FRESENIUS MEDICAL CARE AG (FME.DE) Stock Fundamental Analysis
FRA:FME - Deutsche Boerse Ag - DE0005785802 - Common Stock - Currency: EUR
FME gets a fundamental rating of 5 out of 10. The analysis compared the fundamentals against 25 industry peers in the Health Care Providers & Services industry. FME has an average financial health and profitability rating. FME has a decent growth rate and is not valued too expensively.
1. Profitability
1.1 Basic Checks
In the past year FME was profitable.
FME had a positive operating cash flow in the past year.
FME had positive earnings in each of the past 5 years.
Each year in the past 5 years FME had a positive operating cash flow.
1.2 Ratios
The Return On Assets of FME (2.10%) is comparable to the rest of the industry.
With a Return On Equity value of 4.95%, FME is not doing good in the industry: 60.00% of the companies in the same industry are doing better.
Looking at the Return On Invested Capital, with a value of 3.84%, FME is in line with its industry, outperforming 48.00% of the companies in the same industry.
FME had an Average Return On Invested Capital over the past 3 years of 3.14%. This is below the industry average of 5.91%.
The last Return On Invested Capital (3.84%) for FME is above the 3 year average (3.14%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.1% | ||
| ROE | 4.95% | ||
| ROIC | 3.84% |
ROA(3y)1.65%
ROA(5y)2.29%
ROE(3y)4.06%
ROE(5y)6.04%
ROIC(3y)3.14%
ROIC(5y)4%
1.3 Margins
Looking at the Profit Margin, with a value of 3.36%, FME is in line with its industry, outperforming 60.00% of the companies in the same industry.
FME's Profit Margin has declined in the last couple of years.
With a Operating Margin value of 7.15%, FME perfoms like the industry average, outperforming 52.00% of the companies in the same industry.
FME's Operating Margin has declined in the last couple of years.
FME has a Gross Margin (24.67%) which is in line with its industry peers.
FME's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 7.15% | ||
| PM (TTM) | 3.36% | ||
| GM | 24.67% |
OM growth 3Y-13.44%
OM growth 5Y-12.95%
PM growth 3Y-20.33%
PM growth 5Y-16.53%
GM growth 3Y-3.16%
GM growth 5Y-4.44%
2. Health
2.1 Basic Checks
FME has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
Compared to 1 year ago, FME has about the same amount of shares outstanding.
The number of shares outstanding for FME has been reduced compared to 5 years ago.
Compared to 1 year ago, FME has an improved debt to assets ratio.
2.2 Solvency
An Altman-Z score of 2.22 indicates that FME is not a great score, but indicates only limited risk for bankruptcy at the moment.
FME has a better Altman-Z score (2.22) than 72.00% of its industry peers.
FME has a debt to FCF ratio of 5.47. This is a neutral value as FME would need 5.47 years to pay back of all of its debts.
FME's Debt to FCF ratio of 5.47 is fine compared to the rest of the industry. FME outperforms 72.00% of its industry peers.
A Debt/Equity ratio of 0.71 indicates that FME is somewhat dependend on debt financing.
The Debt to Equity ratio of FME (0.71) is better than 64.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.71 | ||
| Debt/FCF | 5.47 | ||
| Altman-Z | 2.22 |
ROIC/WACC0.67
WACC5.73%
2.3 Liquidity
A Current Ratio of 1.44 indicates that FME should not have too much problems paying its short term obligations.
FME has a Current ratio of 1.44. This is in the better half of the industry: FME outperforms 68.00% of its industry peers.
A Quick Ratio of 1.08 indicates that FME should not have too much problems paying its short term obligations.
FME has a Quick ratio of 1.08. This is in the better half of the industry: FME outperforms 72.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.44 | ||
| Quick Ratio | 1.08 |
3. Growth
3.1 Past
FME shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 17.51%, which is quite good.
Measured over the past years, FME shows a decrease in Earnings Per Share. The EPS has been decreasing by -6.43% on average per year.
FME shows a small growth in Revenue. In the last year, the Revenue has grown by 0.53%.
FME shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 2.04% yearly.
EPS 1Y (TTM)17.51%
EPS 3Y-1.97%
EPS 5Y-6.43%
EPS Q2Q%34.29%
Revenue 1Y (TTM)0.53%
Revenue growth 3Y3.15%
Revenue growth 5Y2.04%
Sales Q2Q%0.55%
3.2 Future
Based on estimates for the next years, FME will show a quite strong growth in Earnings Per Share. The EPS will grow by 13.32% on average per year.
Based on estimates for the next years, FME will show a small growth in Revenue. The Revenue will grow by 3.75% on average per year.
EPS Next Y14.02%
EPS Next 2Y12.14%
EPS Next 3Y13.1%
EPS Next 5Y13.32%
Revenue Next Year1.83%
Revenue Next 2Y2.62%
Revenue Next 3Y3.09%
Revenue Next 5Y3.75%
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
A Price/Earnings ratio of 12.49 indicates a correct valuation of FME.
Compared to the rest of the industry, the Price/Earnings ratio of FME indicates a rather cheap valuation: FME is cheaper than 84.00% of the companies listed in the same industry.
FME is valuated cheaply when we compare the Price/Earnings ratio to 26.86, which is the current average of the S&P500 Index.
With a Price/Forward Earnings ratio of 10.67, the valuation of FME can be described as very reasonable.
Based on the Price/Forward Earnings ratio, FME is valued cheaply inside the industry as 84.00% of the companies are valued more expensively.
FME's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 34.94.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.49 | ||
| Fwd PE | 10.67 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of FME indicates a slightly more expensive valuation: FME is more expensive than 68.00% of the companies listed in the same industry.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of FME is on the same level as its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 12.7 | ||
| EV/EBITDA | 11.22 |
4.3 Compensation for Growth
FME's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
FME's earnings are expected to grow with 13.10% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.89
PEG (5Y)N/A
EPS Next 2Y12.14%
EPS Next 3Y13.1%
5. Dividend
5.1 Amount
FME has a Yearly Dividend Yield of 3.38%.
FME's Dividend Yield is rather good when compared to the industry average which is at 2.79. FME pays more dividend than 88.00% of the companies in the same industry.
Compared to an average S&P500 Dividend Yield of 2.36, FME pays a bit more dividend than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.38% |
5.2 History
The dividend of FME has a limited annual growth rate of 0.31%.
Dividend Growth(5Y)0.31%
Div Incr Years1
Div Non Decr Years2
5.3 Sustainability
FME pays out 64.37% of its income as dividend. This is not a sustainable payout ratio.
FME's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP64.37%
EPS Next 2Y12.14%
EPS Next 3Y13.1%
FRA:FME (8/21/2025, 5:36:15 PM)
43.6
+0.29 (+0.67%)
Chartmill FA Rating
GICS SectorHealth Care
GICS IndustryGroupHealth Care Equipment & Services
GICS IndustryHealth Care Providers & Services
Earnings (Last)
Earnings (Next)
Inst Owners37.52%
Inst Owner ChangeN/A
Ins OwnersN/A
Ins Owner ChangeN/A
Market Cap25.59B
Analysts65.6
Price Target51.71 (18.6%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.38% |
Yearly Dividend1.19
Dividend Growth(5Y)0.31%
DP64.37%
Div Incr Years1
Div Non Decr Years2
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)21.41%
Min EPS beat(2)18.67%
Max EPS beat(2)24.14%
EPS beat(4)4
Avg EPS beat(4)20.91%
Min EPS beat(4)15.03%
Max EPS beat(4)25.81%
EPS beat(8)7
Avg EPS beat(8)15.87%
EPS beat(12)10
Avg EPS beat(12)13.98%
EPS beat(16)12
Avg EPS beat(16)10.16%
Revenue beat(2)1
Avg Revenue beat(2)-0.3%
Min Revenue beat(2)-3.33%
Max Revenue beat(2)2.74%
Revenue beat(4)2
Avg Revenue beat(4)0.26%
Min Revenue beat(4)-4.4%
Max Revenue beat(4)6.05%
Revenue beat(8)3
Avg Revenue beat(8)-0.45%
Revenue beat(12)5
Avg Revenue beat(12)-0.49%
Revenue beat(16)6
Avg Revenue beat(16)-0.51%
PT rev (1m)1.56%
PT rev (3m)8.81%
EPS NQ rev (1m)1.45%
EPS NQ rev (3m)69.06%
EPS NY rev (1m)0%
EPS NY rev (3m)0%
Revenue NQ rev (1m)-1.55%
Revenue NQ rev (3m)-5.76%
Revenue NY rev (1m)-0.35%
Revenue NY rev (3m)-0.35%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.49 | ||
| Fwd PE | 10.67 | ||
| P/S | 1.31 | ||
| P/FCF | 12.7 | ||
| P/OCF | 9.29 | ||
| P/B | 1.93 | ||
| P/tB | N/A | ||
| EV/EBITDA | 11.22 |
EPS(TTM)3.49
EY8%
EPS(NY)4.09
Fwd EY9.37%
FCF(TTM)3.43
FCFY7.88%
OCF(TTM)4.69
OCFY10.76%
SpS33.26
BVpS22.61
TBVpS-2.73
PEG (NY)0.89
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.1% | ||
| ROE | 4.95% | ||
| ROCE | 5.44% | ||
| ROIC | 3.84% | ||
| ROICexc | 4.19% | ||
| ROICexgc | 11.45% | ||
| OM | 7.15% | ||
| PM (TTM) | 3.36% | ||
| GM | 24.67% | ||
| FCFM | 10.32% |
ROA(3y)1.65%
ROA(5y)2.29%
ROE(3y)4.06%
ROE(5y)6.04%
ROIC(3y)3.14%
ROIC(5y)4%
ROICexc(3y)3.31%
ROICexc(5y)4.22%
ROICexgc(3y)8.52%
ROICexgc(5y)10.56%
ROCE(3y)4.51%
ROCE(5y)5.77%
ROICexcg growth 3Y-7.67%
ROICexcg growth 5Y-10.05%
ROICexc growth 3Y-10.35%
ROICexc growth 5Y-11.48%
OM growth 3Y-13.44%
OM growth 5Y-12.95%
PM growth 3Y-20.33%
PM growth 5Y-16.53%
GM growth 3Y-3.16%
GM growth 5Y-4.44%
F-Score6
Asset Turnover0.62
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.71 | ||
| Debt/FCF | 5.47 | ||
| Debt/EBITDA | 3.14 | ||
| Cap/Depr | 45.83% | ||
| Cap/Sales | 3.79% | ||
| Interest Coverage | 3.82 | ||
| Cash Conversion | 91.56% | ||
| Profit Quality | 307% | ||
| Current Ratio | 1.44 | ||
| Quick Ratio | 1.08 | ||
| Altman-Z | 2.22 |
F-Score6
WACC5.73%
ROIC/WACC0.67
Cap/Depr(3y)41.32%
Cap/Depr(5y)47.87%
Cap/Sales(3y)3.79%
Cap/Sales(5y)4.49%
Profit Quality(3y)300.36%
Profit Quality(5y)267.36%
High Growth Momentum
Growth
EPS 1Y (TTM)17.51%
EPS 3Y-1.97%
EPS 5Y-6.43%
EPS Q2Q%34.29%
EPS Next Y14.02%
EPS Next 2Y12.14%
EPS Next 3Y13.1%
EPS Next 5Y13.32%
Revenue 1Y (TTM)0.53%
Revenue growth 3Y3.15%
Revenue growth 5Y2.04%
Sales Q2Q%0.55%
Revenue Next Year1.83%
Revenue Next 2Y2.62%
Revenue Next 3Y3.09%
Revenue Next 5Y3.75%
EBIT growth 1Y2.71%
EBIT growth 3Y-10.72%
EBIT growth 5Y-11.17%
EBIT Next Year100.38%
EBIT Next 3Y31.03%
EBIT Next 5Y18.99%
FCF growth 1Y14.07%
FCF growth 3Y1.25%
FCF growth 5Y3.45%
OCF growth 1Y14.41%
OCF growth 3Y-1.4%
OCF growth 5Y-1.45%