Moncler S.p.A. (MONC) AI Stock Analysis

• Market Cap: €14.46B
• Dividend Yield: 2.42%
• Average Volume (3M): 1.03M
• Price to Earnings (P/E): 23.6
• Beta (1Y): 1.07
• Revenue Growth: 0.87%
• EPS Growth: -5.61%
• Country: IT
• Employees: 7,354
• Sector: Consumer Cyclical
• Sector Strength: 84
• Industry: Apparel - Manufacturers
• EPS (TTM): 0.35
• Shares Outstanding: 274,805,970
• 10 Day Avg. Volume: 1,129,465
• 30 Day Avg. Volume: 1,033,976
• PEG Ratio: 5.44
• Price to Book (P/B): 3.85
• Price to Sales (P/S): 4.44
• P/FCF Ratio: 16.57
• 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: €54.35
• Price Target Upside: 0.91% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 7

• Rating: 76 Outperform
• Price Target: €56.00 ▲(3.97% Upside)

Moncler S.p.A. scores well due to its strong financial performance, characterized by robust profitability and cash flow generation. Technical analysis indicates moderate bullish momentum, supporting the stock's positive outlook. However, the valuation suggests the stock may be slightly overvalued, which tempers the overall score.

Positive Factors

Cash Flow Generation

Strong cash flow generation indicates high-quality earnings and provides flexibility for reinvestment and shareholder returns, supporting long-term growth.

Profitability

High profitability margins reflect efficient cost management and operational efficiency, ensuring sustainable earnings and competitive advantage in the luxury market.

Balance Sheet Health

A strong balance sheet with low debt reliance enhances financial stability and provides a solid foundation for future growth and strategic initiatives.

Negative Factors

EPS Growth Decline

A decline in EPS growth may indicate challenges in maintaining profitability levels, potentially impacting investor confidence and long-term valuation.

Asset Decline

A decline in total assets could signal reduced investment capacity or asset efficiency, potentially affecting future growth opportunities.

Revenue Growth Rate

While positive, a modest revenue growth rate may not be sufficient to maintain competitive positioning in the fast-paced luxury apparel industry.

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

Company Description

Moncler S.p.A., together with its subsidiaries, designs, produces, and distributes clothing and related accessories for men, women, and children under the Moncler and Stone Island brand names. Its product portfolio includes footwear products; leather goods, such as bags, backpacks, and accessories; and sunglasses, eyeglasses, frames, and men's and women's ski goggles under the Moncler Lunettes brand. The company also offers perfume for men and women. As of December 31, 2021, it operated 237 retail directly operated stores and 64 wholesale shop-in-shops. The company also sells its products through moncler.com, an online store. It serves in Italy, other European countries, Japan, the rest of Asia, and the Americas. The company was formerly known as Moncler S.r.l. and changed its name to Moncler S.p.A. in October 2013. Moncler S.p.A. was founded in 1952 and is headquartered in Milan, Italy.

How the Company Makes Money

Moncler generates revenue primarily through the sale of its premium outerwear and fashion apparel, with a significant focus on down jackets, which are a core product line. The company operates through a multi-channel distribution model, which includes direct-to-consumer sales through branded retail stores, e-commerce platforms, and wholesale partnerships with high-end department stores and boutiques. Key revenue streams include seasonal collections, collaborations with designers, and limited-edition releases that drive consumer interest and exclusivity. Additionally, Moncler's strategic marketing initiatives and brand positioning in the luxury market enhance its ability to command premium pricing, contributing to robust profit margins. Significant partnerships with luxury retailers and participation in global fashion events further bolster its visibility and sales potential.

Moncler S.p.A. Financial Statement Overview

Summary

Moncler S.p.A. presents an impressive financial profile with strong growth, profitability, and cash flow generation. The company efficiently manages its operations, maintains a solid balance sheet, and generates significant free cash flow, signaling a healthy financial condition. However, vigilance is necessary to maintain asset growth and manage any potential economic challenges.

Income Statement

Moncler S.p.A. demonstrates robust profitability with a consistent increase in revenue, evident from a revenue growth rate of approximately 4.2% in the latest year. The gross profit margin is strong at 78% for the latest annual period, reflecting efficient cost management. The net profit margin stands at 20.6%, indicating solid bottom-line performance. Both EBIT and EBITDA margins are healthy, reflecting operational efficiency and the company's ability to generate earnings before interest, taxes, depreciation, and amortization. Overall, the income statement portrays a company with strong profitability and growth potential.

Balance Sheet

Moncler S.p.A. maintains a conservative leverage position with a debt-to-equity ratio of 0.26, indicating low reliance on debt financing. The company reports a high equity ratio of 78.9%, demonstrating a strong capital structure with significant equity backing its total assets. Return on equity (ROE) is impressive at 17.8%, reflecting efficient use of shareholders' equity to generate profits. The balance sheet showcases financial stability and a solid foundation for growth, although there is a slight decline in total assets year-over-year.

Cash Flow

Moncler S.p.A. exhibits strong cash flow generation, with operating cash flow exceeding net income, indicating high-quality earnings. The free cash flow shows a growth rate of 12.7%, highlighting the company's ability to generate excess cash after capital expenditures. Both the operating cash flow to net income ratio and free cash flow to net income ratio are favorable, suggesting efficient cash management. Overall, the cash flow statement reflects a robust cash position, enabling potential reinvestment and shareholder returns.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	3.10B	3.11B	2.98B	2.60B	2.05B	1.44B
Gross Profit	2.33B	2.43B	2.30B	1.76B	1.37B	913.93M
EBITDA	1.14B	1.25B	1.19B	1.04B	827.47M	569.52M
Net Income	612.32M	639.60M	611.93M	606.70M	393.53M	300.35M
Balance Sheet
Total Assets	5.12B	5.50B	4.99B	4.64B	4.27B	2.76B
Cash, Cash Equivalents and Short-Term Investments	890.19M	1.19B	998.80M	882.25M	932.72M	923.50M
Total Debt	958.99M	957.31M	848.59M	912.78M	913.92M	713.27M
Total Liabilities	1.73B	1.92B	1.78B	1.74B	1.77B	1.13B
Stockholders Equity	3.39B	3.59B	3.21B	2.90B	2.50B	1.63B
Cash Flow
Free Cash Flow	705.45M	832.37M	738.44M	492.72M	733.49M	313.89M
Operating Cash Flow	918.42M	1.02B	914.87M	662.58M	865.31M	406.45M
Investing Cash Flow	-212.34M	-267.43M	-174.07M	-167.10M	-621.41M	-90.37M
Financing Cash Flow	-581.48M	-535.17M	-596.63M	-391.25M	-345.18M	-151.54M

Moncler S.p.A. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 53.86
• 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:MONC, the sentiment is Positive. The current price of 53.86 is above the 20-day moving average (MA) of 51.81, above the 50-day MA of 50.22, and above the 200-day MA of 53.61, indicating a bullish trend. The MACD of 1.02 indicates Negative momentum. The RSI at 60.88 is Neutral, neither overbought nor oversold. The STOCH value of 85.81 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for IT:MONC.

Moncler S.p.A. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
MONC	―	€14.46B	23.62	18.89%	2.42%	0.87%	-5.61%
ICOS	―	€1.18B	24.83	―	1.65%	9.02%	4.80%
Sector *	―	$18.38B	12.79	-2.54%	3.03%	1.52%	-15.83%
SFER	―	€1.18B	-8.95	-20.18%	1.38%	-8.65%	-1512.63%
BC	―	€6.12B	46.40	28.41%	1.04%	10.35%	15.89%
GEO	―	€116.26M	―	-25.42%	―	-5.49%	-62.25%
AEF	―	€28.44M	2.50	17.31%	―	―	―