MGI Digital Graphic Technology (ALMDG) AI Stock Analysis

• Market Cap: €57.22M
• Dividend Yield: N/A
• Average Volume (3M): 15.75K
• Price to Earnings (P/E): 4.7
• Beta (1Y): 0.91
• Revenue Growth: 44.46%
• EPS Growth: 52.61%
• Country: FR
• Employees: 205
• Sector: Technology
• Sector Strength: 88
• Industry: Computer Hardware
• EPS (TTM): N/A
• Shares Outstanding: 6,277,730
• 10 Day Avg. Volume: 11,970
• 30 Day Avg. Volume: 15,747
• PEG Ratio: 0.16
• Price to Book (P/B): 0.69
• Price to Sales (P/S): 1.40
• P/FCF Ratio: 24.56
• 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): 0.84
• Revenue Forecast (FY): €68.30M

• Rating: 65 Neutral
• Price Target: €10.00 ▲(5.26% Upside)

MGI Digital Graphic Technology's stock is supported by strong financial performance and attractive valuation. However, bearish technical indicators and cash flow challenges weigh on the overall score. The stock's low P/E ratio suggests potential undervaluation, but market momentum is currently negative.

Positive Factors

Revenue Growth

The robust revenue growth indicates strong demand for MGI's products and services, suggesting a solid market position and potential for continued expansion.

Balance Sheet Health

A low debt-to-equity ratio reflects conservative financial management and provides MGI with the flexibility to invest in growth opportunities without excessive leverage risk.

Profitability

Strong profit margins indicate effective cost management and pricing power, which can sustain profitability and support long-term financial health.

Negative Factors

Cash Flow Challenges

The decline in free cash flow growth suggests potential challenges in cash generation, which could affect the company's ability to fund operations and growth initiatives.

Gross Margin Decline

A decline in gross profit margin may indicate rising costs or pricing pressures, which could impact profitability if not managed effectively.

Free Cash Flow to Net Income

A low free cash flow to net income ratio highlights the need for improved cash flow management to ensure sufficient liquidity for operational and strategic needs.

MGI Digital Graphic Technology Business Overview & Revenue Model

Company Description

MGI Digital Technology Société Anonyme designs, manufactures, and sells digital printing and finishing solutions for the graphic arts industry in France and internationally. The company's products include AlphaJET, a factory 4.0 solution for the printing and packaging sector that displaces traditional production processes; JETvarnish 3D Web and JETvarnish 3D Web Color+, a roll-to-roll finishing solution; JETvarnish 3D Evolution, a spot UV coating solution; JETvarnish 3D, a solution for 3D or traditional flat spot UV coating; JETVARNISH 3DS, a digital solution; and JETvarnish 3D One, a digital print enrichment finishing presses. Its products also comprise PressCard Pro, an industrial production unit dedicated to the short run lamination of plastic substrates; and PunchCard Pro, a semi-automatic card punching unit. The company serves commercial printing, publishing, packaging, web to print, photo products, to the trade, and labels markets. MGI Digital Technology Société Anonyme was founded in 1982 and is based in Fresnes, France.

How the Company Makes Money

MGI Digital Graphic Technology generates revenue through multiple streams, primarily from the sale of its digital printing equipment and software solutions. The company earns money by selling its proprietary printers and finishing machines, which are designed for high-quality and efficient production. Additionally, MGI offers maintenance services, consumables, and spare parts for its equipment, creating a recurring revenue model. Strategic partnerships with distributors and resellers further enhance its market reach and sales capabilities, contributing to its overall earnings. The company also engages in research and development to innovate new products, which can lead to additional revenue opportunities through new product launches.

MGI Digital Graphic Technology Financial Statement Overview

Summary

MGI Digital Graphic Technology shows strong revenue growth and stable profitability with a robust balance sheet. However, challenges in cash flow management due to a significant decline in free cash flow growth need attention.

Income Statement

MGI Digital Graphic Technology has demonstrated strong revenue growth of 27.21% in the latest year, indicating robust demand for its products. The company maintains healthy margins with a gross profit margin of 67.64% and a net profit margin of 16.30%. However, the slight decline in gross profit margin from the previous year suggests rising costs or pricing pressures. Overall, the income statement reflects a solid financial performance with room for improvement in cost management.

Balance Sheet

The company exhibits a strong balance sheet with a low debt-to-equity ratio of 0.09, indicating conservative leverage and financial stability. The return on equity stands at 7.98%, showing efficient use of equity to generate profits. The equity ratio of 81.44% highlights a solid capital structure with a high proportion of equity financing. Overall, the balance sheet is robust, with low financial risk and good asset management.

Cash Flow

MGI Digital Graphic Technology's cash flow performance is mixed, with a significant decline in free cash flow growth by 62.65%, indicating potential challenges in cash generation. However, the operating cash flow to net income ratio of 1.40 suggests that the company generates sufficient cash from operations to cover its net income. The free cash flow to net income ratio of 0.16 indicates limited free cash flow relative to net income, highlighting a need for improved cash flow management.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	71.33M	67.64M	47.98M	46.61M	38.81M	35.17M
Gross Profit	22.07M	45.75M	14.64M	11.06M	9.38M	8.74M
EBITDA	16.08M	25.92M	12.24M	11.18M	12.00M	6.68M
Net Income	10.95M	11.03M	8.19M	7.29M	5.48M	5.45M
Balance Sheet
Total Assets	169.03M	169.63M	147.68M	140.59M	137.89M	137.90M
Cash, Cash Equivalents and Short-Term Investments	29.42M	35.51M	31.11M	32.17M	43.31M	48.72M
Total Debt	11.55M	12.46M	9.50M	9.27M	17.59M	23.82M
Total Liabilities	27.72M	31.39M	20.78M	21.11M	25.33M	30.82M
Stockholders Equity	141.20M	138.14M	126.90M	119.49M	112.54M	107.05M
Cash Flow
Free Cash Flow	9.52M	3.86M	-905.00K	1.22M	1.66M	4.84M
Operating Cash Flow	22.44M	24.12M	8.25M	6.45M	2.50M	5.56M
Investing Cash Flow	-23.65M	-22.48M	-8.97M	-8.83M	-1.79M	-6.63M
Financing Cash Flow	3.55M	2.76M	942.00K	-8.05M	-5.60M	11.40M

MGI Digital Graphic Technology Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 9.50
• 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:ALMDG, the sentiment is Negative. The current price of 9.5 is above the 20-day moving average (MA) of 9.19, below the 50-day MA of 9.85, and below the 200-day MA of 12.73, indicating a bearish trend. The MACD of -0.38 indicates Positive momentum. The RSI at 35.39 is Neutral, neither overbought nor oversold. The STOCH value of 23.06 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for FR:ALMDG.

MGI Digital Graphic Technology Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
ALMDG	65 Neutral	€57.22M	4.67	8.90%	―	44.46%	52.61%
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%
ALPWG	44 Neutral	€31.02M	-23.03	―	―	-11.36%	92.25%