Zenvia (ZENV) AI Stock Analysis

• Market Cap: $77.09M
• Dividend Yield: N/A
• Average Volume (3M): 64.55K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.96
• Revenue Growth: 9.04%
• EPS Growth: 37.96%
• Country: US
• Employees: 1,076
• Sector: Technology
• Sector Strength: 94
• Industry: Software - Infrastructure
• EPS (TTM): N/A
• Shares Outstanding: 28,774,326
• 10 Day Avg. Volume: 44,728
• 30 Day Avg. Volume: 64,548
• PEG Ratio: -0.11
• Price to Book (P/B): 0.53
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 3.65
• 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: $1.50
• Price Target Upside: 5.63% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 1

• Rating: 62 Neutral
• Price Target: $1.50 ▲(5.63%Upside)

Zenvia's overall stock score reflects strong revenue growth and positive cash flow generation but is weighed down by ongoing net losses and declining profitability margins. The company's technical indicators and valuation are not particularly favorable, and while the earnings call provided some positive outlook, profitability challenges remain a concern. Strategic focus on improving operational efficiency and profitability is crucial.

Positive Factors

Revenue Growth

Top-line expansion supported by growth in both CPaaS and SaaS, with a notable increase in SMS volume and SMB customers.

Revenue Performance

ZENV posted revenues of BRL296m, achieving a significant increase of 39% compared to the previous year.

Negative Factors

Client Base Decline

Active client base declined, with reductions in both CPaaS and SaaS accounts.

Financial Losses

Net income was negatively affected by non-recurring expenses and higher financial costs, resulting in a loss of -BRL135m.

Profitability Challenges

Normalized EBITDA missed estimates by 4% due to higher costs and lower gross profit.

Zenvia Business Overview & Revenue Model

Company Description

Zenvia Inc. develops a cloud-based platform that enables organizations to integrate several communication capabilities in Brazil, Mexico, and Argentina. It offers communication channels for businesses to engage or interact with their customers, such as SMS, Voice, WhatsApp, Facebook Instagram, Webchat, Messenger, rich communication service (RCS), and video; and communication solutions comprising SaaS for communication between businesses and end-consumers, such as marketing campaigns, sales teams' management, customer service and engagement, and customer success. The company also provides Zenvia Chat, a customer service platform that manages different communication channels in a single environment; Zenvia Message, a campaign manager to trigger RCS, SMS, and WhatsApp messages; Sirena, a solution for sales teams to communicate with customers through WhatsApp; and SenseData, a solution that uses advanced techniques to integrate and analyze large volumes of customer data, creating a unique 360º view of the customers and generating insights. In addition, it offers Zenvia Flow, a visual flow builder that allows customers to create communication and/or automation flows; Jornadas solution for enterprise clients to communicate with their customers through various digital channels and generate data-rich documents; and ALTU, the conversational automation solution for larger companies to solve their customer needs with automated yet humanized service through artificial intelligence. The company's platform assists customers in various use cases comprising marketing campaigns, customer acquisition, customer onboarding, warnings, customer services, fraud control, cross-selling and customer retention, ticket resolution, consumer health, and others. Zenvia Inc. was incorporated in 2020 and is based in São Paulo, Brazil.

How the Company Makes Money

Zenvia generates revenue primarily through a software-as-a-service (SaaS) model, offering subscription-based access to its communication platforms. Key revenue streams include fees from the use of its messaging services, voice communication tools, and chatbot solutions. The company also earns income from professional services, such as custom integrations and consulting, which help clients tailor Zenvia's solutions to their specific needs. Significant partnerships with telecom operators and technology providers enhance Zenvia's service offerings and expand its market reach, contributing to its overall earnings.

Zenvia Financial Statement Overview

Summary

Zenvia demonstrates strong revenue growth and improved cash flows, but persistent net losses and declining profitability margins are major concerns. The company has managed to decrease its reliance on debt, improving financial stability. However, operational inefficiencies reflected in negative EBITDA margins and declining equity are risks. Strategic improvements in operational efficiency and profitability are necessary for sustained financial health.

Income Statement

Zenvia shows strong revenue growth, with a consistent increase from $429.7M in 2020 to $1.042B in TTM (Trailing-Twelve-Months) 2025, demonstrating resilience. However, net income losses are concerning, with a negative trend from a $21.4M loss in 2020 to a $94.68M loss in TTM 2025. The gross profit margin has decreased from 24.16% in 2020 to 26.42% in TTM 2025, indicating profitability challenges. The EBIT margin is slightly positive at 1.03% in TTM 2025, a recovery from previous losses. EBITDA margin turned negative to -1.63% in TTM 2025, highlighting operational inefficiencies.

Balance Sheet

Zenvia's equity ratio decreased from 25.48% in 2020 to 44.85% in TTM 2025, indicating improved equity financing. However, the debt-to-equity ratio improved from 0.88 in 2020 to 0.14 in TTM 2025, suggesting reduced reliance on debt. However, net losses impact return on equity, which is negative. The decrease in stockholders' equity from $1.20B in 2021 to $783M in TTM 2025 is a concern.

Cash Flow

Zenvia has shown positive free cash flow growth, rising from $28.83M in 2020 to $114.89M in TTM 2025, indicating strong cash generation. The operating cash flow to net income ratio is strong, reflecting efficient cash conversion despite net losses. However, cash flow from operations could be more robust, with fluctuations noted over the years.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	959.68M	807.58M	756.72M	612.32M	429.70M
Gross Profit	294.77M	330.54M	288.91M	180.91M	103.83M
EBITDA	30.89M	72.24M	-131.48M	-6.89M	3.37M
Net Income	-154.66M	-61.00M	-243.03M	-44.65M	-21.43M
Balance Sheet
Total Assets	1.74B	1.71B	1.80B	1.84B	452.85M
Cash, Cash Equivalents and Short-Term Investments	116.88M	63.74M	108.40M	582.23M	59.98M
Total Debt	129.68M	90.60M	171.65M	212.40M	101.73M
Total Liabilities	972.14M	822.62M	850.88M	640.65M	337.51M
Stockholders Equity	771.41M	888.81M	953.34M	1.20B	115.35M
Cash Flow
Free Cash Flow	49.28M	106.89M	58.76M	-116.67M	28.83M
Operating Cash Flow	107.77M	162.55M	108.45M	-97.26M	46.14M
Investing Cash Flow	-62.62M	-53.90M	-349.78M	-351.05M	-61.59M
Financing Cash Flow	9.11M	-143.77M	-215.84M	935.03M	62.05M

Zenvia Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 1.42
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For ZENV, the sentiment is Negative. The current price of 1.42 is below the 20-day moving average (MA) of 1.53, below the 50-day MA of 1.48, and below the 200-day MA of 1.68, indicating a bearish trend. The MACD of >-0.01 indicates Positive momentum. The RSI at 43.02 is Neutral, neither overbought nor oversold. The STOCH value of 35.51 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for ZENV.

Zenvia Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
PAYS	75 Outperform	$414.77M	71.92	18.82%	―	26.77%	-13.24%
Sector *	68 Neutral	¥228.96B	14.53	7.50%	2.69%	9.28%	6.70%
ZENV	62 Neutral	$77.09M	―	-10.57%	―	9.04%	37.96%
JG	62 Neutral	$71.29M	―	-10.44%	―	16.93%	85.85%
REKR	47 Neutral	$145.23M	―	-121.54%	―	17.97%	21.12%
STEM	47 Neutral	$72.48M	―	-6139.13%	―	-63.86%	-364.20%
AUID	42 Neutral	$53.64M	―	-168.24%	―	230.96%	91.63%