FRIEDRICH VORWERK GROUP SE (VH2.DE) Stock Fundamental Analysis
Europe - Frankfurt Stock Exchange - FRA:VH2 - DE000A255F11 - Common Stock
88.7 EUR
+0.8 (+0.91%)
We assign a fundamental rating of 7 out of 10 to VH2. VH2 was compared to 71 industry peers in the Oil, Gas & Consumable Fuels industry. VH2 is in great health and has no worries on liquidiy or solvency at all, but the profibility rating is only average. VH2 is growing strongly while it is still valued neutral. This is a good combination! These ratings would make VH2 suitable for growth investing!
1. Profitability
1.1 Basic Checks
- VH2 had positive earnings in the past year.
- In the past year VH2 had a positive cash flow from operations.
- In the past 5 years VH2 has always been profitable.
- VH2 had a positive operating cash flow in 4 of the past 5 years.
1.2 Ratios
- With an excellent Return On Assets value of 15.19%, VH2 belongs to the best of the industry, outperforming 98.67% of the companies in the same industry.
- VH2's Return On Equity of 27.63% is amongst the best of the industry. VH2 outperforms 94.67% of its industry peers.
- Looking at the Return On Invested Capital, with a value of 21.96%, VH2 belongs to the top of the industry, outperforming 96.00% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 15.19% | ||
| ROE | 27.63% | ||
| ROIC | 21.96% |
ROA(3y)5.67%
ROA(5y)8.7%
ROE(3y)11.3%
ROE(5y)19.92%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
- Looking at the Profit Margin, with a value of 10.66%, VH2 is in the better half of the industry, outperforming 62.67% of the companies in the same industry.
- In the last couple of years the Profit Margin of VH2 has declined.
- VH2 has a Operating Margin (15.56%) which is in line with its industry peers.
- VH2's Operating Margin has declined in the last couple of years.
- VH2 has a Gross Margin of 54.10%. This is in the better half of the industry: VH2 outperforms 64.00% of its industry peers.
- VH2's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 15.56% | ||
| PM (TTM) | 10.66% | ||
| GM | 54.1% |
OM growth 3Y-6.37%
OM growth 5Y-4.94%
PM growth 3Y-9.21%
PM growth 5Y-14.63%
GM growth 3Y-5.19%
GM growth 5Y-0.69%
2. Health
2.1 Basic Checks
- The Return on Invested Capital (ROIC) is well above the Cost of Capital (WACC), so VH2 is creating value.
- The number of shares outstanding for VH2 remains at a similar level compared to 1 year ago.
- Compared to 5 years ago, VH2 has about the same amount of shares outstanding.
- VH2 has a better debt/assets ratio than last year.
2.2 Solvency
- VH2 has an Altman-Z score of 8.10. This indicates that VH2 is financially healthy and has little risk of bankruptcy at the moment.
- VH2's Altman-Z score of 8.10 is amongst the best of the industry. VH2 outperforms 94.67% of its industry peers.
- The Debt to FCF ratio of VH2 is 0.40, which is an excellent value as it means it would take VH2, only 0.40 years of fcf income to pay off all of its debts.
- With an excellent Debt to FCF ratio value of 0.40, VH2 belongs to the best of the industry, outperforming 93.33% of the companies in the same industry.
- A Debt/Equity ratio of 0.11 indicates that VH2 is not too dependend on debt financing.
- With an excellent Debt to Equity ratio value of 0.11, VH2 belongs to the best of the industry, outperforming 84.00% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.11 | ||
| Debt/FCF | 0.4 | ||
| Altman-Z | 8.1 |
ROIC/WACC2.97
WACC7.39%
2.3 Liquidity
- VH2 has a Current Ratio of 2.22. This indicates that VH2 is financially healthy and has no problem in meeting its short term obligations.
- VH2's Current ratio of 2.22 is amongst the best of the industry. VH2 outperforms 85.33% of its industry peers.
- VH2 has a Quick Ratio of 2.12. This indicates that VH2 is financially healthy and has no problem in meeting its short term obligations.
- VH2 has a Quick ratio of 2.12. This is amongst the best in the industry. VH2 outperforms 86.67% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.22 | ||
| Quick Ratio | 2.12 |
3. Growth
3.1 Past
- VH2 shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 151.80%, which is quite impressive.
- The Earnings Per Share has been growing slightly by 4.74% on average over the past years.
- VH2 shows a strong growth in Revenue. In the last year, the Revenue has grown by 51.91%.
- VH2 shows a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 22.68% yearly.
EPS 1Y (TTM)151.8%
EPS 3Y9.3%
EPS 5Y4.74%
EPS Q2Q%127.63%
Revenue 1Y (TTM)51.91%
Revenue growth 3Y21.32%
Revenue growth 5Y22.68%
Sales Q2Q%39.31%
3.2 Future
- Based on estimates for the next years, VH2 will show a very strong growth in Earnings Per Share. The EPS will grow by 37.23% on average per year.
- VH2 is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 19.50% yearly.
EPS Next Y95.2%
EPS Next 2Y49.56%
EPS Next 3Y37.23%
EPS Next 5YN/A
Revenue Next Year36.76%
Revenue Next 2Y24.12%
Revenue Next 3Y19.5%
Revenue Next 5YN/A
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 accelerating.
- The Revenue growth rate is stable: in the next years the growth will be about the same than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
- VH2 is valuated quite expensively with a Price/Earnings ratio of 25.06.
- Compared to the rest of the industry, the Price/Earnings ratio of VH2 indicates a slightly more expensive valuation: VH2 is more expensive than 65.33% of the companies listed in the same industry.
- VH2 is valuated at similar levels of the S&P average when we compare the Price/Earnings ratio to 27.21, which is the current average of the S&P500 Index.
- A Price/Forward Earnings ratio of 20.20 indicates a rather expensive valuation of VH2.
- Based on the Price/Forward Earnings ratio, VH2 is valued a bit more expensive than 64.00% of the companies in the same industry.
- The average S&P500 Price/Forward Earnings ratio is at 25.98. VH2 is valued slightly cheaper when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 25.06 | ||
| Fwd PE | 20.2 |
4.2 Price Multiples
- Based on the Enterprise Value to EBITDA ratio, VH2 is valued a bit more expensive than 76.00% of the companies in the same industry.
- The rest of the industry has a similar Price/Free Cash Flow ratio as VH2.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 19.17 | ||
| EV/EBITDA | 13.23 |
4.3 Compensation for Growth
- VH2's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
- VH2 has a very decent profitability rating, which may justify a higher PE ratio.
- VH2's earnings are expected to grow with 37.23% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.26
PEG (5Y)5.29
EPS Next 2Y49.56%
EPS Next 3Y37.23%
5. Dividend
5.1 Amount
- With a yearly dividend of 0.34%, VH2 is not a good candidate for dividend investing.
- VH2's Dividend Yield is slightly below the industry average, which is at 5.24.
- With a Dividend Yield of 0.34, VH2 pays less dividend than the S&P500 average, which is at 1.81.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.34% |
5.2 History
Dividend Growth(5Y)N/A
Div Incr Years1
Div Non Decr Years2
5.3 Sustainability
- 8.47% of the earnings are spent on dividend by VH2. This is a low number and sustainable payout ratio.
DP8.47%
EPS Next 2Y49.56%
EPS Next 3Y37.23%
FRIEDRICH VORWERK GROUP SE / VH2.DE FAQ
What is the fundamental rating for VH2 stock?
ChartMill assigns a fundamental rating of 7 / 10 to VH2.DE.
What is the valuation status for VH2 stock?
ChartMill assigns a valuation rating of 4 / 10 to FRIEDRICH VORWERK GROUP SE (VH2.DE). This can be considered as Fairly Valued.
Can you provide the profitability details for FRIEDRICH VORWERK GROUP SE?
FRIEDRICH VORWERK GROUP SE (VH2.DE) has a profitability rating of 6 / 10.
What is the valuation of FRIEDRICH VORWERK GROUP SE based on its PE and PB ratios?
The Price/Earnings (PE) ratio for FRIEDRICH VORWERK GROUP SE (VH2.DE) is 25.06 and the Price/Book (PB) ratio is 6.92.
What is the earnings growth outlook for FRIEDRICH VORWERK GROUP SE?
The Earnings per Share (EPS) of FRIEDRICH VORWERK GROUP SE (VH2.DE) is expected to grow by 95.2% in the next year.