Eurazeo (RF) AI Stock Analysis

• Market Cap: €4.86B
• Dividend Yield: 3.51%
• Average Volume (3M): 129.70K
• Price to Earnings (P/E): ―
• Beta (1Y): 1.23
• Revenue Growth: -83.07%
• EPS Growth: -123.07%
• Country: FR
• Employees: 549
• Sector: Real Estate
• Sector Strength: 67
• Industry: Asset Management
• EPS (TTM): -4.36
• Shares Outstanding: 73,085,760
• 10 Day Avg. Volume: 107,608
• 30 Day Avg. Volume: 129,698
• PEG Ratio: 0.02
• Price to Book (P/B): 0.65
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 593.50
• 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: €100.00
• Price Target Upside: 45.24% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 1

Eurazeo's overall stock score is driven by financial performance challenges and a concerning valuation. The company's income and cash flow struggles are significant factors impacting the score. While the technical analysis shows some positive momentum, the long-term perspective remains pressured. The attractive dividend yield provides some compensation, but the negative P/E ratio and recent profitability issues raise concerns.

Eurazeo Business Overview & Revenue Model

Company Description

Eurazeo is a leading global investment company headquartered in France, specializing in private equity and asset management. The firm operates across several sectors including consumer goods, financial services, real estate, technology, and healthcare. Eurazeo offers a diverse range of investment strategies including venture capital, growth capital, and buyouts. The company is committed to driving long-term growth by partnering with ambitious companies and providing them with the capital and strategic support needed to succeed.

How the Company Makes Money

Eurazeo makes money primarily through its investment activities. The company generates revenue by acquiring stakes in promising businesses and selling them at a profit after driving value creation and operational improvements. Eurazeo also earns management fees and performance fees from managing investment funds for institutional and private investors. Additionally, Eurazeo may receive dividends from the companies in which it holds equity stakes. Key factors contributing to its earnings include strategic partnerships with co-investors, successful exits from portfolio companies, and the ability to identify and invest in high-growth sectors.

Eurazeo Financial Statement Overview

Summary

Eurazeo is facing financial headwinds, particularly highlighted by recent income and cash flow challenges. While the company maintains a strong equity position, its operational inefficiencies and recent profitability decline are concerning. Effective management of costs and improved revenue generation are critical for reversing the negative trends and enhancing financial health.

Income Statement

Eurazeo's income statement reveals significant volatility. The gross profit margin improved in 2024, yet the company faced a dramatic decline in net income, resulting in a negative net profit margin. Revenue growth has been inconsistent, with a substantial drop in 2024. EBIT and EBITDA margins for 2024 were negative, indicating operational challenges. Past performance shows some profitability with positive margins, but the recent downturn is concerning.

Balance Sheet

The balance sheet is relatively strong with a high equity ratio, suggesting financial stability. Debt-to-equity ratio is manageable, indicating controlled leverage. However, the decline in stockholders' equity from 2023 to 2024 and the increase in total debt are potential risks. Return on equity was strong in previous years but turned negative in 2024, reflecting recent profitability issues.

Cash Flow

Eurazeo's cash flow statement highlights challenges in generating positive free cash flow, with consistent negative values. Operating cash flow has been persistently negative, indicating operational inefficiencies. The free cash flow to net income ratio is unfavorable due to negative net income and cash flow, which may pose liquidity concerns if not addressed.

Breakdown
Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement		Total Revenue
380.85M	404.95M	5.59B	6.27B	4.08B
	Gross Profit
261.39M	310.33M	2.41B	3.16B	1.46B
	EBIT
-349.66M	1.91B	1.12B	2.33B	602.20M
	EBITDA
-327.05M	2.00B	1.55B	2.82B	886.49M
	Net Income Common Stockholders
-429.79M	1.82B	594.65M	1.57B	-160.48M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
123.78M	151.98M	1.08B	1.78B	1.30B
	Total Assets
9.42B	9.77B	18.86B	16.30B	13.83B
	Total Debt
1.43B	940.38M	5.91B	4.52B	4.70B
	Net Debt
1.34B	822.94M	4.86B	3.16B	3.54B
	Total Liabilities
1.87B	1.41B	9.57B	7.93B	7.73B
	Stockholders Equity
7.26B	8.10B	6.48B	6.16B	4.67B
Cash Flow		Free Cash Flow
-22.45M	-24.18M	-456.67M	-120.11M	-90.97M
	Operating Cash Flow
-7.04M	-11.61M	-12.02M	139.63M	141.73M
	Investing Cash Flow
-23.99M	-1.30B	-341.95M	-485.05M	-741.14M
	Financing Cash Flow
3.17M	390.55M	25.69M	522.08M	688.69M

Eurazeo Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 68.85
• 50DMA: Positive
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For FR:RF, the sentiment is Neutral. The current price of 68.85 is above the 20-day moving average (MA) of 64.38, above the 50-day MA of 66.19, and below the 200-day MA of 70.98, indicating a neutral trend. The MACD of 1.25 indicates Negative momentum. The RSI at 61.76 is Neutral, neither overbought nor oversold. The STOCH value of 83.84 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for FR:RF.

Eurazeo Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
ANTIN	80 Outperform	€1.92B	14.51	26.49%	6.90%	12.55%	73.46%
Sector *	60 Neutral	$2.82B	10.29	0.39%	8508.26%	5.90%	-17.41%
RF	54 Neutral	€4.86B	―	-5.60%	3.51%	-83.07%	-123.07%

Eurazeo Corporate Events

Eurazeo Registers 2024 Universal Registration Document

Eurazeo has registered its 2024 Universal Registration Document with the French Market Authorities, which includes key financial reports and corporate governance details. This document’s release underlines Eurazeo’s commitment to transparency and regulatory compliance, potentially enhancing stakeholder confidence and reinforcing its market position.

Eurazeo Partners with Metrobloks for €100 Million Data Center Expansion

Eurazeo has announced a €100 million strategic partnership with Metrobloks to develop next-generation data centers in Europe. This collaboration aims to enhance Eurazeo’s position in the rapidly expanding data center sector by focusing on sustainable and high-growth real estate, with a commitment to reducing carbon footprints and improving energy efficiency.

Eurazeo Announces Leadership Transition with Olivier Millet’s Departure

Eurazeo announced the resignation of Olivier Millet, a key figure in their executive team, as part of a successful management transition. Millet, who has been instrumental in developing Eurazeo’s mid-market investment strategy and expanding its European presence, will be succeeded by Pierre Meignen. The transition is part of a strategic plan to continue Eurazeo’s growth and maintain its strong market position.

Eurazeo Reports Strong First Year in Strategic Plan Execution

Eurazeo reported a successful first year in its 2024-2027 strategic plan, with significant growth in fundraising, management fees, and asset realizations. The company plans to enhance shareholder returns through increased dividends and a doubled share buyback program, while also advancing its sustainability goals.

Eurazeo Capital V Closes at 3 Billion Euros, Exceeding Targets

Eurazeo has successfully closed its Eurazeo Capital V (EC-V) program, raising approximately 3 billion euros, exceeding its target. This achievement underscores investor confidence in Eurazeo’s mid-large buyout strategy, which focuses on supporting mid-market companies with global growth ambitions. The fund is already 50% deployed across its target sectors, with notable investments in companies like Mapal, Eres, and BMS, highlighting its commitment to value creation and strategic growth.

Eurazeo Secures €300 Million for Planetary Boundaries Fund, Invests in Bioline AgroSciences

Eurazeo has announced the first close of its Eurazeo Planetary Boundaries Fund (EPBF) with €300 million secured, marking 40% of its €750 million target. This fund is designed to invest in profitable environmental solutions, leveraging the Planetary Boundaries framework to guide investment strategies. The first investment under EPBF is in Bioline AgroSciences, a leader in biological pest control, aiming to accelerate its growth and contribute to sustainable agriculture. This initiative underscores Eurazeo’s commitment to pioneering science-based investment strategies to address critical environmental challenges.

Eurazeo Acquires Majority Stake in Hospitality Software Leader Mapal

Eurazeo has entered exclusive negotiations to acquire a majority stake in Mapal from PSG Equity, with the latter retaining a minority stake. This investment aims to support Mapal’s growth strategy and strengthen its leadership in the hospitality software sector, leveraging significant market opportunities and structural tailwinds.

Eurazeo Acquires Stake in Italy’s Largest Thermal Park, Aquardens

Eurazeo has announced its first transaction under the EZORE fund with the acquisition of a majority stake in Aquardens, Italy’s largest thermal park. This strategic investment aims to enhance Aquardens’ customer offerings and sustainability practices, aligning with Eurazeo’s ambition to drive growth and environmental responsibility in the hospitality sector. The acquisition reflects Eurazeo’s strategy to capitalize on the increasing demand for experiential consumption and care services, positioning Aquardens for leadership in European and global markets.