DSM-Firmenich AG (DSFIR) AI Stock Analysis

• Market Cap: €22.04B
• Dividend Yield: 2.99%
• Average Volume (3M): 472.79K
• Price to Earnings (P/E): 30.7
• Beta (1Y): 0.83
• Revenue Growth: 4.46%
• EPS Growth: N/A
• Country: NL
• Employees: 26,301
• Sector: Basic Materials
• Sector Strength: 73
• Industry: Household & Personal Products
• EPS (TTM): 0.89
• Shares Outstanding: 265,676,400
• 10 Day Avg. Volume: 367,593
• 30 Day Avg. Volume: 472,791
• PEG Ratio: N/A
• Price to Book (P/B): 0.00
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 0.00
• 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: €109.64
• Price Target Upside: 31.31% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 11

• Rating: 60 Neutral
• Price Target: €85.00 ▲(1.80% Upside)

DSM-Firmenich AG's overall stock score is primarily driven by its solid financial performance, which indicates strong cash flow and profitability improvements. However, technical analysis shows bearish signals, and the high P/E ratio suggests potential overvaluation. The absence of earnings call and corporate event insights limits additional context.

DSM-Firmenich AG Business Overview & Revenue Model

Company Description

DSM-Firmenich AG, a science-based company, engages in beauty, health, and nutrition businesses in the Netherlands, Switzerland, rest of Europe, North America, Latin America, China, rest of Asia, and internationally. It operates through Perfumery & Beauty; Animal Nutrition & Health (ANH); Health, Nutrition & Care (HNC); and Food & Beverage segments. The Perfumery & Beauty offers perfumery and aroma ingredients. The Animal Nutrition & Health segment offers essential products, including vitamins, premixes, and carotenoids; performance solutions, such as enzymes, microbes, and eubiotics; precision services comprising support with data analysis to measure animal health and environmental footprint on farm level and feed safety; and methane reducing feed additive for ruminants. The Health, Nutrition & Care segment provides solutions for the early life nutrition, dietary supplement, pharmaceutical, medical nutrition, personal care and aroma, and biomedical materials markets. It offers vitamins, nutritional lipids, minerals, carotenoids, nutraceuticals, digestive enzymes, probiotics and prebiotics, active pharmaceutical ingredients, and sunscreen filters, as well as a range of biomedical solutions; premix, market-ready solutions, and personalized nutrition solutions; and regulatory affairs and formulation expertise, and customized solutions. The Food & Beverage segment provides ingredients and solutions for use in a range of food products, such as dairy; bakery, cereals, and bars; savory food; beverages and brewing; confectionery and fruit; plant-based meat and fish alternatives; and petfood. The company was founded in 1902 and is headquartered in Kaiseraugst, Switzerland.

How the Company Makes Money

DSM-Firmenich AG generates revenue through a diversified portfolio of products and services across its key segments. The company earns money by supplying essential ingredients and solutions to the food and beverage industry, including vitamins, nutritional supplements, and specialty food ingredients. It also produces fragrances and flavors for the personal care and household sectors. Additionally, DSM-Firmenich is involved in health and biosciences, providing solutions for medical nutrition and dietary supplements. Strategic partnerships and a strong focus on research and development also play crucial roles in driving the company's growth and profitability.

DSM-Firmenich AG Financial Statement Overview

Summary

DSM-Firmenich AG shows a positive trajectory with solid revenue growth and improved profitability metrics. The company's balance sheet is stable with manageable debt levels, and its cash flow generation remains strong, supporting ongoing investments and operations. Continued focus on profitability and debt management will be key to sustaining growth and stability in the future.

Income Statement

DSM-Firmenich AG has demonstrated strong revenue growth, with a CAGR of approximately 9% over the last five years. The gross profit margin stands at 33.2%, indicating efficient cost management. However, the company experienced a negative EBIT in 2023, impacting its EBIT margin. Net profit margin improved significantly to 1.95% in 2024 after a substantial loss in 2023, reflecting recovery efforts and operational improvements.

Balance Sheet

The balance sheet is robust with a strong equity base, evidenced by an equity ratio of 66.7% for 2024. The debt-to-equity ratio is moderate at 0.23, indicating prudent leverage use. Return on equity improved to 1.1% in 2024, showcasing an upward trajectory after earlier challenges. However, high total liabilities highlight a need for ongoing debt management.

Cash Flow

Cash flow from operations is solid, with a notable increase in free cash flow in 2024, growing by 71.8% from 2023. The operating cash flow to net income ratio is strong at 7.11, indicating robust cash generation relative to net profits. The free cash flow to net income ratio is favorable at 4.06, reflecting efficient capital expenditure management.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	12.80B	10.63B	8.39B	11.44B	8.11B
Gross Profit	4.25B	2.61B	2.78B	4.19B	2.78B
EBITDA	561.00M	822.00M	1.31B	859.00M	1.21B
Net Income	250.00M	-652.00M	460.00M	872.00M	448.00M
Balance Sheet
Total Assets	33.75B	34.27B	17.61B	16.02B	14.35B
Cash, Cash Equivalents and Short-Term Investments	2.72B	2.56B	2.88B	2.05B	914.00M
Total Debt	5.28B	4.83B	3.06B	3.05B	3.54B
Total Liabilities	11.05B	11.20B	6.71B	6.62B	6.86B
Stockholders Equity	22.51B	22.91B	10.74B	9.32B	7.40B
Cash Flow
Free Cash Flow	1.01B	590.00M	279.00M	994.00M	1.04B
Operating Cash Flow	1.78B	1.26B	923.00M	1.43B	1.49B
Investing Cash Flow	-252.00M	-795.00M	871.00M	208.00M	-1.48B
Financing Cash Flow	-1.33B	-820.00M	-598.00M	-984.00M	83.00M

DSM-Firmenich AG Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 83.50
• 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 NL:DSFIR, the sentiment is Negative. The current price of 83.5 is above the 20-day moving average (MA) of 83.15, below the 50-day MA of 86.85, and below the 200-day MA of 93.21, indicating a neutral trend. The MACD of -0.79 indicates Negative momentum. The RSI at 43.50 is Neutral, neither overbought nor oversold. The STOCH value of 33.73 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for NL:DSFIR.

DSM-Firmenich AG Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	61 Neutral	$10.26B	6.13	0.71%	2.93%	3.45%	-36.02%
DSFIR	60 Neutral	€22.04B	30.67		2.99%	4.46%	―
0A00	―	€10.09B	24.31	9.60%	―	―	―
0LO9	―	€784.41M	88.52	1.94%	―	―	―
0OLF	―	€1.84B	9.79	5.98%	―	―	―
0RP9	―	€23.38B	9.54	4.81%	―	―	―
0QGH	―	€1.03B	59.30		―	―	―