Vossloh (VOS) AI Stock Analysis

• Market Cap: €1.36B
• Dividend Yield: 1.49%
• Average Volume (3M): 49.74K
• Price to Earnings (P/E): 20.7
• Beta (1Y): 0.77
• Revenue Growth: -2.85%
• EPS Growth: 35.08%
• Country: DE
• Employees: 4,383
• Sector: Industrials
• Sector Strength: 88
• Industry: Railroads
• EPS (TTM): 3.41
• Shares Outstanding: 19,320,597
• 10 Day Avg. Volume: 34,942
• 30 Day Avg. Volume: 49,741
• PEG Ratio: -5.25
• Price to Book (P/B): 1.89
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 20.97
• 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: €62.00
• Price Target Upside: -12.31% Downside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 5

Vossloh's strong financial performance, characterized by solid revenue growth and robust cash flow, enhances its attractiveness. The positive technical indicators suggest moderate upward momentum, while valuation metrics indicate the stock is fairly priced with a reasonable dividend yield. These factors collectively position Vossloh well in the transportation industry.

Positive Factors

Financial Performance

Fourth quarter sales rose by 21% year-over-year to €350m with support from all segments, while Lifecycle Solutions showed the most growth with 32% year-over-year.

Guidance

The guidance for full-year growth was confirmed, with an expected 6.5% year-over-year increase, driven by future deliveries in Fastening solutions in China.

Order Growth

Both order intake and backlog show double-digit growth, which is promising for achieving the upper half of guidance.

Negative Factors

Acquisition Timeline

The timeline for the Sateba acquisition remains unchanged with closing expected in Spring 2025 due to ongoing anti-trust negotiations.

Capital Raise

Vossloh management announced a capital raise to partially finance the Sateba acquisition.

Sales Decline

Sales declined by 7% year-over-year, while EBIT decreased by 59% year-over-year, indicating a challenging start to the year.

Vossloh Business Overview & Revenue Model

Company Description

Vossloh AG is a globally operating company headquartered in Germany, specializing in rail infrastructure technology. Its core sectors include rail fastening systems, switch systems, and rail services. Vossloh provides comprehensive solutions that ensure the safety, performance, and efficiency of railway systems worldwide, catering to both high-speed and heavy-haul railways as well as urban transit networks.

How the Company Makes Money

Vossloh makes money primarily through the sale of rail infrastructure products and services. The company generates revenue from its main business units: Core Components, Customized Modules, and Lifecycle Solutions. Core Components include rail fastening systems, which are critical for the safe operation of railways. Customized Modules provide specialized track systems and switch technology. Lifecycle Solutions offer maintenance and asset management services for railway infrastructure, ensuring long-term operational reliability. Vossloh's earnings are bolstered by significant partnerships with railway operators and infrastructure companies globally, as well as by participating in large-scale infrastructure projects that require ongoing maintenance and modernization services.

Vossloh Financial Statement Overview

Summary

Vossloh demonstrates strong financial health with consistent revenue growth, improved profit margins, and robust cash flow generation. The company's balanced capital structure, evidenced by a stable equity ratio, is a positive, though debt levels should be monitored.

Income Statement

Vossloh demonstrated solid revenue growth with a consistent upward trajectory over the past years. The gross profit margin improved to 27.2% in 2024 from previous years, indicating effective cost management. Net profit margin increased significantly to 5.7% in 2024, up from 3.7% in 2023, driven by higher net income. The EBIT and EBITDA margins also showed positive trends, reflecting enhanced operational efficiency.

Balance Sheet

The company maintains a stable equity ratio of 48.7%, which suggests a balanced capital structure. However, the debt-to-equity ratio of 0.31 in 2024, while manageable, indicates a reliance on debt financing. Positive ROE of 9.5% in 2024 signals effective utilization of equity capital, although improvements in equity returns can further strengthen the financial position.

Cash Flow

Vossloh experienced a healthy growth in free cash flow, which increased by 15.4% from 2023 to 2024, indicating strong cash generation capabilities. The operating cash flow to net income ratio of 1.97 in 2024 highlights efficient cash conversion from earnings. The free cash flow to net income ratio of 1.17 suggests robust cash flow relative to net earnings, supporting future growth and debt repayment.

Breakdown
TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement		Total Revenue
1.19B	1.21B	1.21B	1.05B	942.80M	869.70M
	Gross Profit
325.10M	329.20M	316.00M	236.80M	218.00M	196.90M
	EBIT
89.50M	99.70M	95.70M	75.30M	61.40M	53.10M
	EBITDA
111.45M	164.60M	151.00M	131.70M	123.70M	125.50M
	Net Income Common Stockholders
67.00M	69.20M	44.70M	47.70M	28.20M	47.00M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
77.60M	97.30M	100.50M	80.70M	77.30M	69.40M
	Total Assets
1.39B	1.49B	1.39B	1.37B	1.29B	1.22B
	Total Debt
465.10M	253.50M	312.40M	315.70M	286.50M	419.50M
	Net Debt
390.10M	158.80M	213.00M	238.90M	211.50M	351.70M
	Total Liabilities
884.60M	738.90M	754.20M	743.70M	701.50M	802.00M
	Stockholders Equity
470.80M	726.10M	462.10M	597.90M	559.30M	398.60M
Cash Flow		Free Cash Flow
64.50M	80.70M	69.90M	26.70M	29.60M	4.10M
	Operating Cash Flow
127.50M	136.40M	137.30M	71.60M	81.30M	56.10M
	Investing Cash Flow
0.00	-49.70M	-65.40M	-44.90M	-57.90M	-3.00M
	Financing Cash Flow
0.00	-83.90M	-39.40M	-29.30M	-30.80M	-67.40M

Vossloh Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 70.70
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For DE:VOS, the sentiment is Positive. The current price of 70.7 is above the 20-day moving average (MA) of 68.10, above the 50-day MA of 63.80, and above the 200-day MA of 49.71, indicating a bullish trend. The MACD of 2.23 indicates Positive momentum. The RSI at 65.66 is Neutral, neither overbought nor oversold. The STOCH value of 61.03 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for DE:VOS.

Vossloh Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
VOS	77 Outperform	€1.36B	20.69	11.64%	1.49%	-2.85%	35.08%
SIE	75 Outperform	€176.34B	18.44	15.14%	2.33%	-0.04%	33.26%
DB1	74 Outperform	€51.20B	26.57	19.07%	1.35%	14.88%	13.32%
FIE	74 Outperform	€4.65B	30.59		1.81%	14.98%	―
Sector *	64 Neutral	$4.39B	12.06	5.17%	249.63%	4.03%	-11.04%
BAS	59 Neutral	€39.74B	53.78	2.02%	7.62%	-2.04%	2258.97%
EVK	55 Neutral	€9.19B	41.39	2.47%	5.95%	-0.72%	―