COVESTRO AG (1COV.DE) Stock Fundamental Analysis
FRA:1COV - Deutsche Boerse Ag - DE0006062144 - Common Stock - Currency: EUR
Overall 1COV gets a fundamental rating of 3 out of 10. We evaluated 1COV against 61 industry peers in the Chemicals industry. 1COV scores quite bad on profitability, while its financial health is fine. Not spectacular, but in line with the averages. 1COV has a expensive valuation and it also scores bad on growth.
1. Profitability
1.1 Basic Checks
1COV had negative earnings in the past year.
In the past year 1COV had a positive cash flow from operations.
The reported net income has been mixed in the past 5 years: 1COV reported negative net income in multiple years.
Each year in the past 5 years 1COV had a positive operating cash flow.
1.2 Ratios
With a Return On Assets value of -1.95%, 1COV perfoms like the industry average, outperforming 42.62% of the companies in the same industry.
1COV has a Return On Equity (-4.00%) which is comparable to the rest of the industry.
1COV has a worse Return On Invested Capital (0.61%) than 60.66% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for 1COV is significantly below the industry average of 6.29%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -1.95% | ||
| ROE | -4% | ||
| ROIC | 0.61% |
ROA(3y)-1.76%
ROA(5y)1.73%
ROE(3y)-3.61%
ROE(5y)3.67%
ROIC(3y)1%
ROIC(5y)4.24%
1.3 Margins
With a Operating Margin value of 0.61%, 1COV is not doing good in the industry: 60.66% of the companies in the same industry are doing better.
1COV's Operating Margin has declined in the last couple of years.
1COV has a worse Gross Margin (15.35%) than 72.13% of its industry peers.
1COV's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 0.61% | ||
| PM (TTM) | N/A | ||
| GM | 15.35% |
OM growth 3Y-78.51%
OM growth 5Y-54.06%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-18%
GM growth 5Y-7.1%
2. Health
2.1 Basic Checks
1COV has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
1COV has about the same amout of shares outstanding than it did 1 year ago.
The number of shares outstanding for 1COV has been increased compared to 5 years ago.
Compared to 1 year ago, 1COV has an improved debt to assets ratio.
2.2 Solvency
An Altman-Z score of 2.82 indicates that 1COV is not a great score, but indicates only limited risk for bankruptcy at the moment.
The Altman-Z score of 1COV (2.82) is better than 73.77% of its industry peers.
1COV has a debt to FCF ratio of 35.46. This is a negative value and a sign of low solvency as 1COV would need 35.46 years to pay back of all of its debts.
With a Debt to FCF ratio value of 35.46, 1COV perfoms like the industry average, outperforming 40.98% of the companies in the same industry.
A Debt/Equity ratio of 0.37 indicates that 1COV is not too dependend on debt financing.
Looking at the Debt to Equity ratio, with a value of 0.37, 1COV is in the better half of the industry, outperforming 60.66% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.37 | ||
| Debt/FCF | 35.46 | ||
| Altman-Z | 2.82 |
ROIC/WACC0.09
WACC6.43%
2.3 Liquidity
A Current Ratio of 1.61 indicates that 1COV should not have too much problems paying its short term obligations.
1COV's Current ratio of 1.61 is in line compared to the rest of the industry. 1COV outperforms 45.90% of its industry peers.
A Quick Ratio of 0.82 indicates that 1COV may have some problems paying its short term obligations.
The Quick ratio of 1COV (0.82) is worse than 70.49% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.61 | ||
| Quick Ratio | 0.82 |
3. Growth
3.1 Past
The earnings per share for 1COV have decreased strongly by -49.35% in the last year.
The Revenue has decreased by -1.38% in the past year.
1COV shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 2.70% yearly.
EPS 1Y (TTM)-49.35%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%-109.42%
Revenue 1Y (TTM)-1.38%
Revenue growth 3Y-3.75%
Revenue growth 5Y2.7%
Sales Q2Q%-7.86%
3.2 Future
The Earnings Per Share is expected to grow by 40.14% on average over the next years. This is a very strong growth
The Revenue is expected to grow by 4.06% on average over the next years.
EPS Next Y122.42%
EPS Next 2Y88.03%
EPS Next 3Y60.44%
EPS Next 5Y40.14%
Revenue Next Year4.05%
Revenue Next 2Y4.55%
Revenue Next 3Y4.23%
Revenue Next 5Y4.06%
3.3 Evolution
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
The Price/Earnings Ratio is negative for 1COV. In the last year negative earnings were reported.
Based on the Price/Forward Earnings ratio of 27.21, the valuation of 1COV can be described as expensive.
1COV's Price/Forward Earnings ratio is a bit more expensive when compared to the industry. 1COV is more expensive than 62.30% of the companies in the same industry.
1COV is valuated rather expensively when we compare the Price/Forward Earnings ratio to 20.35, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | 27.21 |
4.2 Price Multiples
1COV's Enterprise Value to EBITDA is on the same level as the industry average.
60.66% of the companies in the same industry are cheaper than 1COV, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 125.97 | ||
| EV/EBITDA | 12.79 |
4.3 Compensation for Growth
1COV's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
1COV's earnings are expected to grow with 60.44% in the coming years. This may justify a more expensive valuation.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y88.03%
EPS Next 3Y60.44%
5. Dividend
5.1 Amount
1COV does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
FRA:1COV (5/7/2025, 7:00:00 PM)
59.32
+0.32 (+0.54%)
Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryChemicals
Earnings (Last)
Earnings (Next)
Inst Owners47.64%
Inst Owner ChangeN/A
Ins Owners0.03%
Ins Owner ChangeN/A
Market Cap11.21B
Analysts67.62
Price Target62.97 (6.15%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly Dividend0.01
Dividend Growth(5Y)-70.61%
DP-0.38%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)20.63%
Min EPS beat(2)-159.74%
Max EPS beat(2)201.01%
EPS beat(4)1
Avg EPS beat(4)-8134.83%
Min EPS beat(4)-18727.5%
Max EPS beat(4)201.01%
EPS beat(8)2
Avg EPS beat(8)-4143.28%
EPS beat(12)3
Avg EPS beat(12)-2768.58%
EPS beat(16)5
Avg EPS beat(16)-2076.76%
Revenue beat(2)0
Avg Revenue beat(2)-5.9%
Min Revenue beat(2)-6.71%
Max Revenue beat(2)-5.09%
Revenue beat(4)0
Avg Revenue beat(4)-4.61%
Min Revenue beat(4)-6.71%
Max Revenue beat(4)-2.59%
Revenue beat(8)0
Avg Revenue beat(8)-4.53%
Revenue beat(12)2
Avg Revenue beat(12)-2.19%
Revenue beat(16)6
Avg Revenue beat(16)-0.91%
PT rev (1m)1.2%
PT rev (3m)2.66%
EPS NQ rev (1m)N/A
EPS NQ rev (3m)N/A
EPS NY rev (1m)-54.35%
EPS NY rev (3m)-80.13%
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)-0.45%
Revenue NY rev (3m)-1.31%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | 27.21 | ||
| P/S | 0.79 | ||
| P/FCF | 125.97 | ||
| P/OCF | 12.89 | ||
| P/B | 1.68 | ||
| P/tB | 2.05 | ||
| EV/EBITDA | 12.79 |
EPS(TTM)-1.63
EYN/A
EPS(NY)2.18
Fwd EY3.68%
FCF(TTM)0.47
FCFY0.79%
OCF(TTM)4.6
OCFY7.76%
SpS75.02
BVpS35.23
TBVpS28.93
PEG (NY)N/A
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -1.95% | ||
| ROE | -4% | ||
| ROCE | 0.87% | ||
| ROIC | 0.61% | ||
| ROICexc | 0.64% | ||
| ROICexgc | 0.74% | ||
| OM | 0.61% | ||
| PM (TTM) | N/A | ||
| GM | 15.35% | ||
| FCFM | 0.63% |
ROA(3y)-1.76%
ROA(5y)1.73%
ROE(3y)-3.61%
ROE(5y)3.67%
ROIC(3y)1%
ROIC(5y)4.24%
ROICexc(3y)1.1%
ROICexc(5y)4.73%
ROICexgc(3y)1.26%
ROICexgc(5y)5.3%
ROCE(3y)1.42%
ROCE(5y)6.03%
ROICexcg growth 3Y-78.19%
ROICexcg growth 5Y-52.93%
ROICexc growth 3Y-78.14%
ROICexc growth 5Y-53.75%
OM growth 3Y-78.51%
OM growth 5Y-54.06%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-18%
GM growth 5Y-7.1%
F-Score3
Asset Turnover1.04
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.37 | ||
| Debt/FCF | 35.46 | ||
| Debt/EBITDA | 2.28 | ||
| Cap/Depr | 79.37% | ||
| Cap/Sales | 5.51% | ||
| Interest Coverage | 0.58 | ||
| Cash Conversion | 81.23% | ||
| Profit Quality | N/A | ||
| Current Ratio | 1.61 | ||
| Quick Ratio | 0.82 | ||
| Altman-Z | 2.82 |
F-Score3
WACC6.43%
ROIC/WACC0.09
Cap/Depr(3y)75.52%
Cap/Depr(5y)82.02%
Cap/Sales(3y)5.15%
Cap/Sales(5y)5.37%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-49.35%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%-109.42%
EPS Next Y122.42%
EPS Next 2Y88.03%
EPS Next 3Y60.44%
EPS Next 5Y40.14%
Revenue 1Y (TTM)-1.38%
Revenue growth 3Y-3.75%
Revenue growth 5Y2.7%
Sales Q2Q%-7.86%
Revenue Next Year4.05%
Revenue Next 2Y4.55%
Revenue Next 3Y4.23%
Revenue Next 5Y4.06%
EBIT growth 1Y-53.23%
EBIT growth 3Y-79.32%
EBIT growth 5Y-52.83%
EBIT Next Year410.05%
EBIT Next 3Y95.08%
EBIT Next 5Y56.01%
FCF growth 1Y-61.64%
FCF growth 3Y-60.36%
FCF growth 5Y-28.37%
OCF growth 1Y-12.74%
OCF growth 3Y-26.52%
OCF growth 5Y-8.84%