Eurogroup Laminations SpA

Eurogroup Laminations has a market price of 1.157 EUR and a market capitalization of 102.96 million EUR, with a price-to-earnings ratio of 13.17 and a price-to-book ratio of 0.24. The company's liquidity position is characterized by a current ratio of 1.61, indicating moderate short-term liquidity, but its operating cash flow is negative at -48.61 million EUR, and free cash flow is also negative at -5.05 million EUR. The company's capital structure includes 366.24 million EUR in long-term debt and 87.51 million EUR in cash and equivalents, resulting in a debt-to-equity ratio of 0.86.

In terms of profitability, Eurogroup Laminations reports a return on equity of 1.84% and a return on assets of 0.66%, both of which are below the typical thresholds for strong performance in the electrical components and equipment industry. The company's gross profit margin is 25.5%, and its operating margin is 7.37%, which are in line with the industry's median metrics. However, the company's net income of 7.82 million EUR is relatively modest compared to its revenue of 206.06 million EUR.

The company's revenue is concentrated in a single business segment, with no disclosed geographic diversification in the provided data. This lack of diversification may expose the company to higher operational and market risks, particularly in the event of regional economic downturns or supply chain disruptions.

Looking ahead, the company's revenue is expected to remain relatively flat, with no significant growth projected in the current or next fiscal year. The company's capital expenditure of -22.12 million EUR indicates a reduction in investment in new assets, which may signal a conservative approach to growth or a focus on cost management. The company's operating cash flow and free cash flow are both negative, which may limit its ability to fund new initiatives or return value to shareholders.

The company faces a medium liquidity risk due to its negative operating cash flow and free cash flow, which may impact its ability to meet short-term obligations. The risk assessment also notes that net cash is negative after subtracting total debt, which could indicate a potential need for additional financing. The dilution risk is assessed as low, with no significant dilution expected in the near term.

Recent events and filings do not indicate any major changes in the company's operations or financial strategy. Analysts have provided a mean price target of 1.21 EUR and a median price target of 1.20 EUR, with a mean recommendation of 3.00, indicating a neutral outlook. The absence of strong buy or buy recommendations suggests that analysts do not see significant upside potential in the near term.

Analysts project 16.6% upside to a mean price target of 1.21 euros from the current 1.04 euro level.

Net margin of 3.8% slightly outperforms the 3.8% cohort median, demonstrating competitive profitability within the sector.

Dilution risk is assessed as low, suggesting limited immediate threat to existing shareholder equity value.

Gross profit reached 200 million euros in FY2026, maintaining a substantial buffer above operating expenses.

Free cash flow turned negative at -14.9 million euros in FY2026, signaling persistent cash generation challenges.

Debt-to-equity ratio of 0.86 sits in the bottom quartile, indicating significantly higher leverage than peers.

Net income collapsed to a -1.7 million euro loss in FY2026, reflecting severe earnings volatility.

High credit risk flags suggest potential difficulties in managing debt obligations or securing favorable financing terms.

Revenue €216.9M, −1,5% YoY; Operating income −107,6% YoY.

• ▍Revenue €216.9M, −1,5% YoY
• ▍Operating income −107,6% YoY
• ▍Net income −119,3% YoY
• ▍Free cash flow −11,8% YoY
• ▍Net margin -1.3%

Revenue €185.0M, −18,4% YoY; Operating income −50,8% YoY.

• ▍Revenue €185.0M, −18,4% YoY
• ▍Operating income −50,8% YoY
• ▍Net income −65,0% YoY
• ▍Free cash flow +147,3% YoY
• ▍Net margin 0.2%

Revenue €208.1M, −3,9% YoY; Operating income −60,3% YoY.

• ▍Revenue €208.1M, −3,9% YoY
• ▍Operating income −60,3% YoY
• ▍Net income −61,1% YoY
• ▍Free cash flow −166,2% YoY
• ▍Net margin 1.5%

Revenue €221.1M, +7,3% YoY; Operating income −41,0% YoY.

• ▍Revenue €221.1M, +7,3% YoY
• ▍Operating income −41,0% YoY
• ▍Net income −130,6% YoY
• ▍Free cash flow −199,0% YoY
• ▍Net margin -1.1%

Revenue €220.3M; Operating income €17.2M.

• ▍Revenue €220.3M
• ▍Operating income €17.2M
• ▍Net margin 6.5%

Revenue €226.7M; Operating income €18.4M.

• ▍Revenue €226.7M
• ▍Operating income €18.4M
• ▍Net margin 0.5%

Revenue €216.4M; Operating income €14.9M.

• ▍Revenue €216.4M
• ▍Operating income €14.9M
• ▍Net margin 3.7%

Revenue €206.1M; Operating income €15.2M.

• ▍Revenue €206.1M
• ▍Operating income €15.2M
• ▍Net margin 3.8%

Revenue €831.0M, −4,4% YoY; Operating income −65,6% YoY.

• ▍Revenue €831.0M, −4,4% YoY
• ▍Operating income −65,6% YoY
• ▍Net income −105,4% YoY
• ▍Free cash flow −8,2% YoY
• ▍Net margin -0.2%

Revenue €869.4M, +4,0% YoY; Operating income −18,2% YoY.

• ▍Revenue €869.4M, +4,0% YoY
• ▍Operating income −18,2% YoY
• ▍Net income −8,6% YoY
• ▍Free cash flow +43,9% YoY
• ▍Net margin 3.6%

Revenue €835.9M, −1,8% YoY; Operating income +5,2% YoY.

• ▍Revenue €835.9M, −1,8% YoY
• ▍Operating income +5,2% YoY
• ▍Net income −13,3% YoY
• ▍Free cash flow −60,7% YoY
• ▍Net margin 4.1%

Revenue €851.1M, +52,8% YoY; Operating income +115,7% YoY.

• ▍Revenue €851.1M, +52,8% YoY
• ▍Operating income +115,7% YoY
• ▍Net income +109,5% YoY
• ▍Free cash flow −332,7% YoY
• ▍Net margin 4.6%