AP MOLLER-MAERSK A/S-B (DP4B.DE) Stock Fundamental Analysis
Europe - Frankfurt Stock Exchange - FRA:DP4B - DK0010244508 - Common Stock
2016 EUR
+35 (+1.77%)
Overall DP4B gets a fundamental rating of 5 out of 10. We evaluated DP4B against 17 industry peers in the Marine Transportation industry. DP4B has an excellent financial health rating, but there are some minor concerns on its profitability. DP4B is not valued too expensively and it also shows a decent growth rate. DP4B also has an excellent dividend rating.
1. Profitability
1.1 Basic Checks
- DP4B had positive earnings in the past year.
- DP4B had a positive operating cash flow in the past year.
- Each year in the past 5 years DP4B has been profitable.
- DP4B had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
- DP4B has a Return On Assets of 5.50%. This is in the lower half of the industry: DP4B underperforms 70.59% of its industry peers.
- DP4B has a Return On Equity of 8.65%. This is in the lower half of the industry: DP4B underperforms 76.47% of its industry peers.
- DP4B has a Return On Invested Capital of 4.53%. This is in the lower half of the industry: DP4B underperforms 70.59% of its industry peers.
- DP4B had an Average Return On Invested Capital over the past 3 years of 12.03%. This is above the industry average of 8.74%.
- The last Return On Invested Capital (4.53%) for DP4B is well below the 3 year average (12.03%), which needs to be investigated, but indicates that DP4B had better years and this may not be a problem.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.5% | ||
| ROE | 8.65% | ||
| ROIC | 4.53% |
ROA(3y)14.25%
ROA(5y)14.53%
ROE(3y)21.15%
ROE(5y)22.66%
ROIC(3y)12.03%
ROIC(5y)12.93%
1.3 Margins
- With a Profit Margin value of 8.83%, DP4B is not doing good in the industry: 76.47% of the companies in the same industry are doing better.
- DP4B's Profit Margin has declined in the last couple of years.
- DP4B's Operating Margin of 8.67% is on the low side compared to the rest of the industry. DP4B is outperformed by 64.71% of its industry peers.
- DP4B's Operating Margin has improved in the last couple of years.
- DP4B has a Gross Margin of 24.95%. This is amonst the worse of the industry: DP4B underperforms 82.35% of its industry peers.
- DP4B's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 8.67% | ||
| PM (TTM) | 8.83% | ||
| GM | 24.95% |
OM growth 3Y-30.14%
OM growth 5Y23.97%
PM growth 3Y-27.62%
PM growth 5YN/A
GM growth 3Y-15.74%
GM growth 5Y5.88%
2. Health
2.1 Basic Checks
- With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), DP4B is creating some value.
- Compared to 1 year ago, DP4B has less shares outstanding
- Compared to 5 years ago, DP4B has less shares outstanding
- The debt/assets ratio for DP4B is higher compared to a year ago.
2.2 Solvency
- An Altman-Z score of 2.57 indicates that DP4B is not a great score, but indicates only limited risk for bankruptcy at the moment.
- DP4B has a Altman-Z score (2.57) which is comparable to the rest of the industry.
- DP4B has a debt to FCF ratio of 3.05. This is a good value and a sign of high solvency as DP4B would need 3.05 years to pay back of all of its debts.
- The Debt to FCF ratio of DP4B (3.05) is better than 76.47% of its industry peers.
- DP4B has a Debt/Equity ratio of 0.26. This is a healthy value indicating a solid balance between debt and equity.
- Looking at the Debt to Equity ratio, with a value of 0.26, DP4B belongs to the top of the industry, outperforming 82.35% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.26 | ||
| Debt/FCF | 3.05 | ||
| Altman-Z | 2.57 |
ROIC/WACC0.62
WACC7.27%
2.3 Liquidity
- A Current Ratio of 2.16 indicates that DP4B has no problem at all paying its short term obligations.
- The Current ratio of DP4B (2.16) is better than 76.47% of its industry peers.
- A Quick Ratio of 2.05 indicates that DP4B has no problem at all paying its short term obligations.
- DP4B has a Quick ratio of 2.05. This is in the better half of the industry: DP4B outperforms 70.59% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.16 | ||
| Quick Ratio | 2.05 |
3. Growth
3.1 Past
- The Earnings Per Share has grown by an impressive 37.28% over the past year.
- The Earnings Per Share has been growing by 70.06% on average over the past years. This is a very strong growth
- The Revenue has been growing slightly by 4.98% in the past year.
- Measured over the past years, DP4B shows a small growth in Revenue. The Revenue has been growing by 7.37% on average per year.
EPS 1Y (TTM)37.28%
EPS 3Y-25.55%
EPS 5Y70.06%
EPS Q2Q%-64.25%
Revenue 1Y (TTM)4.98%
Revenue growth 3Y-3.52%
Revenue growth 5Y7.37%
Sales Q2Q%-9.87%
3.2 Future
- DP4B is expected to show a very negative growth in Earnings Per Share. In the coming years, the EPS will decrease by -21.08% yearly.
- DP4B is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 0.39% yearly.
EPS Next Y-47.17%
EPS Next 2Y-90.94%
EPS Next 3Y-59.19%
EPS Next 5Y-21.08%
Revenue Next Year-2.71%
Revenue Next 2Y-4.02%
Revenue Next 3Y-1.73%
Revenue Next 5Y0.39%
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 decreasing.
- 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
- With a Price/Earnings ratio of 7.62, the valuation of DP4B can be described as very cheap.
- Compared to the rest of the industry, the Price/Earnings ratio of DP4B is on the same level as its industry peers.
- The average S&P500 Price/Earnings ratio is at 28.87. DP4B is valued rather cheaply when compared to this.
- The Price/Forward Earnings ratio is 750.76, which means the current valuation is very expensive for DP4B.
- DP4B's Price/Forward Earnings ratio is rather expensive when compared to the industry. DP4B is more expensive than 82.35% of the companies in the same industry.
- When comparing the Price/Forward Earnings ratio of DP4B to the average of the S&P500 Index (25.96), we can say DP4B is valued expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 7.62 | ||
| Fwd PE | 750.76 |
4.2 Price Multiples
- Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of DP4B indicates a somewhat cheap valuation: DP4B is cheaper than 70.59% of the companies listed in the same industry.
- Compared to the rest of the industry, the Price/Free Cash Flow ratio of DP4B indicates a rather cheap valuation: DP4B is cheaper than 82.35% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 6.16 | ||
| EV/EBITDA | 4.45 |
4.3 Compensation for Growth
- A cheap valuation may be justified as DP4B's earnings are expected to decrease with -59.19% in the coming years.
PEG (NY)N/A
PEG (5Y)0.11
EPS Next 2Y-90.94%
EPS Next 3Y-59.19%
5. Dividend
5.1 Amount
- DP4B has a Yearly Dividend Yield of 7.53%, which is a nice return.
- DP4B's Dividend Yield is a higher than the industry average which is at 8.35.
- DP4B's Dividend Yield is rather good when compared to the S&P500 average which is at 1.82.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 7.53% |
5.2 History
- On average, the dividend of DP4B grows each year by 29.66%, which is quite nice.
Dividend Growth(5Y)29.66%
Div Incr Years1
Div Non Decr Years1
5.3 Sustainability
- 52.19% of the earnings are spent on dividend by DP4B. This is a bit on the high side, but may be sustainable.
- The Dividend Rate of DP4B has been growing, while earnings will be declining. This means the dividend growth is most likely not sustainable.
DP52.19%
EPS Next 2Y-90.94%
EPS Next 3Y-59.19%
AP MOLLER-MAERSK A/S-B / DP4B.DE FAQ
Can you provide the ChartMill fundamental rating for AP MOLLER-MAERSK A/S-B?
ChartMill assigns a fundamental rating of 5 / 10 to DP4B.DE.
Can you provide the valuation status for AP MOLLER-MAERSK A/S-B?
ChartMill assigns a valuation rating of 4 / 10 to AP MOLLER-MAERSK A/S-B (DP4B.DE). This can be considered as Fairly Valued.
Can you provide the profitability details for AP MOLLER-MAERSK A/S-B?
AP MOLLER-MAERSK A/S-B (DP4B.DE) has a profitability rating of 4 / 10.
What is the earnings growth outlook for AP MOLLER-MAERSK A/S-B?
The Earnings per Share (EPS) of AP MOLLER-MAERSK A/S-B (DP4B.DE) is expected to decline by -47.17% in the next year.
Is the dividend of AP MOLLER-MAERSK A/S-B sustainable?
The dividend rating of AP MOLLER-MAERSK A/S-B (DP4B.DE) is 7 / 10 and the dividend payout ratio is 52.19%.