SMCP S.A.S. (SMCP) AI Stock Analysis

• Market Cap: €469.01M
• Dividend Yield: N/A
• Average Volume (3M): 96.46K
• Price to Earnings (P/E): 30.8
• Beta (1Y): 2.00
• Revenue Growth: 1.78%
• EPS Growth: N/A
• Country: FR
• Employees: 4,576
• Sector: Consumer Cyclical
• Sector Strength: 84
• Industry: Apparel - Retail
• EPS (TTM): 0.14
• Shares Outstanding: 78,326,900
• 10 Day Avg. Volume: 107,686
• 30 Day Avg. Volume: 96,456
• PEG Ratio: 0.04
• Price to Book (P/B): 0.24
• Price to Sales (P/S): 0.23
• P/FCF Ratio: 1.42
• 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: N/A
• Number of Analyst Covering: 0
• EPS Forecast (FY): 0.36
• Revenue Forecast (FY): €1.06B

• Rating: 56 Neutral
• Price Target: €6.50 ▲(2.36% Upside)

The overall stock score reflects solid operational cash flow and a stable balance sheet, but is weighed down by profitability challenges and valuation concerns. Technical indicators suggest limited momentum, and the lack of dividend yield further impacts the stock's attractiveness.

Positive Factors

Strong Brand Identity

SMCP's strong brand identity supports premium pricing, enhancing profit margins and providing a competitive edge in the luxury fashion sector.

Diversified Sales Channels

Diversified sales channels, including retail, e-commerce, and wholesale, provide resilience against market fluctuations and broaden revenue streams.

Strong Operational Cash Flow

Strong operational cash flow indicates efficient cash generation, supporting ongoing operations and strategic investments despite profitability challenges.

Negative Factors

Profitability Challenges

Negative net income and declining revenue highlight ongoing profitability issues, potentially impacting long-term financial health and investment capacity.

Significant Leverage

High leverage can constrain financial flexibility, increasing risk and potentially limiting the company's ability to invest in growth opportunities.

Negative Return on Equity

Negative return on equity reflects inefficient use of shareholder capital, which can deter investment and affect long-term growth prospects.

SMCP S.A.S. Business Overview & Revenue Model

Company Description

SMCP S.A. operates as a ready-to-wear and accessories retail company in France and internationally. It designs, markets, and sells women's wear, men's wear, and accessories. The company sells its products through a network of points of sale and websites under four brands, including Sandro, Maje, Claudie Pierlot, and De Fursac. As of December 31, 2021, it operated 745 points of sales in 42 countries. The company was founded in 1984 and is headquartered in Paris, France. SMCP S.A. is a former subsidiary of Shandong Ruyi Technology Group Co., Ltd.

How the Company Makes Money

SMCP generates revenue primarily through the direct sale of its clothing and accessory lines via its retail stores and e-commerce platforms. The company operates a multi-channel retail strategy, which includes flagship stores, boutiques, and online sales, allowing it to reach a wider customer base. Key revenue streams include in-store sales, online sales through its branded websites, and wholesale partnerships with high-end department stores and specialty retailers. Additionally, seasonal collections and limited-edition releases contribute to sales spikes. Strategic partnerships with luxury retailers also enhance visibility and accessibility, further driving sales growth.

SMCP S.A.S. Financial Statement Overview

Summary

SMCP S.A.S. demonstrates strong operational cash flow and a stable balance sheet, but faces profitability challenges with negative net income and declining revenue. The significant leverage and negative return on equity are areas of concern.

Income Statement

The company's revenue has shown fluctuations over the years, with a decline from 2023 to 2024. Gross profit margin is strong at 62.99% in 2024, but the net profit margin is negative at -1.95% due to a net loss, indicating profitability concerns. EBIT and EBITDA margins show profitability at the operational level, though EBIT margin declined to 1.32% in 2024.

Balance Sheet

The balance sheet reflects a stable equity base with an equity ratio of 50.62% in 2024, indicating moderate financial stability. However, the debt-to-equity ratio stands at 0.63, suggesting significant leverage. Return on equity is negative due to net losses, highlighting profitability issues.

Cash Flow

Cash flow statements exhibit strong free cash flow, with a consistent generation of free cash flow despite fluctuations in net income. The operating cash flow to net income ratio is high, reflecting effective cash conversion from operations. Free cash flow to net income ratio is robust, showing strong cash flow management.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	1.23B	1.21B	1.23B	1.21B	1.04B	873.00M
Gross Profit	774.80M	763.30M	775.20M	769.20M	658.40M	524.60M
EBITDA	196.10M	179.40M	121.30M	247.30M	213.00M	92.70M
Net Income	15.10M	-23.60M	11.20M	51.30M	23.90M	-102.20M
Balance Sheet
Total Assets	2.18B	2.30B	2.35B	2.38B	2.41B	2.41B
Cash, Cash Equivalents and Short-Term Investments	43.70M	48.50M	50.90M	73.30M	131.30M	127.10M
Total Debt	644.20M	729.30M	749.50M	769.10M	861.30M	930.00M
Total Liabilities	1.01B	1.14B	1.17B	1.21B	1.29B	1.32B
Stockholders Equity	1.17B	1.16B	1.18B	1.17B	1.12B	1.10B
Cash Flow
Free Cash Flow	227.60M	195.00M	160.80M	163.50M	203.40M	145.50M
Operating Cash Flow	259.20M	233.90M	215.80M	209.00M	250.10M	203.30M
Investing Cash Flow	-31.40M	-38.80M	-61.70M	-44.60M	-47.20M	-59.00M
Financing Cash Flow	-179.00M	-202.60M	-191.30M	-222.70M	-199.50M	-68.20M

SMCP S.A.S. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 6.35
• 50DMA: Positive
• 100DMA: Positive
• 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:SMCP, the sentiment is Positive. The current price of 6.35 is above the 20-day moving average (MA) of 6.06, above the 50-day MA of 6.10, and above the 200-day MA of 4.89, indicating a bullish trend. The MACD of 0.09 indicates Negative momentum. The RSI at 60.17 is Neutral, neither overbought nor oversold. The STOCH value of 60.28 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for FR:SMCP.

SMCP S.A.S. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
ALVU	68 Neutral	€146.31M	19.71	―	2.35%	8.59%	-22.37%
RBO	67 Neutral	€354.58M	26.76	14.30%	3.57%	0.82%	-34.14%
Sector *	61 Neutral	$18.38B	12.79	-2.54%	3.03%	1.52%	-15.83%
SMCP	56 Neutral	€469.01M	30.83	1.30%	―	1.78%	―
MDM	50 Neutral	€75.22M	-0.45	-33.85%	3.04%	-10.98%	-905.89%