INFINEON TECHNOLOGIES AG (IFX.DE) Stock Fundamental Analysis
FRA:IFX - Deutsche Boerse Ag - DE0006231004 - Common Stock - Currency: EUR
Taking everything into account, IFX scores 4 out of 10 in our fundamental rating. IFX was compared to 58 industry peers in the Semiconductors & Semiconductor Equipment industry. There are concerns on the financial health of IFX while its profitability can be described as average. IFX is quite expensive at the moment. It does show a decent growth rate.
1. Profitability
1.1 Basic Checks
IFX had positive earnings in the past year.
In the past year IFX had a positive cash flow from operations.
IFX had positive earnings in each of the past 5 years.
IFX had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
IFX's Return On Assets of 3.13% is on the low side compared to the rest of the industry. IFX is outperformed by 74.14% of its industry peers.
Looking at the Return On Equity, with a value of 5.11%, IFX is doing worse than 72.41% of the companies in the same industry.
IFX has a worse Return On Invested Capital (5.98%) than 60.34% of its industry peers.
IFX had an Average Return On Invested Capital over the past 3 years of 11.24%. This is below the industry average of 16.14%.
The 3 year average ROIC (11.24%) for IFX is well above the current ROIC(5.98%). The reason for the recent decline needs to be investigated.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.13% | ||
| ROE | 5.11% | ||
| ROIC | 5.98% |
ROA(3y)7.79%
ROA(5y)5.95%
ROE(3y)13.34%
ROE(5y)10.66%
ROIC(3y)11.24%
ROIC(5y)8.52%
1.3 Margins
The Profit Margin of IFX (6.34%) is worse than 79.31% of its industry peers.
IFX's Profit Margin has declined in the last couple of years.
With a Operating Margin value of 12.38%, IFX is not doing good in the industry: 62.07% of the companies in the same industry are doing better.
IFX's Operating Margin has improved in the last couple of years.
IFX has a worse Gross Margin (39.68%) than 72.41% of its industry peers.
IFX's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 12.38% | ||
| PM (TTM) | 6.34% | ||
| GM | 39.68% |
OM growth 3Y8.56%
OM growth 5Y3.29%
PM growth 3Y-6.29%
PM growth 5Y-4.73%
GM growth 3Y1.76%
GM growth 5Y1.71%
2. Health
2.1 Basic Checks
IFX has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
IFX has less shares outstanding than it did 1 year ago.
The number of shares outstanding for IFX has been increased compared to 5 years ago.
IFX has a worse debt/assets ratio than last year.
2.2 Solvency
An Altman-Z score of 3.69 indicates that IFX is not in any danger for bankruptcy at the moment.
The Altman-Z score of IFX (3.69) is worse than 65.52% of its industry peers.
The Debt to FCF ratio of IFX is 7.98, which is on the high side as it means it would take IFX, 7.98 years of fcf income to pay off all of its debts.
IFX's Debt to FCF ratio of 7.98 is on the low side compared to the rest of the industry. IFX is outperformed by 62.07% of its industry peers.
IFX has a Debt/Equity ratio of 0.26. This is a healthy value indicating a solid balance between debt and equity.
IFX's Debt to Equity ratio of 0.26 is in line compared to the rest of the industry. IFX outperforms 51.72% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.26 | ||
| Debt/FCF | 7.98 | ||
| Altman-Z | 3.69 |
ROIC/WACC0.61
WACC9.86%
2.3 Liquidity
A Current Ratio of 1.98 indicates that IFX should not have too much problems paying its short term obligations.
IFX has a Current ratio of 1.98. This is in the lower half of the industry: IFX underperforms 62.07% of its industry peers.
IFX has a Quick Ratio of 1.11. This is a normal value and indicates that IFX is financially healthy and should not expect problems in meeting its short term obligations.
IFX has a worse Quick ratio (1.11) than 63.79% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.98 | ||
| Quick Ratio | 1.11 |
3. Growth
3.1 Past
The earnings per share for IFX have decreased strongly by -33.86% in the last year.
Measured over the past years, IFX shows a quite strong growth in Earnings Per Share. The EPS has been growing by 15.75% on average per year.
Looking at the last year, IFX shows a decrease in Revenue. The Revenue has decreased by -8.61% in the last year.
The Revenue has been growing by 13.25% on average over the past years. This is quite good.
EPS 1Y (TTM)-33.86%
EPS 3Y15.94%
EPS 5Y15.75%
EPS Q2Q%-35.85%
Revenue 1Y (TTM)-8.61%
Revenue growth 3Y10.58%
Revenue growth 5Y13.25%
Sales Q2Q%-7.51%
3.2 Future
The Earnings Per Share is expected to grow by 12.00% on average over the next years. This is quite good.
Based on estimates for the next years, IFX will show a small growth in Revenue. The Revenue will grow by 6.50% on average per year.
EPS Next Y-15.46%
EPS Next 2Y8.45%
EPS Next 3Y12.85%
EPS Next 5Y12%
Revenue Next Year0.85%
Revenue Next 2Y6.15%
Revenue Next 3Y7.49%
Revenue Next 5Y6.5%
3.3 Evolution
The estimated forward EPS growth is still strong, although it is decreasing when compared to the stronger growth in the past 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
IFX is valuated rather expensively with a Price/Earnings ratio of 21.44.
Compared to the rest of the industry, the Price/Earnings ratio of IFX is on the same level as its industry peers.
IFX's Price/Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 29.35.
A Price/Forward Earnings ratio of 16.38 indicates a correct valuation of IFX.
Compared to the rest of the industry, the Price/Forward Earnings ratio of IFX indicates a somewhat cheap valuation: IFX is cheaper than 68.97% of the companies listed in the same industry.
IFX's Price/Forward Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 22.10.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 21.44 | ||
| Fwd PE | 16.38 |
4.2 Price Multiples
IFX's Enterprise Value to EBITDA is on the same level as the industry average.
IFX's Price/Free Cash Flow ratio is in line with the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 70.32 | ||
| EV/EBITDA | 13.39 |
4.3 Compensation for Growth
A more expensive valuation may be justified as IFX's earnings are expected to grow with 12.85% in the coming years.
PEG (NY)N/A
PEG (5Y)1.36
EPS Next 2Y8.45%
EPS Next 3Y12.85%
5. Dividend
5.1 Amount
With a yearly dividend of 0.95%, IFX is not a good candidate for dividend investing.
Compared to an average industry Dividend Yield of 1.50, IFX has a dividend in line with its industry peers.
With a Dividend Yield of 0.95, IFX pays less dividend than the S&P500 average, which is at 2.33.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.95% |
5.2 History
The dividend of IFX is nicely growing with an annual growth rate of 6.41%!
Dividend Growth(5Y)6.41%
Div Incr Years3
Div Non Decr Years3
5.3 Sustainability
48.98% of the earnings are spent on dividend by IFX. This is a bit on the high side, but may be sustainable.
The dividend of IFX is growing, but earnings are growing more, so the dividend growth is sustainable.
DP48.98%
EPS Next 2Y8.45%
EPS Next 3Y12.85%
FRA:IFX (3/7/2025, 7:00:00 PM)
36.025
-0.81 (-2.2%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSemiconductors & Semiconductor Equipment
GICS IndustrySemiconductors & Semiconductor Equipment
Earnings (Last)
Earnings (Next)
Inst Owners53.97%
Inst Owner ChangeN/A
Ins OwnersN/A
Ins Owner ChangeN/A
Market Cap47.05B
Analysts81.29
Price Target42.85 (18.95%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.95% |
Yearly Dividend0.35
Dividend Growth(5Y)6.41%
DP48.98%
Div Incr Years3
Div Non Decr Years3
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)13.37%
Min EPS beat(2)2.81%
Max EPS beat(2)23.94%
EPS beat(4)4
Avg EPS beat(4)9.72%
Min EPS beat(4)1.58%
Max EPS beat(4)23.94%
EPS beat(8)8
Avg EPS beat(8)9.31%
EPS beat(12)12
Avg EPS beat(12)9.09%
EPS beat(16)14
Avg EPS beat(16)8.5%
Revenue beat(2)1
Avg Revenue beat(2)1.54%
Min Revenue beat(2)-2.46%
Max Revenue beat(2)5.55%
Revenue beat(4)1
Avg Revenue beat(4)-0.06%
Min Revenue beat(4)-3.32%
Max Revenue beat(4)5.55%
Revenue beat(8)3
Avg Revenue beat(8)-0.34%
Revenue beat(12)6
Avg Revenue beat(12)0.43%
Revenue beat(16)8
Avg Revenue beat(16)0.38%
PT rev (1m)8.22%
PT rev (3m)10.45%
EPS NQ rev (1m)0%
EPS NQ rev (3m)0.87%
EPS NY rev (1m)6.75%
EPS NY rev (3m)-19.61%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)0.43%
Revenue NY rev (1m)3.88%
Revenue NY rev (3m)-4.46%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 21.44 | ||
| Fwd PE | 16.38 | ||
| P/S | 3.21 | ||
| P/FCF | 70.32 | ||
| P/OCF | 13.57 | ||
| P/B | 2.58 | ||
| P/tB | 5.84 | ||
| EV/EBITDA | 13.39 |
EPS(TTM)1.68
EY4.66%
EPS(NY)2.2
Fwd EY6.1%
FCF(TTM)0.51
FCFY1.42%
OCF(TTM)2.65
OCFY7.37%
SpS11.24
BVpS13.96
TBVpS6.17
PEG (NY)N/A
PEG (5Y)1.36
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.13% | ||
| ROE | 5.11% | ||
| ROCE | 7.35% | ||
| ROIC | 5.98% | ||
| ROICexc | 6.49% | ||
| ROICexgc | 11.74% | ||
| OM | 12.38% | ||
| PM (TTM) | 6.34% | ||
| GM | 39.68% | ||
| FCFM | 4.56% |
ROA(3y)7.79%
ROA(5y)5.95%
ROE(3y)13.34%
ROE(5y)10.66%
ROIC(3y)11.24%
ROIC(5y)8.52%
ROICexc(3y)13.19%
ROICexc(5y)10.13%
ROICexgc(3y)27.93%
ROICexgc(5y)22.61%
ROCE(3y)13.84%
ROCE(5y)10.48%
ROICexcg growth 3Y-5.66%
ROICexcg growth 5Y1.68%
ROICexc growth 3Y6.77%
ROICexc growth 5Y-4.81%
OM growth 3Y8.56%
OM growth 5Y3.29%
PM growth 3Y-6.29%
PM growth 5Y-4.73%
GM growth 3Y1.76%
GM growth 5Y1.71%
F-Score5
Asset Turnover0.49
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.26 | ||
| Debt/FCF | 7.98 | ||
| Debt/EBITDA | 1.28 | ||
| Cap/Depr | 147.52% | ||
| Cap/Sales | 19.06% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 93.35% | ||
| Profit Quality | 71.86% | ||
| Current Ratio | 1.98 | ||
| Quick Ratio | 1.11 | ||
| Altman-Z | 3.69 |
F-Score5
WACC9.86%
ROIC/WACC0.61
Cap/Depr(3y)151.77%
Cap/Depr(5y)128.29%
Cap/Sales(3y)17.6%
Cap/Sales(5y)15.83%
Profit Quality(3y)37.85%
Profit Quality(5y)92.91%
High Growth Momentum
Growth
EPS 1Y (TTM)-33.86%
EPS 3Y15.94%
EPS 5Y15.75%
EPS Q2Q%-35.85%
EPS Next Y-15.46%
EPS Next 2Y8.45%
EPS Next 3Y12.85%
EPS Next 5Y12%
Revenue 1Y (TTM)-8.61%
Revenue growth 3Y10.58%
Revenue growth 5Y13.25%
Sales Q2Q%-7.51%
Revenue Next Year0.85%
Revenue Next 2Y6.15%
Revenue Next 3Y7.49%
Revenue Next 5Y6.5%
EBIT growth 1Y-51.42%
EBIT growth 3Y20.04%
EBIT growth 5Y16.98%
EBIT Next Year56.82%
EBIT Next 3Y32.94%
EBIT Next 5Y25.22%
FCF growth 1Y-48.85%
FCF growth 3Y-66.12%
FCF growth 5Y-16.47%
OCF growth 1Y-9.15%
OCF growth 3Y-3.2%
OCF growth 5Y11.67%