ADIDAS AG (1ADS.MI) Stock Fundamental Analysis
Europe - Euronext Milan - BIT:1ADS - DE000A1EWWW0 - Common Stock
159.6 EUR
+6.9 (+4.52%)
We assign a fundamental rating of 4 out of 10 to 1ADS. 1ADS was compared to 48 industry peers in the Textiles, Apparel & Luxury Goods industry. There are concerns on the financial health of 1ADS while its profitability can be described as average. 1ADS is not valued too expensively and it also shows a decent growth rate.
1. Profitability
1.1 Basic Checks
In the past year 1ADS was profitable.
1ADS had a positive operating cash flow in the past year.
Of the past 5 years 1ADS 4 years were profitable.
Of the past 5 years 1ADS 4 years had a positive operating cash flow.
1.2 Ratios
1ADS has a Return On Assets of 6.05%. This is comparable to the rest of the industry: 1ADS outperforms 56.25% of its industry peers.
With a decent Return On Equity value of 21.39%, 1ADS is doing good in the industry, outperforming 77.08% of the companies in the same industry.
With a decent Return On Invested Capital value of 13.27%, 1ADS is doing good in the industry, outperforming 79.17% of the companies in the same industry.
1ADS had an Average Return On Invested Capital over the past 3 years of 5.53%. This is significantly below the industry average of 12.19%.
The last Return On Invested Capital (13.27%) for 1ADS is above the 3 year average (5.53%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.05% | ||
| ROE | 21.39% | ||
| ROIC | 13.27% |
ROA(3y)2.1%
ROA(5y)3.58%
ROE(3y)8.19%
ROE(5y)11.88%
ROIC(3y)5.53%
ROIC(5y)6.71%
1.3 Margins
1ADS's Profit Margin of 4.94% is in line compared to the rest of the industry. 1ADS outperforms 50.00% of its industry peers.
1ADS's Profit Margin has declined in the last couple of years.
The Operating Margin of 1ADS (7.89%) is comparable to the rest of the industry.
1ADS's Operating Margin has declined in the last couple of years.
1ADS has a Gross Margin of 51.36%. This is in the lower half of the industry: 1ADS underperforms 70.83% of its industry peers.
1ADS's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 7.89% | ||
| PM (TTM) | 4.94% | ||
| GM | 51.36% |
OM growth 3Y-17.1%
OM growth 5Y-14.1%
PM growth 3Y-31.34%
PM growth 5Y-17.34%
GM growth 3Y0.05%
GM growth 5Y-0.48%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) well above the Cost of Capital (WACC), 1ADS is creating value.
1ADS has about the same amout of shares outstanding than it did 1 year ago.
1ADS has less shares outstanding than it did 5 years ago.
The debt/assets ratio for 1ADS has been reduced compared to a year ago.
2.2 Solvency
1ADS has an Altman-Z score of 3.30. This indicates that 1ADS is financially healthy and has little risk of bankruptcy at the moment.
1ADS has a Altman-Z score of 3.30. This is comparable to the rest of the industry: 1ADS outperforms 56.25% of its industry peers.
The Debt to FCF ratio of 1ADS is 14.32, which is on the high side as it means it would take 1ADS, 14.32 years of fcf income to pay off all of its debts.
1ADS's Debt to FCF ratio of 14.32 is on the low side compared to the rest of the industry. 1ADS is outperformed by 66.67% of its industry peers.
1ADS has a Debt/Equity ratio of 0.74. This is a neutral value indicating 1ADS is somewhat dependend on debt financing.
With a Debt to Equity ratio value of 0.74, 1ADS is not doing good in the industry: 60.42% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.74 | ||
| Debt/FCF | 14.32 | ||
| Altman-Z | 3.3 |
ROIC/WACC1.91
WACC6.95%
2.3 Liquidity
A Current Ratio of 1.31 indicates that 1ADS should not have too much problems paying its short term obligations.
1ADS has a Current ratio of 1.31. This is in the lower half of the industry: 1ADS underperforms 68.75% of its industry peers.
1ADS has a Quick Ratio of 1.31. This is a bad value and indicates that 1ADS is not financially healthy enough and could expect problems in meeting its short term obligations.
1ADS has a Quick ratio of 0.71. This is in the lower half of the industry: 1ADS underperforms 62.50% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.31 | ||
| Quick Ratio | 0.71 |
3. Growth
3.1 Past
1ADS shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 219.81%, which is quite impressive.
1ADS shows a very negative growth in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -15.76% yearly.
1ADS shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 9.64%.
1ADS shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 0.04% yearly.
EPS 1Y (TTM)219.81%
EPS 3Y-17.56%
EPS 5Y-15.76%
EPS Q2Q%5.33%
Revenue 1Y (TTM)9.64%
Revenue growth 3Y3.71%
Revenue growth 5Y0.04%
Sales Q2Q%2.98%
3.2 Future
Based on estimates for the next years, 1ADS will show a very strong growth in Earnings Per Share. The EPS will grow by 31.71% on average per year.
Based on estimates for the next years, 1ADS will show a small growth in Revenue. The Revenue will grow by 7.56% on average per year.
EPS Next Y79.21%
EPS Next 2Y59.74%
EPS Next 3Y45.08%
EPS Next 5Y31.71%
Revenue Next Year6.47%
Revenue Next 2Y7.4%
Revenue Next 3Y7.84%
Revenue Next 5Y7.56%
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
1ADS is valuated rather expensively with a Price/Earnings ratio of 23.54.
Based on the Price/Earnings ratio, 1ADS is valued a bit cheaper than the industry average as 68.75% of the companies are valued more expensively.
When comparing the Price/Earnings ratio of 1ADS to the average of the S&P500 Index (26.31), we can say 1ADS is valued inline with the index average.
Based on the Price/Forward Earnings ratio of 14.79, the valuation of 1ADS can be described as correct.
Compared to the rest of the industry, the Price/Forward Earnings ratio of 1ADS indicates a somewhat cheap valuation: 1ADS is cheaper than 79.17% of the companies listed in the same industry.
1ADS's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 36.59.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 23.54 | ||
| Fwd PE | 14.79 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of 1ADS indicates a somewhat cheap valuation: 1ADS is cheaper than 62.50% of the companies listed in the same industry.
Based on the Price/Free Cash Flow ratio, 1ADS is valued a bit more expensive than 70.83% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 75.8 | ||
| EV/EBITDA | 10.18 |
4.3 Compensation for Growth
1ADS's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
A more expensive valuation may be justified as 1ADS's earnings are expected to grow with 45.08% in the coming years.
PEG (NY)0.3
PEG (5Y)N/A
EPS Next 2Y59.74%
EPS Next 3Y45.08%
5. Dividend
5.1 Amount
1ADS has a Yearly Dividend Yield of 1.31%.
In the last 3 months the price of 1ADS has falen by -26.32%. A price decline artificially increases the dividend yield. It may be a sign investors do not expect the dividend to last.
1ADS's Dividend Yield is slightly below the industry average, which is at 2.91.
Compared to an average S&P500 Dividend Yield of 2.40, 1ADS's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.31% |
5.2 History
The dividend of 1ADS decreases each year by -26.93%.
Dividend Growth(5Y)-26.93%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
1ADS pays out 29.29% of its income as dividend. This is a sustainable payout ratio.
DP29.29%
EPS Next 2Y59.74%
EPS Next 3Y45.08%
BIT:1ADS (11/27/2025, 7:00:00 PM)
159.6
+6.9 (+4.52%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Durables & Apparel
GICS IndustryTextiles, Apparel & Luxury Goods
Earnings (Last)
Earnings (Next)
Inst Owners54.09%
Inst Owner ChangeN/A
Ins OwnersN/A
Ins Owner ChangeN/A
Market Cap28.73B
Revenue(TTM)24.70B
Net Income(TTM)1.22B
Analysts80.56
Price Target238.95 (49.72%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.31% |
Yearly Dividend0.7
Dividend Growth(5Y)-26.93%
DP29.29%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-0.21%
Min EPS beat(2)-3.88%
Max EPS beat(2)3.46%
EPS beat(4)3
Avg EPS beat(4)5.26%
Min EPS beat(4)-3.88%
Max EPS beat(4)15.64%
EPS beat(8)5
Avg EPS beat(8)1.66%
EPS beat(12)8
Avg EPS beat(12)13.15%
EPS beat(16)11
Avg EPS beat(16)9.67%
Revenue beat(2)0
Avg Revenue beat(2)-3.83%
Min Revenue beat(2)-5.34%
Max Revenue beat(2)-2.31%
Revenue beat(4)1
Avg Revenue beat(4)-1.55%
Min Revenue beat(4)-5.34%
Max Revenue beat(4)2.63%
Revenue beat(8)2
Avg Revenue beat(8)-1.26%
Revenue beat(12)5
Avg Revenue beat(12)-0.62%
Revenue beat(16)6
Avg Revenue beat(16)-0.7%
PT rev (1m)-1.59%
PT rev (3m)-4.09%
EPS NQ rev (1m)5.57%
EPS NQ rev (3m)18.62%
EPS NY rev (1m)-1.12%
EPS NY rev (3m)-0.96%
Revenue NQ rev (1m)-0.9%
Revenue NQ rev (3m)-1.07%
Revenue NY rev (1m)-0.66%
Revenue NY rev (3m)-1.23%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 23.54 | ||
| Fwd PE | 14.79 | ||
| P/S | 1.16 | ||
| P/FCF | 75.8 | ||
| P/OCF | 31.53 | ||
| P/B | 5.04 | ||
| P/tB | 7.07 | ||
| EV/EBITDA | 10.18 |
EPS(TTM)6.78
EY4.25%
EPS(NY)10.79
Fwd EY6.76%
FCF(TTM)2.11
FCFY1.32%
OCF(TTM)5.06
OCFY3.17%
SpS137.22
BVpS31.66
TBVpS22.58
PEG (NY)0.3
PEG (5Y)N/A
Graham Number69.49
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.05% | ||
| ROE | 21.39% | ||
| ROCE | 17.7% | ||
| ROIC | 13.27% | ||
| ROICexc | 15.69% | ||
| ROICexgc | 19.03% | ||
| OM | 7.89% | ||
| PM (TTM) | 4.94% | ||
| GM | 51.36% | ||
| FCFM | 1.53% |
ROA(3y)2.1%
ROA(5y)3.58%
ROE(3y)8.19%
ROE(5y)11.88%
ROIC(3y)5.53%
ROIC(5y)6.71%
ROICexc(3y)6.96%
ROICexc(5y)9.19%
ROICexgc(3y)8.67%
ROICexgc(5y)11.56%
ROCE(3y)7.37%
ROCE(5y)8.95%
ROICexgc growth 3Y-9.6%
ROICexgc growth 5Y-13.31%
ROICexc growth 3Y-10.88%
ROICexc growth 5Y-12.05%
OM growth 3Y-17.1%
OM growth 5Y-14.1%
PM growth 3Y-31.34%
PM growth 5Y-17.34%
GM growth 3Y0.05%
GM growth 5Y-0.48%
F-Score7
Asset Turnover1.23
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.74 | ||
| Debt/FCF | 14.32 | ||
| Debt/EBITDA | 1.34 | ||
| Cap/Depr | 45.32% | ||
| Cap/Sales | 2.15% | ||
| Interest Coverage | 8.36 | ||
| Cash Conversion | 29.17% | ||
| Profit Quality | 31.09% | ||
| Current Ratio | 1.31 | ||
| Quick Ratio | 0.71 | ||
| Altman-Z | 3.3 |
F-Score7
WACC6.95%
ROIC/WACC1.91
Cap/Depr(3y)45.61%
Cap/Depr(5y)45.44%
Cap/Sales(3y)2.57%
Cap/Sales(5y)2.65%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)219.81%
EPS 3Y-17.56%
EPS 5Y-15.76%
EPS Q2Q%5.33%
EPS Next Y79.21%
EPS Next 2Y59.74%
EPS Next 3Y45.08%
EPS Next 5Y31.71%
Revenue 1Y (TTM)9.64%
Revenue growth 3Y3.71%
Revenue growth 5Y0.04%
Sales Q2Q%2.98%
Revenue Next Year6.47%
Revenue Next 2Y7.4%
Revenue Next 3Y7.84%
Revenue Next 5Y7.56%
EBIT growth 1Y115.84%
EBIT growth 3Y-14.03%
EBIT growth 5Y-14.07%
EBIT Next Year154.98%
EBIT Next 3Y52.03%
EBIT Next 5Y33.1%
FCF growth 1Y-70.96%
FCF growth 3Y-2.1%
FCF growth 5Y2.35%
OCF growth 1Y-49.25%
OCF growth 3Y-3.05%
OCF growth 5Y0.64%
ADIDAS AG / 1ADS.MI FAQ
What is the ChartMill fundamental rating of ADIDAS AG (1ADS.MI) stock?
ChartMill assigns a fundamental rating of 4 / 10 to 1ADS.MI.
What is the valuation status of ADIDAS AG (1ADS.MI) stock?
ChartMill assigns a valuation rating of 5 / 10 to ADIDAS AG (1ADS.MI). This can be considered as Fairly Valued.
What is the profitability of 1ADS stock?
ADIDAS AG (1ADS.MI) has a profitability rating of 4 / 10.
Can you provide the PE and PB ratios for 1ADS stock?
The Price/Earnings (PE) ratio for ADIDAS AG (1ADS.MI) is 23.54 and the Price/Book (PB) ratio is 5.04.
Can you provide the financial health for 1ADS stock?
The financial health rating of ADIDAS AG (1ADS.MI) is 3 / 10.