Melnick Desenvolvimento Imobiliario SA

Melnick Desenvolvimento Imobiliario SA has a market price of 3.3 BRL and a market cap of 678,206,271.6 BRL, with a price-to-earnings ratio of 16.0 and a price-to-book ratio of 0.55. The company's liquidity is assessed as medium, with a current ratio of 2.94 and a free cash flow of 40,036,000 BRL. The company's capital structure is characterized by a debt-to-equity ratio of 0.23, indicating a relatively low level of leverage.

In terms of profitability, the company has a return on equity of 3.43% and a return on assets of 1.73%, which are below the industry median for homebuilders. The company's gross profit margin is 20.55%, and its operating margin is 9.64%, which are in line with the industry average. The company's net income of 42,376,000 BRL represents a net margin of 17.29%.

The company's revenue is concentrated in the homebuilding segment, with no significant geographic diversification reported in the available data. The company's revenue of 245,144,000 BRL is derived primarily from the sale of residential properties.

The company's growth trajectory is expected to be modest, with a revenue outlook that is not explicitly provided in the available data. The company's capital expenditure of -3,423,000 BRL indicates a reduction in investment in property, plant, and equipment. The company's operating cash flow of 78,321,000 BRL suggests a positive cash flow from operations.

The company's risk assessment indicates a medium liquidity risk and a low dilution risk. The company's key flags include a negative net cash position after subtracting total debt. The company's dilution potential is low, with no significant dilution sources identified in the available data.

Recent events and filings indicate that the company has a mean price target of 4.60 BRL and a median price target of 4.80 BRL, with a mean recommendation of 2.67 (1=strong buy, 5=strong sell). The company has one buy recommendation and two hold recommendations from analysts.

Net income surged 57% year-over-year to BRL 112 million, demonstrating strong profitability growth despite revenue fluctuations.

Operating margin of 9.6% exceeds the homebuilding cohort median of 7.6%, indicating superior operational efficiency relative to peers.

Analysts project 45.1% upside to a mean price target of BRL 4.60, suggesting significant undervaluation at current levels.

Cash conversion ratio of 1.85 exceeds the 75th percentile of the cohort, highlighting robust cash generation capabilities.

Long-term debt increased to BRL 604 million in FY2026, raising credit risk concerns amid a high credit risk flag.

Return on equity of 3.4% falls below the homebuilding cohort median of 5.2%, indicating inefficient capital utilization.

Medium liquidity risk flags potential challenges in meeting short-term obligations, compounded by declining free cash flow trends.

Revenue BRL 310.6M, −21,9% YoY; Operating income −28,9% YoY.

• ▍Revenue BRL 310.6M, −21,9% YoY
• ▍Operating income −28,9% YoY
• ▍Net income +5 048,2% YoY
• ▍Free cash flow −185,4% YoY
• ▍Net margin 11.1%

Revenue BRL 243.6M, −0,8% YoY; Operating income −27,4% YoY.

• ▍Revenue BRL 243.6M, −0,8% YoY
• ▍Operating income −27,4% YoY
• ▍Net income −52,0% YoY
• ▍Free cash flow −35,6% YoY
• ▍Net margin 10.3%

Revenue BRL 338.0M, +140,0% YoY; Operating income +201,2% YoY.

• ▍Revenue BRL 338.0M, +140,0% YoY
• ▍Operating income +201,2% YoY
• ▍Net income +264,2% YoY
• ▍Free cash flow +176,9% YoY
• ▍Net margin 11.6%

Revenue BRL 225.2M, −8,1% YoY; Operating income −55,9% YoY.

• ▍Revenue BRL 225.2M, −8,1% YoY
• ▍Operating income −55,9% YoY
• ▍Net income −68,3% YoY
• ▍Free cash flow −47,3% YoY
• ▍Net margin 6.0%

Revenue BRL 397.5M; Operating income BRL 54.5M.

• ▍Revenue BRL 397.5M
• ▍Operating income BRL 54.5M
• ▍Net margin 0.2%

Revenue BRL 245.6M; Operating income BRL 37.0M.

• ▍Revenue BRL 245.6M
• ▍Operating income BRL 37.0M
• ▍Net margin 21.3%

Revenue BRL 140.8M; Operating income -BRL 37.6M.

• ▍Revenue BRL 140.8M
• ▍Operating income -BRL 37.6M
• ▍Net margin -16.9%

Revenue BRL 245.1M; Operating income BRL 23.6M.

• ▍Revenue BRL 245.1M
• ▍Operating income BRL 23.6M
• ▍Net margin 17.3%

Revenue BRL 1.12B, +8,6% YoY; Operating income +47,2% YoY.

• ▍Revenue BRL 1.12B, +8,6% YoY
• ▍Operating income +47,2% YoY
• ▍Net income +57,0% YoY
• ▍Free cash flow −51,9% YoY
• ▍Net margin 10.0%

Revenue BRL 1.03B, −13,1% YoY; Operating income −19,9% YoY.

• ▍Revenue BRL 1.03B, −13,1% YoY
• ▍Operating income −19,9% YoY
• ▍Net income −31,3% YoY
• ▍Free cash flow +84,5% YoY
• ▍Net margin 6.9%

Revenue BRL 1.18B, +15,0% YoY; Operating income +32,9% YoY.

• ▍Revenue BRL 1.18B, +15,0% YoY
• ▍Operating income +32,9% YoY
• ▍Net income +23,1% YoY
• ▍Free cash flow −67,5% YoY
• ▍Net margin 8.8%

Revenue BRL 1.03B, +33,4% YoY; Operating income +19,4% YoY.

• ▍Revenue BRL 1.03B, +33,4% YoY
• ▍Operating income +19,4% YoY
• ▍Net income +1,7% YoY
• ▍Free cash flow +881,2% YoY
• ▍Net margin 8.2%