FREENET AG (FNTN.DE) Stock Fundamental Analysis
Europe - FRA:FNTN - DE000A0Z2ZZ5 - Common Stock
26.92 EUR
+0.02 (+0.07%)
Taking everything into account, FNTN scores 7 out of 10 in our fundamental rating. FNTN was compared to 6 industry peers in the Wireless Telecommunication Services industry. FNTN scores excellent points on both the profitability and health parts. This is a solid base for a good stock. FNTN is valued quite cheap, but it does not seem to be growing. FNTN also has an excellent dividend rating. These ratings would make FNTN suitable for value and dividend investing!
1. Profitability
1.1 Basic Checks
In the past year FNTN was profitable.
In the past year FNTN had a positive cash flow from operations.
FNTN had positive earnings in each of the past 5 years.
FNTN had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
FNTN has a Return On Assets of 8.27%. This is amongst the best in the industry. FNTN outperforms 100.00% of its industry peers.
The Return On Equity of FNTN (18.70%) is better than 83.33% of its industry peers.
FNTN's Return On Invested Capital of 16.45% is amongst the best of the industry. FNTN outperforms 100.00% of its industry peers.
FNTN had an Average Return On Invested Capital over the past 3 years of 9.45%. This is above the industry average of 6.64%.
The 3 year average ROIC (9.45%) for FNTN is below the current ROIC(16.45%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 8.27% | ||
| ROE | 18.7% | ||
| ROIC | 16.45% |
ROA(3y)4.72%
ROA(5y)6.35%
ROE(3y)10.95%
ROE(5y)15.2%
ROIC(3y)9.45%
ROIC(5y)8.82%
1.3 Margins
Looking at the Profit Margin, with a value of 10.46%, FNTN belongs to the top of the industry, outperforming 83.33% of the companies in the same industry.
FNTN's Profit Margin has improved in the last couple of years.
The Operating Margin of FNTN (16.09%) is better than 83.33% of its industry peers.
In the last couple of years the Operating Margin of FNTN has grown nicely.
With a decent Gross Margin value of 40.57%, FNTN is doing good in the industry, outperforming 66.67% of the companies in the same industry.
In the last couple of years the Gross Margin of FNTN has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 16.09% | ||
| PM (TTM) | 10.46% | ||
| GM | 40.57% |
OM growth 3Y9.56%
OM growth 5Y8.4%
PM growth 3Y8.72%
PM growth 5Y8.88%
GM growth 3Y5.54%
GM growth 5Y5.22%
2. Health
2.1 Basic Checks
FNTN has a Return on Invested Capital (ROIC), which is well above the Cost of Capital (WACC), which means it is creating value.
FNTN has about the same amout of shares outstanding than it did 1 year ago.
The number of shares outstanding for FNTN has been reduced compared to 5 years ago.
FNTN has a better debt/assets ratio than last year.
2.2 Solvency
An Altman-Z score of 2.73 indicates that FNTN is not a great score, but indicates only limited risk for bankruptcy at the moment.
FNTN's Altman-Z score of 2.73 is amongst the best of the industry. FNTN outperforms 83.33% of its industry peers.
FNTN has a debt to FCF ratio of 1.89. This is a very positive value and a sign of high solvency as it would only need 1.89 years to pay back of all of its debts.
FNTN has a better Debt to FCF ratio (1.89) than 100.00% of its industry peers.
FNTN has a Debt/Equity ratio of 0.20. This is a healthy value indicating a solid balance between debt and equity.
FNTN has a Debt to Equity ratio of 0.20. This is in the better half of the industry: FNTN outperforms 66.67% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.2 | ||
| Debt/FCF | 1.89 | ||
| Altman-Z | 2.73 |
ROIC/WACC2.55
WACC6.45%
2.3 Liquidity
FNTN has a Current Ratio of 0.57. This is a bad value and indicates that FNTN is not financially healthy enough and could expect problems in meeting its short term obligations.
FNTN has a Current ratio of 0.57. This is in the lower half of the industry: FNTN underperforms 66.67% of its industry peers.
A Quick Ratio of 0.53 indicates that FNTN may have some problems paying its short term obligations.
The Quick ratio of FNTN (0.53) is worse than 66.67% of its industry peers.
FNTN does not score too well on the current and quick ratio evaluation. However, as it has excellent solvency and profitability, these ratios do not necessarly indicate liquidity issues and need to be evaluated against the specifics of the business.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.57 | ||
| Quick Ratio | 0.53 |
3. Growth
3.1 Past
FNTN shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 17.65%, which is quite good.
The Earnings Per Share has been growing slightly by 6.90% on average over the past years.
Looking at the last year, FNTN shows a decrease in Revenue. The Revenue has decreased by -2.44% in the last year.
FNTN shows a decrease in Revenue. Measured over the last years, the Revenue has been decreasing by -3.31% yearly.
EPS 1Y (TTM)17.65%
EPS 3Y8.69%
EPS 5Y6.9%
EPS Q2Q%50%
Revenue 1Y (TTM)-2.44%
Revenue growth 3Y-1.04%
Revenue growth 5Y-3.31%
Sales Q2Q%8.89%
3.2 Future
The Earnings Per Share is expected to grow by 7.97% on average over the next years.
FNTN is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 2.50% yearly.
EPS Next Y17.79%
EPS Next 2Y9.23%
EPS Next 3Y7.72%
EPS Next 5Y7.97%
Revenue Next Year1.39%
Revenue Next 2Y1.4%
Revenue Next 3Y1.52%
Revenue Next 5Y2.5%
3.3 Evolution
The EPS growth rate is stable: in the next years the growth will be about the same 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 accelerating.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 12.24, which indicates a correct valuation of FNTN.
Compared to the rest of the industry, the Price/Earnings ratio of FNTN indicates a rather cheap valuation: FNTN is cheaper than 100.00% of the companies listed in the same industry.
FNTN's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 27.42.
FNTN is valuated reasonably with a Price/Forward Earnings ratio of 10.85.
100.00% of the companies in the same industry are more expensive than FNTN, based on the Price/Forward Earnings ratio.
The average S&P500 Price/Forward Earnings ratio is at 22.94. FNTN is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.24 | ||
| Fwd PE | 10.85 |
4.2 Price Multiples
FNTN's Enterprise Value to EBITDA ratio is a bit cheaper when compared to the industry. FNTN is cheaper than 66.67% of the companies in the same industry.
83.33% of the companies in the same industry are more expensive than FNTN, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 9.03 | ||
| EV/EBITDA | 6.73 |
4.3 Compensation for Growth
FNTN's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
FNTN has an outstanding profitability rating, which may justify a higher PE ratio.
PEG (NY)0.69
PEG (5Y)1.77
EPS Next 2Y9.23%
EPS Next 3Y7.72%
5. Dividend
5.1 Amount
FNTN has a Yearly Dividend Yield of 7.32%, which is a nice return.
Compared to an average industry Dividend Yield of 2.92, FNTN pays a better dividend. On top of this FNTN pays more dividend than 100.00% of the companies listed in the same industry.
FNTN's Dividend Yield is rather good when compared to the S&P500 average which is at 2.36.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 7.32% |
5.2 History
The dividend of FNTN has a limited annual growth rate of 2.99%.
Dividend Growth(5Y)2.99%
Div Incr Years1
Div Non Decr Years5
5.3 Sustainability
The dividend of FNTN is growing, but earnings are growing more, so the dividend growth is sustainable.
DP0%
EPS Next 2Y9.23%
EPS Next 3Y7.72%
FRA:FNTN (10/17/2025, 7:00:00 PM)
26.92
+0.02 (+0.07%)
Chartmill FA Rating
GICS SectorCommunication Services
GICS IndustryGroupTelecommunication Services
GICS IndustryWireless Telecommunication Services
Earnings (Last)
Earnings (Next)
Inst Owners34.69%
Inst Owner ChangeN/A
Ins OwnersN/A
Ins Owner ChangeN/A
Market Cap3.20B
Analysts76
Price Target33.25 (23.51%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 7.32% |
Yearly Dividend1.68
Dividend Growth(5Y)2.99%
DP0%
Div Incr Years1
Div Non Decr Years5
Ex-DateN/A
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-23.47%
Min EPS beat(2)-29.92%
Max EPS beat(2)-17.03%
EPS beat(4)2
Avg EPS beat(4)-7.64%
Min EPS beat(4)-29.92%
Max EPS beat(4)10.36%
EPS beat(8)3
Avg EPS beat(8)-17.07%
EPS beat(12)3
Avg EPS beat(12)-28.28%
EPS beat(16)5
Avg EPS beat(16)-17.36%
Revenue beat(2)0
Avg Revenue beat(2)-3.47%
Min Revenue beat(2)-4.65%
Max Revenue beat(2)-2.29%
Revenue beat(4)0
Avg Revenue beat(4)-2.49%
Min Revenue beat(4)-4.65%
Max Revenue beat(4)-0.32%
Revenue beat(8)1
Avg Revenue beat(8)-2.59%
Revenue beat(12)1
Avg Revenue beat(12)-2.37%
Revenue beat(16)1
Avg Revenue beat(16)-2.46%
PT rev (1m)0.11%
PT rev (3m)-0.87%
EPS NQ rev (1m)11.88%
EPS NQ rev (3m)-20.96%
EPS NY rev (1m)-1.47%
EPS NY rev (3m)-7.83%
Revenue NQ rev (1m)-2.16%
Revenue NQ rev (3m)-1.49%
Revenue NY rev (1m)-0.43%
Revenue NY rev (3m)-1.01%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.24 | ||
| Fwd PE | 10.85 | ||
| P/S | 1.28 | ||
| P/FCF | 9.03 | ||
| P/OCF | 8.13 | ||
| P/B | 2.3 | ||
| P/tB | N/A | ||
| EV/EBITDA | 6.73 |
EPS(TTM)2.2
EY8.17%
EPS(NY)2.48
Fwd EY9.22%
FCF(TTM)2.98
FCFY11.08%
OCF(TTM)3.31
OCFY12.31%
SpS20.97
BVpS11.73
TBVpS-1.02
PEG (NY)0.69
PEG (5Y)1.77
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 8.27% | ||
| ROE | 18.7% | ||
| ROCE | 20.77% | ||
| ROIC | 16.45% | ||
| ROICexc | 17.7% | ||
| ROICexgc | 113.63% | ||
| OM | 16.09% | ||
| PM (TTM) | 10.46% | ||
| GM | 40.57% | ||
| FCFM | 14.22% |
ROA(3y)4.72%
ROA(5y)6.35%
ROE(3y)10.95%
ROE(5y)15.2%
ROIC(3y)9.45%
ROIC(5y)8.82%
ROICexc(3y)10.55%
ROICexc(5y)10.11%
ROICexgc(3y)47.12%
ROICexgc(5y)42.47%
ROCE(3y)11.93%
ROCE(5y)11.14%
ROICexcg growth 3Y26.72%
ROICexcg growth 5Y35.08%
ROICexc growth 3Y17.61%
ROICexc growth 5Y16.61%
OM growth 3Y9.56%
OM growth 5Y8.4%
PM growth 3Y8.72%
PM growth 5Y8.88%
GM growth 3Y5.54%
GM growth 5Y5.22%
F-Score7
Asset Turnover0.79
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.2 | ||
| Debt/FCF | 1.89 | ||
| Debt/EBITDA | 0.51 | ||
| Cap/Depr | 27.21% | ||
| Cap/Sales | 1.58% | ||
| Interest Coverage | 15.92 | ||
| Cash Conversion | 72.14% | ||
| Profit Quality | 135.93% | ||
| Current Ratio | 0.57 | ||
| Quick Ratio | 0.53 | ||
| Altman-Z | 2.73 |
F-Score7
WACC6.45%
ROIC/WACC2.55
Cap/Depr(3y)23.1%
Cap/Depr(5y)26.26%
Cap/Sales(3y)2.13%
Cap/Sales(5y)2.04%
Profit Quality(3y)257.35%
Profit Quality(5y)197.46%
High Growth Momentum
Growth
EPS 1Y (TTM)17.65%
EPS 3Y8.69%
EPS 5Y6.9%
EPS Q2Q%50%
EPS Next Y17.79%
EPS Next 2Y9.23%
EPS Next 3Y7.72%
EPS Next 5Y7.97%
Revenue 1Y (TTM)-2.44%
Revenue growth 3Y-1.04%
Revenue growth 5Y-3.31%
Sales Q2Q%8.89%
Revenue Next Year1.39%
Revenue Next 2Y1.4%
Revenue Next 3Y1.52%
Revenue Next 5Y2.5%
EBIT growth 1Y4.89%
EBIT growth 3Y8.42%
EBIT growth 5Y4.81%
EBIT Next Year50.68%
EBIT Next 3Y16.94%
EBIT Next 5Y12.39%
FCF growth 1Y4.73%
FCF growth 3Y0.83%
FCF growth 5Y0.49%
OCF growth 1Y-1.44%
OCF growth 3Y0.32%
OCF growth 5Y0.35%