Holland Colours N.V. (HOLCO) AI Stock Analysis

• Market Cap: €89.48M
• Dividend Yield: 6.59%
• Average Volume (3M): 129.00
• Price to Earnings (P/E): 15.2
• Beta (1Y): 0.41
• Revenue Growth: 8.77%
• EPS Growth: 13.66%
• Country: NL
• Employees: 394
• Sector: Basic Materials
• Sector Strength: 58
• Industry: Chemicals - Specialty
• EPS (TTM): 7.43
• Shares Outstanding: 860,350
• 10 Day Avg. Volume: 97
• 30 Day Avg. Volume: 129
• 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: €116.00
• Price Target Upside: 10.48% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 0

• Rating: 74 Outperform
• Price Target: €116.00 ▲(10.48% Upside)

Holland Colours N.V. scores well due to its strong financial performance and attractive valuation. The company's robust balance sheet and consistent revenue growth are significant strengths. The technical analysis is neutral, indicating stable market conditions. The absence of earnings call data and corporate events does not impact the overall score.

Holland Colours N.V. Business Overview & Revenue Model

Company Description

Holland Colours N.V., together with its subsidiaries, manufactures, distributes, and sells color concentrates in Europe, the Middle East, India, Africa, the Americas, Asia, Australia, and New Zealand. The company offers colorants for the building and construction industry, including profiles, pipes, tubing and fittings, siding and cladding, decking, fencing, window blinds, and insulation, as well as solutions for a wide range of polymers. It also provides colorants for packaging applications comprising beer/wine, black food trays, caps and closures, carbonated soft drink, condiments and dry food, cosmetics and personal care, dairy, detergents, fruit juices, mineral water, pharma, RTD-ready to drink tea, recycled pet, and spirits. In addition, the company offers sealants or adhesives; and colorants for other markets, such as shopping bags, polybags, mulch films, OPP tapes, PU flexible foams, synthetic leather, fiber glass and buttons, paving blocks, artificial stones, cast PMMA, PP non-woven and spunbond, coatings, flexible PVCs, prosthetics, glass fiber reinforced nylon, and silicone rubber and elastomers. It sells its products through a network of agents and distributors. The company was founded in 1979 and is headquartered in Apeldoorn, the Netherlands. Holland Colours N.V. is a subsidiary of Holland Pigments BV.

How the Company Makes Money

Holland Colours generates revenue primarily through the sale of its colorants and additives to manufacturers in the plastics industry. The company's revenue model is based on selling customized solutions that meet specific client needs, which allows for premium pricing. Key revenue streams include direct sales to clients, as well as long-term contracts with major manufacturers. Significant partnerships with large companies in the packaging and construction sectors contribute to its earnings, as these collaborations often lead to bulk orders and repeat business. Additionally, Holland Colours invests in research and development to innovate new products and improve existing offerings, which helps maintain a competitive edge and drive sales growth.

Holland Colours N.V. Financial Statement Overview

Summary

Holland Colours N.V. demonstrates solid financial performance with consistent revenue growth, a strong gross profit margin, and efficient operational efficiency. The balance sheet is robust with low leverage and a strong equity base, although there is room for improvement in free cash flow efficiency.

Income Statement

Holland Colours N.V. demonstrates solid performance with a consistent revenue growth rate over the years, highlighted by a notable increase from 103.3M to 112.3M in the latest annual report. The gross profit margin stands at 49.4%, indicating strong cost management. Net profit margin has slightly improved to 5.2%, showing efficient control over expenses, although there's room for improvement. The EBIT and EBITDA margins are stable at 7.1% and 10.4% respectively, suggesting sound operational efficiency.

Balance Sheet

The company maintains a robust balance sheet with low leverage as evidenced by a debt-to-equity ratio of 0.01. The equity ratio is strong at 77.9%, reflecting a stable financial structure with significant asset backing. Return on equity is modest at 9.1%, indicating reasonable returns for shareholders. Overall, the balance sheet suggests financial stability and low risk.

Cash Flow

The cash flow statement shows a positive but moderate performance. Free cash flow has seen a decline from 6.26M to 5.11M, indicating some challenges in cash generation. However, the operating cash flow to net income ratio is healthy at 1.24, demonstrating adequate cash generation relative to reported earnings. The free cash flow to net income ratio is slightly lower at 0.87, suggesting room for improvement in cash conversion efficiency.

Breakdown	Mar 2025	Mar 2024	Mar 2023	Mar 2022	Mar 2021
Income Statement
Total Revenue	112.35M	103.28M	111.44M	110.47M	96.03M
Gross Profit	55.57M	18.70M	15.49M	24.44M	22.20M
EBITDA	11.63M	10.38M	10.66M	17.07M	15.39M
Net Income	5.89M	5.18M	5.87M	10.18M	9.47M
Balance Sheet
Total Assets	82.78M	78.40M	73.75M	79.62M	68.72M
Cash, Cash Equivalents and Short-Term Investments	20.60M	18.52M	15.76M	16.96M	16.64M
Total Debt	810.00K	1.10M	880.00K	1.28M	1.60M
Total Liabilities	18.33M	16.94M	14.94M	21.87M	18.13M
Stockholders Equity	64.45M	61.45M	58.81M	57.33M	50.26M
Cash Flow
Free Cash Flow	5.11M	6.26M	4.64M	4.67M	12.57M
Operating Cash Flow	7.33M	10.73M	8.52M	8.01M	14.52M
Investing Cash Flow	-2.07M	-4.45M	-4.30M	-3.32M	-1.95M
Financing Cash Flow	-3.05M	-3.60M	-5.72M	-4.73M	-3.92M

Holland Colours N.V. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 105.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For NL:HOLCO, the sentiment is Positive. The current price of 105 is above the 20-day moving average (MA) of 103.95, above the 50-day MA of 103.46, and above the 200-day MA of 93.45, indicating a bullish trend. The MACD of 0.10 indicates Negative momentum. The RSI at 54.26 is Neutral, neither overbought nor oversold. The STOCH value of 50.00 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for NL:HOLCO.

Holland Colours N.V. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
HOLCO	74 Outperform	€89.48M	15.19	9.36%	6.59%	8.77%	13.66%
CRBN	66 Neutral	€945.75M	13.91	24.88%	3.92%	-3.45%	-5.55%
AKZA	65 Neutral	€10.32B	24.84	9.95%	3.28%	-1.57%	-29.52%
IMCD	63 Neutral	€5.16B	19.10	12.57%	2.46%	6.09%	-7.18%
OCI	46 Neutral	€843.18M	-4.14	222.01%	71.01%	―	―
AVTX	41 Neutral	€182.80M	-3.56	-28.03%	―	-12.31%	23.77%
Sector *	61 Neutral	$10.43B	7.12	-0.05%	2.87%	2.86%	-36.73%