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

• Market Cap: €33.69M
• Dividend Yield: N/A
• Average Volume (3M): 165.22K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.75
• Revenue Growth: -31.33%
• EPS Growth: -393.01%
• Country: IT
• Employees: 361
• Sector: Technology
• Sector Strength: 84
• Industry: Computer Hardware
• EPS (TTM): -0.14
• Shares Outstanding: 35,515,785
• 10 Day Avg. Volume: 330,728
• 30 Day Avg. Volume: 165,220
• PEG Ratio: 0.77
• Price to Book (P/B): 0.95
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -18.44
• 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: €0.80
• Price Target Upside: -14.89% Downside
• Rating Consensus: Hold
• Number of Analyst Covering: 0

• Rating: 46 Neutral
• Price Target: €1.00 ▲(6.38%Upside)

The overall stock score of 46 reflects significant financial and valuation challenges. Declining revenues and negative profitability weigh heavily on the score, supported by a poor valuation with a negative P/E ratio. Technical indicators suggest overbought conditions, further contributing to the low score.

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

Company Description

Eurotech 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 Money

Eurotech S.p.A. generates revenue primarily through the sale of its embedded systems and IoT solutions. The company's key revenue streams include the sale of edge computing platforms, IoT gateways, and related software solutions. Eurotech also makes money through service contracts, providing ongoing support and maintenance for its products. Additionally, the company engages in strategic partnerships and collaborations with other technology firms to expand its market reach and enhance its product offerings, contributing to its overall earnings. Eurotech's ability to innovate and provide comprehensive solutions tailored to the needs of various industries plays a significant role in its financial performance.

Eurotech S.p.A. Financial Statement Overview

Summary

Eurotech S.p.A. is experiencing revenue declines and profitability issues, with a negative net profit margin and decreasing equity ratio. However, the balance sheet shows manageable leverage and cash flow has improved slightly, indicating some recovery potential.

Income Statement

Eurotech S.p.A. has been facing declining revenues, with a negative revenue growth rate of 36.5% from 2023 to TTM (Trailing-Twelve-Months). The company also reported negative net income and EBIT margins, indicating operational challenges. The gross profit margin stands at 40.9% for TTM, which is reasonable, but the negative net profit margin of -60.5% reflects significant profitability issues.

Balance Sheet

The balance sheet shows a moderate debt-to-equity ratio of 0.44 in TTM, reflecting manageable leverage. However, the equity ratio has decreased to 54.5%, indicating a reliance on external funding. The return on equity is negative, reflecting losses, but the company maintains a relatively stable asset base.

Cash Flow

Free cash flow has improved to a positive $958,000 in TTM, a notable recovery from previous negative figures. The operating cash flow to net income ratio is positive due to non-cash expenses, yet the free cash flow to net income ratio is weak due to ongoing losses.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	59.57M	93.76M	94.46M	63.35M	69.38M
Gross Profit	33.62M	44.42M	31.42M	19.36M	27.97M
EBITDA	-27.06M	5.14M	6.78M	-2.98M	6.32M
Net Income	-36.16M	-3.12M	-1.55M	-10.41M	132.00K
Balance Sheet
Total Assets	111.37M	155.52M	175.75M	165.05M	179.72M
Cash, Cash Equivalents and Short-Term Investments	6.29M	11.56M	18.25M	31.82M	41.35M
Total Debt	26.60M	31.50M	32.04M	25.67M	32.77M
Total Liabilities	50.70M	60.20M	69.23M	54.62M	60.85M
Stockholders Equity	60.66M	95.32M	106.52M	110.44M	118.86M
Cash Flow
Free Cash Flow	-1.18M	-1.24M	-5.50M	-394.00K	-1.39M
Operating Cash Flow	4.28M	1.91M	-1.61M	3.28M	3.39M
Investing Cash Flow	-4.96M	-3.11M	-13.40M	-5.27M	-5.09M
Financing Cash Flow	-4.18M	-2.19M	1.60M	-8.06M	13.46M

Eurotech S.p.A. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 0.94
• 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 IT:ETH, the sentiment is Positive. The current price of 0.94 is above the 20-day moving average (MA) of 0.84, above the 50-day MA of 0.81, and above the 200-day MA of 0.84, indicating a bullish trend. The MACD of 0.04 indicates Negative momentum. The RSI at 69.39 is Neutral, neither overbought nor oversold. The STOCH value of 84.86 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

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	56 Neutral	$3.18B	5.02	-5.68%	5.66%	8.05%	-41.83%
ETH	46 Neutral	€33.69M	―	-49.67%	―	-31.33%	-393.01%
0E3C		€248.65M	116.41	0.50%	2.56%	―	―
1EP		€37.48M	29.01	4.54%	―	―	―
CELL	70 Outperform	€63.15M	10.79		2.86%	―	―
E9IA		€74.31M	―		―	―	―
SPN		€64.34M	133.17		―	―	―

Eurotech S.p.A. Corporate Events

Eurotech Announces Capital Increase Transaction with Emera S.r.l.

Eurotech S.p.A. has announced the availability of an information document concerning a capital increase transaction with its shareholder and related party, Emera S.r.l. This document, prepared in compliance with regulatory standards, includes opinions from the Related Parties Committee and Ambromobiliare S.p.A. The transaction underscores Eurotech’s strategic financial maneuvers to strengthen its market position and enhance its operational capabilities.

The most recent analyst rating on (IT:ETH) stock is a Hold with a EUR1.20 price target. To see the full list of analyst forecasts on Eurotech S.p.A. stock, see the IT:ETH Stock Forecast page.

Eurotech Approves Capital Increase Reserved for Majority Shareholder Emera

Eurotech’s Board of Directors has approved a capital increase of 2.5 million Euros, reserved for its relative majority shareholder, Emera S.r.l. This move converts payments made by Emera in 2024 into share capital, strengthening Emera’s stake to approximately 24.725% of Eurotech’s share capital. The capital increase aims to enhance Eurotech’s financial position and market transparency, with the transaction being classified as a related party transaction due to Emera’s significant influence. The Board has ensured compliance with regulatory requirements and transparency by publishing relevant documents and opinions.

The most recent analyst rating on (IT:ETH) stock is a Hold with a EUR1.20 price target. To see the full list of analyst forecasts on Eurotech S.p.A. stock, see the IT:ETH Stock Forecast page.

Eurotech Appoints Massimo Milan as New CEO to Drive Transformation

Eurotech S.p.A. has appointed Dr. Massimo Milan as the new CEO, succeeding Dr. Paul Chawla, to lead the company through its next phase of transformation and relaunch after a challenging 2024. Dr. Milan brings extensive experience in leading high-tech industrial companies with international operations, and his expertise in business development and restructuring is expected to drive Eurotech’s sustainable growth and strengthen its market position.

The most recent analyst rating on (IT:ETH) stock is a Hold with a EUR0.80 price target. To see the full list of analyst forecasts on Eurotech S.p.A. stock, see the IT:ETH Stock Forecast page.

Eurotech Publishes Minutes of April 2025 Ordinary Meeting

Eurotech S.p.A. has made available the minutes of its ordinary meeting held on April 28, 2025. This announcement underscores Eurotech’s commitment to transparency and communication with its stakeholders, reinforcing its position in the IoT and Edge Computing industry by keeping investors and partners informed about its corporate activities.

The most recent analyst rating on (IT:ETH) stock is a Hold with a EUR1.20 price target. To see the full list of analyst forecasts on Eurotech S.p.A. stock, see the IT:ETH Stock Forecast page.

Eurotech S.p.A. Reports Q1 2025 Revenue Decline Amid Order Intake Recovery

Eurotech S.p.A. reported a 31% decline in revenues for the first quarter of 2025, attributed to a significant slowdown in order intake during the last quarter of 2024. Despite the revenue drop, the company saw a 29% increase in orders and improved its first margin by 90 basis points. Operating costs were reduced by €1.3 million, which helped mitigate the impact on EBITDA. The company faced challenges in the European market, particularly in Germany, due to macroeconomic factors and an industrial sector crisis. However, there was a positive shift in order intake, driven by the recovery in the ADAS business in Germany, the railway sector, and engineering services in Japan.

The most recent analyst rating on (IT:ETH) stock is a Hold with a EUR1.50 price target. To see the full list of analyst forecasts on Eurotech S.p.A. stock, see the IT:ETH Stock Forecast page.

Eurotech S.p.A. Shareholders’ Meeting Approves 2024 Financials and Strategic Changes

Eurotech S.p.A.’s Ordinary Shareholders’ Meeting approved the financial statements for 2024, revealing a significant decline in revenues and an increased net loss compared to the previous year. The meeting also resulted in several key decisions, including the renewal of authorization for the purchase and disposal of treasury shares, approval of the remuneration policy, and a reduction in the number of board members, which reflects the company’s efforts to streamline operations amid financial challenges.

Eurotech Appoints New Director Amid Board Restructuring

Eurotech S.p.A. has appointed Dr. Tiziana Olivieri as a new non-executive and independent director, following the resignation of Massimo Russo. This appointment aligns with the company’s proposal to reduce the number of directors and adhere to gender balance regulations. Dr. Olivieri will also serve as president of the related parties committee and a member of the nomination and remuneration committee. Her appointment is set to be confirmed at the upcoming Shareholders’ Meeting.

Eurotech Releases Remuneration Policy Report

Eurotech S.p.A. has made its report on remuneration policy and compensation publicly available, adhering to legislative requirements. This announcement reflects the company’s commitment to transparency and regulatory compliance, which may strengthen its trustworthiness and appeal to investors and stakeholders.