Sartorius Stedim Biotech (DIM) AI Stock Analysis

• Market Cap: €16.00B
• Dividend Yield: 0.31%
• Average Volume (3M): 78.09K
• Price to Earnings (P/E): 76.9
• Beta (1Y): 1.29
• Revenue Growth: 7.72%
• EPS Growth: 53.84%
• Country: FR
• Employees: 9,961
• Sector: Healthcare
• Sector Strength: 45
• Industry: Medical - Instruments & Supplies
• EPS (TTM): 1.12
• Shares Outstanding: 97,330,410
• 10 Day Avg. Volume: 78,938
• 30 Day Avg. Volume: 78,094
• PEG Ratio: 1.51
• Price to Book (P/B): 5.00
• Price to Sales (P/S): 6.89
• P/FCF Ratio: 140.53
• 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: €237.43
• Price Target Upside: 44.42% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 8
• EPS Forecast (FY): 5.16
• Revenue Forecast (FY): €3.18B

• Rating: 52 Neutral
• Price Target: €165.00 ▲(0.36% Upside)
• Action: Reiterated Date: 02/22/26
• Date: Action: Reiterated 02/22/26

The score is driven primarily by mixed financial performance: strong TTM revenue rebound and improved profitability/leverage are offset by weak cash conversion and declining free cash flow. Technical signals are also a headwind with price below key moving averages and negative MACD. Valuation further pressures the score due to a high P/E and minimal dividend yield.

Positive Factors

Recurring consumables revenue

Sartorius's heavy exposure to single-use consumables creates durable recurring revenue and customer stickiness. Consumables are replenished with each production run, smoothing revenue volatility, supporting predictable aftermarket cashflows, and enabling higher lifetime value per customer over months to years.

TTM revenue rebound and improving profitability

A strong TTM revenue rebound with rising net margin signals operational recovery and demand normalization in bioprocessing. Sustained top-line growth improves capacity utilization and supports investments in R&D and service expansion, which can translate into durable earnings improvements if maintained.

Improved leverage (debt-to-equity)

A materially improved debt-to-equity ratio enhances financial flexibility and lowers refinancing risk. With leverage closer to more conservative levels, the company has greater capacity to fund working capital, capital expenditures, or strategic initiatives without immediate pressure from creditors over the next several months.

Negative Factors

Weak cash conversion and falling free cash flow

Substantial decline in free cash flow and low cash conversion relative to net income constrain self-funding capacity. This reduces ability to deleverage, invest, or return capital; raises dependency on external financing, and makes capital allocation sensitive to cash generation over the medium term.

Margins well below prior peak and volatile profitability

Persistent margin compression versus historical peaks indicates structural cost or mix pressures and limits returns on incremental revenue. Profitability volatility complicates forecasting and capital planning, reducing the reliability of earnings for sustaining long-term investments or payouts.

High absolute debt burden

Despite improved ratios, sizable absolute debt elevates interest expense sensitivity and restricts strategic options. Combined with modest ROE, the company may struggle to generate sufficiently high returns to rapidly de-lever without sustained margin expansion or stronger cash conversion.

Sartorius Stedim Biotech Business Overview & Revenue Model

Company Description

Sartorius Stedim Biotech S.A. produces and sells instruments and consumables for the biopharmaceutical industry worldwide. The company offers various products, such as cell lines; cell culture media; bioreactors; and a range of products for separation, purification, and concentration processes, as well as products and systems for storage and transportation of intermediate and finished biological products. It also provides cell cultivation, fermentation, filtration, purification, and fluid management services; single-use and reusable hollow-fiber membrane devices, as well as presterilized assemblies for cell and gene therapy applications; and cell harvesting and various other solutions for intensified bioprocesses. In addition, the company offers data analytics software for modeling and optimizing processes of biopharmaceutical development and production. It serves manufacturers of pharmaceuticals, foods, and chemicals, as well as research and development laboratories. The company was founded in 1870 and is headquartered in Aubagne, France. Sartorius Stedim Biotech S.A. is a subsidiary of Sartorius AG.

How the Company Makes Money

The company makes money primarily by selling bioprocessing products and solutions to biopharmaceutical manufacturers and related life-science customers. A major component of its revenue comes from recurring sales of consumables used in ongoing production workflows—especially single-use (disposable) items such as bioprocess bags, tubing assemblies, connectors, filters, and membranes—because these must be replenished continuously as customers run batches and scale manufacturing. In addition, Sartorius Stedim Biotech generates revenue from capital equipment and systems (e.g., single-use bioreactor systems, filtration skids/systems, process analytical instruments and monitoring hardware), which tend to be larger, less frequent purchases often linked to capacity expansions, new facility builds, or process upgrades. The company also earns money from service and support activities tied to its installed base, including maintenance, qualification/validation support, spare parts, training, and potentially software-related offerings that support process control, monitoring, and data management. Customer demand and earnings are influenced by biopharma R&D pipelines and manufacturing volumes (clinical-to-commercial scale-up), the adoption of single-use manufacturing, and capacity investment cycles in biologics; specific partnerships or their contribution to earnings are null.

Sartorius Stedim Biotech Financial Statement Overview

Summary

Revenue rebounded sharply in the TTM period and profitability improved versus 2024, with leverage also better than 2023. However, margins remain far below the 2021–2022 peak and free cash flow weakened materially with low cash conversion (FCF ~40% of net income), keeping overall financial quality mid-range.

Income Statement

TTM (Trailing-Twelve-Months) revenue rebounded sharply (+70.9%), and profitability improved versus 2024 (net margin ~8.9% vs ~6.3%). However, margins remain well below the 2021–2022 peak period (2022 net margin ~25.1%), and the multi-year trend shows meaningful volatility after the 2023–2024 slowdown.

Balance Sheet

Leverage looks more manageable than 2023, with debt-to-equity improving to ~0.64 in TTM (Trailing-Twelve-Months) from ~1.40 in 2023, supported by a larger equity base. That said, absolute debt remains high (~2.75B), and return on equity is modest in TTM (~6.6%), signaling profitability has not fully recovered relative to the capital employed.

Cash Flow

Cash generation is the key soft spot: TTM (Trailing-Twelve-Months) free cash flow fell materially (free cash flow growth ~-33.9%) and is low relative to earnings (free cash flow at ~40% of net income). Operating cash flow coverage also weakened versus 2024, pointing to less efficient conversion of profits into cash despite the top-line rebound.

Breakdown	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	2.97B	2.78B	2.78B	3.49B	2.89B
Gross Profit	1.35B	1.21B	1.23B	1.82B	1.55B
EBITDA	867.10M	670.50M	755.70M	1.33B	811.96M
Net Income	265.60M	175.10M	309.70M	876.10M	414.40M
Balance Sheet
Total Assets	8.02B	8.26B	7.74B	5.07B	3.95B
Cash, Cash Equivalents and Short-Term Investments	426.10M	688.80M	126.10M	133.00M	237.35M
Total Debt	2.75B	2.87B	3.68B	1.14B	625.52M
Total Liabilities	3.89B	4.23B	5.07B	2.55B	2.22B
Stockholders Equity	4.09B	3.99B	2.64B	2.45B	1.66B
Cash Flow
Free Cash Flow	145.40M	475.30M	156.10M	181.70M	371.98M
Operating Cash Flow	538.60M	815.10M	629.70M	612.30M	695.97M
Investing Cash Flow	-397.70M	-340.00M	-2.72B	-957.50M	-465.23M
Financing Cash Flow	-389.20M	84.90M	1.99B	220.70M	-69.27M

Sartorius Stedim Biotech Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 164.40
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For FR:DIM, the sentiment is Negative. The current price of 164.4 is below the 20-day moving average (MA) of 171.00, below the 50-day MA of 183.53, and below the 200-day MA of 190.31, indicating a bearish trend. The MACD of -4.21 indicates Negative momentum. The RSI at 42.05 is Neutral, neither overbought nor oversold. The STOCH value of 64.07 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for FR:DIM.

Sartorius Stedim Biotech Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
BIM	68 Neutral	€10.71B	32.73	9.69%	0.82%	8.28%	-8.08%
VIRP	68 Neutral	€2.95B	19.88	12.62%	0.41%	6.97%	-5.59%
IPN	67 Neutral	€12.37B	22.37	10.82%	1.17%	9.57%	-34.30%
SAN	66 Neutral	€93.65B	12.92	8.39%	4.77%	-9.82%	119.10%
ERF	54 Neutral	€11.13B	23.65	11.27%	0.97%	6.25%	18.93%
DIM	52 Neutral	€16.00B	76.93	6.65%	0.31%	7.72%	53.84%
Sector *	51 Neutral	$7.86B	-0.30	-43.30%	2.27%	22.53%	-2.21%