Tikehau Capital SCA (TKO) AI Stock Analysis

• Market Cap: €3.19B
• Dividend Yield: 4.38%
• Average Volume (3M): 29.11K
• Price to Earnings (P/E): 17.5
• Beta (1Y): 0.66
• Revenue Growth: 12.44%
• EPS Growth: 12.15%
• Country: FR
• Employees: 717
• Sector: Financial
• Sector Strength: 70
• Industry: Asset Management
• EPS (TTM): 0.48
• Shares Outstanding: 175,247,830
• 10 Day Avg. Volume: 22,191
• 30 Day Avg. Volume: 29,115
• PEG Ratio: -1.95
• Price to Book (P/B): 1.11
• Price to Sales (P/S): 6.46
• P/FCF Ratio: 19.56
• 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: €23.50
• Price Target Upside: 28.70% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 2

• Rating: 61 Neutral
• Price Target: ―

Tikehau Capital's stock score reflects its strong equity and profitability, tempered by challenges in revenue growth and cash flow. While the valuation is supported by a decent dividend yield, technical indicators show bearish trends, impacting the overall score.

Tikehau Capital SCA Business Overview & Revenue Model

Company Description

Tikehau Capital is a private equity and venture capital firm specializing in providing a full range of financing products including senior secured loans, equity, senior debt, unitranche, mezzanine, and preferred shares. The firm seeks to make early stage, mezzanine, and turnaround investments and manage long-term capital for institutional and private investors in various asset classes including credit, listed, private equity, and real estate. It invests in all sectors and all countries with a focus on Singapore. The firm prefers to invests between 0.41 million ($0.5 million) and 70 million ($82.1073 million). The firm seeks to invest in small and middle market European corporate. It makes balance sheet investments. Tikehau Capital was founded in June 2004 and is based in Paris, France with additional offices across Europe, North America and Asia.

How the Company Makes Money

Tikehau Capital generates revenue primarily through management fees and performance fees on the assets it manages across its various investment strategies. Management fees are typically a percentage of the assets under management (AUM) and provide a steady income stream based on the size of the funds it oversees. Performance fees are earned when the returns on investments exceed predefined benchmarks, incentivizing the firm's investment teams to achieve superior performance. Additionally, Tikehau Capital may earn income from the capital it invests alongside its clients, as well as from advisory and transaction-related services. Strategic partnerships and joint ventures also contribute to its revenue, allowing the firm to expand its investment capabilities and reach.

Tikehau Capital SCA Financial Statement Overview

Summary

Tikehau Capital shows resilience in profitability with strong equity and improved margins, but faces challenges in revenue growth and cash flow consistency. The company's financial management will be crucial for long-term stability.

Income Statement

The company shows a mixed performance with a notable decline in total revenue over the past years, decreasing from €651 million in 2022 to €558 million in 2024. Despite this, there is a marked improvement in gross profit margins from 2023 to 2024, indicating better cost management. Net profit margin improved from negative in 2020 to positive in 2021 and onwards, with a slight dip in 2024. The company's EBIT margin is strong, indicating efficient operations, though the absence of EBITDA for 2024 suggests a lack of comprehensive data. Overall, the company demonstrates resilience in profitability despite revenue challenges.

Balance Sheet

Tikehau Capital maintains a strong equity position, with stockholders' equity increasing over the years, reaching €3.2 billion in 2024. The debt-to-equity ratio has been relatively stable, indicating manageable leverage. The equity ratio has improved, reflecting a solid asset base backed by equity. However, total assets have grown modestly, and the debt levels indicate potential exposure to market risks. The company shows a strong equity cushion, but leverage and potential liabilities require monitoring.

Cash Flow

The cash flow analysis reveals a challenge in generating consistent free cash flow, with zero free cash flow reported in 2024. The operating cash flow in previous years showed positive trends, but the lack of data for 2024 hinders comprehensive analysis. The free cash flow to net income ratio has been inconsistent, indicating potential volatility in cash conversion from profits. Overall, the company's cash flow management needs attention to ensure sustainable liquidity and operational flexibility.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	465.24M	557.80M	620.27M	602.38M	567.69M	15.56M
Gross Profit	325.48M	352.70M	468.10M	476.26M	430.61M	-37.51M
EBITDA	0.00	0.00	241.48M	378.18M	407.05M	-223.67M
Net Income	141.50M	155.80M	176.67M	320.17M	318.65M	-168.58M
Balance Sheet
Total Assets	5.50B	5.20B	4.90B	4.89B	4.61B	4.02B
Cash, Cash Equivalents and Short-Term Investments	261.40M	337.00M	322.57M	631.41M	1.27B	957.95M
Total Debt	2.18B	1.64B	1.50B	1.50B	1.33B	998.54M
Total Liabilities	2.40B	1.95B	1.71B	1.74B	1.57B	1.23B
Stockholders Equity	3.09B	3.25B	3.18B	3.14B	3.04B	2.79B
Cash Flow
Free Cash Flow	-122.79M	184.15M	193.01M	187.38M	125.03M	-356.13M
Operating Cash Flow	-122.79M	184.15M	193.01M	187.38M	125.03M	-356.13M
Investing Cash Flow	-460.54M	-97.93M	-356.52M	-775.82M	11.75M	-87.79M
Financing Cash Flow	235.26M	-7.30M	-78.29M	22.67M	159.88M	-59.33M

Tikehau Capital SCA Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 18.26
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For FR:TKO, the sentiment is Negative. The current price of 18.26 is below the 20-day moving average (MA) of 18.76, below the 50-day MA of 19.21, and below the 200-day MA of 19.33, indicating a bearish trend. The MACD of -0.16 indicates Positive momentum. The RSI at 38.54 is Neutral, neither overbought nor oversold. The STOCH value of 12.01 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for FR:TKO.

Tikehau Capital SCA Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
ANTIN	77 Outperform	€1.97B	15.89	25.43%	6.79%	9.60%	5.96%
PEUG	75 Outperform	€1.83B	45.92	0.83%	4.41%	-48.21%	-64.53%
Sector *	68 Neutral	$18.00B	11.42	9.92%	3.81%	9.73%	1.22%
MF	66 Neutral	€3.50B	11.68	-2.85%	5.98%	9.86%	-118.70%
TKO	61 Neutral	€3.19B	17.55	5.94%	4.38%	12.44%	12.15%
RF	49 Neutral	€4.27B	―	-8.86%	4.55%	11.76%	-735.88%