La Francaise de l'Energie (FDE) AI Stock Analysis

• Market Cap: €174.35M
• Dividend Yield: N/A
• Average Volume (3M): 10.82K
• Price to Earnings (P/E): 47.2
• Beta (1Y): 0.63
• Revenue Growth: -3.42%
• EPS Growth: -62.80%
• Country: FR
• Employees: 48
• Sector: Energy
• Sector Strength: 52
• Industry: Oil & Gas Exploration & Production
• EPS (TTM): 0.35
• Shares Outstanding: 5,291,316
• 10 Day Avg. Volume: 5,699
• 30 Day Avg. Volume: 10,823
• PEG Ratio: -0.87
• Price to Book (P/B): 2.32
• Price to Sales (P/S): 6.58
• P/FCF Ratio: -10.70
• 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: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0
• EPS Forecast (FY): 0.73
• Revenue Forecast (FY): €38.33M

• Rating: 60 Neutral
• Price Target: €38.00 ▲(20.63% Upside)
• Action: Reiterated Date: 02/03/26
• Date: Action: Reiterated 02/03/26

The score is driven by mixed financial performance—solid revenue growth and operating efficiency, but weakened cash flow (negative free cash flow) and increased leverage. Technicals are supportive with a clear uptrend and positive momentum, while valuation is a drag due to a high P/E and no dividend yield data.

Positive Factors

Renewable business model

FDE's core focus on biogas and biomass positions it in structurally growing decarbonization markets with municipal and industrial clients. Long-term contracts, consulting and potential government incentives create durable revenue visibility and align the company with lasting sustainability policies.

Revenue growth

A 15.7% revenue increase indicates the company is scaling its installations and offtake agreements. Sustained top-line growth supports capacity investment, operational leverage and strengthens negotiating power with feedstock suppliers and clients, improving long-term business resilience.

Operational margins

Maintained healthy EBIT/EBITDA margins demonstrate operational efficiency in converting feedstock and plant operations into cash earnings. Durable margins provide buffer against commodity or input cost swings and support reinvestment into plants and maintenance over multi-year horizons.

Negative Factors

Weak cash flow generation

Significantly lower operating cash flow and negative free cash flow limit the firm’s internal ability to fund capex, maintenance and growth. Over several quarters this raises dependence on external financing, constrains strategic flexibility and increases refinancing and liquidity vulnerability.

Rising leverage

An increased debt-to-equity ratio elevates interest and refinancing risk, reducing financial headroom for new projects. For a capital-intensive renewables operator, higher leverage can crowd out investment in plant upgrades or expansion and raises sensitivity to rate cycles over the medium term.

Pressure on profitability

Declining gross and net margins alongside lower ROE indicate mounting cost or pricing pressures and weaker capital returns. Persisting margin erosion can impair cash generation, reduce ability to self-fund projects and weaken competitiveness versus more efficient peers over multiple quarters.

La Francaise de l'Energie Business Overview & Revenue Model

Company Description

La Francaise de l'Energie (FDE) is a French company specializing in the production and distribution of renewable energy, primarily focusing on biogas and biomass solutions. The company operates in the energy sector, leveraging innovative technologies to convert organic waste into sustainable energy sources. FDE is committed to promoting environmental sustainability and reducing carbon footprints through its core services, which include energy production, waste management, and consulting for energy efficiency.

How the Company Makes Money

La Francaise de l'Energie generates revenue through several key streams. Primarily, the company earns money by producing and selling renewable energy generated from biogas and biomass. This energy is sold to various clients, including municipalities, industries, and energy distributors, often under long-term contracts that provide stable income. Additionally, FDE offers consulting services related to energy efficiency and waste management, which contribute to its revenue. The company may also benefit from government subsidies and incentives aimed at promoting renewable energy initiatives. Strategic partnerships with local governments and private organizations enhance its market reach and operational capabilities, further solidifying its revenue base.

La Francaise de l'Energie Financial Statement Overview

Summary

Revenue growth is strong (15.7%) and EBIT/EBITDA margins remain healthy, but profitability is under pressure (declining gross and net margins). Balance sheet risk has increased due to higher leverage and lower ROE, while cash flow quality is a key weakness with significantly lower operating cash flow and negative free cash flow.

Income Statement

La Francaise de l'Energie has shown a positive revenue growth rate of 15.7% in the latest year, indicating a strong upward trajectory. However, the gross profit margin has decreased from previous years, and the net profit margin has also seen a decline, suggesting some pressure on profitability. The EBIT and EBITDA margins remain healthy, reflecting operational efficiency.

Balance Sheet

The company's debt-to-equity ratio has increased, indicating higher leverage, which could pose a risk if not managed carefully. Return on equity has decreased, reflecting lower profitability for shareholders. The equity ratio remains stable, suggesting a balanced asset structure.

Cash Flow

The operating cash flow has decreased significantly, and free cash flow is negative, which could impact the company's ability to fund operations and growth. The free cash flow growth rate is positive, but from a negative base, indicating volatility. The operating cash flow to net income ratio suggests challenges in converting income into cash.

Breakdown	Sep 2025	Sep 2024	Jun 2023	Jun 2022	Jun 2021
Income Statement
Total Revenue	30.37M	31.45M	39.23M	26.22M	10.24M
Gross Profit	14.27M	20.27M	30.89M	17.77M	4.50M
EBITDA	15.34M	18.66M	20.04M	16.55M	2.85M
Net Income	3.68M	9.72M	11.97M	7.31M	273.56K
Balance Sheet
Total Assets	259.39M	199.71M	163.17M	146.47M	107.05M
Cash, Cash Equivalents and Short-Term Investments	62.57M	47.62M	42.97M	23.99M	6.98M
Total Debt	125.03M	81.15M	68.11M	55.77M	27.11M
Total Liabilities	158.57M	109.23M	89.49M	83.38M	51.77M
Stockholders Equity	86.09M	82.55M	73.95M	63.33M	55.32M
Cash Flow
Free Cash Flow	-18.67M	4.66M	8.96M	-4.46M	-5.36M
Operating Cash Flow	3.99M	14.21M	19.21M	7.91M	5.29M
Investing Cash Flow	-23.82M	-11.36M	-7.95M	-13.64M	-9.49M
Financing Cash Flow	34.43M	1.68M	5.09M	22.87M	7.28M

La Francaise de l'Energie Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 31.50
• 50DMA: Negative
• 100DMA: Negative
• 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:FDE, the sentiment is Negative. The current price of 31.5 is below the 20-day moving average (MA) of 33.92, below the 50-day MA of 33.04, and below the 200-day MA of 32.14, indicating a neutral trend. The MACD of -0.19 indicates Positive momentum. The RSI at 45.80 is Neutral, neither overbought nor oversold. The STOCH value of 33.30 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for FR:FDE.

La Francaise de l'Energie Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
MAU	77 Outperform	€1.77B	8.24	21.70%	6.70%	-14.28%	-9.30%
EC	75 Outperform	€873.00M	15.69	4.13%	47.20%	-8.54%	47.48%
Sector *	65 Neutral	$15.17B	7.61	4.09%	5.20%	3.87%	-62.32%
FDE	60 Neutral	€174.35M	47.23	4.36%	―	-3.42%	-62.80%