GEA GROUP AG (G1A.DE) Stock Fundamental Analysis
FRA:G1A - Deutsche Boerse Ag - DE0006602006 - Common Stock - Currency: EUR
Overall G1A gets a fundamental rating of 6 out of 10. We evaluated G1A against 103 industry peers in the Machinery industry. G1A scores excellent points on both the profitability and health parts. This is a solid base for a good stock. While showing a medium growth rate, G1A is valued expensive at the moment.
1. Profitability
1.1 Basic Checks
In the past year G1A was profitable.
In the past year G1A had a positive cash flow from operations.
G1A had positive earnings in each of the past 5 years.
G1A had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
With an excellent Return On Assets value of 6.38%, G1A belongs to the best of the industry, outperforming 81.55% of the companies in the same industry.
G1A has a Return On Equity of 15.89%. This is amongst the best in the industry. G1A outperforms 86.41% of its industry peers.
With an excellent Return On Invested Capital value of 12.69%, G1A belongs to the best of the industry, outperforming 90.29% of the companies in the same industry.
G1A had an Average Return On Invested Capital over the past 3 years of 11.87%. This is above the industry average of 8.60%.
The 3 year average ROIC (11.87%) for G1A is below the current ROIC(12.69%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.38% | ||
| ROE | 15.89% | ||
| ROIC | 12.69% |
ROA(3y)6.59%
ROA(5y)5.33%
ROE(3y)16.62%
ROE(5y)13.92%
ROIC(3y)11.87%
ROIC(5y)9.97%
1.3 Margins
G1A's Profit Margin of 7.10% is amongst the best of the industry. G1A outperforms 81.55% of its industry peers.
In the last couple of years the Profit Margin of G1A has grown nicely.
The Operating Margin of G1A (10.18%) is better than 77.67% of its industry peers.
G1A's Operating Margin has improved in the last couple of years.
With a Gross Margin value of 35.70%, G1A perfoms like the industry average, outperforming 42.72% of the companies in the same industry.
G1A's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 10.18% | ||
| PM (TTM) | 7.1% | ||
| GM | 35.7% |
OM growth 3Y6.05%
OM growth 5Y29.26%
PM growth 3Y3.05%
PM growth 5YN/A
GM growth 3Y2.65%
GM growth 5Y4.49%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), G1A is creating some value.
The number of shares outstanding for G1A has been reduced compared to 1 year ago.
The number of shares outstanding for G1A has been reduced compared to 5 years ago.
Compared to 1 year ago, G1A has a worse debt to assets ratio.
2.2 Solvency
An Altman-Z score of 2.98 indicates that G1A is not a great score, but indicates only limited risk for bankruptcy at the moment.
G1A's Altman-Z score of 2.98 is fine compared to the rest of the industry. G1A outperforms 74.76% of its industry peers.
G1A has a debt to FCF ratio of 0.91. This is a very positive value and a sign of high solvency as it would only need 0.91 years to pay back of all of its debts.
G1A's Debt to FCF ratio of 0.91 is amongst the best of the industry. G1A outperforms 92.23% of its industry peers.
G1A has a Debt/Equity ratio of 0.05. This is a healthy value indicating a solid balance between debt and equity.
G1A has a better Debt to Equity ratio (0.05) than 89.32% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.05 | ||
| Debt/FCF | 0.91 | ||
| Altman-Z | 2.98 |
ROIC/WACC1.73
WACC7.32%
2.3 Liquidity
A Current Ratio of 1.06 indicates that G1A should not have too much problems paying its short term obligations.
G1A has a Current ratio of 1.06. This is in the lower half of the industry: G1A underperforms 78.64% of its industry peers.
A Quick Ratio of 0.76 indicates that G1A may have some problems paying its short term obligations.
G1A has a Quick ratio of 0.76. This is in the lower half of the industry: G1A underperforms 72.82% of its industry peers.
The current and quick ratio evaluation for G1A is rather negative, while it does have 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 | 1.06 | ||
| Quick Ratio | 0.76 |
3. Growth
3.1 Past
G1A shows a small growth in Earnings Per Share. In the last year, the EPS has grown by 3.52%.
The Earnings Per Share has been growing by 17.91% on average over the past years. This is quite good.
Looking at the last year, G1A shows a small growth in Revenue. The Revenue has grown by 0.91% in the last year.
The Revenue has been growing slightly by 2.13% on average over the past years.
EPS 1Y (TTM)3.52%
EPS 3Y8.92%
EPS 5Y17.91%
EPS Q2Q%0%
Revenue 1Y (TTM)0.91%
Revenue growth 3Y4.86%
Revenue growth 5Y2.13%
Sales Q2Q%6.98%
3.2 Future
The Earnings Per Share is expected to grow by 6.98% on average over the next years.
G1A is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 3.88% yearly.
EPS Next Y7.11%
EPS Next 2Y9.93%
EPS Next 3Y9.95%
EPS Next 5Y6.98%
Revenue Next Year3.2%
Revenue Next 2Y3.83%
Revenue Next 3Y4.04%
Revenue Next 5Y3.88%
3.3 Evolution
The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
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
With a Price/Earnings ratio of 21.04, G1A is valued on the expensive side.
Compared to the rest of the industry, the Price/Earnings ratio of G1A is on the same level as its industry peers.
G1A is valuated rather cheaply when we compare the Price/Earnings ratio to 28.79, which is the current average of the S&P500 Index.
The Price/Forward Earnings ratio is 19.64, which indicates a rather expensive current valuation of G1A.
G1A's Price/Forward Earnings is on the same level as the industry average.
When comparing the Price/Forward Earnings ratio of G1A to the average of the S&P500 Index (21.38), we can say G1A is valued inline with the index average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 21.04 | ||
| Fwd PE | 19.64 |
4.2 Price Multiples
66.02% of the companies in the same industry are cheaper than G1A, based on the Enterprise Value to EBITDA ratio.
G1A's Price/Free Cash Flow is on the same level as the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 20.31 | ||
| EV/EBITDA | 12.08 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
The excellent profitability rating of G1A may justify a higher PE ratio.
PEG (NY)2.96
PEG (5Y)1.17
EPS Next 2Y9.93%
EPS Next 3Y9.95%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 2.11%, G1A has a reasonable but not impressive dividend return.
Compared to an average industry Dividend Yield of 2.65, G1A pays a bit more dividend than its industry peers.
G1A's Dividend Yield is comparable with the S&P500 average which is at 2.47.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.11% |
5.2 History
The dividend of G1A has a limited annual growth rate of 3.38%.
Dividend Growth(5Y)3.38%
Div Incr Years1
Div Non Decr Years1
5.3 Sustainability
G1A pays out 43.78% of its income as dividend. This is a bit on the high side, but may be sustainable.
G1A's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP43.78%
EPS Next 2Y9.93%
EPS Next 3Y9.95%
FRA:G1A (4/25/2025, 7:00:00 PM)
55.75
+1.2 (+2.2%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryMachinery
Earnings (Last)
Earnings (Next)
Inst Owners67.22%
Inst Owner ChangeN/A
Ins Owners0.04%
Ins Owner ChangeN/A
Market Cap9.61B
Analysts75.65
Price Target57.37 (2.91%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.11% |
Yearly Dividend1
Dividend Growth(5Y)3.38%
DP43.78%
Div Incr Years1
Div Non Decr Years1
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-4.98%
Min EPS beat(2)-14.23%
Max EPS beat(2)4.27%
EPS beat(4)2
Avg EPS beat(4)0.12%
Min EPS beat(4)-14.23%
Max EPS beat(4)11.37%
EPS beat(8)4
Avg EPS beat(8)1.61%
EPS beat(12)8
Avg EPS beat(12)9.74%
EPS beat(16)12
Avg EPS beat(16)16.01%
Revenue beat(2)1
Avg Revenue beat(2)0.3%
Min Revenue beat(2)-1.4%
Max Revenue beat(2)2.01%
Revenue beat(4)1
Avg Revenue beat(4)-0.83%
Min Revenue beat(4)-2.04%
Max Revenue beat(4)2.01%
Revenue beat(8)2
Avg Revenue beat(8)-1.43%
Revenue beat(12)5
Avg Revenue beat(12)-0.76%
Revenue beat(16)5
Avg Revenue beat(16)-1.09%
PT rev (1m)5.44%
PT rev (3m)12.05%
EPS NQ rev (1m)35%
EPS NQ rev (3m)N/A
EPS NY rev (1m)-1.85%
EPS NY rev (3m)-0.7%
Revenue NQ rev (1m)-1.77%
Revenue NQ rev (3m)-1.01%
Revenue NY rev (1m)0.02%
Revenue NY rev (3m)0.04%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 21.04 | ||
| Fwd PE | 19.64 | ||
| P/S | 1.77 | ||
| P/FCF | 20.31 | ||
| P/OCF | 13.53 | ||
| P/B | 3.96 | ||
| P/tB | 17.95 | ||
| EV/EBITDA | 12.08 |
EPS(TTM)2.65
EY4.75%
EPS(NY)2.84
Fwd EY5.09%
FCF(TTM)2.74
FCFY4.92%
OCF(TTM)4.12
OCFY7.39%
SpS31.46
BVpS14.06
TBVpS3.11
PEG (NY)2.96
PEG (5Y)1.17
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.38% | ||
| ROE | 15.89% | ||
| ROCE | 16.17% | ||
| ROIC | 12.69% | ||
| ROICexc | 15.82% | ||
| ROICexgc | 50.98% | ||
| OM | 10.18% | ||
| PM (TTM) | 7.1% | ||
| GM | 35.7% | ||
| FCFM | 8.72% |
ROA(3y)6.59%
ROA(5y)5.33%
ROE(3y)16.62%
ROE(5y)13.92%
ROIC(3y)11.87%
ROIC(5y)9.97%
ROICexc(3y)14.89%
ROICexc(5y)13.41%
ROICexgc(3y)48.54%
ROICexgc(5y)N/A
ROCE(3y)15.12%
ROCE(5y)12.69%
ROICexcg growth 3Y3.45%
ROICexcg growth 5Y29.85%
ROICexc growth 3Y8.52%
ROICexc growth 5Y31.86%
OM growth 3Y6.05%
OM growth 5Y29.26%
PM growth 3Y3.05%
PM growth 5YN/A
GM growth 3Y2.65%
GM growth 5Y4.49%
F-Score6
Asset Turnover0.9
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.05 | ||
| Debt/FCF | 0.91 | ||
| Debt/EBITDA | 0.17 | ||
| Cap/Depr | 108.22% | ||
| Cap/Sales | 4.37% | ||
| Interest Coverage | 29.5 | ||
| Cash Conversion | 92.13% | ||
| Profit Quality | 122.85% | ||
| Current Ratio | 1.06 | ||
| Quick Ratio | 0.76 | ||
| Altman-Z | 2.98 |
F-Score6
WACC7.32%
ROIC/WACC1.73
Cap/Depr(3y)110.49%
Cap/Depr(5y)87.58%
Cap/Sales(3y)4.19%
Cap/Sales(5y)3.49%
Profit Quality(3y)88.9%
Profit Quality(5y)217.1%
High Growth Momentum
Growth
EPS 1Y (TTM)3.52%
EPS 3Y8.92%
EPS 5Y17.91%
EPS Q2Q%0%
EPS Next Y7.11%
EPS Next 2Y9.93%
EPS Next 3Y9.95%
EPS Next 5Y6.98%
Revenue 1Y (TTM)0.91%
Revenue growth 3Y4.86%
Revenue growth 5Y2.13%
Sales Q2Q%6.98%
Revenue Next Year3.2%
Revenue Next 2Y3.83%
Revenue Next 3Y4.04%
Revenue Next 5Y3.88%
EBIT growth 1Y8.05%
EBIT growth 3Y11.2%
EBIT growth 5Y32.01%
EBIT Next Year41.37%
EBIT Next 3Y17.15%
EBIT Next 5Y7.3%
FCF growth 1Y54.98%
FCF growth 3Y-5.03%
FCF growth 5Y6.76%
OCF growth 1Y33.09%
OCF growth 3Y1.36%
OCF growth 5Y8.24%