NEUCA S.A. (NEU) AI Stock Analysis

• Market Cap: zł3.84B
• Dividend Yield: 1.95%
• Average Volume (3M): 1.23K
• Price to Earnings (P/E): 24.9
• Beta (1Y): 0.52
• Revenue Growth: 7.55%
• EPS Growth: -19.28%
• Country: PL
• Employees: 4,633
• Sector: Healthcare
• Sector Strength: 45
• Industry: Medical - Pharmaceuticals
• EPS (TTM): 13.26
• Shares Outstanding: 4,582,919
• 10 Day Avg. Volume: 1,049
• 30 Day Avg. Volume: 1,226
• PEG Ratio: 6.79
• Price to Book (P/B): 3.42
• Price to Sales (P/S): 0.31
• P/FCF Ratio: -131.34
• 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: 69 Neutral
• Price Target: zł757.00 ▼(-10.31% Downside)

NEUCA S.A. maintains a strong financial position with consistent revenue growth and stable margins. However, challenges in cash flow management and a lack of strong technical momentum slightly temper the overall outlook. The stock's valuation is reasonable, offering a balanced risk-reward profile.

NEUCA S.A. Business Overview & Revenue Model

Company Description

NEUCA S.A. engages in the distribution of pharmaceuticals to pharmacies and hospitals in Poland. It operates through Pharmaceutical Wholesale; Own Brands; and Outpatient Care Clinics, Clinical Trials and Telemedicine segments. The company also provides advertising and marketing services; pharmaceutical products under its own brand; clinical trial, telemedicine, agency, financial, road cargo transport, accounting and bookkeeping, software, hospital, and information technology and computer related services; and health, property, and other personal insurance products. In addition, it operates outpatient care clinics and medical stores. The company was formerly known as Torfarm SA and changed its name to NEUCA S.A. in April 2010. NEUCA S.A. was founded in 1990 and is based in Torun, Poland.

How the Company Makes Money

NEUCA generates revenue through several key streams. The primary source of income comes from the wholesale distribution of pharmaceuticals, which involves purchasing drugs from manufacturers and selling them to pharmacies and healthcare facilities. The company also earns money from its logistics services, where it provides warehousing and transportation solutions for pharmaceutical products. Furthermore, NEUCA has developed IT solutions which contribute to its revenue by providing software and technology services that streamline operations within the healthcare sector. Strategic partnerships with pharmaceutical manufacturers and healthcare providers enhance its market position and create additional revenue opportunities, as NEUCA often engages in collaborative ventures to expand its product offerings and improve service delivery. The company's comprehensive portfolio and established market presence position it favorably for sustained earnings growth.

NEUCA S.A. Financial Statement Overview

Summary

NEUCA S.A. shows solid revenue growth and stable profitability margins, with a prudent leverage strategy. However, cash flow management needs improvement to enhance liquidity and operational flexibility.

Income Statement

NEUCA S.A. demonstrates a solid revenue growth trajectory with a TTM revenue growth rate of 1.75%, indicating resilience in the competitive pharmaceutical industry. The gross profit margin remains stable at approximately 11.4%, while the net profit margin has slightly decreased to 1.04% in the TTM. Although EBIT and EBITDA margins have seen a slight decline, they remain healthy, reflecting efficient operational management.

Balance Sheet

The company's balance sheet shows a moderate debt-to-equity ratio of 0.40, indicating a balanced approach to leveraging. The return on equity has decreased to 12.21% in the TTM, suggesting a slight reduction in profitability. However, the equity ratio remains strong, reflecting a stable financial position with adequate equity backing its assets.

Cash Flow

NEUCA S.A. faces challenges in cash flow management, with a significant decline in free cash flow growth. The operating cash flow to net income ratio is low at 0.05, indicating potential liquidity constraints. However, the free cash flow to net income ratio of 0.56 suggests some ability to generate cash relative to net income.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	13.34B	12.61B	11.81B	11.23B	9.86B	9.25B
Gross Profit	1.52B	1.44B	1.31B	1.24B	1.02B	981.21M
EBITDA	400.68M	417.85M	401.82M	352.41M	293.42M	273.79M
Net Income	153.80M	154.24M	146.27M	137.24M	150.66M	141.79M
Balance Sheet
Total Assets	5.98B	5.51B	5.18B	4.84B	4.12B	3.61B
Cash, Cash Equivalents and Short-Term Investments	126.82M	143.94M	119.55M	225.87M	89.18M	22.61M
Total Debt	538.93M	448.57M	663.43M	378.08M	176.59M	174.92M
Total Liabilities	4.76B	4.10B	4.12B	3.91B	3.23B	2.83B
Stockholders Equity	1.02B	1.14B	990.36M	880.24M	847.29M	766.17M
Cash Flow
Free Cash Flow	235.83M	-29.68M	194.09M	254.49M	247.45M	239.52M
Operating Cash Flow	334.13M	63.23M	288.27M	335.94M	300.20M	324.67M
Investing Cash Flow	-282.52M	-198.10M	-257.03M	-180.22M	-145.49M	-146.91M
Financing Cash Flow	-255.29M	139.62M	-139.09M	-6.64M	-112.76M	-234.06M

NEUCA S.A. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 844.00
• 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 PL:NEU, the sentiment is Positive. The current price of 844 is above the 20-day moving average (MA) of 825.40, above the 50-day MA of 815.36, and above the 200-day MA of 717.59, indicating a bullish trend. The MACD of 9.72 indicates Negative momentum. The RSI at 64.94 is Neutral, neither overbought nor oversold. The STOCH value of 75.89 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for PL:NEU.

NEUCA S.A. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
NEU	69 Neutral	zł3.84B	24.87	14.63%	1.95%	7.55%	-19.28%
SLV	59 Neutral	zł853.53M	-293.26	-1.25%	―	14.10%	-99.00%
Sector *	51 Neutral	$7.86B	-0.30	-43.30%	2.27%	22.53%	-2.21%
CLN	46 Neutral	zł1.13B	69.18	―	0.43%	47.79%	―
RVU	38 Underperform	zł639.27M	-5.41	-95.69%	―	15.45%	-25.81%