Kontron AG
Kontron maintains a market price of 26.11 EUR, with a market capitalization of 1.64 billion EUR. The company's price-to-earnings ratio is 11.61, and its price-to-book ratio is 2.21, indicating a moderate valuation relative to its book value. The enterprise value to EBITDA ratio is 13.15, and the enterprise value to revenue ratio is 1.33, suggesting a relatively low valuation compared to its revenue. In terms of profitability, Kontron reports a return on equity of 19.03% and a return on assets of 7.9%, both of which are strong indicators of efficient capital use and asset management. The company's operating income of 163.03 million EUR and net income of 141.11 million EUR reflect a healthy margin, although the gross profit margin of 44.87% is in line with industry norms. Geographically, Kontron's revenue is concentrated in its core IT services and consulting segments, with no significant diversification across regions or product lines disclosed in the available data. The company's capital structure includes 504.80 million EUR in long-term debt and 741.55 million EUR in total equity, resulting in a debt-to-equity ratio of 0.68, which is relatively balanced. Looking ahead, Kontron is projected to maintain a stable growth trajectory, with no significant changes in revenue expected in the next fiscal year. The company's free cash flow of 92.45 million EUR and operating cash flow of 167.69 million EUR support its liquidity position, although the negative net cash position after subtracting total debt is a concern. Recent filings and transcripts do not indicate any major events or strategic shifts that would significantly impact Kontron's operations or financial performance in the near term. Analysts have a generally positive outlook, with a mean price target of 30.71 EUR and a median price target of 30.90 EUR, suggesting a potential upside from the current market price.
Business. Kontron AG provides IT services and consulting, primarily generating revenue through software and IT service delivery.
Classification. Kontron is classified under the Technology sector, specifically in the Software & IT Services business sector, with a confidence level of 0.92.
- Kontron's strong return on equity and operating income indicate efficient capital use and profitability.
- The company's moderate valuation metrics suggest it is reasonably priced relative to its earnings and book value.
- A balanced debt-to-equity ratio supports financial stability, although the negative net cash position is a concern.
- Analysts project a potential upside in the stock price, with a mean price target above the current market price.
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- Net cash is negative after subtracting total debt.