GERRESHEIMER AG (GXI.DE) Stock Fundamental Analysis
FRA:GXI - Deutsche Boerse Ag - DE000A0LD6E6 - Common Stock - Currency: EUR
We assign a fundamental rating of 4 out of 10 to GXI. GXI was compared to 15 industry peers in the Life Sciences Tools & Services industry. While GXI is still in line with the averages on profitability rating, there are concerns on its financial health. GXI has a decent growth rate and is not valued too expensively.
1. Profitability
1.1 Basic Checks
GXI had positive earnings in the past year.
In the past year GXI had a positive cash flow from operations.
In the past 5 years GXI has always been profitable.
GXI had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
GXI has a Return On Assets of 1.63%. This is comparable to the rest of the industry: GXI outperforms 60.00% of its industry peers.
With a decent Return On Equity value of 5.20%, GXI is doing good in the industry, outperforming 73.33% of the companies in the same industry.
The Return On Invested Capital of GXI (4.57%) is comparable to the rest of the industry.
GXI had an Average Return On Invested Capital over the past 3 years of 6.14%. This is in line with the industry average of 6.90%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.63% | ||
| ROE | 5.2% | ||
| ROIC | 4.57% |
ROA(3y)3.04%
ROA(5y)3.09%
ROE(3y)7.67%
ROE(5y)8.3%
ROIC(3y)6.14%
ROIC(5y)6.08%
1.3 Margins
Looking at the Profit Margin, with a value of 3.77%, GXI is in the better half of the industry, outperforming 66.67% of the companies in the same industry.
GXI's Profit Margin has been stable in the last couple of years.
Looking at the Operating Margin, with a value of 8.65%, GXI is doing worse than 73.33% of the companies in the same industry.
GXI's Operating Margin has improved in the last couple of years.
GXI has a Gross Margin of 28.95%. This is in the lower half of the industry: GXI underperforms 66.67% of its industry peers.
GXI's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 8.65% | ||
| PM (TTM) | 3.77% | ||
| GM | 28.95% |
OM growth 3Y-0.21%
OM growth 5Y2.69%
PM growth 3Y-1.23%
PM growth 5Y-1.47%
GM growth 3Y0.37%
GM growth 5Y1.38%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), GXI is destroying value.
The number of shares outstanding for GXI remains at a similar level compared to 1 year ago.
Compared to 5 years ago, GXI has more shares outstanding
The debt/assets ratio for GXI is higher compared to a year ago.
2.2 Solvency
Based on the Altman-Z score of 0.93, we must say that GXI is in the distress zone and has some risk of bankruptcy.
GXI's Altman-Z score of 0.93 is on the low side compared to the rest of the industry. GXI is outperformed by 86.67% of its industry peers.
GXI has a Debt/Equity ratio of 0.60. This is a neutral value indicating GXI is somewhat dependend on debt financing.
GXI has a Debt to Equity ratio of 0.60. This is comparable to the rest of the industry: GXI outperforms 46.67% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.6 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 0.93 |
ROIC/WACC0.63
WACC7.22%
2.3 Liquidity
A Current Ratio of 0.61 indicates that GXI may have some problems paying its short term obligations.
GXI has a Current ratio of 0.61. This is amonst the worse of the industry: GXI underperforms 86.67% of its industry peers.
GXI has a Quick Ratio of 0.61. This is a bad value and indicates that GXI is not financially healthy enough and could expect problems in meeting its short term obligations.
The Quick ratio of GXI (0.34) is worse than 86.67% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.61 | ||
| Quick Ratio | 0.34 |
3. Growth
3.1 Past
GXI shows a small growth in Earnings Per Share. In the last year, the EPS has grown by 1.96%.
The Earnings Per Share has been decreasing by -8.23% on average over the past years.
GXI shows a small growth in Revenue. In the last year, the Revenue has grown by 4.55%.
The Revenue has been growing slightly by 7.90% on average over the past years.
EPS 1Y (TTM)1.96%
EPS 3Y4.26%
EPS 5Y-8.23%
EPS Q2Q%-238.48%
Revenue 1Y (TTM)4.55%
Revenue growth 3Y10.77%
Revenue growth 5Y7.9%
Sales Q2Q%11.57%
3.2 Future
The Earnings Per Share is expected to grow by 13.86% on average over the next years. This is quite good.
Based on estimates for the next years, GXI will show a quite strong growth in Revenue. The Revenue will grow by 8.57% on average per year.
EPS Next Y12.58%
EPS Next 2Y14.26%
EPS Next 3Y15.62%
EPS Next 5Y13.86%
Revenue Next Year21.4%
Revenue Next 2Y14.56%
Revenue Next 3Y12.32%
Revenue Next 5Y8.57%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better 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 stable.
4. Valuation
4.1 Price/Earnings Ratio
GXI is valuated reasonably with a Price/Earnings ratio of 11.90.
Based on the Price/Earnings ratio, GXI is valued cheaply inside the industry as 93.33% of the companies are valued more expensively.
When comparing the Price/Earnings ratio of GXI to the average of the S&P500 Index (28.79), we can say GXI is valued rather cheaply.
With a Price/Forward Earnings ratio of 9.12, the valuation of GXI can be described as very reasonable.
Compared to the rest of the industry, the Price/Forward Earnings ratio of GXI indicates a rather cheap valuation: GXI is cheaper than 100.00% of the companies listed in the same industry.
GXI is valuated cheaply when we compare the Price/Forward Earnings ratio to 21.38, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.9 | ||
| Fwd PE | 9.12 |
4.2 Price Multiples
80.00% of the companies in the same industry are more expensive than GXI, based on the Enterprise Value to EBITDA ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 9.7 |
4.3 Compensation for Growth
GXI's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
GXI's earnings are expected to grow with 15.62% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.95
PEG (5Y)N/A
EPS Next 2Y14.26%
EPS Next 3Y15.62%
5. Dividend
5.1 Amount
GXI has a Yearly Dividend Yield of 2.33%.
GXI's Dividend Yield is rather good when compared to the industry average which is at 0.89. GXI pays more dividend than 100.00% of the companies in the same industry.
GXI's Dividend Yield is comparable with the S&P500 average which is at 2.47.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.33% |
5.2 History
The dividend of GXI has a limited annual growth rate of 0.94%.
Dividend Growth(5Y)0.94%
Div Incr Years0
Div Non Decr Years5
5.3 Sustainability
56.16% of the earnings are spent on dividend by GXI. This is a bit on the high side, but may be sustainable.
The dividend of GXI is growing, but earnings are growing more, so the dividend growth is sustainable.
DP56.16%
EPS Next 2Y14.26%
EPS Next 3Y15.62%
FRA:GXI (4/25/2025, 7:00:00 PM)
55.7
+2.1 (+3.92%)
Chartmill FA Rating
GICS SectorHealth Care
GICS IndustryGroupPharmaceuticals, Biotechnology & Life Sciences
GICS IndustryLife Sciences Tools & Services
Earnings (Last)
Earnings (Next)
Inst Owners96.73%
Inst Owner ChangeN/A
Ins Owners4.92%
Ins Owner ChangeN/A
Market Cap1.92B
Analysts84.17
Price Target96.25 (72.8%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.33% |
Yearly Dividend1.32
Dividend Growth(5Y)0.94%
DP56.16%
Div Incr Years0
Div Non Decr Years5
Ex-DateN/A
Surprises & Revisions
EPS beat(2)N/A
Avg EPS beat(2)N/A
Min EPS beat(2)N/A
Max EPS beat(2)N/A
EPS beat(4)N/A
Avg EPS beat(4)N/A
Min EPS beat(4)N/A
Max EPS beat(4)N/A
EPS beat(8)N/A
Avg EPS beat(8)N/A
EPS beat(12)N/A
Avg EPS beat(12)N/A
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)0
Avg Revenue beat(2)-1.15%
Min Revenue beat(2)-1.59%
Max Revenue beat(2)-0.72%
Revenue beat(4)0
Avg Revenue beat(4)-1.1%
Min Revenue beat(4)-1.59%
Max Revenue beat(4)-0.72%
Revenue beat(8)2
Avg Revenue beat(8)-0.89%
Revenue beat(12)5
Avg Revenue beat(12)-0.41%
Revenue beat(16)6
Avg Revenue beat(16)-0.13%
PT rev (1m)-7.32%
PT rev (3m)-15.05%
EPS NQ rev (1m)-15.08%
EPS NQ rev (3m)N/A
EPS NY rev (1m)-0.28%
EPS NY rev (3m)-9.22%
Revenue NQ rev (1m)0.12%
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)0.28%
Revenue NY rev (3m)4.2%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.9 | ||
| Fwd PE | 9.12 | ||
| P/S | 0.92 | ||
| P/FCF | N/A | ||
| P/OCF | 10.38 | ||
| P/B | 1.27 | ||
| P/tB | N/A | ||
| EV/EBITDA | 9.7 |
EPS(TTM)4.68
EY8.4%
EPS(NY)6.11
Fwd EY10.97%
FCF(TTM)-5.44
FCFYN/A
OCF(TTM)5.36
OCFY9.63%
SpS60.5
BVpS43.79
TBVpS-7.82
PEG (NY)0.95
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.63% | ||
| ROE | 5.2% | ||
| ROCE | 6.16% | ||
| ROIC | 4.57% | ||
| ROICexc | 4.87% | ||
| ROICexgc | 13.87% | ||
| OM | 8.65% | ||
| PM (TTM) | 3.77% | ||
| GM | 28.95% | ||
| FCFM | N/A |
ROA(3y)3.04%
ROA(5y)3.09%
ROE(3y)7.67%
ROE(5y)8.3%
ROIC(3y)6.14%
ROIC(5y)6.08%
ROICexc(3y)6.5%
ROICexc(5y)6.42%
ROICexgc(3y)14.47%
ROICexgc(5y)16.32%
ROCE(3y)8.29%
ROCE(5y)8.2%
ROICexcg growth 3Y-17.1%
ROICexcg growth 5Y-18.13%
ROICexc growth 3Y-1.3%
ROICexc growth 5Y1.06%
OM growth 3Y-0.21%
OM growth 5Y2.69%
PM growth 3Y-1.23%
PM growth 5Y-1.47%
GM growth 3Y0.37%
GM growth 5Y1.38%
F-Score3
Asset Turnover0.43
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.6 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 2.29 | ||
| Cap/Depr | 170.95% | ||
| Cap/Sales | 17.86% | ||
| Interest Coverage | 2.93 | ||
| Cash Conversion | 46.44% | ||
| Profit Quality | N/A | ||
| Current Ratio | 0.61 | ||
| Quick Ratio | 0.34 | ||
| Altman-Z | 0.93 |
F-Score3
WACC7.22%
ROIC/WACC0.63
Cap/Depr(3y)167.14%
Cap/Depr(5y)152.09%
Cap/Sales(3y)15.92%
Cap/Sales(5y)14.71%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)1.96%
EPS 3Y4.26%
EPS 5Y-8.23%
EPS Q2Q%-238.48%
EPS Next Y12.58%
EPS Next 2Y14.26%
EPS Next 3Y15.62%
EPS Next 5Y13.86%
Revenue 1Y (TTM)4.55%
Revenue growth 3Y10.77%
Revenue growth 5Y7.9%
Sales Q2Q%11.57%
Revenue Next Year21.4%
Revenue Next 2Y14.56%
Revenue Next 3Y12.32%
Revenue Next 5Y8.57%
EBIT growth 1Y-15.63%
EBIT growth 3Y10.54%
EBIT growth 5Y10.8%
EBIT Next Year140.33%
EBIT Next 3Y44.37%
EBIT Next 5Y25.19%
FCF growth 1Y-179.99%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y8.34%
OCF growth 3Y4.26%
OCF growth 5Y4.49%