Derichebourg (DBG) AI Stock Analysis

• Market Cap: €892.63M
• Dividend Yield: 2.29%
• Average Volume (3M): 221.46K
• Price to Earnings (P/E): 8.1
• Beta (1Y): 1.26
• Revenue Growth: 1.10%
• EPS Growth: 10.21%
• Country: FR
• Employees: 42,908
• Sector: Services
• Sector Strength: N/A
• Industry: Waste Management
• EPS (TTM): 0.40
• Shares Outstanding: 159,397,490
• 10 Day Avg. Volume: 195,347
• 30 Day Avg. Volume: 221,461
• PEG Ratio: -0.25
• Price to Book (P/B): 0.82
• Price to Sales (P/S): 0.23
• P/FCF Ratio: 4.63
• 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: €5.80
• Price Target Upside: 2.11% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 1

• Rating: 62 Neutral
• Price Target: €5.50 ▼(-3.17% Downside)

Derichebourg's overall stock score reflects a combination of mixed financial performance and bearish technical indicators, offset by an attractive valuation. The company's strong cash generation and reasonable leverage are positive, but declining revenue and profitability are concerns. The stock's oversold technical position suggests potential for a rebound, but current momentum is negative.

Derichebourg Business Overview & Revenue Model

Company Description

Derichebourg (DBG) is a French company specializing in environmental services and recycling, with a strong focus on resource recovery and sustainable waste management. The company operates primarily in two sectors: waste management and recycling, as well as multi-services, which include facility management and maintenance services for various industries. DBG's core offerings encompass the collection, sorting, and recycling of various materials, such as metals, plastics, and paper, along with the provision of services aimed at optimizing resource usage and minimizing environmental impact.

How the Company Makes Money

Derichebourg generates revenue through multiple streams, primarily from its waste management and recycling operations. The company earns money by charging fees for waste collection and disposal services, as well as from the sale of recycled materials to manufacturing industries. Additionally, DBG provides multi-services that contribute to its revenue through contracts with businesses and public entities. Significant partnerships with municipalities and large corporations enhance its service capacity and customer base. The growing demand for sustainable waste solutions and recycling initiatives further drives revenue growth, as regulatory pressures and consumer awareness increase the necessity for environmentally responsible practices.

Derichebourg Financial Statement Overview

Summary

Derichebourg shows mixed financial health with strong cash generation and reasonable leverage, but faces challenges in profitability. The company demonstrates solid cost management and cash flow improvements, yet declining revenue and net margins pose potential risks.

Income Statement

Derichebourg's income statement shows a decline in revenue over the past year, with TTM (Trailing-Twelve-Months) revenue of €3.62 billion, down from €4.35 billion in 2022. The gross profit margin improved significantly to 32.5% from 5.8% in the previous year, indicating better cost management. However, the net profit margin decreased to 2.1% from 5.5%, highlighting challenges in maintaining profitability. The EBIT margin also declined to 4.9% from 7.5%. Overall, there are signs of operational efficiency, but profitability remains a concern.

Balance Sheet

The balance sheet of Derichebourg indicates financial stability with a debt-to-equity ratio of 0.88, showing manageable leverage. The equity ratio stands at 40.2%, reflecting a strong capital base relative to assets. The return on equity (ROE) decreased to 7.3% from a higher 24.4% in 2022, indicating reduced profitability for shareholders. Overall, the company maintains a stable financial position with reasonable leverage.

Cash Flow

Derichebourg's cash flow statement shows a strong operating cash flow to net income ratio of 4.39, suggesting robust cash generation relative to net earnings. Free cash flow grew significantly to €181.8 million, up from €69.9 million in 2023, indicating improved cash management. However, the free cash flow to net income ratio is lower at 2.43, which signals potential challenges in converting earnings to free cash. Overall, the cash flow position is strong, but there are areas for improvement in translating earnings into free cash flow.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	3.57B	3.61B	3.62B	4.35B	3.62B	2.46B
Gross Profit	538.60M	863.80M	211.30M	361.00M	306.80M	119.50M
EBITDA	319.80M	260.50M	402.20M	457.90M	388.20M	172.20M
Net Income	106.60M	74.80M	136.90M	237.60M	174.00M	21.30M
Balance Sheet
Total Assets	2.61B	2.56B	2.59B	2.88B	2.46B	1.88B
Cash, Cash Equivalents and Short-Term Investments	184.40M	192.20M	162.60M	326.20M	787.60M	361.90M
Total Debt	889.90M	905.90M	933.70M	976.60M	983.30M	703.10M
Total Liabilities	1.53B	1.53B	1.59B	1.96B	1.76B	1.35B
Stockholders Equity	1.07B	1.03B	990.40M	918.80M	703.10M	521.60M
Cash Flow
Free Cash Flow	152.00M	181.80M	69.90M	260.10M	243.40M	95.50M
Operating Cash Flow	244.50M	328.30M	234.30M	389.90M	311.90M	165.60M
Investing Cash Flow	-60.10M	-98.20M	-191.20M	-657.90M	-76.20M	-220.70M
Financing Cash Flow	-117.80M	-191.80M	-204.60M	-218.70M	189.50M	132.80M

Derichebourg Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 5.68
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For FR:DBG, the sentiment is Neutral. The current price of 5.68 is above the 20-day moving average (MA) of 5.24, above the 50-day MA of 5.64, and above the 200-day MA of 5.61, indicating a neutral trend. The MACD of -0.06 indicates Negative momentum. The RSI at 59.16 is Neutral, neither overbought nor oversold. The STOCH value of 86.30 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for FR:DBG.

Derichebourg Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
VIE	71 Outperform	€20.98B	19.30	8.49%	4.80%	-0.31%	1.28%
SCHP	63 Neutral	€570.99M	13.08	9.76%	1.61%	14.77%	33.13%
DBG	62 Neutral	€892.63M	8.14	10.31%	2.29%	1.10%	10.21%
AURE	54 Neutral	€50.64M	-31.53	1.44%	―	-11.23%	43.27%
Sector *	55 Neutral	$13.29B	17.42	10.03%	0.93%	7.13%	-12.93%

Derichebourg Corporate Events

Derichebourg Inaugurates Advanced Metal Recycling Facility in France

Derichebourg Environnement inaugurated a new high-performance metal recycling facility in Saint-Pierre-de-Chandieu, enhancing its capabilities in recycling end-of-life products and producing recycled raw materials for European steel mills. This 45 million euro investment aims to significantly reduce the carbon footprint of steel production and support the circular economy, aligning with the European Clean Industrial Deal’s objectives. The facility also features a recycling line for waste electrical and electronic equipment and a solid recovered fuel production line, contributing to industry decarbonization and energy independence.