Seche Environnement (SECVY) AI Stock Analysis

• Market Cap: $627.50M
• Dividend Yield: 2.41%
• Average Volume (3M): 0.00
• Price to Earnings (P/E): 13.2
• Beta (1Y): 0.57
• Revenue Growth: 15.40%
• EPS Growth: 33.70%
• Country: US
• Employees: 7,238
• Sector: Industrials
• Sector Strength: 72
• Industry: Waste Management
• EPS (TTM): 0.45
• Shares Outstanding: 39,288,660
• 10 Day Avg. Volume: 0
• 30 Day Avg. Volume: 0
• PEG Ratio: -0.64
• Price to Book (P/B): 1.60
• Price to Sales (P/S): 0.49
• P/FCF Ratio: 4.99
• Enterprise Value/Market Cap: 3.39
• Enterprise Value/Revenue: 1.68
• Enterprise Value/Gross Profit: 2.93
• Enterprise Value/Ebitda: 10.16
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 70 Outperform
• Price Target: $17.50 ▼(-0.57% Downside)

Seche Environnement's overall stock score reflects strong financial performance and positive earnings call insights, tempered by bearish technical indicators. The company's robust cash flow and strategic focus on operational efficiency are significant strengths. However, the current market momentum and technical analysis suggest caution. The valuation is reasonable, providing a balanced investment outlook.

Seche Environnement Business Overview & Revenue Model

Company Description

Seche Environnement (SECVY) is a leading French company specializing in waste management and environmental services. The company operates in various sectors, including industrial waste treatment, hazardous waste management, and recycling solutions. SECVY offers a comprehensive range of services designed to help businesses and municipalities manage their waste efficiently while complying with environmental regulations. Core products include waste collection, sorting, treatment, and recycling services, alongside consulting for sustainable waste management practices.

How the Company Makes Money

Seche Environnement generates revenue through several key streams. Primarily, the company earns income from the treatment and disposal of industrial and hazardous waste, charging clients based on the volume and type of waste processed. Additionally, SECVY provides recycling services that contribute to its revenue, as the company can sell recovered materials back into the market. The company also benefits from consulting services, providing expertise in waste management strategies to businesses and public entities. Strategic partnerships with industries, municipalities, and government bodies further enhance SECVY's market presence and revenue, as they secure long-term contracts for waste management services. Moreover, environmental regulations and the increasing emphasis on sustainability are driving demand for SECVY's services, contributing to its overall financial performance.

Seche Environnement Financial Statement Overview

Summary

Seche Environnement demonstrates strong financial health with consistent revenue growth and robust cash flow generation. The company maintains a high gross profit margin and solid EBITDA margin, but the low net profit margin and equity ratio highlight areas for improvement. Effective leverage management and strategic focus on operational efficiency are crucial for sustaining long-term growth.

Income Statement

Seche Environnement has shown impressive revenue growth with a consistent upward trajectory over the years, reflected in a revenue growth rate of approximately 9.3% in the latest year. The company maintains strong profitability, evidenced by a high gross profit margin of 87.1% and a solid EBITDA margin of 17.7%. However, the net profit margin is relatively low at 3.0%, indicating room for improvement in operational efficiency.

Balance Sheet

The company has a manageable debt-to-equity ratio of 2.79, suggesting a balanced approach to leveraging for growth. Return on equity is reasonable at 9.8%, which reflects efficient use of shareholder capital. However, the equity ratio is somewhat low at 17.2%, indicating a higher reliance on debt financing, which could pose risks in volatile market conditions.

Cash Flow

Seche Environnement demonstrates strong cash flow management with a free cash flow growth rate of 22.0%, highlighting robust cash generation capabilities. The operating cash flow to net income ratio is favorable at 5.67, suggesting efficient conversion of income into cash. Additionally, the free cash flow to net income ratio of 3.28 further underscores the company's ability to maintain liquidity and fund operations effectively.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	1.26B	1.19B	1.09B	972.68M	790.12M	673.08M
Gross Profit	724.53M	1.04B	631.16M	561.06M	462.87M	376.25M
EBITDA	209.14M	211.03M	177.61M	164.35M	138.09M	124.97M
Net Income	43.47M	35.50M	47.83M	44.61M	28.38M	13.81M
Balance Sheet
Total Assets	2.24B	2.12B	1.59B	1.40B	1.22B	1.09B
Cash, Cash Equivalents and Short-Term Investments	338.53M	169.75M	162.47M	126.17M	172.20M	105.27M
Total Debt	1.15B	1.02B	781.85M	739.01M	671.76M	581.27M
Total Liabilities	1.67B	1.53B	1.24B	1.09B	949.92M	837.33M
Stockholders Equity	358.41M	363.75M	338.34M	310.10M	269.47M	252.93M
Cash Flow
Free Cash Flow	117.29M	116.47M	95.49M	48.26M	52.70M	54.96M
Operating Cash Flow	206.47M	201.20M	187.31M	148.12M	142.27M	121.36M
Investing Cash Flow	-305.15M	-304.35M	-168.73M	-189.48M	-117.61M	-73.24M
Financing Cash Flow	263.19M	106.20M	18.76M	-5.20M	46.96M	-30.04M

Seche Environnement Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 17.60
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For SECVY, the sentiment is Negative. The current price of 17.6 is above the 20-day moving average (MA) of 16.98, below the 50-day MA of 18.18, and below the 200-day MA of 19.61, indicating a bearish trend. The MACD of -0.51 indicates Positive momentum. The RSI at 32.82 is Neutral, neither overbought nor oversold. The STOCH value of 6.80 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for SECVY.

Seche Environnement Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
SECVY	70 Outperform	$627.50M	13.23	12.08%	2.41%	15.40%	33.70%
CLH	70 Outperform	$11.16B	28.97	14.64%	―	2.85%	-6.27%
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%
CWST	61 Neutral	$5.71B	374.95	0.98%	―	20.54%	106.35%
MEG	61 Neutral	$869.11M	―	-7.61%	―	17.78%	2.57%
NVRI	47 Neutral	$955.68M	―	-35.66%	―	-0.83%	-61.90%

Seche Environnement Corporate Events

Séché Environnement Reports Strong Financial Growth

Séché Environnement is a French company specializing in waste management and environmental services, particularly in hazardous waste and ecological transition solutions. In its latest earnings report, the company showcased strong financial performance despite challenging macroeconomic conditions. Key highlights include a 15% increase in contributed revenue to €580 million and a 34% rise in EBITDA to €118 million. The company also reported a net income increase of 99% to €16 million. Séché Environnement is pursuing strategic growth through the proposed acquisition of Groupe Flamme, which is expected to bolster its market position in hazardous waste management in France. Looking ahead, the company remains cautious due to potential external factors that may impact short-term operating margins but maintains confidence in its long-term growth prospects driven by its strong market positioning and innovation in environmental solutions.