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Eurotech S.p.A. (IT:ETH)
:ETH

Eurotech S.p.A. (ETH) AI Stock Analysis

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IT:ETH

Eurotech S.p.A.

(ETH)

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Neutral 47 (OpenAI - 4o)
Rating:47Neutral
Price Target:
€1.00
▲(1.01% Upside)
Eurotech S.p.A.'s overall stock score is primarily impacted by its weak financial performance, characterized by declining revenues and profitability, and negative returns on equity. The technical analysis suggests a bearish trend with weak momentum, while the valuation is unattractive due to negative earnings and no dividend yield. These factors collectively contribute to a low overall score.
Positive Factors
Market Position
Eurotech's strong position in the IoT sector provides a competitive edge, allowing it to capitalize on the growing demand for IoT solutions across various industries.
Product Offering
Diverse product offerings in edge computing and IoT modules enhance Eurotech's ability to meet varied customer needs, supporting long-term revenue stability.
Partnerships
Strategic partnerships expand Eurotech's market access and create opportunities for joint ventures, fostering sustainable growth and innovation.
Negative Factors
Revenue Decline
Continued revenue decline indicates challenges in maintaining market share and demand, potentially impacting long-term financial health.
Profitability Issues
Negative profit margins highlight operational inefficiencies and cost management issues, which could hinder future profitability and investment capacity.
Cash Flow Challenges
Severe cash flow challenges limit Eurotech's ability to reinvest in growth opportunities and manage financial obligations, threatening long-term viability.

Eurotech S.p.A. (ETH) vs. iShares MSCI Italy ETF (EWI)

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

Company DescriptionEurotech S.p.A. engages in the research and development, production, and marketing of miniaturized computers and high-performance computers featuring high computing capacity in Italy and internationally. The company offers embedded boards and modules, such as COM Express CPU-modules, small form factor boards, single board computers, VME boards, compact peripheral component interconnect boards, PC/104 boards, and development kits. It also provides embedded and edge computers, HMIs and displays, and expansion modules; mobile access routers, data loggers and storage systems, and networking modules; and high performance embedded computing systems, switches, and boards for data access and management. In addition, the company offers intelligent sensors, such as people counters and environmental monitoring systems; multi-service IoT edge gateways, IoT edge framework, and IoT integration platform; wearable devices and handheld computers, as well as G-Station, a supercomputer solution. Further, it provides IoT consulting and solutions and product design and manufacturing services. The company serves industrial and automation, transportation and mobility, energy and utilities, defense and aerospace, and medical and healthcare markets. Eurotech S.p.A. was founded in 1992 and is headquartered in Amaro, Italy.
How the Company Makes MoneyEurotech generates revenue through multiple streams, primarily by selling its IoT devices and embedded computing solutions. The company offers a range of products, including edge gateways, IoT modules, and software platforms, which are targeted at various sectors that require real-time data processing and analytics. Additionally, Eurotech earns money through service contracts and subscriptions for its cloud-based services, providing customers with ongoing support and updates. Partnerships with technology firms and industry leaders enhance its product offerings and market reach, contributing significantly to its earnings. These collaborations often lead to joint ventures or integrated solutions that further drive sales and customer engagement.

Eurotech S.p.A. Financial Statement Overview

Summary
Eurotech S.p.A. is facing significant financial challenges, with declining revenues and profitability, negative returns on equity, and weak cash flow generation. While the company maintains a stable capital structure, its operational inefficiencies and cash flow constraints pose substantial risks.
Income Statement
45
Neutral
Eurotech S.p.A. has been experiencing declining revenues and profitability. The TTM data shows a negative revenue growth rate of -7.00%, and the net profit margin is significantly negative at -73.20%. The gross profit margin remains relatively strong at 57.46%, indicating some efficiency in cost management. However, the negative EBIT and EBITDA margins highlight ongoing operational challenges.
Balance Sheet
55
Neutral
The company's balance sheet shows a moderate debt-to-equity ratio of 0.45, suggesting manageable leverage. However, the return on equity is negative at -57.71%, indicating that the company is not generating positive returns for its shareholders. The equity ratio stands at 52.70%, reflecting a stable capital structure.
Cash Flow
40
Negative
Eurotech S.p.A. faces challenges in cash flow generation, with a significant decline in free cash flow growth rate of -24761.39% in the TTM period. The operating cash flow to net income ratio is low at 0.17, indicating limited cash conversion efficiency. Despite a positive free cash flow to net income ratio of 0.56, the overall cash flow position remains weak.
BreakdownTTMDec 2024Dec 2023Dec 2022Dec 2021Dec 2020
Income Statement
Total Revenue51.79M59.57M94.25M94.46M63.35M69.38M
Gross Profit24.55M33.62M44.91M31.42M19.36M27.97M
EBITDA-29.05M-27.06M5.14M6.78M-2.98M6.32M
Net Income-38.06M-36.16M-3.12M-1.62M-10.41M132.00K
Balance Sheet
Total Assets106.35M111.37M155.52M175.75M165.05M179.72M
Cash, Cash Equivalents and Short-Term Investments6.42M6.23M11.56M18.25M31.82M41.35M
Total Debt25.02M26.60M32.63M33.24M26.86M32.77M
Total Liabilities50.31M50.70M60.20M69.23M54.62M60.85M
Stockholders Equity56.05M60.66M95.32M106.52M110.44M118.86M
Cash Flow
Free Cash Flow2.71M-1.18M-1.24M-5.50M-394.00K-1.39M
Operating Cash Flow4.83M4.28M1.91M-1.61M3.28M3.39M
Investing Cash Flow-4.52M-4.96M-3.11M-13.40M-5.27M-5.09M
Financing Cash Flow1.13M-4.18M-2.19M1.60M-8.06M13.46M

Eurotech S.p.A. Technical Analysis

Technical Analysis Sentiment
Positive
Last Price0.99
Price Trends
50DMA
0.94
Positive
100DMA
0.97
Positive
200DMA
0.89
Positive
Market Momentum
MACD
0.02
Negative
RSI
64.75
Neutral
STOCH
87.85
Negative
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IT:ETH, the sentiment is Positive. The current price of 0.99 is above the 20-day moving average (MA) of 0.91, above the 50-day MA of 0.94, and above the 200-day MA of 0.89, indicating a bullish trend. The MACD of 0.02 indicates Negative momentum. The RSI at 64.75 is Neutral, neither overbought nor oversold. The STOCH value of 87.85 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for IT:ETH.

Eurotech S.p.A. Peers Comparison

Overall Rating
UnderperformOutperform
Sector (61)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
63
Neutral
€57.76M10.033.62%
61
Neutral
$37.18B12.37-10.20%1.83%8.50%-7.62%
57
Neutral
€240.87M84.880.71%2.65%0.19%-76.65%
47
Neutral
€39.00M-0.94-51.98%-23.11%-284.12%
* Technology Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
IT:ETH
Eurotech S.p.A.
0.99
0.23
30.53%
IT:DAL
Datalogic SPA
4.53
-0.33
-6.71%
IT:ELES
ELES Semiconductor Equipment SpA
2.93
1.46
98.64%
IT:CELL
Cellularline SpA
2.57
0.39
17.89%
IT:E9IA
e-Novia SpA
2.00
-0.18
-8.26%
IT:SPN
Spindox S.P.A
13.00
2.80
27.45%

Eurotech S.p.A. Corporate Events

Eurotech Completes Share Buyback Program
Nov 29, 2025

Eurotech S.p.A. has completed its share buyback program, purchasing a total of 35,000 ordinary shares between November 24 and November 25, 2025, for a total value of Euro 31,088.25. This completes the program authorized by the Shareholders’ Meeting, which aimed to purchase 70,000 shares. The buyback, executed through Intesa Sanpaolo S.p.A., increases Eurotech’s holdings to 288,606 shares, representing 0.6565% of its share capital, potentially enhancing shareholder value and market confidence.

Eurotech S.p.A. Expands Share Buyback Program
Nov 24, 2025

Eurotech S.p.A. announced the purchase of 35,000 of its own ordinary shares as part of its share buyback program, amounting to a total value of Euro 31,178.35. This move, conducted through Intesa Sanpaolo S.p.A., increases Eurotech’s holdings to 218,606 shares, representing 0.5659% of its share capital. The buyback program reflects Eurotech’s strategic efforts to manage its capital structure and potentially enhance shareholder value.

Eurotech S.p.A. Publishes Amended Bylaws Following Shareholders’ Resolution
Nov 20, 2025

Eurotech S.p.A. announced the publication of its amended bylaws following a resolution adopted by the Extraordinary Shareholders’ Meeting. The updated bylaws are now accessible at the company’s registered office, on its website, and through an authorized storage mechanism. This update reflects Eurotech’s ongoing commitment to transparency and governance, potentially impacting its market positioning and stakeholder relations.

Eurotech S.p.A. Amends Bylaws and Initiates Shareholder Option Offer
Nov 19, 2025

Eurotech S.p.A. has amended its bylaws to introduce a 40% threshold of share capital or voting rights, triggering a public purchase offer obligation. The resolution allows shareholders who did not approve the change to withdraw their shares, with a total of 20,929 shares withdrawn, representing 0.054% of the company’s share capital. The option offer for these shares is now available to other shareholders, ensuring the company’s financial obligations remain within the set limit, thereby solidifying the resolution’s effectiveness.

Eurotech Publishes Shareholders’ Meeting Minutes
Nov 14, 2025

Eurotech S.p.A. has announced the availability of the minutes from its Ordinary and Extraordinary Shareholders’ Meeting held on October 15, 2025. These minutes are accessible at the company’s headquarters, on its website, and through the authorized storage mechanism 1INFO. This release ensures transparency and accessibility for stakeholders, reinforcing Eurotech’s commitment to open communication and regulatory compliance.

Eurotech S.p.A. Achieves Break-even EBITDA in Q3 2025 Amid Revenue Decline
Nov 13, 2025

Eurotech S.p.A. reported a significant improvement in its financial performance for the third quarter of 2025, achieving a break-even EBITDA and a positive adjusted EBITDA. Despite a decrease in consolidated revenues by 18.2% compared to the same period in 2024, the company successfully managed to reduce operating costs by 18.1%, excluding non-recurring costs. This cost management strategy, including workforce reduction and solidarity contracts, helped mitigate the impact of lower revenues. The order intake grew by 24.7%, indicating a positive trend for future operations. However, the overall performance for the nine months was affected by the first half’s results, with revenue declines in the US and European markets, while the Japanese market remained stable.

Eurotech Amends Bylaws, Offers Withdrawal Rights to Shareholders
Oct 20, 2025

Eurotech S.p.A. has registered a resolution from its Extraordinary Shareholders’ Meeting to amend its bylaws, introducing a threshold of 40% of share capital for triggering a public purchase offer obligation. Shareholders who did not participate in the approval of this resolution can exercise their right of withdrawal until November 4, 2025, with a liquidation value set at €0.847 per share. This move could impact Eurotech’s shareholder dynamics and market strategy.

Eurotech S.p.A. Shareholders’ Meeting Approves Key Resolutions
Oct 15, 2025

Eurotech S.p.A.’s recent shareholders’ meeting resulted in key decisions, including the confirmation of CEO Massimo Milan and independent director Laura Amadesi, the waiver of liability against former CEO Paul Chawla, and amendments to the Performance Shares Plan 2024-2026. Additionally, the meeting approved a change to the articles of association, raising the threshold for a public purchase offer obligation to 40% of share capital, which could impact shareholder dynamics and corporate governance.

Eurotech Announces Assembly to Discuss By-law Amendment
Oct 3, 2025

Eurotech S.p.A. has announced an upcoming Ordinary and Extraordinary Assembly on October 15, 2025, where a proposed amendment to Article 5 of its by-laws will be discussed. If approved, this amendment will allow shareholders who did not participate in the resolution to exercise their right of withdrawal, with the liquidation value of shares set at Euro 0.847. This move could impact shareholder dynamics and the company’s governance structure.

Eurotech Releases Information on Related Party Transaction
Sep 18, 2025

Eurotech S.p.A. has released an information document regarding a transaction with the related party Emera S.r.l., available on their website and other platforms. This document, prepared in compliance with Consob regulations, includes the opinion of the Related Parties Committee, highlighting Eurotech’s commitment to transparency and regulatory adherence in its operations.

Eurotech Releases Documentation for Upcoming Shareholders’ Meeting
Sep 15, 2025

Eurotech S.p.A. has announced the availability of documents related to its Ordinary and Extraordinary Meeting scheduled for October 15, 2025. These documents, which include explanatory reports on agenda items and amendments to the Performance Shares Plan, are accessible to the public through various channels. This announcement is significant for stakeholders as it outlines key agenda items and potential changes in the company’s strategic plans, impacting its operations and industry positioning.

Eurotech Releases Half-Year Financial Report for 2025
Sep 12, 2025

Eurotech S.p.A. has released its consolidated half-year financial report for the period ending June 30, 2025. This announcement underscores Eurotech’s commitment to transparency and provides stakeholders with insights into the company’s financial performance, potentially impacting its market positioning and stakeholder confidence.

Eurotech Secures Financial Commitment from Emera for Strategic Growth
Sep 11, 2025

Eurotech S.p.A. has announced that its relative majority shareholder, Emera S.r.l., has committed to providing up to 6.5 million euros in financial resources to support the company’s transformation and relaunch plan. This funding is intended to help Eurotech achieve stable profitability and cash generation. Additionally, the Board of Directors has convened a Shareholders’ Meeting to discuss amendments to the bylaws, which aim to facilitate capital raising while balancing the interests of minority shareholders. This move signifies a strategic step in reinforcing Eurotech’s financial stability and operational growth.

Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.Date of analysis: Oct 23, 2025