Sartorius Stedim Biotech (DIM) AI Stock Analysis

• Market Cap: €17.62B
• Dividend Yield: 0.31%
• Average Volume (3M): 78.09K
• Price to Earnings (P/E): 70.3
• Beta (1Y): 1.34
• 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: -2.26
• Price to Book (P/B): 4.58
• Price to Sales (P/S): 6.57
• P/FCF Ratio: 38.42
• 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: €235.86
• Price Target Upside: 30.31% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 7
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 61 Neutral
• Price Target: €215.00 ▲(18.78% Upside)

Sartorius Stedim Biotech's overall stock score reflects solid financial performance with stable revenue growth and healthy margins. However, challenges such as declining net income and free cash flow growth, along with a high P/E ratio indicating potential overvaluation, weigh on the score. Technical indicators suggest mixed momentum, with some signs of potential oversold conditions.

Positive Factors

Revenue Growth

The company's stable revenue growth indicates a strong market position and consistent demand for its products, supporting long-term business sustainability.

Operational Efficiency

Healthy EBIT and EBITDA margins demonstrate effective cost management and operational efficiency, which are critical for maintaining profitability.

Recurring Revenue Model

A strong recurring revenue model from consumables and services provides financial stability and predictability, enhancing long-term business resilience.

Negative Factors

Declining Net Income

A decline in net income can impact profitability and indicates potential issues in cost management or external pressures, affecting long-term financial health.

Decreasing Free Cash Flow

Decreasing free cash flow growth may limit the company's ability to invest in growth opportunities or manage debt, posing a risk to future financial flexibility.

Decreasing ROE

A decreasing ROE suggests reduced efficiency in generating profits from shareholders' equity, potentially impacting investor confidence and long-term growth prospects.

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

Sartorius Stedim Biotech generates revenue through several key streams, primarily by selling bioprocessing equipment, consumables, and services to the pharmaceutical and biotechnology sectors. The company’s revenue model is heavily reliant on the sale of single-use technologies, fermentation systems, and filtration products, which are essential in the production of biologics. Furthermore, Sartorius benefits from long-term partnerships with major pharmaceutical companies, providing them with tailored solutions that enhance production efficiency and compliance. The recurring revenue from consumables and services, including maintenance and technical support, also contributes significantly to its earnings. The company's strategic investments in research and development help maintain its competitive edge, while acquisitions of complementary businesses further expand its market reach and product offerings.

Sartorius Stedim Biotech Financial Statement Overview

Summary

Sartorius Stedim Biotech demonstrates solid operational efficiency with stable revenue growth and healthy margins. However, declining net income and free cash flow growth pose challenges. The balance sheet reflects a stable capital structure, but decreasing ROE suggests potential inefficiencies. Overall, the company is in a stable financial position but must address profitability and cash flow concerns to sustain growth.

Income Statement

Sartorius Stedim Biotech shows a stable revenue growth trajectory with a slight increase in gross profit margin over the TTM period. However, the net profit margin has decreased compared to previous years, indicating some pressure on profitability. The EBIT and EBITDA margins are healthy, reflecting efficient operations, but the declining net income suggests potential challenges in managing costs or external pressures.

Balance Sheet

The company maintains a moderate debt-to-equity ratio, indicating a balanced approach to leveraging. However, the return on equity has decreased over time, suggesting reduced efficiency in generating profits from shareholders' equity. The equity ratio remains stable, reflecting a solid capital structure, but the declining ROE is a concern for long-term profitability.

Cash Flow

Operating cash flow remains strong, but there is a significant decline in free cash flow growth, which could impact future investments or debt repayments. The operating cash flow to net income ratio is robust, indicating good cash generation relative to net income. However, the declining free cash flow to net income ratio highlights potential liquidity challenges.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	2.95B	2.78B	2.78B	3.49B	2.89B	1.91B
Gross Profit	1.34B	1.21B	1.23B	1.82B	1.55B	1.00B
EBITDA	808.00M	670.50M	755.70M	1.33B	811.96M	569.20M
Net Income	263.90M	175.10M	309.70M	876.10M	414.40M	335.93M
Balance Sheet
Total Assets	7.88B	8.26B	7.74B	5.07B	3.95B	3.07B
Cash, Cash Equivalents and Short-Term Investments	298.70M	688.80M	126.10M	133.00M	237.35M	69.61M
Total Debt	2.56B	2.87B	3.68B	1.14B	625.52M	586.78M
Total Liabilities	3.81B	4.23B	5.07B	2.55B	2.22B	1.59B
Stockholders Equity	4.04B	3.99B	2.64B	2.45B	1.66B	1.46B
Cash Flow
Free Cash Flow	233.90M	475.30M	156.10M	181.70M	371.98M	257.69M
Operating Cash Flow	590.00M	815.10M	629.70M	612.30M	695.97M	416.88M
Investing Cash Flow	-359.10M	-340.00M	-2.72B	-957.50M	-465.23M	-621.12M
Financing Cash Flow	-414.50M	84.90M	1.99B	220.70M	-69.27M	234.07M

Sartorius Stedim Biotech Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 181.00
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Positive
• 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 181 is below the 20-day moving average (MA) of 204.16, below the 50-day MA of 206.60, and below the 200-day MA of 194.54, indicating a bearish trend. The MACD of -5.77 indicates Positive momentum. The RSI at 29.60 is Positive, neither overbought nor oversold. The STOCH value of 20.61 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
SAN	75 Outperform	€99.13B	12.66	8.39%	4.77%	-9.82%	119.10%
VIRP	75 Outperform	€2.95B	22.00	12.92%	0.41%	6.97%	-5.59%
IPN	70 Outperform	€11.32B	25.13	10.82%	1.17%	9.57%	-34.30%
BIM	66 Neutral	€11.45B	30.39	9.69%	0.82%	8.28%	-8.08%
ERF	64 Neutral	€12.36B	25.72	11.27%	0.97%	6.25%	18.93%
DIM	61 Neutral	€17.62B	70.33	6.65%	0.31%	7.72%	53.84%
Sector *	51 Neutral	$7.86B	-0.30	-43.30%	2.27%	22.53%	-2.21%