Wendel SE (MF) AI Stock Analysis

• Market Cap: €3.84B
• Dividend Yield: 4.62%
• Average Volume (3M): 43.88K
• Price to Earnings (P/E): 12.9
• Beta (1Y): 0.95
• Revenue Growth: 13.13%
• EPS Growth: 105.81%
• Country: FR
• Employees: 92,426
• Sector: Industrials
• Sector Strength: 83
• Industry: Asset Management
• EPS (TTM): -2.22
• Shares Outstanding: 44,461,998
• 10 Day Avg. Volume: 65,839
• 30 Day Avg. Volume: 43,875
• PEG Ratio: -0.57
• Price to Book (P/B): 1.35
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 3.48
• 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: €106.00
• Price Target Upside: 19.91% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 2

• Rating: 76 Outperform
• Price Target: €97.00 ▲(9.73%Upside)

Wendel SE's stock demonstrates solid financial performance, driven by robust revenue growth and strong cash flow. The technical analysis supports a positive momentum, while the valuation indicates the stock is undervalued with a high dividend yield. These factors contribute to a favorable investment outlook.

Wendel SE Business Overview & Revenue Model

Company Description

Wendel SE is a prominent European investment firm specializing in long-term capital investments in a diversified portfolio of companies across various sectors. The firm primarily operates in industries such as industrials, technology, healthcare, and business services. Wendel SE focuses on creating value through active ownership, strategic guidance, and operational support to its portfolio companies, enhancing their growth and competitiveness in the global market.

How the Company Makes Money

Wendel SE makes money through its investment activities by acquiring significant stakes in companies and driving their growth and profitability over the long term. The firm generates revenue primarily through capital gains realized from the sale of its investments when the companies achieve a higher valuation. Additionally, Wendel SE earns income through dividends distributed by its portfolio companies. The firm maintains strategic partnerships and leverages its expertise to optimize the operations and financial performance of its investments, which contributes to the overall earnings.

Wendel SE Financial Statement Overview

Summary

Wendel SE exhibits stable financial performance with significant revenue growth, strong operational profitability, and efficient cash flow generation. However, there is room for improvement in the net profit margin.

Income Statement

Wendel SE has demonstrated a solid financial performance with a consistent increase in total revenue over the years, highlighted by a notable revenue growth rate of 13.13% from 2023 to 2024. The gross profit margin is strong due to the high gross profit, suggesting effective cost management. However, the net profit margin is relatively lower, indicating potential areas for further cost optimization or enhanced efficiency. The EBIT and EBITDA margins are healthy, underscoring operational profitability.

Balance Sheet

The balance sheet reflects a moderate debt-to-equity ratio of 2.09 for 2024, signaling a balanced approach to leveraging debt. The return on equity (ROE) has improved significantly, reaching 9.12% in 2024, indicative of enhanced profitability relative to shareholders' equity. The equity ratio of 20.85% suggests a moderate reliance on debt financing, which could pose risks if not managed carefully.

Cash Flow

Wendel SE's cash flow statements show robust free cash flow growth and a strong operating cash flow to net income ratio of 5.42 for 2024, highlighting efficient cash generation from operations. The free cash flow to net income ratio stands at 4.72, indicating substantial cash flows relative to net income, which strengthens the company's liquidity position.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	8.06B	7.13B	8.70B	7.50B	6.83B
Gross Profit	8.27B	863.70M	964.20M	806.10M	480.90M
EBITDA	1.62B	1.54B	1.58B	1.38B	1.12B
Net Income	293.90M	142.40M	71.20M	1.05B	-264.00M
Balance Sheet
Total Assets	15.46B	15.05B	14.38B	14.18B	13.21B
Cash, Cash Equivalents and Short-Term Investments	3.51B	2.42B	3.33B	2.55B	3.21B
Total Debt	6.75B	6.11B	6.06B	5.93B	6.54B
Total Liabilities	10.29B	10.22B	9.74B	9.99B	9.92B
Stockholders Equity	3.22B	2.68B	2.79B	2.60B	2.00B
Cash Flow
Free Cash Flow	1.39B	1.18B	1.09B	1.02B	966.70M
Operating Cash Flow	1.59B	1.41B	1.36B	1.27B	1.19B
Investing Cash Flow	135.70M	-1.70B	326.00M	-998.10M	-220.50M
Financing Cash Flow	-583.80M	-189.60M	-672.50M	-953.80M	-668.40M

Wendel SE Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 88.40
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For FR:MF, the sentiment is Positive. The current price of 88.4 is above the 20-day moving average (MA) of 86.18, above the 50-day MA of 84.74, and above the 200-day MA of 87.18, indicating a bullish trend. The MACD of 0.77 indicates Negative momentum. The RSI at 65.66 is Neutral, neither overbought nor oversold. The STOCH value of 80.55 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for FR:MF.

Wendel SE Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
ANTIN	79 Outperform	€2.01B	15.38	26.49%	5.60%	12.55%	73.46%
MF	76 Outperform	€3.84B	12.85	-13.50%	4.62%	13.13%	105.81%
PEUG	75 Outperform	€1.80B	12.33	2.80%	3.85%	6.78%	7.28%
Sector *	67 Neutral	€9.99B	16.74	3.59%	3.47%	3.93%	-21.05%
TKO	61 Neutral	€3.25B	21.07	4.85%	3.71%	3.63%	-13.08%
RF	51 Neutral	€4.38B	―	-5.60%	3.80%	-83.07%	-123.07%