ADIDAS AG (1ADS.MI) Stock Fundamental Analysis
Europe - Euronext Milan - BIT:1ADS - DE000A1EWWW0 - Common Stock
167.35 EUR
-1.1 (-0.65%)
1ADS gets a fundamental rating of 4 out of 10. The analysis compared the fundamentals against 51 industry peers in the Textiles, Apparel & Luxury Goods industry. 1ADS has only an average score on both its financial health and profitability. 1ADS has a correct valuation and a medium growth rate.
1. Profitability
1.1 Basic Checks
In the past year 1ADS was profitable.
In the past year 1ADS had a positive cash flow from operations.
Of the past 5 years 1ADS 4 years were profitable.
Of the past 5 years 1ADS 4 years had a positive operating cash flow.
1.2 Ratios
1ADS has a Return On Assets of 6.05%. This is comparable to the rest of the industry: 1ADS outperforms 57.14% of its industry peers.
The Return On Equity of 1ADS (21.39%) is better than 79.59% of its industry peers.
The Return On Invested Capital of 1ADS (13.27%) is better than 77.55% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for 1ADS is significantly below the industry average of 11.80%.
The 3 year average ROIC (5.53%) for 1ADS is below the current ROIC(13.27%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.05% | ||
| ROE | 21.39% | ||
| ROIC | 13.27% |
ROA(3y)2.1%
ROA(5y)3.58%
ROE(3y)8.19%
ROE(5y)11.88%
ROIC(3y)5.53%
ROIC(5y)6.71%
1.3 Margins
Looking at the Profit Margin, with a value of 4.94%, 1ADS is in line with its industry, outperforming 51.02% of the companies in the same industry.
1ADS's Profit Margin has declined in the last couple of years.
1ADS's Operating Margin of 7.89% is in line compared to the rest of the industry. 1ADS outperforms 44.90% of its industry peers.
In the last couple of years the Operating Margin of 1ADS has declined.
The Gross Margin of 1ADS (51.36%) is worse than 67.35% of its industry peers.
In the last couple of years the Gross Margin of 1ADS has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 7.89% | ||
| PM (TTM) | 4.94% | ||
| GM | 51.36% |
OM growth 3Y-17.1%
OM growth 5Y-14.1%
PM growth 3Y-31.34%
PM growth 5Y-17.34%
GM growth 3Y0.05%
GM growth 5Y-0.48%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) well above the Cost of Capital (WACC), 1ADS is creating value.
The number of shares outstanding for 1ADS remains at a similar level compared to 1 year ago.
Compared to 5 years ago, 1ADS has less shares outstanding
Compared to 1 year ago, 1ADS has an improved debt to assets ratio.
2.2 Solvency
An Altman-Z score of 3.35 indicates that 1ADS is not in any danger for bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 3.35, 1ADS is in the better half of the industry, outperforming 63.27% of the companies in the same industry.
The Debt to FCF ratio of 1ADS is 14.32, which is on the high side as it means it would take 1ADS, 14.32 years of fcf income to pay off all of its debts.
1ADS has a worse Debt to FCF ratio (14.32) than 67.35% of its industry peers.
1ADS has a Debt/Equity ratio of 0.74. This is a neutral value indicating 1ADS is somewhat dependend on debt financing.
1ADS has a worse Debt to Equity ratio (0.74) than 61.22% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.74 | ||
| Debt/FCF | 14.32 | ||
| Altman-Z | 3.35 |
ROIC/WACC1.93
WACC6.88%
2.3 Liquidity
A Current Ratio of 1.31 indicates that 1ADS should not have too much problems paying its short term obligations.
Looking at the Current ratio, with a value of 1.31, 1ADS is doing worse than 69.39% of the companies in the same industry.
1ADS has a Quick Ratio of 1.31. This is a bad value and indicates that 1ADS is not financially healthy enough and could expect problems in meeting its short term obligations.
The Quick ratio of 1ADS (0.71) is worse than 63.27% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.31 | ||
| Quick Ratio | 0.71 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 219.81% over the past year.
1ADS shows a very negative growth in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -15.76% yearly.
Looking at the last year, 1ADS shows a quite strong growth in Revenue. The Revenue has grown by 9.64% in the last year.
1ADS shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 0.04% yearly.
EPS 1Y (TTM)219.81%
EPS 3Y-17.56%
EPS 5Y-15.76%
EPS Q2Q%5.33%
Revenue 1Y (TTM)9.64%
Revenue growth 3Y3.71%
Revenue growth 5Y0.04%
Sales Q2Q%2.98%
3.2 Future
Based on estimates for the next years, 1ADS will show a very strong growth in Earnings Per Share. The EPS will grow by 30.23% on average per year.
Based on estimates for the next years, 1ADS will show a small growth in Revenue. The Revenue will grow by 7.45% on average per year.
EPS Next Y80.59%
EPS Next 2Y59.89%
EPS Next 3Y44.37%
EPS Next 5Y30.23%
Revenue Next Year6.1%
Revenue Next 2Y7.08%
Revenue Next 3Y7.54%
Revenue Next 5Y7.45%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 24.68, 1ADS is valued on the expensive side.
Based on the Price/Earnings ratio, 1ADS is valued a bit cheaper than 61.22% of the companies in the same industry.
When comparing the Price/Earnings ratio of 1ADS to the average of the S&P500 Index (27.19), we can say 1ADS is valued inline with the index average.
With a Price/Forward Earnings ratio of 15.48, 1ADS is valued correctly.
77.55% of the companies in the same industry are more expensive than 1ADS, based on the Price/Forward Earnings ratio.
When comparing the Price/Forward Earnings ratio of 1ADS to the average of the S&P500 Index (23.92), we can say 1ADS is valued slightly cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 24.68 | ||
| Fwd PE | 15.48 |
4.2 Price Multiples
1ADS's Enterprise Value to EBITDA is on the same level as the industry average.
71.43% of the companies in the same industry are cheaper than 1ADS, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 79.48 | ||
| EV/EBITDA | 10.63 |
4.3 Compensation for Growth
The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
1ADS's earnings are expected to grow with 44.37% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.31
PEG (5Y)N/A
EPS Next 2Y59.89%
EPS Next 3Y44.37%
5. Dividend
5.1 Amount
1ADS has a Yearly Dividend Yield of 1.21%. Purely for dividend investing, there may be better candidates out there.
Compared to an average industry Dividend Yield of 1.94, 1ADS has a dividend in line with its industry peers.
1ADS's Dividend Yield is slightly below the S&P500 average, which is at 1.92.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.21% |
5.2 History
The dividend of 1ADS decreases each year by -26.93%.
Dividend Growth(5Y)-26.93%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
29.29% of the earnings are spent on dividend by 1ADS. This is a low number and sustainable payout ratio.
DP29.29%
EPS Next 2Y59.89%
EPS Next 3Y44.37%
BIT:1ADS (1/9/2026, 7:00:00 PM)
167.35
-1.1 (-0.65%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Durables & Apparel
GICS IndustryTextiles, Apparel & Luxury Goods
Earnings (Last)
Earnings (Next)
Inst Owners54.91%
Inst Owner ChangeN/A
Ins OwnersN/A
Ins Owner ChangeN/A
Market Cap30.12B
Revenue(TTM)24.70B
Net Income(TTM)1.22B
Analysts80.57
Price Target236.11 (41.09%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.21% |
Yearly Dividend0.7
Dividend Growth(5Y)-26.93%
DP29.29%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-0.21%
Min EPS beat(2)-3.88%
Max EPS beat(2)3.46%
EPS beat(4)3
Avg EPS beat(4)5.26%
Min EPS beat(4)-3.88%
Max EPS beat(4)15.64%
EPS beat(8)5
Avg EPS beat(8)1.66%
EPS beat(12)8
Avg EPS beat(12)13.15%
EPS beat(16)11
Avg EPS beat(16)9.67%
Revenue beat(2)0
Avg Revenue beat(2)-3.83%
Min Revenue beat(2)-5.34%
Max Revenue beat(2)-2.31%
Revenue beat(4)1
Avg Revenue beat(4)-1.55%
Min Revenue beat(4)-5.34%
Max Revenue beat(4)2.63%
Revenue beat(8)2
Avg Revenue beat(8)-1.26%
Revenue beat(12)5
Avg Revenue beat(12)-0.62%
Revenue beat(16)6
Avg Revenue beat(16)-0.7%
PT rev (1m)-0.75%
PT rev (3m)-2.75%
EPS NQ rev (1m)2.47%
EPS NQ rev (3m)11.37%
EPS NY rev (1m)1.03%
EPS NY rev (3m)-0.36%
Revenue NQ rev (1m)-0.03%
Revenue NQ rev (3m)-1.22%
Revenue NY rev (1m)-0.22%
Revenue NY rev (3m)-1.01%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 24.68 | ||
| Fwd PE | 15.48 | ||
| P/S | 1.22 | ||
| P/FCF | 79.48 | ||
| P/OCF | 33.07 | ||
| P/B | 5.29 | ||
| P/tB | 7.41 | ||
| EV/EBITDA | 10.63 |
EPS(TTM)6.78
EY4.05%
EPS(NY)10.81
Fwd EY6.46%
FCF(TTM)2.11
FCFY1.26%
OCF(TTM)5.06
OCFY3.02%
SpS137.22
BVpS31.66
TBVpS22.58
PEG (NY)0.31
PEG (5Y)N/A
Graham Number69.49
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.05% | ||
| ROE | 21.39% | ||
| ROCE | 17.7% | ||
| ROIC | 13.27% | ||
| ROICexc | 15.69% | ||
| ROICexgc | 19.03% | ||
| OM | 7.89% | ||
| PM (TTM) | 4.94% | ||
| GM | 51.36% | ||
| FCFM | 1.53% |
ROA(3y)2.1%
ROA(5y)3.58%
ROE(3y)8.19%
ROE(5y)11.88%
ROIC(3y)5.53%
ROIC(5y)6.71%
ROICexc(3y)6.96%
ROICexc(5y)9.19%
ROICexgc(3y)8.67%
ROICexgc(5y)11.56%
ROCE(3y)7.37%
ROCE(5y)8.95%
ROICexgc growth 3Y-9.6%
ROICexgc growth 5Y-13.31%
ROICexc growth 3Y-10.88%
ROICexc growth 5Y-12.05%
OM growth 3Y-17.1%
OM growth 5Y-14.1%
PM growth 3Y-31.34%
PM growth 5Y-17.34%
GM growth 3Y0.05%
GM growth 5Y-0.48%
F-Score7
Asset Turnover1.23
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.74 | ||
| Debt/FCF | 14.32 | ||
| Debt/EBITDA | 1.34 | ||
| Cap/Depr | 45.32% | ||
| Cap/Sales | 2.15% | ||
| Interest Coverage | 8.36 | ||
| Cash Conversion | 29.17% | ||
| Profit Quality | 31.09% | ||
| Current Ratio | 1.31 | ||
| Quick Ratio | 0.71 | ||
| Altman-Z | 3.35 |
F-Score7
WACC6.88%
ROIC/WACC1.93
Cap/Depr(3y)45.61%
Cap/Depr(5y)45.44%
Cap/Sales(3y)2.57%
Cap/Sales(5y)2.65%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)219.81%
EPS 3Y-17.56%
EPS 5Y-15.76%
EPS Q2Q%5.33%
EPS Next Y80.59%
EPS Next 2Y59.89%
EPS Next 3Y44.37%
EPS Next 5Y30.23%
Revenue 1Y (TTM)9.64%
Revenue growth 3Y3.71%
Revenue growth 5Y0.04%
Sales Q2Q%2.98%
Revenue Next Year6.1%
Revenue Next 2Y7.08%
Revenue Next 3Y7.54%
Revenue Next 5Y7.45%
EBIT growth 1Y115.84%
EBIT growth 3Y-14.03%
EBIT growth 5Y-14.07%
EBIT Next Year155.69%
EBIT Next 3Y51.76%
EBIT Next 5Y32.71%
FCF growth 1Y-70.96%
FCF growth 3Y-2.1%
FCF growth 5Y2.35%
OCF growth 1Y-49.25%
OCF growth 3Y-3.05%
OCF growth 5Y0.64%
ADIDAS AG / 1ADS.MI FAQ
What is the ChartMill fundamental rating of ADIDAS AG (1ADS.MI) stock?
ChartMill assigns a fundamental rating of 4 / 10 to 1ADS.MI.
What is the valuation status for 1ADS stock?
ChartMill assigns a valuation rating of 4 / 10 to ADIDAS AG (1ADS.MI). This can be considered as Fairly Valued.
What is the profitability of 1ADS stock?
ADIDAS AG (1ADS.MI) has a profitability rating of 4 / 10.
How financially healthy is ADIDAS AG?
The financial health rating of ADIDAS AG (1ADS.MI) is 3 / 10.
Is the dividend of ADIDAS AG sustainable?
The dividend rating of ADIDAS AG (1ADS.MI) is 2 / 10 and the dividend payout ratio is 29.29%.