Pierre et Vacances (VAC) AI Stock Analysis

• Market Cap: €854.40M
• Dividend Yield: N/A
• Average Volume (3M): 191.38K
• Price to Earnings (P/E): 25.5
• Beta (1Y): 1.18
• Revenue Growth: 2.68%
• EPS Growth: 63.49%
• Country: FR
• Employees: 13,000
• Sector: General
• Sector Strength: N/A
• Industry: Travel Lodging
• EPS (TTM): 0.33
• Shares Outstanding: 461,988,250
• 10 Day Avg. Volume: 281,034
• 30 Day Avg. Volume: 191,381
• PEG Ratio: 0.36
• Price to Book (P/B): -2.28
• Price to Sales (P/S): 0.42
• P/FCF Ratio: 3.46
• 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): 0.11
• Revenue Forecast (FY): €2.01B

• Rating: 54 Neutral
• Price Target: €2.00 ▲(8.11% Upside)
• Action: Reiterated Date: 02/20/26
• Date: Action: Reiterated 02/20/26

The score is held back primarily by balance-sheet stress (negative equity and high leverage) despite an improving operating recovery and positive cash generation. Technicals are mildly supportive with the stock trading above key moving averages, while valuation looks less attractive given a ~25.5 P/E and no dividend.

Positive Factors

Revenue recovery

Stabilized revenue and a return to positive net income in 2024–2025 indicate recovering core lodging demand and improved operational execution. If this trend holds over months, it supports occupancy recovery, operational scale benefits, and a stronger base to fund reinvestment or gradual deleveraging.

Improved cash generation

Consistent positive operating and free cash flow since 2022 shows improved cash conversion versus pandemic years. Durable FCF provides an internal funding source for maintenance, brand investments and selective capex, helping sustain operations without constant short-term financing if maintained.

Diversified revenue model

The business combines lodging revenue with on-site ancillaries, management fees and occasional real-estate proceeds. This structural mix diversifies cash flows across products and channels, reducing reliance on a single segment and improving resilience to season and channel-specific shocks over the medium term.

Negative Factors

Negative shareholders' equity

Persistently negative shareholders' equity materially limits financial flexibility and increases refinancing, covenant and rating risks. In a cyclical travel industry this makes raising equity or using debt for growth harder and magnifies downside in a downturn over the coming months.

Weak cash coverage vs debt

Operating cash flow remains small relative to the company's large debt load, with coverage below 0.30 in 2023–2025. That structural mismatch forces reliance on external financing, heightens refinancing and interest-rate exposure, and limits ability to deleverage or invest if conditions soften.

Thin, volatile margins

Reported profitability is thin and volatile (2025 net margin ~1.8%), with a notable gross-margin step-down in 2025. Low margin headroom leaves earnings highly sensitive to cost inflation, seasonality and pricing pressure, reducing resilience and making consistent profit improvement challenging over the medium term.

Pierre et Vacances Business Overview & Revenue Model

Company Description

Pierre et Vacances SA, through its subsidiaries, engages in the holiday accommodation and holiday property investment business in Europe and internationally. It operates through two segments, Property Development and Tourism. The Property Development engages in the land prospection, site design, construction, and marketing of holiday residences for individual buyers or institutional buyers. The Tourism segment operates residences and villages marketed under the Pierre & Vacances, Center Parcs, Sunparks, Villages, Nature Paris, Maeva.com, and Adagio brands. As of September 30, 2021, it operated approximately 284 sites, as well as 43,532 apartments. The company was founded in 1967 and is headquartered in Paris, France. Pierre et Vacances SA is a subsidiary of Société d'Investissement Touristique et Immobilier.

How the Company Makes Money

Pierre et Vacances generates revenue primarily through the rental of its vacation properties. The company earns income by managing a portfolio of self-catering apartments and holiday villages, charging customers for short-term and long-term stays. Additional revenue streams include the sale of real estate properties, partnerships with local businesses for activities and services, and ancillary services such as travel insurance and transportation. Significant partnerships with tourism boards and local attractions also enhance its offerings and help drive customer engagement. The company's ability to attract repeat customers and maintain high occupancy rates further contributes to its financial success.

Pierre et Vacances Financial Statement Overview

Summary

Operating performance is recovering with modest revenue growth and a return to positive net income in 2024–2025, supported by positive operating cash flow and free cash flow since 2022. However, financial risk is elevated due to persistently negative shareholders’ equity and a heavy debt load, with operating cash flow small relative to debt, limiting flexibility in a cyclical industry.

Income Statement

Revenue has stabilized and improved over time, moving from sharp declines in 2020–2021 to modest growth in 2023–2025 (2025: +3.44%). Profitability has also recovered meaningfully from large losses (2020–2021) and a 2023 net loss to positive net income in 2024–2025. That said, current net profitability remains thin (2025 net margin ~1.8%), and margins have been volatile—most notably the sharp step-down in gross margin in 2025 versus 2023–2024—suggesting earnings quality is still sensitive to operating/industry swings.

Balance Sheet

The balance sheet is the primary weak spot: shareholders’ equity is negative across all periods provided (including 2025), which materially limits financial flexibility and makes leverage risk elevated. Total debt is large relative to the company’s size, and the debt-to-equity figure is structurally distorted by negative equity but still underscores a highly leveraged capital structure. While assets are relatively stable, the persistent negative equity position increases refinancing and downturn risk, especially in a cyclical travel/lodging environment.

Cash Flow

Cash generation has improved versus 2020–2021, with positive operating cash flow and free cash flow in 2022–2025 and modest free-cash-flow growth in 2024–2025. Free cash flow has also been meaningfully positive relative to net income in 2024–2025, indicating cash conversion is reasonably supportive. Offsetting this, operating cash flow remains small compared with the debt load (coverage below 0.30 in each of 2023–2025), leaving the company more dependent on continued access to financing and sustained operating momentum.

Breakdown	Sep 2025	Sep 2024	Sep 2023	Sep 2022	Sep 2021
Income Statement
Total Revenue	1.87B	1.82B	1.79B	1.61B	937.20M
Gross Profit	270.70M	577.38M	570.14M	531.94M	140.51M
EBITDA	570.20M	540.81M	466.43M	902.32M	104.65M
Net Income	33.50M	20.03M	-63.10M	291.10M	-426.44M
Balance Sheet
Total Assets	3.85B	3.83B	4.36B	3.90B	3.83B
Cash, Cash Equivalents and Short-Term Investments	97.74M	105.21M	468.84M	470.34M	446.69M
Total Debt	6.20B	3.25B	3.68B	3.20B	3.69B
Total Liabilities	4.19B	4.21B	4.78B	4.26B	4.82B
Stockholders Equity	-342.06M	-381.57M	-410.87M	-356.13M	-986.78M
Cash Flow
Free Cash Flow	225.26M	195.61M	201.07M	26.89M	-27.74M
Operating Cash Flow	321.35M	285.91M	318.60M	85.79M	11.46M
Investing Cash Flow	-77.16M	-112.31M	-80.68M	-73.73M	-50.24M
Financing Cash Flow	-233.35M	-555.39M	-224.28M	31.02M	61.47M

Pierre et Vacances Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 1.85
• 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:VAC, the sentiment is Positive. The current price of 1.85 is above the 20-day moving average (MA) of 1.83, above the 50-day MA of 1.84, and above the 200-day MA of 1.68, indicating a bullish trend. The MACD of <0.01 indicates Negative momentum. The RSI at 53.50 is Neutral, neither overbought nor oversold. The STOCH value of 72.18 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for FR:VAC.

Pierre et Vacances Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
AC	62 Neutral	€11.56B	30.60	15.99%	2.64%	6.43%	-5.77%
ALLHB	56 Neutral	€172.00M	40.46	―	0.41%	-7.92%	-15.45%
Sector *	55 Neutral	$6.65B	3.83	-15.92%	6.20%	10.91%	7.18%
VAC	54 Neutral	€854.40M	25.52	―	―	2.68%	63.49%