Deezer S.A.
Deezer S.A. Fundamental Analysis
Deezer S.A. (DEEZR.PA) shows moderate financial fundamentals with a PE ratio of 16.37, profit margin of 1.59%, and ROE of -3.53%. The company generates $0.5B in annual revenue with strong year-over-year growth of 11.77%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 33.0/100 based on profitability, valuation, growth, and balance sheet metrics. The F grade reflects weak fundamentals and significant financial concerns.
Fundamental Health Score
We analyze DEEZR.PA's fundamental strength across five key dimensions:
Efficiency Score
WeakDEEZR.PA struggles to generate sufficient returns from assets.
Valuation Score
ExcellentDEEZR.PA trades at attractive valuation levels.
Growth Score
ExcellentDEEZR.PA delivers strong and consistent growth momentum.
Financial Health Score
ModerateDEEZR.PA shows balanced financial health with some risks.
Profitability Score
WeakDEEZR.PA struggles to sustain strong margins.
Key Financial Metrics
Is DEEZR.PA Expensive or Cheap?
P/E Ratio
DEEZR.PA trades at 16.37 times earnings. This indicates a fair valuation.
PEG Ratio
When adjusting for growth, DEEZR.PA's PEG of 0.06 indicates potential undervaluation.
Price to Book
The market values Deezer S.A. at -0.60 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at 10.96 times EBITDA. This signals the market has high growth expectations.
How Well Does DEEZR.PA Make Money?
Net Profit Margin
For every $100 in sales, Deezer S.A. keeps $1.59 as profit after all expenses.
Operating Margin
Core operations generate 1.74 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $-3.53 in profit for every $100 of shareholder equity.
ROA
Deezer S.A. generates $3.62 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Deezer S.A. generates limited operating cash flow of $17.16M, signaling weaker underlying cash strength.
Free Cash Flow
Deezer S.A. generates weak or negative free cash flow of $13.61M, restricting financial flexibility.
FCF Per Share
Each share generates $0.11 in free cash annually.
FCF Yield
DEEZR.PA converts 9.76% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
16.37
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
0.06
vs 25 benchmark
P/B Ratio
Price to book value ratio
-0.60
vs 25 benchmark
P/S Ratio
Price to sales ratio
0.26
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
-0.12
vs 25 benchmark
Current Ratio
Current assets to current liabilities
0.44
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
-0.04
vs 25 benchmark
ROA
Return on assets percentage
0.04
vs 25 benchmark
ROCE
Return on capital employed
-0.04
vs 25 benchmark
How DEEZR.PA Stacks Against Its Sector Peers
| Metric | DEEZR.PA Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 16.37 | 24.05 | Better (Cheaper) |
| ROE | -3.53% | 1003.00% | Weak |
| Net Margin | 1.59% | -66576.00% (disorted) | Weak |
| Debt/Equity | -0.12 | 3.06 | Strong (Low Leverage) |
| Current Ratio | 0.44 | 1.72 | Weak Liquidity |
| ROA | 3.62% | -5812.00% (disorted) | Weak |
DEEZR.PA outperforms its industry in 2 out of 6 key metrics, but lagging in ROE.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews Deezer S.A.'s 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
-70.89%
Industry Style: Growth, Technology, Streaming
DecliningEPS CAGR
93.62%
Industry Style: Growth, Technology, Streaming
High GrowthFCF CAGR
107.66%
Industry Style: Growth, Technology, Streaming
High Growth