Eiffage (FGR) AI Stock Analysis

• Market Cap: €14.16B
• Dividend Yield: 3.87%
• Average Volume (3M): 220.41K
• Price to Earnings (P/E): 13.3
• Beta (1Y): 1.11
• Revenue Growth: 7.71%
• EPS Growth: -2.82%
• Country: FR
• Employees: 84,400
• Sector: Industrials
• Sector Strength: 72
• Industry: Engineering & Construction
• EPS (TTM): 7.43
• Shares Outstanding: 98,000,000
• 10 Day Avg. Volume: 225,197
• 30 Day Avg. Volume: 220,408
• PEG Ratio: -20.51
• Price to Book (P/B): 1.51
• Price to Sales (P/S): 0.44
• P/FCF Ratio: 4.03
• 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: €157.75
• Price Target Upside: 7.90% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 4
• EPS Forecast (FY): 11.4
• Revenue Forecast (FY): €26.16B

• Rating: 69 Neutral
• Price Target: €160.00 ▲(9.44% Upside)
• Action: Downgraded Date: 02/27/26
• Date: Action: Downgraded 02/27/26

The score is driven primarily by solid financial performance (steady growth and durable cash generation) offset by high leverage. Valuation is supportive with a moderate P/E and solid dividend yield, while technicals show a strong trend but are currently overextended on momentum indicators.

Positive Factors

Consistent free cash flow

Consistently positive and substantial free cash flow over multiple years provides durable funding for capex, dividends and PPP investments. High FCF conversion (66%–85% of net income 2021–25) supports operational resilience and reduces reliance on external financing in a cyclical sector.

Stable revenue and margins

A steady top-line trajectory with mid‑teens EBITDA and ~10% EBIT margins demonstrates repeatable project execution and pricing power on infrastructure contracts. This margin stability underpins sustainable operating cash flows and competitive bidding capacity over the medium term.

Diversified project mix & PPP exposure

A diversified portfolio across construction, civil engineering, energy and PPPs reduces single-market cyclicality. Long‑dated PPP contracts and renewable energy engagements create recurring revenue streams and predictable project pipelines, improving long‑term cash visibility and contract win probability.

Negative Factors

Elevated leverage

A debt‑heavy capital structure (debt/equity ~2.2–2.8x) materially limits financial flexibility. In a cyclical construction industry this increases refinancing and interest rate vulnerability, constraining ability to pursue large projects or absorb demand shocks without asset sales or higher funding costs.

Modest net profit margin

Net margins near ~4% leave limited buffer against cost inflation, project overruns or lower utilization. Even with healthy EBITDA margins, modest net profitability reduces retained earnings and slows deleveraging, making the company more sensitive to revenue or margin shocks over the medium term.

Recent FCF growth weakness vs. debt

A negative FCF growth inflection in 2025 and OCF lagging debt accumulation signal potential strain: recurring cash generation may be insufficient to reduce leverage. That increases reliance on refinancing or asset monetization and reduces headroom for sustained capex or shareholder returns in downturns.

Eiffage Business Overview & Revenue Model

Company Description

Eiffage SA engages in the construction, infrastructure, energy systems, and concessions businesses in France and internationally. The company's Construction segment offers urban development, building design and construction, property development, and maintenance and facilities management services for public and private-sector customers. Its Infrastructure segment is involved in the civil engineering, road and rail design and construction, drainage, earthworks, and metallic construction. The company's Energy Systems segment designs, constructs, integrates, operates, and maintains of energy and telecommunication systems and installations. Its Concessions segment finances, designs, builds, maintains, and services motorways and other large infrastructure projects, public facilities, and buildings and urban developments, as well as operates toll structures under concessions and public-private partnerships. The company was incorporated in 1920 and is headquartered in Vélizy-Villacoublay, France.

How the Company Makes Money

Eiffage generates revenue primarily through its diverse portfolio of construction and engineering projects. The company secures contracts from both public and private sectors, which are vital revenue streams. Key sources of income include the construction of transportation infrastructure (roads, railways, airports), buildings (commercial, residential), and civil engineering works (dams, tunnels). Additionally, Eiffage has revenue from its energy sector, focusing on renewable energy solutions and energy efficiency projects. The company also engages in public-private partnerships (PPP), allowing it to share investment risks while benefiting from long-term revenue through facility management and operation contracts. Strategic partnerships with local governments and other stakeholders further enhance its project pipeline and revenue potential.

Eiffage Financial Statement Overview

Summary

Steady revenue growth and stable mid-teens EBITDA margins support operating resilience, and free cash flow is consistently positive with decent earnings backing. The main drag is elevated leverage (high debt-to-equity), plus a 2025 slowdown in free cash flow growth, which increases risk in a cyclical industry.

Income Statement

Revenue has grown steadily from 2021–2025, with 2025 revenue up ~4.8% year over year, supporting a constructive top-line trajectory. Profitability is stable for the sector, with EBITDA margin consistently around the mid-teens and EBIT margin near ~10%, though net profit margin remains modest (~4%) and slightly lower in 2025 versus 2024. Overall, the income statement shows consistent operating performance, but limited net margin expansion.

Balance Sheet

Leverage is the key constraint: debt-to-equity remains elevated (roughly ~2.2–2.8x across 2021–2025), which reduces financial flexibility even as equity has grown. Returns on equity are solid (mid-teens in most years, ~13.6% in 2025), indicating the company is generating reasonable profits on shareholder capital. Net-net: good returns, but a debt-heavy capital structure increases risk if operating conditions weaken.

Cash Flow

Cash generation is a clear strength: free cash flow is consistently positive and substantial, and free cash flow is well-supported by earnings (free cash flow running at ~66%–85% of net income over 2021–2025). However, free cash flow growth turned negative in 2025 (about -5.8%), and operating cash flow has not been keeping pace with total debt levels, implying ongoing reliance on sustained cash generation and refinancing conditions. Overall cash flow quality is good, with a recent soft patch in growth.

Breakdown	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	26.12B	24.02B	22.37B	20.87B	19.20B
Gross Profit	3.38B	20.07B	18.42B	2.65B	2.27B
EBITDA	4.20B	4.05B	3.86B	3.41B	3.08B
Net Income	1.02B	1.04B	1.01B	896.00M	753.00M
Balance Sheet
Total Assets	40.93B	40.31B	37.83B	36.20B	33.70B
Cash, Cash Equivalents and Short-Term Investments	5.95B	6.10B	5.01B	4.82B	4.87B
Total Debt	16.77B	16.70B	15.98B	15.94B	15.32B
Total Liabilities	32.04B	32.15B	29.88B	28.77B	26.98B
Stockholders Equity	7.50B	6.72B	6.46B	6.18B	5.49B
Cash Flow
Free Cash Flow	2.82B	3.16B	2.46B	1.96B	1.70B
Operating Cash Flow	3.47B	3.71B	3.32B	2.95B	2.70B
Investing Cash Flow	-2.01B	-1.51B	-1.22B	-2.34B	-1.10B
Financing Cash Flow	-1.64B	-1.07B	-1.90B	-715.00M	-1.95B

Eiffage Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 146.20
• 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:FGR, the sentiment is Positive. The current price of 146.2 is above the 20-day moving average (MA) of 136.02, above the 50-day MA of 127.85, and above the 200-day MA of 118.37, indicating a bullish trend. The MACD of 5.28 indicates Negative momentum. The RSI at 86.02 is Negative, neither overbought nor oversold. The STOCH value of 90.62 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for FR:FGR.

Eiffage Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
EN	76 Outperform	€20.20B	17.80	8.45%	4.51%	0.88%	-2.06%
DG	73 Outperform	€78.56B	16.08	16.66%	3.96%	3.21%	4.24%
RXL	70 Neutral	€10.81B	18.46	4.63%	3.61%	2.16%	-64.02%
FGR	69 Neutral	€14.16B	13.28	14.39%	3.87%	7.71%	-2.82%
ALO	67 Neutral	€13.07B	41.73	3.25%	―	4.58%	―
SPIE	66 Neutral	€8.93B	43.44	10.66%	2.14%	10.87%	-10.35%
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%