ALTAREA (ALTA) AI Stock Analysis

• Market Cap: €2.39B
• Dividend Yield: 7.75%
• Average Volume (3M): 13.46K
• Price to Earnings (P/E): 352.9
• Beta (1Y): 0.71
• Revenue Growth: -4.87%
• EPS Growth: 97.55%
• Country: FR
• Employees: 2,129
• Sector: Real Estate
• Sector Strength: 53
• Industry: REIT - Residential
• EPS (TTM): 0.43
• Shares Outstanding: 23,302,605
• 10 Day Avg. Volume: 7,912
• 30 Day Avg. Volume: 13,455
• PEG Ratio: -3.31
• Price to Book (P/B): 1.21
• Price to Sales (P/S): 0.76
• P/FCF Ratio: 5.13
• 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: €107.00
• Price Target Upside: 3.68% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 1

• Rating: 59 Neutral
• Price Target: €105.00 ▲(1.74% Upside)

ALTAREA's overall stock score is driven by its improved financial performance and strong cash flow, though tempered by bearish technical indicators and valuation concerns due to a negative P/E ratio. The high dividend yield is a positive factor for income investors.

ALTAREA Business Overview & Revenue Model

Company Description

ALTAREA (ALTA) is a prominent player in the real estate sector, specializing in the development, management, and investment of urban and commercial properties. The company operates primarily in the residential, retail, and office segments, focusing on creating sustainable and innovative spaces that enhance urban living. ALTAREA's portfolio includes a diverse range of projects, from residential complexes to shopping centers, as well as mixed-use developments that cater to the evolving needs of communities.

How the Company Makes Money

ALTAREA generates revenue through various channels, primarily from the sale and leasing of its real estate properties. Key revenue streams include residential sales from newly developed housing units, rental income from commercial and residential properties, and fees from property management services. The company also engages in partnerships with local governments and private entities for urban development projects, which can provide additional income sources. Furthermore, ALTAREA may benefit from market trends such as rising property values and increased demand for sustainable developments, which can enhance its profitability.

ALTAREA Financial Statement Overview

Summary

ALTAREA shows a positive turnaround in 2024 with improved profitability and robust cash flow generation. The balance sheet is stable, though moderately leveraged. Continued focus on revenue growth and profitability is essential.

Income Statement

ALTAREA's income statement shows a recovery in 2024 with a positive net income, reversing the loss from 2023. The gross profit margin improved to 21.8% from 20.2% in 2023, and the EBIT margin turned positive at 7.3%. However, the revenue growth rate was modest at 2.2%, suggesting slow growth. Despite positive trends, the company faces challenges with maintaining consistent profitability.

Balance Sheet

ALTAREA's balance sheet indicates stability with a debt-to-equity ratio of 1.62, reflecting manageable leverage. The return on equity (ROE) improved significantly to 0.36% in 2024 from negative in 2023, showing better utilization of shareholder funds. The equity ratio increased to 20.2%, indicating a stable capital structure, although reliance on debt remains notable.

Cash Flow

Cash flow analysis reveals strong free cash flow growth in 2024, with free cash flow surging to €400.4 million from €112.6 million in 2023. The operating cash flow to net income ratio is robust at 70.8, signaling efficient cash generation from operations. However, potential risks include fluctuating investing and financing cash flows.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	2.49B	2.71B	2.71B	3.03B	2.81B	3.07B
Gross Profit	585.60M	590.40M	465.90M	352.00M	351.80M	337.80M
EBITDA	252.90M	218.50M	-98.70M	397.70M	337.20M	356.60M
Net Income	-11.20M	6.10M	-472.90M	74.40M	72.20M	69.40M
Balance Sheet
Total Assets	7.84B	8.40B	8.34B	4.28B	4.48B	4.20B
Cash, Cash Equivalents and Short-Term Investments	357.70M	804.10M	713.10M	952.30M	1.63B	1.28B
Total Debt	2.51B	2.74B	2.68B	1.31B	1.69B	1.45B
Total Liabilities	4.88B	5.24B	5.12B	3.13B	3.40B	3.20B
Stockholders Equity	1.53B	1.69B	1.75B	1.10B	2.24B	949.80M
Cash Flow
Free Cash Flow	406.60M	400.40M	320.20M	-22.40M	33.70M	294.90M
Operating Cash Flow	432.70M	432.30M	330.50M	-20.60M	43.60M	312.90M
Investing Cash Flow	-59.30M	-20.70M	63.60M	-43.10M	-19.50M	12.70M
Financing Cash Flow	-474.90M	-301.50M	-438.80M	-504.60M	137.80M	172.80M

ALTAREA Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 103.20
• 50DMA: Positive
• 100DMA: Negative
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For FR:ALTA, the sentiment is Positive. The current price of 103.2 is above the 20-day moving average (MA) of 101.37, above the 50-day MA of 103.12, and above the 200-day MA of 98.82, indicating a bullish trend. The MACD of -0.08 indicates Negative momentum. The RSI at 53.70 is Neutral, neither overbought nor oversold. The STOCH value of 83.92 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for FR:ALTA.

ALTAREA Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
CARM	78 Outperform	€2.40B	6.84	―	7.17%	16.69%	574.43%
COV	71 Outperform	€6.43B	15.31	5.11%	6.07%	8.36%	―
GFC	69 Neutral	€6.06B	11.90	4.93%	6.12%	3.84%	―
Sector *	65 Neutral	$2.17B	12.19	3.79%	4.94%	3.15%	1.96%
FLY	63 Neutral	―	―	―	―	1.66%	―
ALTA	59 Neutral	€2.39B	352.90	-0.71%	7.75%	-4.87%	97.55%
ICAD	52 Neutral	€1.67B	―	-4.49%	19.33%	-6.91%	80.39%