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Sesa S.p.A.
(SES)
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Rating:68Neutral
Price Target:
€104.00
▲(14.35% Upside)
Action:Reiterated
Date:09/17/26
The score is driven primarily by solid financial performance (strong growth and cash generation, partially offset by thin margins and leverage) and a constructive earnings outlook with confirmed FY2027 guidance and positive operating momentum. Technical signals are neutral and valuation is mid-range with a modest dividend yield, limiting upside conviction from price/valuation alone.
Positive Factors
Organic growth and guidance
Organic revenue and EBITDA growth, together with confirmed FY2027 targets, indicate durable demand and operating momentum. Management expects revenue, EBITDA and adjusted earnings to keep expanding, supporting continued investment and strengthening Sesa’s position in a growing digital market.
Negative Factors
Thin profitability
A net margin of roughly 2–3% leaves limited room to absorb pricing pressure, higher direct costs or execution setbacks. Even with strong revenue growth, small changes in gross margin or operating expenses could materially affect earnings and reduce the durability of profit expansion.
Read all positive and negative factors
Positive Factors
Negative Factors
Organic growth and guidance
Organic revenue and EBITDA growth, together with confirmed FY2027 targets, indicate durable demand and operating momentum. Management expects revenue, EBITDA and adjusted earnings to keep expanding, supporting continued investment and strengthening Sesa’s position in a growing digital market.
Read all positive factors
Sesa S.p.A. (SES) vs. iShares MSCI Italy ETF (EWI)
Market Cap
€1.48B
Dividend Yield1.4%
Average Volume (3M)27.17K
Price to Earnings (P/E)19.8
Beta (1Y)1.11
Revenue Growth10.60%
EPS Growth18.44%
CountryIT
Employees6,775
SectorGeneral
Sector StrengthN/A
IndustryInformation Technology Services
Share Statistics
EPS (TTM)4.80
Shares Outstanding15,494,590
10 Day Avg. Volume19,242
30 Day Avg. Volume27,174
Financial Highlights & Ratios
PEG Ratio0.98
Price to Book (P/B)2.82
Price to Sales (P/S)0.36
P/FCF Ratio8.32
Enterprise Value/Market CapN/A
Enterprise Value/RevenueN/A
Enterprise Value/Gross ProfitN/A
Enterprise Value/EbitdaN/A
Forecast
1Y Price Target
€127.50Price Target Upside40.19% Upside
Rating ConsensusModerate Buy
Number of Analyst Covering2
EPS Forecast (FY)7.7
Revenue Forecast (FY)€3.86B
Sesa S.p.A. Business Overview & Revenue Model
Company Description
SeSa S.p.A., through its various operating companies, specializes in the distribution of advanced information technology (IT) products and solutions, serving markets both within Italy and internationally. Its Software and System Integration divisi...
How the Company Makes Money
Sesa makes money mainly by selling and implementing information-technology products and services through a mix of distribution and higher value-added service businesses. A core revenue stream is value-added IT distribution: Sesa purchases technolo...
Sesa S.p.A. Earnings Call Summary
Earnings Call Date:Sep 14, 2026
(Q1-2027)
| % Change Since: |
Next Earnings Date:Dec 17, 2026
Earnings Call Sentiment Positive
The call conveyed a clearly positive tone. SeSa reported fully organic revenue and EBITDA growth, double-digit growth in ICT VAS, Green VAS and Business Services, improving profitability, strong cash generation, a stronger shareholder-return program and confirmed FY 2027 guidance. The main challenges were the Software and System Integration revenue decline and continued exposure to higher interest costs, but management expects Software and System Integration to return to growth from Q2 FY 2027.Positive Updates
Solid Organic Revenue and EBITDA Growth
First-quarter consolidated revenue and other income reached EUR 900 million, up 6.5% year-on-year and fully organic. Consolidated EBITDA was EUR 65 million, up 7.6% year-on-year, with the EBITDA margin at 7.23%, slightly improving compared with the same period last year.
Negative Updates
Software and System Integration Revenue Decline
Software and System Integration revenue was about EUR 230 million, down 3% year-on-year, reflecting the disposal of selected nonstrategic assets completed during FY 2026 and the ongoing organizational reengineering process.
Read all updates
Q1-2027 Updates
Positive
Negative
Solid Organic Revenue and EBITDA Growth
First-quarter consolidated revenue and other income reached EUR 900 million, up 6.5% year-on-year and fully organic. Consolidated EBITDA was EUR 65 million, up 7.6% year-on-year, with the EBITDA margin at 7.23%, slightly improving compared with the same period last year.
Read all positive updates
Company Guidance
SeSa confirmed full year 2027 guidance of revenue growth in the range of 5% to 7.5%, targeting EUR 3.8 billion to EUR 3.9 billion, EBITDA growth in the range between 5% to 10%, targeting EUR 274 million to EUR 287 million and adjusted group EAT growth in the range of 7.5% to 12.5% targeting EUR 115 million to EUR 119 million; Software and System Integration is expected to return to growth starting from Q2 2027, with an estimate of low single-digit growth, both in revenues and profitability, while Business Services is expected to confirm the good marginality ratio in terms of EBITDA achieved in Q1 and maybe to be able to increase quarter-by-quarter, Green VAS is expected to sustain 6% EBITDA margin and 3.5% net profitability of revenues, and the Italian digital market is expected to grow by around 3.5% per year through 2029, with SeSa continuing to grow at around twice the expected market rate.Sesa S.p.A. Financial Statement Overview
Summary
Income Statement
67
Positive
Balance Sheet
58
Neutral
Cash Flow
72
Positive
| Breakdown | TTM | Apr 2026 | Apr 2025 | Apr 2024 | Apr 2023 | Apr 2022 |
|---|---|---|---|---|---|---|
Income Statement | ||||||
| Total Revenue | 3.62B | 3.57B | 3.21B | 3.16B | 2.87B | 2.36B |
| Gross Profit | 120.80M | 430.20M | 389.57M | 226.10M | 205.88M | 167.83M |
| EBITDA | 239.66M | 252.93M | 235.04M | 233.45M | 201.26M | 159.32M |
| Net Income | 73.52M | 71.69M | 62.20M | 78.27M | 84.45M | 73.52M |
Balance Sheet | ||||||
| Total Assets | 2.35B | 2.33B | 2.24B | 2.12B | 1.92B | 1.22B |
| Cash, Cash Equivalents and Short-Term Investments | 532.47M | 584.05M | 576.88M | 585.76M | 545.50M | 498.90M |
| Total Debt | 563.39M | 601.60M | 475.67M | 422.88M | 356.08M | 406.94M |
| Total Liabilities | 1.81B | 1.80B | 1.74B | 1.64B | 1.50B | 920.18M |
| Stockholders Equity | 481.61M | 460.25M | 445.92M | 429.58M | 374.93M | 315.44M |
Cash Flow | ||||||
| Free Cash Flow | 163.64M | 155.85M | 60.14M | 98.57M | 78.96M | 120.89M |
| Operating Cash Flow | 213.31M | 219.25M | 117.23M | 137.62M | 115.45M | 147.89M |
| Investing Cash Flow | -153.88M | -128.66M | -114.91M | -103.75M | -85.19M | -37.76M |
| Financing Cash Flow | -25.91M | -76.24M | -17.83M | 6.10M | 10.94M | -51.93M |
Sesa S.p.A. Technical Analysis
Positive
90.95
Price Trends
93.94
Positive
93.72
Positive
88.69
Positive
Market Momentum
0.11
Positive
53.47
Neutral
59.26
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IT:SES, the sentiment is Positive. The current price of 90.95 is below the 20-day moving average (MA) of 94.54, below the 50-day MA of 93.94, and above the 200-day MA of 88.69, indicating a bullish trend. The MACD of 0.11 indicates Positive momentum. The RSI at 53.47 is Neutral, neither overbought nor oversold. The STOCH value of 59.26 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for IT:SES.
Sesa S.p.A. Peers Comparison
UnderperformOutperform
Sector (55)
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
79 Outperform | €4.73B | 18.66 | 17.20% | 1.05% | 6.01% | 10.21% | |
68 Neutral | €1.48B | 19.77 | 16.11% | 1.40% | 10.60% | 18.44% | |
64 Neutral | €275.31M | 36.48 | ― | 0.45% | ― | ― | |
63 Neutral | €387.45M | 18.23 | 5.61% | 4.39% | 5.37% | -0.73% | |
55 Neutral | $6.65B | 3.83 | -15.92% | 6.20% | 10.91% | 7.18% |
* General Sector Average
IT:SES
Sesa S.p.A.
94.90
13.32
16.32%
IT:PRT
Esprinet Spa
7.97
2.44
44.10%
IT:REY
Reply SPA
128.60
11.93
10.23%
IT:SYS
Sys-dat S.P.A.
8.92
3.21
56.11%
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.