VERVE GROUP SE (M8G.DE)
SE0018538068 - Common Stock
We assign a fundamental rating of 6 out of 10 to M8G. M8G was compared to 60 industry peers in the Media industry. While M8G belongs to the best of the industry regarding profitability, there are concerns on its financial health. M8G is growing strongly while it also seems undervalued. This is an interesting combination
1. Profitability
1.1 Basic Checks
In the past year M8G was profitable.
In the past year M8G had a positive cash flow from operations.
The reported net income has been mixed in the past 5 years: M8G reported negative net income in multiple years.
Each year in the past 5 years M8G had a positive operating cash flow.
1.2 Ratios
Looking at the Return On Assets, with a value of 4.82%, M8G is in the better half of the industry, outperforming 64.91% of the companies in the same industry.
Looking at the Return On Equity, with a value of 12.71%, M8G is in the better half of the industry, outperforming 66.67% of the companies in the same industry.
With a decent Return On Invested Capital value of 9.25%, M8G is doing good in the industry, outperforming 70.18% of the companies in the same industry.
Measured over the past 3 years, the Average Return On Invested Capital for M8G is below the industry average of 9.32%.
The 3 year average ROIC (4.62%) for M8G is below the current ROIC(9.25%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.82% | ||
| ROE | 12.71% | ||
| ROIC | 9.25% |
ROA(3y)1.47%
ROA(5y)1.02%
ROE(3y)4.07%
ROE(5y)2.72%
ROIC(3y)4.62%
ROIC(5y)3.58%
1.3 Margins
With an excellent Profit Margin value of 14.33%, M8G belongs to the best of the industry, outperforming 91.23% of the companies in the same industry.
In the last couple of years the Profit Margin of M8G has grown nicely.
M8G's Operating Margin of 30.36% is amongst the best of the industry. M8G outperforms 100.00% of its industry peers.
M8G's Operating Margin has improved in the last couple of years.
Looking at the Gross Margin, with a value of 56.42%, M8G is in line with its industry, outperforming 47.37% of the companies in the same industry.
In the last couple of years the Gross Margin of M8G has declined.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 30.36% | ||
| PM (TTM) | 14.33% | ||
| GM | 56.42% |
OM growth 3Y55.52%
OM growth 5Y34.45%
PM growth 3Y88.08%
PM growth 5Y1.84%
GM growth 3Y-2.48%
GM growth 5Y-5.68%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so M8G is still creating some value.
M8G has about the same amout of shares outstanding than it did 1 year ago.
The number of shares outstanding for M8G has been increased compared to 5 years ago.
Compared to 1 year ago, M8G has a worse debt to assets ratio.
2.2 Solvency
Based on the Altman-Z score of 1.52, we must say that M8G is in the distress zone and has some risk of bankruptcy.
M8G has a Altman-Z score (1.52) which is comparable to the rest of the industry.
The Debt to FCF ratio of M8G is 6.25, which is on the high side as it means it would take M8G, 6.25 years of fcf income to pay off all of its debts.
M8G has a Debt to FCF ratio (6.25) which is in line with its industry peers.
A Debt/Equity ratio of 0.89 indicates that M8G is somewhat dependend on debt financing.
M8G has a worse Debt to Equity ratio (0.89) than 64.91% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.89 | ||
| Debt/FCF | 6.25 | ||
| Altman-Z | 1.52 |
ROIC/WACC1.25
WACC7.39%
2.3 Liquidity
A Current Ratio of 0.93 indicates that M8G may have some problems paying its short term obligations.
M8G's Current ratio of 0.93 is in line compared to the rest of the industry. M8G outperforms 47.37% of its industry peers.
M8G has a Quick Ratio of 0.93. This is a bad value and indicates that M8G is not financially healthy enough and could expect problems in meeting its short term obligations.
With a Quick ratio value of 0.93, M8G perfoms like the industry average, outperforming 54.39% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.93 | ||
| Quick Ratio | 0.93 |
3. Growth
3.1 Past
M8G shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 286.67%, which is quite impressive.
Measured over the past years, M8G shows a very strong growth in Earnings Per Share. The EPS has been growing by 23.64% on average per year.
The Revenue has grown by 9.42% in the past year. This is quite good.
The Revenue has been growing by 58.08% on average over the past years. This is a very strong growth!
EPS 1Y (TTM)286.67%
EPS 3Y105.41%
EPS 5Y23.64%
EPS Q2Q%200%
Revenue 1Y (TTM)9.42%
Revenue growth 3Y31.93%
Revenue growth 5Y58.08%
Sales Q2Q%26.81%
3.2 Future
M8G is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 45.80% yearly.
M8G is expected to show a strong growth in Revenue. In the coming years, the Revenue will grow by 21.87% yearly.
EPS Next Y65.75%
EPS Next 2Y60.28%
EPS Next 3Y45.8%
EPS Next 5YN/A
Revenue Next Year36.31%
Revenue Next 2Y28.41%
Revenue Next 3Y21.87%
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.
The estimated forward Revenue growth is still strong, although it is decreasing when compared to the stronger growth in the past years.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 8.88, which indicates a very decent valuation of M8G.
M8G's Price/Earnings ratio is a bit cheaper when compared to the industry. M8G is cheaper than 63.16% of the companies in the same industry.
The average S&P500 Price/Earnings ratio is at 27.41. M8G is valued rather cheaply when compared to this.
A Price/Forward Earnings ratio of 7.72 indicates a rather cheap valuation of M8G.
Compared to the rest of the industry, the Price/Forward Earnings ratio of M8G indicates a somewhat cheap valuation: M8G is cheaper than 73.68% of the companies listed in the same industry.
When comparing the Price/Forward Earnings ratio of M8G to the average of the S&P500 Index (23.69), we can say M8G is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 8.88 | ||
| Fwd PE | 7.72 |
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 in line with the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 7.75 | ||
| EV/EBITDA | 6.34 |
4.3 Compensation for Growth
The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
M8G has a very decent profitability rating, which may justify a higher PE ratio.
A more expensive valuation may be justified as M8G's earnings are expected to grow with 45.80% in the coming years.
PEG (NY)0.14
PEG (5Y)0.38
EPS Next 2Y60.28%
EPS Next 3Y45.8%
5. Dividend
5.1 Amount
M8G does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
VERVE GROUP SE
FRA:M8G (1/3/2025, 7:00:00 PM)
3.02
-0.18 (-5.63%)
Chartmill FA Rating
GICS SectorCommunication Services
GICS IndustryGroupMedia & Entertainment
GICS IndustryMedia
Earnings (Last)
Earnings (Next)
Inst Owners22.32%
Inst Owner ChangeN/A
Ins Owners27.7%
Ins Owner ChangeN/A
Market Cap562.81M
Analysts82.5
Price Target4.63 (53.31%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)16.46%
Min EPS beat(2)-88.86%
Max EPS beat(2)121.78%
EPS beat(4)2
Avg EPS beat(4)155.03%
Min EPS beat(4)-88.86%
Max EPS beat(4)612.94%
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)5.21%
Min Revenue beat(2)1.12%
Max Revenue beat(2)9.31%
Revenue beat(4)3
Avg Revenue beat(4)7.27%
Min Revenue beat(4)-0.88%
Max Revenue beat(4)19.55%
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)1832.13%
PT rev (3m)1832.13%
EPS NQ rev (1m)0%
EPS NQ rev (3m)4.99%
EPS NY rev (1m)0%
EPS NY rev (3m)7.14%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)6.44%
Revenue NY rev (1m)0%
Revenue NY rev (3m)0%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 8.88 | ||
| Fwd PE | 7.72 | ||
| P/S | 1.58 | ||
| P/FCF | 7.75 | ||
| P/OCF | 6.09 | ||
| P/B | 1.4 | ||
| P/tB | N/A | ||
| EV/EBITDA | 6.34 |
EPS(TTM)0.34
EY11.26%
EPS(NY)0.39
Fwd EY12.96%
FCF(TTM)0.39
FCFY12.9%
OCF(TTM)0.5
OCFY16.43%
SpS1.91
BVpS2.15
TBVpS-2.21
PEG (NY)0.14
PEG (5Y)0.38
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.82% | ||
| ROE | 12.71% | ||
| ROCE | 13.13% | ||
| ROIC | 9.25% | ||
| ROICexc | 11.22% | ||
| ROICexgc | N/A | ||
| OM | 30.36% | ||
| PM (TTM) | 14.33% | ||
| GM | 56.42% | ||
| FCFM | 20.39% |
ROA(3y)1.47%
ROA(5y)1.02%
ROE(3y)4.07%
ROE(5y)2.72%
ROIC(3y)4.62%
ROIC(5y)3.58%
ROICexc(3y)5.85%
ROICexc(5y)4.46%
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)6.73%
ROCE(5y)5.19%
ROICexcg growth 3YN/A
ROICexcg growth 5YN/A
ROICexc growth 3Y51.21%
ROICexc growth 5Y69.48%
OM growth 3Y55.52%
OM growth 5Y34.45%
PM growth 3Y88.08%
PM growth 5Y1.84%
GM growth 3Y-2.48%
GM growth 5Y-5.68%
F-Score5
Asset Turnover0.34
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.89 | ||
| Debt/FCF | 6.25 | ||
| Debt/EBITDA | 2.59 | ||
| Cap/Depr | N/A | ||
| Cap/Sales | N/A | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 67.22% | ||
| Profit Quality | 142.31% | ||
| Current Ratio | 0.93 | ||
| Quick Ratio | 0.93 | ||
| Altman-Z | 1.52 |
F-Score5
WACC7.39%
ROIC/WACC1.25
Cap/Depr(3y)122.17%
Cap/Depr(5y)N/A
Cap/Sales(3y)14.11%
Cap/Sales(5y)N/A
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)286.67%
EPS 3Y105.41%
EPS 5Y23.64%
EPS Q2Q%200%
EPS Next Y65.75%
EPS Next 2Y60.28%
EPS Next 3Y45.8%
EPS Next 5YN/A
Revenue 1Y (TTM)9.42%
Revenue growth 3Y31.93%
Revenue growth 5Y58.08%
Sales Q2Q%26.81%
Revenue Next Year36.31%
Revenue Next 2Y28.41%
Revenue Next 3Y21.87%
Revenue Next 5YN/A
EBIT growth 1Y276.21%
EBIT growth 3Y105.18%
EBIT growth 5Y112.54%
EBIT Next Year84.78%
EBIT Next 3Y39.68%
EBIT Next 5YN/A
FCF growth 1Y-34.72%
FCF growth 3Y55.41%
FCF growth 5YN/A
OCF growth 1Y-16.87%
OCF growth 3Y40.2%
OCF growth 5Y69.74%