Italian Sea Group S.p.A. (TISG) AI Stock Analysis

• Market Cap: €268.18M
• Dividend Yield: 4.76%
• Average Volume (3M): 138.38K
• Price to Earnings (P/E): 15.7
• Beta (1Y): 0.64
• Revenue Growth: 1.87%
• EPS Growth: -67.41%
• Country: IT
• Employees: 657
• Sector: Consumer Cyclical
• Sector Strength: 83
• Industry: Leisure
• EPS (TTM): 0.23
• Shares Outstanding: 53,000,000
• 10 Day Avg. Volume: 114,303
• 30 Day Avg. Volume: 138,383
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• 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: €9.87
• Price Target Upside: 91.65% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 3

• Rating: 75 Outperform
• Price Target: €6.00 ▲(16.50% Upside)

Italian Sea Group S.p.A. shows strong financial performance with consistent growth and efficient cost management, contributing significantly to the overall score. The valuation is attractive with a reasonable P/E ratio and high dividend yield, providing a solid return to investors. However, technical indicators suggest a bearish trend, which slightly offsets the positive aspects. The absence of earnings call data and corporate events limits further insights.

Positive Factors

Buying Opportunity

The recent stock de-rating offers a clear buying opportunity pending more positive newsflow on contracts.

Future Sales Potential

The CEO confirmed successful negotiations, with expected incoming orders of approximately 500 million Euros, indicating strong future sales potential.

Positioning in High-End Yachting

The company's positioning among the leading players in the high-end yachting industry and its unique business model offer significant growth opportunities.

Negative Factors

European Export Tariffs

The upcoming expiration of the 'Liberation Day Tariffs' moratorium could, in theory, trigger a 20% duty on European yacht exports to the US.

Net Debt Increase

Net debt widened to €33m from €12.5m at year-end 2024, reflecting increased levels of inventory and longer negotiation and payment cycles.

Net Income Impact

Net income stands at €33.8 million, impacted by a non-recurring tax effect resulting from the recalculation of the patent box tax benefit for the period 2019-2023.

Italian Sea Group S.p.A. Business Overview & Revenue Model

Company Description

Italian Sea Group S.p.A. (TISG) is a prominent global player in the luxury yacht industry, operating primarily within the shipbuilding and refit sectors. The company is renowned for its expertise in the design, construction, and refurbishment of high-end yachts, catering to an exclusive clientele seeking unparalleled craftsmanship and innovation. With a portfolio that includes prestigious brands such as Admiral and Tecnomar, TISG is committed to delivering bespoke maritime solutions that combine Italian design elegance with advanced nautical engineering.

How the Company Makes Money

Italian Sea Group S.p.A. generates revenue through several key streams. Primarily, the company makes money by designing and constructing custom luxury yachts, a process that involves high-value contracts with wealthy individuals and entities seeking unique, tailor-made vessels. Additionally, TISG offers refit and repair services for existing yachts, providing maintenance, upgrades, and modifications that ensure vessels meet the latest standards of luxury and performance. The company also benefits from strategic partnerships and collaborations with designers, architects, and other stakeholders in the maritime industry, further enhancing its brand visibility and market reach. These partnerships can lead to joint ventures or co-branded projects that drive additional revenue. Furthermore, TISG's focus on innovation and sustainable solutions in yacht building positions it favorably in a market increasingly concerned with environmental impact, potentially attracting a broader clientele interested in eco-friendly luxury options.

Italian Sea Group S.p.A. Financial Statement Overview

Summary

Italian Sea Group S.p.A. displays strong financial health with consistent revenue and profit growth, efficient cost management, and a solid balance sheet. Despite recent challenges in cash flow, the company's overall financial position remains robust, supported by strategic financial management and growth in equity. Continued focus on cash flow improvement and debt management will be crucial for sustaining long-term growth.

Income Statement

The company has demonstrated consistent revenue growth with a substantial increase from 2019 to 2024. Gross and net profit margins are strong, reflecting efficient cost management. EBIT and EBITDA margins have also shown positive trends, indicating robust operational performance. However, a slight decline in net income from 2023 to 2024 suggests some challenges in maintaining the bottom line growth.

Balance Sheet

The debt-to-equity ratio is at a manageable level, and there is a healthy equity ratio indicating good financial stability. Return on equity shows a positive trend, suggesting effective use of shareholders' funds. The increase in total assets and stockholders' equity over the years points to solid financial health, though the slight increase in debt warrants cautious monitoring.

Cash Flow

Cash flow from operations has been fluctuating, with negative figures in 2024, impacting the overall cash flow stability. The free cash flow has seen a decline, indicating potential challenges in generating cash after capital expenditures. However, the company has managed to maintain positive cash flow in previous years, suggesting resilience in cash generation capabilities.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	331.83M	365.43M	356.09M	291.51M	186.05M	112.95M
Gross Profit	148.14M	155.84M	130.91M	113.10M	68.06M	32.52M
EBITDA	57.71M	78.59M	63.39M	43.90M	26.77M	13.99M
Net Income	17.05M	33.89M	36.91M	24.05M	16.32M	6.24M
Balance Sheet
Total Assets	470.66M	406.06M	377.39M	342.26M	235.07M	122.95M
Cash, Cash Equivalents and Short-Term Investments	71.83M	60.25M	76.41M	81.32M	85.61M	17.94M
Total Debt	135.07M	72.76M	74.53M	91.39M	42.83M	21.79M
Total Liabilities	328.39M	261.09M	246.25M	233.26M	142.19M	82.73M
Stockholders Equity	142.28M	144.96M	131.14M	109.00M	92.89M	40.22M
Cash Flow
Free Cash Flow	-16.77M	-13.21M	22.62M	44.53M	12.98M	15.98M
Operating Cash Flow	-14.66M	-9.43M	25.37M	64.37M	36.75M	27.74M
Investing Cash Flow	-2.12M	20.03M	1.00M	-103.79M	-26.27M	-13.69M
Financing Cash Flow	48.31M	-26.76M	-31.27M	35.13M	57.18M	-1.86M

Italian Sea Group S.p.A. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 5.15
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IT:TISG, the sentiment is Positive. The current price of 5.15 is above the 20-day moving average (MA) of 4.96, below the 50-day MA of 5.39, and below the 200-day MA of 6.26, indicating a neutral trend. The MACD of -0.07 indicates Negative momentum. The RSI at 50.29 is Neutral, neither overbought nor oversold. The STOCH value of 44.52 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for IT:TISG.

Italian Sea Group S.p.A. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
TISG	75 Outperform	€268.18M	15.72	12.06%	4.76%	1.87%	-67.41%
Sector *	61 Neutral	$17.99B	12.87	-3.58%	2.97%	1.27%	-14.28%
6SZA	―	€1.21B	11.07	25.87%	―	―	―
9638	―	HK$8.35B	11.05	9.60%	3.74%	―	―