VETOQUINOL (VETO) AI Stock Analysis

• Market Cap: €914.16M
• Dividend Yield: 1.15%
• Average Volume (3M): 5.04K
• Price to Earnings (P/E): 15.0
• Beta (1Y): 0.42
• Revenue Growth: -0.95%
• EPS Growth: 27.67%
• Country: FR
• Employees: 2,519
• Sector: Healthcare
• Sector Strength: 45
• Industry: Drug Manufacturers - Specialty & Generic
• EPS (TTM): 2.13
• Shares Outstanding: 11,881,902
• 10 Day Avg. Volume: 9,714
• 30 Day Avg. Volume: 5,040
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• 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: €91.00
• Price Target Upside: 17.72% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 0

• Rating: 72 Outperform
• Price Target: €84.00 ▲(8.67% Upside)

VETOQUINOL's strong financial performance is the most significant factor, supported by a solid balance sheet and positive cash flows. The technical analysis suggests stability, while the valuation is fair with a reasonable P/E ratio and modest dividend yield. The absence of earnings call data and corporate events did not impact the score.

Positive Factors

Strong Financial Performance

The company's robust profit margins and consistent revenue growth indicate a strong financial foundation, supporting long-term business sustainability and potential for reinvestment in growth opportunities.

Solid Balance Sheet

A solid balance sheet with low leverage risk provides financial stability and flexibility, enabling the company to withstand economic fluctuations and invest in strategic initiatives.

Positive Cash Flow Position

Stable operating cash flows ensure the company can meet its obligations and fund growth initiatives, contributing to long-term operational resilience and financial health.

Negative Factors

Moderate Revenue Growth

Moderate revenue growth suggests potential challenges in expanding market reach, which could limit the company's ability to capitalize on new opportunities and drive long-term growth.

Decrease in Free Cash Flow Growth

A decrease in free cash flow growth may hinder the company's ability to fund future investments and operations, potentially impacting its capacity to sustain long-term growth and innovation.

Slight Increase in Total Liabilities

An increase in liabilities could strain the company's financial resources, affecting its ability to invest in growth and maintain financial stability over the long term.

VETOQUINOL Business Overview & Revenue Model

Company Description

Vetoquinol SA, a veterinary pharmaceutical company, designs, develops, and sells veterinary drugs and non-medicinal products in Europe, the Americas, and the Asia Pacific region. It provides products in the areas of mobility, pain, and inflammation; dermatology, hygiene, and care; anti-parasite; udder health; infectious diseases; reproduction; behavior management; internal medicine; and cardiology-nephrology for cattle, sheep, pigs, poultry, and dogs. The company was founded in 1933 and is headquartered in Lure, France. Vetoquinol SA is a subsidiary of Soparfin SCA.

How the Company Makes Money

VETOQUINOL generates revenue primarily through the sale of its veterinary pharmaceuticals and health products. The company's revenue model is based on a diversified portfolio that includes prescription medications, over-the-counter products, and nutritional solutions for both companion animals and livestock. Key revenue streams include product sales in established markets across Europe, North America, and Asia-Pacific, as well as emerging markets where animal health is gaining attention. Significant partnerships with veterinary clinics, animal health distributors, and livestock producers also contribute to VETOQUINOL's earnings, as these collaborations enhance market reach and product accessibility. Additionally, the company invests in research and development to innovate new products, which can lead to increased sales and market share.

VETOQUINOL Financial Statement Overview

Summary

VETOQUINOL demonstrates strong financial performance with robust profitability and efficient operations. The income statement shows healthy profit margins and consistent revenue growth. The balance sheet is solid with low leverage, although a slight increase in liabilities needs monitoring. Cash flows are positive, but there is room for improvement in cash flow growth.

Income Statement

VETOQUINOL shows strong financial performance in its income statement. The gross profit margin is healthy, reflecting efficient production and service delivery. There is consistent revenue growth with a notable increase in net income, signaling robust profitability. EBIT and EBITDA margins are also solid, indicating effective operational management and cost control. However, the revenue growth rate has been moderate, highlighting the need for further expansion in market reach.

Balance Sheet

The balance sheet of VETOQUINOL is solid, characterized by a low debt-to-equity ratio, which underscores the company's prudent financial management and low leverage risk. The return on equity is commendable, showcasing effective use of shareholders' equity to generate profits. The equity ratio is strong, demonstrating a solid capital structure. Nonetheless, a slight increase in total liabilities warrants monitoring to maintain financial stability.

Cash Flow

VETOQUINOL maintains a positive cash flow position, with stable operating cash flows and a healthy free cash flow to net income ratio. The operating cash flow to net income ratio indicates efficient cash generation relative to net income. However, there has been a decrease in free cash flow growth rate, which suggests a need for enhanced cash flow management to support future investments and operations.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	539.20M	529.27M	539.78M	521.27M	427.47M
Gross Profit	387.45M	291.38M	172.37M	167.37M	123.98M
EBITDA	114.08M	112.33M	103.46M	116.86M	59.29M
Net Income	58.69M	55.56M	47.99M	62.86M	19.22M
Balance Sheet
Total Assets	744.13M	692.23M	651.85M	624.56M	646.09M
Cash, Cash Equivalents and Short-Term Investments	206.33M	147.46M	93.71M	69.00M	129.44M
Total Debt	21.12M	17.63M	17.42M	15.38M	124.86M
Total Liabilities	168.20M	165.12M	167.19M	183.21M	274.26M
Stockholders Equity	575.84M	527.01M	484.57M	441.26M	371.75M
Cash Flow
Free Cash Flow	68.15M	70.38M	39.90M	56.76M	-53.45M
Operating Cash Flow	85.83M	89.39M	62.39M	89.17M	92.01M
Investing Cash Flow	-15.65M	-18.88M	-21.52M	-33.45M	-145.14M
Financing Cash Flow	-16.03M	-15.50M	-15.60M	-120.31M	102.20M

VETOQUINOL Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 77.30
• 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 FR:VETO, the sentiment is Positive. The current price of 77.3 is above the 20-day moving average (MA) of 76.07, above the 50-day MA of 75.94, and above the 200-day MA of 73.97, indicating a bullish trend. The MACD of 0.50 indicates Positive momentum. The RSI at 49.73 is Neutral, neither overbought nor oversold. The STOCH value of 24.34 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for FR:VETO.

VETOQUINOL Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
VETO	72 Outperform	€914.16M	14.98	10.80%	1.15%	-0.95%	27.67%
IPN	70 Outperform	9.23B	20.59	8.27%	1.25%	9.57%	-34.30%
VIRP	63 Neutral	2.63B	19.55	13.93%	0.46%	6.97%	-5.59%
BOI	61 Neutral	510.67M	26.18	3.00%	4.12%	4.80%	-18.25%
VLA	58 Neutral	725.39M	-10.23	-35.96%	―	30.21%	-76.83%
MEDCL	53 Neutral	741.32M	-36.00	112.65%	―	181.43%	28.76%
Sector *	51 Neutral	$7.86B	-0.30	-43.30%	2.27%	22.53%	-2.21%