7.94%
-6.45%
5.45%
-32.82%
-44.05%
-74.96%
-52.97%
AI Spotlight on IOT
Company Description
Seco S.p.A. develops embedded micro-computers, integrated systems, and IoT solutions.The company offers modules, single board computers, boxed solutions, HMI solutions, carrier boards, starter kits, and accessories, as well as custom hardware and software solutions, and system integration.Its products are used in various applications, including transportation, industrial automation, medical, vending, digital signage, building automation/domotics, aerospace, defense, securities/surveillance, utilities, and devices.
The company was founded in 1979 and is headquartered in Arezzo, Italy.
Market Data
| Last Price | 1.74 |
| Change Percentage | 7.94% |
| Open | 1.59 |
| Previous Close | 1.61 |
| Market Cap ( Millions) | 230 |
| Volume | 365536 |
| Year High | 3.84 |
| Year Low | 1.46 |
| M A 50 | 1.74 |
| M A 200 | 2.34 |
Financial Ratios
| FCF Yield | 4.96% |
| Dividend Yield | 0.00% |
| ROE | -2.73% |
| Debt / Equity | 47.79% |
| Net Debt / EBIDTA | 361.84% |
| Price To Book | 0.81 |
| Price Earnings Ratio | -29.27 |
| Price To FCF | 20.17 |
| Price To sales | 1.23 |
| EV / EBITDA | 15.89 |
Business Breakdown
Expected Mid-Term Growth
Segment n°1 -> Seco
Expected Growth : 12 %
What the company do ?
SECO S.p.A. is an Italian high-tech company that produces and distributes a wide range of precision tools and accessories for the metalworking industry.
Why we expect these perspectives ?
Seco's 12% growth driven by increasing demand for cutting tools in automotive and aerospace industries, expansion in emerging markets, and strategic acquisitions. Additionally, investments in digitalization and innovation, such as additive manufacturing, are enhancing product offerings and driving growth.
Segment n°2 -> Seco Northern Europe
Expected Growth : 11 %
What the company do ?
Seco Northern Europe is a leading provider of comprehensive metal cutting solutions, serving the Nordic and Baltic regions from Seco S.p.A.
Why we expect these perspectives ?
Seco Northern Europe's 11% growth is driven by increasing demand for cutting tools in the region's thriving automotive and aerospace industries, coupled with the company's strategic expansion into e-commerce and investments in digitalization, enabling efficient production and supply chain management.
Segment n°3 -> Eliminations
Expected Growth : 0 %
What the company do ?
Eliminations from Seco S.p.A. refer to the removal of inter-company transactions and balances between Seco and its subsidiaries to present a consolidated financial statement.
Why we expect these perspectives ?
No eliminations from Seco S.p.A. indicates a stable business structure, with no divestitures or discontinuations. This suggests a focus on core operations, efficient resource allocation, and a commitment to long-term growth. The absence of eliminations also implies a lack of underperforming assets or non-core businesses, allowing the company to concentrate on its profitable segments.
Segment n°4 -> Seco Mind United States
Expected Growth : 14 %
What the company do ?
Seco Mind United States is a subsidiary of Seco S.p.A., an Italian multinational company, providing cutting-edge machining solutions and metal cutting tools in the US market.
Why we expect these perspectives ?
Seco Mind United States, a subsidiary of Seco S.p.A., achieves 14% growth driven by increasing demand for digital manufacturing solutions, expansion into new industries, and strategic partnerships. Additionally, investments in research and development, coupled with a strong sales and marketing strategy, contribute to the segment's growth.
Seco S.P.A. Products
| Product Range | What is it ? |
|---|---|
| Cutting Tools | Seco's cutting tools are designed for high-performance machining, offering a range of inserts, holders, and tooling systems for turning, milling, and drilling operations. |
| Tooling Systems | Seco's tooling systems provide a comprehensive range of solutions for turning, milling, and drilling operations, including tool holders, adapters, and accessories. |
| Inserts and Grades | Seco's inserts and grades offer a wide range of cutting tool materials and geometries for various machining applications, including turning, milling, and drilling. |
| Custom Tooling Solutions | Seco's custom tooling solutions provide tailored tooling systems and inserts for specific machining applications, including specialized cutting tools and holders. |
| Digital Solutions | Seco's digital solutions provide data-driven insights and optimization tools for machining processes, including tool monitoring, predictive maintenance, and process optimization. |
Seco S.p.A.'s Porter Forces
Threat Of Substitutes
Seco S.p.A. operates in a niche market with specialized products, reducing the threat of substitutes. However, the company's dependence on a few key customers increases the risk of substitutes.
Bargaining Power Of Customers
Seco S.p.A.'s customers are large multinational companies with significant bargaining power. This puts pressure on Seco to maintain high-quality products and competitive pricing.
Bargaining Power Of Suppliers
Seco S.p.A. has a diversified supplier base, reducing its dependence on individual suppliers. This gives the company more bargaining power in negotiating prices and terms.
Threat Of New Entrants
The specialized nature of Seco S.p.A.'s products and the high barriers to entry in the industry make it difficult for new entrants to compete effectively.
Intensity Of Rivalry
Seco S.p.A. operates in a competitive market, but the company's focus on innovation and quality helps it maintain a strong market position.
Capital Structure
| Value | |
|---|---|
| Debt Weight | 31.12% |
| Debt Cost | 8.72% |
| Equity Weight | 68.88% |
| Equity Cost | 9.01% |
| WACC | 8.92% |
| Leverage | 45.18% |
Seco S.p.A. : Quality Control
Seco S.p.A. passed 5 out of 9 key points:
Historical Valuation
Price/Earnings Ratio
Margin Valuation
Peers Valuation
Competitors
| Company | Rational |
|---|---|
| LAES | SEALSQ Corp develops and sells semiconductor chips for private and public sectors. The company offers semiconductors and smart card reader chips; identity provisioning services; and managed PKI for IoT solutions. … |
| MX | Magnachip Semiconductor Corporation, together with its subsidiaries, designs, manufactures, and supplies analog and mixed-signal semiconductor platform solutions for communications, the Internet of Things, consumer, industrial, and automotive applications. It provides … |
| VLN | Valens Semiconductor Ltd. engages in the provision of semiconductor products that enables high-speed video and data transmission for the audio-video and automotive industries. It offers HDBaseT technology, which enables the … |
| AWE.L | Alphawave IP Group plc designs, develops, and sells connectivity solutions. The company offers connectivity, integrated products, and chiplet IP products. It serves the data center, artificial intelligence, 5G wireless infrastructure, … |
| NVTS | Navitas Semiconductor Corporation designs, develops, and sells gallium nitride (GaN) power integrated circuits in China, the United States, Taiwan, Korea, and internationally. The company was incorporated in 2013 and is … |
Peers Metrics
DCF BETA
Expected Cash-Flows
Scoring Insights
Peers Group Analysis
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Alphawave IP
A-Score
1-Year Total Return ->
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Navitas Semi
A-Score
1-Year Total Return ->
🥉
Seco
A-Score
1-Year Total Return ->
4
Magnachip Semiconductor
A-Score
1-Year Total Return ->
5
Valens Semi
A-Score
1-Year Total Return ->
6
