Novem Group SA (NVM) AI Stock Analysis

5 Followers

Novem Group SA

(XETRA:NVM)

Select Model

Rating:46Neutral

Price Target:EUR 2.00▼(-7.41% Downside)

Action:reiterated

Date:11/07/26

The score is held back primarily by weak profitability trends and elevated leverage risk, despite resilient free cash flow. Technical indicators also point to a sustained downtrend with oversold momentum. Valuation is difficult to assess meaningfully because earnings are negative and no dividend yield is available.

Positive Factors

Positive Free Cash FlowConsistently positive operating and free cash flow provides an internal source of funding for operations, investment, and debt service. Strong TTM free cash flow growth improves financial resilience and gives management more flexibility even while reported earnings remain weak.

Negative Factors

Profitability DeteriorationThe sharp decline from earlier profitability to a low operating margin and slightly negative net result weakens earnings quality and internal funding capacity. Persistent margin pressure could constrain reinvestment, reduce returns, and make recovery dependent on operational improvement.

Novem Group SA (NVM) vs. iShares MSCI Germany ETF (EWG)

Market Cap: EUR 92.95M
Dividend Yield: ―
Average Volume (3M): 24.65K
Price to Earnings (P/E): -35.5
Beta (1Y): 0.19
Revenue Growth: -2.97%
EPS Growth: -111.12%
Country: Germany
Employees: 4,082
Sector: Consumer Cyclical
Sector Strength: 61
Industry: Auto - Parts

Novem Group SA Business Overview & Revenue Model

Company Description

Novem Group S.A. specializes in the design and delivery of decorative and functional interior trim components for the global automotive industry. Their extensive product range features items such as instrument panels, robust center console trim piece...

Novem Group SA Financial Statement Overview

Summary

Financials are mixed: cash flow is a clear strength (solid and consistently positive free cash flow, strong TTM FCF growth), but profitability has deteriorated materially (low TTM operating margin and slightly negative net results). Balance-sheet risk is significant due to elevated leverage (debt well above equity historically), even though leverage has improved recently.

Income Statement

46Neutral

Balance Sheet

38Negative

Cash Flow

72Positive

Financial statement breakdown
Breakdown	TTM	Mar 2025	Mar 2024	Mar 2023	Mar 2023	Mar 2022
Income Statement
Total Revenue	514.60M	510.93M	541.46M	700.30M	635.51M	614.63M
Gross Profit	204.29M	249.49M	271.45M	338.12M	97.24M	316.10M
EBITDA	51.42M	68.78M	77.08M	113.05M	99.69M	100.84M
Net Income	-2.81M	11.25M	11.13M	49.98M	34.78M	43.97M
Balance Sheet
Total Assets	459.50M	554.09M	568.07M	638.01M	616.21M	594.04M
Cash, Cash Equivalents and Short-Term Investments	82.20M	175.22M	150.10M	165.47M	141.51M	116.97M
Total Debt	157.10M	287.28M	298.34M	257.31M	257.21M	283.95M
Total Liabilities	359.20M	459.37M	474.13M	530.75M	526.32M	526.39M
Stockholders Equity	100.30M	94.72M	93.94M	107.26M	89.89M	67.66M
Cash Flow
Free Cash Flow	43.58M	44.16M	23.83M	80.39M	36.66M	61.95M
Operating Cash Flow	55.57M	56.58M	41.35M	98.33M	52.75M	80.54M
Investing Cash Flow	-11.25M	-8.43M	-12.85M	-13.78M	-10.02M	-15.49M
Financing Cash Flow	-104.56M	-23.18M	-18.70M	-35.55M	-60.86M	-124.89M

Novem Group SA Technical Analysis

Technical Analysis SentimentPositive

Last Price2.16

Price Trends

50DMA2.11Positive

100DMA2.32Negative

200DMA2.52Negative

Market Momentum

MACD-0.03Negative

RSI60.51Neutral

STOCH100.00Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For DE:NVM, the sentiment is Positive. The current price of 2.16 is above the 20-day moving average (MA) of 1.99, above the 50-day MA of 2.11, and below the 200-day MA of 2.52, indicating a neutral trend. The MACD of -0.03 indicates Negative momentum. The RSI at 60.51 is Neutral, neither overbought nor oversold. The STOCH value of 100.00 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for DE:NVM.

Novem Group SA Peers Comparison

Overall Rating

UnderperformOutperform

Sector (61)

Financial Indicators

DE:NVM against its peers
Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
DE:ZIL2	67Neutral	EUR 391.56M	11.38	5.53%	2.42%	5.65%	―
Sector *	61Neutral	$18.38B	12.79	-2.54%	3.03%	1.52%	-15.83%
DE:PWO	56Neutral	EUR 62.50M	23.29	1.63%	8.17%	-6.65%	-75.87%
DE:BDT	51Neutral	EUR 80.44M	-1.63	-16.20%	―	-14.82%	44.17%
DE:GMM	51Neutral	EUR 126.65M	6.38	9.76%	―	1.82%	13.67%
DE:NVM	46Neutral	EUR 90.36M	-35.47	-2.92%	―	-2.97%	-111.12%
DE:ED4	38Underperform	EUR 122.06M	-4.89	-12.07%	―	-10.23%	-8.88%

* Consumer Cyclical Sector Average

Performance Comparison

DE:NVM and its peers over the selected period
Ticker	Company Name	Price	Change	% Change
DE:NVM	Novem Group SA	2.16	-0.80	-27.03%
DE:BDT	Bertrandt AG	7.76	-11.24	-59.16%
DE:ED4	EDAG Engineering	2.82	-3.64	-56.35%
DE:ZIL2	ElringKlinger AG	6.19	2.23	56.47%
DE:GMM	Grammer AG	8.20	1.95	31.20%
DE:PWO	Progress Werk Oberkirch	20.20	-7.00	-25.74%

Glossary

BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.

Date of analysis: Nov 06, 2026

Novem Group SA AI Stock Analysis