Fomento de Construcciones y Contratas (FCC) AI Stock Analysis

11 Followers

Fomento de Construcciones y Contratas

(BME:FCC)

Select Model

Rating:60Neutral

Price Target:EUR 11.50▲(7.28% Upside)

Action:reiterated

Date:08/17/26

FCC's overall score is primarily driven by its mixed financial performance, where strong revenue growth and cash flow generation are overshadowed by deteriorating bottom-line profitability. Valuation presents a premium P/E multiple offset by a healthy 4.5% dividend yield. Technical indicators reflect short-term bearish momentum, though extreme oversold conditions hint at possible price stabilization.

Positive Factors

Steady revenue growthSustained top-line growth indicates continued demand across FCC’s environmental, water, and construction activities. A growing revenue base can support scale, renewals, and investment in infrastructure and service capacity over the medium term.

Negative Factors

Material margin compressionPersistently thin profitability reduces FCC’s buffer against cost inflation, execution problems, and unfavorable project mix. Compressed operating and net margins also limit the earnings benefit from revenue growth unless pricing or efficiency improves.

Fomento de Construcciones y Contratas (FCC) vs. iShares MSCI Spain ETF (EWP)

Market Cap: EUR 5.01B
Dividend Yield: 4.66%
Average Volume (3M): 17.37K
Price to Earnings (P/E): 23.8
Beta (1Y): 0.87
Revenue Growth: 9.68%
EPS Growth: -10.60%
Country: Spain
Employees: 73,440
Sector: General
Sector Strength: 55
Industry: Waste Management

Fomento de Construcciones y Contratas Business Overview & Revenue Model

Company Description

Fomento de Construcciones y Contratas, S.A., together with its subsidiaries, provides environmental services in Europe and internationally. It operates through Environmental Services; Integrated Water Management; Construction; Concessions; Cement; an...

How the Company Makes Money

FCC makes money primarily by delivering long-term, contract-based services and projects across its main business areas. (1) Environmental Services: FCC earns revenue from municipal and commercial contracts for waste collection, street cleaning, and t...

Fomento de Construcciones y Contratas Financial Statement Overview

Summary

FCC demonstrates strong top-line expansion and robust cash flow generation, maintaining solid liquidity with a manageable debt profile. However, this is notably offset by contracting profit margins, a sharp decline in net income, and a dropping return on equity.

Income Statement

60Neutral

Balance Sheet

65Positive

Cash Flow

78Positive

Financial statement breakdown
Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	10.64B	9.70B	9.07B	8.41B	7.71B	6.66B
Gross Profit	6.26B	5.84B	5.41B	5.08B	4.91B	4.30B
EBITDA	1.43B	1.36B	1.49B	1.28B	1.19B	1.37B
Net Income	211.76M	164.37M	429.87M	589.06M	315.18M	580.13M
Balance Sheet
Total Assets	15.95B	15.80B	14.24B	16.72B	15.28B	14.24B
Cash, Cash Equivalents and Short-Term Investments	2.58B	2.99B	2.11B	1.86B	1.79B	1.66B
Total Debt	5.42B	5.73B	5.54B	5.37B	5.37B	5.34B
Total Liabilities	11.23B	11.06B	10.50B	10.57B	10.34B	9.80B
Stockholders Equity	3.41B	3.48B	2.73B	4.45B	3.39B	3.01B
Cash Flow
Free Cash Flow	471.54M	486.90M	437.97M	-66.05M	922.92M	358.85M
Operating Cash Flow	1.24B	1.20B	1.28B	785.38M	1.55B	746.25M
Investing Cash Flow	-1.08B	-1.05B	-1.30B	-962.44M	-938.04M	193.08M
Financing Cash Flow	404.25M	813.51M	234.72M	210.26M	-567.20M	-627.73M

Fomento de Construcciones y Contratas Technical Analysis

Technical Analysis SentimentPositive

Last Price10.72

Price Trends

50DMA10.55Positive

100DMA11.08Negative

200DMA10.98Negative

Market Momentum

MACD0.02Negative

RSI57.56Neutral

STOCH68.80Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For ES:FCC, the sentiment is Positive. The current price of 10.72 is above the 20-day moving average (MA) of 10.43, above the 50-day MA of 10.55, and below the 200-day MA of 10.98, indicating a neutral trend. The MACD of 0.02 indicates Negative momentum. The RSI at 57.56 is Neutral, neither overbought nor oversold. The STOCH value of 68.80 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for ES:FCC.

Fomento de Construcciones y Contratas Peers Comparison

Overall Rating

UnderperformOutperform

Sector (55)

Financial Indicators

ES:FCC against its peers
Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
ES:FER	65Neutral	EUR 39.09B	153.89	10.09%	2.51%	5.46%	-81.98%
ES:SCYR	61Neutral	EUR 3.35B	24.36	13.54%	3.06%	6.43%	35.75%
ES:FCC	60Neutral	EUR 5.01B	23.80	6.14%	4.66%	9.68%	-10.60%
ES:OHLA	58Neutral	EUR 514.27M	16.16	5.26%	―	-2.92%	―
ES:ACS	56Neutral	EUR 24.73B	23.98	19.75%	2.50%	10.46%	14.97%
Sector *	55Neutral	$6.65B	3.83	-15.92%	6.20%	10.91%	7.18%
ES:ANA	51Neutral	EUR 12.06B	33.32	7.63%	2.56%	7.62%	-56.65%

* General Sector Average

Performance Comparison

ES:FCC and its peers over the selected period
Ticker	Company Name	Price	Change	% Change
ES:FCC	Fomento de Construcciones y Contratas	10.72	0.13	1.28%
ES:ANA	Acciona SA	220.60	42.47	23.84%
ES:ACS	Actividades de Construccion y Servicios SA	93.05	16.47	21.51%
ES:FER	Ferrovial SA	55.40	2.02	3.78%
ES:OHLA	Obrascon Huarte Lain	0.37	-0.04	-9.95%
ES:SCYR	Sacyr SA	4.25	0.63	17.53%

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: Aug 17, 2026

Fomento de Construcciones y Contratas AI Stock Analysis