Vivendi (VIV) AI Stock Analysis

• Market Cap: €2.39B
• Dividend Yield: 1.7%
• Average Volume (3M): 1.25M
• Price to Earnings (P/E): ―
• Beta (1Y): 1.03
• Revenue Growth: N/A
• EPS Growth: N/A
• Country: FR
• Employees: 2,700
• Sector: Communication Services
• Sector Strength: 97
• Industry: Entertainment
• EPS (TTM): -0.01
• Shares Outstanding: 1,029,918,100
• 10 Day Avg. Volume: 1,100,105
• 30 Day Avg. Volume: 1,252,622
• PEG Ratio: <0.01
• Price to Book (P/B): 0.56
• Price to Sales (P/S): 8.72
• P/FCF Ratio: 1.41
• 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: €2.93
• Price Target Upside: 21.58% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 4
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 54 Neutral
• Price Target: €2.50 ▲(3.73% Upside)

Vivendi's overall stock score is primarily influenced by its mixed financial performance and bearish technical indicators. The significant revenue decline and net loss weigh heavily on the score, despite strong cash flow management. Technical analysis indicates a downtrend, further impacting the score. The reasonable valuation offers some support, but the lack of earnings call and corporate events data limits additional insights.

Positive Factors

Cash Flow Management

Strong cash flow management indicates Vivendi's ability to generate cash efficiently, supporting operations and potential investments despite revenue challenges.

Diversified Revenue Streams

Diversification across music, television, and advertising reduces dependency on a single segment, providing stability and potential for cross-segment synergies.

Manageable Debt Levels

Moderate leverage allows Vivendi financial flexibility to navigate industry challenges and invest in growth opportunities without excessive risk.

Negative Factors

Revenue Decline

A sharp revenue decline poses a significant challenge to Vivendi's profitability and long-term growth, indicating potential structural issues in its business model.

Net Loss

Sustained net losses undermine Vivendi's financial health, potentially affecting its ability to invest in future growth and maintain shareholder confidence.

Profitability Challenges

Declining margins suggest operational inefficiencies and competitive pressures, which could hinder Vivendi's ability to sustain long-term profitability.

Vivendi Business Overview & Revenue Model

Company Description

Vivendi SE operates as a entertainment, media, and communication company in France, the rest of Europe, the Americas, Asia/Oceania, and Africa. It operates through Canal+ Group, Havas Group, Editis, Prisma Media, Gameloft, Vivendi Village, Corporate, and New Initiative segments. The Canal+ Group segment publishes and distributes premium and thematic pay-TV and free-to-air channels; and produces, sells, and distributes movies and TV series. The Havas Group segment includes communications disciplines, such as creativity, media expertise, and healthcare/wellness. The Editis segment engages in the publishing of literature, educational, and reference books, as well as selling and distribution of books. The Prisma Media segment publishes online videos. The Gameloft segment engages in the creation and publishing of downloadable video games for mobile phones, tablets, triple-play boxes, and smart TVs. The Vivendi Village segment provides ticketing services and live performances through Olympia production, festival production, and venues. The Corporate segment offers centralized services. The New Initiative segment operates Dailymotion, a video content aggregation and distribution platform, as well as develops ultra-high-speed Internet service. Vivendi SA was founded in 1853 and is headquartered in Paris, France.

How the Company Makes Money

Vivendi generates revenue through multiple key streams. The primary source is Universal Music Group (UMG), which earns money through music sales, licensing, and streaming services. Canal+ Group contributes significantly through subscription fees from its television services, advertising revenues, and content distribution. Additionally, Havas Group generates income from its advertising and marketing services, working with various brands to provide strategic communications solutions. The company's diversified portfolio allows it to capitalize on synergies across its divisions, and partnerships with digital platforms and broadcasters enhance its distribution capabilities and revenue potential.

Vivendi Financial Statement Overview

Summary

Vivendi's financial health is mixed. The income statement reveals severe revenue and profitability challenges, with a significant decline in revenue and a net loss. The balance sheet shows moderate stability with manageable debt levels, but reduced financial stability. Cash flow management is a strong point, with robust operating cash flow and consistent free cash flow growth.

Income Statement

Vivendi's income statement reveals substantial challenges, with revenue declining significantly from $10.51 billion in 2023 to $297 million in 2024, leading to a net loss of $6 billion. The gross profit margin dropped drastically, indicating issues in maintaining profitability. The revenue growth rate over the years has been inconsistent, showing a concerning decline recently. Despite a strong EBITDA margin in prior years, the recent data highlights an absence of EBIT, signaling operational difficulties.

Balance Sheet

Vivendi's balance sheet shows moderate strength, with a debt-to-equity ratio of 0.59 in 2024, reflecting manageable leverage. However, the equity ratio has decreased, indicating reduced financial stability. The return on equity has been negative recently, showing inefficiencies in generating returns for shareholders. The balance sheet suggests a need to improve asset utilization and equity preservation amidst financial restructuring.

Cash Flow

Vivendi's cash flow statement is a positive aspect, with a robust operating cash flow of $1.84 billion in 2024. The free cash flow has shown resilience, growing to $1.84 billion from $546 million in the previous year. The operating cash flow to net income ratio is favorable, indicating efficient cash generation relative to net income, despite the latter being negative. The consistent free cash flow growth demonstrates strong cash management practices.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	145.00M	297.00M	10.51B	9.60B	9.57B	16.09B
Gross Profit	44.00M	86.00M	4.82B	4.24B	4.21B	7.28B
EBITDA	-47.00M	101.00M	1.35B	359.00M	194.00M	959.00M
Net Income	30.00M	-6.00B	405.00M	-647.00M	-538.00M	1.44B
Balance Sheet
Total Assets	7.33B	7.93B	38.25B	31.28B	33.37B	38.12B
Cash, Cash Equivalents and Short-Term Investments	240.00M	107.00M	2.19B	2.55B	4.46B	1.11B
Total Debt	1.99B	2.69B	8.84B	4.23B	4.98B	7.57B
Total Liabilities	2.51B	3.34B	21.01B	13.68B	14.17B	21.69B
Stockholders Equity	4.82B	4.59B	17.11B	17.37B	18.98B	15.76B
Cash Flow
Free Cash Flow	-66.00M	1.84B	546.00M	363.00M	1.18B	788.00M
Operating Cash Flow	-64.00M	1.84B	951.00M	748.00M	1.64B	1.23B
Investing Cash Flow	994.00M	-2.13B	808.00M	-695.00M	-3.75B	-1.65B
Financing Cash Flow	-796.00M	-1.83B	-1.47B	-1.44B	4.43B	-675.00M

Vivendi Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 2.41
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For FR:VIV, the sentiment is Neutral. The current price of 2.41 is above the 20-day moving average (MA) of 2.37, below the 50-day MA of 2.58, and below the 200-day MA of 2.85, indicating a neutral trend. The MACD of -0.04 indicates Negative momentum. The RSI at 48.26 is Neutral, neither overbought nor oversold. The STOCH value of 53.75 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for FR:VIV.

Vivendi Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
PUB	73 Outperform	€22.28B	13.04	17.51%	4.10%	9.88%	16.84%
MMT	69 Neutral	€1.53B	10.34	11.94%	10.45%	-4.71%	-31.54%
TFI	68 Neutral	€1.75B	9.55	9.15%	7.35%	1.00%	-7.89%
ORA	65 Neutral	€37.74B	33.45	4.23%	5.34%	-5.05%	-49.01%
Sector *	60 Neutral	$48.67B	4.58	-11.27%	4.14%	2.83%	-41.78%
VIV	54 Neutral	€2.39B	―	―	1.70%	―	―
BOL	48 Neutral	€13.06B	137.47	―	1.73%	―	―