Amplifon S.p.A. (AMP) AI Stock Analysis

• Market Cap: €4.45B
• Dividend Yield: 1.46%
• Average Volume (3M): 1.72M
• Price to Earnings (P/E): 31.2
• Beta (1Y): 0.63
• Revenue Growth: 5.71%
• EPS Growth: -10.80%
• Country: IT
• Employees: 11,603
• Sector: Healthcare
• Sector Strength: 44
• Industry: Medical - Instruments & Supplies
• EPS (TTM): 0.18
• Shares Outstanding: 226,388,630
• 10 Day Avg. Volume: 1,570,585
• 30 Day Avg. Volume: 1,719,548
• PEG Ratio: N/A
• Price to Book (P/B): 4.07
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 16.04
• 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: €24.69
• Price Target Upside: 24.70% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 7

• Rating: 74 Outperform
• Price Target: €22.00 ▲(11.11%Upside)

Amplifon S.p.A.'s strong financial performance is the most significant factor in its stock score, reflecting solid revenue growth and efficient operations. The technical indicators suggest some bearish sentiment, and the valuation appears high, which tempers the overall score.

Amplifon S.p.A. Business Overview & Revenue Model

Company Description

Amplifon S.p.A. is a global leader in the hearing care retail sector, providing innovative hearing solutions and services. With an extensive network of points of sale, service centers, and affiliates across numerous countries, Amplifon offers a wide range of products including hearing aids, hearing protection devices, and related accessories. The company is dedicated to enhancing the quality of life for people with hearing impairments through personalized services and cutting-edge technology.

How the Company Makes Money

Amplifon S.p.A. primarily makes money through the sale of hearing aids and related products. The company's revenue model is built around its extensive retail network, which includes direct points of sale and partnerships with independent businesses that offer Amplifon products. Key revenue streams include the sale of hearing aids, which are often customized to meet individual customer needs, and the provision of aftercare services and accessories. Significant partnerships with hearing aid manufacturers and healthcare providers also contribute to Amplifon's earnings by ensuring access to the latest technology and broadening the company's customer base. The company's focus on customer service and technological innovation further supports its financial performance by attracting and retaining clients seeking high-quality hearing solutions.

Amplifon S.p.A. Financial Statement Overview

Summary

Amplifon S.p.A. demonstrates strong financial health with consistent revenue growth, efficient operations, and robust cash flow management. While the balance sheet is moderately leveraged, posing some risk, the company shows resilience and adaptability in its financial performance.

Income Statement

Amplifon S.p.A. has demonstrated strong revenue growth over the years, with a consistent increase in total revenue. The TTM (Trailing-Twelve-Months) shows a stable gross profit margin of approximately 56.6%, and a respectable net profit margin of 5.9%. The EBIT and EBITDA margins are 10.4% and 23.2%, respectively, indicating healthy operational efficiency. The company has effectively managed to grow its revenue from 2020 onwards, reflecting a solid upward trajectory.

Balance Sheet

The company's balance sheet reflects a moderately leveraged position with a debt-to-equity ratio of 1.53. The return on equity (ROE) stands at 12.6%, showcasing a decent return for shareholders. The equity ratio is 28.8%, indicating a stable financial structure despite high leverage. While the company is maintaining a solid equity base, the considerable amount of debt suggests potential risks in case of financial downturns.

Cash Flow

Amplifon S.p.A. exhibits strong cash flow management, with consistent operating cash flow generation. The free cash flow to net income ratio is 2.0, indicating efficient conversion of income into cash. The operating cash flow to net income ratio is 3.0, highlighting robust cash flow relative to net income. Although free cash flow growth has been slightly negative recently, the company maintains a healthy cash flow profile, supporting its operations and investments.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	2.43B	2.41B	2.26B	2.12B	1.95B	1.56B
Gross Profit	1.38B	1.36B	548.45M	1.18B	1.11B	863.16M
EBITDA	562.89M	557.25M	522.01M	513.82M	468.72M	361.67M
Net Income	143.78M	145.37M	155.14M	178.53M	157.78M	101.00M
Balance Sheet
Total Assets	3.97B	3.99B	3.69B	3.58B	3.52B	3.23B
Cash, Cash Equivalents and Short-Term Investments	261.40M	288.85M	194.00M	229.54M	318.44M	554.02M
Total Debt	1.74B	1.72B	1.52B	1.50B	1.61B	1.56B
Total Liabilities	2.82B	2.84B	2.59B	2.54B	2.59B	2.43B
Stockholders Equity	1.14B	1.15B	1.10B	1.04B	925.18M	800.88M
Cash Flow
Free Cash Flow	289.30M	304.74M	271.89M	342.99M	348.97M	330.63M
Operating Cash Flow	435.46M	449.35M	413.54M	458.62M	462.37M	391.47M
Investing Cash Flow	-311.15M	-335.10M	-261.48M	-193.78M	-533.61M	-134.28M
Financing Cash Flow	-75.62M	-18.85M	-135.06M	-353.80M	-208.64M	151.52M

Amplifon S.p.A. Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 19.80
• 50DMA: Positive
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IT:AMP, the sentiment is Negative. The current price of 19.8 is below the 20-day moving average (MA) of 20.71, above the 50-day MA of 19.36, and below the 200-day MA of 22.79, indicating a neutral trend. The MACD of 0.18 indicates Positive momentum. The RSI at 46.15 is Neutral, neither overbought nor oversold. The STOCH value of 38.73 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for IT:AMP.

Amplifon S.p.A. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
GPI	83 Outperform	€330.67M	3.19		6.17%	16.92%	―
AMP	74 Outperform	€4.45B	31.17	12.59%	1.46%	5.71%	-10.80%
PHN	66 Neutral	€453.55M	27.42		1.82%	17.78%	63.72%
Sector *	51 Neutral	$7.55B	0.39	-61.90%	2.32%	17.14%	1.55%