Nexi Fundamental: A Detailed Analysis of Financials and Solvency Due Diligence

Nexi Fundamental is a crucial aspect of evaluating the company's financial health and stability. Nexi's revenue has been steadily increasing, reaching €1.4 billion in 2020.

Their profit margins have also shown a significant improvement, with a net income of €120 million in 2020. This growth indicates a solid financial foundation for the company.

Nexi's solvency ratio is a key indicator of their ability to meet their short-term obligations. As of 2020, their solvency ratio stood at 23.4%, indicating a robust financial position.

Their debt-to-equity ratio is also a vital metric, currently standing at 1.3, which suggests a manageable level of debt. This ratio is a crucial factor in assessing Nexi's financial health and stability.

The intrinsic value of Nexi SpA is a crucial aspect of understanding the company's fundamental value.

The intrinsic value of one NEXI stock under the Base Case scenario is 12.328EUR.

Compared to the current market price of 4.686 EUR, Nexi SpA is undervalued by 62%.

This significant undervaluation suggests that the market price does not accurately reflect the company's true worth.

The intrinsic value is calculated as the average of DCF and Relative values.

Nexi's financial analysis reveals a strong revenue growth, with a compound annual growth rate (CAGR) of 30% over the past three years.

The company's revenue increased from €1.2 billion in 2020 to €1.8 billion in 2022, driven by the expansion of its payment services and partnerships with major banks.

Nexi's profitability has also improved, with a net income margin of 15% in 2022, up from 10% in 2020.

Understanding the Valuation History of your investments is crucial to making informed decisions.

A stock's valuation can fluctuate over time, and knowing how it compares to historical averages can help you gauge its true investment potential.

In fact, a recent analysis of Nexi SpA's valuation history revealed that the stock is trading at its lowest valuation over the past 5 years.

This means that the current price may be an opportunity to buy in at a discounted rate.

It's essential to consider the valuation history of your stocks to avoid overpaying or underpaying for a particular investment.

By analyzing historical valuations, you can make more informed decisions about when to buy, hold, or sell your stocks.

The Earnings Waterfall is a crucial part of financial analysis, and it's essential to understand how to read it. Here, we have an example of Nexi SpA's Earnings Waterfall.

Revenue for Nexi SpA was a significant 5.6 billion EUR.

The Cost of Revenue was a substantial 2.4 billion EUR, which means Nexi SpA spent a lot on producing its products or services.

Gross Profit, which is Revenue minus Cost of Revenue, was 3.2 billion EUR, indicating that Nexi SpA made a profit from its sales.

Operating Expenses were a whopping 4.2 billion EUR, which is a major expense for the company.

As a result, Nexi SpA's Operating Income was a loss of 952.7 million EUR.

Other Expenses added to the company's losses, amounting to 118.3 million EUR.

Net Income, the final figure in the Earnings Waterfall, was a significant loss of 1.1 billion EUR.

Here's a breakdown of the Earnings Waterfall:

Nexi SpA's profitability score is 45/100, a relatively low score indicating the company may not be as profitable as others in the industry.

A higher profitability score means a company is more profitable, so investors may want to look for companies with scores above 45.

The Profitability Due Diligence of Nexi SpA's profitability score suggests a need for improvement in the company's financial management.

In this case, Nexi SpA's profitability score is a clear indicator of its financial health, and investors may want to consider this when making investment decisions.

Nexi SpA's solvency score is a key indicator of the company's financial stability, with a score of 32/100 indicating a relatively low level of solvency.

The lower solvency score suggests that Nexi SpA may struggle to meet its financial obligations, which could pose a risk to investors and other stakeholders.

This score is a result of the company's solvency due diligence, which assesses its ability to pay its debts and meet its financial commitments.

The balance sheet decomposition of Nexi SpA reveals some interesting facts about its financial situation. The company has a total of 26.7 billion euros in non-current assets.

This is broken down into long-term investments of 206.4 million euros, property, plant, and equipment (PP&E) of 526.2 million euros, intangibles of 16.4 billion euros, and other non-current assets of 9.6 billion euros.

The company's non-current liabilities also add up to 8 billion euros, which is comprised of long-term debt of 4 billion euros and other non-current liabilities of 4 billion euros.

Here are the details of Nexi SpA's current assets and liabilities:

These numbers indicate that Nexi SpA has a significant amount of current liabilities compared to its current assets, which could be a potential risk for the company.

Solvency Due Diligence is a crucial step in understanding a company's financial health. NEXI SpA's solvency score is a telling indicator of this, coming in at 32/100.

The higher the solvency score, the more solvent the company is. This means that a higher score is generally a good sign, indicating that the company has a more stable financial situation.

A low solvency score, like NEXI SpA's, can be a red flag, suggesting potential financial difficulties down the line. It's essential to keep this in mind when evaluating a company's overall financial health.

Nexi SpA shows strong earnings growth anticipated by analysts, with a high EBITDA/Sales ratio resulting in high margins before depreciation, amortization, and taxes.

Their share price in relation to net book value makes them look relatively cheap, and positive cash flows generated by their business support their valuation level.

Analysts are confident in the group's activity, having revised upwards their earnings per share estimates, and mostly recommend stock overweighting or purchase.

The average target price set by analysts covering the stock is above current prices, offering a tremendous appreciation potential, ranging from 4.798 EUR to 9.45 EUR.

Let's take a closer look at the weaknesses of Nexi S.p.A. One of the major weak points of the company is its financial situation.

The company's financial struggles are evident in the analysts' average price target, which has been revised downwards significantly over the past four months. This indicates a lack of confidence in the company's ability to perform well financially.

The analysts' differing price targets also suggest a difficulty in valuing the company, which can be a major concern for investors. Their assessments vary significantly, making it hard to determine a reliable value for the company.

The company's earnings releases often do not meet expectations, which can lead to further financial struggles and a decrease in investor confidence. This can create a vicious cycle that's difficult to break.

Here are some key statistics that highlight the company's financial struggles:

In the world of stock market analysis, consensus plays a significant role in determining a stock's value.

The consensus on Nexi S.p.A, as seen in the ratings, is a crucial factor to consider.

Nexi S.p.A has been assigned ratings, which can be a useful indicator of its financial health and performance.

Here are the key areas where consensus is relevant:

By looking at these areas, we can gain a better understanding of the consensus surrounding Nexi S.p.A.

Nexi's financing options are designed to meet the unique needs of its users.

The company offers a range of payment plans, including installment payments, allowing users to pay for their purchases over time.

This flexibility is particularly useful for big-ticket items, making it easier to manage finances.

Nexi's financing options also come with competitive interest rates, helping users save money on interest charges.

For example, a user who purchases a $1,000 item with a 6-month installment plan might pay around $167 per month.