RHEINMETALL AG (1RHM.MI) Stock Fundamental Analysis
Europe - Euronext Milan - BIT:1RHM - DE0007030009 - Common Stock
1461.5 EUR
+5.5 (+0.38%)
Taking everything into account, 1RHM scores 6 out of 10 in our fundamental rating. 1RHM was compared to 48 industry peers in the Aerospace & Defense industry. 1RHM has an excellent profitability rating, but there are some minor concerns on its financial health. 1RHM shows excellent growth, but is valued quite expensive already.
1. Profitability
1.1 Basic Checks
In the past year 1RHM was profitable.
In the past year 1RHM had a positive cash flow from operations.
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
Looking at the Return On Assets, with a value of 5.36%, 1RHM is in the better half of the industry, outperforming 68.75% of the companies in the same industry.
1RHM has a better Return On Equity (17.96%) than 66.67% of its industry peers.
Looking at the Return On Invested Capital, with a value of 14.80%, 1RHM belongs to the top of the industry, outperforming 89.58% of the companies in the same industry.
The Average Return On Invested Capital over the past 3 years for 1RHM is above the industry average of 9.29%.
The 3 year average ROIC (11.89%) for 1RHM is below the current ROIC(14.80%), indicating increased profibility in the last year.
| 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
Looking at the Profit Margin, with a value of 7.63%, 1RHM is in the better half of the industry, outperforming 66.67% of the companies in the same industry.
In the last couple of years the Profit Margin of 1RHM has grown nicely.
1RHM's Operating Margin of 13.41% is amongst the best of the industry. 1RHM outperforms 81.25% of its industry peers.
In the last couple of years the Operating Margin of 1RHM has grown nicely.
The Gross Margin of 1RHM (52.12%) is better than 77.08% 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
1RHM has a Return on Invested Capital (ROIC), which is well above the Cost of Capital (WACC), which means it is creating value.
1RHM has about the same amout of shares outstanding than it did 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
1RHM has an Altman-Z score of 5.17. This indicates that 1RHM is financially healthy and has little risk of bankruptcy at the moment.
1RHM's Altman-Z score of 5.17 is amongst the best of the industry. 1RHM outperforms 91.67% of its industry peers.
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.
Looking at the Debt to FCF ratio, with a value of 25.05, 1RHM is doing worse than 72.92% of the companies in the same industry.
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 75.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.26 | ||
| Debt/FCF | 25.05 | ||
| Altman-Z | 5.17 |
ROIC/WACC2.07
WACC7.15%
2.3 Liquidity
A Current Ratio of 1.14 indicates that 1RHM should not have too much problems paying its short term obligations.
1RHM's Current ratio of 1.14 is in line compared to the rest of the industry. 1RHM outperforms 43.75% of 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.
1RHM has a worse Quick ratio (0.49) than 79.17% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.14 | ||
| Quick Ratio | 0.49 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 38.07% over the past year.
Measured over the past years, 1RHM shows a quite strong growth in Earnings Per Share. The EPS has been growing by 15.30% on average per year.
Looking at the last year, 1RHM shows a very strong growth in Revenue. The Revenue has grown by 24.61%.
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
1RHM is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 47.50% yearly.
The Revenue is expected to grow by 29.80% on average over the next years. This is a very strong growth
EPS Next Y84.45%
EPS Next 2Y66.76%
EPS Next 3Y59.98%
EPS Next 5Y47.5%
Revenue Next Year26.03%
Revenue Next 2Y31.12%
Revenue Next 3Y32.16%
Revenue Next 5Y29.8%
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.
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
1RHM is valuated quite expensively with a Price/Earnings ratio of 76.04.
Compared to the rest of the industry, the Price/Earnings ratio of 1RHM indicates a slightly more expensive valuation: 1RHM is more expensive than 68.75% of the companies listed in the same industry.
The average S&P500 Price/Earnings ratio is at 25.65. 1RHM is valued rather expensively when compared to this.
The Price/Forward Earnings ratio is 33.20, 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 66.67% of the companies in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 34.45. 1RHM is around the same levels.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 76.04 | ||
| Fwd PE | 33.2 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, 1RHM is valued a bit more expensive than 77.08% of the companies in the same industry.
72.92% of the companies in the same industry are cheaper than 1RHM, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 693.08 | ||
| EV/EBITDA | 35.2 |
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.
The excellent profitability rating of 1RHM may justify a higher PE ratio.
A more expensive valuation may be justified as 1RHM's earnings are expected to grow with 59.98% in the coming years.
PEG (NY)0.9
PEG (5Y)4.97
EPS Next 2Y66.76%
EPS Next 3Y59.98%
5. Dividend
5.1 Amount
With a yearly dividend of 0.49%, 1RHM is not a good candidate for dividend investing.
Compared to an average industry Dividend Yield of 1.19, 1RHM is paying slightly less dividend.
With a Dividend Yield of 0.49, 1RHM pays less dividend than the S&P500 average, which is at 2.41.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.49% |
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
1RHM pays out 43.98% of its income as dividend. This is a bit on the high side, but may be sustainable.
The dividend of 1RHM is growing, but earnings are growing more, so the dividend growth is sustainable.
DP43.98%
EPS Next 2Y66.76%
EPS Next 3Y59.98%
BIT:1RHM (11/25/2025, 5:28:33 PM)
1461.5
+5.5 (+0.38%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryAerospace & Defense
Earnings (Last)
Earnings (Next)
Inst Owners45.01%
Inst Owner ChangeN/A
Ins OwnersN/A
Ins Owner ChangeN/A
Market Cap67.23B
Revenue(TTM)11.00B
Net Income(TTM)839.00M
Analysts82.5
Price Target2203.76 (50.79%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.49% |
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)1.33%
PT rev (3m)5.3%
EPS NQ rev (1m)-3.06%
EPS NQ rev (3m)-10.75%
EPS NY rev (1m)-0.87%
EPS NY rev (3m)0.27%
Revenue NQ rev (1m)-3.4%
Revenue NQ rev (3m)-7.52%
Revenue NY rev (1m)-0.25%
Revenue NY rev (3m)-0.34%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 76.04 | ||
| Fwd PE | 33.2 | ||
| P/S | 6.11 | ||
| P/FCF | 693.08 | ||
| P/OCF | 66.5 | ||
| P/B | 14.39 | ||
| P/tB | 35.27 | ||
| EV/EBITDA | 35.2 |
EPS(TTM)19.22
EY1.32%
EPS(NY)44.02
Fwd EY3.01%
FCF(TTM)2.11
FCFY0.14%
OCF(TTM)21.98
OCFY1.5%
SpS239.09
BVpS101.57
TBVpS41.43
PEG (NY)0.9
PEG (5Y)4.97
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 | 5.17 |
F-Score5
WACC7.15%
ROIC/WACC2.07
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 Y84.45%
EPS Next 2Y66.76%
EPS Next 3Y59.98%
EPS Next 5Y47.5%
Revenue 1Y (TTM)24.61%
Revenue growth 3Y19.89%
Revenue growth 5Y9.29%
Sales Q2Q%13.33%
Revenue Next Year26.03%
Revenue Next 2Y31.12%
Revenue Next 3Y32.16%
Revenue Next 5Y29.8%
EBIT growth 1Y32.76%
EBIT growth 3Y30.76%
EBIT growth 5Y23.18%
EBIT Next Year76.69%
EBIT Next 3Y52.41%
EBIT Next 5Y42.88%
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.
What is the valuation status of RHEINMETALL AG (1RHM.MI) stock?
ChartMill assigns a valuation rating of 3 / 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 earnings growth outlook for RHEINMETALL AG?
The Earnings per Share (EPS) of RHEINMETALL AG (1RHM.MI) is expected to grow by 84.45% in the next year.
Is the dividend of RHEINMETALL AG sustainable?
The dividend rating of RHEINMETALL AG (1RHM.MI) is 3 / 10 and the dividend payout ratio is 43.98%.