Covivio SA (COV) AI Stock Analysis

• Market Cap: €5.73B
• Dividend Yield: 6.81%
• Average Volume (3M): 121.01K
• Price to Earnings (P/E): 80.1
• Beta (1Y): 0.71
• Revenue Growth: 3.97%
• EPS Growth: N/A
• Country: FR
• Employees: 989
• Sector: Real Estate
• Sector Strength: 67
• Industry: REIT - Diversified
• EPS (TTM): 2.23
• Shares Outstanding: 111,623,470
• 10 Day Avg. Volume: 139,362
• 30 Day Avg. Volume: 121,006
• PEG Ratio: -0.26
• Price to Book (P/B): 0.55
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -735.54
• 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: €58.42
• Price Target Upside: 13.66% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 5

• Rating: 62 Neutral
• Price Target: €54.00 ▲(5.06%Upside)

Covivio SA's stock score is primarily influenced by its robust technical performance and efficient cash flow management. However, the high P/E ratio indicating overvaluation and the company's high leverage pose significant risks. The absence of earnings call and corporate event data resulted in these components being excluded from the score calculation.

Covivio SA Business Overview & Revenue Model

Company Description

Covivio SA is a leading European real estate operator specializing in the ownership and management of a diversified portfolio of commercial and residential properties. Headquartered in France, the company operates primarily in the office, hotel, and residential sectors, catering to the needs of businesses and individuals across major European cities. Covivio focuses on creating sustainable, innovative, and high-quality spaces that enhance urban experiences and meet the evolving demands of its clients.

How the Company Makes Money

Covivio SA generates revenue through the acquisition, development, leasing, and management of its extensive real estate portfolio. The company's primary revenue streams include rental income from office spaces leased to corporate clients, hotel operations revenue derived from partnerships with hotel brands, and residential property leasing to individuals. Covivio benefits from long-term lease agreements that provide stable rental income, and it actively engages in property development projects to enhance asset value and drive growth. Strategic partnerships with hotel operators and a focus on prime locations across Europe further bolster its earnings potential.

Covivio SA Financial Statement Overview

Summary

Covivio SA exhibits solid operational performance with strong revenue recovery and efficient cash flow management. However, high leverage and low returns on equity amid fluctuating net income highlight the need for improved financial stability.

Income Statement

Covivio SA's income statement shows moderate revenue growth with a recent recovery in revenue to €1.28 billion in 2024 from €1.02 billion in 2023. The gross profit margin improved to 76.6%, but the net profit margin is low at 5.3% due to high operational costs and interest expenses. EBIT and EBITDA margins are healthy at 37.3% and 133.2%, respectively, indicating solid operational efficiency.

Balance Sheet

The balance sheet indicates a high debt-to-equity ratio of 1.31, reflecting significant leverage, which could pose risks in economic downturns. The equity ratio is 33.1%, which is stable but could be improved. Return on equity stands at a modest 0.8%, suggesting limited returns for shareholders.

Cash Flow

Covivio SA's cash flow analysis reveals a strong operating cash flow, significantly exceeding net income, indicating high cash generation efficiency. Free cash flow has grown significantly, reflecting effective capital management. However, the free cash flow to net income ratio is skewed by low net income.

Breakdown
Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement		Total Revenue
1.28B	1.02B	1.20B	1.06B	1.03B
	Gross Profit
977.00M	826.57M	896.82M	798.84M	780.72M
	EBIT
475.20M	795.30M	769.98M	665.81M	636.72M
	EBITDA
1.70B	868.90M	828.91M	740.98M	729.39M
	Net Income Common Stockholders
68.10M	-1.42B	620.69M	923.60M	359.77M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
1.04B	900.62M	461.54M	1.06B	1.25B
	Total Assets
24.89B	25.03B	27.73B	28.30B	27.46B
	Total Debt
10.75B	11.04B	11.27B	12.14B	12.59B
	Net Debt
9.74B	10.14B	10.81B	11.08B	11.35B
	Total Liabilities
12.87B	13.06B	13.64B	14.68B	14.89B
	Stockholders Equity
8.23B	7.96B	9.44B	9.19B	8.58B
Cash Flow		Free Cash Flow
3.85B	540.66M	-7.08M	-157.86M	-285.14M
	Operating Cash Flow
9.80B	1.03B	560.75M	539.65M	346.18M
	Investing Cash Flow
-1.37B	171.01M	323.80M	203.24M	-686.87M
	Financing Cash Flow
-7.39B	-722.91M	-1.52B	-914.55M	292.59M

Covivio SA Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 51.40
• 50DMA: Positive
• 100DMA: Positive
• 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:COV, the sentiment is Positive. The current price of 51.4 is above the 20-day moving average (MA) of 51.28, above the 50-day MA of 48.94, and above the 200-day MA of 48.36, indicating a bullish trend. The MACD of 0.70 indicates Positive momentum. The RSI at 56.34 is Neutral, neither overbought nor oversold. The STOCH value of 38.65 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for FR:COV.

Covivio SA Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
COVH	76 Outperform	€3.65B	15.10	6.58%	6.49%	9.34%	―
LI	76 Outperform	€9.45B	8.66	13.21%	10.73%	5.89%	469.38%
GFC	68 Neutral	€7.11B	22.96	2.94%	11.23%	2.29%	―
CARM	68 Neutral	€2.39B	7.54		7.36%	9.85%	12653.45%
COV	62 Neutral	€5.73B	80.14	0.84%	6.81%	3.97%	―
Sector *	61 Neutral	$2.85B	10.72	0.40%	6.07%	5.80%	-21.26%
ALTA	59 Neutral	€2.35B	371.07	0.35%	7.48%	2.24%	―

Covivio SA Corporate Events

Covivio Prepares for April 2025 General Meeting

Covivio has announced the availability of preparatory documents for its mixed general meeting scheduled for April 17, 2025. The meeting will be held in Paris, and shareholders can access the agenda and draft resolutions on the company’s website. This announcement underscores Covivio’s commitment to transparency and engagement with its stakeholders, reinforcing its position as a responsible and forward-thinking real estate operator.

Covivio Releases 2024 Universal Registration Document

Covivio has filed its 2024 Universal Registration Document with the French financial markets authority, making it available for public access. This document includes the annual financial report, sustainability report, and corporate governance details, reflecting Covivio’s commitment to transparency and responsible performance.