SARTORIUS STEDIM BIOTECH (56S1.DE) Stock Fundamental Analysis
Europe - Frankfurt Stock Exchange - FRA:56S1 - FR0013154002 - Common Stock
204.7 EUR
-1.5 (-0.73%)
We assign a fundamental rating of 4 out of 10 to 56S1. 56S1 was compared to 20 industry peers in the Life Sciences Tools & Services industry. There are concerns on the financial health of 56S1 while its profitability can be described as average. While showing a medium growth rate, 56S1 is valued expensive at the moment.
1. Profitability
1.1 Basic Checks
- In the past year 56S1 was profitable.
- 56S1 had a positive operating cash flow in the past year.
- In the past 5 years 56S1 has always been profitable.
- 56S1 had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
- With a Return On Assets value of 3.36%, 56S1 is not doing good in the industry: 65.00% of the companies in the same industry are doing better.
- 56S1 has a worse Return On Equity (6.55%) than 60.00% of its industry peers.
- 56S1 has a Return On Invested Capital (5.94%) which is comparable to the rest of the industry.
- Measured over the past 3 years, the Average Return On Invested Capital for 56S1 is in line with the industry average of 9.00%.
- The 3 year average ROIC (10.41%) for 56S1 is well above the current ROIC(5.94%). The reason for the recent decline needs to be investigated.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.36% | ||
| ROE | 6.55% | ||
| ROIC | 5.94% |
ROA(3y)7.81%
ROA(5y)9.13%
ROE(3y)17.3%
ROE(5y)20.06%
ROIC(3y)10.41%
ROIC(5y)14.57%
1.3 Margins
- 56S1 has a Profit Margin (8.98%) which is comparable to the rest of the industry.
- 56S1's Profit Margin has declined in the last couple of years.
- Looking at the Operating Margin, with a value of 16.63%, 56S1 is in line with its industry, outperforming 60.00% of the companies in the same industry.
- 56S1's Operating Margin has declined in the last couple of years.
- With a decent Gross Margin value of 45.64%, 56S1 is doing good in the industry, outperforming 65.00% of the companies in the same industry.
- In the last couple of years the Gross Margin of 56S1 has declined.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 16.63% | ||
| PM (TTM) | 8.98% | ||
| GM | 45.64% |
OM growth 3Y-22.38%
OM growth 5Y-9.98%
PM growth 3Y-24.01%
PM growth 5Y-17.3%
GM growth 3Y-6.9%
GM growth 5Y-3.53%
2. Health
2.1 Basic Checks
- 56S1 has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
- The number of shares outstanding for 56S1 has been increased compared to 1 year ago.
- 56S1 has more shares outstanding than it did 5 years ago.
- 56S1 has a better debt/assets ratio than last year.
2.2 Solvency
- 56S1 has an Altman-Z score of 4.41. This indicates that 56S1 is financially healthy and has little risk of bankruptcy at the moment.
- 56S1's Altman-Z score of 4.41 is fine compared to the rest of the industry. 56S1 outperforms 75.00% of its industry peers.
- The Debt to FCF ratio of 56S1 is 6.84, which is on the high side as it means it would take 56S1, 6.84 years of fcf income to pay off all of its debts.
- 56S1 has a worse Debt to FCF ratio (6.84) than 60.00% of its industry peers.
- A Debt/Equity ratio of 0.50 indicates that 56S1 is not too dependend on debt financing.
- The Debt to Equity ratio of 56S1 (0.50) is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.5 | ||
| Debt/FCF | 6.84 | ||
| Altman-Z | 4.41 |
ROIC/WACC0.63
WACC9.36%
2.3 Liquidity
- 56S1 has a Current Ratio of 1.05. This is a normal value and indicates that 56S1 is financially healthy and should not expect problems in meeting its short term obligations.
- The Current ratio of 56S1 (1.05) is worse than 70.00% of its industry peers.
- 56S1 has a Quick Ratio of 1.05. This is a bad value and indicates that 56S1 is not financially healthy enough and could expect problems in meeting its short term obligations.
- 56S1 has a worse Quick ratio (0.50) than 80.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.05 | ||
| Quick Ratio | 0.5 |
3. Growth
3.1 Past
- 56S1 shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 35.11%, which is quite impressive.
- 56S1 shows a small growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 4.19% yearly.
- Looking at the last year, 56S1 shows a small growth in Revenue. The Revenue has grown by 7.72% in the last year.
- 56S1 shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 14.05% yearly.
EPS 1Y (TTM)35.11%
EPS 3Y-22.3%
EPS 5Y4.19%
EPS Q2Q%23.68%
Revenue 1Y (TTM)7.72%
Revenue growth 3Y-1.25%
Revenue growth 5Y14.05%
Sales Q2Q%7.67%
3.2 Future
- 56S1 is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 21.17% yearly.
- The Revenue is expected to grow by 9.86% on average over the next years. This is quite good.
EPS Next Y29.39%
EPS Next 2Y23.86%
EPS Next 3Y23.06%
EPS Next 5Y21.17%
Revenue Next Year7.45%
Revenue Next 2Y8.04%
Revenue Next 3Y9.07%
Revenue Next 5Y9.86%
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 decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
- The Price/Earnings ratio is 47.49, which means the current valuation is very expensive for 56S1.
- Compared to the rest of the industry, the Price/Earnings ratio of 56S1 indicates a rather expensive valuation: 56S1 more expensive than 80.00% of the companies listed in the same industry.
- 56S1 is valuated expensively when we compare the Price/Earnings ratio to 27.21, which is the current average of the S&P500 Index.
- Based on the Price/Forward Earnings ratio of 38.12, the valuation of 56S1 can be described as expensive.
- Compared to the rest of the industry, the Price/Forward Earnings ratio of 56S1 indicates a rather expensive valuation: 56S1 more expensive than 80.00% of the companies listed in the same industry.
- Compared to an average S&P500 Price/Forward Earnings ratio of 24.26, 56S1 is valued quite expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 47.49 | ||
| Fwd PE | 38.12 |
4.2 Price Multiples
- Based on the Enterprise Value to EBITDA ratio, 56S1 is valued more expensive than 85.00% of the companies in the same industry.
- Based on the Price/Free Cash Flow ratio, 56S1 is valued a bit more expensive than the industry average as 65.00% of the companies are valued more cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 53.19 | ||
| EV/EBITDA | 27.46 |
4.3 Compensation for Growth
- 56S1's PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
- A more expensive valuation may be justified as 56S1's earnings are expected to grow with 23.06% in the coming years.
PEG (NY)1.62
PEG (5Y)11.32
EPS Next 2Y23.86%
EPS Next 3Y23.06%
5. Dividend
5.1 Amount
- With a yearly dividend of 0.32%, 56S1 is not a good candidate for dividend investing.
- 56S1's Dividend Yield is slightly below the industry average, which is at 0.54.
- Compared to an average S&P500 Dividend Yield of 1.82, 56S1's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.32% |
5.2 History
- The dividend of 56S1 has a limited annual growth rate of 4.44%.
Dividend Growth(5Y)4.44%
Div Incr Years0
Div Non Decr Years1
5.3 Sustainability
- 25.37% of the earnings are spent on dividend by 56S1. This is a low number and sustainable payout ratio.
- 56S1's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP25.37%
EPS Next 2Y23.86%
EPS Next 3Y23.06%
SARTORIUS STEDIM BIOTECH / 56S1.DE FAQ
What is the ChartMill fundamental rating of SARTORIUS STEDIM BIOTECH (56S1.DE) stock?
ChartMill assigns a fundamental rating of 4 / 10 to 56S1.DE.
Can you provide the valuation status for SARTORIUS STEDIM BIOTECH?
ChartMill assigns a valuation rating of 1 / 10 to SARTORIUS STEDIM BIOTECH (56S1.DE). This can be considered as Overvalued.
How profitable is SARTORIUS STEDIM BIOTECH (56S1.DE) stock?
SARTORIUS STEDIM BIOTECH (56S1.DE) has a profitability rating of 4 / 10.
Can you provide the PE and PB ratios for 56S1 stock?
The Price/Earnings (PE) ratio for SARTORIUS STEDIM BIOTECH (56S1.DE) is 47.49 and the Price/Book (PB) ratio is 4.94.
What is the earnings growth outlook for SARTORIUS STEDIM BIOTECH?
The Earnings per Share (EPS) of SARTORIUS STEDIM BIOTECH (56S1.DE) is expected to grow by 29.39% in the next year.