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MARR S.p.A. (IT:MARR)
:MARR

MARR S.p.A. (MARR) AI Stock Analysis

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IT

MARR S.p.A.

(LSE:MARR)

Rating:68Neutral
Price Target:
€10.50
▲(10.06%Upside)
MARR S.p.A. achieves a balanced stock score driven by solid valuation metrics, notably an attractive dividend yield, and a neutral technical outlook. However, the financial performance highlights challenges in profitability and cash flow, indicating areas for improvement. The lack of recent earnings call insights and corporate events leaves these components unweighted.
Positive Factors
Free Cash Flow
The postponement in the investment plan leads the free cash flow yield back to a double-digit level in FY26E.
Operating Profitability
The management has also confirmed a recovery in operating profitability through the gross margin and the EUR/Kg management and the operating costs’ control.
Tourism Growth
The summer season is expected to grow in terms of tourists and stays, while the EUR/kg should remain stable, according to management.
Negative Factors
EBITDA Contraction
EBITDA came in at EUR 9.9M vs. EUR 16.6M in 1Q24 and the margin contracted by 160bps, due to the gross margin for a different sales mix, service costs for the start-up costs of the Centre-South platform, higher electricity costs and personnel costs.
Logistics and Cost Challenges
FY24 EBITDA decreased by 2.3% yoy due to a contraction in EUR/Kg in 2Q24 and 3Q24 with higher volumes, which required higher service and transportation costs, with revenues broadly flat.
Revenue Decline
MARR’s 1Q25 revenues declined by 2.1% to EUR 409.2M, as the different Easter calendar penalised sales to clients of the Commercial Catering.

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

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

Company DescriptionMARR S.p.A. is a leading Italian company in the foodservice distribution sector. It specializes in supplying and distributing food products to various entities such as restaurants, hotels, and catering companies. The company offers a diverse range of products, including fresh and frozen foods, dry groceries, and non-food items, catering to the specific needs of the foodservice industry.
How the Company Makes MoneyMARR S.p.A. generates revenue primarily through the distribution and sale of food and non-food products to the foodservice industry. Its key revenue streams include sales to restaurants, hotels, and catering services, which rely on MARR for a consistent supply of quality food products. The company benefits from a well-established logistics network and strategic partnerships with food producers and suppliers, ensuring efficient distribution and a broad product offering. Additionally, MARR's focus on customer service and tailored solutions enhances its competitiveness and customer loyalty, contributing to its financial success.

MARR S.p.A. Financial Statement Overview

Summary
MARR S.p.A. presents a mixed financial outlook with stable revenue growth but challenges in profitability and cash flow. The balance sheet remains stable, reflecting a reasonable leverage position, while the income statement and cash flow indicate areas for operational improvements. Continued focus on cost management and cash flow optimization is essential to enhance financial health and shareholder value.
Income Statement
65
Positive
The company shows stable revenue growth with a slight increase from 2023 to 2024. However, gross profit has significantly declined over the past year, affecting margins. The net profit margin is modest, indicating pressure on profitability. Despite a strong EBIT and EBITDA margin, the overall income statement reflects mixed performance.
Balance Sheet
70
Positive
The debt-to-equity ratio indicates a moderate level of leverage which is manageable. The return on equity is reasonable, showing moderate profitability for shareholders. The equity ratio suggests a balanced funding structure. Overall, the balance sheet is stable, but there is room for improvement in reducing debt.
Cash Flow
60
Neutral
The free cash flow has decreased from the previous year, indicating challenges in cash generation. The operating cash flow to net income ratio suggests a moderate conversion of income into cash. The company has a weaker ability to convert free cash flow into net income, impacting liquidity. Cash flow management requires attention to sustain operations.
Breakdown
Dec 2024Dec 2023Dec 2022Dec 2021Dec 2020
Income StatementTotal Revenue
2.03B2.03B1.88B1.46B1.07B
Gross Profit
108.77M351.03M378.81M313.34M211.98M
EBIT
80.70M84.44M49.05M59.37M22.66M
EBITDA
102.94M102.37M64.35M77.07M19.63M
Net Income Common Stockholders
42.72M47.13M26.55M35.07M-2.41M
Balance SheetCash, Cash Equivalents and Short-Term Investments
103.19M223.41M191.66M249.99M251.49M
Total Assets
1.19B1.23B1.16B1.17B1.05B
Total Debt
446.36M456.74M415.94M394.21M451.99M
Net Debt
238.05M233.33M224.28M144.22M200.50M
Total Liabilities
845.90M872.49M821.00M824.24M716.58M
Stockholders Equity
345.63M355.47M341.46M349.51M338.11M
Cash FlowFree Cash Flow
35.76M41.10M-20.83M110.08M17.12M
Operating Cash Flow
64.24M67.74M-8.02M121.67M30.78M
Investing Cash Flow
-29.35M-28.51M-16.72M-13.92M-13.90M
Financing Cash Flow
-50.14M-7.49M-33.59M-109.25M42.11M

MARR S.p.A. Technical Analysis

Technical Analysis Sentiment
Positive
Last Price9.54
Price Trends
50DMA
9.21
Positive
100DMA
9.36
Positive
200DMA
9.75
Negative
Market Momentum
MACD
0.06
Positive
RSI
50.19
Neutral
STOCH
27.77
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IT:MARR, the sentiment is Positive. The current price of 9.54 is below the 20-day moving average (MA) of 9.59, above the 50-day MA of 9.21, and below the 200-day MA of 9.75, indicating a neutral trend. The MACD of 0.06 indicates Positive momentum. The RSI at 50.19 is Neutral, neither overbought nor oversold. The STOCH value of 27.77 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for IT:MARR.

MARR S.p.A. Peers Comparison

Overall Rating
UnderperformOutperform
Sector (66)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
ITCOM
74
Outperform
€909.10M13.51
2.52%-23.00%-28.46%
ITORS
70
Neutral
€247.58M8.1811.62%3.56%1.98%-42.30%
68
Neutral
€629.99M15.9711.02%6.34%0.03%-17.63%
66
Neutral
$4.50B12.285.32%248.52%4.13%-12.36%
ITAV
54
Neutral
€326.39M
-1.20%
* Industrials Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
IT:MARR
MARR S.p.A.
9.54
-1.86
-16.32%
IT:ORS
Orsero SpA
14.18
1.96
15.99%
IT:AV
Antares Vision SpA
4.52
1.22
36.97%
IT:COM
Comer Industries SpA
32.20
-0.18
-0.56%
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.