ROCHE HOLDING AG-GENUSSCHEIN (1ROG.MI) Stock Fundamental Analysis
Europe - Euronext Milan - BIT:1ROG - CH0012032048 - Common Stock
378 EUR
+10 (+2.72%)
Overall 1ROG gets a fundamental rating of 6 out of 10. We evaluated 1ROG against 55 industry peers in the Pharmaceuticals industry. 1ROG scores excellent on profitability, but there are some minor concerns on its financial health. 1ROG is valued correctly, but it does not seem to be growing.
1. Profitability
1.1 Basic Checks
- 1ROG had positive earnings in the past year.
- 1ROG had a positive operating cash flow in the past year.
- Each year in the past 5 years 1ROG has been profitable.
- In the past 5 years 1ROG always reported a positive cash flow from operatings.
1.2 Ratios
- 1ROG's Return On Assets of 9.95% is fine compared to the rest of the industry. 1ROG outperforms 74.55% of its industry peers.
- 1ROG's Return On Equity of 32.88% is amongst the best of the industry. 1ROG outperforms 87.27% of its industry peers.
- With an excellent Return On Invested Capital value of 24.24%, 1ROG belongs to the best of the industry, outperforming 92.73% of the companies in the same industry.
- 1ROG had an Average Return On Invested Capital over the past 3 years of 23.72%. This is significantly above the industry average of 14.00%.
- The 3 year average ROIC (23.72%) for 1ROG is below the current ROIC(24.24%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 9.95% | ||
| ROE | 32.88% | ||
| ROIC | 24.24% |
ROA(3y)11.64%
ROA(5y)13.32%
ROE(3y)36.55%
ROE(5y)41.17%
ROIC(3y)23.72%
ROIC(5y)23.71%
1.3 Margins
- 1ROG's Profit Margin of 15.31% is fine compared to the rest of the industry. 1ROG outperforms 61.82% of its industry peers.
- 1ROG's Profit Margin has declined in the last couple of years.
- With an excellent Operating Margin value of 33.79%, 1ROG belongs to the best of the industry, outperforming 89.09% of the companies in the same industry.
- 1ROG's Operating Margin has been stable in the last couple of years.
- 1ROG's Gross Margin of 73.92% is fine compared to the rest of the industry. 1ROG outperforms 70.91% of its industry peers.
- In the last couple of years the Gross Margin of 1ROG has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 33.79% | ||
| PM (TTM) | 15.31% | ||
| GM | 73.92% |
OM growth 3Y4.01%
OM growth 5Y0.18%
PM growth 3Y-14.88%
PM growth 5Y-9.03%
GM growth 3Y2.22%
GM growth 5Y0.6%
2. Health
2.1 Basic Checks
- 1ROG has a Return on Invested Capital (ROIC), which is well above the Cost of Capital (WACC), which means it is creating value.
- The number of shares outstanding for 1ROG has been reduced compared to 1 year ago.
- 1ROG has less shares outstanding than it did 5 years ago.
- The debt/assets ratio for 1ROG is higher compared to a year ago.
2.2 Solvency
- 1ROG has an Altman-Z score of 4.60. This indicates that 1ROG is financially healthy and has little risk of bankruptcy at the moment.
- The Altman-Z score of 1ROG (4.60) is comparable to the rest of the industry.
- 1ROG has a debt to FCF ratio of 2.50. This is a good value and a sign of high solvency as 1ROG would need 2.50 years to pay back of all of its debts.
- 1ROG has a better Debt to FCF ratio (2.50) than 76.36% of its industry peers.
- A Debt/Equity ratio of 1.06 is on the high side and indicates that 1ROG has dependencies on debt financing.
- The Debt to Equity ratio of 1ROG (1.06) is worse than 60.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.06 | ||
| Debt/FCF | 2.5 | ||
| Altman-Z | 4.6 |
ROIC/WACC5.1
WACC4.75%
2.3 Liquidity
- A Current Ratio of 1.29 indicates that 1ROG should not have too much problems paying its short term obligations.
- 1ROG's Current ratio of 1.29 is in line compared to the rest of the industry. 1ROG outperforms 50.91% of its industry peers.
- 1ROG has a Quick Ratio of 1.02. This is a normal value and indicates that 1ROG is financially healthy and should not expect problems in meeting its short term obligations.
- 1ROG has a Quick ratio of 1.02. This is in the better half of the industry: 1ROG outperforms 61.82% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.29 | ||
| Quick Ratio | 1.02 |
3. Growth
3.1 Past
- The Earnings Per Share has been growing slightly by 5.19% over the past year.
- 1ROG shows a decrease in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -1.39% yearly.
- The Revenue has been growing slightly by 4.77% in the past year.
- 1ROG shows a decrease in Revenue. Measured over the last years, the Revenue has been decreasing by -0.32% yearly.
EPS 1Y (TTM)5.19%
EPS 3Y-1.73%
EPS 5Y-1.39%
EPS Q2Q%8.5%
Revenue 1Y (TTM)4.77%
Revenue growth 3Y-1.24%
Revenue growth 5Y-0.32%
Sales Q2Q%3.67%
3.2 Future
- Based on estimates for the next years, 1ROG will show a small growth in Earnings Per Share. The EPS will grow by 6.54% on average per year.
- The Revenue is expected to grow by 3.26% on average over the next years.
EPS Next Y6.29%
EPS Next 2Y5.39%
EPS Next 3Y5.65%
EPS Next 5Y6.54%
Revenue Next Year2.32%
Revenue Next 2Y2.54%
Revenue Next 3Y2.72%
Revenue Next 5Y3.26%
3.3 Evolution
- The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
- When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
4. Valuation
4.1 Price/Earnings Ratio
- The Price/Earnings ratio is 17.67, which indicates a rather expensive current valuation of 1ROG.
- Compared to the rest of the industry, the Price/Earnings ratio of 1ROG is on the same level as its industry peers.
- 1ROG is valuated rather cheaply when we compare the Price/Earnings ratio to 28.60, which is the current average of the S&P500 Index.
- 1ROG is valuated correctly with a Price/Forward Earnings ratio of 16.65.
- 1ROG's Price/Forward Earnings ratio is a bit cheaper when compared to the industry. 1ROG is cheaper than 67.27% of the companies in the same industry.
- 1ROG's Price/Forward Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 25.83.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 17.67 | ||
| Fwd PE | 16.65 |
4.2 Price Multiples
- 61.82% of the companies in the same industry are more expensive than 1ROG, based on the Enterprise Value to EBITDA ratio.
- Based on the Price/Free Cash Flow ratio, 1ROG is valued a bit cheaper than the industry average as 67.27% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 21.31 | ||
| EV/EBITDA | 12.11 |
4.3 Compensation for Growth
- The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
- 1ROG has an outstanding profitability rating, which may justify a higher PE ratio.
PEG (NY)2.81
PEG (5Y)N/A
EPS Next 2Y5.39%
EPS Next 3Y5.65%
5. Dividend
5.1 Amount
- With a Yearly Dividend Yield of 2.79%, 1ROG has a reasonable but not impressive dividend return.
- Compared to an average industry Dividend Yield of 1.62, 1ROG pays a bit more dividend than its industry peers.
- Compared to an average S&P500 Dividend Yield of 1.82, 1ROG pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.79% |
5.2 History
- The dividend of 1ROG has a limited annual growth rate of 2.37%.
Dividend Growth(5Y)2.37%
Div Incr YearsN/A
Div Non Decr YearsN/A
5.3 Sustainability
- 1ROG pays out 85.87% of its income as dividend. This is not a sustainable payout ratio.
- 1ROG's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP85.87%
EPS Next 2Y5.39%
EPS Next 3Y5.65%
ROCHE HOLDING AG-GENUSSCHEIN / 1ROG.MI FAQ
Can you provide the ChartMill fundamental rating for ROCHE HOLDING AG-GENUSSCHEIN?
ChartMill assigns a fundamental rating of 6 / 10 to 1ROG.MI.
What is the valuation status for 1ROG stock?
ChartMill assigns a valuation rating of 5 / 10 to ROCHE HOLDING AG-GENUSSCHEIN (1ROG.MI). This can be considered as Fairly Valued.
Can you provide the profitability details for ROCHE HOLDING AG-GENUSSCHEIN?
ROCHE HOLDING AG-GENUSSCHEIN (1ROG.MI) has a profitability rating of 8 / 10.
What is the valuation of ROCHE HOLDING AG-GENUSSCHEIN based on its PE and PB ratios?
The Price/Earnings (PE) ratio for ROCHE HOLDING AG-GENUSSCHEIN (1ROG.MI) is 17.67 and the Price/Book (PB) ratio is 9.81.
What is the expected EPS growth for ROCHE HOLDING AG-GENUSSCHEIN (1ROG.MI) stock?
The Earnings per Share (EPS) of ROCHE HOLDING AG-GENUSSCHEIN (1ROG.MI) is expected to grow by 6.29% in the next year.