SIEMENS HEALTHINEERS AG (SHL.DE) Stock Fundamental Analysis
Europe - Frankfurt Stock Exchange - FRA:SHL - DE000SHL1006 - Common Stock
42.05 EUR
-0.42 (-0.99%)
We assign a fundamental rating of 5 out of 10 to SHL. SHL was compared to 63 industry peers in the Health Care Equipment & Supplies industry. SHL has a medium profitability rating, but doesn't score so well on its financial health evaluation. SHL has a correct valuation and a medium growth rate.
1. Profitability
1.1 Basic Checks
- In the past year SHL was profitable.
- In the past year SHL had a positive cash flow from operations.
- Each year in the past 5 years SHL has been profitable.
- SHL had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
- With a decent Return On Assets value of 4.83%, SHL is doing good in the industry, outperforming 66.67% of the companies in the same industry.
- Looking at the Return On Equity, with a value of 11.88%, SHL is in the better half of the industry, outperforming 69.84% of the companies in the same industry.
- The Return On Invested Capital of SHL (7.66%) is better than 61.90% of its industry peers.
- SHL had an Average Return On Invested Capital over the past 3 years of 6.28%. This is below the industry average of 9.95%.
- The last Return On Invested Capital (7.66%) for SHL is above the 3 year average (6.28%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.83% | ||
| ROE | 11.88% | ||
| ROIC | 7.66% |
ROA(3y)4.09%
ROA(5y)4.11%
ROE(3y)10.3%
ROE(5y)10.39%
ROIC(3y)6.28%
ROIC(5y)6.22%
1.3 Margins
- SHL has a better Profit Margin (9.17%) than 68.25% of its industry peers.
- SHL's Profit Margin has been stable in the last couple of years.
- With a decent Operating Margin value of 13.53%, SHL is doing good in the industry, outperforming 63.49% of the companies in the same industry.
- SHL's Operating Margin has been stable in the last couple of years.
- SHL has a Gross Margin of 38.63%. This is amonst the worse of the industry: SHL underperforms 80.95% of its industry peers.
- In the last couple of years the Gross Margin of SHL has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 13.53% | ||
| PM (TTM) | 9.17% | ||
| GM | 38.63% |
OM growth 3Y0.16%
OM growth 5Y0.1%
PM growth 3Y-0.76%
PM growth 5Y-1.23%
GM growth 3Y1.02%
GM growth 5Y0.02%
2. Health
2.1 Basic Checks
- SHL has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
- Compared to 1 year ago, SHL has less shares outstanding
- The number of shares outstanding for SHL has been increased compared to 5 years ago.
- Compared to 1 year ago, SHL has an improved debt to assets ratio.
2.2 Solvency
- An Altman-Z score of 2.00 indicates that SHL is not a great score, but indicates only limited risk for bankruptcy at the moment.
- SHL's Altman-Z score of 2.00 is in line compared to the rest of the industry. SHL outperforms 42.86% of its industry peers.
- SHL has a debt to FCF ratio of 5.45. This is a neutral value as SHL would need 5.45 years to pay back of all of its debts.
- Looking at the Debt to FCF ratio, with a value of 5.45, SHL is in line with its industry, outperforming 52.38% of the companies in the same industry.
- SHL has a Debt/Equity ratio of 0.63. This is a neutral value indicating SHL is somewhat dependend on debt financing.
- Looking at the Debt to Equity ratio, with a value of 0.63, SHL is doing worse than 66.67% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.63 | ||
| Debt/FCF | 5.45 | ||
| Altman-Z | 2 |
ROIC/WACC1.16
WACC6.59%
2.3 Liquidity
- SHL has a Current Ratio of 1.11. This is a normal value and indicates that SHL is financially healthy and should not expect problems in meeting its short term obligations.
- Looking at the Current ratio, with a value of 1.11, SHL is doing worse than 69.84% of the companies in the same industry.
- A Quick Ratio of 0.79 indicates that SHL may have some problems paying its short term obligations.
- SHL's Quick ratio of 0.79 is on the low side compared to the rest of the industry. SHL is outperformed by 69.84% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.11 | ||
| Quick Ratio | 0.79 |
3. Growth
3.1 Past
- SHL shows a small growth in Earnings Per Share. In the last year, the EPS has grown by 7.17%.
- SHL shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 11.29% yearly.
- SHL shows a small growth in Revenue. In the last year, the Revenue has grown by 4.53%.
- Measured over the past years, SHL shows a quite strong growth in Revenue. The Revenue has been growing by 10.08% on average per year.
EPS 1Y (TTM)7.17%
EPS 3Y1.29%
EPS 5Y11.29%
EPS Q2Q%1.49%
Revenue 1Y (TTM)4.53%
Revenue growth 3Y2.49%
Revenue growth 5Y10.08%
Sales Q2Q%-0.11%
3.2 Future
- SHL is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 9.85% yearly.
- SHL is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 5.74% yearly.
EPS Next Y-0.73%
EPS Next 2Y5.79%
EPS Next 3Y8.53%
EPS Next 5Y9.85%
Revenue Next Year2.83%
Revenue Next 2Y4.53%
Revenue Next 3Y5.13%
Revenue Next 5Y5.74%
3.3 Evolution
- When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is stable.
- The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
- SHL is valuated rather expensively with a Price/Earnings ratio of 17.59.
- Based on the Price/Earnings ratio, SHL is valued cheaply inside the industry as 88.89% of the companies are valued more expensively.
- The average S&P500 Price/Earnings ratio is at 28.39. SHL is valued slightly cheaper when compared to this.
- A Price/Forward Earnings ratio of 17.72 indicates a rather expensive valuation of SHL.
- 69.84% of the companies in the same industry are more expensive than SHL, based on the Price/Forward Earnings ratio.
- When comparing the Price/Forward Earnings ratio of SHL to the average of the S&P500 Index (25.72), we can say SHL is valued slightly cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 17.59 | ||
| Fwd PE | 17.72 |
4.2 Price Multiples
- Based on the Enterprise Value to EBITDA ratio, SHL is valued a bit cheaper than the industry average as 68.25% of the companies are valued more expensively.
- Compared to the rest of the industry, the Price/Free Cash Flow ratio of SHL indicates a rather cheap valuation: SHL is cheaper than 85.71% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 17.48 | ||
| EV/EBITDA | 13.42 |
4.3 Compensation for Growth
- SHL has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)1.56
EPS Next 2Y5.79%
EPS Next 3Y8.53%
5. Dividend
5.1 Amount
- SHL has a Yearly Dividend Yield of 2.27%.
- SHL's Dividend Yield is rather good when compared to the industry average which is at 0.96. SHL pays more dividend than 82.54% of the companies in the same industry.
- SHL's Dividend Yield is a higher than the S&P500 average which is at 1.82.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.27% |
5.2 History
- The dividend of SHL has a limited annual growth rate of 4.38%.
Dividend Growth(5Y)4.38%
Div Incr Years0
Div Non Decr Years6
5.3 Sustainability
- 49.72% of the earnings are spent on dividend by SHL. This is a bit on the high side, but may be sustainable.
- SHL's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP49.72%
EPS Next 2Y5.79%
EPS Next 3Y8.53%
SIEMENS HEALTHINEERS AG / SHL.DE FAQ
What is the fundamental rating for SHL stock?
ChartMill assigns a fundamental rating of 5 / 10 to SHL.DE.
Can you provide the valuation status for SIEMENS HEALTHINEERS AG?
ChartMill assigns a valuation rating of 5 / 10 to SIEMENS HEALTHINEERS AG (SHL.DE). This can be considered as Fairly Valued.
Can you provide the profitability details for SIEMENS HEALTHINEERS AG?
SIEMENS HEALTHINEERS AG (SHL.DE) has a profitability rating of 6 / 10.
Can you provide the PE and PB ratios for SHL stock?
The Price/Earnings (PE) ratio for SIEMENS HEALTHINEERS AG (SHL.DE) is 17.59 and the Price/Book (PB) ratio is 2.63.
How financially healthy is SIEMENS HEALTHINEERS AG?
The financial health rating of SIEMENS HEALTHINEERS AG (SHL.DE) is 3 / 10.