Senvest Capital (SEC) AI Stock Analysis

• Market Cap: C$931.72M
• Dividend Yield: N/A
• Average Volume (3M): 67.00
• Price to Earnings (P/E): 5.3
• Beta (1Y): 0.68
• 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: 2,427,924
• 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: Moderate Buy
• 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 shows strong revenue growth, which is promising for future prospects, but faces challenges in profitability and cash flow growth. The balance sheet is stable with low leverage, providing a solid foundation. To enhance financial health, the company should focus on improving operational efficiencies and profitability.

Income Statement

Senvest Capital's income statement shows a mixed performance. The company experienced a significant revenue growth rate of 949.55% in the TTM period, indicating a strong recovery or expansion. However, the net profit margin is negative at -27.94%, suggesting profitability challenges. The EBIT and EBITDA margins are also negative, reflecting operational inefficiencies. Despite these issues, the high revenue growth is a positive indicator for future potential.

Balance Sheet

The balance sheet of Senvest Capital is relatively strong with a low debt-to-equity ratio, indicating minimal leverage and financial risk. The equity ratio is healthy, showing a solid capital structure. However, the return on equity is negative in the TTM period, which is a concern for profitability. Overall, the balance sheet reflects stability with room for improvement in profitability.

Cash Flow

Senvest Capital's cash flow statement reveals a decrease in free cash flow growth, which is a concern. The operating cash flow to net income ratio is low, indicating potential issues in converting income into cash. However, the company maintains a positive free cash flow to net income ratio, suggesting some level of cash generation efficiency. The cash flow position is stable but requires attention to improve growth.

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: Positive
• Last Price: 383.75
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TSE:SEC, the sentiment is Positive. The current price of 383.75 is above the 20-day moving average (MA) of 378.73, above the 50-day MA of 372.00, and above the 200-day MA of 348.98, indicating a bullish trend. The MACD of 1.83 indicates Positive momentum. The RSI at 53.65 is Neutral, neither overbought nor oversold. The STOCH value of 30.88 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive 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	78 Outperform	C$1.08B	9.66	9.85%	3.01%	11.23%	30.44%
SEC	74 Outperform	C$931.72M	5.33	9.11%	―	22.33%	-25.06%
GCG	69 Neutral	C$1.66B	8.74	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$652.53M	21.01	11.26%	8.78%	-0.88%	-52.30%
CVG	57 Neutral	C$989.27M	300.63	0.32%	0.14%	-44.78%	-95.84%
WED	49 Neutral	C$824.20M	-10.44	-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.