VERVE GROUP SE (M8G.DE) Stock Fundamental Analysis
Europe - FRA:M8G - SE0018538068 - Common Stock
3.772 EUR
+0.21 (+5.9%)
We assign a fundamental rating of 5 out of 10 to M8G. M8G was compared to 64 industry peers in the Media industry. While M8G is still in line with the averages on profitability rating, there are concerns on its financial health. M8G is not overvalued while it is showing excellent growth. This is an interesting combination.
1. Profitability
1.1 Basic Checks
M8G had positive earnings in the past year.
In the past year M8G had a positive cash flow from operations.
M8G had positive earnings in 4 of the past 5 years.
In the past 5 years M8G always reported a positive cash flow from operatings.
1.2 Ratios
With a Return On Assets value of 2.30%, M8G perfoms like the industry average, outperforming 50.70% of the companies in the same industry.
M8G has a Return On Equity (6.39%) which is in line with its industry peers.
Looking at the Return On Invested Capital, with a value of 6.61%, M8G is in the better half of the industry, outperforming 63.38% of the companies in the same industry.
M8G had an Average Return On Invested Capital over the past 3 years of 5.86%. This is below the industry average of 8.10%.
The 3 year average ROIC (5.86%) for M8G is below the current ROIC(6.61%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.3% | ||
| ROE | 6.39% | ||
| ROIC | 6.61% |
ROA(3y)1.66%
ROA(5y)1.5%
ROE(3y)4.45%
ROE(5y)4.06%
ROIC(3y)5.86%
ROIC(5y)4.68%
1.3 Margins
Looking at the Profit Margin, with a value of 6.59%, M8G is in the better half of the industry, outperforming 69.01% of the companies in the same industry.
In the last couple of years the Profit Margin of M8G has remained more or less at the same level.
M8G has a Operating Margin of 21.46%. This is amongst the best in the industry. M8G outperforms 98.59% of its industry peers.
In the last couple of years the Operating Margin of M8G has grown nicely.
M8G's Gross Margin of 105.70% is amongst the best of the industry. M8G outperforms 94.37% of its industry peers.
In the last couple of years the Gross Margin of M8G has declined.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 21.46% | ||
| PM (TTM) | 6.59% | ||
| GM | 105.71% |
OM growth 3Y22.31%
OM growth 5Y30.2%
PM growth 3Y1.14%
PM growth 5YN/A
GM growth 3Y-1.75%
GM growth 5Y-14.4%
2. Health
2.1 Basic Checks
M8G has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
Compared to 1 year ago, M8G has more shares outstanding
Compared to 5 years ago, M8G has more shares outstanding
The debt/assets ratio for M8G has been reduced compared to a year ago.
2.2 Solvency
Based on the Altman-Z score of 1.37, we must say that M8G is in the distress zone and has some risk of bankruptcy.
With a Altman-Z score value of 1.37, M8G perfoms like the industry average, outperforming 46.48% of the companies in the same industry.
M8G has a debt to FCF ratio of 5.26. This is a neutral value as M8G would need 5.26 years to pay back of all of its debts.
M8G has a Debt to FCF ratio (5.26) which is in line with its industry peers.
A Debt/Equity ratio of 1.10 is on the high side and indicates that M8G has dependencies on debt financing.
M8G has a Debt to Equity ratio (1.10) which is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.1 | ||
| Debt/FCF | 5.26 | ||
| Altman-Z | 1.37 |
ROIC/WACC0.83
WACC7.94%
2.3 Liquidity
M8G has a Current Ratio of 0.79. This is a bad value and indicates that M8G is not financially healthy enough and could expect problems in meeting its short term obligations.
M8G's Current ratio of 0.79 is on the low side compared to the rest of the industry. M8G is outperformed by 61.97% of its industry peers.
M8G has a Quick Ratio of 0.79. This is a bad value and indicates that M8G is not financially healthy enough and could expect problems in meeting its short term obligations.
M8G has a Quick ratio of 0.79. This is comparable to the rest of the industry: M8G outperforms 40.85% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.79 | ||
| Quick Ratio | 0.79 |
3. Growth
3.1 Past
M8G shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -39.31%.
M8G shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 10.52% yearly.
The Revenue has grown by 35.72% in the past year. This is a very strong growth!
The Revenue has been growing by 39.11% on average over the past years. This is a very strong growth!
EPS 1Y (TTM)-39.31%
EPS 3Y10.52%
EPS 5YN/A
EPS Q2Q%125%
Revenue 1Y (TTM)35.72%
Revenue growth 3Y20.12%
Revenue growth 5Y39.11%
Sales Q2Q%46.11%
3.2 Future
Based on estimates for the next years, M8G will show a very strong growth in Earnings Per Share. The EPS will grow by 40.10% on average per year.
M8G is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 13.98% yearly.
EPS Next Y100%
EPS Next 2Y57.48%
EPS Next 3Y40.1%
EPS Next 5YN/A
Revenue Next Year24.8%
Revenue Next 2Y16.8%
Revenue Next 3Y13.98%
Revenue Next 5YN/A
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
Although the future Revenue growth is still strong, it is not able to hold up the even more excellent growth rate of the past years.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 18.86, M8G is valued on the expensive side.
Compared to the rest of the industry, the Price/Earnings ratio of M8G is on the same level as its industry peers.
Compared to an average S&P500 Price/Earnings ratio of 27.41, M8G is valued a bit cheaper.
The Price/Forward Earnings ratio is 9.34, which indicates a very decent valuation of M8G.
M8G's Price/Forward Earnings ratio is a bit cheaper when compared to the industry. M8G is cheaper than 77.46% of the companies in the same industry.
Compared to an average S&P500 Price/Forward Earnings ratio of 22.87, M8G is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 18.86 | ||
| Fwd PE | 9.34 |
4.2 Price Multiples
M8G's Enterprise Value to EBITDA is on the same level as the industry average.
M8G's Price/Free Cash Flow ratio is a bit cheaper when compared to the industry. M8G is cheaper than 69.01% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 7.48 | ||
| EV/EBITDA | 7.34 |
4.3 Compensation for Growth
M8G's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
The decent profitability rating of M8G may justify a higher PE ratio.
A more expensive valuation may be justified as M8G's earnings are expected to grow with 40.10% in the coming years.
PEG (NY)0.19
PEG (5Y)N/A
EPS Next 2Y57.48%
EPS Next 3Y40.1%
5. Dividend
5.1 Amount
M8G does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
FRA:M8G (5/7/2025, 7:00:00 PM)
3.772
+0.21 (+5.9%)
Chartmill FA Rating
GICS SectorCommunication Services
GICS IndustryGroupMedia & Entertainment
GICS IndustryMedia
Earnings (Last)
Earnings (Next)
Inst Owners22.61%
Inst Owner ChangeN/A
Ins Owners27.7%
Ins Owner ChangeN/A
Market Cap706.01M
Analysts85
Price Target4.59 (21.69%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-20.08%
Min EPS beat(2)-25.04%
Max EPS beat(2)-15.13%
EPS beat(4)1
Avg EPS beat(4)-1.81%
Min EPS beat(4)-88.86%
Max EPS beat(4)121.78%
EPS beat(8)N/A
Avg EPS beat(8)N/A
EPS beat(12)N/A
Avg EPS beat(12)N/A
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)2
Avg Revenue beat(2)9.31%
Min Revenue beat(2)2.06%
Max Revenue beat(2)16.56%
Revenue beat(4)4
Avg Revenue beat(4)7.26%
Min Revenue beat(4)1.12%
Max Revenue beat(4)16.56%
Revenue beat(8)N/A
Avg Revenue beat(8)N/A
Revenue beat(12)N/A
Avg Revenue beat(12)N/A
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)-10.41%
PT rev (3m)2.31%
EPS NQ rev (1m)0%
EPS NQ rev (3m)N/A
EPS NY rev (1m)0%
EPS NY rev (3m)-1.48%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)0.68%
Revenue NY rev (3m)2.09%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 18.86 | ||
| Fwd PE | 9.34 | ||
| P/S | 1.62 | ||
| P/FCF | 7.48 | ||
| P/OCF | 5.15 | ||
| P/B | 1.57 | ||
| P/tB | N/A | ||
| EV/EBITDA | 7.34 |
EPS(TTM)0.2
EY5.3%
EPS(NY)0.4
Fwd EY10.71%
FCF(TTM)0.5
FCFY13.38%
OCF(TTM)0.73
OCFY19.4%
SpS2.33
BVpS2.41
TBVpS-2.86
PEG (NY)0.19
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.3% | ||
| ROE | 6.39% | ||
| ROCE | 9.88% | ||
| ROIC | 6.61% | ||
| ROICexc | 7.92% | ||
| ROICexgc | N/A | ||
| OM | 21.46% | ||
| PM (TTM) | 6.59% | ||
| GM | 105.71% | ||
| FCFM | 21.61% |
ROA(3y)1.66%
ROA(5y)1.5%
ROE(3y)4.45%
ROE(5y)4.06%
ROIC(3y)5.86%
ROIC(5y)4.68%
ROICexc(3y)7.18%
ROICexc(5y)5.8%
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)8.67%
ROCE(5y)6.85%
ROICexcg growth 3YN/A
ROICexcg growth 5YN/A
ROICexc growth 3Y24.68%
ROICexc growth 5Y39.38%
OM growth 3Y22.31%
OM growth 5Y30.2%
PM growth 3Y1.14%
PM growth 5YN/A
GM growth 3Y-1.75%
GM growth 5Y-14.4%
F-Score5
Asset Turnover0.35
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.1 | ||
| Debt/FCF | 5.26 | ||
| Debt/EBITDA | 3.76 | ||
| Cap/Depr | 112.09% | ||
| Cap/Sales | 9.74% | ||
| Interest Coverage | 1.6 | ||
| Cash Conversion | 103.99% | ||
| Profit Quality | 327.97% | ||
| Current Ratio | 0.79 | ||
| Quick Ratio | 0.79 | ||
| Altman-Z | 1.37 |
F-Score5
WACC7.94%
ROIC/WACC0.83
Cap/Depr(3y)112.5%
Cap/Depr(5y)120.35%
Cap/Sales(3y)12.09%
Cap/Sales(5y)13.14%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-39.31%
EPS 3Y10.52%
EPS 5YN/A
EPS Q2Q%125%
EPS Next Y100%
EPS Next 2Y57.48%
EPS Next 3Y40.1%
EPS Next 5YN/A
Revenue 1Y (TTM)35.72%
Revenue growth 3Y20.12%
Revenue growth 5Y39.11%
Sales Q2Q%46.11%
Revenue Next Year24.8%
Revenue Next 2Y16.8%
Revenue Next 3Y13.98%
Revenue Next 5YN/A
EBIT growth 1Y-5.28%
EBIT growth 3Y46.91%
EBIT growth 5Y81.12%
EBIT Next Year81.11%
EBIT Next 3Y30.63%
EBIT Next 5YN/A
FCF growth 1Y312.17%
FCF growth 3Y55.75%
FCF growth 5Y42.28%
OCF growth 1Y97.26%
OCF growth 3Y28.32%
OCF growth 5Y53.26%