MFE-MediaForEurope NV Class A (MFEA) AI Stock Analysis

• Market Cap: €1.67B
• Dividend Yield: 9.63%
• Average Volume (3M): 977.68K
• Price to Earnings (P/E): 11.4
• Beta (1Y): 0.84
• Revenue Growth: 4.62%
• EPS Growth: -37.15%
• Country: IT
• Employees: 5,194
• Sector: Communication Services
• Sector Strength: 84
• Industry: Broadcasting
• EPS (TTM): N/A
• Shares Outstanding: 332,155,240
• 10 Day Avg. Volume: 596,911
• 30 Day Avg. Volume: 977,682
• PEG Ratio: -0.10
• Price to Book (P/B): 1.24
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 8.60
• 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: €2.70
• Price Target Upside: -3.57% Downside
• Rating Consensus: Moderate Sell
• Number of Analyst Covering: 1

• Rating: 68 Neutral
• Price Target: €3.00 ▲(7.14%Upside)

The overall stock score for MFE-MediaForEurope NV Class A is primarily driven by its robust valuation and stable financial performance, despite the bearish technical indicators. The high dividend yield enhances its attractiveness, while the weak technical signals suggest caution in the short term.

MFE-MediaForEurope NV Class A Business Overview & Revenue Model

Company Description

MFE-MediaForEurope N.V. primarily operates in the television industry in Italy and Spain. The company engages in the content production and third-party content acquisition; and content distribution in linear and non-linear, and free-to-air and pay-per-view television across various platforms and radio content. It is also involved in the advertising sale for television operations through its concessionaires, and radio broadcasters and websites; and film production and distribution, publishing, licensing and merchandising, and advertising concessions for third-party publishing houses through Digitalia and foreign media through Publieurope. The company was formerly known as Mediaset S.p.A. and changed its name to MFE-MediaForEurope N.V. in November 2021. MFE-MediaForEurope N.V. was incorporated in 1987 and is headquartered in Milan, Italy.

How the Company Makes Money

MFE-MediaForEurope NV generates revenue through multiple streams, primarily from advertising sales across its television channels and digital platforms. The company capitalizes on its wide viewership and audience engagement to attract advertisers looking to reach specific demographics. Additionally, MFEA earns income from content licensing deals, selling broadcasting rights of its proprietary content to other networks and platforms. Subscription services and pay-per-view options on certain digital platforms also contribute to its revenue. These revenue streams are further supported by strategic partnerships with other media companies and collaborations with content creators to expand its offerings and market presence.

MFE-MediaForEurope NV Class A Financial Statement Overview

Summary

MFE-MediaForEurope NV Class A demonstrates a stable financial position with consistent revenue growth and operational efficiency. While profitability has declined slightly, the company has improved its leverage ratios and cash flow generation, suggesting prudent financial management. Investors should monitor the net profit margin and ROE for potential improvements.

Income Statement

MFE-MediaForEurope NV Class A has shown a stable revenue base with a modest growth rate of 3.91% from 2023 to 2024. Gross profit margin increased to 35.15% in 2024, up from 29.36% in the previous year, indicating improved cost management. However, net profit margin decreased to 4.73% from 7.46% due to lower net income. EBIT and EBITDA margins remained stable, reflecting consistent operational efficiency.

Balance Sheet

The company's debt-to-equity ratio improved to 0.29 in 2024 from 0.38 in 2023, indicating reduced leverage. The equity ratio remains stable at 59.94%, showcasing a strong equity base. ROE saw a decline to 4.81% due to reduced net income, which might be a concern for investors.

Cash Flow

Free cash flow saw a significant increase of 156.69% in 2024, driven by improved operating cash flow and reduced capital expenditures. The operating cash flow to net income ratio is robust at 5.96, indicating strong cash generation capability relative to net income. The free cash flow to net income ratio also improved to 5.64, highlighting effective cash management.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	2.91B	2.80B	2.77B	2.86B	2.61B
Gross Profit	1.02B	1.23B	1.25B	1.35B	1.28B
EBITDA	792.20M	796.10M	878.70M	1.04B	862.00M
Net Income	138.00M	209.20M	216.90M	374.10M	139.30M
Balance Sheet
Total Assets	4.79B	5.01B	5.36B	5.65B	5.96B
Cash, Cash Equivalents and Short-Term Investments	145.80M	175.30M	522.50M	315.60M	447.90M
Total Debt	846.30M	1.09B	1.40B	1.20B	1.49B
Total Liabilities	1.92B	2.13B	2.47B	2.42B	2.79B
Stockholders Equity	2.87B	2.87B	2.67B	2.66B	2.67B
Cash Flow
Free Cash Flow	777.70M	303.00M	361.40M	495.00M	329.60M
Operating Cash Flow	822.70M	769.00M	775.00M	991.50M	821.20M
Investing Cash Flow	-459.20M	-510.50M	-387.90M	-415.40M	-520.20M
Financing Cash Flow	-406.10M	-605.70M	-168.10M	-708.40M	-98.20M

MFE-MediaForEurope NV Class A Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 2.80
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IT:MFEA, the sentiment is Negative. The current price of 2.8 is below the 20-day moving average (MA) of 2.86, below the 50-day MA of 2.95, and below the 200-day MA of 2.85, indicating a bearish trend. The MACD of -0.04 indicates Positive momentum. The RSI at 34.13 is Neutral, neither overbought nor oversold. The STOCH value of 15.00 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for IT:MFEA.

MFE-MediaForEurope NV Class A Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
RCS	69 Neutral	€519.45M	8.38	14.48%	6.97%	-1.06%	8.71%
CAI	68 Neutral	€368.97M	8.10	8.06%	5.25%	-1.33%	17.71%
MFEA	68 Neutral	€1.67B	11.40		9.63%	4.62%	-37.15%
MFEB	66 Neutral	€1.67B	15.46	4.81%	7.11%	4.62%	-37.02%
Sector *	61 Neutral	$40.89B	-1.56	-12.05%	3.97%	2.10%	-69.66%