COMPASS GROUP PLC (XGR2.DE) Stock Fundamental Analysis
FRA:XGR2 - Deutsche Boerse Ag - GB00BD6K4575 - Common Stock - Currency: EUR
Overall XGR2 gets a fundamental rating of 5 out of 10. We evaluated XGR2 against 55 industry peers in the Hotels, Restaurants & Leisure industry. XGR2 has only an average score on both its financial health and profitability. While showing a medium growth rate, XGR2 is valued expensive at the moment.
1. Profitability
1.1 Basic Checks
In the past year XGR2 was profitable.
XGR2 had a positive operating cash flow in the past year.
In the past 5 years XGR2 has always been profitable.
Each year in the past 5 years XGR2 had a positive operating cash flow.
1.2 Ratios
With a decent Return On Assets value of 5.77%, XGR2 is doing good in the industry, outperforming 74.55% of the companies in the same industry.
XGR2 has a Return On Equity of 20.56%. This is in the better half of the industry: XGR2 outperforms 80.00% of its industry peers.
XGR2 has a better Return On Invested Capital (12.83%) than 81.82% of its industry peers.
XGR2 had an Average Return On Invested Capital over the past 3 years of 12.27%. This is in line with the industry average of 11.33%.
The 3 year average ROIC (12.27%) for XGR2 is below the current ROIC(12.83%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.77% | ||
| ROE | 20.56% | ||
| ROIC | 12.83% |
ROA(3y)6.39%
ROA(5y)4.49%
ROE(3y)21.7%
ROE(5y)15.03%
ROIC(3y)12.27%
ROIC(5y)9.04%
1.3 Margins
The Profit Margin of XGR2 (3.34%) is comparable to the rest of the industry.
XGR2's Profit Margin has declined in the last couple of years.
Looking at the Operating Margin, with a value of 6.05%, XGR2 is in line with its industry, outperforming 50.91% of the companies in the same industry.
XGR2's Operating Margin has been stable in the last couple of years.
The Gross Margin of XGR2 (72.66%) is better than 74.55% of its industry peers.
In the last couple of years the Gross Margin of XGR2 has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 6.05% | ||
| PM (TTM) | 3.34% | ||
| GM | 72.66% |
OM growth 3Y19.73%
OM growth 5Y-1.19%
PM growth 3Y18.8%
PM growth 5Y-6.03%
GM growth 3Y-1.02%
GM growth 5Y0.32%
2. Health
2.1 Basic Checks
XGR2 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, XGR2 has less shares outstanding
Compared to 5 years ago, XGR2 has more shares outstanding
XGR2 has a better debt/assets ratio than last year.
2.2 Solvency
XGR2 has an Altman-Z score of 4.49. This indicates that XGR2 is financially healthy and has little risk of bankruptcy at the moment.
XGR2 has a better Altman-Z score (4.49) than 87.27% of its industry peers.
The Debt to FCF ratio of XGR2 is 3.51, which is a good value as it means it would take XGR2, 3.51 years of fcf income to pay off all of its debts.
XGR2 has a Debt to FCF ratio of 3.51. This is in the better half of the industry: XGR2 outperforms 76.36% of its industry peers.
A Debt/Equity ratio of 0.71 indicates that XGR2 is somewhat dependend on debt financing.
XGR2 has a Debt to Equity ratio of 0.71. This is in the better half of the industry: XGR2 outperforms 61.82% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.71 | ||
| Debt/FCF | 3.51 | ||
| Altman-Z | 4.49 |
ROIC/WACC1.47
WACC8.73%
2.3 Liquidity
A Current Ratio of 0.74 indicates that XGR2 may have some problems paying its short term obligations.
XGR2 has a Current ratio (0.74) which is comparable to the rest of the industry.
A Quick Ratio of 0.67 indicates that XGR2 may have some problems paying its short term obligations.
Looking at the Quick ratio, with a value of 0.67, XGR2 is doing worse than 63.64% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.74 | ||
| Quick Ratio | 0.67 |
3. Growth
3.1 Past
XGR2 shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 9.70%, which is quite good.
The Earnings Per Share has been growing slightly by 6.94% on average over the past years.
XGR2 shows a strong growth in Revenue. In the last year, the Revenue has grown by 21.35%.
The Revenue has been growing by 11.04% on average over the past years. This is quite good.
EPS 1Y (TTM)9.7%
EPS 3Y59.19%
EPS 5Y6.94%
EPS Q2Q%9.32%
Revenue 1Y (TTM)21.35%
Revenue growth 3Y32.86%
Revenue growth 5Y11.04%
Sales Q2Q%8.18%
3.2 Future
The Earnings Per Share is expected to grow by 10.46% on average over the next years. This is quite good.
Based on estimates for the next years, XGR2 will show a small growth in Revenue. The Revenue will grow by 6.56% on average per year.
EPS Next Y13.94%
EPS Next 2Y12.61%
EPS Next 3Y11.78%
EPS Next 5Y10.46%
Revenue Next Year8.26%
Revenue Next 2Y7.82%
Revenue Next 3Y7.49%
Revenue Next 5Y6.56%
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.
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
Based on the Price/Earnings ratio of 27.51, the valuation of XGR2 can be described as expensive.
63.64% of the companies in the same industry are more expensive than XGR2, based on the Price/Earnings ratio.
XGR2's Price/Earnings ratio indicates a similar valuation than the S&P500 average which is at 27.15.
The Price/Forward Earnings ratio is 22.62, which indicates a rather expensive current valuation of XGR2.
Compared to the rest of the industry, the Price/Forward Earnings ratio of XGR2 is on the same level as its industry peers.
When comparing the Price/Forward Earnings ratio of XGR2 to the average of the S&P500 Index (21.60), we can say XGR2 is valued inline with the index average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 27.51 | ||
| Fwd PE | 22.62 |
4.2 Price Multiples
The rest of the industry has a similar Enterprise Value to EBITDA ratio as XGR2.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of XGR2 indicates a slightly more expensive valuation: XGR2 is more expensive than 63.64% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 34.36 | ||
| EV/EBITDA | 19.4 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates XGR2 does not grow enough to justify the current Price/Earnings ratio.
The decent profitability rating of XGR2 may justify a higher PE ratio.
PEG (NY)1.97
PEG (5Y)3.97
EPS Next 2Y12.61%
EPS Next 3Y11.78%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 1.83%, XGR2 has a reasonable but not impressive dividend return.
Compared to an average industry Dividend Yield of 3.33, XGR2 pays a bit more dividend than its industry peers.
Compared to the average S&P500 Dividend Yield of 2.42, XGR2 is paying slightly less dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.83% |
5.2 History
The dividend of XGR2 is nicely growing with an annual growth rate of 7.92%!
Dividend Growth(5Y)7.92%
Div Incr Years2
Div Non Decr Years2
5.3 Sustainability
68.59% of the earnings are spent on dividend by XGR2. This is not a sustainable payout ratio.
The dividend of XGR2 is growing, but earnings are growing more, so the dividend growth is sustainable.
DP68.59%
EPS Next 2Y12.61%
EPS Next 3Y11.78%
FRA:XGR2 (6/30/2025, 7:00:00 PM)
29.16
-0.22 (-0.75%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Services
GICS IndustryHotels, Restaurants & Leisure
Earnings (Last)
Earnings (Next)
Inst Owners75.21%
Inst Owner ChangeN/A
Ins Owners0.1%
Ins Owner ChangeN/A
Market Cap49.50B
Analysts74.48
Price Target33.37 (14.44%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.83% |
Yearly Dividend0.48
Dividend Growth(5Y)7.92%
DP68.59%
Div Incr Years2
Div Non Decr Years2
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)1.89%
PT rev (3m)-2.74%
EPS NQ rev (1m)N/A
EPS NQ rev (3m)N/A
EPS NY rev (1m)0%
EPS NY rev (3m)-0.08%
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)0%
Revenue NY rev (3m)0.04%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 27.51 | ||
| Fwd PE | 22.62 | ||
| P/S | 1.38 | ||
| P/FCF | 34.36 | ||
| P/OCF | 18.72 | ||
| P/B | 8.48 | ||
| P/tB | N/A | ||
| EV/EBITDA | 19.4 |
EPS(TTM)1.06
EY3.64%
EPS(NY)1.29
Fwd EY4.42%
FCF(TTM)0.85
FCFY2.91%
OCF(TTM)1.56
OCFY5.34%
SpS21.14
BVpS3.44
TBVpS-1.71
PEG (NY)1.97
PEG (5Y)3.97
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.77% | ||
| ROE | 20.56% | ||
| ROCE | 17.79% | ||
| ROIC | 12.83% | ||
| ROICexc | 13.29% | ||
| ROICexgc | 51.51% | ||
| OM | 6.05% | ||
| PM (TTM) | 3.34% | ||
| GM | 72.66% | ||
| FCFM | 4.01% |
ROA(3y)6.39%
ROA(5y)4.49%
ROE(3y)21.7%
ROE(5y)15.03%
ROIC(3y)12.27%
ROIC(5y)9.04%
ROICexc(3y)13.85%
ROICexc(5y)10.87%
ROICexgc(3y)61.26%
ROICexgc(5y)N/A
ROCE(3y)17.25%
ROCE(5y)12.72%
ROICexcg growth 3YN/A
ROICexcg growth 5Y-13.01%
ROICexc growth 3Y21.26%
ROICexc growth 5Y-3.92%
OM growth 3Y19.73%
OM growth 5Y-1.19%
PM growth 3Y18.8%
PM growth 5Y-6.03%
GM growth 3Y-1.02%
GM growth 5Y0.32%
F-Score5
Asset Turnover1.72
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.71 | ||
| Debt/FCF | 3.51 | ||
| Debt/EBITDA | 1.47 | ||
| Cap/Depr | 189.38% | ||
| Cap/Sales | 3.35% | ||
| Interest Coverage | 9.51 | ||
| Cash Conversion | 94.24% | ||
| Profit Quality | 120.09% | ||
| Current Ratio | 0.74 | ||
| Quick Ratio | 0.67 | ||
| Altman-Z | 4.49 |
F-Score5
WACC8.73%
ROIC/WACC1.47
Cap/Depr(3y)128.05%
Cap/Depr(5y)112.59%
Cap/Sales(3y)2.96%
Cap/Sales(5y)3.17%
Profit Quality(3y)97.61%
Profit Quality(5y)110.19%
High Growth Momentum
Growth
EPS 1Y (TTM)9.7%
EPS 3Y59.19%
EPS 5Y6.94%
EPS Q2Q%9.32%
EPS Next Y13.94%
EPS Next 2Y12.61%
EPS Next 3Y11.78%
EPS Next 5Y10.46%
Revenue 1Y (TTM)21.35%
Revenue growth 3Y32.86%
Revenue growth 5Y11.04%
Sales Q2Q%8.18%
Revenue Next Year8.26%
Revenue Next 2Y7.82%
Revenue Next 3Y7.49%
Revenue Next 5Y6.56%
EBIT growth 1Y38.42%
EBIT growth 3Y59.08%
EBIT growth 5Y9.72%
EBIT Next Year53.52%
EBIT Next 3Y21.42%
EBIT Next 5Y16.27%
FCF growth 1Y42.28%
FCF growth 3Y44.48%
FCF growth 5Y8.35%
OCF growth 1Y49.08%
OCF growth 3Y38.18%
OCF growth 5Y9.66%