Lisi SA (FII) AI Stock Analysis

• Market Cap: €2.34B
• Dividend Yield: 0.74%
• Average Volume (3M): 33.39K
• Price to Earnings (P/E): 16.8
• Beta (1Y): 0.99
• Revenue Growth: 9.17%
• EPS Growth: 12.78%
• Country: FR
• Employees: 10,167
• Sector: Industrials
• Sector Strength: 72
• Industry: Aerospace & Defense
• EPS (TTM): 2.22
• Shares Outstanding: 46,538,315
• 10 Day Avg. Volume: 24,786
• 30 Day Avg. Volume: 33,391
• PEG Ratio: 0.12
• Price to Book (P/B): 2.23
• Price to Sales (P/S): 1.39
• P/FCF Ratio: 32.76
• 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: €62.00
• Price Target Upside: 20.62% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 1
• EPS Forecast (FY): 2.71
• Revenue Forecast (FY): €2.06B

• Rating: 60 Neutral
• Price Target: €59.00 ▲(14.79% Upside)
• Action: Downgraded Date: 03/01/26
• Date: Action: Downgraded 03/01/26

The score is driven primarily by steady but mixed fundamentals: improved leverage and solid 2025 profitability are offset by a 2025 revenue decline, volatile margins, and only moderate cash conversion. Technicals are mixed with weaker near-term price action but better long-term positioning, while valuation is reasonable but supported by a low dividend yield.

Positive Factors

Recurring aerospace & auto supply

LISI’s core model rests on long-term supply programs and certified, high-reliability parts for aerospace and high-volume automotive fasteners. These recurring contracts and approved‑supplier status create durable revenue baselines and high switching costs, supporting predictable demand across program lifecycles.

Manageable leverage

Reduced leverage (debt under 50% of equity) improves financial flexibility, lowering refinancing and covenant risk. This stronger balance sheet position supports capital spending for industrial footprint and cushions cyclical downturns, enhancing the company's ability to sustain long‑term supplier commitments.

Consistent positive operating cash flow

Steady operating cash generation underpins funding for working capital, maintenance capex and selective investment without full reliance on external financing. Even with moderate conversion, recurring positive cash flow supports long-term operations and the ability to preserve supplier qualifications and manufacturing capability.

Negative Factors

2025 revenue setback

A notable revenue decline in 2025 interrupts prior multi‑year expansion and highlights exposure to aircraft build rates and auto production cycles. Reduced topline can compress capacity utilization and margins, making earnings and return metrics more susceptible to industry demand swings over the next several quarters.

Earnings margin volatility

Marked margin swings reduce earnings predictability and complicate multi‑year planning. Volatility suggests sensitivity to mix, input costs or program transitions; if recurring, it can erode investor confidence and pressure the company’s ability to consistently generate the operating profits needed to support ROE and debt reduction targets.

Moderate free cash flow conversion

FCF conversion below half of reported earnings indicates working‑capital demands or capex absorb a large share of profit. This limits the company’s capacity to accelerate deleveraging, increase strategic investments, or expand shareholder returns during revenue downturns, constraining financial optionality.

Lisi SA Business Overview & Revenue Model

Company Description

Lisi S.A. provides assembly and component solutions for the aerospace, automotive, and medical industries in France and internationally. It operates through three divisions: LISI Aerospace, LISI Automotive, and LISI Medical. It offers titanium nuts, lightning strike protection, safety locks, and fuse pins; compressor blade and strut for the LEAP engine; LEAP engines composite fan blade leading edge; air intake lipskin for the airbus; power transmission semi-machined gears; stator vanes; and satellite antenna brackets for airplanes and helicopters. It also provides guide pins and electric parking brakes; braking systems and direct engine injections; screws and nuts; belt and seat mechanism products; special parts for motors and safety systems; clips for interior and exterior trim; assembly reduction and optimization solutions; and cable ducts. In addition, it offers assembly solutions, battery fastening systems, complex power transmission parts, and other automotive standard fasteners; clipped fastening systems for interior and exterior cladding, fasteners for tubes and cables, as well as solutions for weight reduction and optimizing assemblies; and covers components for braking, fluid management, and seat adjustment and interior safety systems. Further, it engages in the designing and modeling, prototypes, pre-series, materials, process validation, and replenishment of inventories; offers shoulders, reconstruction implants solutions for hips, knees, extremities, and instruments; blades, scissors, staplers, and pliers for surgery; and spinal and trauma implants, such as connectors, screws, cages, plates, and prostheses medical devices for treating trauma and osteosynthesis. The company was formerly known as GFI Industries and changed its name to LISI S.A. in 2002. The company was founded in 1777 and is headquartered in Belfort, France. Lisi S.A. operates as a subsidiary of Compagnie Industrielle De Delle S.A.

How the Company Makes Money

Lisi SA generates revenue through the sale of its manufactured fasteners and components to clients in the aerospace, automotive, and medical industries. The company benefits from long-term contracts with major manufacturers, ensuring a steady income stream. Key revenue sources include direct sales to OEMs (Original Equipment Manufacturers) and Tier 1 suppliers, as well as aftermarket sales for maintenance and repair services. Additionally, Lisi SA has formed strategic partnerships with leading companies in its target sectors, which enhances its market reach and contributes to its earnings through collaborative projects and shared innovation efforts. The company also invests in research and development to expand its product offerings and maintain competitive advantage, further driving revenue growth.

Lisi SA Financial Statement Overview

Summary

Financials reflect a stable but uneven profile: 2025 revenue declined (-6.7%) after strong multi-year growth, profitability is solid (~9% operating margin, ~8% net margin) but volatile year-to-year, leverage improved to a manageable level (debt under half of equity) with ROE ~13%, while cash conversion is only moderate as operating/FCF trail net income and FCF dipped (~-7%) in 2025.

Income Statement

Revenue expanded strongly from 2021–2024 but declined in 2025 (-6.7%), signaling a near-term growth setback. Profitability improved materially versus the loss-making 2020 period, with 2025 showing solid operating and net profitability (about 9% operating margin and ~8% net margin). However, margins are volatile year-to-year (notably a sharp swing in gross margin in 2025 versus prior years), which reduces confidence in the durability of earnings quality.

Balance Sheet

Leverage looks manageable with debt at under half of equity in 2025 (down from higher levels in 2023–2024), reflecting improved balance-sheet flexibility. Equity has been maintained at a solid level relative to total assets, and returns to shareholders strengthened in 2025 (return on equity ~13%) after weaker levels in 2021–2024. The main risk is that profitability has not been consistently high across the cycle, which can pressure leverage metrics if earnings soften.

Cash Flow

The business generates positive operating cash flow each year, supporting financial stability, but cash conversion is only moderate relative to reported profits in 2025 (operating cash flow and free cash flow trail net income). Free cash flow remains positive but dipped in 2025 (down ~7%), and free cash flow as a share of earnings is consistently below 50% in recent years, suggesting working-capital or investment needs are absorbing cash.

Breakdown	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	1.75B	1.79B	1.63B	1.43B	1.16B
Gross Profit	120.85M	840.32M	751.26M	178.49M	131.36M
EBITDA	253.91M	241.33M	182.04M	182.95M	161.25M
Net Income	139.72M	56.01M	37.53M	56.96M	44.05M
Balance Sheet
Total Assets	2.12B	2.21B	2.06B	2.00B	1.92B
Cash, Cash Equivalents and Short-Term Investments	270.44M	191.66M	139.31M	144.15M	215.87M
Total Debt	504.16M	680.19M	640.37M	435.64M	488.15M
Total Liabilities	1.03B	1.20B	1.12B	880.66M	870.91M
Stockholders Equity	1.08B	999.63M	932.57M	1.12B	1.05B
Cash Flow
Free Cash Flow	74.00M	80.04M	38.03M	18.16M	48.80M
Operating Cash Flow	174.68M	186.84M	136.92M	128.71M	115.44M
Investing Cash Flow	132.13M	-105.80M	-99.77M	-110.76M	-128.50M
Financing Cash Flow	-185.73M	-43.81M	-61.22M	-98.40M	-18.39M

Lisi SA Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 51.40
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For FR:FII, the sentiment is Negative. The current price of 51.4 is below the 20-day moving average (MA) of 58.31, below the 50-day MA of 56.04, and above the 200-day MA of 46.50, indicating a neutral trend. The MACD of 0.39 indicates Positive momentum. The RSI at 34.31 is Neutral, neither overbought nor oversold. The STOCH value of 8.37 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for FR:FII.

Lisi SA Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
EXA	74 Outperform	$2.16B	1,543.77	1.12%	―	29.80%	―
ALSOG	70 Outperform	€91.83M	18.20	―	3.76%	2.53%	76.19%
AIR	66 Neutral	€138.10B	26.53	23.44%	1.53%	7.05%	54.98%
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%
FII	60 Neutral	€2.34B	16.80	6.49%	0.74%	9.17%	12.78%
LAT	49 Neutral	€206.88M	-11.43	-17.24%	―	8.61%	-216.67%
FGA	49 Neutral	€445.51M	-48.92	-14.52%	―	7.63%	28.06%