Altheora SA (ALORA) AI Stock Analysis

• Market Cap: €8.20M
• Dividend Yield: N/A
• Average Volume (3M): 8.98K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.49
• Revenue Growth: -12.60%
• EPS Growth: 16.97%
• Country: FR
• Employees: 279
• Sector: Industrials
• Sector Strength: 72
• Industry: Electrical Equipment & Parts
• EPS (TTM): -0.06
• Shares Outstanding: 13,528,334
• 10 Day Avg. Volume: 4,759
• 30 Day Avg. Volume: 8,980
• PEG Ratio: 0.22
• Price to Book (P/B): 0.49
• Price to Sales (P/S): 0.14
• P/FCF Ratio: -19.82
• 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): -0.09
• Revenue Forecast (FY): €30.66M

• Rating: 54 Neutral
• Price Target: €0.60 ▲(25.00% Upside)

The score is held back primarily by weak financial performance (ongoing losses, high leverage, and inconsistent cash flow). Technicals are a meaningful offset, with price strength above major moving averages and positive momentum, but valuation remains challenged due to the negative P/E.

Positive Factors

Strong gross profit and positive EBITDA margin

A relatively strong gross margin and positive EBITDA indicate the core business can cover direct costs and generate operating profitability before non‑cash items. This operational efficiency supports reinvestment in product development and scaling if revenue growth stabilizes.

Positive operating cash flow

Positive operating cash flow demonstrates the company can convert core activities into cash, providing runway for working capital and strategic investment. Even if inconsistent, this cash generation ability is a foundation for improving liquidity and reducing reliance on external financing.

Recurring revenue and strategic partnerships

Subscription products, maintenance contracts and technology partnerships create recurring and stickier revenue streams, improving visibility and customer retention. Structurally this supports more predictable cash flow and easier scaling of SaaS and cloud offerings over the medium term.

Negative Factors

Ongoing losses and weakening EBIT margins

Sustained negative net income and eroding EBIT margins weaken retained earnings and reinvestment capacity. Over months this can force cost cuts, hinder R&D and limit ability to execute growth plans unless profitability metrics reverse to restore internal funding and investor confidence.

High leverage and declining equity

Elevated debt-to-equity and shrinking shareholders' equity increase refinancing and solvency risk, especially given ongoing losses. Structural leverage reduces strategic flexibility, raises interest burden, and can constrain capital allocation for product development or M&A over the medium term.

Inconsistent revenue trends and recent decline

A roughly 12.6% recent revenue decline and historical inconsistency signal demand weakness or client churn, undermining scalability. For software and services firms, sustained top-line volatility impairs margin recovery and cash conversion, complicating multi‑period planning and investment decisions.

Altheora SA Business Overview & Revenue Model

Company Description

Altheora SA manufactures and sells composite materials worldwide. The company offers composite materials for use in various sectors, including aeronautics, railways, and motorized equipment, as well as sports, recreation, marine, and medical. It also provides painting and industrial coatings. The company was formerly known as Mecelec Composites SA and changed its name to Altheora SA in June 2021. Altheora SA was founded in 1934 and is headquartered in Mauves, France.

How the Company Makes Money

Altheora generates revenue through several key streams, primarily from project-based contracts for custom software development and consulting services. The company charges clients based on the scope and complexity of the projects undertaken. Additionally, Altheora offers subscription-based services for its cloud computing solutions and data analytics platforms, providing ongoing support and updates. Strategic partnerships with technology providers and industry leaders enhance its offerings and expand its market reach, contributing to a steady flow of income. Furthermore, Altheora may also benefit from maintenance contracts and ongoing service agreements, ensuring a recurring revenue model.

Altheora SA Financial Statement Overview

Summary

Altheora SA faces challenges in achieving consistent revenue growth and profitability, with high leverage and fluctuating cash flows presenting risks. While there are strengths in gross margins and some operational efficiencies, the company needs to focus on improving its profitability and financial stability to enhance overall performance.

Income Statement

Altheora SA has experienced fluctuating revenue growth over the years, with a recent decline in total revenue. The gross profit margin remains relatively strong, but consistent negative net income and declining EBIT margins indicate challenges in achieving profitability. The EBITDA margin is positive, suggesting some operational efficiency, but overall profitability remains a concern.

Balance Sheet

The company exhibits a high debt-to-equity ratio, indicating significant leverage, which could pose risks if earnings do not improve. Stockholders' equity has been declining, reducing the equity ratio. The ability to manage liabilities effectively while improving equity levels will be crucial for financial stability.

Cash Flow

Altheora's operating cash flow is positive but has been inconsistent, impacting free cash flow generation negatively. The free cash flow to net income ratio indicates difficulties in translating profits into cash, highlighting potential liquidity concerns. Improving cash flow management will be key to enhancing financial flexibility.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	41.34M	36.99M	41.34M	35.03M	31.97M	25.54M
Gross Profit	16.44M	22.23M	23.63M	16.92M	17.36M	13.38M
EBITDA	1.78M	1.42M	1.57M	987.00K	1.68M	987.00K
Net Income	-2.02M	-1.74M	-2.02M	-1.69M	-228.00K	-314.00K
Balance Sheet
Total Assets	37.84M	32.97M	37.84M	45.18M	35.11M	32.79M
Cash, Cash Equivalents and Short-Term Investments	3.76M	1.73M	3.76M	5.80M	3.72M	8.06M
Total Debt	15.37M	13.44M	15.37M	18.52M	9.80M	11.30M
Total Liabilities	25.66M	22.72M	25.66M	31.09M	26.25M	22.57M
Stockholders Equity	12.18M	10.25M	12.18M	14.09M	8.86M	10.21M
Cash Flow
Free Cash Flow	84.00K	-253.00K	84.00K	-3.54M	-3.77M	-2.27M
Operating Cash Flow	1.26M	888.00K	1.26M	-621.00K	864.00K	-294.00K
Investing Cash Flow	-1.18M	-999.00K	-1.18M	-8.81M	-4.15M	-1.47M
Financing Cash Flow	-2.13M	-2.92M	-2.13M	11.52M	-1.60M	5.71M

Altheora SA Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 0.48
• 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:ALORA, the sentiment is Positive. The current price of 0.48 is below the 20-day moving average (MA) of 0.51, above the 50-day MA of 0.44, and above the 200-day MA of 0.43, indicating a bullish trend. The MACD of 0.05 indicates Negative momentum. The RSI at 64.95 is Neutral, neither overbought nor oversold. The STOCH value of 54.77 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for FR:ALORA.

Altheora SA Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%
ALORA	54 Neutral	€8.20M	-4.16	―	―	-12.60%	16.97%
FORSE	40 Underperform	€31.64M	-0.96	―	―	-16.19%	-32.43%