FREENET AG (FNTN.DE) Stock Fundamental Analysis
Europe - FRA:FNTN - DE000A0Z2ZZ5 - Common Stock
26.92 EUR
+0.12 (+0.45%)
FNTN gets a fundamental rating of 7 out of 10. The analysis compared the fundamentals against 6 industry peers in the Wireless Telecommunication Services industry. FNTN has outstanding health and profitabily ratings, belonging to the best of the industry. This is a solid base for any company. FNTN is cheap, but on the other hand it scores bad on growth. FNTN also has an excellent dividend rating. With these ratings, FNTN could be worth investigating further for value and dividend investing!.
1. Profitability
1.1 Basic Checks
In the past year FNTN was profitable.
In the past year FNTN had a positive cash flow from operations.
FNTN had positive earnings in each of the past 5 years.
FNTN had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
With an excellent Return On Assets value of 8.27%, FNTN belongs to the best of the industry, outperforming 100.00% of the companies in the same industry.
FNTN has a better Return On Equity (18.70%) than 83.33% of its industry peers.
With an excellent Return On Invested Capital value of 16.45%, FNTN belongs to the best of the industry, outperforming 100.00% of the companies in the same industry.
FNTN had an Average Return On Invested Capital over the past 3 years of 9.45%. This is above the industry average of 6.64%.
The 3 year average ROIC (9.45%) for FNTN is below the current ROIC(16.45%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 8.27% | ||
| ROE | 18.7% | ||
| ROIC | 16.45% |
ROA(3y)4.72%
ROA(5y)6.35%
ROE(3y)10.95%
ROE(5y)15.2%
ROIC(3y)9.45%
ROIC(5y)8.82%
1.3 Margins
With an excellent Profit Margin value of 10.46%, FNTN belongs to the best of the industry, outperforming 83.33% of the companies in the same industry.
In the last couple of years the Profit Margin of FNTN has grown nicely.
FNTN has a better Operating Margin (16.09%) than 83.33% of its industry peers.
FNTN's Operating Margin has improved in the last couple of years.
FNTN has a better Gross Margin (40.57%) than 66.67% of its industry peers.
FNTN's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 16.09% | ||
| PM (TTM) | 10.46% | ||
| GM | 40.57% |
OM growth 3Y9.56%
OM growth 5Y8.4%
PM growth 3Y8.72%
PM growth 5Y8.88%
GM growth 3Y5.54%
GM growth 5Y5.22%
2. Health
2.1 Basic Checks
FNTN has a Return on Invested Capital (ROIC), which is well above the Cost of Capital (WACC), which means it is creating value.
Compared to 1 year ago, FNTN has about the same amount of shares outstanding.
Compared to 5 years ago, FNTN has less shares outstanding
FNTN has a better debt/assets ratio than last year.
2.2 Solvency
An Altman-Z score of 2.73 indicates that FNTN is not a great score, but indicates only limited risk for bankruptcy at the moment.
FNTN has a Altman-Z score of 2.73. This is amongst the best in the industry. FNTN outperforms 83.33% of its industry peers.
FNTN has a debt to FCF ratio of 1.89. This is a very positive value and a sign of high solvency as it would only need 1.89 years to pay back of all of its debts.
With an excellent Debt to FCF ratio value of 1.89, FNTN belongs to the best of the industry, outperforming 100.00% of the companies in the same industry.
A Debt/Equity ratio of 0.20 indicates that FNTN is not too dependend on debt financing.
The Debt to Equity ratio of FNTN (0.20) is better than 66.67% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.2 | ||
| Debt/FCF | 1.89 | ||
| Altman-Z | 2.73 |
ROIC/WACC2.55
WACC6.44%
2.3 Liquidity
A Current Ratio of 0.57 indicates that FNTN may have some problems paying its short term obligations.
With a Current ratio value of 0.57, FNTN is not doing good in the industry: 66.67% of the companies in the same industry are doing better.
A Quick Ratio of 0.53 indicates that FNTN may have some problems paying its short term obligations.
FNTN has a worse Quick ratio (0.53) than 66.67% of its industry peers.
FNTN does not score too well on the current and quick ratio evaluation. However, as it has 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 | 0.57 | ||
| Quick Ratio | 0.53 |
3. Growth
3.1 Past
FNTN shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 17.65%, which is quite good.
Measured over the past 5 years, FNTN shows a small growth in Earnings Per Share. The EPS has been growing by 6.90% on average per year.
Looking at the last year, FNTN shows a decrease in Revenue. The Revenue has decreased by -2.44% in the last year.
Measured over the past years, FNTN shows a decrease in Revenue. The Revenue has been decreasing by -3.31% on average per year.
EPS 1Y (TTM)17.65%
EPS 3Y8.69%
EPS 5Y6.9%
EPS Q2Q%50%
Revenue 1Y (TTM)-2.44%
Revenue growth 3Y-1.04%
Revenue growth 5Y-3.31%
Sales Q2Q%8.89%
3.2 Future
FNTN is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 7.97% yearly.
FNTN is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 2.50% yearly.
EPS Next Y17.79%
EPS Next 2Y9.23%
EPS Next 3Y7.72%
EPS Next 5Y7.97%
Revenue Next Year1.39%
Revenue Next 2Y1.4%
Revenue Next 3Y1.52%
Revenue Next 5Y2.5%
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 stable.
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 12.24, the valuation of FNTN can be described as correct.
Compared to the rest of the industry, the Price/Earnings ratio of FNTN indicates a rather cheap valuation: FNTN is cheaper than 100.00% of the companies listed in the same industry.
Compared to an average S&P500 Price/Earnings ratio of 27.49, FNTN is valued rather cheaply.
Based on the Price/Forward Earnings ratio of 10.85, the valuation of FNTN can be described as reasonable.
FNTN's Price/Forward Earnings ratio is rather cheap when compared to the industry. FNTN is cheaper than 100.00% of the companies in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 22.99. FNTN is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.24 | ||
| Fwd PE | 10.85 |
4.2 Price Multiples
FNTN's Enterprise Value to EBITDA ratio is a bit cheaper when compared to the industry. FNTN is cheaper than 66.67% of the companies in the same industry.
Based on the Price/Free Cash Flow ratio, FNTN is valued cheaply inside the industry as 83.33% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 9.03 | ||
| EV/EBITDA | 6.7 |
4.3 Compensation for Growth
The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
FNTN has an outstanding profitability rating, which may justify a higher PE ratio.
PEG (NY)0.69
PEG (5Y)1.77
EPS Next 2Y9.23%
EPS Next 3Y7.72%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 7.30%, FNTN is a good candidate for dividend investing.
FNTN's Dividend Yield is rather good when compared to the industry average which is at 2.92. FNTN pays more dividend than 100.00% of the companies in the same industry.
FNTN's Dividend Yield is rather good when compared to the S&P500 average which is at 2.43.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 7.3% |
5.2 History
The dividend of FNTN has a limited annual growth rate of 2.99%.
Dividend Growth(5Y)2.99%
Div Incr Years1
Div Non Decr Years5
5.3 Sustainability
The dividend of FNTN is growing, but earnings are growing more, so the dividend growth is sustainable.
DP0%
EPS Next 2Y9.23%
EPS Next 3Y7.72%
FRA:FNTN (10/15/2025, 4:24:53 PM)
26.92
+0.12 (+0.45%)
Chartmill FA Rating
GICS SectorCommunication Services
GICS IndustryGroupTelecommunication Services
GICS IndustryWireless Telecommunication Services
Earnings (Last)
Earnings (Next)
Inst Owners34.69%
Inst Owner ChangeN/A
Ins OwnersN/A
Ins Owner ChangeN/A
Market Cap3.20B
Analysts76
Price Target33.25 (23.51%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 7.3% |
Yearly Dividend1.68
Dividend Growth(5Y)2.99%
DP0%
Div Incr Years1
Div Non Decr Years5
Ex-DateN/A
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-23.47%
Min EPS beat(2)-29.92%
Max EPS beat(2)-17.03%
EPS beat(4)2
Avg EPS beat(4)-7.64%
Min EPS beat(4)-29.92%
Max EPS beat(4)10.36%
EPS beat(8)3
Avg EPS beat(8)-17.07%
EPS beat(12)3
Avg EPS beat(12)-28.28%
EPS beat(16)5
Avg EPS beat(16)-17.36%
Revenue beat(2)0
Avg Revenue beat(2)-3.47%
Min Revenue beat(2)-4.65%
Max Revenue beat(2)-2.29%
Revenue beat(4)0
Avg Revenue beat(4)-2.49%
Min Revenue beat(4)-4.65%
Max Revenue beat(4)-0.32%
Revenue beat(8)1
Avg Revenue beat(8)-2.59%
Revenue beat(12)1
Avg Revenue beat(12)-2.37%
Revenue beat(16)1
Avg Revenue beat(16)-2.46%
PT rev (1m)0.11%
PT rev (3m)-1.95%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-29.35%
EPS NY rev (1m)-1.47%
EPS NY rev (3m)-7.83%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)0.68%
Revenue NY rev (1m)-0.43%
Revenue NY rev (3m)-1.01%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.24 | ||
| Fwd PE | 10.85 | ||
| P/S | 1.28 | ||
| P/FCF | 9.03 | ||
| P/OCF | 8.13 | ||
| P/B | 2.3 | ||
| P/tB | N/A | ||
| EV/EBITDA | 6.7 |
EPS(TTM)2.2
EY8.17%
EPS(NY)2.48
Fwd EY9.22%
FCF(TTM)2.98
FCFY11.08%
OCF(TTM)3.31
OCFY12.31%
SpS20.97
BVpS11.73
TBVpS-1.02
PEG (NY)0.69
PEG (5Y)1.77
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 8.27% | ||
| ROE | 18.7% | ||
| ROCE | 20.77% | ||
| ROIC | 16.45% | ||
| ROICexc | 17.7% | ||
| ROICexgc | 113.63% | ||
| OM | 16.09% | ||
| PM (TTM) | 10.46% | ||
| GM | 40.57% | ||
| FCFM | 14.22% |
ROA(3y)4.72%
ROA(5y)6.35%
ROE(3y)10.95%
ROE(5y)15.2%
ROIC(3y)9.45%
ROIC(5y)8.82%
ROICexc(3y)10.55%
ROICexc(5y)10.11%
ROICexgc(3y)47.12%
ROICexgc(5y)42.47%
ROCE(3y)11.93%
ROCE(5y)11.14%
ROICexcg growth 3Y26.72%
ROICexcg growth 5Y35.08%
ROICexc growth 3Y17.61%
ROICexc growth 5Y16.61%
OM growth 3Y9.56%
OM growth 5Y8.4%
PM growth 3Y8.72%
PM growth 5Y8.88%
GM growth 3Y5.54%
GM growth 5Y5.22%
F-Score7
Asset Turnover0.79
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.2 | ||
| Debt/FCF | 1.89 | ||
| Debt/EBITDA | 0.51 | ||
| Cap/Depr | 27.21% | ||
| Cap/Sales | 1.58% | ||
| Interest Coverage | 15.92 | ||
| Cash Conversion | 72.14% | ||
| Profit Quality | 135.93% | ||
| Current Ratio | 0.57 | ||
| Quick Ratio | 0.53 | ||
| Altman-Z | 2.73 |
F-Score7
WACC6.44%
ROIC/WACC2.55
Cap/Depr(3y)23.1%
Cap/Depr(5y)26.26%
Cap/Sales(3y)2.13%
Cap/Sales(5y)2.04%
Profit Quality(3y)257.35%
Profit Quality(5y)197.46%
High Growth Momentum
Growth
EPS 1Y (TTM)17.65%
EPS 3Y8.69%
EPS 5Y6.9%
EPS Q2Q%50%
EPS Next Y17.79%
EPS Next 2Y9.23%
EPS Next 3Y7.72%
EPS Next 5Y7.97%
Revenue 1Y (TTM)-2.44%
Revenue growth 3Y-1.04%
Revenue growth 5Y-3.31%
Sales Q2Q%8.89%
Revenue Next Year1.39%
Revenue Next 2Y1.4%
Revenue Next 3Y1.52%
Revenue Next 5Y2.5%
EBIT growth 1Y4.89%
EBIT growth 3Y8.42%
EBIT growth 5Y4.81%
EBIT Next Year50.68%
EBIT Next 3Y16.94%
EBIT Next 5Y12.39%
FCF growth 1Y4.73%
FCF growth 3Y0.83%
FCF growth 5Y0.49%
OCF growth 1Y-1.44%
OCF growth 3Y0.32%
OCF growth 5Y0.35%