FRESENIUS MEDICAL CARE AG (FME.DE) Stock Fundamental Analysis
Europe - FRA:FME - DE0005785802 - Common Stock
45.7 EUR
+0.13 (+0.29%)
We assign a fundamental rating of 5 out of 10 to FME. FME was compared to 32 industry peers in the Health Care Providers & Services industry. Both the profitability and the financial health of FME get a neutral evaluation. Nothing too spectacular is happening here. FME has a correct valuation and a medium growth rate.
1. Profitability
1.1 Basic Checks
FME had positive earnings in the past year.
In the past year FME had a positive cash flow from operations.
Each year in the past 5 years FME has been profitable.
In the past 5 years FME always reported a positive cash flow from operatings.
1.2 Ratios
FME has a Return On Assets (2.10%) which is in line with its industry peers.
FME's Return On Equity of 4.95% is on the low side compared to the rest of the industry. FME is outperformed by 62.50% of its industry peers.
FME has a Return On Invested Capital (3.84%) which is comparable to the rest of the industry.
Measured over the past 3 years, the Average Return On Invested Capital for FME is below the industry average of 6.78%.
The 3 year average ROIC (3.14%) for FME is below the current ROIC(3.84%), indicating increased profibility in the last year.
| 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
With a decent Profit Margin value of 3.36%, FME is doing good in the industry, outperforming 65.63% of the companies in the same industry.
In the last couple of years the Profit Margin of FME has declined.
FME has a Operating Margin (7.15%) which is comparable to the rest of the industry.
In the last couple of years the Operating Margin of FME has declined.
With a Gross Margin value of 24.67%, FME perfoms like the industry average, outperforming 53.13% of the companies in the same industry.
In the last couple of years the Gross Margin of FME has declined.
| 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.
FME has about the same amout of shares outstanding than it did 1 year ago.
The number of shares outstanding for FME has been reduced compared to 5 years ago.
FME has a better debt/assets ratio than last year.
2.2 Solvency
An Altman-Z score of 2.26 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 (2.26) than 62.50% of its industry peers.
The Debt to FCF ratio of FME is 5.47, which is a neutral value as it means it would take FME, 5.47 years of fcf income to pay off all of its debts.
The Debt to FCF ratio of FME (5.47) is better than 75.00% of its industry peers.
A Debt/Equity ratio of 0.71 indicates that FME is somewhat dependend on debt financing.
FME's Debt to Equity ratio of 0.71 is fine compared to the rest of the industry. FME outperforms 62.50% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.71 | ||
| Debt/FCF | 5.47 | ||
| Altman-Z | 2.26 |
ROIC/WACC0.66
WACC5.81%
2.3 Liquidity
FME has a Current Ratio of 1.44. This is a normal value and indicates that FME is financially healthy and should not expect problems in meeting its short term obligations.
FME has a better Current ratio (1.44) than 75.00% 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 71.88% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.44 | ||
| Quick Ratio | 1.08 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an nice 17.17% over the past year.
The Earnings Per Share has been decreasing by -6.43% on average over the past years.
The Revenue has been growing slightly by 0.53% in the past year.
FME shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 2.04% yearly.
EPS 1Y (TTM)17.17%
EPS 3Y-1.97%
EPS 5Y-6.43%
EPS Q2Q%30%
Revenue 1Y (TTM)0.53%
Revenue growth 3Y3.15%
Revenue growth 5Y2.04%
Sales Q2Q%0.55%
3.2 Future
FME is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 13.25% yearly.
FME is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 3.89% yearly.
EPS Next Y17.76%
EPS Next 2Y13.98%
EPS Next 3Y15.29%
EPS Next 5Y13.25%
Revenue Next Year1.28%
Revenue Next 2Y2.27%
Revenue Next 3Y3.09%
Revenue Next 5Y3.89%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better 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 13.13, the valuation of FME can be described as correct.
Compared to the rest of the industry, the Price/Earnings ratio of FME indicates a rather cheap valuation: FME is cheaper than 81.25% of the companies listed in the same industry.
FME is valuated cheaply when we compare the Price/Earnings ratio to 27.86, which is the current average of the S&P500 Index.
A Price/Forward Earnings ratio of 10.82 indicates a reasonable valuation of FME.
FME's Price/Forward Earnings ratio is rather cheap when compared to the industry. FME is cheaper than 87.50% of the companies in the same industry.
FME's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 23.32.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 13.13 | ||
| Fwd PE | 10.82 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, FME is valued a bit more expensive than the industry average as 65.63% of the companies are valued more cheaply.
The rest of the industry has a similar Price/Free Cash Flow ratio as FME.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 13.31 | ||
| EV/EBITDA | 11.66 |
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 15.29% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.74
PEG (5Y)N/A
EPS Next 2Y13.98%
EPS Next 3Y15.29%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 3.17%, FME has a reasonable but not impressive dividend return.
Compared to an average industry Dividend Yield of 2.38, FME pays a better dividend. On top of this FME pays more dividend than 90.63% of the companies listed in the same industry.
FME's Dividend Yield is a higher than the S&P500 average which is at 2.44.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.17% |
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
64.37% of the earnings are spent on dividend by FME. This is not a sustainable payout ratio.
The dividend of FME is growing, but earnings are growing more, so the dividend growth is sustainable.
DP64.37%
EPS Next 2Y13.98%
EPS Next 3Y15.29%
FRA:FME (10/6/2025, 5:29:56 PM)
45.7
+0.13 (+0.29%)
Chartmill FA Rating
GICS SectorHealth Care
GICS IndustryGroupHealth Care Equipment & Services
GICS IndustryHealth Care Providers & Services
Earnings (Last)
Earnings (Next)
Inst Owners43.16%
Inst Owner ChangeN/A
Ins OwnersN/A
Ins Owner ChangeN/A
Market Cap26.82B
Analysts67.2
Price Target50.35 (10.18%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.17% |
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)21.03%
Min EPS beat(2)14.89%
Max EPS beat(2)27.17%
EPS beat(4)4
Avg EPS beat(4)20.72%
Min EPS beat(4)14.89%
Max EPS beat(4)27.17%
EPS beat(8)7
Avg EPS beat(8)15.78%
EPS beat(12)10
Avg EPS beat(12)13.92%
EPS beat(16)12
Avg EPS beat(16)10.11%
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)-1.15%
PT rev (3m)-1.11%
EPS NQ rev (1m)-0.93%
EPS NQ rev (3m)0.51%
EPS NY rev (1m)-0.11%
EPS NY rev (3m)3.28%
Revenue NQ rev (1m)-0.32%
Revenue NQ rev (3m)-1.87%
Revenue NY rev (1m)-0.26%
Revenue NY rev (3m)-0.88%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 13.13 | ||
| Fwd PE | 10.82 | ||
| P/S | 1.37 | ||
| P/FCF | 13.31 | ||
| P/OCF | 9.74 | ||
| P/B | 2.02 | ||
| P/tB | N/A | ||
| EV/EBITDA | 11.66 |
EPS(TTM)3.48
EY7.61%
EPS(NY)4.22
Fwd EY9.24%
FCF(TTM)3.43
FCFY7.51%
OCF(TTM)4.69
OCFY10.27%
SpS33.26
BVpS22.61
TBVpS-2.73
PEG (NY)0.74
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 | 2.26 |
F-Score6
WACC5.81%
ROIC/WACC0.66
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)17.17%
EPS 3Y-1.97%
EPS 5Y-6.43%
EPS Q2Q%30%
EPS Next Y17.76%
EPS Next 2Y13.98%
EPS Next 3Y15.29%
EPS Next 5Y13.25%
Revenue 1Y (TTM)0.53%
Revenue growth 3Y3.15%
Revenue growth 5Y2.04%
Sales Q2Q%0.55%
Revenue Next Year1.28%
Revenue Next 2Y2.27%
Revenue Next 3Y3.09%
Revenue Next 5Y3.89%
EBIT growth 1Y2.71%
EBIT growth 3Y-10.72%
EBIT growth 5Y-11.17%
EBIT Next Year96.66%
EBIT Next 3Y30.5%
EBIT Next 5Y19.14%
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%