Indra Sistemas (ISMAY) AI Stock Analysis

• Market Cap: $7.85B
• Dividend Yield: 0.4%
• Average Volume (3M): 3.55K
• Price to Earnings (P/E): 26.5
• Beta (1Y): 0.10
• Revenue Growth: 6.52%
• EPS Growth: 21.56%
• Country: US
• Employees: 60,598
• Sector: Technology
• Sector Strength: 91
• Industry: Information Technology Services
• EPS (TTM): 0.18
• Shares Outstanding: 353,308,000
• 10 Day Avg. Volume: 3,322
• 30 Day Avg. Volume: 3,549
• PEG Ratio: -37.57
• Price to Book (P/B): 4.89
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 12.61
• 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: $22.50
• Price Target Upside: 0.99% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 0

• Rating: 75 Outperform
• Price Target: $24.00 ▲(7.72%Upside)

Indra Sistemas scores well due to strong financial performance and positive technical indicators. However, the high P/E ratio suggests potential overvaluation, which impacts the overall score. The lack of earnings call data and corporate events limits further insights.

Indra Sistemas Business Overview & Revenue Model

Company Description

Indra Sistemas, S.A. operates as a technology and consulting company worldwide. It designs, develops, produces, integrates, operates, maintains, repairs, and markets systems, solutions, and services based on the use of information technologies, electronics, and communication; and for surveillance and security control of facilities. It also researches, engineers, designs, develops, manufactures, markets, installs, maintains, and repairs devices, equipment, and systems for data communication, encryption systems, encryption, beacon, and command and control center; manages, executes, commercializes, and sells system engineering services for the defense industry; and provides engineering and maintenance services for air defense systems and other related systems, as well as architectural and engineering technical services. In addition, it offers systems to aid navigation and landing, and air traffic control systems; outsources business processes; delivers document management services and mortgage management; realizes measures for the settlement and registration; and manages digitalization and data capture. Further, it provides business consulting, technology and solutions consulting, administration, management, support, advisory, telecommunications, mobile telephony, credit card processing, and energy transport and distribution network manufacture services; engineering and consultancy services for environment, transport, construction, water, and industry areas; and digital agency, web communication and marketing, securities, computer programing, aerodrome air traffic, radio communication security, port infrastructure, airline training and coaching, and project services. Additionally, it researches and develops autonomous air systems and solutions in unmanned systems; and develops and produces aircraft, tactical communication systems, and toll and traffic control and management systems. Indra Sistemas, S.A. was founded in 1921 and is headquartered in Alcobendas, Spain.

How the Company Makes Money

Indra Sistemas generates revenue through a combination of service contracts, product sales, and long-term project engagements. In the IT sector, the company earns by deploying digital transformation projects, offering consulting services, and providing IT outsourcing solutions to both public and private entities. In the Transport & Defense sector, revenue streams include contracts for the development and maintenance of defense systems, air traffic management solutions, and intelligent transportation systems. Indra often engages in partnerships and collaborations with governmental bodies and international organizations, which bolster its revenue through large-scale contracts and strategic alliances. Additionally, the company invests in research and development, fostering innovation that supports its competitive edge and financial growth.

Indra Sistemas Financial Statement Overview

Summary

Indra Sistemas displays strong financial performance with significant revenue growth, efficient cost management, and robust cash flow generation. The company maintains a solid equity position and balanced leverage, indicating financial stability and potential for future growth.

Income Statement

Indra Sistemas has demonstrated strong revenue growth, with a 23.58% increase from the previous year, along with healthy gross and net profit margins of 23.48% and 5.78% respectively for the TTM period. The EBIT margin of 9.27% and EBITDA margin of 9.25% suggest efficient cost management and profitability. These indicators show robust financial performance and profitability in the income statement.

Balance Sheet

The company's balance sheet shows a solid equity position, with an equity ratio of 25.78% and a manageable debt-to-equity ratio of 0.49, indicating balanced leverage. The return on equity (ROE) of 25.77% for TTM indicates efficient use of equity to generate profits. Overall, the balance sheet reflects financial stability and prudent capital management, although there is room for improving equity ratios.

Cash Flow

The cash flow statement reveals a strong free cash flow growth rate of 52.99% and a robust operating cash flow to net income ratio of 1.87 for TTM, indicating efficient cash conversion and strong liquidity. The free cash flow to net income ratio of 1.50 suggests the company is effectively generating cash from its operations, providing flexibility for future investments or debt reduction.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	5.99B	4.84B	4.34B	3.85B	3.39B	3.04B
Gross Profit	1.41B	1.68B	1.08B	1.29B	1.04B	837.53M
EBITDA	553.38M	545.28M	455.06M	388.86M	340.79M	75.44M
Net Income	345.64M	277.54M	205.75M	171.90M	143.37M	-65.15M
Balance Sheet
Total Assets	5.20B	4.96B	4.72B	4.54B	4.54B	4.46B
Cash, Cash Equivalents and Short-Term Investments	728.80M	556.58M	656.29M	974.10M	1.26B	1.19B
Total Debt	652.00M	850.87M	1.04B	1.24B	1.58B	1.94B
Total Liabilities	3.84B	3.64B	3.59B	3.53B	3.69B	3.78B
Stockholders Equity	1.34B	1.30B	1.12B	987.01M	820.17M	664.78M
Cash Flow
Free Cash Flow	519.93M	339.89M	316.81M	296.14M	295.48M	129.89M
Operating Cash Flow	647.67M	450.89M	379.52M	350.26M	344.64M	195.85M
Investing Cash Flow	-80.07M	-81.91M	-274.27M	-55.27M	-26.77M	-24.06M
Financing Cash Flow	-470.39M	-333.72M	-439.63M	-605.62M	-269.20M	172.12M

Indra Sistemas Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 22.28
• 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 ISMAY, the sentiment is Positive. The current price of 22.28 is above the 20-day moving average (MA) of 20.80, above the 50-day MA of 19.39, and above the 200-day MA of 12.76, indicating a bullish trend. The MACD of 0.81 indicates Negative momentum. The RSI at 62.82 is Neutral, neither overbought nor oversold. The STOCH value of 74.32 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for ISMAY.

Indra Sistemas Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
G	80 Outperform	$7.75B	15.08	22.21%	1.53%	7.31%	-15.86%
CACI	76 Outperform	$10.58B	22.71	13.48%	―	14.16%	22.25%
DLB	75 Outperform	$7.22B	28.44	10.28%	1.76%	4.03%	34.45%
ISMAY	75 Outperform	$7.85B	26.53	21.89%	0.40%	6.52%	21.56%
EPAM	74 Outperform	$9.62B	23.75	11.57%	―	4.72%	-3.06%
SAIC	74 Outperform	$5.31B	15.85	21.63%	1.31%	3.39%	-16.78%
Sector *	50 Neutral	AU$1.49B	2.06	-31.50%	3.11%	16.21%	-7.40%