Technoprobe S.p.A. (TPRO) AI Stock Analysis

• Market Cap: €4.44B
• Dividend Yield: N/A
• Average Volume (3M): 542.73K
• Price to Earnings (P/E): 62.9
• Beta (1Y): 0.92
• Revenue Growth: 38.31%
• EPS Growth: -30.40%
• Country: IT
• Employees: 2,876
• Sector: Technology
• Sector Strength: 83
• Industry: Semiconductors
• EPS (TTM): 0.05
• Shares Outstanding: 653,260,860
• 10 Day Avg. Volume: 404,951
• 30 Day Avg. Volume: 542,730
• 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: €7.55
• Price Target Upside: 10.87% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 2

• Rating: 68 Neutral
• Price Target: €7.50 ▲(10.13% Upside)

Technoprobe S.p.A. scores well on financial performance due to strong revenue growth and a solid balance sheet. However, technical analysis and valuation present challenges, with bearish momentum and a high P/E ratio suggesting potential overvaluation. The absence of earnings call and corporate events data limits further insights.

Positive Factors

AI Growth

The company stated that it expects AI to continue its growth trajectory, helping the overall growth of the company.

Future Growth

2025 is anticipated to be a year of growth for Technoprobe, with strong demand for leading edge nodes and newer 2nm designs.

Negative Factors

Financial Performance

Technoprobe reported Q3-24 results and offered Q4-24 guidance yesterday afternoon and missed on all metrics.

Market Weakness

Auto & Industrial (~20% of sales) however, remain the weak spot, which shouldn't be surprising in light of recent news.

Profitability Challenges

Lack of scale and high costs for the AI probe card are leading to lower profitability for Technoprobe.

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

Company Description

Technoprobe S.p.A. produces and sells electronic circuits in Italy and internationally. The company also offers mechanical interfaces for electrical contacting of hybrid circuits and semiconductor devices; and designs, develops, and produces probe cards for testing the operation of chips. Its products are used in digital data and 5G, IoT, data center, automotive and self-driving car, telecommunications and media, industry and aerospace, and consumer electronics applications. The company was founded in 1993 and is based in Cernusco Lombardone, Italy. Technoprobe S.p.A. operates as a subsidiary of T- Plus S.P.A.

How the Company Makes Money

Technoprobe S.p.A. generates revenue primarily through the sale of its probe cards to semiconductor manufacturers. These cards are used in the testing of semiconductor wafers to ensure they meet quality standards before proceeding to the packaging stage. The company benefits from the growing demand for semiconductors across various industries, including consumer electronics, automotive, and telecommunications. In addition to direct sales, Technoprobe might engage in partnerships or collaborations with major semiconductor companies, enhancing its market reach and technological capabilities. The company's focus on innovation and customization allows it to cater to specific customer needs, providing a competitive advantage in the market.

Technoprobe S.p.A. Financial Statement Overview

Summary

Technoprobe S.p.A. demonstrates strong financial health with robust revenue growth and stable cash flows. The balance sheet is solid with minimal leverage and high equity levels. However, a decline in EBIT margin indicates potential areas for operational improvements.

Income Statement

Technoprobe S.p.A. shows strong revenue growth with a 32.7% increase from 2023 to 2024. The gross profit margin is solid at 41.1%, and the company maintains a positive net profit margin of 11.8% in 2024. However, there is a noticeable decline in EBIT from 2023 to 2024, affecting the EBIT margin, which decreased to 12.4% from 19.5% in 2023. EBITDA margin remains robust at 30.9%.

Balance Sheet

The company's financial stability is underscored by a low debt-to-equity ratio of 0.015, indicating minimal leverage. The equity ratio is high at 87.9%, showcasing strong shareholder equity relative to total assets. Return on Equity (ROE) is healthy at 5.2%, although it has decreased from previous years.

Cash Flow

Technoprobe S.p.A. has shown significant improvement in free cash flow, turning positive in 2024 at €29.97 million. The operating cash flow to net income ratio is approximately 1.95, indicating effective conversion of net income into cash. The free cash flow to net income ratio has improved but remains a focus area for further strengthening.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	454.04M	543.15M	409.27M	548.93M	391.74M	329.55M
Gross Profit	196.79M	223.44M	199.33M	332.78M	234.72M	203.43M
EBITDA	114.91M	167.94M	128.48M	244.18M	177.66M	153.54M
Net Income	93.75M	63.83M	97.00M	147.90M	118.32M	101.58M
Balance Sheet
Total Assets	1.37B	1.41B	928.39M	866.82M	537.35M	435.91M
Cash, Cash Equivalents and Short-Term Investments	667.00M	666.38M	361.80M	411.03M	146.75M	158.30M
Total Debt	16.89M	18.80M	13.53M	8.20M	11.95M	37.19M
Total Liabilities	135.71M	171.13M	111.09M	129.84M	91.06M	111.69M
Stockholders Equity	1.23B	1.24B	815.77M	735.94M	443.75M	324.22M
Cash Flow
Free Cash Flow	32.60M	29.96M	-2.18M	127.52M	21.57M	46.25M
Operating Cash Flow	105.96M	124.41M	61.75M	207.24M	81.26M	97.97M
Investing Cash Flow	-181.25M	-168.76M	-93.42M	-78.32M	-58.92M	-50.64M
Financing Cash Flow	367.93M	343.97M	-15.04M	130.29M	-37.64M	22.82M

Technoprobe S.p.A. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 6.81
• 50DMA: Negative
• 100DMA: Negative
• 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:TPRO, the sentiment is Positive. The current price of 6.81 is above the 20-day moving average (MA) of 6.68, below the 50-day MA of 7.12, and above the 200-day MA of 6.38, indicating a neutral trend. The MACD of -0.14 indicates Negative momentum. The RSI at 48.56 is Neutral, neither overbought nor oversold. The STOCH value of 91.46 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for IT:TPRO.

Technoprobe S.p.A. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
TPRO	68 Neutral	€4.44B	62.88		―	38.31%	-30.40%
Sector *	61 Neutral	$35.62B	7.50	-10.94%	1.87%	8.86%	-10.27%
0RV0	―	€4.58B	19.64	18.54%	1.38%	―	―
0NLD	―	€359.36M	21.33	13.06%	―	―	―
7GV	―	€374.99M	―	-8.20%	―	―	―
7T4	―	€673.23M	164.60	1.04%	―	―	―
1EP	―	€38.68M	29.99	4.54%	―	―	―