RHEINMETALL AG (1RHM.MI) Stock Fundamental Analysis
Europe - Euronext Milan - BIT:1RHM - DE0007030009 - Common Stock
1555 EUR
+30.5 (+2%)
We assign a fundamental rating of 6 out of 10 to 1RHM. 1RHM was compared to 45 industry peers in the Aerospace & Defense industry. 1RHM has an excellent profitability rating, but there are some minor concerns on its financial health. 1RHM is valued quite expensively, but it does show have an excellent growth rating.
1. Profitability
1.1 Basic Checks
1RHM had positive earnings in the past year.
1RHM had a positive operating cash flow in the past year.
1RHM had positive earnings in 4 of the past 5 years.
Each year in the past 5 years 1RHM had a positive operating cash flow.
1.2 Ratios
With a decent Return On Assets value of 5.36%, 1RHM is doing good in the industry, outperforming 71.11% of the companies in the same industry.
Looking at the Return On Equity, with a value of 17.96%, 1RHM is in the better half of the industry, outperforming 66.67% of the companies in the same industry.
1RHM has a better Return On Invested Capital (14.80%) than 88.89% of its industry peers.
The Average Return On Invested Capital over the past 3 years for 1RHM is above the industry average of 9.26%.
The last Return On Invested Capital (14.80%) for 1RHM is above the 3 year average (11.89%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.36% | ||
| ROE | 17.96% | ||
| ROIC | 14.8% |
ROA(3y)5.14%
ROA(5y)3.76%
ROE(3y)16.88%
ROE(5y)12.25%
ROIC(3y)11.89%
ROIC(5y)10.79%
1.3 Margins
The Profit Margin of 1RHM (7.63%) is better than 68.89% of its industry peers.
1RHM's Profit Margin has improved in the last couple of years.
With a decent Operating Margin value of 13.41%, 1RHM is doing good in the industry, outperforming 80.00% of the companies in the same industry.
In the last couple of years the Operating Margin of 1RHM has grown nicely.
1RHM has a better Gross Margin (52.12%) than 80.00% of its industry peers.
In the last couple of years the Gross Margin of 1RHM has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 13.41% | ||
| PM (TTM) | 7.63% | ||
| GM | 52.12% |
OM growth 3Y9.06%
OM growth 5Y12.72%
PM growth 3Y12.65%
PM growth 5Y6.54%
GM growth 3Y-1.05%
GM growth 5Y1.27%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) well above the Cost of Capital (WACC), 1RHM is creating value.
The number of shares outstanding for 1RHM remains at a similar level compared to 1 year ago.
1RHM has more shares outstanding than it did 5 years ago.
The debt/assets ratio for 1RHM is higher compared to a year ago.
2.2 Solvency
An Altman-Z score of 5.41 indicates that 1RHM is not in any danger for bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 5.41, 1RHM belongs to the top of the industry, outperforming 86.67% of the companies in the same industry.
The Debt to FCF ratio of 1RHM is 25.05, which is on the high side as it means it would take 1RHM, 25.05 years of fcf income to pay off all of its debts.
1RHM's Debt to FCF ratio of 25.05 is on the low side compared to the rest of the industry. 1RHM is outperformed by 71.11% of its industry peers.
A Debt/Equity ratio of 0.26 indicates that 1RHM is not too dependend on debt financing.
1RHM has a better Debt to Equity ratio (0.26) than 73.33% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.26 | ||
| Debt/FCF | 25.05 | ||
| Altman-Z | 5.41 |
ROIC/WACC1.92
WACC7.7%
2.3 Liquidity
1RHM has a Current Ratio of 1.14. This is a normal value and indicates that 1RHM is financially healthy and should not expect problems in meeting its short term obligations.
1RHM has a Current ratio (1.14) which is in line with its industry peers.
1RHM has a Quick Ratio of 1.14. This is a bad value and indicates that 1RHM is not financially healthy enough and could expect problems in meeting its short term obligations.
The Quick ratio of 1RHM (0.49) is worse than 80.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.14 | ||
| Quick Ratio | 0.49 |
3. Growth
3.1 Past
1RHM shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 38.07%, which is quite impressive.
1RHM shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 15.30% yearly.
The Revenue has grown by 24.61% in the past year. This is a very strong growth!
Measured over the past years, 1RHM shows a quite strong growth in Revenue. The Revenue has been growing by 9.29% on average per year.
EPS 1Y (TTM)38.07%
EPS 3Y33.06%
EPS 5Y15.3%
EPS Q2Q%8.52%
Revenue 1Y (TTM)24.61%
Revenue growth 3Y19.89%
Revenue growth 5Y9.29%
Sales Q2Q%13.33%
3.2 Future
Based on estimates for the next years, 1RHM will show a very strong growth in Earnings Per Share. The EPS will grow by 47.46% on average per year.
Based on estimates for the next years, 1RHM will show a very strong growth in Revenue. The Revenue will grow by 30.08% on average per year.
EPS Next Y75.28%
EPS Next 2Y63.47%
EPS Next 3Y59.11%
EPS Next 5Y47.46%
Revenue Next Year23.18%
Revenue Next 2Y29.45%
Revenue Next 3Y31.6%
Revenue Next 5Y30.08%
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
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
The Price/Earnings ratio is 80.91, which means the current valuation is very expensive for 1RHM.
Based on the Price/Earnings ratio, 1RHM is valued a bit more expensive than 68.89% of the companies in the same industry.
When comparing the Price/Earnings ratio of 1RHM to the average of the S&P500 Index (26.51), we can say 1RHM is valued expensively.
The Price/Forward Earnings ratio is 36.76, which means the current valuation is very expensive for 1RHM.
Based on the Price/Forward Earnings ratio, 1RHM is valued a bit more expensive than the industry average as 66.67% of the companies are valued more cheaply.
Compared to an average S&P500 Price/Forward Earnings ratio of 23.13, 1RHM is valued quite expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 80.91 | ||
| Fwd PE | 36.76 |
4.2 Price Multiples
75.56% of the companies in the same industry are cheaper than 1RHM, based on the Enterprise Value to EBITDA ratio.
1RHM's Price/Free Cash Flow ratio is a bit more expensive when compared to the industry. 1RHM is more expensive than 71.11% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 737.42 | ||
| EV/EBITDA | 37.53 |
4.3 Compensation for Growth
1RHM's PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
The excellent profitability rating of 1RHM may justify a higher PE ratio.
1RHM's earnings are expected to grow with 59.11% in the coming years. This may justify a more expensive valuation.
PEG (NY)1.07
PEG (5Y)5.29
EPS Next 2Y63.47%
EPS Next 3Y59.11%
5. Dividend
5.1 Amount
With a yearly dividend of 0.53%, 1RHM is not a good candidate for dividend investing.
The stock price of 1RHM dropped by -20.68% 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.
Compared to an average industry Dividend Yield of 0.90, 1RHM has a dividend in line with its industry peers.
Compared to an average S&P500 Dividend Yield of 2.00, 1RHM's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.53% |
5.2 History
On average, the dividend of 1RHM grows each year by 22.25%, which is quite nice.
Dividend Growth(5Y)22.25%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
43.98% of the earnings are spent on dividend by 1RHM. This is a bit on the high side, but may be sustainable.
1RHM's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP43.98%
EPS Next 2Y63.47%
EPS Next 3Y59.11%
BIT:1RHM (12/30/2025, 5:28:51 PM)
1555
+30.5 (+2%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryAerospace & Defense
Earnings (Last)
Earnings (Next)
Inst Owners45.19%
Inst Owner ChangeN/A
Ins OwnersN/A
Ins Owner ChangeN/A
Market Cap71.53B
Revenue(TTM)11.00B
Net Income(TTM)839.00M
Analysts81.54
Price Target2191.98 (40.96%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.53% |
Yearly Dividend5.71
Dividend Growth(5Y)22.25%
DP43.98%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-13.21%
Min EPS beat(2)-23.31%
Max EPS beat(2)-3.11%
EPS beat(4)0
Avg EPS beat(4)-16.91%
Min EPS beat(4)-23.39%
Max EPS beat(4)-3.11%
EPS beat(8)0
Avg EPS beat(8)-24.24%
EPS beat(12)2
Avg EPS beat(12)-13.02%
EPS beat(16)4
Avg EPS beat(16)-12%
Revenue beat(2)0
Avg Revenue beat(2)-3.34%
Min Revenue beat(2)-3.95%
Max Revenue beat(2)-2.73%
Revenue beat(4)1
Avg Revenue beat(4)-0.33%
Min Revenue beat(4)-6.12%
Max Revenue beat(4)11.46%
Revenue beat(8)3
Avg Revenue beat(8)-0.93%
Revenue beat(12)3
Avg Revenue beat(12)-1.06%
Revenue beat(16)4
Avg Revenue beat(16)-0.92%
PT rev (1m)-0.53%
PT rev (3m)4.52%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-10.75%
EPS NY rev (1m)-4.98%
EPS NY rev (3m)-5.8%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-7.52%
Revenue NY rev (1m)-2.26%
Revenue NY rev (3m)-2.52%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 80.91 | ||
| Fwd PE | 36.76 | ||
| P/S | 6.5 | ||
| P/FCF | 737.42 | ||
| P/OCF | 70.75 | ||
| P/B | 15.31 | ||
| P/tB | 37.53 | ||
| EV/EBITDA | 37.53 |
EPS(TTM)19.22
EY1.24%
EPS(NY)42.3
Fwd EY2.72%
FCF(TTM)2.11
FCFY0.14%
OCF(TTM)21.98
OCFY1.41%
SpS239.09
BVpS101.57
TBVpS41.43
PEG (NY)1.07
PEG (5Y)5.29
Graham Number209.58
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.36% | ||
| ROE | 17.96% | ||
| ROCE | 19.7% | ||
| ROIC | 14.8% | ||
| ROICexc | 15.99% | ||
| ROICexgc | 26.61% | ||
| OM | 13.41% | ||
| PM (TTM) | 7.63% | ||
| GM | 52.12% | ||
| FCFM | 0.88% |
ROA(3y)5.14%
ROA(5y)3.76%
ROE(3y)16.88%
ROE(5y)12.25%
ROIC(3y)11.89%
ROIC(5y)10.79%
ROICexc(3y)13.93%
ROICexc(5y)13.29%
ROICexgc(3y)21.41%
ROICexgc(5y)19.25%
ROCE(3y)16.31%
ROCE(5y)14.66%
ROICexgc growth 3Y12.63%
ROICexgc growth 5Y16.71%
ROICexc growth 3Y2.66%
ROICexc growth 5Y9.71%
OM growth 3Y9.06%
OM growth 5Y12.72%
PM growth 3Y12.65%
PM growth 5Y6.54%
GM growth 3Y-1.05%
GM growth 5Y1.27%
F-Score5
Asset Turnover0.7
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.26 | ||
| Debt/FCF | 25.05 | ||
| Debt/EBITDA | 0.61 | ||
| Cap/Depr | 190.02% | ||
| Cap/Sales | 8.31% | ||
| Interest Coverage | 210.71 | ||
| Cash Conversion | 51.69% | ||
| Profit Quality | 11.56% | ||
| Current Ratio | 1.14 | ||
| Quick Ratio | 0.49 | ||
| Altman-Z | 5.41 |
F-Score5
WACC7.7%
ROIC/WACC1.92
Cap/Depr(3y)150.34%
Cap/Depr(5y)120.05%
Cap/Sales(3y)6.17%
Cap/Sales(5y)5.53%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)38.07%
EPS 3Y33.06%
EPS 5Y15.3%
EPS Q2Q%8.52%
EPS Next Y75.28%
EPS Next 2Y63.47%
EPS Next 3Y59.11%
EPS Next 5Y47.46%
Revenue 1Y (TTM)24.61%
Revenue growth 3Y19.89%
Revenue growth 5Y9.29%
Sales Q2Q%13.33%
Revenue Next Year23.18%
Revenue Next 2Y29.45%
Revenue Next 3Y31.6%
Revenue Next 5Y30.08%
EBIT growth 1Y32.76%
EBIT growth 3Y30.76%
EBIT growth 5Y23.18%
EBIT Next Year75.21%
EBIT Next 3Y53.32%
EBIT Next 5Y43.29%
FCF growth 1Y44.78%
FCF growth 3Y33.1%
FCF growth 5Y25.85%
OCF growth 1Y120.26%
OCF growth 3Y35.59%
OCF growth 5Y23.4%
RHEINMETALL AG / 1RHM.MI FAQ
What is the ChartMill fundamental rating of RHEINMETALL AG (1RHM.MI) stock?
ChartMill assigns a fundamental rating of 6 / 10 to 1RHM.MI.
Can you provide the valuation status for RHEINMETALL AG?
ChartMill assigns a valuation rating of 2 / 10 to RHEINMETALL AG (1RHM.MI). This can be considered as Overvalued.
How profitable is RHEINMETALL AG (1RHM.MI) stock?
RHEINMETALL AG (1RHM.MI) has a profitability rating of 8 / 10.
What is the financial health of RHEINMETALL AG (1RHM.MI) stock?
The financial health rating of RHEINMETALL AG (1RHM.MI) is 4 / 10.
What is the earnings growth outlook for RHEINMETALL AG?
The Earnings per Share (EPS) of RHEINMETALL AG (1RHM.MI) is expected to grow by 75.28% in the next year.