Jeronimo Martins SGPS SA (JRONY) AI Stock Analysis

• Market Cap: $14.88B
• Dividend Yield: 2.78%
• Average Volume (3M): 433.00
• Price to Earnings (P/E): 20.8
• Beta (1Y): 0.24
• Revenue Growth: 9.29%
• EPS Growth: 3.47%
• Country: US
• Employees: 119,427
• Sector: Consumer Defensive
• Sector Strength: 42
• Industry: Food Distribution
• EPS (TTM): 0.82
• Shares Outstanding: 314,646,500
• 10 Day Avg. Volume: 0
• 30 Day Avg. Volume: 433
• PEG Ratio: 0.16
• Price to Book (P/B): 1.92
• Price to Sales (P/S): 0.17
• P/FCF Ratio: 8.90
• Enterprise Value/Market Cap: 0.66
• Enterprise Value/Revenue: 0.27
• Enterprise Value/Gross Profit: 1.35
• Enterprise Value/Ebitda: 4.20
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 72 Outperform
• Price Target: $52.00 ▲(6.43% Upside)

Jeronimo Martins SGPS SA's overall stock score reflects its strong financial performance and solid earnings call results, which are slightly offset by technical indicators showing bearish trends. The company's moderate valuation and reasonable dividend yield add to its appeal, despite challenges from geopolitical uncertainties and competitive pressures.

Positive Factors

Revenue Growth

Strong revenue growth indicates effective market strategies and expansion, particularly in Poland, enhancing long-term market position.

Cash Generation

Robust cash generation supports strategic investments and financial flexibility, ensuring sustainable growth and stability.

Market Share Gains

Gaining market share in Poland strengthens competitive positioning and supports revenue growth, crucial for long-term success.

Negative Factors

Rising Debt Levels

Increased leverage could strain financial resources, affecting future investment capacity and risk profile if not managed effectively.

Competitive Pressures

Intense competition and geopolitical factors may pressure margins and require strategic adjustments, impacting long-term profitability.

Consumer Demand Challenges

Cautious consumer behavior could limit sales growth and necessitate increased promotional activities, affecting profitability.

Jeronimo Martins SGPS SA Business Overview & Revenue Model

Company Description

Jeronimo Martins SGPS SA is a leading international retailer based in Portugal, primarily engaged in the food distribution sector. The company operates several well-known supermarket chains, including Pingo Doce in Portugal and Biedronka in Poland, catering to diverse customer needs with a wide range of grocery products, personal care items, and household goods. Jeronimo Martins also has a presence in the wholesale market and is involved in the distribution of food products through its cash-and-carry format, serving both traditional retailers and other businesses.

How the Company Makes Money

Jeronimo Martins generates revenue primarily through the sale of food and non-food products in its retail stores. The company's key revenue streams include sales from its supermarket chains, which account for a significant portion of its earnings, particularly from its Biedronka brand in Poland, known for its competitive pricing and extensive product offerings. Additionally, the company earns revenue through its wholesale operations, supplying goods to smaller retailers and businesses. Strategic partnerships with suppliers and manufacturers enhance its product offerings and pricing power, while the company also focuses on cost efficiencies and supply chain optimization to improve profit margins. Seasonal promotions and loyalty programs further drive customer engagement and sales volume, contributing to its overall financial performance.

Jeronimo Martins SGPS SA Financial Statement Overview

Summary

Jeronimo Martins SGPS SA exhibits strong financial health with robust revenue growth, stable profitability, and effective cash flow management. Despite increased leverage, the company maintains a strong return on equity, indicating efficient use of resources. Overall, the financial performance is solid, with growth and profitability trends supporting a positive outlook.

Income Statement

Jeronimo Martins SGPS SA has demonstrated strong revenue growth with a 6.4% increase in TTM, supported by consistent gross profit margins around 20.5%. The net profit margin is stable at 1.78%, indicating efficient cost management. EBIT and EBITDA margins are healthy, reflecting solid operational performance. Overall, the income statement shows robust growth and profitability.

Balance Sheet

The company's debt-to-equity ratio has increased to 1.80, indicating higher leverage, which could pose a risk if not managed properly. However, the return on equity remains strong at 20.64%, showcasing effective use of equity to generate profits. The equity ratio is moderate, suggesting a balanced asset structure. Overall, the balance sheet reflects a stable financial position with some leverage concerns.

Cash Flow

Free cash flow has grown significantly by 37.88% in the TTM, indicating strong cash generation capabilities. The operating cash flow to net income ratio is healthy, suggesting efficient conversion of profits into cash. The free cash flow to net income ratio is nearly 0.48, reflecting good cash flow management. Overall, the cash flow statement highlights strong cash generation and management.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	36.77B	33.46B	30.61B	25.39B	20.89B	19.29B
Gross Profit	7.25B	6.85B	6.25B	5.33B	4.50B	4.23B
EBITDA	2.33B	2.16B	2.15B	1.76B	1.54B	1.34B
Net Income	679.24M	599.00M	756.00M	590.00M	463.00M	312.00M
Balance Sheet
Total Assets	18.29B	15.30B	14.30B	11.85B	10.37B	9.43B
Cash, Cash Equivalents and Short-Term Investments	2.00B	1.88B	2.07B	1.80B	1.53B	1.04B
Total Debt	5.26B	4.92B	4.15B	3.15B	2.85B	2.80B
Total Liabilities	14.35B	12.04B	11.23B	9.26B	7.84B	7.17B
Stockholders Equity	3.11B	3.01B	2.81B	2.33B	2.28B	2.01B
Cash Flow
Free Cash Flow	1.32B	649.00M	837.00M	1.21B	1.17B	935.17M
Operating Cash Flow	2.36B	1.65B	2.02B	2.10B	1.76B	1.45B
Investing Cash Flow	-1.06B	-896.00M	-1.18B	-825.00M	-617.00M	-488.29M
Financing Cash Flow	-985.13M	-866.00M	-691.00M	-950.00M	-676.00M	-807.39M

Jeronimo Martins SGPS SA Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 48.86
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JRONY, the sentiment is Negative. The current price of 48.86 is above the 20-day moving average (MA) of 47.28, above the 50-day MA of 48.51, and above the 200-day MA of 48.35, indicating a neutral trend. The MACD of -0.43 indicates Negative momentum. The RSI at 45.28 is Neutral, neither overbought nor oversold. The STOCH value of 86.98 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for JRONY.

Jeronimo Martins SGPS SA Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
USFD	74 Outperform	$17.13B	31.98	12.29%	―	4.80%	3.49%
JRONY	72 Outperform	$14.88B	20.76	20.96%	2.78%	9.29%	3.47%
CHEF	72 Outperform	$2.60B	36.98	14.12%	―	8.88%	54.12%
SYY	71 Outperform	$35.43B	19.82	84.89%	2.84%	2.92%	-4.06%
PFGC	65 Neutral	$14.19B	43.51	7.42%	―	10.55%	-23.38%
Sector *	62 Neutral	$20.33B	14.63	-3.31%	3.23%	1.93%	-12.26%
UNFI	52 Neutral	$2.07B	-20.39	-6.37%	―	1.45%	-5.49%

Jeronimo Martins SGPS SA Corporate Events

Jerónimo Martins Reports Strong Sales and Profit Growth

Jerónimo Martins, SGPS, S.A. is a multinational retail group based in Portugal, primarily operating in the food distribution sector with a significant presence in Poland, Portugal, and Colombia. The company is known for its focus on price leadership and efficiency in its operations.

Jeronimo Martins Reports Strong Growth Amid Challenges

The recent earnings call for Jeronimo Martins, Sgps painted a picture of solid financial health, marked by strong revenue and EBITDA growth, successful expansion efforts, and a robust cash position. However, the company is navigating challenges posed by geopolitical uncertainties, competitive market conditions, and cautious consumer behavior, which have influenced pricing strategies and sales in certain segments.

Jerónimo Martins Reports Strong H1 2025 Performance

Jerónimo Martins, SGPS, S.A. is a multinational company based in Portugal, primarily operating in the food retail and distribution sector with a significant presence in Poland, Portugal, and Colombia.

Jeronimo Martins Reports Resilient Growth Amid Challenges

The recent earnings call for Jeronimo Martins, Sgps, painted a picture of resilience and strategic growth amidst a challenging operating environment. The company reported solid sales growth and an improvement in EBITDA, maintaining its market leadership in several regions. However, concerns were raised about rising labor costs and cash flow outflow. Despite these hurdles, Jeronimo Martins managed to improve its margins and sustain a strong cash position.