Senvest Capital (SEC) AI Stock Analysis

• Market Cap: C$894.61M
• Dividend Yield: N/A
• Average Volume (3M): 67.00
• Price to Earnings (P/E): 5.1
• Beta (1Y): 0.75
• Revenue Growth: 22.33%
• EPS Growth: -25.06%
• Country: CA
• Employees: 30
• Sector: Financial
• Sector Strength: 70
• Industry: Asset Management
• EPS (TTM): 71.13
• Shares Outstanding: 2,426,024
• 10 Day Avg. Volume: 42
• 30 Day Avg. Volume: 67
• PEG Ratio: 0.02
• Price to Book (P/B): 0.46
• Price to Sales (P/S): 0.97
• P/FCF Ratio: 4.64
• 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: 74 Outperform
• Price Target: C$403.00 ▲(5.02% Upside)

Senvest Capital's stock score is driven by strong financial performance and attractive valuation. The company's profitability and low leverage are significant strengths, while technical indicators suggest stability. The low P/E ratio enhances its appeal, though challenges in gross margin and cash flow growth present areas for improvement.

Positive Factors

Financial Stability

The low debt-to-equity ratio indicates minimal leverage, reducing financial risk and enhancing the company's ability to withstand economic fluctuations.

Profitability

A high net profit margin reflects efficient cost management and strong profitability, supporting long-term financial health and reinvestment capacity.

Cash Generation

Efficient cash generation relative to net income ensures liquidity and the ability to fund operations and investments without relying on external financing.

Negative Factors

Gross Margin Challenges

Negative gross margins indicate potential inefficiencies in cost management, which could pressure profitability if not addressed.

Free Cash Flow Decline

Declining free cash flow growth could impact future liquidity and the company's ability to invest in growth opportunities or return capital to shareholders.

Revenue Growth

Modest revenue growth may limit the company's ability to scale operations and compete effectively in a dynamic market environment.

Senvest Capital Business Overview & Revenue Model

Company Description

Senvest Capital Inc., through its subsidiaries, holds investments in equity and real estate holdings in the United States and internationally. It invests in derivative financial instruments comprising primarily options and warrants to purchase or sell equities, equity indices and currencies, equity swaps, foreign currency forward contracts, and foreign currency futures contracts. The company also has investments as minority interests in private entities whose main assets are real estate properties; and real estate income trusts and partnerships. In addition, it invests in self-storage facilities. The company was formerly known as Sensormatic Canada Limited and changed its name to Senvest Capital Inc. in April 1991. Senvest Capital Inc. was incorporated in 1968 and is headquartered in Montreal, Canada.

How the Company Makes Money

Senvest Capital generates revenue primarily through management fees and performance fees associated with its investment management services. The company manages funds that charge a percentage of assets under management (AUM) as management fees, providing a steady income stream. Additionally, performance fees are earned based on the returns generated for clients above a specified benchmark, allowing the company to benefit from successful investment strategies. Senvest may also engage in proprietary trading, where profits from trading activities contribute to earnings. Strategic partnerships with financial institutions and access to exclusive investment opportunities can further enhance revenue, as they allow Senvest to leverage collective insights and resources in the investment landscape.

Senvest Capital Financial Statement Overview

Summary

Senvest Capital exhibits strong profitability with a high net profit margin and low leverage, indicating financial stability. However, challenges with gross profit margin and declining free cash flow growth could impact future performance.

Income Statement

Senvest Capital's income statement shows a strong net profit margin of 42.84% for the TTM, indicating high profitability. However, the gross profit margin is negative, suggesting potential issues with cost management or revenue recognition. The revenue growth rate is modest at 1.24%, which is stable but not particularly aggressive. Overall, the company demonstrates solid profitability but faces challenges in maintaining a healthy gross margin.

Balance Sheet

The balance sheet is robust with a very low debt-to-equity ratio of 0.00035, indicating minimal leverage and financial risk. The return on equity is reasonable at 9.39%, reflecting decent efficiency in using equity to generate profits. The equity ratio is strong, showing a solid capital structure. Overall, the balance sheet reflects financial stability and low risk.

Cash Flow

Cash flow analysis reveals a decline in free cash flow growth at -3.65% for the TTM, which could be a concern for future liquidity. However, the operating cash flow to net income ratio is healthy at 4.07, indicating efficient cash generation relative to net income. The free cash flow to net income ratio is strong at 1.0, suggesting effective cash conversion. Despite the decline in growth, cash flow metrics remain solid.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	874.40M	964.91M	432.30M	-227.92M	1.05B	374.58M
Gross Profit	781.84M	868.70M	330.20M	-279.70M	1.04B	354.21M
EBITDA	219.60M	317.81M	102.54M	-367.14M	837.66M	265.73M
Net Income	174.18M	258.15M	83.61M	-326.08M	732.99M	211.72M
Balance Sheet
Total Assets	6.24B	6.79B	5.13B	5.65B	6.56B	4.07B
Cash, Cash Equivalents and Short-Term Investments	80.04M	66.19M	33.01M	42.53M	52.19M	10.91M
Total Debt	526.00K	3.94M	1.88M	3.30M	3.96M	5.43M
Total Liabilities	4.19B	4.75B	3.49B	4.06B	4.75B	2.92B
Stockholders Equity	2.03B	2.02B	1.62B	1.58B	1.80B	1.10B
Cash Flow
Free Cash Flow	232.40M	201.23M	84.42M	257.31M	590.30M	218.75M
Operating Cash Flow	232.40M	201.23M	84.42M	257.31M	590.30M	218.75M
Investing Cash Flow	-11.57M	-17.31M	11.08M	-19.18M	-151.26M	-107.10M
Financing Cash Flow	-210.48M	-155.00M	-104.22M	-250.38M	-398.22M	-118.12M

Senvest Capital Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 383.75
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TSE:SEC, the sentiment is Negative. The current price of 383.75 is above the 20-day moving average (MA) of 382.39, above the 50-day MA of 375.64, and above the 200-day MA of 350.79, indicating a neutral trend. The MACD of -2.41 indicates Positive momentum. The RSI at 44.02 is Neutral, neither overbought nor oversold. The STOCH value of 10.35 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for TSE:SEC.

Senvest Capital Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
AGF.B	79 Outperform	C$1.17B	9.14	9.85%	3.01%	11.23%	30.44%
SEC	74 Outperform	C$894.61M	5.12	9.11%	―	22.33%	-25.06%
GCG	69 Neutral	C$1.66B	8.77	13.82%	2.29%	58.88%	82.03%
Sector *	68 Neutral	$18.00B	11.42	9.92%	3.81%	9.73%	1.22%
FSZ	62 Neutral	C$633.34M	20.53	11.26%	8.78%	-0.88%	-52.30%
CVG	57 Neutral	C$998.84M	300.63	0.32%	0.14%	-44.78%	-95.84%
WED	49 Neutral	C$834.22M	-10.57	-6.98%	―	333.02%	-196.36%

Senvest Capital Corporate Events

Senvest Capital Founder and CEO Victor Mashaal Dies; Interim Leadership Announced

Senvest Capital Inc. announced the death of its founder, long-time President, Chief Executive Officer and Chairman, Victor Mashaal, who passed away at 87 following a brief illness, prompting tributes that highlighted his role in building the company from a small investment into a diversified, resilient enterprise. In response, the firm has implemented an interim leadership structure under which Richard Mashaal and Vice-President, Finance, George Malikotsis will jointly assume the roles of President and CEO, Frank Daniel will serve as interim Chairman, and Malikotsis will join the board, as Senvest temporarily closes its Montreal offices through early January 2026 to mourn the loss while seeking continuity and stability for stakeholders.

The most recent analyst rating on (TSE:SEC) stock is a Buy with a C$403.00 price target. To see the full list of analyst forecasts on Senvest Capital stock, see the TSE:SEC Stock Forecast page.