FRESENIUS MEDICAL CARE AG (FME.DE) Stock Fundamental Analysis
Europe - Frankfurt Stock Exchange - FRA:FME - DE0005785802 - Common Stock
40.04 EUR
+0.03 (+0.07%)
Taking everything into account, FME scores 5 out of 10 in our fundamental rating. FME was compared to 29 industry peers in the Health Care Providers & Services industry. FME has only an average score on both its financial health and profitability. FME is not valued too expensively and it also shows a decent growth rate. Finally FME also has an excellent dividend rating.
1. Profitability
1.1 Basic Checks
FME had positive earnings in the past year.
FME had a positive operating cash flow in the past year.
Each year in the past 5 years FME has been profitable.
Each year in the past 5 years FME had a positive operating cash flow.
1.2 Ratios
FME has a Return On Assets (2.33%) which is in line with its industry peers.
The Return On Equity of FME (5.55%) is worse than 66.67% of its industry peers.
FME has a Return On Invested Capital of 3.95%. This is in the lower half of the industry: FME underperforms 62.96% of its industry peers.
FME had an Average Return On Invested Capital over the past 3 years of 3.14%. This is below the industry average of 6.67%.
The last Return On Invested Capital (3.95%) for FME is above the 3 year average (3.14%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.33% | ||
| ROE | 5.55% | ||
| ROIC | 3.95% |
ROA(3y)1.65%
ROA(5y)2.29%
ROE(3y)4.06%
ROE(5y)6.04%
ROIC(3y)3.14%
ROIC(5y)4%
1.3 Margins
FME's Profit Margin of 3.66% is in line compared to the rest of the industry. FME outperforms 55.56% of its industry peers.
FME's Profit Margin has declined in the last couple of years.
The Operating Margin of FME (7.19%) is comparable to the rest of the industry.
FME's Operating Margin has declined in the last couple of years.
FME has a Gross Margin of 25.00%. This is comparable to the rest of the industry: FME outperforms 59.26% of its industry peers.
FME's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 7.19% | ||
| PM (TTM) | 3.66% | ||
| GM | 25% |
OM growth 3Y-13.44%
OM growth 5Y-12.95%
PM growth 3Y-20.33%
PM growth 5Y-16.53%
GM growth 3Y-3.16%
GM growth 5Y-4.44%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), FME is destroying value.
FME has about the same amout of shares outstanding than it did 1 year ago.
Compared to 5 years ago, FME has less shares outstanding
The debt/assets ratio for FME has been reduced compared to a year ago.
2.2 Solvency
FME has an Altman-Z score of 2.19. This is not the best score and indicates that FME is in the grey zone with still only limited risk for bankruptcy at the moment.
FME has a Altman-Z score (2.19) which is comparable to the rest of the industry.
FME has a debt to FCF ratio of 5.97. This is a neutral value as FME would need 5.97 years to pay back of all of its debts.
Looking at the Debt to FCF ratio, with a value of 5.97, FME is in the better half of the industry, outperforming 70.37% of the companies in the same industry.
FME has a Debt/Equity ratio of 0.73. This is a neutral value indicating FME is somewhat dependend on debt financing.
FME has a better Debt to Equity ratio (0.73) than 62.96% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.73 | ||
| Debt/FCF | 5.97 | ||
| Altman-Z | 2.19 |
ROIC/WACC0.7
WACC5.64%
2.3 Liquidity
A Current Ratio of 1.36 indicates that FME should not have too much problems paying its short term obligations.
The Current ratio of FME (1.36) is better than 66.67% of its industry peers.
FME has a Quick Ratio of 1.36. This is a bad value and indicates that FME is not financially healthy enough and could expect problems in meeting its short term obligations.
FME has a Quick ratio of 1.00. This is in the better half of the industry: FME outperforms 62.96% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.36 | ||
| Quick Ratio | 1 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an nice 16.77% over the past year.
The Earnings Per Share has been decreasing by -6.43% on average over the past years.
FME shows a small growth in Revenue. In the last year, the Revenue has grown by 2.10%.
Measured over the past years, FME shows a small growth in Revenue. The Revenue has been growing by 2.04% on average per year.
EPS 1Y (TTM)16.77%
EPS 3Y-1.97%
EPS 5Y-6.43%
EPS Q2Q%34.15%
Revenue 1Y (TTM)2.1%
Revenue growth 3Y3.15%
Revenue growth 5Y2.04%
Sales Q2Q%2.63%
3.2 Future
Based on estimates for the next years, FME will show a quite strong growth in Earnings Per Share. The EPS will grow by 13.73% on average per year.
FME is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 4.08% yearly.
EPS Next Y21.52%
EPS Next 2Y12.88%
EPS Next 3Y13.2%
EPS Next 5Y13.73%
Revenue Next Year1.57%
Revenue Next 2Y2.24%
Revenue Next 3Y2.92%
Revenue Next 5Y4.08%
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 accelerating.
The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 10.65, the valuation of FME can be described as reasonable.
FME's Price/Earnings ratio is rather cheap when compared to the industry. FME is cheaper than 92.59% of the companies in the same industry.
When comparing the Price/Earnings ratio of FME to the average of the S&P500 Index (26.49), we can say FME is valued rather cheaply.
A Price/Forward Earnings ratio of 9.67 indicates a reasonable valuation of FME.
Based on the Price/Forward Earnings ratio, FME is valued cheaper than 92.59% of the companies in the same industry.
When comparing the Price/Forward Earnings ratio of FME to the average of the S&P500 Index (23.69), we can say FME is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.65 | ||
| Fwd PE | 9.67 |
4.2 Price Multiples
The rest of the industry has a similar Enterprise Value to EBITDA ratio as FME.
FME's Price/Free Cash Flow is on the same level as the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 13.39 | ||
| EV/EBITDA | 10.45 |
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 FME's earnings are expected to grow with 13.20% in the coming years.
PEG (NY)0.49
PEG (5Y)N/A
EPS Next 2Y12.88%
EPS Next 3Y13.2%
5. Dividend
5.1 Amount
FME has a Yearly Dividend Yield of 3.59%. Purely for dividend investing, there may be better candidates out there.
FME's Dividend Yield is rather good when compared to the industry average which is at 2.40. FME pays more dividend than 100.00% of the companies in the same industry.
Compared to an average S&P500 Dividend Yield of 2.31, FME pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.59% |
5.2 History
The dividend of FME has a limited annual growth rate of 0.31%.
Dividend Growth(5Y)0.31%
Div Incr Years1
Div Non Decr Years2
5.3 Sustainability
58.83% of the earnings are spent on dividend by FME. This is a bit on the high side, but may be sustainable.
The dividend of FME is growing, but earnings are growing more, so the dividend growth is sustainable.
DP58.83%
EPS Next 2Y12.88%
EPS Next 3Y13.2%
FRA:FME (12/5/2025, 7:00:00 PM)
40.04
+0.03 (+0.07%)
Chartmill FA Rating
GICS SectorHealth Care
GICS IndustryGroupHealth Care Equipment & Services
GICS IndustryHealth Care Providers & Services
Earnings (Last)
Earnings (Next)
Inst Owners43.88%
Inst Owner ChangeN/A
Ins OwnersN/A
Ins Owner ChangeN/A
Market Cap23.50B
Revenue(TTM)19.64B
Net Income(TTM)718.19M
Analysts57.93
Price Target47.86 (19.53%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.59% |
Yearly Dividend1.19
Dividend Growth(5Y)0.31%
DP58.83%
Div Incr Years1
Div Non Decr Years2
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)14.52%
Min EPS beat(2)14.16%
Max EPS beat(2)14.89%
EPS beat(4)4
Avg EPS beat(4)17.81%
Min EPS beat(4)14.16%
Max EPS beat(4)27.17%
EPS beat(8)7
Avg EPS beat(8)16.37%
EPS beat(12)10
Avg EPS beat(12)13.79%
EPS beat(16)12
Avg EPS beat(16)10.84%
Revenue beat(2)0
Avg Revenue beat(2)-2.52%
Min Revenue beat(2)-3.33%
Max Revenue beat(2)-1.71%
Revenue beat(4)2
Avg Revenue beat(4)0.94%
Min Revenue beat(4)-3.33%
Max Revenue beat(4)6.05%
Revenue beat(8)3
Avg Revenue beat(8)-0.62%
Revenue beat(12)4
Avg Revenue beat(12)-0.64%
Revenue beat(16)6
Avg Revenue beat(16)-0.51%
PT rev (1m)-3.28%
PT rev (3m)-6.04%
EPS NQ rev (1m)-3.62%
EPS NQ rev (3m)-5.62%
EPS NY rev (1m)2.65%
EPS NY rev (3m)3.08%
Revenue NQ rev (1m)0.21%
Revenue NQ rev (3m)0.83%
Revenue NY rev (1m)0.37%
Revenue NY rev (3m)0.02%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.65 | ||
| Fwd PE | 9.67 | ||
| P/S | 1.2 | ||
| P/FCF | 13.39 | ||
| P/OCF | 9.36 | ||
| P/B | 1.81 | ||
| P/tB | N/A | ||
| EV/EBITDA | 10.45 |
EPS(TTM)3.76
EY9.39%
EPS(NY)4.14
Fwd EY10.34%
FCF(TTM)2.99
FCFY7.47%
OCF(TTM)4.28
OCFY10.69%
SpS33.47
BVpS22.07
TBVpS-3.21
PEG (NY)0.49
PEG (5Y)N/A
Graham Number43.21
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.33% | ||
| ROE | 5.55% | ||
| ROCE | 5.62% | ||
| ROIC | 3.95% | ||
| ROICexc | 4.26% | ||
| ROICexgc | 11.65% | ||
| OM | 7.19% | ||
| PM (TTM) | 3.66% | ||
| GM | 25% | ||
| FCFM | 8.93% |
ROA(3y)1.65%
ROA(5y)2.29%
ROE(3y)4.06%
ROE(5y)6.04%
ROIC(3y)3.14%
ROIC(5y)4%
ROICexc(3y)3.31%
ROICexc(5y)4.22%
ROICexgc(3y)8.52%
ROICexgc(5y)10.56%
ROCE(3y)4.51%
ROCE(5y)5.77%
ROICexgc growth 3Y-7.67%
ROICexgc growth 5Y-10.05%
ROICexc growth 3Y-10.35%
ROICexc growth 5Y-11.48%
OM growth 3Y-13.44%
OM growth 5Y-12.95%
PM growth 3Y-20.33%
PM growth 5Y-16.53%
GM growth 3Y-3.16%
GM growth 5Y-4.44%
F-Score5
Asset Turnover0.64
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.73 | ||
| Debt/FCF | 5.97 | ||
| Debt/EBITDA | 3.12 | ||
| Cap/Depr | 47.15% | ||
| Cap/Sales | 3.85% | ||
| Interest Coverage | 3.87 | ||
| Cash Conversion | 83.24% | ||
| Profit Quality | 244.33% | ||
| Current Ratio | 1.36 | ||
| Quick Ratio | 1 | ||
| Altman-Z | 2.19 |
F-Score5
WACC5.64%
ROIC/WACC0.7
Cap/Depr(3y)41.32%
Cap/Depr(5y)47.87%
Cap/Sales(3y)3.79%
Cap/Sales(5y)4.49%
Profit Quality(3y)300.36%
Profit Quality(5y)267.36%
High Growth Momentum
Growth
EPS 1Y (TTM)16.77%
EPS 3Y-1.97%
EPS 5Y-6.43%
EPS Q2Q%34.15%
EPS Next Y21.52%
EPS Next 2Y12.88%
EPS Next 3Y13.2%
EPS Next 5Y13.73%
Revenue 1Y (TTM)2.1%
Revenue growth 3Y3.15%
Revenue growth 5Y2.04%
Sales Q2Q%2.63%
Revenue Next Year1.57%
Revenue Next 2Y2.24%
Revenue Next 3Y2.92%
Revenue Next 5Y4.08%
EBIT growth 1Y-3.43%
EBIT growth 3Y-10.72%
EBIT growth 5Y-11.17%
EBIT Next Year96.11%
EBIT Next 3Y29.81%
EBIT Next 5Y18.68%
FCF growth 1Y-5.89%
FCF growth 3Y1.25%
FCF growth 5Y3.45%
OCF growth 1Y0.06%
OCF growth 3Y-1.4%
OCF growth 5Y-1.45%
FRESENIUS MEDICAL CARE AG / FME.DE FAQ
What is the fundamental rating for FME stock?
ChartMill assigns a fundamental rating of 5 / 10 to FME.DE.
What is the valuation status of FRESENIUS MEDICAL CARE AG (FME.DE) stock?
ChartMill assigns a valuation rating of 7 / 10 to FRESENIUS MEDICAL CARE AG (FME.DE). This can be considered as Undervalued.
What is the profitability of FME stock?
FRESENIUS MEDICAL CARE AG (FME.DE) has a profitability rating of 4 / 10.
Can you provide the PE and PB ratios for FME stock?
The Price/Earnings (PE) ratio for FRESENIUS MEDICAL CARE AG (FME.DE) is 10.65 and the Price/Book (PB) ratio is 1.81.
Can you provide the dividend sustainability for FME stock?
The dividend rating of FRESENIUS MEDICAL CARE AG (FME.DE) is 7 / 10 and the dividend payout ratio is 58.83%.