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Veolia Environnement (VEOEY)
OTHER OTC:VEOEY
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Veolia Environnement (VEOEY) AI Stock Analysis

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VEOEY

Veolia Environnement

(OTC:VEOEY)

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Neutral 58 (OpenAI - 5.2)
Rating:58Neutral
Price Target:
$21.00
▲(6.38% Upside)
Action:Reiterated
Date:07/31/26
The score is held back mainly by financial risk factors—especially the sharp leverage increase and volatile/free cash flow decline—despite improving profitability. Offsetting this, the latest earnings call was constructive with upgraded 2026 guidance and continued margin expansion, while valuation is supported by a strong dividend yield. Technically, the stock shows weaker near-term trend (below 20/50-day averages) despite remaining above the 200-day average.
Positive Factors
Recurring essential-service business
Water, waste and energy services are essential and often delivered under long-term contracts. This supports revenue visibility, customer retention and resilience across economic cycles, although tender outcomes and performance obligations remain important.
Negative Factors
Sharp leverage increase
The materially more leveraged capital structure reduces financial flexibility and increases sensitivity to interest costs, acquisitions and execution setbacks. Deleveraging or asset disposals may be needed to restore balance-sheet resilience.
Read all positive and negative factors
Positive Factors
Negative Factors
Recurring essential-service business
Water, waste and energy services are essential and often delivered under long-term contracts. This supports revenue visibility, customer retention and resilience across economic cycles, although tender outcomes and performance obligations remain important.
Read all positive factors

Veolia Environnement (VEOEY) vs. SPDR S&P 500 ETF (SPY)

Veolia Environnement Business Overview & Revenue Model

Company Description
Veolia Environnement SA designs and provides water, waste, and energy management solutions. It operates through France and Hazardous Waste Europe; Europe; Americas, Asia Pacific, Africa Middle-East; Water Technologies; and Other segments. The comp...
How the Company Makes Money
Veolia makes money primarily by providing contracted environmental services and operating infrastructure for public-sector and industrial customers, generating recurring revenue from long-term service agreements and usage-based fees. Its core reve...

Veolia Environnement Earnings Call Summary

Earnings Call Date:Jul 30, 2026
(Q2-2026)
|
% Change Since: |
Next Earnings Date:Nov 05, 2026
Earnings Call Sentiment Positive
The call presented a predominantly positive picture: Veolia delivered solid H1 results with revenue growth, notable EBITDA and margin expansion, strong current net income growth (+10.4%), improved net free cash flow and an upgraded full-year net income guidance (at least +8% including Clean Earth). Strategic moves — Clean Earth acquisition, continued asset rotation (~EUR 8–8.5bn over 4 years), booster/technology momentum (orders in MicroE, PFAS and data center solutions) and recurring efficiencies (EUR 195m in H1) — reinforce the constructive outlook. Key near-term headwinds include Water Technologies project delays tied to Middle East disruptions, temporary margin pressure from higher fuel/chemical costs (with pass-through lags), elevated net debt following M&A, and integration/non-current costs from Clean Earth. Management expects most negative effects to be temporary and to be offset by operational actions and indexation in H2, supporting the upgraded guidance and confidence in the mid/long-term trajectory.
Positive Updates
Revenue Growth
H1 revenue of EUR 22.193 billion (reported as EUR 22.2bn), up +1.5% at current FX (excluding energy prices). Organic revenue growth supported by municipal water, district cooling traction and strong regional performance outside Europe.
Negative Updates
Water Technologies Project Delays
Water Technologies revenue was slightly down in H1 due to booking and milestone delays tied to the Middle East crisis (e.g., desalination and oil & gas effluent projects). Management expects recovery in H2 but H1 growth was impacted.
Read all updates
Q2-2026 Updates
Negative
Revenue Growth
H1 revenue of EUR 22.193 billion (reported as EUR 22.2bn), up +1.5% at current FX (excluding energy prices). Organic revenue growth supported by municipal water, district cooling traction and strong regional performance outside Europe.
Read all positive updates
Company Guidance
Management raised 2026 guidance: they now target current net income growth of at least +8% (explicitly including Clean Earth) with organic EBITDA growth of 5–6% and continued organic revenue growth excluding energy prices. H1 underpinned the move (revenue €22.2bn, +1.5% excl. energy; EBITDA €3.552bn, +5% at constant scope/FX; EBITDA margin +70bps to 16%; current net income +10.4%); net debt stands at €24.5bn (post‑Clean Earth) with year‑end leverage at ~or slightly above 3x. They reiterated delivery of €2bn disposals by mid‑2028 (≈€500m expected signed in 2026), confirmed cost‑of‑debt guidance ~€800m (other financial charges <€300m), a stable tax rate of 25.8%, ForEx now estimated around -€50m (vs. -€100m at the start of the year), and that the Clean Earth PPA (≈€15m est.) will be treated as non‑current while $120m of synergies are targeted by year 4.

Veolia Environnement Financial Statement Overview

Summary
Profitability has improved (EBIT margin ~8.4% and net margin ~2.7% in 2025), but revenue momentum is weak (2025 down ~4%). Balance-sheet risk is the main drag with a sharp leverage increase (debt-to-equity ~4.7x in 2025). Operating cash flow is consistently positive, yet free cash flow is volatile and fell sharply in 2025 (~-72%), limiting near-term flexibility.
Income Statement
64
Positive
Balance Sheet
38
Negative
Cash Flow
47
Neutral
BreakdownTTMDec 2025Dec 2024Dec 2023Dec 2022Dec 2021
Income Statement
Total Revenue44.82B42.64B44.69B45.35B42.89B28.51B
Gross Profit7.95B7.51B7.77B7.50B7.11B4.58B
EBITDA6.75B6.32B6.02B5.86B5.14B3.44B
Net Income1.21B1.17B1.10B937.00M716.00M404.30M
Balance Sheet
Total Assets74.61B70.64B72.96B72.57B73.30B53.08B
Cash, Cash Equivalents and Short-Term Investments7.28B8.02B11.76B10.79B10.86B11.96B
Total Debt37.51B33.33B19.96B20.46B28.58B21.04B
Total Liabilities64.86B61.21B57.65B57.86B61.93B42.77B
Stockholders Equity7.13B7.02B12.91B12.31B12.26B11.52B
Cash Flow
Free Cash Flow1.40B1.40B5.04B1.86B855.50M1.28B
Operating Cash Flow4.50B4.34B5.04B5.00B3.64B3.01B
Investing Cash Flow-5.67B-3.27B-2.12B-2.12B4.52B-850.60M
Financing Cash Flow994.71M-2.51B-1.86B-3.14B-10.17B2.29B

Veolia Environnement Technical Analysis

Technical Analysis Sentiment
Negative
Last Price19.74
Price Trends
50DMA
20.18
Negative
100DMA
20.23
Negative
200DMA
19.09
Negative
Market Momentum
MACD
-0.46
Positive
RSI
30.12
Neutral
STOCH
3.84
Positive
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For VEOEY, the sentiment is Negative. The current price of 19.74 is above the 20-day moving average (MA) of 19.38, below the 50-day MA of 20.18, and above the 200-day MA of 19.09, indicating a bearish trend. The MACD of -0.46 indicates Positive momentum. The RSI at 30.12 is Neutral, neither overbought nor oversold. The STOCH value of 3.84 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for VEOEY.

Veolia Environnement Peers Comparison

Overall Rating
UnderperformOutperform
Sector (63)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
74
Outperform
$68.20B31.3918.27%1.15%3.21%4.30%
72
Outperform
$16.74B38.3515.64%5.07%15.63%
71
Outperform
$87.53B30.7228.92%1.70%7.17%4.68%
63
Neutral
$10.79B15.437.44%2.01%2.89%-14.66%
59
Neutral
$5.95B987.880.36%13.59%-50.47%
58
Neutral
$27.17B19.0217.55%4.88%7.13%20.46%
57
Neutral
$396.78M-16.79-40.97%-4.73%0.30%
* Industrials Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
VEOEY
Veolia Environnement
18.58
2.12
12.85%
CWST
Casella Waste
92.07
-0.70
-0.75%
CLH
Clean Harbors
317.13
80.63
34.09%
PESI
Perma-Fix
18.97
8.94
89.13%
RSG
Republic Services
221.63
-4.83
-2.13%
WM
Waste Management
217.78
2.08
0.96%
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: Jul 31, 2026