Datalogic SPA (DAL) AI Stock Analysis

• Market Cap: €223.44M
• Dividend Yield: 2.88%
• Average Volume (3M): 97.93K
• Price to Earnings (P/E): 54.9
• Beta (1Y): 0.51
• Revenue Growth: 1.44%
• EPS Growth: -46.55%
• Country: IT
• Employees: 2,615
• Sector: Technology
• Sector Strength: 96
• Industry: Computer Hardware
• EPS (TTM): 0.10
• Shares Outstanding: 58,446,490
• 10 Day Avg. Volume: 147,241
• 30 Day Avg. Volume: 97,934
• PEG Ratio: N/A
• Price to Book (P/B): 0.00
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 0.00
• 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: €5.20
• Price Target Upside: 25.00% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 3

• Rating: 53 Neutral
• Price Target: €4.00 ▼(-3.85% Downside)

Datalogic SPA's overall stock score is impacted by its mixed financial performance and bearish technical indicators. The high P/E ratio suggests overvaluation, further lowering the score. However, the company's strong cash management and dividend yield provide some support in the overall assessment.

Positive Factors

Financial Performance

The adjusted EBITDA was EUR 6.8M vs. EUR 2.1M in 1Q24, with a margin improvement of 410bps to 6%, positively affected by volumes, mix, and productivity.

Innovative Products

In the mid-term, innovative products and solutions should help the company to secure major projects and grow structurally, both in revenues and margins.

Order Intake

A robust and ongoing recovery of the order intake sets the foundation for a new revenues growth cycle in 2025 and 2026.

Negative Factors

Revenue Growth Guidance

Management guided for a mid-single digit revenues growth in 2025, with improving margins.

Datalogic SPA Business Overview & Revenue Model

Company Description

Datalogic S.p.A. manufactures and sells automatic data capture and process automation products worldwide. It operates through Datalogic and Informatics segments. The company offers fixed retail scanners, including single plane scanners, presentation scanners, multi-plane imaging scanner/scales, and loss prevention solutions; general duty and industrial handheld scanners; wearable scanners; mobile computers, such as vehicle mounted and handheld computers, and related software solutions; and laser marking systems. It also provides stationery industrial scanners, including 1D reader scanners, 2D imager readers, linear cameras, dimensioners, connectivity products, and system integration solutions; photoelectric, inductive proximity, ultrasonic, capacitive, area, and optical encoder sensors; sensor accessories; safety devices and accessories; lidars and encoders; and machine vision products. In addition, the company offers RFID devices; and OEM barcode readers for self-service kiosk, clinical analyzer, or access control station. It serves retail, manufacturing, transportation and logistics, and healthcare sectors. The company was founded in 1972 and is headquartered in Bologna, Italy. Datalogic S.p.A. is a subsidiary of Hydra S.p.A.

How the Company Makes Money

Datalogic generates revenue through the sale of its products, which include barcode readers, mobile computers, sensors, and automation solutions. The company primarily earns money by selling its hardware and software solutions to businesses in sectors like retail, logistics, and manufacturing. Key revenue streams include direct sales to customers and distribution through a network of partners and resellers. Additionally, Datalogic offers maintenance and support services, which provide a recurring revenue stream. The company's strategic partnerships with major players in the technology and logistics sectors also contribute to its sales, helping to enhance its market reach and increase its earnings potential.

Datalogic SPA Financial Statement Overview

Summary

Datalogic SPA exhibits a stable financial position with some concerns. The income statement shows challenges in maintaining strong margins and profitability. However, the balance sheet indicates financial stability with a healthy equity ratio, and the cash flow statement highlights effective cash management. Operational efficiencies and a robust equity base are crucial for future growth.

Income Statement

Datalogic SPA shows a mixed performance in its income statement. The TTM (Trailing-Twelve-Months) revenue displays a slight growth from the previous year. However, the gross profit margin has decreased, indicating pressures on cost or pricing. The EBIT and net profit margins are low, reflecting challenges in operational efficiency and profitability. Despite this, EBITDA margin remains relatively stable, suggesting some resilience in earnings before interest, taxes, depreciation, and amortization.

Balance Sheet

The balance sheet of Datalogic SPA is relatively strong, with a healthy equity ratio indicating financial stability. The debt-to-equity ratio is reasonable, suggesting manageable leverage. However, a declining trend in stockholders' equity over recent periods could signal future risks. The return on equity has shown fluctuations, which may impact investor confidence if not addressed.

Cash Flow

Datalogic SPA's cash flow statement shows solid operating cash flow relative to net income, suggesting effective cash generation from operations. The free cash flow has grown slightly, demonstrating effective capital expenditure management. However, fluctuations in investing and financing cash flows indicate potential volatility in external investments and capital structure adjustments.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	493.77M	536.62M	654.63M	600.52M	479.83M
Gross Profit	207.67M	224.38M	274.11M	257.02M	216.62M
EBITDA	39.26M	44.40M	73.74M	79.78M	43.13M
Net Income	13.63M	9.86M	29.55M	38.91M	13.58M
Balance Sheet
Total Assets	726.55M	719.50M	845.51M	818.87M	707.69M
Cash, Cash Equivalents and Short-Term Investments	81.44M	70.63M	107.48M	106.08M	147.60M
Total Debt	90.95M	105.95M	149.49M	133.35M	83.66M
Total Liabilities	295.43M	308.37M	393.94M	397.14M	337.33M
Stockholders Equity	427.98M	408.19M	448.05M	418.66M	368.20M
Cash Flow
Free Cash Flow	6.84M	37.41M	16.41M	26.75M	25.32M
Operating Cash Flow	34.11M	64.19M	42.81M	53.45M	68.11M
Investing Cash Flow	1.39M	-19.83M	-36.80M	-51.38M	-25.16M
Financing Cash Flow	-24.70M	-81.21M	-4.62M	-33.43M	-57.35M

Datalogic SPA Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 4.16
• 50DMA: Negative
• 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:DAL, the sentiment is Negative. The current price of 4.16 is below the 20-day moving average (MA) of 4.43, below the 50-day MA of 4.44, and below the 200-day MA of 4.57, indicating a bearish trend. The MACD of -0.11 indicates Positive momentum. The RSI at 43.68 is Neutral, neither overbought nor oversold. The STOCH value of 26.17 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for IT:DAL.

Datalogic SPA Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
DAL	53 Neutral	€223.44M	54.87	1.01%	2.88%	1.44%	-46.55%
Sector *	50 Neutral	AU$1.64B	3.52	-0.63%	3.31%	16.41%	-5.22%
0E7Z	―	€35.07M	―	-49.67%	―	―	―
0EKI	―	€151.63M	13.87	11.00%	―	―	―
AV	54 Neutral	€353.38M	―		―	-1.20%	―
SOM	―	€99.76M	―		―	―	―
TPS	―	€50.82M	10.43		―	―	―