ROLLS-ROYCE HOLDINGS PLC (RRU.DE) Fundamental Analysis & Valuation

FRA:RRU • GB00B63H8491

Current stock price

13.7 EUR
-0.22 (-1.58%)
Last:

This RRU.DE fundamental analysis includes valuation metrics, fair value assessment, financial health analysis, profitability trends, growth metrics and dividend sustainability analysis.

8

1. RRU.DE Profitability Analysis

1.1 Basic Checks

  • RRU had positive earnings in the past year.
  • RRU had a positive operating cash flow in the past year.
  • RRU had positive earnings in 4 of the past 5 years.
  • RRU had a positive operating cash flow in 4 of the past 5 years.
RRU.DE Yearly Net Income VS EBIT VS OCF VS FCFRRU.DE Yearly Net Income VS EBIT VS OCF VS FCFYearly Net Income VS EBIT VS OCF VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 0 2B -2B 4B -4B

1.2 Ratios

  • RRU has a Return On Assets of 15.32%. This is amongst the best in the industry. RRU outperforms 98.21% of its industry peers.
  • The Return On Equity of RRU (214.27%) is better than 100.00% of its industry peers.
  • RRU has a better Return On Invested Capital (19.70%) than 98.21% of its industry peers.
  • The Average Return On Invested Capital over the past 3 years for RRU is above the industry average of 9.79%.
  • The 3 year average ROIC (13.00%) for RRU is below the current ROIC(19.70%), indicating increased profibility in the last year.
Industry RankSector Rank
ROA 15.32%
ROE 214.27%
ROIC 19.7%
ROA(3y)10.01%
ROA(5y)5.23%
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)13%
ROIC(5y)9.11%
RRU.DE Yearly ROA, ROE, ROICRRU.DE Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 0 200 -200

1.3 Margins

  • RRU has a better Profit Margin (27.54%) than 100.00% of its industry peers.
  • RRU has a better Operating Margin (20.79%) than 94.64% of its industry peers.
  • RRU's Operating Margin has improved in the last couple of years.
  • RRU has a Gross Margin (29.12%) which is comparable to the rest of the industry.
  • RRU's Gross Margin has improved in the last couple of years.
Industry RankSector Rank
OM 20.79%
PM (TTM) 27.54%
GM 29.12%
OM growth 3Y52.72%
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y12.61%
GM growth 5YN/A
RRU.DE Yearly Profit, Operating, Gross MarginsRRU.DE Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 0 10 -10 20 -20

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6

2. RRU.DE Health Analysis

2.1 Basic Checks

  • The Return on Invested Capital (ROIC) is well above the Cost of Capital (WACC), so RRU is creating value.
  • RRU has less shares outstanding than it did 1 year ago.
  • The number of shares outstanding for RRU has been increased compared to 5 years ago.
  • The debt/assets ratio for RRU has been reduced compared to a year ago.
RRU.DE Yearly Shares OutstandingRRU.DE Yearly Shares OutstandingYearly Shares Outstanding 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2B 4B 6B 8B
RRU.DE Yearly Total Debt VS Total AssetsRRU.DE Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 10B 20B 30B

2.2 Solvency

  • RRU has an Altman-Z score of 2.79. This is not the best score and indicates that RRU is in the grey zone with still only limited risk for bankruptcy at the moment.
  • RRU's Altman-Z score of 2.79 is in line compared to the rest of the industry. RRU outperforms 53.57% of its industry peers.
  • RRU has a debt to FCF ratio of 1.19. This is a very positive value and a sign of high solvency as it would only need 1.19 years to pay back of all of its debts.
  • RRU's Debt to FCF ratio of 1.19 is amongst the best of the industry. RRU outperforms 89.29% of its industry peers.
  • A Debt/Equity ratio of 1.05 is on the high side and indicates that RRU has dependencies on debt financing.
  • RRU has a Debt to Equity ratio of 1.05. This is in the lower half of the industry: RRU underperforms 73.21% of its industry peers.
  • Even though the debt/equity ratio score it not favorable for RRU, it has very limited outstanding debt, so we won't put too much weight on the DE evaluation.
Industry RankSector Rank
Debt/Equity 1.05
Debt/FCF 1.19
Altman-Z 2.79
ROIC/WACC2.03
WACC9.7%
RRU.DE Yearly LT Debt VS Equity VS FCFRRU.DE Yearly LT Debt VS Equity VS FCFYearly LT Debt VS Equity VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 0 2B -2B 4B -4B 6B -6B

2.3 Liquidity

  • A Current Ratio of 1.20 indicates that RRU should not have too much problems paying its short term obligations.
  • RRU has a Current ratio (1.20) which is comparable to the rest of the industry.
  • RRU has a Quick Ratio of 1.20. This is a bad value and indicates that RRU is not financially healthy enough and could expect problems in meeting its short term obligations.
  • RRU has a Quick ratio of 0.90. This is in the better half of the industry: RRU outperforms 60.71% of its industry peers.
Industry RankSector Rank
Current Ratio 1.2
Quick Ratio 0.9
RRU.DE Yearly Current Assets VS Current LiabilitesRRU.DE Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 5B 10B 15B 20B

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7

3. RRU.DE Growth Analysis

3.1 Past

  • The Earnings Per Share has grown by an impressive 45.96% over the past year.
  • The Earnings Per Share has been growing by 149.74% on average over the past years. This is a very strong growth
  • RRU shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 12.15%.
  • Measured over the past years, RRU shows a quite strong growth in Revenue. The Revenue has been growing by 13.04% on average per year.
EPS 1Y (TTM)45.96%
EPS 3Y149.74%
EPS 5YN/A
EPS Q2Q%22.1%
Revenue 1Y (TTM)12.15%
Revenue growth 3Y16.19%
Revenue growth 5Y13.04%
Sales Q2Q%13.82%

3.2 Future

  • RRU is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 14.56% yearly.
  • The Revenue is expected to grow by 8.49% on average over the next years. This is quite good.
EPS Next Y16.61%
EPS Next 2Y14.78%
EPS Next 3Y14.83%
EPS Next 5Y14.56%
Revenue Next Year12.06%
Revenue Next 2Y10.8%
Revenue Next 3Y10.57%
Revenue Next 5Y8.49%

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.
RRU.DE Yearly Revenue VS EstimatesRRU.DE Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 2031 2032 10B 20B 30B
RRU.DE Yearly EPS VS EstimatesRRU.DE Yearly EPS VS EstimatesYearly EPS VS Estimates 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 0 0.2 -0.2 0.4 -0.4 -0.6

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4

4. RRU.DE Valuation Analysis

4.1 Price/Earnings Ratio

  • Based on the Price/Earnings ratio of 40.29, the valuation of RRU can be described as expensive.
  • Compared to the rest of the industry, the Price/Earnings ratio of RRU indicates a somewhat cheap valuation: RRU is cheaper than 66.07% of the companies listed in the same industry.
  • When comparing the Price/Earnings ratio of RRU to the average of the S&P500 Index (26.21), we can say RRU is valued expensively.
  • Based on the Price/Forward Earnings ratio of 34.82, the valuation of RRU can be described as expensive.
  • The rest of the industry has a similar Price/Forward Earnings ratio as RRU.
  • When comparing the Price/Forward Earnings ratio of RRU to the average of the S&P500 Index (23.13), we can say RRU is valued expensively.
Industry RankSector Rank
PE 40.29
Fwd PE 34.82
RRU.DE Price Earnings VS Forward Price EarningsRRU.DE Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 20 40 60 80 100

4.2 Price Multiples

  • Based on the Enterprise Value to EBITDA ratio, RRU is valued a bit cheaper than the industry average as 66.07% of the companies are valued more expensively.
  • Based on the Price/Free Cash Flow ratio, RRU is valued cheaply inside the industry as 80.36% of the companies are valued more expensively.
Industry RankSector Rank
P/FCF 28.1
EV/EBITDA 19.06
RRU.DE Per share dataRRU.DE EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 0 1 2

4.3 Compensation for Growth

  • The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
  • RRU has an outstanding profitability rating, which may justify a higher PE ratio.
  • RRU's earnings are expected to grow with 14.83% in the coming years. This may justify a more expensive valuation.
PEG (NY)2.43
PEG (5Y)N/A
EPS Next 2Y14.78%
EPS Next 3Y14.83%

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3

5. RRU.DE Dividend Analysis

5.1 Amount

  • RRU has a yearly dividend return of 0.86%, which is pretty low.
  • Compared to an average industry Dividend Yield of 0.77, RRU has a dividend in line with its industry peers.
  • With a Dividend Yield of 0.86, RRU pays less dividend than the S&P500 average, which is at 1.89.
Industry RankSector Rank
Dividend Yield 0.86%

5.2 History

  • The dividend of RRU is nicely growing with an annual growth rate of 17.06%!
Dividend Growth(5Y)17.06%
Div Incr Years0
Div Non Decr Years0
RRU.DE Yearly Dividends per shareRRU.DE Yearly Dividends per shareYearly Dividends per share 2025 2026 0.02 0.04 0.06 0.08 0.1

5.3 Sustainability

  • RRU pays out 15.15% of its income as dividend. This is a sustainable payout ratio.
  • The dividend of RRU is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP15.15%
EPS Next 2Y14.78%
EPS Next 3Y14.83%
RRU.DE Yearly Income VS Free CF VS DividendRRU.DE Yearly Income VS Free CF VS DividendYearly Income VS Free CF VS Dividend 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 0 2B -2B 4B -4B
RRU.DE Dividend Payout.RRU.DE Dividend Payout, showing the Payout Ratio.RRU.DE Dividend Payout.PayoutRetained Earnings

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RRU.DE Fundamentals: All Metrics, Ratios and Statistics

ROLLS-ROYCE HOLDINGS PLC

FRA:RRU (4/2/2026, 7:00:00 PM)

13.7

-0.22 (-1.58%)

Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryAerospace & Defense
Earnings (Last)02-26
Earnings (Next)07-29
Inst Owners69.91%
Inst Owner ChangeN/A
Ins Owners0.03%
Ins Owner ChangeN/A
Market Cap115.31B
Revenue(TTM)21.21B
Net Income(TTM)5.84B
Analysts77.69
Price Target14.99 (9.42%)
Short Float %N/A
Short RatioN/A
Dividend
Industry RankSector Rank
Dividend Yield 0.86%
Yearly Dividend0.12
Dividend Growth(5Y)17.06%
DP15.15%
Div Incr Years0
Div Non Decr Years0
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)N/A
Avg Revenue beat(2)N/A
Min Revenue beat(2)N/A
Max Revenue beat(2)N/A
Revenue beat(4)N/A
Avg Revenue beat(4)N/A
Min Revenue beat(4)N/A
Max Revenue beat(4)N/A
Revenue beat(8)N/A
Avg Revenue beat(8)N/A
Revenue beat(12)N/A
Avg Revenue beat(12)N/A
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)0%
PT rev (3m)6.86%
EPS NQ rev (1m)N/A
EPS NQ rev (3m)N/A
EPS NY rev (1m)0%
EPS NY rev (3m)3.34%
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)1.96%
Revenue NY rev (3m)2.81%
Valuation
Industry RankSector Rank
PE 40.29
Fwd PE 34.82
P/S 4.74
P/FCF 28.1
P/OCF 22.04
P/B 36.91
P/tB N/A
EV/EBITDA 19.06
EPS(TTM)0.34
EY2.48%
EPS(NY)0.39
Fwd EY2.87%
FCF(TTM)0.49
FCFY3.56%
OCF(TTM)0.62
OCFY4.54%
SpS2.89
BVpS0.37
TBVpS-0.25
PEG (NY)2.43
PEG (5Y)N/A
Graham Number1.69
Profitability
Industry RankSector Rank
ROA 15.32%
ROE 214.27%
ROCE 23.41%
ROIC 19.7%
ROICexc 30.15%
ROICexgc 48.13%
OM 20.79%
PM (TTM) 27.54%
GM 29.12%
FCFM 16.88%
ROA(3y)10.01%
ROA(5y)5.23%
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)13%
ROIC(5y)9.11%
ROICexc(3y)18.25%
ROICexc(5y)12.49%
ROICexgc(3y)27.63%
ROICexgc(5y)18.77%
ROCE(3y)15.47%
ROCE(5y)10.83%
ROICexgc growth 3Y83.4%
ROICexgc growth 5YN/A
ROICexc growth 3Y79.06%
ROICexc growth 5YN/A
OM growth 3Y52.72%
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y12.61%
GM growth 5YN/A
F-Score7
Asset Turnover0.56
Health
Industry RankSector Rank
Debt/Equity 1.05
Debt/FCF 1.19
Debt/EBITDA 0.55
Cap/Depr 133.65%
Cap/Sales 4.64%
Interest Coverage 17.35
Cash Conversion 88.73%
Profit Quality 61.29%
Current Ratio 1.2
Quick Ratio 0.9
Altman-Z 2.79
F-Score7
WACC9.7%
ROIC/WACC2.03
Cap/Depr(3y)102.92%
Cap/Depr(5y)84.7%
Cap/Sales(3y)4.55%
Cap/Sales(5y)4.61%
Profit Quality(3y)83.21%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)45.96%
EPS 3Y149.74%
EPS 5YN/A
EPS Q2Q%22.1%
EPS Next Y16.61%
EPS Next 2Y14.78%
EPS Next 3Y14.83%
EPS Next 5Y14.56%
Revenue 1Y (TTM)12.15%
Revenue growth 3Y16.19%
Revenue growth 5Y13.04%
Sales Q2Q%13.82%
Revenue Next Year12.06%
Revenue Next 2Y10.8%
Revenue Next 3Y10.57%
Revenue Next 5Y8.49%
EBIT growth 1Y89.27%
EBIT growth 3Y77.44%
EBIT growth 5YN/A
EBIT Next Year39.61%
EBIT Next 3Y18.05%
EBIT Next 5Y16.01%
FCF growth 1Y23.62%
FCF growth 3Y41.86%
FCF growth 5YN/A
OCF growth 1Y20.7%
OCF growth 3Y35.13%
OCF growth 5YN/A

ROLLS-ROYCE HOLDINGS PLC / RRU.DE Fundamental Analysis FAQ

What is the ChartMill fundamental rating of ROLLS-ROYCE HOLDINGS PLC (RRU.DE) stock?

ChartMill assigns a fundamental rating of 6 / 10 to RRU.DE.


What is the valuation status of ROLLS-ROYCE HOLDINGS PLC (RRU.DE) stock?

ChartMill assigns a valuation rating of 4 / 10 to ROLLS-ROYCE HOLDINGS PLC (RRU.DE). This can be considered as Fairly Valued.


What is the profitability of RRU stock?

ROLLS-ROYCE HOLDINGS PLC (RRU.DE) has a profitability rating of 8 / 10.


Can you provide the PE and PB ratios for RRU stock?

The Price/Earnings (PE) ratio for ROLLS-ROYCE HOLDINGS PLC (RRU.DE) is 40.29 and the Price/Book (PB) ratio is 36.91.


Can you provide the financial health for RRU stock?

The financial health rating of ROLLS-ROYCE HOLDINGS PLC (RRU.DE) is 6 / 10.