ADIDAS AG (1ADS.MI) Stock Fundamental Analysis
Europe - Euronext Milan - BIT:1ADS - DE000A1EWWW0 - Common Stock
160.45 EUR
+0.85 (+0.53%)
We assign a fundamental rating of 4 out of 10 to 1ADS. 1ADS was compared to 48 industry peers in the Textiles, Apparel & Luxury Goods industry. While 1ADS is still in line with the averages on profitability rating, there are concerns on its financial health. 1ADS is not valued too expensively and it also shows a decent growth rate.
1. Profitability
1.1 Basic Checks
1ADS had positive earnings in the past year.
In the past year 1ADS had a positive cash flow from operations.
1ADS had positive earnings in 4 of the past 5 years.
1ADS had a positive operating cash flow in 4 of the past 5 years.
1.2 Ratios
The Return On Assets of 1ADS (6.05%) is comparable to the rest of the industry.
1ADS has a better Return On Equity (21.39%) than 75.00% of its industry peers.
With a decent Return On Invested Capital value of 13.27%, 1ADS is doing good in the industry, outperforming 75.00% of the companies in the same industry.
The Average Return On Invested Capital over the past 3 years for 1ADS is significantly below the industry average of 12.86%.
The last Return On Invested Capital (13.27%) for 1ADS is above the 3 year average (5.53%), which is a sign of increasing profitability.
| 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
1ADS has a Profit Margin of 4.94%. This is comparable to the rest of the industry: 1ADS outperforms 47.92% of its industry peers.
1ADS's Profit Margin has declined in the last couple of years.
1ADS has a Operating Margin of 7.89%. This is comparable to the rest of the industry: 1ADS outperforms 41.67% of its industry peers.
1ADS's Operating Margin has declined in the last couple of years.
1ADS has a worse Gross Margin (51.36%) than 72.92% 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
The Return on Invested Capital (ROIC) is well above the Cost of Capital (WACC), so 1ADS is creating value.
1ADS has about the same amout of shares outstanding than it did 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 3.30 indicates that 1ADS is not in any danger for bankruptcy at the moment.
1ADS has a Altman-Z score of 3.30. This is comparable to the rest of the industry: 1ADS outperforms 52.08% of its industry peers.
1ADS has a debt to FCF ratio of 14.32. This is a negative value and a sign of low solvency as 1ADS would need 14.32 years to pay back of all of its debts.
With a Debt to FCF ratio value of 14.32, 1ADS is not doing good in the industry: 68.75% of the companies in the same industry are doing better.
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 Debt to Equity ratio of 0.74. This is in the lower half of the industry: 1ADS underperforms 62.50% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.74 | ||
| Debt/FCF | 14.32 | ||
| Altman-Z | 3.3 |
ROIC/WACC1.91
WACC6.96%
2.3 Liquidity
1ADS has a Current Ratio of 1.31. This is a normal value and indicates that 1ADS is financially healthy and should not expect problems in meeting its short term obligations.
1ADS has a worse Current ratio (1.31) than 70.83% of its industry peers.
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.
Looking at the Quick ratio, with a value of 0.71, 1ADS is doing worse than 64.58% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.31 | ||
| Quick Ratio | 0.71 |
3. Growth
3.1 Past
1ADS shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 219.81%, which is quite impressive.
The earnings per share for 1ADS have been decreasing by -15.76% on average. This is quite bad
The Revenue has grown by 9.64% in the past year. This is quite good.
The Revenue has been growing slightly by 0.04% on average over the past years.
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
The Earnings Per Share is expected to grow by 31.63% on average over the next years. This is a very strong growth
Based on estimates for the next years, 1ADS will show a small growth in Revenue. The Revenue will grow by 7.80% on average per year.
EPS Next Y79.21%
EPS Next 2Y59.74%
EPS Next 3Y45.08%
EPS Next 5Y31.63%
Revenue Next Year6.47%
Revenue Next 2Y7.4%
Revenue Next 3Y7.84%
Revenue Next 5Y7.8%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 23.67, which indicates a rather expensive current valuation of 1ADS.
Based on the Price/Earnings ratio, 1ADS is valued a bit cheaper than the industry average as 66.67% of the companies are valued more expensively.
When comparing the Price/Earnings ratio of 1ADS to the average of the S&P500 Index (26.46), we can say 1ADS is valued inline with the index average.
Based on the Price/Forward Earnings ratio of 14.87, the valuation of 1ADS can be described as correct.
Based on the Price/Forward Earnings ratio, 1ADS is valued a bit cheaper than the industry average as 77.08% of the companies are valued more expensively.
1ADS is valuated cheaply when we compare the Price/Forward Earnings ratio to 36.10, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 23.67 | ||
| Fwd PE | 14.87 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of 1ADS indicates a somewhat cheap valuation: 1ADS is cheaper than 60.42% of the companies listed in the same industry.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of 1ADS indicates a slightly more expensive valuation: 1ADS is more expensive than 72.92% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 76.2 | ||
| EV/EBITDA | 10.23 |
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.
A more expensive valuation may be justified as 1ADS's earnings are expected to grow with 45.08% in the coming years.
PEG (NY)0.3
PEG (5Y)N/A
EPS Next 2Y59.74%
EPS Next 3Y45.08%
5. Dividend
5.1 Amount
1ADS has a Yearly Dividend Yield of 1.25%.
The stock price of 1ADS dropped by -27.07% in the last 3 months. With lower prices the dividend yield is higher, but it may be a sign investors do not trust the long term dividend.
1ADS's Dividend Yield is slightly below the industry average, which is at 2.78.
Compared to an average S&P500 Dividend Yield of 2.32, 1ADS's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.25% |
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 2Y59.74%
EPS Next 3Y45.08%
BIT:1ADS (12/2/2025, 7:00:00 PM)
160.45
+0.85 (+0.53%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Durables & Apparel
GICS IndustryTextiles, Apparel & Luxury Goods
Earnings (Last)
Earnings (Next)
Inst Owners54.09%
Inst Owner ChangeN/A
Ins OwnersN/A
Ins Owner ChangeN/A
Market Cap28.88B
Revenue(TTM)24.70B
Net Income(TTM)1.22B
Analysts80.56
Price Target238.95 (48.92%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.25% |
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)-1.59%
PT rev (3m)-4.09%
EPS NQ rev (1m)1.23%
EPS NQ rev (3m)16.32%
EPS NY rev (1m)-1.12%
EPS NY rev (3m)-0.96%
Revenue NQ rev (1m)-0.27%
Revenue NQ rev (3m)-1.48%
Revenue NY rev (1m)-0.66%
Revenue NY rev (3m)-1.23%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 23.67 | ||
| Fwd PE | 14.87 | ||
| P/S | 1.17 | ||
| P/FCF | 76.2 | ||
| P/OCF | 31.7 | ||
| P/B | 5.07 | ||
| P/tB | 7.1 | ||
| EV/EBITDA | 10.23 |
EPS(TTM)6.78
EY4.23%
EPS(NY)10.79
Fwd EY6.73%
FCF(TTM)2.11
FCFY1.31%
OCF(TTM)5.06
OCFY3.15%
SpS137.22
BVpS31.66
TBVpS22.58
PEG (NY)0.3
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 | 3.3 |
F-Score7
WACC6.96%
ROIC/WACC1.91
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 Y79.21%
EPS Next 2Y59.74%
EPS Next 3Y45.08%
EPS Next 5Y31.63%
Revenue 1Y (TTM)9.64%
Revenue growth 3Y3.71%
Revenue growth 5Y0.04%
Sales Q2Q%2.98%
Revenue Next Year6.47%
Revenue Next 2Y7.4%
Revenue Next 3Y7.84%
Revenue Next 5Y7.8%
EBIT growth 1Y115.84%
EBIT growth 3Y-14.03%
EBIT growth 5Y-14.07%
EBIT Next Year154.98%
EBIT Next 3Y52.03%
EBIT Next 5Y33.25%
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 of ADIDAS AG (1ADS.MI) stock?
ChartMill assigns a valuation rating of 5 / 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.
Can you provide the PE and PB ratios for 1ADS stock?
The Price/Earnings (PE) ratio for ADIDAS AG (1ADS.MI) is 23.67 and the Price/Book (PB) ratio is 5.07.
Can you provide the financial health for 1ADS stock?
The financial health rating of ADIDAS AG (1ADS.MI) is 3 / 10.