Hexicon AB (HEXI) AI Stock Analysis

• Market Cap: €65.48M
• Dividend Yield: N/A
• Average Volume (3M): 336.99K
• Price to Earnings (P/E): ―
• Beta (1Y): <0.01
• Revenue Growth: 1461.02%
• EPS Growth: -48.56%
• Country: SE
• Employees: 27
• Sector: Industrials
• Sector Strength: 72
• Industry: Engineering & Construction
• EPS (TTM): -0.20
• Shares Outstanding: 363,802,670
• 10 Day Avg. Volume: 187,825
• 30 Day Avg. Volume: 336,989
• PEG Ratio: >-0.01
• Price to Book (P/B): -0.17
• Price to Sales (P/S): 4.84
• P/FCF Ratio: -0.77
• 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: Hold
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 41 Neutral
• Price Target: kr0.15 ▼(-5.00% Downside)

Hexicon AB's overall stock score is primarily impacted by its poor financial performance and negative valuation metrics. The technical analysis indicates a bearish trend, further weighing down the score. The absence of earnings call data and corporate events means these factors do not influence the score.

Positive Factors

Revenue Growth

The impressive revenue growth indicates strong market demand and successful expansion efforts, which can enhance long-term market position and competitiveness.

Innovative Business Model

The focus on floating offshore wind technology positions Hexicon as a leader in renewable energy innovation, offering a competitive edge in a growing industry.

Strategic Partnerships

Collaborations with major energy companies enhance Hexicon's project pipeline, providing stability and opportunities for scaling operations.

Negative Factors

High Leverage

High leverage increases financial risk and limits flexibility, potentially impacting the company's ability to invest in growth opportunities.

Negative Cash Flows

Persistent negative cash flows suggest operational inefficiencies and could hinder Hexicon's ability to sustain operations without external funding.

Profitability Challenges

Ongoing profitability issues highlight difficulties in converting revenue into profit, which may affect long-term financial health and investor confidence.

Hexicon AB Business Overview & Revenue Model

Company Description

Hexicon AB (publ) designs, manufactures, sells, and operates offshore wave and wind turbines. The company develops, constructs, and operates floating offshore wind farms; and designs dual turbine floating wind power platforms that hosts two wind turbines and weathervanes around a single mooring point. It operates primarily in South Korea, Scotland, Spain, Sweden, South Africa, and Ireland. The company was founded in 2009 and is headquartered in Stockholm, Sweden.

How the Company Makes Money

Hexicon AB generates revenue primarily through the development and commercialization of its proprietary floating wind technology. The company earns income by securing contracts for the design and construction of offshore wind projects, often in collaboration with energy companies, government agencies, and other stakeholders in the renewable energy sector. Key revenue streams include project development fees, technology licensing agreements, and long-term service contracts for the maintenance and operation of wind farms. Significant partnerships with established energy firms and investments from public and private entities also contribute to its earnings, enabling Hexicon to scale its operations and expand its market reach.

Hexicon AB Financial Statement Overview

Summary

Hexicon AB faces significant financial challenges across all verticals. Despite impressive revenue growth, the company struggles with profitability and cash flow generation. High leverage and negative equity position the company at financial risk, while negative cash flows indicate operational inefficiencies. The overall financial health of Hexicon AB is concerning, with critical weaknesses in profitability, leverage, and cash flow sustainability.

Income Statement

Hexicon AB's income statement reveals significant challenges. The company has experienced a substantial revenue growth rate of 500.67% in the TTM period, indicating aggressive expansion. However, profitability remains a concern, with negative gross profit, net profit, EBIT, and EBITDA margins. The net profit margin is notably low at -16.53%, reflecting ongoing losses. Despite revenue growth, the company's inability to convert sales into profits is a critical weakness.

Balance Sheet

The balance sheet of Hexicon AB shows a precarious financial position. The company has a negative stockholders' equity, resulting in a negative debt-to-equity ratio of -2.35, indicating high leverage and financial instability. Return on equity is positive at 118.77%, but this is due to negative equity, which distorts the metric. The equity ratio is also negative, highlighting the company's reliance on debt financing. Overall, the balance sheet suggests significant financial risk.

Cash Flow

Hexicon AB's cash flow statement highlights ongoing cash flow challenges. The company has negative operating and free cash flows, with a free cash flow growth rate of -63.56% in the TTM period. The operating cash flow to net income ratio is negative, indicating that the company is not generating sufficient cash from operations to cover its losses. The free cash flow to net income ratio is slightly positive at 1.24, suggesting some ability to cover net losses with free cash flow, but overall cash flow health remains weak.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	92.10M	9.80M	5.70M	11.58M	23.11M	4.36M
Gross Profit	26.80M	-80.72M	-15.50M	12.27M	23.02M	4.13M
EBITDA	-13.50M	-58.80M	-77.30M	-132.74M	-44.16M	-35.46M
Net Income	-259.90M	-258.20M	-187.33M	-170.34M	-50.86M	-38.01M
Balance Sheet
Total Assets	599.70M	599.20M	501.64M	451.58M	432.18M	117.90M
Cash, Cash Equivalents and Short-Term Investments	15.90M	258.24M	256.89M	86.64M	289.59M	106.59M
Total Debt	932.00M	753.80M	387.70M	80.68M	1.91M	741.00K
Total Liabilities	1.03B	884.20M	500.43M	252.20M	109.33M	26.05M
Stockholders Equity	-431.80M	-284.20M	1.87M	202.84M	322.76M	91.85M
Cash Flow
Free Cash Flow	-6.70M	-61.30M	-187.20M	-178.06M	-94.33M	-7.49M
Operating Cash Flow	-100.00K	-45.10M	-158.93M	-95.11M	-52.89M	-3.38M
Investing Cash Flow	-47.00M	-152.00M	-110.47M	-188.71M	-47.97M	-5.10M
Financing Cash Flow	118.72M	98.20M	304.09M	80.77M	283.13M	114.50M

Hexicon AB Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 0.16
• 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 SE:HEXI, the sentiment is Negative. The current price of 0.16 is below the 20-day moving average (MA) of 0.17, below the 50-day MA of 0.19, and below the 200-day MA of 0.20, indicating a bearish trend. The MACD of >-0.01 indicates Negative momentum. The RSI at 45.88 is Neutral, neither overbought nor oversold. The STOCH value of 56.48 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for SE:HEXI.

Hexicon AB Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%
ELTEL	50 Neutral	€1.33B	98.49	0.72%	―	-6.38%	―
HEXI	41 Neutral	€65.48M	-0.27	―	―	1461.02%	-48.56%