LANXESS AG (LXS.DE) Stock Fundamental Analysis
FRA:LXS - Deutsche Boerse Ag - DE0005470405 - Common Stock - Currency: EUR
Taking everything into account, LXS scores 3 out of 10 in our fundamental rating. LXS was compared to 67 industry peers in the Chemicals industry. LXS may be in some trouble as it scores bad on both profitability and health. LXS has a correct valuation and a medium growth rate.
1. Profitability
1.1 Basic Checks
LXS had positive earnings in the past year.
In the past year LXS had a positive cash flow from operations.
Of the past 5 years LXS 4 years were profitable.
In the past 5 years LXS always reported a positive cash flow from operatings.
1.2 Ratios
LXS has a worse Return On Assets (-1.43%) than 62.69% of its industry peers.
The Return On Equity of LXS (-3.12%) is worse than 62.69% of its industry peers.
LXS's Return On Invested Capital of 0.05% is on the low side compared to the rest of the industry. LXS is outperformed by 67.16% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -1.43% | ||
| ROE | -3.12% | ||
| ROIC | 0.05% |
ROA(3y)1.66%
ROA(5y)3.5%
ROE(3y)3.89%
ROE(5y)9.65%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
LXS has a Operating Margin of 0.09%. This is in the lower half of the industry: LXS underperforms 65.67% of its industry peers.
In the last couple of years the Operating Margin of LXS has declined.
With a Gross Margin value of 21.07%, LXS is not doing good in the industry: 68.66% of the companies in the same industry are doing better.
LXS's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 0.09% | ||
| PM (TTM) | N/A | ||
| GM | 21.07% |
OM growth 3Y-49.18%
OM growth 5Y-37.41%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-6.56%
GM growth 5Y-4.64%
2. Health
2.1 Basic Checks
LXS has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
The number of shares outstanding for LXS remains at a similar level compared to 1 year ago.
LXS has more shares outstanding than it did 5 years ago.
The debt/assets ratio for LXS has been reduced compared to a year ago.
2.2 Solvency
Based on the Altman-Z score of 1.80, we must say that LXS is in the distress zone and has some risk of bankruptcy.
LXS has a Altman-Z score of 1.80. This is in the lower half of the industry: LXS underperforms 62.69% of its industry peers.
The Debt to FCF ratio of LXS is 28.05, which is on the high side as it means it would take LXS, 28.05 years of fcf income to pay off all of its debts.
Looking at the Debt to FCF ratio, with a value of 28.05, LXS is in line with its industry, outperforming 47.76% of the companies in the same industry.
A Debt/Equity ratio of 0.56 indicates that LXS is somewhat dependend on debt financing.
LXS has a Debt to Equity ratio (0.56) which is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.56 | ||
| Debt/FCF | 28.05 | ||
| Altman-Z | 1.8 |
ROIC/WACC0.01
WACC4.61%
2.3 Liquidity
A Current Ratio of 1.90 indicates that LXS should not have too much problems paying its short term obligations.
LXS has a better Current ratio (1.90) than 61.19% of its industry peers.
A Quick Ratio of 1.13 indicates that LXS should not have too much problems paying its short term obligations.
LXS has a Quick ratio (1.13) which is in line with its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.9 | ||
| Quick Ratio | 1.13 |
3. Growth
3.1 Past
LXS shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 190.48%, which is quite impressive.
The earnings per share for LXS have been decreasing by -19.38% on average. This is quite bad
Looking at the last year, LXS shows a decrease in Revenue. The Revenue has decreased by -0.97% in the last year.
Measured over the past years, LXS shows a decrease in Revenue. The Revenue has been decreasing by -1.32% on average per year.
EPS 1Y (TTM)190.48%
EPS 3Y-31.1%
EPS 5Y-19.38%
EPS Q2Q%355.56%
Revenue 1Y (TTM)-0.97%
Revenue growth 3Y1.43%
Revenue growth 5Y-1.32%
Sales Q2Q%-0.37%
3.2 Future
LXS is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 13.72% yearly.
LXS is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 1.29% yearly.
EPS Next Y2.56%
EPS Next 2Y16.02%
EPS Next 3Y13.72%
EPS Next 5YN/A
Revenue Next Year-1.4%
Revenue Next 2Y0.81%
Revenue Next 3Y1.76%
Revenue Next 5Y1.29%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better 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
LXS is valuated correctly with a Price/Earnings ratio of 13.07.
LXS's Price/Earnings ratio is rather cheap when compared to the industry. LXS is cheaper than 85.07% of the companies in the same industry.
When comparing the Price/Earnings ratio of LXS to the average of the S&P500 Index (27.45), we can say LXS is valued rather cheaply.
LXS is valuated reasonably with a Price/Forward Earnings ratio of 11.68.
Based on the Price/Forward Earnings ratio, LXS is valued a bit cheaper than 76.12% of the companies in the same industry.
When comparing the Price/Forward Earnings ratio of LXS to the average of the S&P500 Index (21.90), we can say LXS is valued slightly cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 13.07 | ||
| Fwd PE | 11.68 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of LXS indicates a somewhat cheap valuation: LXS is cheaper than 71.64% of the companies listed in the same industry.
Based on the Price/Free Cash Flow ratio, LXS is valued a bit cheaper than the industry average as 71.64% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 20.04 | ||
| EV/EBITDA | 7.68 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
LXS's earnings are expected to grow with 13.72% in the coming years. This may justify a more expensive valuation.
PEG (NY)5.11
PEG (5Y)N/A
EPS Next 2Y16.02%
EPS Next 3Y13.72%
5. Dividend
5.1 Amount
LXS has a yearly dividend return of 0.40%, which is pretty low.
LXS's Dividend Yield is slightly below the industry average, which is at 3.08.
With a Dividend Yield of 0.40, LXS pays less dividend than the S&P500 average, which is at 2.42.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.4% |
5.2 History
The dividend of LXS decreases each year by -35.08%.
Dividend Growth(5Y)-35.08%
Div Incr Years0
Div Non Decr Years1
5.3 Sustainability
The earnings of LXS are negative and hence is the payout ratio. LXS will probably not be able to sustain this dividend level.
DP-6.62%
EPS Next 2Y16.02%
EPS Next 3Y13.72%
FRA:LXS (7/4/2025, 9:01:03 AM)
24.83
-0.29 (-1.15%)
Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryChemicals
Earnings (Last)
Earnings (Next)
Inst Owners57.91%
Inst Owner ChangeN/A
Ins Owners2.86%
Ins Owner ChangeN/A
Market Cap2.14B
Analysts66.92
Price Target29.36 (18.24%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.4% |
Yearly Dividend0.1
Dividend Growth(5Y)-35.08%
DP-6.62%
Div Incr Years0
Div Non Decr Years1
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)265.73%
Min EPS beat(2)179.44%
Max EPS beat(2)352.03%
EPS beat(4)4
Avg EPS beat(4)283.37%
Min EPS beat(4)130.13%
Max EPS beat(4)471.87%
EPS beat(8)7
Avg EPS beat(8)156.69%
EPS beat(12)10
Avg EPS beat(12)114.53%
EPS beat(16)14
Avg EPS beat(16)92.1%
Revenue beat(2)0
Avg Revenue beat(2)-3.33%
Min Revenue beat(2)-4.87%
Max Revenue beat(2)-1.78%
Revenue beat(4)0
Avg Revenue beat(4)-3.41%
Min Revenue beat(4)-4.87%
Max Revenue beat(4)-1.78%
Revenue beat(8)2
Avg Revenue beat(8)-3.63%
Revenue beat(12)3
Avg Revenue beat(12)-2.66%
Revenue beat(16)3
Avg Revenue beat(16)-6.02%
PT rev (1m)-1.37%
PT rev (3m)-2.74%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-98.39%
EPS NY rev (1m)0%
EPS NY rev (3m)-4.68%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-6.84%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-3.37%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 13.07 | ||
| Fwd PE | 11.68 | ||
| P/S | 0.34 | ||
| P/FCF | 20.04 | ||
| P/OCF | 4.95 | ||
| P/B | 0.49 | ||
| P/tB | 1.11 | ||
| EV/EBITDA | 7.68 |
EPS(TTM)1.9
EY7.65%
EPS(NY)2.13
Fwd EY8.57%
FCF(TTM)1.24
FCFY4.99%
OCF(TTM)5.01
OCFY20.2%
SpS73.65
BVpS50.47
TBVpS22.35
PEG (NY)5.11
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -1.43% | ||
| ROE | -3.12% | ||
| ROCE | 0.08% | ||
| ROIC | 0.05% | ||
| ROICexc | 0.06% | ||
| ROICexgc | 0.09% | ||
| OM | 0.09% | ||
| PM (TTM) | N/A | ||
| GM | 21.07% | ||
| FCFM | 1.68% |
ROA(3y)1.66%
ROA(5y)3.5%
ROE(3y)3.89%
ROE(5y)9.65%
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexcg growth 3Y-49.79%
ROICexcg growth 5Y-39.03%
ROICexc growth 3Y-49.29%
ROICexc growth 5Y-40.18%
OM growth 3Y-49.18%
OM growth 5Y-37.41%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-6.56%
GM growth 5Y-4.64%
F-Score5
Asset Turnover0.67
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.56 | ||
| Debt/FCF | 28.05 | ||
| Debt/EBITDA | 4.27 | ||
| Cap/Depr | 58.11% | ||
| Cap/Sales | 5.13% | ||
| Interest Coverage | 0.14 | ||
| Cash Conversion | 76.37% | ||
| Profit Quality | N/A | ||
| Current Ratio | 1.9 | ||
| Quick Ratio | 1.13 | ||
| Altman-Z | 1.8 |
F-Score5
WACC4.61%
ROIC/WACC0.01
Cap/Depr(3y)54.6%
Cap/Depr(5y)69.53%
Cap/Sales(3y)4.97%
Cap/Sales(5y)6.05%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)190.48%
EPS 3Y-31.1%
EPS 5Y-19.38%
EPS Q2Q%355.56%
EPS Next Y2.56%
EPS Next 2Y16.02%
EPS Next 3Y13.72%
EPS Next 5YN/A
Revenue 1Y (TTM)-0.97%
Revenue growth 3Y1.43%
Revenue growth 5Y-1.32%
Sales Q2Q%-0.37%
Revenue Next Year-1.4%
Revenue Next 2Y0.81%
Revenue Next 3Y1.76%
Revenue Next 5Y1.29%
EBIT growth 1Y100.79%
EBIT growth 3Y-48.45%
EBIT growth 5Y-38.23%
EBIT Next Year1226.47%
EBIT Next 3Y155.37%
EBIT Next 5Y79.84%
FCF growth 1Y9.18%
FCF growth 3YN/A
FCF growth 5Y6.85%
OCF growth 1Y-13.57%
OCF growth 3Y7.67%
OCF growth 5Y-4.6%