Coface SA (COFA) AI Stock Analysis

• Market Cap: €2.36B
• Dividend Yield: 8.69%
• Average Volume (3M): 164.15K
• Price to Earnings (P/E): 10.3
• Beta (1Y): 0.79
• Revenue Growth: 2.54%
• EPS Growth: -4.42%
• Country: FR
• Employees: 4,960
• Sector: Financial
• Sector Strength: 72
• Industry: Insurance - Reinsurance
• EPS (TTM): 0.42
• Shares Outstanding: 150,179,800
• 10 Day Avg. Volume: 97,408
• 30 Day Avg. Volume: 164,147
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• 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: €18.93
• Price Target Upside: 19.28% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 3

• Rating: 67 Neutral
• Price Target: €17.00 ▲(7.12% Upside)

Coface SA's overall stock score is driven by its strong valuation, with a low P/E ratio and high dividend yield making it attractive to investors. Financial performance is stable, but concerns about declining revenue growth and cash flow need to be addressed. Technical analysis indicates a bearish trend, which may deter short-term investors.

Coface SA Business Overview & Revenue Model

Company Description

Coface SA (COFA) is a global leader in credit insurance, offering a range of services to support companies in managing their trade credit risk. Established in France, Coface operates in various sectors, including trade credit insurance, factoring, and debt collection, serving clients from small businesses to multinational corporations. Its core products include credit insurance policies that protect businesses from the risk of customer defaults, as well as tools for assessing creditworthiness and managing accounts receivable.

How the Company Makes Money

Coface generates revenue primarily through the sale of credit insurance policies and related services. The company earns premiums from businesses that purchase insurance to safeguard against the risk of non-payment by their customers. Additionally, Coface provides services such as credit risk assessments and debt collection, which also contribute to its revenue streams. Significant partnerships with banks and financial institutions enhance its offerings, allowing Coface to provide integrated solutions that combine credit insurance with financing options. Furthermore, the company's ability to leverage its extensive database of credit information and analytics aids in attracting new clients and retaining existing ones, thereby supporting its overall earnings.

Coface SA Financial Statement Overview

Summary

Coface SA demonstrates strong financial health with impressive revenue growth and profitability. The balance sheet is solid, though liabilities require monitoring. Cash flow is strong, but investment strategies should be carefully managed. The company is well-positioned in its industry, with opportunities for further financial strengthening.

Income Statement

Coface SA showed strong income statement performance with consistent revenue growth and solid profitability. The TTM (Trailing-Twelve-Months) revenue indicates a healthy growth trend, while the gross profit margin remains robust. The net profit margin is stable, reflecting efficient operations. However, the slight decrease in annual net income suggests a need for continued focus on improving net profitability.

Balance Sheet

The balance sheet of Coface SA is strong, with a solid equity ratio and manageable debt levels. The debt-to-equity ratio indicates cautious leveraging, and return on equity reflects effective use of shareholder funds. However, the increase in total liabilities over recent periods suggests a potential risk that needs monitoring to maintain balance sheet stability.

Cash Flow

Coface SA's cash flow statement is robust, with positive operating cash flow and consistent free cash flow generation. The free cash flow growth rate is promising, and the company has maintained a healthy cash position. However, fluctuations in investing cash flow highlight the need for prudent investment management to sustain cash flow strength.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	1.80B	1.65B	1.60B	242.51M	1.28B	1.12B
Gross Profit	1.75B	1.45B	1.54B	242.51M	1.28B	1.12B
EBITDA	417.24M	446.74M	406.19M	380.41M	350.29M	184.92M
Net Income	243.01M	261.07M	240.50M	240.44M	223.82M	82.90M
Balance Sheet
Total Assets	8.07B	8.08B	7.90B	8.45B	8.04B	7.55B
Cash, Cash Equivalents and Short-Term Investments	3.11B	3.22B	2.86B	553.79M	3.48B	3.30B
Total Debt	1.80B	2.39B	659.67M	1.74B	2.79B	2.44B
Total Liabilities	5.97B	5.89B	5.85B	6.49B	5.90B	5.55B
Stockholders Equity	2.10B	2.19B	2.05B	1.34B	2.14B	2.00B
Cash Flow
Free Cash Flow	140.10M	326.65M	268.82M	416.95M	309.79M	160.46M
Operating Cash Flow	167.49M	353.36M	294.27M	449.19M	326.96M	194.36M
Investing Cash Flow	68.62M	134.17M	-327.82M	-124.40M	-207.94M	-54.33M
Financing Cash Flow	-251.36M	-490.78M	13.93M	-142.69M	-134.36M	-39.45M

Coface SA Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 15.87
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For FR:COFA, the sentiment is Negative. The current price of 15.87 is below the 20-day moving average (MA) of 16.28, below the 50-day MA of 16.27, and above the 200-day MA of 15.22, indicating a neutral trend. The MACD of 0.05 indicates Positive momentum. The RSI at 45.06 is Neutral, neither overbought nor oversold. The STOCH value of 33.89 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for FR:COFA.

Coface SA Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	68 Neutral	$17.82B	11.90	10.30%	3.72%	9.69%	0.80%
COFA	67 Neutral	€2.36B	10.26	11.85%	8.69%	2.54%	-4.42%
0RDX	―	€13.09B	8.05	14.33%	―	―	―
0IT3	―	€4.98B	9.47	12.58%	―	―	―
7TI	―	€3.37B	19.01	5.94%	―	―	―
ALEUA	―	€9.05M	―		―	―	―
FMONC	―	€2.13B	230.48		―	―	―