CONTINENTAL AG (CON.DE) Stock Fundamental Analysis
FRA:CON - Deutsche Boerse Ag - DE0005439004 - Common Stock - Currency: EUR
We assign a fundamental rating of 6 out of 10 to CON. CON was compared to 28 industry peers in the Automobile Components industry. CON is in great health and has no worries on liquidiy or solvency at all, but the profibility rating is only average. CON has a decent growth rate and is not valued too expensively.
1. Profitability
1.1 Basic Checks
CON had positive earnings in the past year.
In the past year CON had a positive cash flow from operations.
Of the past 5 years CON 4 years were profitable.
CON had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
The Return On Assets of CON (3.45%) is better than 71.43% of its industry peers.
CON's Return On Equity of 8.97% is fine compared to the rest of the industry. CON outperforms 71.43% of its industry peers.
The Return On Invested Capital of CON (8.63%) is better than 78.57% of its industry peers.
The Average Return On Invested Capital over the past 3 years for CON is in line with the industry average of 6.47%.
The 3 year average ROIC (5.66%) for CON is below the current ROIC(8.63%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.45% | ||
| ROE | 8.97% | ||
| ROIC | 8.63% |
ROA(3y)2.13%
ROA(5y)1.6%
ROE(3y)5.7%
ROE(5y)4.2%
ROIC(3y)5.66%
ROIC(5y)5.08%
1.3 Margins
With a decent Profit Margin value of 3.70%, CON is doing good in the industry, outperforming 75.00% of the companies in the same industry.
In the last couple of years the Profit Margin of CON has declined.
CON has a Operating Margin of 7.34%. This is amongst the best in the industry. CON outperforms 82.14% of its industry peers.
CON's Operating Margin has been stable in the last couple of years.
With a Gross Margin value of 23.39%, CON perfoms like the industry average, outperforming 42.86% of the companies in the same industry.
CON's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 7.34% | ||
| PM (TTM) | 3.7% | ||
| GM | 23.39% |
OM growth 3Y5.04%
OM growth 5Y-0.61%
PM growth 3Y-11.56%
PM growth 5YN/A
GM growth 3Y-1.13%
GM growth 5Y-1.42%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so CON is still creating some value.
CON has about the same amout of shares outstanding than it did 1 year ago.
CON has about the same amout of shares outstanding than it did 5 years ago.
The debt/assets ratio for CON has been reduced compared to a year ago.
2.2 Solvency
An Altman-Z score of 2.52 indicates that CON is not a great score, but indicates only limited risk for bankruptcy at the moment.
The Altman-Z score of CON (2.52) is better than 82.14% of its industry peers.
CON has a debt to FCF ratio of 3.48. This is a good value and a sign of high solvency as CON would need 3.48 years to pay back of all of its debts.
With an excellent Debt to FCF ratio value of 3.48, CON belongs to the best of the industry, outperforming 82.14% of the companies in the same industry.
CON has a Debt/Equity ratio of 0.28. This is a healthy value indicating a solid balance between debt and equity.
CON has a Debt to Equity ratio of 0.28. This is amongst the best in the industry. CON outperforms 96.43% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.28 | ||
| Debt/FCF | 3.48 | ||
| Altman-Z | 2.52 |
ROIC/WACC1.45
WACC5.97%
2.3 Liquidity
CON has a Current Ratio of 1.68. This is a normal value and indicates that CON is financially healthy and should not expect problems in meeting its short term obligations.
Looking at the Current ratio, with a value of 1.68, CON belongs to the top of the industry, outperforming 85.71% of the companies in the same industry.
CON has a Quick Ratio of 1.47. This is a normal value and indicates that CON is financially healthy and should not expect problems in meeting its short term obligations.
CON has a better Quick ratio (1.47) than 89.29% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.68 | ||
| Quick Ratio | 1.47 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 40.54% over the past year.
The Earnings Per Share has been decreasing by -6.04% on average over the past years.
The Revenue for CON has decreased by -14.83% in the past year. This is quite bad
CON shows a decrease in Revenue. Measured over the last years, the Revenue has been decreasing by -2.24% yearly.
EPS 1Y (TTM)40.54%
EPS 3Y-6.61%
EPS 5Y-6.04%
EPS Q2Q%1437.5%
Revenue 1Y (TTM)-14.83%
Revenue growth 3Y5.56%
Revenue growth 5Y-2.24%
Sales Q2Q%-0.81%
3.2 Future
Based on estimates for the next years, CON will show a small growth in Earnings Per Share. The EPS will grow by 6.90% on average per year.
The Revenue is expected to grow by 1.63% on average over the next years.
EPS Next Y4.14%
EPS Next 2Y13.36%
EPS Next 3Y13.11%
EPS Next 5Y6.9%
Revenue Next Year-1.85%
Revenue Next 2Y0.31%
Revenue Next 3Y1.49%
Revenue Next 5Y1.63%
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 accelerating.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 7.94, the valuation of CON can be described as very cheap.
CON's Price/Earnings ratio is a bit cheaper when compared to the industry. CON is cheaper than 71.43% of the companies in the same industry.
CON's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 26.35.
The Price/Forward Earnings ratio is 7.54, which indicates a rather cheap valuation of CON.
Compared to the rest of the industry, the Price/Forward Earnings ratio of CON indicates a somewhat cheap valuation: CON is cheaper than 60.71% of the companies listed in the same industry.
When comparing the Price/Forward Earnings ratio of CON to the average of the S&P500 Index (22.20), we can say CON is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 7.94 | ||
| Fwd PE | 7.54 |
4.2 Price Multiples
CON's Enterprise Value to EBITDA ratio is in line with the industry average.
The rest of the industry has a similar Price/Free Cash Flow ratio as CON.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 8.02 | ||
| EV/EBITDA | 4.46 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates CON does not grow enough to justify the current Price/Earnings ratio.
The decent profitability rating of CON may justify a higher PE ratio.
A more expensive valuation may be justified as CON's earnings are expected to grow with 13.11% in the coming years.
PEG (NY)1.92
PEG (5Y)N/A
EPS Next 2Y13.36%
EPS Next 3Y13.11%
5. Dividend
5.1 Amount
CON has a Yearly Dividend Yield of 3.22%. Purely for dividend investing, there may be better candidates out there.
CON's Dividend Yield is comparable with the industry average which is at 5.12.
CON's Dividend Yield is a higher than the S&P500 average which is at 2.40.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.22% |
5.2 History
The dividend of CON decreases each year by -14.27%.
Dividend Growth(5Y)-14.27%
Div Incr Years0
Div Non Decr Years1
5.3 Sustainability
CON pays out 34.13% of its income as dividend. This is a sustainable payout ratio.
DP34.13%
EPS Next 2Y13.36%
EPS Next 3Y13.11%
FRA:CON (5/27/2025, 7:00:00 PM)
76.16
-0.18 (-0.24%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupAutomobiles & Components
GICS IndustryAutomobile Components
Earnings (Last)
Earnings (Next)
Inst Owners34.51%
Inst Owner ChangeN/A
Ins Owners46%
Ins Owner ChangeN/A
Market Cap15.23B
Analysts76.15
Price Target77.52 (1.79%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.22% |
Yearly Dividend2.2
Dividend Growth(5Y)-14.27%
DP34.13%
Div Incr Years0
Div Non Decr Years1
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)38.27%
Min EPS beat(2)-0.57%
Max EPS beat(2)77.12%
EPS beat(4)2
Avg EPS beat(4)27.24%
Min EPS beat(4)-1.31%
Max EPS beat(4)77.12%
EPS beat(8)4
Avg EPS beat(8)5.09%
EPS beat(12)7
Avg EPS beat(12)14.62%
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)1
Avg Revenue beat(2)-1.48%
Min Revenue beat(2)-3.18%
Max Revenue beat(2)0.23%
Revenue beat(4)1
Avg Revenue beat(4)-2.49%
Min Revenue beat(4)-3.88%
Max Revenue beat(4)0.23%
Revenue beat(8)1
Avg Revenue beat(8)-2.83%
Revenue beat(12)5
Avg Revenue beat(12)-1.09%
Revenue beat(16)8
Avg Revenue beat(16)-1.14%
PT rev (1m)0.8%
PT rev (3m)1.2%
EPS NQ rev (1m)-17.54%
EPS NQ rev (3m)-38.65%
EPS NY rev (1m)0%
EPS NY rev (3m)-11.65%
Revenue NQ rev (1m)-1.57%
Revenue NQ rev (3m)-14.85%
Revenue NY rev (1m)-0.16%
Revenue NY rev (3m)-4.03%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 7.94 | ||
| Fwd PE | 7.54 | ||
| P/S | 0.44 | ||
| P/FCF | 8.02 | ||
| P/OCF | 4.16 | ||
| P/B | 1.06 | ||
| P/tB | 1.16 | ||
| EV/EBITDA | 4.46 |
EPS(TTM)9.59
EY12.59%
EPS(NY)10.1
Fwd EY13.26%
FCF(TTM)9.49
FCFY12.47%
OCF(TTM)18.32
OCFY24.06%
SpS174.17
BVpS71.83
TBVpS65.83
PEG (NY)1.92
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.45% | ||
| ROE | 8.97% | ||
| ROCE | 12.57% | ||
| ROIC | 8.63% | ||
| ROICexc | 9.44% | ||
| ROICexgc | 10.09% | ||
| OM | 7.34% | ||
| PM (TTM) | 3.7% | ||
| GM | 23.39% | ||
| FCFM | 5.45% |
ROA(3y)2.13%
ROA(5y)1.6%
ROE(3y)5.7%
ROE(5y)4.2%
ROIC(3y)5.66%
ROIC(5y)5.08%
ROICexc(3y)6.45%
ROICexc(5y)5.73%
ROICexgc(3y)8.09%
ROICexgc(5y)7.27%
ROCE(3y)8.36%
ROCE(5y)7.51%
ROICexcg growth 3Y10.87%
ROICexcg growth 5Y-2.17%
ROICexc growth 3Y12.69%
ROICexc growth 5Y0.39%
OM growth 3Y5.04%
OM growth 5Y-0.61%
PM growth 3Y-11.56%
PM growth 5YN/A
GM growth 3Y-1.13%
GM growth 5Y-1.42%
F-Score7
Asset Turnover0.93
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.28 | ||
| Debt/FCF | 3.48 | ||
| Debt/EBITDA | 0.89 | ||
| Cap/Depr | 90.75% | ||
| Cap/Sales | 5.07% | ||
| Interest Coverage | 8.14 | ||
| Cash Conversion | 81.41% | ||
| Profit Quality | 147.32% | ||
| Current Ratio | 1.68 | ||
| Quick Ratio | 1.47 | ||
| Altman-Z | 2.52 |
F-Score7
WACC5.97%
ROIC/WACC1.45
Cap/Depr(3y)84.07%
Cap/Depr(5y)77.33%
Cap/Sales(3y)5.2%
Cap/Sales(5y)5.57%
Profit Quality(3y)125.25%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)40.54%
EPS 3Y-6.61%
EPS 5Y-6.04%
EPS Q2Q%1437.5%
EPS Next Y4.14%
EPS Next 2Y13.36%
EPS Next 3Y13.11%
EPS Next 5Y6.9%
Revenue 1Y (TTM)-14.83%
Revenue growth 3Y5.56%
Revenue growth 5Y-2.24%
Sales Q2Q%-0.81%
Revenue Next Year-1.85%
Revenue Next 2Y0.31%
Revenue Next 3Y1.49%
Revenue Next 5Y1.63%
EBIT growth 1Y83.98%
EBIT growth 3Y10.88%
EBIT growth 5Y-2.84%
EBIT Next Year72.66%
EBIT Next 3Y30.2%
EBIT Next 5Y16.03%
FCF growth 1Y391.75%
FCF growth 3Y117.31%
FCF growth 5Y-3.93%
OCF growth 1Y132.51%
OCF growth 3Y14.1%
OCF growth 5Y-7.86%