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Assystem SA (FR:ASY)
:ASY
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Assystem (ASY) AI Stock Analysis

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FR:ASY

Assystem

(LSE:ASY)

Rating:67Neutral
Price Target:
€48.00
▲(3.00% Upside)
Assystem's stock displays strong technical momentum, which is the most significant factor in its current evaluation. However, the high P/E ratio indicates potential overvaluation, offsetting some of the positive technical signals. The company's solid financial performance underpins the stock's stability, although there are concerns about cash flow sustainability and declining stockholder equity. These factors collectively contribute to a moderate overall stock score.
Positive Factors
Future Growth Prospects
Analyst expects organic growth of around +6% in Q4, with credible prospects of growth at the same rate in 2025.
Sales Growth
Assystem reported 3Q24 sales of €144m, up +3.4%, including approximately +10% growth in global Nuclear activities.
Negative Factors
Earnings Guidance
Assystem published a decelerating Q3 accompanied by a profit warning: the group lowered its FY24 adj. EBIT guidance by -9%.
Nuclear Segment Outlook
The Nuclear segment could experience a fairly marked slowdown over the next few quarters due to budgetary situations and challenging comparison bases.
Sector Challenges
The outsourced R&D sector seems to be challenged by the difficulties in the automotive sector, particularly in Germany, and by a marked slowdown in the aerospace sector.

Assystem (ASY) vs. iShares MSCI France ETF (EWQ)

Assystem Business Overview & Revenue Model

Company DescriptionAssystem (ASY) is a global engineering and project management company specializing in infrastructure, energy, and digital sectors. The company provides a wide range of services, including engineering design, project management, and consulting services aimed at supporting clients in sectors such as nuclear, energy transition, transportation, and healthcare. With a strong focus on innovation and sustainability, Assystem helps clients to develop, design, and implement complex projects while ensuring safety and regulatory compliance.
How the Company Makes MoneyAssystem generates revenue primarily through the provision of engineering and project management services to clients in sectors like nuclear, energy, transportation, and healthcare. The company's revenue model is based on service contracts, where clients are charged for the expertise and time of Assystem's engineers and project managers. Key revenue streams include long-term contracts and partnerships with public and private sector organizations that require specialized engineering solutions. Additionally, Assystem invests in digital transformation services, which are increasingly becoming a significant part of its revenue as industries seek to integrate digital technologies into their projects. The company's strong presence in the nuclear sector often results in significant partnerships and projects, contributing to its earnings.

Assystem Financial Statement Overview

Summary
Assystem demonstrates solid financial performance with consistent revenue growth and stable profit margins. The company effectively manages its leverage and maintains a strong asset base. However, recent declines in stockholders' equity and uneven cash flow growth warrant attention. Overall, Assystem is financially stable but should focus on improving profit margins and cash flow sustainability.
Income Statement
72
Positive
Assystem has shown consistent revenue growth over the past years, with a notable increase from 2020 to 2024. The gross profit margin and net profit margin have remained stable, indicating efficient cost management. However, the decline in gross profit in 2024 suggests pressure on profit margins. The EBIT and EBITDA margins are healthy, supporting profitability, but the company faced a dip in net income in 2024, which impacted overall profitability.
Balance Sheet
65
Positive
The company maintains a stable equity ratio, demonstrating strong shareholder equity relative to its assets. The debt-to-equity ratio is moderate, suggesting manageable leverage levels. However, a decrease in stockholders' equity over the years might pose a risk. Return on Equity (ROE) has fluctuated, reflecting variability in earnings generation. The balance sheet shows a robust asset base but highlights the need for careful management of liabilities.
Cash Flow
70
Positive
Assystem's operating cash flow is strong, consistently covering net income and capital expenditures. Free cash flow has been positive, indicating healthy cash generation capacity, although growth has slowed in recent years. The operating cash flow to net income ratio suggests efficient cash earnings conversion, but the free cash flow growth rate has been uneven, pointing to potential challenges in sustaining cash flow growth.
BreakdownDec 2024Dec 2023Dec 2022Dec 2021Dec 2020
Income Statement
Total Revenue611.30M577.50M493.50M445.40M438.80M
Gross Profit89.50M176.30M86.90M75.70M59.30M
EBITDA50.20M145.50M44.40M42.10M-2.30M
Net Income8.30M102.00M48.90M34.20M-23.40M
Balance Sheet
Total Assets649.30M826.30M739.80M724.90M675.80M
Cash, Cash Equivalents and Short-Term Investments31.20M36.40M28.50M25.70M43.10M
Total Debt116.50M121.50M111.70M125.00M105.60M
Total Liabilities348.40M343.70M338.30M366.40M340.90M
Stockholders Equity298.90M479.80M399.40M357.20M334.80M
Cash Flow
Free Cash Flow29.90M31.50M28.70M6.30M67.60M
Operating Cash Flow33.30M35.70M32.70M11.30M76.10M
Investing Cash Flow188.90M-3.90M8.30M-26.60M-11.20M
Financing Cash Flow-227.70M-22.40M-36.60M-4.20M-50.00M

Assystem Technical Analysis

Technical Analysis Sentiment
Positive
Last Price46.60
Price Trends
50DMA
42.33
Positive
100DMA
39.10
Positive
200DMA
38.81
Positive
Market Momentum
MACD
1.75
Negative
RSI
61.15
Neutral
STOCH
71.55
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For FR:ASY, the sentiment is Positive. The current price of 46.6 is above the 20-day moving average (MA) of 45.06, above the 50-day MA of 42.33, and above the 200-day MA of 38.81, indicating a bullish trend. The MACD of 1.75 indicates Negative momentum. The RSI at 61.15 is Neutral, neither overbought nor oversold. The STOCH value of 71.55 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for FR:ASY.

Assystem Peers Comparison

Overall Rating
UnderperformOutperform
Sector (63)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
74
Outperform
€11.39B10.6215.80%3.91%7.37%3.85%
72
Outperform
€2.36B12.648.78%2.16%1.83%-21.09%
68
Neutral
€67.39B14.3316.66%4.00%3.21%4.24%
67
Neutral
€699.65M84.372.13%2.12%5.85%-91.81%
66
Neutral
€8.48B41.7410.66%1.95%10.87%-10.35%
63
Neutral
$10.64B16.045.48%2.12%2.73%-23.95%
63
Neutral
€13.97B13.238.75%5.52%1.26%4.64%
* Industrials Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
FR:ASY
Assystem
48.20
1.97
4.26%
FR:FGR
Eiffage
120.20
33.50
38.64%
FR:SPIE
SPIE SA
52.85
20.52
63.49%
FR:DG
Vinci SA
120.60
21.91
22.19%
FR:ATE
ALTEN SA
69.30
-24.50
-26.12%
FR:EN
Bouygues
36.66
7.12
24.09%
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.Date of analysis: Jul 24, 2025