Genfit SA (GNFT) AI Stock Analysis

• Market Cap: $211.81M
• Dividend Yield: N/A
• Average Volume (3M): 3.43K
• Price to Earnings (P/E): 130.8
• Beta (1Y): 0.72
• Revenue Growth: 134.52%
• EPS Growth: N/A
• Country: US
• Employees: 180
• Sector: Healthcare
• Sector Strength: 45
• Industry: Biotechnology
• EPS (TTM): -0.64
• Shares Outstanding: 50,002,890
• 10 Day Avg. Volume: 2,776
• 30 Day Avg. Volume: 3,433
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• Enterprise Value/Market Cap: 0.78
• Enterprise Value/Revenue: 2.38
• Enterprise Value/Gross Profit: 2.73
• Enterprise Value/Ebitda: 21.11
• 1Y Price Target: $9.00
• Price Target Upside: 107.85% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 1

• Rating: 61 Neutral
• Price Target: $4.50 ▲(3.93% Upside)

Genfit SA's overall stock score reflects a strong financial recovery with significant revenue growth and improved cash flow. The technical indicators are positive, supporting a favorable short-term outlook. However, the high P/E ratio suggests potential overvaluation, which is a significant risk factor. The absence of earnings call insights and corporate events limits additional context.

Positive Factors

Revenue Growth

The substantial revenue growth indicates strong market demand and successful product development, enhancing Genfit's competitive position in the biopharmaceutical sector.

Cash Flow Improvement

Improved cash flow reflects better operational efficiency and financial health, providing Genfit with more flexibility to invest in R&D and strategic initiatives.

Gross Profit Margin

A high gross profit margin suggests effective cost management and pricing power, supporting long-term profitability and competitive advantage.

Negative Factors

Low Operating Margins

Low operating margins suggest inefficiencies in cost management or pricing strategy, which could hinder profitability and competitive positioning over time.

Moderate Leverage Ratios

Moderate leverage can limit financial flexibility and increase risk, potentially affecting Genfit's ability to invest in growth opportunities or weather economic downturns.

Volatility in Cash Flows

Volatile cash flows can create uncertainty in financial planning and investment, potentially impacting Genfit's ability to sustain long-term growth and stability.

Genfit SA Business Overview & Revenue Model

Company Description

Genfit S.A., a biopharmaceutical company, discovers and develops drug candidates and diagnostic solutions for metabolic and liver-related diseases. The company's products include Elafibranor, which is in Phase 3 clinical trial to treat patients with primary biliary cholangitis. It also engages in the development of NIS4 technology for the diagnosis of nonalcoholic steatohepatitis (NASH) and fibrosis; GNS561, which is in Phase 1b/2 trial to treat patients with cholangiocarcinoma (CCA); and Nitazoxanide, which is in Phase 1 trial to treat acute-on-chronic liver failure. The company has a licensing agreement with Labcorp for the commercialization of NASHnext, a blood-based molecular diagnostic test; and with Genoscience Pharma to develop and commercialize the investigational treatment GNS561 for CCA. Genfit S.A. was incorporated in 1999 and is headquartered in Loos, France.

How the Company Makes Money

Genfit generates revenue through multiple streams, primarily from the development and commercialization of its pharmaceutical products. The company focuses on advancing its lead drug candidates through clinical trials, aiming for regulatory approvals that can lead to market entry. In addition to potential sales from its proprietary drugs, Genfit may also derive revenue from partnerships and collaborations with other pharmaceutical companies, which can include upfront payments, milestone payments, and royalties on future sales. Furthermore, Genfit has a diagnostic business segment, where it offers tests that assess liver health, contributing to its overall revenue. Strategic alliances with research institutions and industry partners enhance its capabilities and support its financial growth.

Genfit SA Financial Statement Overview

Summary

Genfit SA has shown a robust recovery in 2024 with substantial revenue growth and a return to profitability. The high gross profit margin and improved cash flow generation are notable strengths. However, low operating margins and moderate leverage ratios indicate areas for improvement.

Income Statement

Genfit SA's income statement shows a significant recovery in 2024, with total revenue increasing by 134.5% from 2023. The gross profit margin is strong at 99.55% due to high gross profits relative to revenue. The company has turned around its net profitability with a net profit margin of 2.25% in 2024 compared to losses in previous years. However, the EBIT and EBITDA margins remain relatively low at 4.90% and 12.41%, indicating room for improvement in operating efficiency.

Balance Sheet

Genfit SA's balance sheet reflects moderate stability with a debt-to-equity ratio of 0.90, suggesting a balanced use of debt and equity. The return on equity (ROE) is modest at 2.18%, reflecting limited profitability relative to equity. The equity ratio of 45.72% indicates a fair portion of assets are funded by equity, providing a stable foundation, yet there's a need to enhance asset efficiency and leverage.

Cash Flow

The cash flow statement shows a significant improvement in 2024 with a positive free cash flow of €14.57 million compared to a negative free cash flow in 2023. This indicates better cash generation from operations. The operating cash flow to net income ratio of 10.32 is strong, reflecting effective cash conversion from income. However, the past volatility in cash flows warrants careful monitoring.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	67.00M	28.57M	20.20M	80.07M	765.00K
Gross Profit	66.70M	28.22M	19.95M	79.91M	563.00K
EBITDA	8.35M	-22.24M	-23.60M	34.91M	-91.14M
Net Income	1.51M	-28.89M	-23.72M	67.26M	-101.22M
Balance Sheet
Total Assets	151.42M	173.87M	215.54M	281.72M	198.61M
Cash, Cash Equivalents and Short-Term Investments	81.79M	77.79M	140.55M	258.76M	171.03M
Total Debt	62.13M	70.18M	75.28M	74.23M	185.69M
Total Liabilities	82.20M	105.92M	121.01M	162.62M	214.78M
Stockholders Equity	69.22M	67.95M	94.53M	119.10M	-16.16M
Cash Flow
Free Cash Flow	14.22M	-57.92M	-72.64M	99.38M	-97.27M
Operating Cash Flow	15.20M	-55.43M	-72.64M	99.92M	-96.37M
Investing Cash Flow	-1.04M	2.23M	-46.27M	-3.38M	-966.00K
Financing Cash Flow	-10.22M	-5.10M	-3.79M	-8.92M	-8.26M

Genfit SA Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 4.33
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For GNFT, the sentiment is Positive. The current price of 4.33 is above the 20-day moving average (MA) of 4.14, above the 50-day MA of 4.03, and above the 200-day MA of 3.87, indicating a bullish trend. The MACD of 0.08 indicates Negative momentum. The RSI at 56.96 is Neutral, neither overbought nor oversold. The STOCH value of 87.53 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for GNFT.

Genfit SA Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
GNFT	61 Neutral	$211.81M	130.82	2.17%	―	134.52%	―
FDMT	52 Neutral	308.24M	-1.78	-31.51%	―	0.00%	0.00%
YMAB	44 Neutral	391.22M	-17.40	0.00%	―	-1.34%	11.93%
ENGN	42 Neutral	349.13M	-3.60	0.00%	―	0.00%	0.00%
OMER	40 Underperform	284.47M	-1.98	0.00%	―	0.00%	10.15%
RAPT	39 Underperform	328.44M	-1.40	0.00%	―	0.00%	43.16%
Sector *	51 Neutral	$7.86B	-0.30	-43.30%	2.27%	22.53%	-2.21%