Covivio SA (COV) AI Stock Analysis

• Market Cap: €6.15B
• Dividend Yield: 6.26%
• Average Volume (3M): 106.64K
• Price to Earnings (P/E): 14.6
• Beta (1Y): 0.73
• Revenue Growth: -7.25%
• EPS Growth: N/A
• Country: FR
• Employees: 989
• Sector: Real Estate
• Sector Strength: 66
• Industry: REIT - Diversified
• EPS (TTM): 2.38
• Shares Outstanding: 111,623,470
• 10 Day Avg. Volume: 105,081
• 30 Day Avg. Volume: 106,641
• PEG Ratio: 0.83
• Price to Book (P/B): 0.74
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 18.13
• 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: €63.32
• Price Target Upside: 13.27% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 5

• Rating: 62 Neutral
• Price Target: €54.00 ▼(-3.40%Downside)

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

{A preferred real estate player at the European level, Covivio is close to its end users, capturing their aspirations, combining work, travel, living, and co-inventing vibrant spaces. A benchmark in the European real estate market with €25 Billion in assets, Covivio offers support to companies, hotel brands and territories in their pursuit for attractiveness, transformation and responsible performance.}

How the Company Makes Money

Covivio SA generates revenue through several key streams. Primarily, the company earns income from leasing its office spaces, hotels, and residential properties to businesses and individuals. Rental income forms a significant portion of its revenue, with long-term leases providing stable earnings. Additionally, Covivio engages in property development projects, where it profits from the sale of developed real estate. The company also benefits from strategic partnerships and joint ventures with other real estate entities, enhancing its market reach and operational capabilities. Through its diversified portfolio and strategic positioning in key European markets, Covivio capitalizes on the increasing demand for high-quality, sustainable real estate solutions.

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
EBITDA	1.70B	868.90M	828.91M	740.98M	729.39M
Net Income	68.10M	-1.42B	620.69M	923.60M	359.77M
Balance Sheet
Total Assets	24.89B	25.03B	27.73B	28.30B	27.46B
Cash, Cash Equivalents and Short-Term Investments	1.04B	900.62M	461.54M	1.06B	1.25B
Total Debt	10.75B	11.04B	11.27B	12.14B	12.59B
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: 55.90
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Negative
• STOCH: Negative

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 55.9 is above the 20-day moving average (MA) of 52.81, above the 50-day MA of 51.96, and above the 200-day MA of 48.63, indicating a bullish trend. The MACD of 0.85 indicates Negative momentum. The RSI at 74.78 is Negative, neither overbought nor oversold. The STOCH value of 93.29 is Negative, 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
Sector *	64 Neutral	$6.87B	15.19	-1.99%	6.97%	4.50%	-23.97%
COV	62 Neutral	€6.15B	14.61	5.11%	6.26%	-7.25%	―
0IRK	―	€2.37B	355.00	0.35%	7.84%	―	―
0IS8	―	€3.76B	17.63	6.05%	6.33%	―	―
0OPE	―	€6.55B	12.64	4.93%	5.73%	―	―
0F4I	―	€9.40B	8.62	13.21%	5.51%	―	―
CARM	77 Outperform	€2.44B	6.81		7.23%	16.69%	574.43%

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.