CECONOMY AG (CEC.DE) Stock Fundamental Analysis
Europe • Frankfurt Stock Exchange • FRA:CEC • DE0007257503
4.395 EUR
+0.02 (+0.46%)
Last: Jan 30, 2026, 07:00 PM
Taking everything into account, CEC scores 4 out of 10 in our fundamental rating. CEC was compared to 56 industry peers in the Specialty Retail industry. While CEC is still in line with the averages on profitability rating, there are concerns on its financial health. CEC is cheap, but on the other hand it scores bad on growth.
1. Profitability
1.1 Basic Checks
- CEC had positive earnings in the past year.
- In the past year CEC had a positive cash flow from operations.
- In multiple years CEC reported negative net income over the last 5 years.
- Each year in the past 5 years CEC had a positive operating cash flow.
1.2 Ratios
- Looking at the Return On Assets, with a value of -0.34%, CEC is in line with its industry, outperforming 41.07% of the companies in the same industry.
- The Return On Equity of CEC (-7.20%) is worse than 67.86% of its industry peers.
- Looking at the Return On Invested Capital, with a value of 7.70%, CEC is in the better half of the industry, outperforming 66.07% of the companies in the same industry.
- Measured over the past 3 years, the Average Return On Invested Capital for CEC is significantly below the industry average of 10.20%.
- The 3 year average ROIC (4.66%) for CEC is below the current ROIC(7.70%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -0.34% | ||
| ROE | -7.2% | ||
| ROIC | 7.7% |
ROA(3y)0%
ROA(5y)0.69%
ROE(3y)-0.3%
ROE(5y)10.6%
ROIC(3y)4.66%
ROIC(5y)N/A
1.3 Margins
- CEC has a Operating Margin (1.31%) which is in line with its industry peers.
- In the last couple of years the Operating Margin of CEC has remained more or less at the same level.
- With a Gross Margin value of 18.00%, CEC is not doing good in the industry: 78.57% of the companies in the same industry are doing better.
- In the last couple of years the Gross Margin of CEC has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 1.31% | ||
| PM (TTM) | N/A | ||
| GM | 18% |
OM growth 3YN/A
OM growth 5Y-0.56%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y0.97%
GM growth 5Y-0.15%
2. Health
2.1 Basic Checks
- The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so CEC is still creating some value.
- CEC has about the same amout of shares outstanding than it did 1 year ago.
- Compared to 5 years ago, CEC has more shares outstanding
- Compared to 1 year ago, CEC has an improved debt to assets ratio.
2.2 Solvency
- CEC has an Altman-Z score of 2.35. This is not the best score and indicates that CEC is in the grey zone with still only limited risk for bankruptcy at the moment.
- CEC has a Altman-Z score of 2.35. This is in the better half of the industry: CEC outperforms 66.07% of its industry peers.
- The Debt to FCF ratio of CEC is 2.98, which is a good value as it means it would take CEC, 2.98 years of fcf income to pay off all of its debts.
- Looking at the Debt to FCF ratio, with a value of 2.98, CEC is in the better half of the industry, outperforming 76.79% of the companies in the same industry.
- A Debt/Equity ratio of 3.86 is on the high side and indicates that CEC has dependencies on debt financing.
- CEC has a worse Debt to Equity ratio (3.86) than 82.14% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 3.86 | ||
| Debt/FCF | 2.98 | ||
| Altman-Z | 2.35 |
ROIC/WACC1.02
WACC7.56%
2.3 Liquidity
- A Current Ratio of 0.90 indicates that CEC may have some problems paying its short term obligations.
- The Current ratio of CEC (0.90) is worse than 73.21% of its industry peers.
- A Quick Ratio of 0.46 indicates that CEC may have some problems paying its short term obligations.
- CEC's Quick ratio of 0.46 is in line compared to the rest of the industry. CEC outperforms 41.07% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.9 | ||
| Quick Ratio | 0.46 |
3. Growth
3.1 Past
- The earnings per share for CEC have decreased strongly by -161.80% in the last year.
- Measured over the past years, CEC shows a very negative growth in Earnings Per Share. The EPS has been decreasing by -15.59% on average per year.
- The Revenue has been growing slightly by 2.81% in the past year.
- Measured over the past years, CEC shows a small growth in Revenue. The Revenue has been growing by 0.90% on average per year.
EPS 1Y (TTM)-161.8%
EPS 3Y-37.45%
EPS 5Y-15.59%
EPS Q2Q%-14.88%
Revenue 1Y (TTM)2.81%
Revenue growth 3Y1.66%
Revenue growth 5Y0.9%
Sales Q2Q%4.22%
3.2 Future
- The Earnings Per Share is expected to grow by 47.87% on average over the next years. This is a very strong growth
- The Revenue is expected to decrease by -0.30% on average over the next years.
EPS Next Y84.49%
EPS Next 2Y84.4%
EPS Next 3Y57.02%
EPS Next 5Y47.87%
Revenue Next Year2.61%
Revenue Next 2Y2.56%
Revenue Next 3Y2.44%
Revenue Next 5Y-0.3%
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 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 29.30, the valuation of CEC can be described as expensive.
- The rest of the industry has a similar Price/Earnings ratio as CEC.
- CEC's Price/Earnings ratio indicates a similar valuation than the S&P500 average which is at 28.30.
- Based on the Price/Forward Earnings ratio of 8.62, the valuation of CEC can be described as reasonable.
- Based on the Price/Forward Earnings ratio, CEC is valued cheaply inside the industry as 85.71% of the companies are valued more expensively.
- CEC is valuated cheaply when we compare the Price/Forward Earnings ratio to 25.57, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 29.3 | ||
| Fwd PE | 8.62 |
4.2 Price Multiples
- Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of CEC indicates a rather cheap valuation: CEC is cheaper than 92.86% of the companies listed in the same industry.
- 89.29% of the companies in the same industry are more expensive than CEC, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 2.5 | ||
| EV/EBITDA | 3.2 |
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.
- A more expensive valuation may be justified as CEC's earnings are expected to grow with 57.02% in the coming years.
PEG (NY)0.35
PEG (5Y)N/A
EPS Next 2Y84.4%
EPS Next 3Y57.02%
5. Dividend
5.1 Amount
- No dividends for CEC!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
CECONOMY AG / CEC.DE FAQ
What is the fundamental rating for CEC stock?
ChartMill assigns a fundamental rating of 4 / 10 to CEC.DE.
Can you provide the valuation status for CECONOMY AG?
ChartMill assigns a valuation rating of 7 / 10 to CECONOMY AG (CEC.DE). This can be considered as Undervalued.
Can you provide the profitability details for CECONOMY AG?
CECONOMY AG (CEC.DE) has a profitability rating of 4 / 10.
Can you provide the PE and PB ratios for CEC stock?
The Price/Earnings (PE) ratio for CECONOMY AG (CEC.DE) is 29.3 and the Price/Book (PB) ratio is 4.39.
What is the financial health of CECONOMY AG (CEC.DE) stock?
The financial health rating of CECONOMY AG (CEC.DE) is 3 / 10.