Sanlorenzo S.p.A. (SL) AI Stock Analysis

• Market Cap: €1.21B
• Dividend Yield: 2.93%
• Average Volume (3M): 86.48K
• Price to Earnings (P/E): 11.3
• Beta (1Y): 0.70
• Revenue Growth: 13.72%
• EPS Growth: 7.98%
• Country: IT
• Employees: 1,659
• Sector: Consumer Cyclical
• Sector Strength: 84
• Industry: Auto - Recreational Vehicles
• EPS (TTM): 0.78
• Shares Outstanding: 35,621,033
• 10 Day Avg. Volume: 62,672
• 30 Day Avg. Volume: 86,479
• PEG Ratio: 1.05
• Price to Book (P/B): 2.61
• Price to Sales (P/S): 1.18
• P/FCF Ratio: -61.64
• 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: €44.84
• Price Target Upside: 31.50% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 5

• Rating: 76 Outperform
• Price Target: €40.00 ▲(17.30% Upside)

Sanlorenzo S.p.A. receives a strong overall score driven by robust financial performance and positive technical indicators. The company's valuation suggests potential undervaluation, making it an attractive investment. However, cash flow management remains a concern that could affect future financial flexibility.

Positive Factors

Revenue Growth

Consistent revenue growth indicates a strong market position and demand for Sanlorenzo's luxury yachts, supporting long-term business expansion.

Profitability Margins

Strong profitability margins reflect efficient operations and pricing power, which are crucial for sustaining financial health and competitive advantage.

Stable Balance Sheet

A stable balance sheet with manageable debt levels ensures financial flexibility and resilience against economic fluctuations.

Negative Factors

Cash Flow Challenges

Negative free cash flow growth indicates potential liquidity issues, which could hinder the company's ability to invest in growth opportunities and meet obligations.

Decreasing Gross Profit Margin

A declining gross profit margin suggests rising costs or pricing pressures, which could impact profitability if not addressed.

Low Operating Cash Flow

Low operating cash flow conversion can limit the company's ability to fund operations and growth, posing a risk to financial stability.

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

Company Description

Sanlorenzo S.p.A. designs, builds, and sells yachts and pleasure boats in Europe, the Asia-Pacific, the Americas, the Middle East, and Africa. The company operates through three divisions: Yacht, Superyacht, and Bluegame. It provides maintenance and charter services, as well as sells its own and other pre-owned yachts; and sport utility yachts under the Sanlorenzo and Bluegame brands. The company was formerly known as Cantieri Navali San Lorenzo SpA and changed its name to Sanlorenzo S.p.A in 2005. Sanlorenzo S.p.A was founded in 1958 and is based in Ameglia, Italy.

How the Company Makes Money

Sanlorenzo S.p.A. generates revenue primarily through the sale of its luxury yachts, which are crafted with a high degree of customization to meet individual client specifications. The company offers various models spanning different sizes and styles, including motor yachts, superyachts, and explorer yachts, each tailored to cater to the unique preferences of its clientele. Sanlorenzo's revenue model is bolstered by its reputation for quality craftsmanship and innovative design. Additionally, the company benefits from strategic partnerships with luxury brands and suppliers, enhancing its product offerings and market presence. After-sales services, including yacht maintenance and upgrades, also contribute to its revenue streams, ensuring customer loyalty and long-term engagement.

Sanlorenzo S.p.A. Financial Statement Overview

Summary

Sanlorenzo S.p.A. shows strong revenue growth and stable profitability, supported by a solid balance sheet. However, rising debt levels and negative free cash flow in the TTM period are concerns that need addressing to maintain financial health.

Income Statement

Sanlorenzo S.p.A. has demonstrated solid revenue growth with a notable increase from 2020 to 2025. The TTM revenue shows a slight decline compared to 2024, but overall the trend is positive. Gross profit margins are strong, though the TTM data indicates a significant drop compared to previous years, suggesting increased cost pressures. Net profit margins are stable, showing the company's ability to maintain profitability despite revenue fluctuations.

Balance Sheet

The company's balance sheet reflects a healthy equity position with a Debt-to-Equity ratio that remains manageable. Stockholders' equity has consistently increased, highlighting stability. However, the increase in total debt in the TTM period points to rising leverage, which could pose a risk if earnings do not grow to cover the additional debt.

Cash Flow

Sanlorenzo S.p.A. faces challenges in cash flow management, evident from the negative free cash flow in the TTM period, driven by high capital expenditures. Operating cash flow remains positive, suggesting operational efficiency, but the free cash flow trend indicates potential liquidity concerns if capital spending continues at high levels without revenue growth.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	1.04B	963.42M	866.71M	817.89M	673.52M	533.14M
Gross Profit	491.35M	137.62M	244.79M	510.76M	354.81M	292.98M
EBITDA	179.92M	181.47M	163.46M	130.01M	94.63M	69.18M
Net Income	106.17M	103.12M	92.84M	74.15M	51.01M	34.51M
Balance Sheet
Total Assets	1.22B	1.11B	841.08M	743.79M	595.04M	502.37M
Cash, Cash Equivalents and Short-Term Investments	185.28M	171.12M	214.01M	197.37M	141.27M	94.36M
Total Debt	211.94M	143.31M	76.02M	100.02M	100.23M	90.66M
Total Liabilities	765.99M	667.35M	481.12M	453.71M	365.90M	316.98M
Stockholders Equity	444.77M	436.14M	358.27M	288.53M	229.04M	185.75M
Cash Flow
Free Cash Flow	-11.78M	-18.47M	72.65M	95.16M	48.62M	15.18M
Operating Cash Flow	30.07M	30.86M	117.15M	145.11M	97.83M	46.00M
Investing Cash Flow	-71.24M	-84.97M	-51.08M	-69.15M	-49.62M	-31.07M
Financing Cash Flow	4.31M	-2.74M	-19.88M	-70.91M	-1.29M	19.25M

Sanlorenzo S.p.A. Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 34.10
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IT:SL, the sentiment is Neutral. The current price of 34.1 is below the 20-day moving average (MA) of 35.06, above the 50-day MA of 33.40, and above the 200-day MA of 30.96, indicating a neutral trend. The MACD of 0.25 indicates Positive momentum. The RSI at 47.04 is Neutral, neither overbought nor oversold. The STOCH value of 30.79 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for IT:SL.

Sanlorenzo S.p.A. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
SL	76 Outperform	€1.21B	11.28	26.02%	2.93%	13.72%	7.98%
TISG	66 Neutral	€258.91M	15.18	12.06%	5.03%	1.87%	-67.41%
Sector *	61 Neutral	$18.38B	12.79	-2.54%	3.03%	1.52%	-15.83%