BAYERISCHE MOTOREN WERKE AG (BMW.DE) Stock Fundamental Analysis
FRA:BMW - Deutsche Boerse Ag - DE0005190003 - Common Stock - Currency: EUR
We assign a fundamental rating of 4 out of 10 to BMW. BMW was compared to 28 industry peers in the Automobiles industry. There are concerns on the financial health of BMW while its profitability can be described as average. BMW has a valuation in line with the averages, but on the other hand it scores bad on growth.
1. Profitability
1.1 Basic Checks
In the past year BMW was profitable.
BMW had a positive operating cash flow in the past year.
Each year in the past 5 years BMW has been profitable.
BMW had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
Looking at the Return On Assets, with a value of 2.72%, BMW is in line with its industry, outperforming 57.14% of the companies in the same industry.
With a Return On Equity value of 7.90%, BMW perfoms like the industry average, outperforming 46.43% of the companies in the same industry.
BMW has a Return On Invested Capital (4.51%) which is comparable to the rest of the industry.
Measured over the past 3 years, the Average Return On Invested Capital for BMW is in line with the industry average of 7.39%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.72% | ||
| ROE | 7.9% | ||
| ROIC | 4.51% |
ROA(3y)4.83%
ROA(5y)4.33%
ROE(3y)13.7%
ROE(5y)12.79%
ROIC(3y)6.06%
ROIC(5y)5.34%
1.3 Margins
Looking at the Profit Margin, with a value of 5.12%, BMW is in the better half of the industry, outperforming 60.71% of the companies in the same industry.
In the last couple of years the Profit Margin of BMW has grown nicely.
With a decent Operating Margin value of 8.08%, BMW is doing good in the industry, outperforming 64.29% of the companies in the same industry.
BMW's Operating Margin has improved in the last couple of years.
Looking at the Gross Margin, with a value of 16.08%, BMW is doing worse than 67.86% of the companies in the same industry.
In the last couple of years the Gross Margin of BMW has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 8.08% | ||
| PM (TTM) | 5.12% | ||
| GM | 16.08% |
OM growth 3Y-12.91%
OM growth 5Y1.88%
PM growth 3Y-22.81%
PM growth 5Y1.66%
GM growth 3Y-6.65%
GM growth 5Y-1.49%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), BMW is creating some value.
Compared to 1 year ago, BMW has less shares outstanding
BMW has less shares outstanding than it did 5 years ago.
BMW has a worse debt/assets ratio than last year.
2.2 Solvency
Based on the Altman-Z score of 1.36, we must say that BMW is in the distress zone and has some risk of bankruptcy.
The Altman-Z score of BMW (1.36) is comparable to the rest of the industry.
BMW has a Debt/Equity ratio of 0.72. This is a neutral value indicating BMW is somewhat dependend on debt financing.
BMW has a Debt to Equity ratio of 0.72. This is in the better half of the industry: BMW outperforms 60.71% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.72 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 1.36 |
ROIC/WACC1.06
WACC4.25%
2.3 Liquidity
A Current Ratio of 1.10 indicates that BMW should not have too much problems paying its short term obligations.
BMW has a worse Current ratio (1.10) than 60.71% of its industry peers.
BMW has a Quick Ratio of 1.10. This is a bad value and indicates that BMW is not financially healthy enough and could expect problems in meeting its short term obligations.
BMW has a worse Quick ratio (0.82) than 67.86% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.1 | ||
| Quick Ratio | 0.82 |
3. Growth
3.1 Past
BMW shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -34.24%.
BMW shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 9.24% yearly.
Looking at the last year, BMW shows a decrease in Revenue. The Revenue has decreased by -8.44% in the last year.
BMW shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 6.44% yearly.
EPS 1Y (TTM)-34.24%
EPS 3Y-14.77%
EPS 5Y9.24%
EPS Q2Q%-36.07%
Revenue 1Y (TTM)-8.44%
Revenue growth 3Y8.58%
Revenue growth 5Y6.44%
Sales Q2Q%-15.25%
3.2 Future
BMW is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 6.29% yearly.
Based on estimates for the next years, BMW will show a small growth in Revenue. The Revenue will grow by 1.89% on average per year.
EPS Next Y-1.39%
EPS Next 2Y2.58%
EPS Next 3Y5.14%
EPS Next 5Y6.29%
Revenue Next Year2.26%
Revenue Next 2Y2.11%
Revenue Next 3Y4.04%
Revenue Next 5Y1.89%
3.3 Evolution
The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
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
Based on the Price/Earnings ratio of 6.44, the valuation of BMW can be described as very cheap.
BMW's Price/Earnings ratio is in line with the industry average.
BMW is valuated cheaply when we compare the Price/Earnings ratio to 28.92, which is the current average of the S&P500 Index.
Based on the Price/Forward Earnings ratio of 6.53, the valuation of BMW can be described as very cheap.
BMW's Price/Forward Earnings ratio is in line with the industry average.
BMW is valuated cheaply when we compare the Price/Forward Earnings ratio to 21.65, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 6.44 | ||
| Fwd PE | 6.53 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, BMW is valued a bit more expensive than the industry average as 60.71% of the companies are valued more cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 6.64 |
4.3 Compensation for Growth
BMW has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)0.7
EPS Next 2Y2.58%
EPS Next 3Y5.14%
5. Dividend
5.1 Amount
BMW has a Yearly Dividend Yield of 6.12%, which is a nice return.
BMW's Dividend Yield is a higher than the industry average which is at 7.56.
BMW's Dividend Yield is rather good when compared to the S&P500 average which is at 2.51.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 6.12% |
5.2 History
On average, the dividend of BMW grows each year by 16.27%, which is quite nice.
Dividend Growth(5Y)16.27%
Div Incr Years2
Div Non Decr Years3
5.3 Sustainability
65.76% of the earnings are spent on dividend by BMW. This is not a sustainable payout ratio.
The dividend of BMW is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP65.76%
EPS Next 2Y2.58%
EPS Next 3Y5.14%
FRA:BMW (4/24/2025, 7:00:00 PM)
74.8
+1.16 (+1.58%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupAutomobiles & Components
GICS IndustryAutomobiles
Earnings (Last)
Earnings (Next)
Inst Owners22.17%
Inst Owner ChangeN/A
Ins Owners48.56%
Ins Owner ChangeN/A
Market Cap47.78B
Analysts70.97
Price Target89.73 (19.96%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 6.12% |
Yearly Dividend7.63
Dividend Growth(5Y)16.27%
DP65.76%
Div Incr Years2
Div Non Decr Years3
Ex-DateN/A
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-30.4%
Min EPS beat(2)-57.28%
Max EPS beat(2)-3.53%
EPS beat(4)1
Avg EPS beat(4)-15.19%
Min EPS beat(4)-57.28%
Max EPS beat(4)2.37%
EPS beat(8)2
Avg EPS beat(8)-9.8%
EPS beat(12)5
Avg EPS beat(12)-3.71%
EPS beat(16)9
Avg EPS beat(16)3.56%
Revenue beat(2)0
Avg Revenue beat(2)-10.13%
Min Revenue beat(2)-12.81%
Max Revenue beat(2)-7.45%
Revenue beat(4)0
Avg Revenue beat(4)-6.71%
Min Revenue beat(4)-12.81%
Max Revenue beat(4)-1.72%
Revenue beat(8)3
Avg Revenue beat(8)-2.53%
Revenue beat(12)6
Avg Revenue beat(12)-0.96%
Revenue beat(16)9
Avg Revenue beat(16)-0.02%
PT rev (1m)1.29%
PT rev (3m)1.33%
EPS NQ rev (1m)-4.98%
EPS NQ rev (3m)-15.26%
EPS NY rev (1m)-12.89%
EPS NY rev (3m)-20.54%
Revenue NQ rev (1m)-5.31%
Revenue NQ rev (3m)-5.31%
Revenue NY rev (1m)0%
Revenue NY rev (3m)0.39%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 6.44 | ||
| Fwd PE | 6.53 | ||
| P/S | 0.34 | ||
| P/FCF | N/A | ||
| P/OCF | 6.31 | ||
| P/B | 0.52 | ||
| P/tB | 0.66 | ||
| EV/EBITDA | 6.64 |
EPS(TTM)11.62
EY15.53%
EPS(NY)11.46
Fwd EY15.32%
FCF(TTM)-7.26
FCFYN/A
OCF(TTM)11.85
OCFY15.84%
SpS222.91
BVpS144.53
TBVpS112.87
PEG (NY)N/A
PEG (5Y)0.7
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.72% | ||
| ROE | 7.9% | ||
| ROCE | 6.39% | ||
| ROIC | 4.51% | ||
| ROICexc | 5.13% | ||
| ROICexgc | 5.89% | ||
| OM | 8.08% | ||
| PM (TTM) | 5.12% | ||
| GM | 16.08% | ||
| FCFM | N/A |
ROA(3y)4.83%
ROA(5y)4.33%
ROE(3y)13.7%
ROE(5y)12.79%
ROIC(3y)6.06%
ROIC(5y)5.34%
ROICexc(3y)6.95%
ROICexc(5y)6.15%
ROICexgc(3y)8.08%
ROICexgc(5y)7.04%
ROCE(3y)8.74%
ROCE(5y)7.68%
ROICexcg growth 3Y-10.71%
ROICexcg growth 5Y4.54%
ROICexc growth 3Y-11.6%
ROICexc growth 5Y3.73%
OM growth 3Y-12.91%
OM growth 5Y1.88%
PM growth 3Y-22.81%
PM growth 5Y1.66%
GM growth 3Y-6.65%
GM growth 5Y-1.49%
F-Score5
Asset Turnover0.53
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.72 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 3.31 | ||
| Cap/Depr | 141.1% | ||
| Cap/Sales | 8.57% | ||
| Interest Coverage | 58.72 | ||
| Cash Conversion | 37.53% | ||
| Profit Quality | N/A | ||
| Current Ratio | 1.1 | ||
| Quick Ratio | 0.82 | ||
| Altman-Z | 1.36 |
F-Score5
WACC4.25%
ROIC/WACC1.06
Cap/Depr(3y)122.67%
Cap/Depr(5y)114.02%
Cap/Sales(3y)7.31%
Cap/Sales(5y)6.82%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-34.24%
EPS 3Y-14.77%
EPS 5Y9.24%
EPS Q2Q%-36.07%
EPS Next Y-1.39%
EPS Next 2Y2.58%
EPS Next 3Y5.14%
EPS Next 5Y6.29%
Revenue 1Y (TTM)-8.44%
Revenue growth 3Y8.58%
Revenue growth 5Y6.44%
Sales Q2Q%-15.25%
Revenue Next Year2.26%
Revenue Next 2Y2.11%
Revenue Next 3Y4.04%
Revenue Next 5Y1.89%
EBIT growth 1Y-37.73%
EBIT growth 3Y-5.44%
EBIT growth 5Y8.44%
EBIT Next Year75.55%
EBIT Next 3Y26.43%
EBIT Next 5Y13.38%
FCF growth 1Y-169.36%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y-56.94%
OCF growth 3Y-21.95%
OCF growth 5Y16.15%