Technip Energies NV (TE) AI Stock Analysis

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Technip Energies NV

(TE)

Rating:80Outperform

Price Target:

€44.00

▲(8.27% Upside)

Technip Energies NV scores well due to its strong financial performance, robust earnings call insights, and positive technical indicators. The company is well-positioned for growth with significant strategic wins, though valuation is moderate and caution is advised due to near overbought technical levels.

Technip Energies NV (TE) vs. iShares MSCI France ETF (EWQ)

Market Cap

€7.18B

Dividend Yield2.09%

Average Volume (3M)248.64K

Price to Earnings (P/E)18.1

Beta (1Y)0.94

Revenue Growth17.19%

EPS Growth11.76%

CountryFR

Employees17,000

SectorEnergy

Sector Strength45

IndustryOil & Gas Equipment & Services

Share Statistics

EPS (TTM)0.57

Shares Outstanding178,378,710

10 Day Avg. Volume271,545

30 Day Avg. Volume248,641

Financial Highlights & Ratios

PEG RatioN/A

Price to Book (P/B)0.00

Price to Sales (P/S)0.00

P/FCF Ratio0.00

Enterprise Value/Market CapN/A

Enterprise Value/RevenueN/A

Enterprise Value/Gross ProfitN/A

Enterprise Value/EbitdaN/A

Forecast

1Y Price Target

€40.11

Price Target Upside-1.30% Downside

Rating ConsensusModerate Buy

Number of Analyst Covering9

Technip Energies NV Business Overview & Revenue Model

Company DescriptionTechnip Energies NV (TE) is a leading engineering and technology company dedicated to the energy transition. With a focus on the sustainable development of natural resources, Technip Energies operates across various sectors, including liquefied natural gas (LNG), hydrogen, sustainable chemistry, and decarbonization. The company offers a wide range of services, from engineering and procurement to construction and project management, delivering innovative solutions to its clients globally.

How the Company Makes MoneyTechnip Energies NV makes money primarily through its engineering and project management services in the energy sector. The company's revenue model revolves around executing complex projects for its clients, which include large-scale industrial and energy infrastructure developments. Key revenue streams include fees from project design, engineering, procurement, and construction management. Additionally, the company earns from licensing its proprietary technologies, particularly in areas like LNG and hydrogen. Technip Energies also benefits from long-term contracts and partnerships with major energy companies and governments, contributing to a stable revenue base. These collaborations often involve the deployment of cutting-edge technologies and sustainable solutions, aligning with global energy transition goals.

Technip Energies NV Earnings Call Summary

Earnings Call Date:Jul 31, 2025

(Q2-2025)

% Change Since: 9.25%|

Next Earnings Date:Oct 16, 2025

Earnings Call Sentiment Positive

The earnings call highlighted significant revenue and EBITDA growth, robust free cash flow, and strong performance in project delivery and TPS segments. The company's strategic initiatives in geographical and market diversification are paying off. However, there were challenges such as a decline in TPS revenue, increased corporate costs, and adverse foreign exchange impacts on the backlog. Despite these challenges, the positive aspects of financial performance and strategic achievements suggest a cautiously optimistic outlook.

Q2-2025 Updates

Positive Updates

Strong Revenue and EBITDA Growth

Revenue increased by 15% year-over-year to EUR 3.6 billion, and EBITDA rose by 13% to EUR 319 million, showcasing robust financial performance driven by high activity on LNG projects and new project ramp-ups.

Significant Free Cash Flow

Free cash flow conversion from EBITDA was approximately 100%, leading to a 35% growth in free cash flow year-over-year, reflecting strong operational execution and financial health.

Major Project Award for Low-Carbon Ammonia Facility

Received a major project delivery award for the world's largest low-carbon ammonia facility for CF Industries in the U.S., contributing to a backlog of EUR 18 billion.

Successful Execution in Technology, Products & Services (TPS)

TPS segment saw a 240 basis points increase in EBITDA margin year-over-year to 15.1%, driven by the completion and delivery of ethylene furnaces and other high-margin activities.

Geographical and Market Diversification

Approximately 70% of orders over the last 18 months originated from regions beyond the Middle East, with significant growth in decarbonization-related orders, now representing nearly 40% of total order intake.

Negative Updates

Challenges in TPS Revenue

TPS revenues declined by 5% year-over-year due to a decrease in proprietary equipment contributions, partially offset by robust volumes in consultancy services.

Impact of Corporate Costs

Corporate costs rose to EUR 33 million, influenced by supplemental French social charges and share price increases, impacting long-term incentive plans.

Foreign Exchange Impact on Backlog

The backlog was affected by adverse foreign exchange impacts, although it remained at a high level due to major project awards.

Nonrecurring Expenses

Nonrecurring expenses were materially higher year-over-year, acting as a headwind to EPS growth, primarily due to investments in adjacent business models like Reju.

Company Guidance

During Technip Energies' earnings call for the first half of 2025, the company provided robust guidance metrics. The revenue grew by 15% to EUR 3.6 billion, and the EBITDA increased by 13% to EUR 319 million with an 8.7% margin. The company generated over EUR 300 million in free cash flows, contributing to a net cash position of more than EUR 1.6 billion. The backlog stood at EUR 18 billion, equivalent to 2.6 times the 2024 revenues. In their TPS segment, the EBITDA margin expanded by 240 basis points year-over-year to 15.1%. Technip Energies raised the full-year TPS margin guidance from approximately 13.5% to a range of 14% to 14.5%. EPS grew by 3% year-over-year, and free cash flow conversion from EBITDA was about 100%, reflecting a strong financial position.

Technip Energies NV Financial Statement Overview

Summary

Technip Energies NV exhibits strong financial health with solid revenue growth, improved profitability, and efficient cash flow management. The company's conservative leverage strategy and effective use of equity bolster its financial position, positioning it well for future growth despite a competitive industry landscape.

Income Statement

Very Positive

Technip Energies NV has demonstrated solid revenue growth with a substantial increase from the previous year, achieving a revenue growth rate of 11.91%. The company's gross profit margin stands at 13.66%, indicating efficient cost management. The net profit margin improved to 5.81%, showcasing enhanced profitability. EBIT and EBITDA margins are 6.69% and 10.68%, respectively, reflecting strong operational performance and cash generation capability.

Balance Sheet

Positive

The balance sheet reveals a healthy equity ratio of 22.52%, indicating a balanced capital structure with a focus on equity financing. The company maintains a low debt-to-equity ratio of 0.47, highlighting conservative leverage use. Return on equity (ROE) improved to 18.77%, demonstrating effective use of shareholders' equity to generate profits.

Cash Flow

Positive

Technip Energies NV shows robust free cash flow growth of 130.25%, indicating strong cash generation. The operating cash flow to net income ratio is 2.16, suggesting efficient conversion of profits into cash flow. The free cash flow to net income ratio of 1.95 further reflects strong cash flow management capabilities.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	6.72B	6.00B	6.28B	6.43B	5.75B
Gross Profit	918.10M	923.20M	884.30M	912.30M	1.01B
EBITDA	702.40M	606.20M	593.50M	524.70M	467.80M
Net Income	390.70M	296.80M	300.70M	244.60M	206.80M
Balance Sheet
Total Assets	9.24B	8.67B	8.69B	8.38B	7.87B
Cash, Cash Equivalents and Short-Term Investments	3.85B	3.37B	3.48B	3.64B	3.19B
Total Debt	980.70M	993.40M	986.20M	989.10M	646.70M
Total Liabilities	7.13B	6.72B	6.96B	6.87B	6.05B
Stockholders Equity	2.08B	1.89B	1.71B	1.48B	1.81B
Cash Flow
Free Cash Flow	760.60M	330.40M	137.70M	884.80M	805.50M
Operating Cash Flow	845.20M	378.80M	184.40M	934.40M	836.80M
Investing Cash Flow	-97.50M	-108.00M	-57.60M	-53.00M	-52.00M
Financing Cash Flow	-364.80M	-319.00M	-396.30M	-558.60M	-1.32B

Technip Energies NV Technical Analysis

Technical Analysis Sentiment

Positive

Last Price40.64

Price Trends

50DMA

36.85

Positive

100DMA

33.58

Positive

200DMA

29.78

Positive

Market Momentum

MACD

1.25

Negative

RSI

67.34

Neutral

STOCH

62.33

Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For FR:TE, the sentiment is Positive. The current price of 40.64 is above the 20-day moving average (MA) of 38.81, above the 50-day MA of 36.85, and above the 200-day MA of 29.78, indicating a bullish trend. The MACD of 1.25 indicates Negative momentum. The RSI at 67.34 is Neutral, neither overbought nor oversold. The STOCH value of 62.33 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for FR:TE.

Technip Energies NV Peers Comparison

Overall Rating

UnderperformOutperform

Sector (72)

Financial Indicators

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
EC	80 Outperform	€837.00M	9.93	5.77%	47.32%	4.65%	245.44%
TE	80 Outperform	€7.18B	18.13		2.09%	17.19%	11.76%
MAU	79 Outperform	€1.02B	4.76	21.70%	5.77%	-14.28%	-9.30%
GTT	77 Outperform	€5.87B	16.50	77.67%	4.76%	35.00%	24.05%
TTE	74 Outperform	€117.32B	10.02	11.32%	6.02%	-11.41%	-36.91%
RUI	73 Outperform	€3.01B	8.81	12.53%	6.98%	0.21%	-3.73%
Sector *	72 Outperform	€17.02B	8.90	17.10%	9.88%	0.87%	-12.52%

* Energy Sector Average

Performance Comparison

FR:TE

Technip Energies NV

40.64

20.37

100.49%

FR:RUI

Rubis SCA

29.20

4.49

18.18%

FR:GTT

Gaztransport et technigaz

157.60

27.90

21.51%

FR:TTE

TotalEnergies SE

53.47

-5.43

-9.21%

FR:EC

Totalenergies EP Gabon

186.50

89.00

91.28%

FR:MAU

Etablissements Maurel & Prom

5.29

-0.22

-3.99%

Glossary

BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.Date of analysis: Aug 02, 2025