Europacorp (ALECP) AI Stock Analysis

• Market Cap: €47.88M
• Dividend Yield: N/A
• Average Volume (3M): 12.09K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.13
• 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): 0.03
• Revenue Forecast (FY): €36.00M

• Rating: 45 Neutral
• Price Target: €0.37 ▼(-23.67% Downside)
• Action: Reiterated Date: 01/13/26
• Date: Action: Reiterated 01/13/26

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

IP-driven, multi-window monetization

EuropaCorp's core model monetizes film and TV IP across theatrical, broadcast, home entertainment and licensing windows. This multi-window revenue mix provides structural diversification, supports long-tail catalog earnings and reduces reliance on any single distribution channel.

Relatively strong EBITDA margin

Despite headline losses, a comparatively healthy EBITDA margin indicates the company can extract operating efficiency from production and rights exploitation. Sustained operational margins help cover fixed production costs and improve the company's ability to fund content or restructure over the medium term.

Positive return on equity in profitable periods

A positive ROE in periods of profitability shows the business can generate returns on shareholder capital when titles perform. If management stabilizes revenues and margins, this ability to convert assets into returns supports long-term value creation and investment in new content.

Negative Factors

High leverage and negative equity

Negative shareholders' equity and high leverage are durable balance-sheet constraints. They limit financing options, increase default and covenant risk, and can force asset sales or dilutive capital raises. This structural indebtedness restricts the firm's ability to invest in new content and scale consistently.

Weak cash generation / negative free cash flow

Persistent negative free cash flow and poor conversion of earnings into cash reduce financial flexibility. Over 2-6 months this impairs the company's ability to fund production, service debt, or capitalize on licensing opportunities without external financing, increasing refinancing risk.

Declining revenue and shrinking margins; loss-making

A structural decline in revenue and gross margins combined with negative net margins undermines long-term profitability. Reduced top-line and margin pressure weaken bargaining power with distributors and limit reinvestment into higher-quality content, making recovery more difficult without strategic change.

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 primarily generates revenue by exploiting audiovisual intellectual property across multiple release windows and channels. Key revenue streams include: (1) sale and licensing of distribution rights for films/series by territory and medium (e.g., theatrical, television, and other platforms), where third-party distributors or broadcasters pay for the right to distribute or air the content; (2) theatrical exploitation revenue (box office-related proceeds) when films are released in cinemas, typically shared among exhibitors, distributors, and rights holders; (3) home entertainment and transactional viewing revenues (e.g., physical media and/or digital rental/purchase) where applicable; and (4) other licensing and ancillary income tied to the company’s catalog (such as secondary TV windows and international re-licensing). The company’s ability to earn depends heavily on the commercial performance of its titles, the size and value of its content library, and contractual arrangements with distribution partners and broadcasters. Specific current breakdowns by segment, named major partners, and up-to-date platform mix are null.

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	Mar 2025	Mar 2024	Mar 2023	Mar 2022	Mar 2021
Income Statement
Total Revenue	34.00M	31.57M	35.33M	37.49M	35.29M	41.49M
Gross Profit	7.69M	4.37M	12.42M	17.27M	18.90M	18.94M
EBITDA	-1.90M	19.90M	22.53M	19.16M	21.16M	158.09M
Net Income	-1.95M	-4.94M	857.00K	58.00K	16.65M	122.61M
Balance Sheet
Total Assets	81.82M	107.07M	113.20M	121.97M	130.20M	140.76M
Cash, Cash Equivalents and Short-Term Investments	25.55M	39.85M	46.31M	55.69M	60.57M	46.95M
Total Debt	58.10M	71.12M	75.10M	82.21M	94.47M	100.41M
Total Liabilities	85.58M	108.96M	109.97M	120.80M	129.73M	158.10M
Stockholders Equity	-4.15M	-2.33M	2.79M	780.00K	87.00K	-17.68M
Cash Flow
Free Cash Flow	13.39M	-8.46M	-4.94M	5.47M	17.70M	2.38M
Operating Cash Flow	13.41M	20.57M	18.43M	15.16M	20.20M	2.88M
Investing Cash Flow	-12.53M	-20.74M	-21.07M	-8.97M	2.25M	1.59M
Financing Cash Flow	-10.89M	-6.06M	-4.88M	-11.08M	-8.82M	-4.75M

Europacorp Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 0.49
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• 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 Negative. The current price of 0.49 is above the 20-day moving average (MA) of 0.39, above the 50-day MA of 0.42, and above the 200-day MA of 0.42, indicating a bearish trend. The MACD of -0.01 indicates Positive momentum. The RSI at 38.10 is Neutral, neither overbought nor oversold. The STOCH value of 35.74 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for FR:ALECP.

Europacorp Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
NRG	79 Outperform	€523.03M	14.20	3.72%	3.59%	-9.30%	-47.10%
ALPUL	62 Neutral	€104.09M	―	-0.44%	6.54%	-14.35%	―
Sector *	60 Neutral	$48.67B	4.58	-11.27%	4.14%	2.83%	-41.78%
ALXIL	55 Neutral	€16.69M	-1.48	-81.10%	―	-51.43%	-990.51%
GAM	47 Neutral	€358.26M	-12.60	-6.82%	―	-31.54%	-53.98%
ALECP	45 Neutral	€47.88M	-5.73	60.17%	―	1.83%	54.76%
VANTI	42 Neutral	€50.99M	-0.22	―	―	-15.63%	-67.81%