Want to see IT:PIRC full AI Analyst Report?
Top Page
Pirelli & C. SpA
(PIRC)
Select Model
Select Model
Rating:66Neutral
Price Target:
€7.00
▲(13.82% Upside)
Action:Reiterated
Date:05/14/26
The score reflects stable financials with improving leverage and solid cash generation, tempered by a significant recent TTM revenue decline and softer free cash flow growth. Technicals are neutral-to-mildly positive, while valuation (low P/E and ~4% yield) provides meaningful support.
Positive Factors
Premium Market Position & Dual Channels
Pirelli's premium/prestige focus and dual revenue channels (OE and replacement) create durable pricing power and recurring demand. OEM fitments support long-term volume and brand pull-through into replacement, diversifying revenue across manufacturing and aftermarket cycles.
Negative Factors
Sharp TTM Revenue Decline
A large trailing-twelve-month revenue drop erodes scale economics and risks underutilizing capacity. If sustained, weaker top-line reduces margin cushions, pressures OEM negotiating leverage, and can strain cash conversion and long-term funding for premium product development.
Read all positive and negative factors
Positive Factors
Negative Factors
Premium Market Position & Dual Channels
Pirelli's premium/prestige focus and dual revenue channels (OE and replacement) create durable pricing power and recurring demand. OEM fitments support long-term volume and brand pull-through into replacement, diversifying revenue across manufacturing and aftermarket cycles.
Read all positive factors
Pirelli & C. SpA (PIRC) vs. iShares MSCI Italy ETF (EWI)
Market Cap
€7.12B
Dividend Yield4.9%
Average Volume (3M)2.50M
Price to Earnings (P/E)12.9
Beta (1Y)0.70
Revenue Growth-1.20%
EPS Growth3.37%
CountryIT
Employees30,749
SectorConsumer Cyclical
Sector Strength84
IndustryAuto - Parts
Share Statistics
EPS (TTM)0.51
Shares Outstanding1,084,882,000
10 Day Avg. Volume2,143,648
30 Day Avg. Volume2,498,865
Financial Highlights & Ratios
PEG Ratio1.84
Price to Book (P/B)0.99
Price to Sales (P/S)0.92
P/FCF Ratio6.70
Enterprise Value/Market CapN/A
Enterprise Value/RevenueN/A
Enterprise Value/Gross ProfitN/A
Enterprise Value/EbitdaN/A
Forecast
1Y Price Target
€7.00Price Target Upside13.82% Upside
Rating ConsensusModerate Buy
Number of Analyst Covering4
EPS Forecast (FY)0.53
Revenue Forecast (FY)€6.85B
Pirelli & C. SpA Business Overview & Revenue Model
Company Description
Pirelli & C. S.p.A., an Italian enterprise founded in Milan in 1872, operates globally as a prominent manufacturer and supplier of vehicle tires. The company's diverse product range caters to cars, motorcycles, and bicycles, featuring established ...
How the Company Makes Money
Pirelli makes money primarily by selling tires, generating revenue through two main channels: (1) Original Equipment (OE), where it supplies tires directly to automotive and motorcycle manufacturers for fitment on new vehicles, and (2) Replacement...
Pirelli & C. SpA Financial Statement Overview
Summary
Income Statement
62
Positive
Balance Sheet
64
Positive
Cash Flow
66
Positive
| Breakdown | Mar 2026 | Dec 2024 | Dec 2023 | Dec 2022 | Dec 2021 |
|---|---|---|---|---|---|
Income Statement | |||||
| Total Revenue | 6.78B | 6.77B | 6.65B | 6.62B | 5.33B |
| Gross Profit | 2.22B | 4.22B | 4.40B | 4.41B | 3.67B |
| EBITDA | 1.49B | 1.41B | 1.39B | 1.27B | 1.07B |
| Net Income | 497.53M | 467.98M | 479.08M | 417.76M | 302.80M |
Balance Sheet | |||||
| Total Assets | 13.35B | 13.68B | 13.53B | 13.90B | 13.88B |
| Cash, Cash Equivalents and Short-Term Investments | 1.61B | 1.67B | 1.48B | 1.54B | 2.00B |
| Total Debt | 2.96B | 3.83B | 3.96B | 4.49B | 5.28B |
| Total Liabilities | 6.90B | 7.77B | 7.91B | 8.44B | 8.84B |
| Stockholders Equity | 6.28B | 5.76B | 5.49B | 5.32B | 4.91B |
Cash Flow | |||||
| Free Cash Flow | 927.94M | 888.89M | 960.83M | 796.24M | 632.40M |
| Operating Cash Flow | 1.31B | 1.29B | 1.36B | 1.13B | 919.07M |
| Investing Cash Flow | -360.29M | -421.26M | -392.86M | -326.62M | -256.39M |
| Financing Cash Flow | -888.10M | -610.70M | -979.58M | -1.40B | -1.08B |
Pirelli & C. SpA Technical Analysis
Positive
6.15
Price Trends
6.10
Positive
5.88
Positive
5.85
Positive
Market Momentum
0.14
Positive
62.23
Neutral
-10.84
Positive
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IT:PIRC, the sentiment is Positive. The current price of 6.15 is below the 20-day moving average (MA) of 6.42, above the 50-day MA of 6.10, and above the 200-day MA of 5.85, indicating a bullish trend. The MACD of 0.14 indicates Positive momentum. The RSI at 62.23 is Neutral, neither overbought nor oversold. The STOCH value of -10.84 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for IT:PIRC.
Pirelli & C. SpA Peers Comparison
UnderperformOutperform
Sector (61)
IT:PIRC
Pirelli & C. SpA
6.61
1.06
19.03%
IT:BRE
Brembo SPA
10.06
1.96
24.20%
IT:LNDR
Landi Renzo S.p.A.
0.69
-0.38
-35.63%
IT:INDB
Indel B S.p.A.
19.35
1.49
8.34%
IT:CFL
Cofle S.p.A.
2.09
-1.28
-37.98%
IT:RFG
Racing Force SpA
4.99
0.38
8.27%
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
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.