CARL ZEISS MEDITEC AG - BR (AFX.DE) Stock Fundamental Analysis
FRA:AFX - Deutsche Boerse Ag - DE0005313704 - Common Stock - Currency: EUR
Taking everything into account, AFX scores 5 out of 10 in our fundamental rating. AFX was compared to 60 industry peers in the Health Care Equipment & Supplies industry. AFX has an excellent financial health rating, but there are some minor concerns on its profitability. AFX has a decent growth rate and is not valued too expensively.
1. Profitability
1.1 Basic Checks
AFX had positive earnings in the past year.
AFX had a positive operating cash flow in the past year.
Each year in the past 5 years AFX has been profitable.
AFX had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
With a decent Return On Assets value of 5.27%, AFX is doing good in the industry, outperforming 78.18% of the companies in the same industry.
Looking at the Return On Equity, with a value of 8.75%, AFX is in the better half of the industry, outperforming 74.55% of the companies in the same industry.
AFX has a Return On Invested Capital of 5.01%. This is in the better half of the industry: AFX outperforms 61.82% of its industry peers.
The Average Return On Invested Capital over the past 3 years for AFX is in line with the industry average of 7.96%.
The 3 year average ROIC (9.30%) for AFX is well above the current ROIC(5.01%). The reason for the recent decline needs to be investigated.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.27% | ||
| ROE | 8.75% | ||
| ROIC | 5.01% |
ROA(3y)8.42%
ROA(5y)8.24%
ROE(3y)12.26%
ROE(5y)11.91%
ROIC(3y)9.3%
ROIC(5y)9.86%
1.3 Margins
Looking at the Profit Margin, with a value of 8.65%, AFX is in the better half of the industry, outperforming 65.45% of the companies in the same industry.
AFX's Profit Margin has declined in the last couple of years.
AFX has a Operating Margin (9.41%) which is in line with its industry peers.
In the last couple of years the Operating Margin of AFX has declined.
AFX has a Gross Margin (52.69%) which is comparable to the rest of the industry.
In the last couple of years the Gross Margin of AFX has declined.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 9.41% | ||
| PM (TTM) | 8.65% | ||
| GM | 52.69% |
OM growth 3Y-25.26%
OM growth 5Y-12.3%
PM growth 3Y-15.52%
PM growth 5Y-4.6%
GM growth 3Y-3.56%
GM growth 5Y-1.56%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so AFX is still creating some value.
The number of shares outstanding for AFX has been reduced compared to 1 year ago.
AFX has less shares outstanding than it did 5 years ago.
AFX has a worse debt/assets ratio than last year.
2.2 Solvency
AFX has an Altman-Z score of 4.05. This indicates that AFX is financially healthy and has little risk of bankruptcy at the moment.
The Altman-Z score of AFX (4.05) is better than 85.45% of its industry peers.
AFX has a debt to FCF ratio of 6.42. This is a slightly negative value and a sign of low solvency as AFX would need 6.42 years to pay back of all of its debts.
With a decent Debt to FCF ratio value of 6.42, AFX is doing good in the industry, outperforming 63.64% of the companies in the same industry.
A Debt/Equity ratio of 0.29 indicates that AFX is not too dependend on debt financing.
Looking at the Debt to Equity ratio, with a value of 0.29, AFX is in the better half of the industry, outperforming 61.82% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.29 | ||
| Debt/FCF | 6.42 | ||
| Altman-Z | 4.05 |
ROIC/WACC0.74
WACC6.79%
2.3 Liquidity
A Current Ratio of 2.13 indicates that AFX has no problem at all paying its short term obligations.
The Current ratio of AFX (2.13) is better than 65.45% of its industry peers.
A Quick Ratio of 1.19 indicates that AFX should not have too much problems paying its short term obligations.
The Quick ratio of AFX (1.19) is better than 61.82% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.13 | ||
| Quick Ratio | 1.19 |
3. Growth
3.1 Past
The earnings per share for AFX have decreased strongly by -37.90% in the last year.
The Earnings Per Share has been growing slightly by 2.40% on average over the past years.
AFX shows a decrease in Revenue. In the last year, the revenue decreased by -1.11%.
The Revenue has been growing slightly by 7.20% on average over the past years.
EPS 1Y (TTM)-37.9%
EPS 3Y-8.8%
EPS 5Y2.4%
EPS Q2Q%-28.13%
Revenue 1Y (TTM)-1.11%
Revenue growth 3Y7.85%
Revenue growth 5Y7.2%
Sales Q2Q%-0.01%
3.2 Future
Based on estimates for the next years, AFX will show a very strong growth in Earnings Per Share. The EPS will grow by 21.14% on average per year.
The Revenue is expected to grow by 6.86% on average over the next years.
EPS Next Y-3.92%
EPS Next 2Y9.73%
EPS Next 3Y14.76%
EPS Next 5Y21.14%
Revenue Next Year5.55%
Revenue Next 2Y6.42%
Revenue Next 3Y7.19%
Revenue Next 5Y6.86%
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 stable: in the next years the growth will be about the same than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
AFX is valuated quite expensively with a Price/Earnings ratio of 30.22.
70.91% of the companies in the same industry are more expensive than AFX, based on the Price/Earnings ratio.
When comparing the Price/Earnings ratio of AFX to the average of the S&P500 Index (29.35), we can say AFX is valued inline with the index average.
A Price/Forward Earnings ratio of 31.46 indicates a quite expensive valuation of AFX.
AFX's Price/Forward Earnings is on the same level as the industry average.
The average S&P500 Price/Forward Earnings ratio is at 22.10. AFX is valued slightly more expensive when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 30.22 | ||
| Fwd PE | 31.46 |
4.2 Price Multiples
AFX's Enterprise Value to EBITDA ratio is a bit cheaper when compared to the industry. AFX is cheaper than 70.91% of the companies in the same industry.
AFX's Price/Free Cash Flow ratio is a bit cheaper when compared to the industry. AFX is cheaper than 61.82% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 57.13 | ||
| EV/EBITDA | 18.29 |
4.3 Compensation for Growth
AFX has a very decent profitability rating, which may justify a higher PE ratio.
A more expensive valuation may be justified as AFX's earnings are expected to grow with 14.76% in the coming years.
PEG (NY)N/A
PEG (5Y)12.57
EPS Next 2Y9.73%
EPS Next 3Y14.76%
5. Dividend
5.1 Amount
With a yearly dividend of 0.93%, AFX is not a good candidate for dividend investing.
Compared to an average industry Dividend Yield of 2.26, AFX pays a bit more dividend than its industry peers.
Compared to an average S&P500 Dividend Yield of 2.33, AFX's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.93% |
5.2 History
The dividend of AFX is nicely growing with an annual growth rate of 15.07%!
Dividend Growth(5Y)15.07%
Div Incr Years2
Div Non Decr Years3
5.3 Sustainability
54.94% of the earnings are spent on dividend by AFX. This is a bit on the high side, but may be sustainable.
The dividend of AFX is growing, but earnings are growing more, so the dividend growth is sustainable.
DP54.94%
EPS Next 2Y9.73%
EPS Next 3Y14.76%
FRA:AFX (3/7/2025, 7:00:00 PM)
60.75
-3.55 (-5.52%)
Chartmill FA Rating
GICS SectorHealth Care
GICS IndustryGroupHealth Care Equipment & Services
GICS IndustryHealth Care Equipment & Supplies
Earnings (Last)
Earnings (Next)
Inst Owners23.93%
Inst Owner ChangeN/A
Ins OwnersN/A
Ins Owner ChangeN/A
Market Cap5.43B
Analysts70.91
Price Target61.59 (1.38%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.93% |
Yearly Dividend1.11
Dividend Growth(5Y)15.07%
DP54.94%
Div Incr Years2
Div Non Decr Years3
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)0.65%
Min EPS beat(2)-35.88%
Max EPS beat(2)37.18%
EPS beat(4)3
Avg EPS beat(4)9.35%
Min EPS beat(4)-35.88%
Max EPS beat(4)37.18%
EPS beat(8)N/A
Avg EPS beat(8)N/A
EPS beat(12)N/A
Avg EPS beat(12)N/A
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)1
Avg Revenue beat(2)-1.14%
Min Revenue beat(2)-2.4%
Max Revenue beat(2)0.12%
Revenue beat(4)2
Avg Revenue beat(4)-2.23%
Min Revenue beat(4)-7.35%
Max Revenue beat(4)0.71%
Revenue beat(8)N/A
Avg Revenue beat(8)N/A
Revenue beat(12)N/A
Avg Revenue beat(12)N/A
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)1.18%
PT rev (3m)-14.46%
EPS NQ rev (1m)0%
EPS NQ rev (3m)N/A
EPS NY rev (1m)-3.61%
EPS NY rev (3m)-22.05%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)-0.59%
Revenue NY rev (3m)-4.38%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 30.22 | ||
| Fwd PE | 31.46 | ||
| P/S | 2.63 | ||
| P/FCF | 57.13 | ||
| P/OCF | 21.97 | ||
| P/B | 2.66 | ||
| P/tB | 15.42 | ||
| EV/EBITDA | 18.29 |
EPS(TTM)2.01
EY3.31%
EPS(NY)1.93
Fwd EY3.18%
FCF(TTM)1.06
FCFY1.75%
OCF(TTM)2.77
OCFY4.55%
SpS23.1
BVpS22.83
TBVpS3.94
PEG (NY)N/A
PEG (5Y)12.57
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.27% | ||
| ROE | 8.75% | ||
| ROCE | 6.89% | ||
| ROIC | 5.01% | ||
| ROICexc | 5.08% | ||
| ROICexgc | 12.92% | ||
| OM | 9.41% | ||
| PM (TTM) | 8.65% | ||
| GM | 52.69% | ||
| FCFM | 4.6% |
ROA(3y)8.42%
ROA(5y)8.24%
ROE(3y)12.26%
ROE(5y)11.91%
ROIC(3y)9.3%
ROIC(5y)9.86%
ROICexc(3y)9.4%
ROICexc(5y)9.95%
ROICexgc(3y)15.11%
ROICexgc(5y)14.88%
ROCE(3y)12.78%
ROCE(5y)13.55%
ROICexcg growth 3Y-11.32%
ROICexcg growth 5Y-4.98%
ROICexc growth 3Y-28.53%
ROICexc growth 5Y-15.45%
OM growth 3Y-25.26%
OM growth 5Y-12.3%
PM growth 3Y-15.52%
PM growth 5Y-4.6%
GM growth 3Y-3.56%
GM growth 5Y-1.56%
F-Score4
Asset Turnover0.61
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.29 | ||
| Debt/FCF | 6.42 | ||
| Debt/EBITDA | 1.79 | ||
| Cap/Depr | 114.64% | ||
| Cap/Sales | 7.37% | ||
| Interest Coverage | 15.83 | ||
| Cash Conversion | 75.58% | ||
| Profit Quality | 53.22% | ||
| Current Ratio | 2.13 | ||
| Quick Ratio | 1.19 | ||
| Altman-Z | 4.05 |
F-Score4
WACC6.79%
ROIC/WACC0.74
Cap/Depr(3y)128.62%
Cap/Depr(5y)113.53%
Cap/Sales(3y)5.71%
Cap/Sales(5y)4.9%
Profit Quality(3y)45.51%
Profit Quality(5y)74.23%
High Growth Momentum
Growth
EPS 1Y (TTM)-37.9%
EPS 3Y-8.8%
EPS 5Y2.4%
EPS Q2Q%-28.13%
EPS Next Y-3.92%
EPS Next 2Y9.73%
EPS Next 3Y14.76%
EPS Next 5Y21.14%
Revenue 1Y (TTM)-1.11%
Revenue growth 3Y7.85%
Revenue growth 5Y7.2%
Sales Q2Q%-0.01%
Revenue Next Year5.55%
Revenue Next 2Y6.42%
Revenue Next 3Y7.19%
Revenue Next 5Y6.86%
EBIT growth 1Y-44.14%
EBIT growth 3Y-19.39%
EBIT growth 5Y-5.98%
EBIT Next Year80.83%
EBIT Next 3Y35.67%
EBIT Next 5Y22.66%
FCF growth 1Y-30.57%
FCF growth 3Y-31.55%
FCF growth 5Y-11.27%
OCF growth 1Y-1.41%
OCF growth 3Y-11.98%
OCF growth 5Y2.4%