Firma Oponiarska Debica S.A. (DBC) AI Stock Analysis

• Market Cap: €1.12B
• Dividend Yield: 5.2%
• Average Volume (3M): 1.52K
• Price to Earnings (P/E): 8.4
• Beta (1Y): 0.24
• Revenue Growth: 15.21%
• EPS Growth: -19.13%
• Country: PL
• Employees: 3,058
• Sector: Consumer Cyclical
• Sector Strength: 84
• Industry: Auto - Parts
• EPS (TTM): 2.95
• Shares Outstanding: 13,802,750
• 10 Day Avg. Volume: 941
• 30 Day Avg. Volume: 1,525
• PEG Ratio: -0.19
• Price to Book (P/B): 0.81
• Price to Sales (P/S): 0.44
• P/FCF Ratio: -3.46
• 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: 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: 64 Neutral
• Price Target: zł89.00 ▲(9.88% Upside)

The overall stock score of 64 reflects a mixed outlook. The company's strong balance sheet and attractive valuation are offset by declining revenue and profitability, as well as liquidity concerns. Positive technical indicators provide some optimism, suggesting potential for price appreciation.

Firma Oponiarska Debica S.A. Business Overview & Revenue Model

Company Description

Firma Oponiarska Debica S.A. (DBC) is a leading tire manufacturer based in Poland, specializing in the production of a wide range of tires for passenger cars, trucks, and buses. Established in 1937, the company operates within the automotive sector and is known for its innovative tire solutions that cater to both domestic and international markets. DBC is recognized for its commitment to quality and sustainability, producing tires that meet various performance standards and customer needs.

How the Company Makes Money

Firma Oponiarska Debica S.A. generates revenue primarily through the sale of its tire products to various segments, including passenger vehicles, commercial vehicles, and specialty tires. The company has established a diverse revenue model that includes direct sales to consumers, distribution through retailers and automotive service centers, and partnerships with automobile manufacturers. Key revenue streams include the production and sale of summer and winter tires, as well as premium and budget tire lines, which appeal to a broad customer base. Additionally, DBC benefits from strategic partnerships with global companies in the automotive industry, which enhance its market reach and brand visibility. Factors contributing to its earnings also include investments in research and development that lead to innovative tire technologies, allowing the company to maintain a competitive edge and respond to changing market demands.

Firma Oponiarska Debica S.A. Financial Statement Overview

Summary

Firma Oponiarska Debica S.A. faces challenges with declining revenue and profitability, impacting its income statement and cash flow. The balance sheet remains a strong point with low leverage and a stable equity ratio. However, the negative cash flow trends and reduced profitability metrics suggest the company needs to address operational inefficiencies and improve cash management to stabilize its financial position.

Income Statement

The income statement shows a significant decline in revenue and profitability metrics over the past year. Gross profit margin and net profit margin have decreased substantially, indicating reduced efficiency and profitability. The revenue growth rate is negative, reflecting a contraction in sales. However, the company maintains a positive EBIT and EBITDA margin, suggesting some operational efficiency despite the downturn.

Balance Sheet

The balance sheet is relatively strong with a low debt-to-equity ratio, indicating low leverage and financial stability. Return on equity has decreased, reflecting lower profitability, but the equity ratio remains healthy, suggesting a solid capital structure. The company has managed to maintain a stable asset base, which is a positive sign amidst declining revenues.

Cash Flow

Cash flow analysis reveals challenges, with negative free cash flow growth and a negative free cash flow to net income ratio, indicating cash outflows exceeding cash inflows. The operating cash flow to net income ratio is positive but has decreased, showing reduced cash generation from operations. These factors highlight potential liquidity concerns.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	2.95B	2.52B	2.99B	3.28B	2.34B	1.82B
Gross Profit	158.95M	37.05M	345.52M	106.46M	77.42M	123.47M
EBITDA	267.56M	195.94M	454.00M	193.31M	150.11M	194.71M
Net Income	133.14M	77.76M	284.35M	72.60M	42.68M	68.39M
Balance Sheet
Total Assets	2.47B	2.32B	2.43B	2.21B	1.98B	1.82B
Cash, Cash Equivalents and Short-Term Investments	660.25M	728.64M	876.61M	66.99M	610.32M	137.57M
Total Debt	6.13M	9.63M	11.47M	8.20M	5.84M	6.33M
Total Liabilities	1.03B	952.13M	999.51M	1.01B	819.52M	648.85M
Stockholders Equity	1.43B	1.37B	1.43B	1.20B	1.16B	1.17B
Cash Flow
Free Cash Flow	-132.37M	-318.43M	-20.73M	-189.32M	-41.09M	638.00K
Operating Cash Flow	80.48M	219.68M	376.70M	186.03M	219.01M	177.90M
Investing Cash Flow	16.31M	-216.98M	-204.59M	-192.28M	-190.76M	-112.44M
Financing Cash Flow	-147.30M	-147.33M	-59.40M	-37.04M	-55.16M	-60.19M

Firma Oponiarska Debica S.A. Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 81.00
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For PL:DBC, the sentiment is Negative. The current price of 81 is below the 20-day moving average (MA) of 82.04, below the 50-day MA of 81.83, and above the 200-day MA of 80.18, indicating a neutral trend. The MACD of -0.13 indicates Positive momentum. The RSI at 34.87 is Neutral, neither overbought nor oversold. The STOCH value of 25.56 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for PL:DBC.

Firma Oponiarska Debica S.A. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
SNK	71 Outperform	€540.33M	16.14	―	7.39%	2.24%	-20.27%
CAR	67 Neutral	€7.86B	10.41	14.34%	0.26%	8.02%	4.67%
DBC	64 Neutral	€1.12B	8.40	9.61%	5.20%	15.21%	-19.13%
Sector *	61 Neutral	$18.38B	12.79	-2.54%	3.03%	1.52%	-15.83%
OPN	―	zł734.06M	11.93	―	―	―	―