Iveco Group NV (IVG) AI Stock Analysis

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Iveco Group NV

(IVG)

Rating:68Neutral

Price Target:

€18.00

▲(4.53%Upside)

Iveco Group NV's overall stock score of 68 reflects a stable financial performance with significant leverage and a need for improved profitability. Technical indicators show a strong upward trend, though caution is advised due to potential overbought conditions. The valuation is reasonable, with the P/E ratio and dividend yield providing moderate attractiveness. Despite current challenges, strong order intake and strategic partnerships indicate potential for future growth.

Iveco Group NV (IVG) vs. iShares MSCI Italy ETF (EWI)

Market Cap

€5.95B

Dividend Yield1.92%

Average Volume (3M)2.38M

Price to Earnings (P/E)12.5

Beta (1Y)1.17

Revenue Growth-7.61%

EPS Growth62.12%

CountryIT

Employees36,046

SectorIndustrials

Sector Strength93

IndustryAgricultural - Machinery

Share Statistics

EPS (TTM)0.31

Shares Outstanding271,215,400

10 Day Avg. Volume2,693,477

30 Day Avg. Volume2,381,408

Financial Highlights & Ratios

PEG Ratio0.25

Price to Book (P/B)1.61

Price to Sales (P/S)0.00

P/FCF Ratio17.27

Enterprise Value/Market CapN/A

Enterprise Value/RevenueN/A

Enterprise Value/Gross ProfitN/A

Enterprise Value/EbitdaN/A

Forecast

1Y Price Target

€17.43

Price Target Upside1.22% Upside

Rating ConsensusModerate Buy

Number of Analyst Covering3

Iveco Group NV Business Overview & Revenue Model

Company DescriptionIveco Group N.V. engages in the design, production, marketing, sale, servicing, and financing of trucks, commercial vehicles, buses and specialty vehicles for firefighting, defense, and other applications in Italy and internationally. The company operates through three segments: Commercial and Specialty Vehicles, Powertrain, and Financial Services. It offers commercial and specialty vehicles comprising light, medium, and heavy vehicles for the transportation and distribution of goods under the IVECO brand; city and commuter buses under the IVECO BUS and HEULIEZ BUS brands; quarry and mining equipment under the IVECO ASTRA brand; firefighting vehicles under the Magirus brand; and vehicles for civil defense and peace-keeping missions under the Iveco Defence Vehicles brand. The company also designs, manufactures, and distributes powertrains under the FPT Industrial brand; and combustion engines, alternative propulsion systems, transmission systems, and axles for on- and off-road applications, as well as for marine and power generation. In addition, it offers financial products and services to dealers and customers; and administers wholesale and retail financing services to customers for the purchase or lease of new and used vehicles sold by brand dealers and distributors. Iveco Group N.V. was incorporated in 2021 and is based in Turin, Italy.

How the Company Makes MoneyIveco Group NV generates revenue through the sale of its diverse portfolio of commercial vehicles such as trucks, buses, and specialty vehicles tailored for different industries. The company also earns from its powertrain segment by providing cutting-edge engine and transmission systems to other vehicle manufacturers. Additionally, Iveco Group benefits from its aftermarket services, offering maintenance, spare parts, and support to ensure long-term customer satisfaction. Strategic partnerships and collaborations with other industry leaders also play a vital role in expanding its market reach and enhancing its revenue streams.

Iveco Group NV Earnings Call Summary

Earnings Call Date:May 15, 2025

(Q1-2025)

% Change Since: 6.17%|

Next Earnings Date:Jul 30, 2025

Earnings Call Sentiment Neutral

The earnings call presented a mixed picture with strong order intake and strategic partnerships laying a foundation for future growth, while current financial performance and production challenges in certain segments posed significant issues.

Q1-2025 Updates

Positive Updates

Strong Order Intake

Order intake in Europe and Latin America was strong for both light and heavy-duty trucks. The book-to-bill ratio was well above 1 in Europe for the first time since Q1 2023.

Bus and Defence Segments Performance

Bus and Defence segments delivered strong results with continuous margin improvements year-over-year, supported by solid order books and favorable industry momentum.

Strategic Partnerships

Formed partnerships with Ford Otosan and Stellantis in the truck business, and a joint venture with DLL to accelerate green mobility, which are expected to boost future growth.

Defence Business Developments

Awarded a tender by the Dutch Ministry of Defence for 785 military logistic vehicles, with potential for an additional 785 vehicles and long-term logistics support.

Market Share Gains

Market share increased in various segments: LCV market share at 12.1%, Chassis Cab at 31.2%, and heavy trucks at 9.1%.

Negative Updates

European Truck Production Decline

European production was down 32% year-over-year, reflecting lower industry demand and transition to new vehicle generation.

Contraction in Net Revenues

Consolidated net revenues slightly over €3 billion, contracting approximately 10% year-over-year due to lower volumes in Europe for trucks and Powertrain and FX effects.

Financial Performance Challenges

Free cash flow absorption was €794 million, driven by lower sales volumes impacting working capital seasonality and lower production levels affecting fixed cost absorption.

Powertrain Segment Struggles

Engine volumes down 22% in Q1 compared to Q1 2024, affected by the challenging industry environment and ongoing customer destocking actions.

Company Guidance

During the first quarter of 2025, the Iveco Group maintained its full-year guidance despite challenging market conditions. The European production of trucks decreased by 32% year-over-year, affecting margins and free cash flow. However, the book-to-bill ratio was above 1 in both Europe and South America, indicating strong order intake. The truck segment's European order intake for light-duty trucks increased by 7% compared to Q1 2024, with a book-to-bill ratio of 1.09, while medium and heavy-duty trucks saw a 33% increase with a ratio of 1.17. In South America, the order intake for light-duty trucks tripled, with a book-to-bill ratio of 1.51, and doubled for medium and heavy-duty trucks with a ratio of 1.38. The bus segment also demonstrated a solid performance, with a 15% increase in order intake and a book-to-bill ratio of 1.41. The adjusted EBIT margin for Industrial Activities stood at 4%, with the group expecting to achieve an adjusted EBIT of EUR 980 million to EUR 1,030 million for the full year. The first quarter's results were bolstered by strategic partnerships, such as those with Ford Otosan and Stellantis, and plans for a spin-off of the Defence business, which has a robust backlog exceeding EUR 4 billion.

Iveco Group NV Financial Statement Overview

Summary

Income Statement

Balance Sheet

Cash Flow

Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Breakdown
Income Statement		Total Revenue
15.29B	16.21B	14.16B	12.52B	10.41B
	Gross Profit
2.65B	2.70B	1.78B	1.64B	949.00M
	EBIT
0.00	1.08B	401.00M	340.00M	-374.00M
	EBITDA
1.52B	1.26B	1.00B	815.00M	173.00M
	Net Income Common Stockholders
349.00M	218.00M	147.00M	76.00M	-372.00M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
3.48B	2.64B	2.23B	903.00M	418.00M
	Total Assets
19.44B	18.39B	16.01B	16.56B	15.63B
	Total Debt
6.31B	6.10B	4.43B	5.79B	5.31B
	Net Debt
2.89B	3.51B	2.23B	4.94B	4.89B
	Total Liabilities
16.67B	15.99B	13.62B	14.25B	13.29B
	Stockholders Equity
2.70B	2.35B	2.35B	2.29B	2.27B
Cash Flow		Free Cash Flow
248.00M	366.00M	630.00M	-25.00M	158.00M
	Operating Cash Flow
1.20B	1.34B	1.41B	539.00M	559.00M
	Investing Cash Flow
-284.00M	-2.22B	-1.34B	-45.00M	-90.00M
	Financing Cash Flow
68.00M	1.49B	1.34B	-88.00M	-407.00M

Iveco Group NV Technical Analysis

Technical Analysis Sentiment

Positive

Last Price17.22

Price Trends

50DMA

15.12

Positive

100DMA

14.40

Positive

200DMA

11.75

Positive

Market Momentum

MACD

0.63

Positive

RSI

62.03

Neutral

STOCH

41.41

Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IT:IVG, the sentiment is Positive. The current price of 17.22 is above the 20-day moving average (MA) of 16.90, above the 50-day MA of 15.12, and above the 200-day MA of 11.75, indicating a bullish trend. The MACD of 0.63 indicates Positive momentum. The RSI at 62.03 is Neutral, neither overbought nor oversold. The STOCH value of 41.41 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for IT:IVG.

Iveco Group NV Peers Comparison

Overall Rating

UnderperformOutperform

Sector (66)

Financial Indicators

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
IVG	68 Neutral	€5.95B	12.47		1.92%	-7.61%	62.12%
Sector *	66 Neutral	$4.48B	12.26	5.32%	248.53%	4.10%	-12.36%
0EHB		€178.31M	2.99	16.26%	5.79%	―	―
2PI		€6.19B	12.38	8.52%	3.24%	―	―

* Industrials Sector Average

Performance Comparison

IT:IVG

Iveco Group NV

17.17

5.97

53.30%

GB:0EHB

FNM S.p.A.

0.40

-0.08

-16.67%

DE:2PI

Pirelli & C. SpA

6.10

0.27

4.63%

Iveco Group NV Corporate Events

Iveco Group NV’s Strategic Moves Amid First Quarter Challenges

May 15, 2025

Iveco Group NV reported a challenging first quarter of 2025, with a decline in financial metrics due to reduced demand in the European truck segment and a transition to new vehicle models. Despite this, the company maintained its financial outlook for the year, highlighting strong order intake and strategic partnerships. The Board of Directors decided to spin off the Defence business, exploring potential buyers, and emphasized the company’s preparedness for future growth through operational adjustments and strategic initiatives.

The most recent analyst rating on (IT:IVG) stock is a Buy with a EUR11.50 price target. To see the full list of analyst forecasts on Iveco Group NV stock, see the IT:IVG Stock Forecast page.

Iveco Group and DLL Form Joint Venture to Boost Sustainable Transport in Europe

May 13, 2025

Iveco Group and DLL have announced a joint venture to expand access to low and zero-emission commercial vehicles in Europe. DLL will acquire a majority stake in GATE, a company currently controlled by Iveco Group, to support the transition to sustainable transport. This collaboration aims to provide financial support and expertise in asset financing, facilitating the growth and expansion of GATE’s sustainable mobility solutions. The joint venture will enhance GATE’s ability to offer rental solutions for low and zero-emission vehicles, initially strengthening its presence in Italy, France, and Germany, with plans to expand to other markets.

The most recent analyst rating on (IT:IVG) stock is a Hold with a EUR11.00 price target. To see the full list of analyst forecasts on Iveco Group NV stock, see the IT:IVG Stock Forecast page.

IDV Secures Major Contract with Dutch Armed Forces

May 13, 2025

IDV, a brand under Iveco Group, has secured a contract to supply 785 logistical military vehicles to the Dutch Armed Forces, with an option for an additional 785 vehicles. This contract strengthens IDV’s partnership with the Dutch Ministry of Defense and aligns with its strategic growth objectives, enhancing its position in the defense sector.

The most recent analyst rating on (IT:IVG) stock is a Hold with a EUR11.00 price target. To see the full list of analyst forecasts on Iveco Group NV stock, see the IT:IVG Stock Forecast page.

Iveco Group to Announce Q1 2025 Financial Results

Apr 28, 2025

Iveco Group N.V. announced that it will present its financial results for the first quarter of 2025 on May 15, 2025. The announcement will be accompanied by a live audio webcast, with materials and a recording available on the company’s website. This presentation is significant as it provides stakeholders with insights into the company’s financial health and strategic direction, potentially impacting its market position and investor confidence.

Iveco Group Shareholders Approve Key Resolutions at Annual Meeting

Apr 16, 2025

Iveco Group N.V. held a shareholders’ meeting where all proposed resolutions were approved, including financial statements, dividend distribution, and executive appointments. The meeting also authorized share repurchase and amendments to the remuneration policy, reflecting strategic moves to strengthen governance and shareholder value.

Iveco Group Launches Euro Medium Term Note Programme

Apr 3, 2025

Iveco Group N.V. has launched its Euro Medium Term Note Programme, allowing for the issuance of up to 2 billion euros in notes, which will be listed on Euronext Dublin. This strategic move is expected to enhance the company’s financial flexibility and market presence, potentially impacting its operations and stakeholders positively by providing additional capital for growth and development.

Ford Trucks and IVECO Collaborate on New Heavy Truck Cab Development

Mar 11, 2025

Ford Trucks and IVECO have signed a joint development agreement to design a new cab for heavy trucks, enhancing competitiveness by complying with the EU Direct Vision Standard and improving aerodynamics for CO2 reduction. This collaboration will result in a high-end modular cab with cutting-edge technology, setting new benchmarks in safety, efficiency, and driver comfort, while achieving significant investment savings.

Glossary

OutperformA stock rated as "Outperform" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests that the stock is likely to deliver higher returns compared to the average returns of other stocks in the same sector or market index. Investors might consider this stock a good buying opportunity.

NeutralA stock rated as "Neutral" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly attractive nor unattractive for investment. Investors may consider holding onto the stock, as it is not expected to either significantly outperform or underperform the market.

UnderperformA stock rated as "Underperform" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests that the stock may deliver lower returns compared to the average returns of other stocks in the same sector or market index. Investors might consider selling the stock or avoiding it as an investment.

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.