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Tesmec S.p.A. (IT:TES)
:TES
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Tesmec S.p.A.
(LSE:TES)
Select Model
Select Model
Rating:53Neutral
Price Target:
€0.00
▼(-100.00% Downside)
The overall stock score is primarily impacted by financial performance challenges, including declining revenues and high leverage. Technical analysis shows positive momentum, but valuation concerns with a negative P/E ratio significantly lower the score.
Positive Factors
Product Diversification
Tesmec's diverse product offerings across multiple sectors help mitigate risks associated with dependence on a single market, supporting revenue stability.
Strong Gross Profit Margin
A strong gross profit margin indicates efficient production processes and pricing power, which can support long-term profitability if operational costs are managed.
Strategic Partnerships
Strategic partnerships expand market reach and sales opportunities, potentially leading to increased revenue and market share over time.
Negative Factors
High Leverage
High leverage increases financial risk and can strain cash flow, limiting the company's ability to invest in growth and weather economic downturns.
Declining Revenue
Declining revenue suggests challenges in market demand or competitive positioning, which can impact long-term growth and profitability.
Negative Cash Flow
Negative cash flow limits the company's ability to fund operations, invest in growth, and meet financial obligations, posing long-term sustainability risks.
Tesmec S.p.A. (TES) vs. iShares MSCI Italy ETF (EWI)
Market Cap
€67.52M
Dividend YieldN/A
Average Volume (3M)3.99M
Price to Earnings (P/E)―
Beta (1Y)0.42
Revenue Growth-1.90%
EPS Growth91.60%
CountryIT
Employees967
SectorIndustrials
Sector Strength72
IndustryIndustrial - Machinery
Share Statistics
EPS (TTM)<0.01
Shares Outstanding606,460,200
10 Day Avg. Volume2,456,952
30 Day Avg. Volume3,990,734
Financial Highlights & Ratios
PEG Ratio-0.09
Price to Book (P/B)0.52
Price to Sales (P/S)0.16
P/FCF Ratio-2.31
Enterprise Value/Market CapN/A
Enterprise Value/RevenueN/A
Enterprise Value/Gross ProfitN/A
Enterprise Value/EbitdaN/A
Forecast
1Y Price TargetN/A
Price Target UpsideN/A
Rating ConsensusN/A
Number of Analyst Covering0
EPS Forecast (FY)N/A
Revenue Forecast (FY)N/A
Tesmec S.p.A. Business Overview & Revenue Model
Company DescriptionTesmec S.p.A. (TES) is an Italian company specializing in the production of machinery and equipment for the construction, maintenance, and management of infrastructure in various sectors, including energy, telecommunications, and transportation. The company is recognized for its advanced technologies and innovative solutions in the fields of trenchers, cable laying systems, and specialized vehicles designed for the efficient installation of underground and overhead networks.
How the Company Makes MoneyTesmec generates revenue primarily through the sale of its specialized machinery and equipment, including trenchers and cable laying systems, which are used in infrastructure projects worldwide. The company offers a range of products that cater to various sectors such as energy and telecommunications, allowing it to tap into diverse markets. Additionally, Tesmec earns revenue through after-sales services, including maintenance, spare parts, and technical support, which provide ongoing income beyond the initial equipment sales. Strategic partnerships with companies in the construction and utility sectors further enhance its market reach and sales opportunities. The company also benefits from government contracts and projects related to infrastructure development, contributing to its overall earnings.
Tesmec S.p.A. Financial Statement Overview
Summary
Tesmec S.p.A. faces challenges with declining revenues and profitability, high leverage, and cash flow issues. While operational margins are moderate, they are not sufficient to overcome net losses and financial risks associated with high debt levels.Income Statement
Tesmec S.p.A. shows a declining revenue trend with a negative revenue growth rate of -5.73% in the TTM. The gross profit margin is relatively strong at 60.43%, but the net profit margin is negative, indicating losses. EBIT and EBITDA margins are moderate, suggesting operational efficiency but not translating into net profitability.45
Neutral
Balance Sheet
The company has a high debt-to-equity ratio of 2.99, indicating significant leverage, which poses financial risk. Return on equity is negative, reflecting losses. The equity ratio is not provided, but the high leverage suggests a low equity ratio, indicating potential financial instability.40
Negative
Cash Flow
Free cash flow growth is significantly negative, and the free cash flow to net income ratio is also negative, indicating cash flow challenges. The operating cash flow to net income ratio is low, suggesting limited cash generation relative to net income.35
Negative
| Breakdown | TTM | Dec 2024 | Dec 2023 | Dec 2022 | Dec 2021 | Dec 2020 |
|---|---|---|---|---|---|---|
Income Statement | ||||||
| Total Revenue | 203.66M | 235.64M | 251.92M | 217.30M | 180.49M | 173.94M |
| Gross Profit | 129.36M | 129.52M | 41.10M | 94.02M | 77.98M | 63.08M |
| EBITDA | 42.85M | 40.28M | 26.03M | 36.78M | 22.64M | 9.55M |
| Net Income | -2.63M | -5.18M | -2.97M | 7.86M | 1.20M | -6.81M |
Balance Sheet | ||||||
| Total Assets | 416.96M | 423.95M | 440.11M | 407.69M | 358.13M | 362.95M |
| Cash, Cash Equivalents and Short-Term Investments | 27.03M | 29.64M | 53.75M | 51.06M | 50.29M | 70.53M |
| Total Debt | 197.62M | 212.03M | 235.06M | 196.51M | 187.88M | 188.40M |
| Total Liabilities | 342.91M | 346.34M | 361.86M | 324.32M | 285.49M | 293.50M |
| Stockholders Equity | 70.97M | 74.53M | 75.70M | 80.85M | 72.57M | 69.39M |
Cash Flow | ||||||
| Free Cash Flow | 22.42M | -16.80M | -30.46M | -8.20M | -26.18M | -1.64M |
| Operating Cash Flow | 44.77M | 16.09M | 9.50M | 24.95M | 9.08M | 20.58M |
| Investing Cash Flow | -3.48M | -26.04M | -44.31M | -35.35M | -28.70M | -32.42M |
| Financing Cash Flow | -15.77M | -3.63M | 37.98M | 10.64M | -1.08M | 64.73M |
Tesmec S.p.A. Technical Analysis
Positive
0.11
Price Trends
0.12
Positive
0.10
Positive
0.08
Positive
Market Momentum
<0.01
Negative
59.05
Neutral
66.56
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IT:TES, the sentiment is Positive. The current price of 0.11 is below the 20-day moving average (MA) of 0.12, below the 50-day MA of 0.12, and above the 200-day MA of 0.08, indicating a bullish trend. The MACD of <0.01 indicates Negative momentum. The RSI at 59.05 is Neutral, neither overbought nor oversold. The STOCH value of 66.56 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for IT:TES.
Tesmec S.p.A. Peers Comparison
UnderperformOutperform
Sector (63)
IT:TES
Tesmec S.p.A.
0.13
0.07
111.67%
IT:FDA
Fidia Spa
0.18
-4.71
-96.41%
IT:SAB
Sabaf Technology and Safety
13.50
-2.19
-13.94%
IT:ESAU
Esautomotion SpA
3.20
0.29
9.97%
IT:MARP
Marzocchi Pompe S.p.A.
2.24
-0.56
-20.00%
IT:SIT
SIT S.p.A.
2.53
1.57
163.54%
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.