GEA GROUP AG (1G.MI) Stock Fundamental Analysis
BIT:1G - DE0006602006 - Common Stock
62.95 EUR
+16.93 (+36.79%)
We assign a fundamental rating of 6 out of 10 to 1G. 1G was compared to 105 industry peers in the Machinery industry. 1G scores excellent points on both the profitability and health parts. This is a solid base for a good stock. 1G does not seem to be growing, but still is valued expensively.
1. Profitability
1.1 Basic Checks
In the past year 1G was profitable.
1G had a positive operating cash flow in the past year.
1G had positive earnings in 4 of the past 5 years.
Each year in the past 5 years 1G had a positive operating cash flow.
1.2 Ratios
1G has a Return On Assets of 6.61%. This is amongst the best in the industry. 1G outperforms 84.76% of its industry peers.
Looking at the Return On Equity, with a value of 16.43%, 1G belongs to the top of the industry, outperforming 82.86% of the companies in the same industry.
Looking at the Return On Invested Capital, with a value of 12.43%, 1G belongs to the top of the industry, outperforming 87.62% of the companies in the same industry.
Measured over the past 3 years, the Average Return On Invested Capital for 1G is above the industry average of 8.78%.
The last Return On Invested Capital (12.43%) for 1G is above the 3 year average (11.15%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.61% | ||
| ROE | 16.43% | ||
| ROIC | 12.43% |
ROA(3y)6.19%
ROA(5y)3.46%
ROE(3y)16.23%
ROE(5y)9.11%
ROIC(3y)11.15%
ROIC(5y)8.42%
1.3 Margins
The Profit Margin of 1G (7.40%) is better than 81.90% of its industry peers.
In the last couple of years the Profit Margin of 1G has grown nicely.
1G has a Operating Margin of 9.80%. This is in the better half of the industry: 1G outperforms 78.10% of its industry peers.
In the last couple of years the Operating Margin of 1G has grown nicely.
The Gross Margin of 1G (34.94%) is comparable to the rest of the industry.
1G's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 9.8% | ||
| PM (TTM) | 7.4% | ||
| GM | 34.94% |
OM growth 3Y23.26%
OM growth 5Y10.91%
PM growth 3Y51.81%
PM growth 5Y25.48%
GM growth 3Y3.61%
GM growth 5Y3.13%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), 1G is creating some value.
Compared to 1 year ago, 1G has less shares outstanding
The number of shares outstanding for 1G has been reduced compared to 5 years ago.
1G has a better debt/assets ratio than last year.
2.2 Solvency
1G has an Altman-Z score of 3.17. This indicates that 1G is financially healthy and has little risk of bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 3.17, 1G is in the better half of the industry, outperforming 78.10% of the companies in the same industry.
The Debt to FCF ratio of 1G is 0.94, which is an excellent value as it means it would take 1G, only 0.94 years of fcf income to pay off all of its debts.
The Debt to FCF ratio of 1G (0.94) is better than 87.62% of its industry peers.
A Debt/Equity ratio of 0.09 indicates that 1G is not too dependend on debt financing.
1G's Debt to Equity ratio of 0.09 is amongst the best of the industry. 1G outperforms 83.81% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.09 | ||
| Debt/FCF | 0.94 | ||
| Altman-Z | 3.17 |
ROIC/WACC1.74
WACC7.15%
2.3 Liquidity
A Current Ratio of 1.15 indicates that 1G should not have too much problems paying its short term obligations.
1G has a Current ratio of 1.15. This is in the lower half of the industry: 1G underperforms 77.14% of its industry peers.
A Quick Ratio of 0.81 indicates that 1G may have some problems paying its short term obligations.
With a Quick ratio value of 0.81, 1G is not doing good in the industry: 65.71% of the companies in the same industry are doing better.
The current and quick ratio evaluation for 1G is rather negative, while it does have excellent solvency and profitability. These ratios do not necessarly indicate liquidity issues and need to be evaluated against the specifics of the business.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.15 | ||
| Quick Ratio | 0.81 |
3. Growth
3.1 Past
The earnings per share for 1G have decreased by -6.69% in the last year.
Measured over the past 5 years, 1G shows a small growth in Earnings Per Share. The EPS has been growing by 6.26% on average per year.
Looking at the last year, 1G shows a decrease in Revenue. The Revenue has decreased by -1.01% in the last year.
1G shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 2.16% yearly.
EPS 1Y (TTM)-6.69%
EPS 3Y28.38%
EPS 5Y6.26%
EPS Q2Q%0%
Revenue 1Y (TTM)-1.01%
Revenue growth 3Y5.05%
Revenue growth 5Y2.16%
Sales Q2Q%-0.09%
3.2 Future
The Earnings Per Share is expected to grow by 5.88% on average over the next years.
1G is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 3.17% yearly.
EPS Next Y2.75%
EPS Next 2Y5.67%
EPS Next 3Y6.73%
EPS Next 5Y5.88%
Revenue Next Year-0.82%
Revenue Next 2Y1.07%
Revenue Next 3Y2.1%
Revenue Next 5Y3.17%
3.3 Evolution
The EPS growth rate is stable: in the next years the growth will be about the same 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
Based on the Price/Earnings ratio of 23.75, the valuation of 1G can be described as rather expensive.
1G's Price/Earnings ratio is in line with the industry average.
1G's Price/Earnings ratio indicates a similar valuation than the S&P500 average which is at 27.02.
Based on the Price/Forward Earnings ratio of 22.02, the valuation of 1G can be described as rather expensive.
Compared to the rest of the industry, the Price/Forward Earnings ratio of 1G indicates a slightly more expensive valuation: 1G is more expensive than 60.00% of the companies listed in the same industry.
1G's Price/Forward Earnings ratio indicates a similar valuation than the S&P500 average which is at 22.66.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 23.75 | ||
| Fwd PE | 22.02 |
4.2 Price Multiples
61.90% of the companies in the same industry are cheaper than 1G, based on the Enterprise Value to EBITDA ratio.
The rest of the industry has a similar Price/Free Cash Flow ratio as 1G.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 28.91 | ||
| EV/EBITDA | 13.71 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
The excellent profitability rating of 1G may justify a higher PE ratio.
PEG (NY)8.63
PEG (5Y)3.8
EPS Next 2Y5.67%
EPS Next 3Y6.73%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 2.16%, 1G has a reasonable but not impressive dividend return.
Compared to an average industry Dividend Yield of 2.92, 1G pays a bit more dividend than its industry peers.
Compared to an average S&P500 Dividend Yield of 2.45, 1G has a dividend comparable with the average S&P500 company.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.16% |
5.2 History
The dividend of 1G has a limited annual growth rate of 2.66%.
Dividend Growth(5Y)2.66%
Div Incr YearsN/A
Div Non Decr YearsN/A
5.3 Sustainability
42.81% of the earnings are spent on dividend by 1G. This is a bit on the high side, but may be sustainable.
1G's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP42.81%
EPS Next 2Y5.67%
EPS Next 3Y6.73%
BIT:1G (9/5/2025, 7:00:00 PM)
62.95
+16.93 (+36.79%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryMachinery
Earnings (Last)
Earnings (Next)
Inst OwnersN/A
Inst Owner ChangeN/A
Ins OwnersN/A
Ins Owner ChangeN/A
Market Cap10.46B
Analysts78.18
Price Target51.14 (-18.76%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.16% |
Yearly Dividend0.95
Dividend Growth(5Y)2.66%
DP42.81%
Div Incr YearsN/A
Div Non Decr YearsN/A
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)1.68%
Min EPS beat(2)-0.92%
Max EPS beat(2)4.27%
EPS beat(4)2
Avg EPS beat(4)0.23%
Min EPS beat(4)-13.79%
Max EPS beat(4)11.37%
EPS beat(8)5
Avg EPS beat(8)9.83%
EPS beat(12)9
Avg EPS beat(12)15.08%
EPS beat(16)12
Avg EPS beat(16)16.66%
Revenue beat(2)0
Avg Revenue beat(2)-1.65%
Min Revenue beat(2)-1.91%
Max Revenue beat(2)-1.4%
Revenue beat(4)0
Avg Revenue beat(4)-2.2%
Min Revenue beat(4)-3.47%
Max Revenue beat(4)-1.4%
Revenue beat(8)2
Avg Revenue beat(8)-1.66%
Revenue beat(12)4
Avg Revenue beat(12)-1.29%
Revenue beat(16)4
Avg Revenue beat(16)-1.42%
PT rev (1m)13.5%
PT rev (3m)13.5%
EPS NQ rev (1m)5.16%
EPS NQ rev (3m)5.16%
EPS NY rev (1m)2.19%
EPS NY rev (3m)2.19%
Revenue NQ rev (1m)0.61%
Revenue NQ rev (3m)0.61%
Revenue NY rev (1m)-0.82%
Revenue NY rev (3m)-0.82%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 23.75 | ||
| Fwd PE | 22.02 | ||
| P/S | 1.96 | ||
| P/FCF | 28.91 | ||
| P/OCF | 18.28 | ||
| P/B | 4.36 | ||
| P/tB | 19.78 | ||
| EV/EBITDA | 13.71 |
EPS(TTM)2.65
EY4.21%
EPS(NY)2.86
Fwd EY4.54%
FCF(TTM)2.18
FCFY3.46%
OCF(TTM)3.44
OCFY5.47%
SpS32.04
BVpS14.43
TBVpS3.18
PEG (NY)8.63
PEG (5Y)3.8
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.61% | ||
| ROE | 16.43% | ||
| ROCE | 15.05% | ||
| ROIC | 12.43% | ||
| ROICexc | 15.43% | ||
| ROICexgc | 46.66% | ||
| OM | 9.8% | ||
| PM (TTM) | 7.4% | ||
| GM | 34.94% | ||
| FCFM | 6.8% |
ROA(3y)6.19%
ROA(5y)3.46%
ROE(3y)16.23%
ROE(5y)9.11%
ROIC(3y)11.15%
ROIC(5y)8.42%
ROICexc(3y)14.45%
ROICexc(5y)10.87%
ROICexgc(3y)49.34%
ROICexgc(5y)36.44%
ROCE(3y)13.51%
ROCE(5y)10.21%
ROICexcg growth 3Y23.46%
ROICexcg growth 5Y18.4%
ROICexc growth 3Y27.78%
ROICexc growth 5Y17.79%
OM growth 3Y23.26%
OM growth 5Y10.91%
PM growth 3Y51.81%
PM growth 5Y25.48%
GM growth 3Y3.61%
GM growth 5Y3.13%
F-Score7
Asset Turnover0.89
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.09 | ||
| Debt/FCF | 0.94 | ||
| Debt/EBITDA | 0.28 | ||
| Cap/Depr | 99.11% | ||
| Cap/Sales | 3.95% | ||
| Interest Coverage | 40.23 | ||
| Cash Conversion | 77.97% | ||
| Profit Quality | 91.89% | ||
| Current Ratio | 1.15 | ||
| Quick Ratio | 0.81 | ||
| Altman-Z | 3.17 |
F-Score7
WACC7.15%
ROIC/WACC1.74
Cap/Depr(3y)97.24%
Cap/Depr(5y)71.6%
Cap/Sales(3y)3.65%
Cap/Sales(5y)3.17%
Profit Quality(3y)108.26%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-6.69%
EPS 3Y28.38%
EPS 5Y6.26%
EPS Q2Q%0%
EPS Next Y2.75%
EPS Next 2Y5.67%
EPS Next 3Y6.73%
EPS Next 5Y5.88%
Revenue 1Y (TTM)-1.01%
Revenue growth 3Y5.05%
Revenue growth 5Y2.16%
Sales Q2Q%-0.09%
Revenue Next Year-0.82%
Revenue Next 2Y1.07%
Revenue Next 3Y2.1%
Revenue Next 5Y3.17%
EBIT growth 1Y-1.35%
EBIT growth 3Y29.49%
EBIT growth 5Y13.31%
EBIT Next Year42.53%
EBIT Next 3Y16.73%
EBIT Next 5Y7.08%
FCF growth 1Y27.07%
FCF growth 3Y-20.94%
FCF growth 5Y18.51%
OCF growth 1Y23.85%
OCF growth 3Y-9.3%
OCF growth 5Y15.23%