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1. Company Snapshot

1.a. Company Description

Archicom S.A. engages in the real estate activities in Poland.It is also involved in the construction, rental, and sale of commercial and residential real estate properties; buying and selling of owned real estate properties; implementation of building construction projects; and leasing of intellectual properties, as well as provides financial services.The company was founded in 1986 and is headquartered in Wroclaw, Poland.


Archicom S.A. is a subsidiary of Echo Investment S.A.

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1.b. Last Insights on ARH

Archicom S.A.'s recent performance was negatively impacted by macroeconomic uncertainty and AI competition, as global markets navigate fluctuating interest rates and geopolitical tensions. The company's stock is estimated to be below its intrinsic worth, with a potential discount of up to 6.7% according to recent market analysis. This suggests that the company's financial health and growth prospects may not be fully reflected in its current market price.

1.c. Company Highlights

2. Transcript Summary

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3. NewsRoom

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4. Business Breakdown

4.a. Revenues by Country

4.b. Revenues by Segment

5. Expected revenues mid-term growth (5.22%)

6. Segments

Housing Activities

Expected Growth: 5.5%

Growing demand for housing in Poland, driven by urbanization and a shortage of affordable housing, will fuel Archicom S.A.'s growth. Increasing popularity of apartments and houses, particularly among young professionals and families, will also contribute to the company's expansion.

Supporting Companies

Expected Growth: 4.5%

The growth of Supporting Companies from Archicom S.A. is driven by increasing demand for real estate development services, expansion of the Polish economy, and strategic partnerships with key stakeholders.

Adjustments

Expected Growth: 4.5%

The adjustments from Archicom S.A. are expected to drive growth, fueled by increasing demand for accurate financial reporting and compliance with regulatory requirements, as well as the need for transparency in financial statements.

7. Detailed Products

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8. Archicom S.A.'s Porter Forces

Forces Ranking

Threat Of Substitutes

The threat of substitutes for Archicom S.A. is medium due to the presence of alternative construction materials and technologies.

Bargaining Power Of Customers

The bargaining power of customers is high due to the large number of construction projects and the ability of customers to negotiate prices.

Bargaining Power Of Suppliers

The bargaining power of suppliers is low due to the availability of multiple suppliers and the company's ability to negotiate prices.

Threat Of New Entrants

The threat of new entrants is medium due to the moderate barriers to entry and the availability of resources and technology.

Intensity Of Rivalry

The intensity of rivalry is high due to the large number of competitors in the construction industry and the high stakes of competition.

9. SWOT Analysis

10. Capital Structure

10.a. Balance Sheet

10.b. Weighted Average Cost of capital

Value
Debt Weight 27.76%
Debt Cost 3.95%
Equity Weight 72.24%
Equity Cost 8.64%
WACC 7.34%
Leverage 38.44%

11. Quality Control: Archicom S.A. passed 4 out of 9 key points

12.a Historical Valuation

12.b Price/Earnings Ratio

12.c Margin Valuation

12.d Peers Valuation

Peers Group Analysis

Stock-Card
Develia

A-Score: 7.5/10

Value: 5.7

Growth: 8.8

Quality: 7.5

Yield: 10.0

Momentum: 9.0

Volatility: 4.0

1-Year Total Return ->

Stock-Card
Dom Development

A-Score: 7.2/10

Value: 4.8

Growth: 7.4

Quality: 7.7

Yield: 9.4

Momentum: 8.5

Volatility: 5.3

1-Year Total Return ->

Stock-Card
Emilshus

A-Score: 6.0/10

Value: 2.9

Growth: 7.1

Quality: 6.2

Yield: 5.6

Momentum: 4.0

Volatility: 10.0

1-Year Total Return ->

Stock-Card
BASSAC

A-Score: 5.6/10

Value: 8.1

Growth: 4.6

Quality: 5.0

Yield: 5.0

Momentum: 5.0

Volatility: 6.0

1-Year Total Return ->

Stock-Card
Instone Real Estate

A-Score: 5.4/10

Value: 8.0

Growth: 5.0

Quality: 4.5

Yield: 8.1

Momentum: 2.5

Volatility: 4.3

1-Year Total Return ->

Stock-Card
Archicom

A-Score: 4.8/10

Value: 3.3

Growth: 0.7

Quality: 4.7

Yield: 8.8

Momentum: 9.0

Volatility: 2.7

1-Year Total Return ->

Peers Metrics

12.e Scoring Insights

12.f DCF BETA

Parameters

Short Term Growth

Short term Time

Long-Term Growth

WACC

Target Price

44.5$

Current Price

44.5$

Potential

-0.00%

Expected Cash-Flows