| Valuation method | Value, € | Upside, % |
|---|---|---|
| Artificial intelligence (AI) | 39.37 | 103 |
| Intrinsic value (DCF) | 13.06 | -33 |
| Graham-Dodd Method | n/a | |
| Graham Formula | 43.21 | 123 |
Stabilus S.A. (STM.DE) is a Luxembourg-based industrial machinery company specializing in gas springs, dampers, and electric tailgate systems. Founded in 1934, Stabilus serves diverse industries, including automotive, furniture, medical technology, and construction machinery. The company operates globally, offering non-locking and locking gas springs, motion dampers, and electric motor drives, along with CAD-configurators and spare parts. Stabilus plays a critical role in enhancing ergonomic and safety solutions across multiple sectors, from automotive tailgates to swivel chairs. With a market cap of approximately €599 million, Stabilus combines engineering expertise with a broad product portfolio, positioning itself as a key supplier in industrial motion control. Its applications extend to RVs, agricultural machinery, and even cooling counters, demonstrating versatility in industrial and consumer markets.
Stabilus S.A. presents a mixed investment profile. The company operates in a niche but essential segment of industrial machinery, benefiting from steady demand in automotive and furniture applications. With €1.31 billion in revenue and €70.2 million in net income (FY 2024), it maintains profitability, though its debt-to-equity ratio (€821 million total debt vs. €109 million cash) raises liquidity concerns. The dividend yield (~2.5% based on a €1.15/share payout) adds appeal, but exposure to cyclical industries like automotive could pose risks during downturns. Stabilus’s beta of 0.926 suggests moderate volatility relative to the market. Investors should weigh its strong cash flow generation (€197 million operating cash flow) against capital expenditures (€53.5 million) and sector-specific headwinds.
Stabilus S.A. competes in the industrial gas spring and damper market, leveraging its long-standing expertise and diversified applications. Its competitive advantage lies in its broad product range, serving both industrial (automotive, machinery) and consumer (furniture, medical) segments. The company’s electric tailgate systems position it well in the growing automotive convenience market. However, Stabilus faces pressure from larger industrial component manufacturers with greater R&D budgets and global reach. Its Luxembourg base offers tax efficiencies but may limit local market penetration compared to regionally focused competitors. The company’s reliance on the automotive sector (~50% of revenue) exposes it to supply chain disruptions and EV transition risks. Stabilus mitigates this through diversification into furniture and medical technology, but margins remain thinner than specialized peers. Its CAD-configurator services add value, though competitors with integrated IoT solutions could disrupt this edge. Overall, Stabilus holds a solid mid-tier position but must innovate to fend off cost-focused Asian manufacturers and premium European rivals.