Klepierre (ex Compagnie Fonciere Klepierre) (LI) AI Stock Analysis

• Market Cap: €9.02B
• Dividend Yield: 5.29%
• Average Volume (3M): 529.38K
• Price to Earnings (P/E): 7.9
• Beta (1Y): 0.39
• Revenue Growth: 6.74%
• EPS Growth: 74.00%
• Country: FR
• Employees: 1,056
• Sector: Real Estate
• Sector Strength: 53
• Industry: REIT - Retail
• EPS (TTM): 1.32
• Shares Outstanding: 286,861,180
• 10 Day Avg. Volume: 444,746
• 30 Day Avg. Volume: 529,384
• PEG Ratio: 0.02
• Price to Book (P/B): 0.92
• Price to Sales (P/S): 5.28
• P/FCF Ratio: 10.25
• 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: €34.27
• Price Target Upside: 7.09% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 7

• Rating: 71 Outperform
• Price Target: €36.00 ▲(12.50% Upside)

Klepierre's strong financial performance and attractive valuation are the primary drivers of its overall score. The company's robust profitability and effective cash flow management provide a solid foundation. However, technical analysis indicates potential bearish momentum, which slightly tempers the overall score. The absence of earnings call data and corporate events means these factors do not influence the score.

Klepierre (ex Compagnie Fonciere Klepierre) Business Overview & Revenue Model

Company Description

Klépierre is the European leader in shopping malls, combining property development and asset management skills. The Company's portfolio is valued at 20.7 billion at December 31, 2021, and comprises large shopping centers in more than 10 countries in Continental Europe which together host hundreds of millions of visitors per year. Klépierre holds a controlling stake in Steen & Strøm (56.1%), Scandinavia's number one shopping center owner and manager. Klépierre is a French REIT (SIIC) listed on Euronext Paris and is included in the CAC Next 20 and EPRA Euro Zone Indexes. It is also included in ethical indexes, such as Euronext CAC 40 ESG, MSCI Europe ESG Leaders, FTSE4Good, Euronext Vigeo Europe 120, and features in CDP's A-list. These distinctions underscore the Group's commitment to a proactive sustainable development policy and its global leadership in the fight against climate change. For more information, please visit the newsroom on our website: www.klepierre.com.

How the Company Makes Money

Klepierre generates revenue primarily through leasing retail spaces to a variety of tenants, including international brands, local retailers, and service providers. The company's revenue model is largely based on rental income, which includes fixed rents and variable rents based on sales performance of the tenants. Additionally, Klepierre earns income from property management fees and service charges related to the upkeep and operation of its properties. Significant partnerships with retail brands and strategic collaborations with local governments enhance its market presence and drive foot traffic to its centers. The company's focus on property development and renovations also contributes to increasing asset value and rental income over time.

Klepierre (ex Compagnie Fonciere Klepierre) Financial Statement Overview

Summary

Klepierre exhibits strong profitability and effective cash flow management, supported by a stable balance sheet. The company shows effective leverage management and strong returns on equity. While revenue growth is modest, profitability metrics are robust, indicating well-managed operations. The financial health of the company is solid, providing a good foundation for future stability and growth.

Income Statement

Klepierre shows strong profitability with impressive gross profit and net profit margins at 75.4% and 73.0% respectively for 2024. The company has demonstrated significant EBIT and EBITDA margins of 102.1% and 113.5%. Revenue growth from 2023 to 2024 is modest at 0.44%, indicating stable operations. However, the high EBIT and EBITDA margins may suggest aggressive cost management or non-recurring items, which should be monitored for sustainability.

Balance Sheet

Klepierre maintains a solid balance sheet with a debt-to-equity ratio of 0.93, indicating a balanced leverage position. The return on equity is strong at 12.8%, showing effective utilization of shareholder funds. The equity ratio stands at 41.0%, reflecting a stable capital structure. While debt is significant, it is well-managed relative to equity.

Cash Flow

The company's free cash flow growth is solid at 4.5% from 2023 to 2024, indicating effective cash generation. The operating cash flow to net income ratio of 0.88 suggests high-quality earnings. Free cash flow to net income ratio is also strong at 0.71, highlighting efficient cash conversion despite moderate revenue growth. The cash flow position is healthy, supporting ongoing operations and potential growth opportunities.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	1.25B	1.50B	1.50B	1.51B	1.32B	1.39B
Gross Profit	927.90M	1.13B	1.09B	1.10B	935.90M	915.30M
EBITDA	793.00M	1.71B	960.80M	954.40M	900.20M	797.40M
Net Income	870.60M	1.10B	192.70M	415.20M	544.70M	-785.70M
Balance Sheet
Total Assets	21.88B	20.97B	20.09B	20.55B	21.78B	22.88B
Cash, Cash Equivalents and Short-Term Investments	957.10M	400.80M	358.70M	281.60M	640.00M	462.10M
Total Debt	8.54B	7.98B	7.89B	7.93B	9.05B	9.93B
Total Liabilities	11.18B	10.32B	10.07B	10.09B	11.19B	12.45B
Stockholders Equity	8.65B	8.60B	8.02B	8.36B	8.40B	8.18B
Cash Flow
Free Cash Flow	540.55M	774.70M	741.60M	638.90M	610.20M	460.40M
Operating Cash Flow	659.45M	965.00M	933.80M	826.10M	778.50M	668.10M
Investing Cash Flow	-82.40M	-275.60M	-100.00M	352.30M	651.20M	-63.90M
Financing Cash Flow	-800.90M	-646.30M	-807.80M	-1.52B	-1.25B	-606.00M

Klepierre (ex Compagnie Fonciere Klepierre) Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 32.00
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For FR:LI, the sentiment is Negative. The current price of 32 is below the 20-day moving average (MA) of 33.03, below the 50-day MA of 33.72, and above the 200-day MA of 30.96, indicating a neutral trend. The MACD of -0.21 indicates Negative momentum. The RSI at 37.33 is Neutral, neither overbought nor oversold. The STOCH value of 45.75 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for FR:LI.

Klepierre (ex Compagnie Fonciere Klepierre) Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
CARM	76 Outperform	€2.39B	6.94	―	7.37%	16.69%	574.43%
COV	71 Outperform	€6.13B	14.59	5.11%	6.36%	8.36%	―
LI	71 Outperform	€9.02B	7.89	14.13%	5.29%	6.74%	74.00%
MERY	68 Neutral	€1.01B	32.42	5.24%	9.23%	-1.19%	-46.75%
Sector *	65 Neutral	$2.17B	12.19	3.79%	4.94%	3.15%	1.96%
URW	62 Neutral	€12.67B	16.42	―	3.96%	4.09%	―
FREY	57 Neutral	€876.20M	138.35	0.61%	6.99%	8.81%	-78.28%