Parrot SA (PARRO) AI Stock Analysis

• Market Cap: €271.66M
• Dividend Yield: N/A
• Average Volume (3M): 79.79K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.93
• Revenue Growth: 26.59%
• EPS Growth: 32.48%
• Country: FR
• Employees: 416
• Sector: Technology
• Sector Strength: 88
• Industry: Communication Equipment
• EPS (TTM): -0.47
• Shares Outstanding: 30,940,346
• 10 Day Avg. Volume: 100,455
• 30 Day Avg. Volume: 79,794
• PEG Ratio: 0.13
• Price to Book (P/B): 1.86
• Price to Sales (P/S): 1.12
• P/FCF Ratio: 24.48
• 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: N/A
• Price Target Upside: N/A
• Rating Consensus: Hold
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 49 Neutral
• Price Target: €8.00 ▼(-8.88% Downside)

Parrot SA's overall stock score reflects a mixed financial performance with signs of recovery, but ongoing profitability challenges. Technical analysis indicates bearish momentum, and valuation metrics are unfavorable due to negative earnings. The absence of earnings call insights and corporate events limits additional context.

Positive Factors

Revenue Growth

The significant revenue growth indicates strong market demand and successful product adoption, positioning Parrot SA for future expansion.

Cash Flow Improvement

Improved cash flow reflects better cash management and operational efficiency, enhancing Parrot SA's ability to reinvest in growth opportunities.

Stable Balance Sheet

A stable balance sheet with low leverage provides financial stability and flexibility, supporting long-term strategic initiatives.

Negative Factors

Profitability Challenges

Ongoing profitability issues could hinder Parrot SA's ability to sustain growth and invest in new opportunities, impacting long-term viability.

Reduced Financial Flexibility

A declining equity ratio suggests reduced financial flexibility, which may limit Parrot SA's ability to respond to market changes or invest in growth.

Historical Negative Cash Flows

Past negative cash flows indicate potential vulnerabilities in cash management, requiring ongoing attention to ensure future financial stability.

Parrot SA Business Overview & Revenue Model

Company Description

Parrot S.A. provides commercial drones, covering equipment, and software and services in France and internationally. It also offers Pix4Dmapper, a drone modelling software; data sensors for precision farming; and mobile, desktop, cloud, SaaS, and business solutions. In addition, the company offers drone-based vine monitoring solutions; and car kit, audio, drone disco, AR drone, swing, mini drones, and connected garden solutions. It serves agriculture; 3D mapping, surveying, and inspection; and defense and security markets. The company was founded in 1994 and is headquartered in Paris, France.

How the Company Makes Money

Parrot SA generates revenue primarily through the sale of its consumer and professional drones, as well as associated software and services. The company has distinct revenue streams that include direct sales of drone units to retail and commercial customers, subscription services for software applications, and partnerships with various enterprises for specialized drone solutions. Additionally, Parrot may benefit from recurring revenue through maintenance and support services for its clients. Strategic partnerships with other technology firms, government contracts, and participation in drone-related research and development projects also contribute to the company's earnings, enhancing its market presence and driving sales growth.

Parrot SA Financial Statement Overview

Summary

Parrot SA is showing signs of financial recovery in 2024, with improvements in revenue growth and cash flow. Despite ongoing profitability challenges, the company has reduced its losses significantly. The stable balance sheet with low leverage and improved cash flow generation provides a foundation for future growth.

Income Statement

Parrot SA's income statement reveals a challenging financial landscape with consistent net losses and negative EBIT over the years. However, the company has demonstrated significant improvement in 2024, with a reduction in net loss and improved gross profit margin. The revenue growth of 20.1% from 2023 to 2024 is a positive sign, indicating potential recovery. Despite these improvements, the persistent negative net profit margin and EBIT highlight ongoing profitability challenges.

Balance Sheet

The balance sheet of Parrot SA shows a stable financial structure with a consistent increase in stockholders' equity from 2023 to 2024. The debt-to-equity ratio remains low, suggesting limited leverage, which is favorable for financial stability. However, the equity ratio has decreased over the years, reflecting reduced financial flexibility. Despite the decline in total assets, the company maintains a solid cash position, supporting operational needs.

Cash Flow

Parrot SA's cash flow statement indicates a substantial turnaround in 2024, with positive operating and free cash flow compared to previous years. This improvement suggests enhanced cash management and operational efficiency. The free cash flow to net income ratio is positive, highlighting effective conversion of profits into cash. However, historical negative cash flows pose a risk that needs ongoing monitoring.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	81.06M	78.05M	64.98M	71.95M	54.31M	57.27M
Gross Profit	57.67M	57.87M	46.98M	56.00M	39.09M	40.23M
EBITDA	-5.53M	-2.80M	-28.09M	-11.56M	2.70M	-34.34M
Net Income	-13.57M	-9.23M	-32.48M	-19.52M	-2.50M	-38.44M
Balance Sheet
Total Assets	66.50M	85.41M	87.24M	123.23M	144.58M	145.42M
Cash, Cash Equivalents and Short-Term Investments	17.00M	33.60M	28.06M	68.47M	82.84M	87.99M
Total Debt	8.40M	8.73M	8.34M	10.18M	10.26M	10.06M
Total Liabilities	36.60M	35.67M	32.07M	39.21M	44.48M	45.76M
Stockholders Equity	26.80M	46.95M	54.69M	83.05M	98.36M	99.18M
Cash Flow
Free Cash Flow	-3.97M	3.56M	-41.52M	-21.99M	-26.88M	-32.16M
Operating Cash Flow	-1.96M	5.81M	-40.74M	-20.12M	-25.31M	-30.09M
Investing Cash Flow	-118.00K	-402.00K	4.54M	8.91M	22.99M	-3.79M
Financing Cash Flow	-246.00K	-1.08M	-4.40M	-4.23M	-4.11M	-2.79M

Parrot SA Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 8.78
• 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:PARRO, the sentiment is Positive. The current price of 8.78 is above the 20-day moving average (MA) of 8.55, below the 50-day MA of 9.01, and above the 200-day MA of 8.65, indicating a neutral trend. The MACD of 0.04 indicates Negative momentum. The RSI at 51.53 is Neutral, neither overbought nor oversold. The STOCH value of 74.87 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for FR:PARRO.

Parrot SA Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%
ATEME	52 Neutral	€75.29M	-181.06	-1.34%	―	3.26%	95.41%
EKI	52 Neutral	€49.20M	-5.47	-7.69%	―	1.56%	-910.94%
PARRO	49 Neutral	€271.66M	-19.86	-37.49%	―	26.59%	32.48%
ALBPK	45 Neutral	€25.08M	-23.95	―	―	15.01%	79.05%
ETL	41 Neutral	€2.23B	-1.07	-32.71%	―	2.53%	-192.58%