Introduction
The Kapsch TrafficCom stock currently shows a significant discrepancy between its current stock price and expert evaluations, indicating a strong fundamental undervaluation of the company. Despite a continued decline in stock price in recent weeks, analysts see significant upside potential. Here is a comprehensive analysis of the current situation:
Current Price and Development
- Price Development: The Kapsch TrafficCom stock has experienced a noticeable decline over recent weeks. On April 9, 2025, the price was EUR 6.40, representing a drop of 11.11% over the last 30 days. Since then, the price has slightly recovered and currently stands at around EUR 6.82.
- Long-term Perspective: Despite the current weak price, the stock remains about 30% below its 52-week high of EUR 9.20, which was reached in June 2024.
Fundamental Valuation
- Undervaluation: The stock appears fundamentally undervalued. The price-to-sales ratio (P/S) is around 0.17 to 0.22, significantly below the industry average. The price-to-cash-flow ratio of about 1.45 also supports this assessment.
- Profit and Revenue: In 2024, Kapsch TrafficCom achieved a net profit of EUR 23.2 million on revenue of EUR 539 million. However, these figures are not reflected in the current stock price.
Expert Opinions and Forecasts
- Analyst Recommendations: All two surveyed analysts recommend the stock as “Buy”, with an average price target of EUR 11.50, which is about 71.64% above the current price level.
- Growth Prospects: Despite the positive forecasts, experts point to moderate growth prospects and the historically often disappointing results.
Company Profile and Competition
- Business Activities: Kapsch TrafficCom is a technology company that offers innovative solutions in the traffic sector, including toll systems, traffic management, and intelligent transport systems.
- Competitive Landscape: Main competitors include companies such as Iteris, Q-Free, Neology, and TransCore.
Conclusion
The Kapsch TrafficCom stock presents interesting opportunities for private investors due to its fundamental undervaluation and positive analyst forecasts. However, one should keep an eye on the moderate growth prospects and historically weak operational results. The positive annual development could, however, be a sign of a turnaround.