Gross Profit	4.40M	4.37M	12.42M	17.27M	18.90M	18.94M
EBITDA	-3.06M	19.90M	22.53M	19.16M	21.16M	158.09M
Net Income	-4.88M	-4.94M	857.00K	58.00K	16.65M	122.61M
Balance Sheet
Total Assets	107.07M	107.07M	113.20M	121.97M	130.20M	140.76M
Cash, Cash Equivalents and Short-Term Investments	39.85M	39.85M	46.31M	55.69M	60.57M	46.95M
Total Debt	71.12M	71.12M	75.10M	82.21M	94.47M	100.41M
Total Liabilities	108.96M	108.96M	109.97M	120.80M	129.73M	158.10M
Stockholders Equity	-2.33M	-2.33M	2.79M	780.00K	87.00K	-17.68M
Cash Flow
Free Cash Flow	20.55M	-8.46M	-4.94M	5.47M	17.70M	2.38M
Operating Cash Flow	20.57M	20.57M	18.43M	15.16M	20.20M	2.88M
Investing Cash Flow	-20.74M	-20.74M	-21.07M	-8.97M	2.25M	1.59M
Financing Cash Flow	-4.88M	-6.06M	-4.88M	-11.08M	-8.82M	-4.75M

Europacorp Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 0.49
• 50DMA: Positive
• 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 FR:ALECP, the sentiment is Positive. The current price of 0.49 is above the 20-day moving average (MA) of 0.44, above the 50-day MA of 0.42, and above the 200-day MA of 0.42, indicating a bullish trend. The MACD of <0.01 indicates Positive momentum. The RSI at 57.32 is Neutral, neither overbought nor oversold. The STOCH value of 78.07 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for FR:ALECP.

Europacorp Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
NRG	75 Outperform	€550.88M	20.84	4.56%	3.59%	-9.30%	-47.10%
ALPUL	62 Neutral	€111.98M	-158.81	-0.44%	6.54%	-14.35%	―
Sector *	60 Neutral	$48.67B	4.58	-11.27%	4.14%	2.83%	-41.78%
ALXIL	55 Neutral	€22.93M	-0.83	-44.88%	―	-51.43%	-990.51%
GAM	51 Neutral	€314.64M	-24.52	-6.82%	―	-31.54%	-53.98%
ALECP	45 Neutral	€53.89M	-29.23	―	―	1.83%	54.76%
VANTI	42 Neutral	€56.19M	-0.14	―	―	-15.63%	-67.81%