DEUTSCHE ROHSTOFF AG (DR0.DE) Stock Fundamental Analysis
Europe - Frankfurt Stock Exchange - FRA:DR0 - DE000A0XYG76 - Common Stock
52.1 EUR
-0.3 (-0.57%)
We assign a fundamental rating of 5 out of 10 to DR0. DR0 was compared to 71 industry peers in the Oil, Gas & Consumable Fuels industry. DR0 scores excellent on profitability, but there are some minor concerns on its financial health. DR0 is valued correctly, but it does not seem to be growing. Finally DR0 also has an excellent dividend rating.
1. Profitability
1.1 Basic Checks
- In the past year DR0 was profitable.
- DR0 had a positive operating cash flow in the past year.
- DR0 had positive earnings in 4 of the past 5 years.
- DR0 had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
- DR0 has a better Return On Assets (6.84%) than 81.69% of its industry peers.
- With an excellent Return On Equity value of 17.53%, DR0 belongs to the best of the industry, outperforming 84.51% of the companies in the same industry.
- DR0 has a Return On Invested Capital of 11.04%. This is amongst the best in the industry. DR0 outperforms 87.32% of its industry peers.
- The Average Return On Invested Capital over the past 3 years for DR0 is significantly above the industry average of 8.91%.
- The last Return On Invested Capital (11.04%) for DR0 is well below the 3 year average (16.91%), which needs to be investigated, but indicates that DR0 had better years and this may not be a problem.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.84% | ||
| ROE | 17.53% | ||
| ROIC | 11.04% |
ROA(3y)14.55%
ROA(5y)9.34%
ROE(3y)38.65%
ROE(5y)23%
ROIC(3y)16.91%
ROIC(5y)N/A
1.3 Margins
- DR0 has a Profit Margin of 16.82%. This is in the better half of the industry: DR0 outperforms 77.46% of its industry peers.
- In the last couple of years the Profit Margin of DR0 has grown nicely.
- DR0's Operating Margin of 29.89% is fine compared to the rest of the industry. DR0 outperforms 76.06% of its industry peers.
- DR0's Operating Margin has improved in the last couple of years.
- DR0 has a Gross Margin of 80.01%. This is amongst the best in the industry. DR0 outperforms 84.51% of its industry peers.
- DR0's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 29.89% | ||
| PM (TTM) | 16.82% | ||
| GM | 80.01% |
OM growth 3Y15.38%
OM growth 5Y23.06%
PM growth 3Y-17.57%
PM growth 5Y95.45%
GM growth 3Y2.44%
GM growth 5Y-4.2%
2. Health
2.1 Basic Checks
- With a Return on Invested Capital (ROIC) well above the Cost of Capital (WACC), DR0 is creating value.
- Compared to 1 year ago, DR0 has less shares outstanding
- Compared to 5 years ago, DR0 has less shares outstanding
- Compared to 1 year ago, DR0 has an improved debt to assets ratio.
2.2 Solvency
- DR0 has an Altman-Z score of 1.78. This is a bad value and indicates that DR0 is not financially healthy and even has some risk of bankruptcy.
- Looking at the Altman-Z score, with a value of 1.78, DR0 is in line with its industry, outperforming 50.70% of the companies in the same industry.
- The Debt to FCF ratio of DR0 is 7.66, which is on the high side as it means it would take DR0, 7.66 years of fcf income to pay off all of its debts.
- With a Debt to FCF ratio value of 7.66, DR0 perfoms like the industry average, outperforming 49.30% of the companies in the same industry.
- A Debt/Equity ratio of 0.70 indicates that DR0 is somewhat dependend on debt financing.
- DR0 has a worse Debt to Equity ratio (0.70) than 64.79% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.7 | ||
| Debt/FCF | 7.66 | ||
| Altman-Z | 1.78 |
ROIC/WACC1.48
WACC7.48%
2.3 Liquidity
- A Current Ratio of 1.01 indicates that DR0 should not have too much problems paying its short term obligations.
- The Current ratio of DR0 (1.01) is worse than 71.83% of its industry peers.
- A Quick Ratio of 1.00 indicates that DR0 should not have too much problems paying its short term obligations.
- With a Quick ratio value of 1.00, DR0 perfoms like the industry average, outperforming 46.48% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.01 | ||
| Quick Ratio | 1 |
3. Growth
3.1 Past
- The earnings per share for DR0 have decreased strongly by -39.87% in the last year.
- The Earnings Per Share has been growing by 177.62% on average over the past years. This is a very strong growth
- DR0 shows a decrease in Revenue. In the last year, the revenue decreased by -9.20%.
- DR0 shows a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 41.70% yearly.
EPS 1Y (TTM)-39.87%
EPS 3Y22.09%
EPS 5Y177.62%
EPS Q2Q%-39.53%
Revenue 1Y (TTM)-9.2%
Revenue growth 3Y47.53%
Revenue growth 5Y41.7%
Sales Q2Q%-19.52%
3.2 Future
- Based on estimates for the next years, DR0 will show a very negative growth in Earnings Per Share. The EPS will decrease by -26.76% on average per year.
- Based on estimates for the next years, DR0 will show a decrease in Revenue. The Revenue will decrease by -9.76% on average per year.
EPS Next Y-52.38%
EPS Next 2Y-39.75%
EPS Next 3Y-26.76%
EPS Next 5YN/A
Revenue Next Year-19.6%
Revenue Next 2Y-15.92%
Revenue Next 3Y-9.76%
Revenue Next 5YN/A
3.3 Evolution
- The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
- When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
- The Price/Earnings ratio is 6.90, which indicates a rather cheap valuation of DR0.
- Compared to the rest of the industry, the Price/Earnings ratio of DR0 indicates a rather cheap valuation: DR0 is cheaper than 91.55% of the companies listed in the same industry.
- Compared to an average S&P500 Price/Earnings ratio of 28.82, DR0 is valued rather cheaply.
- DR0 is valuated correctly with a Price/Forward Earnings ratio of 12.46.
- Compared to the rest of the industry, the Price/Forward Earnings ratio of DR0 is on the same level as its industry peers.
- DR0 is valuated cheaply when we compare the Price/Forward Earnings ratio to 25.95, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 6.9 | ||
| Fwd PE | 12.46 |
4.2 Price Multiples
- Based on the Enterprise Value to EBITDA ratio, DR0 is valued cheaper than 84.51% of the companies in the same industry.
- Compared to the rest of the industry, the Price/Free Cash Flow ratio of DR0 indicates a somewhat cheap valuation: DR0 is cheaper than 74.65% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 10.53 | ||
| EV/EBITDA | 2.67 |
4.3 Compensation for Growth
- The excellent profitability rating of DR0 may justify a higher PE ratio.
- DR0's earnings are expected to decrease with -26.76% in the coming years. This may justify a cheaper valuation.
PEG (NY)N/A
PEG (5Y)0.04
EPS Next 2Y-39.75%
EPS Next 3Y-26.76%
5. Dividend
5.1 Amount
- DR0 has a Yearly Dividend Yield of 4.18%, which is a nice return.
- Compared to an average industry Dividend Yield of 5.24, DR0 pays a bit more dividend than its industry peers.
- DR0's Dividend Yield is rather good when compared to the S&P500 average which is at 1.82.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.18% |
5.2 History
- On average, the dividend of DR0 grows each year by 22.53%, which is quite nice.
Dividend Growth(5Y)22.53%
Div Incr Years3
Div Non Decr Years3
5.3 Sustainability
- 26.93% of the earnings are spent on dividend by DR0. This is a low number and sustainable payout ratio.
DP26.93%
EPS Next 2Y-39.75%
EPS Next 3Y-26.76%
DEUTSCHE ROHSTOFF AG / DR0.DE FAQ
What is the fundamental rating for DR0 stock?
ChartMill assigns a fundamental rating of 5 / 10 to DR0.DE.
What is the valuation status for DR0 stock?
ChartMill assigns a valuation rating of 6 / 10 to DEUTSCHE ROHSTOFF AG (DR0.DE). This can be considered as Fairly Valued.
What is the profitability of DR0 stock?
DEUTSCHE ROHSTOFF AG (DR0.DE) has a profitability rating of 8 / 10.
Can you provide the financial health for DR0 stock?
The financial health rating of DEUTSCHE ROHSTOFF AG (DR0.DE) is 4 / 10.
What is the expected EPS growth for DEUTSCHE ROHSTOFF AG (DR0.DE) stock?
The Earnings per Share (EPS) of DEUTSCHE ROHSTOFF AG (DR0.DE) is expected to decline by -52.38% in the next year.