GRENKE AG (GLJ.DE) Stock Fundamental Analysis
FRA:GLJ - Deutsche Boerse Ag - DE000A161N30 - Common Stock - Currency: EUR
We assign a fundamental rating of 4 out of 10 to GLJ. GLJ was compared to 51 industry peers in the Financial Services industry. Both the profitability and financial health of GLJ have multiple concerns. GLJ has a decent growth rate and is not valued too expensively.
1. Profitability
1.1 Basic Checks
GLJ had positive earnings in the past year.
GLJ had a positive operating cash flow in the past year.
In the past 5 years GLJ has always been profitable.
The reported operating cash flow has been mixed in the past 5 years: GLJ reported negative operating cash flow in multiple years.
1.2 Ratios
With a Return On Assets value of 0.65%, GLJ is not doing good in the industry: 66.67% of the companies in the same industry are doing better.
With a Return On Equity value of 4.01%, GLJ perfoms like the industry average, outperforming 43.14% of the companies in the same industry.
Looking at the Return On Invested Capital, with a value of 1.35%, GLJ is doing worse than 66.67% of the companies in the same industry.
The Average Return On Invested Capital over the past 3 years for GLJ is significantly below the industry average of 11.50%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.65% | ||
| ROE | 4.01% | ||
| ROIC | 1.35% |
ROA(3y)1.08%
ROA(5y)1.15%
ROE(3y)5.64%
ROE(5y)6.19%
ROIC(3y)1.98%
ROIC(5y)2.03%
1.3 Margins
GLJ has a worse Profit Margin (6.55%) than 60.78% of its industry peers.
In the last couple of years the Profit Margin of GLJ has declined.
GLJ's Operating Margin of 10.07% is in line compared to the rest of the industry. GLJ outperforms 45.10% of its industry peers.
In the last couple of years the Operating Margin of GLJ has declined.
GLJ's Gross Margin of 72.09% is fine compared to the rest of the industry. GLJ outperforms 64.71% of its industry peers.
GLJ's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 10.07% | ||
| PM (TTM) | 6.55% | ||
| GM | 72.09% |
OM growth 3Y-13.99%
OM growth 5Y-15.56%
PM growth 3Y-19.02%
PM growth 5Y-18.08%
GM growth 3Y-6.92%
GM growth 5Y-4.32%
2. Health
2.1 Basic Checks
GLJ has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
GLJ has less shares outstanding than it did 1 year ago.
Compared to 5 years ago, GLJ has less shares outstanding
Compared to 1 year ago, GLJ has a worse debt to assets ratio.
2.2 Solvency
Based on the Altman-Z score of 0.36, we must say that GLJ is in the distress zone and has some risk of bankruptcy.
Looking at the Altman-Z score, with a value of 0.36, GLJ is doing worse than 74.51% of the companies in the same industry.
GLJ has a debt to FCF ratio of 19.30. This is a negative value and a sign of low solvency as GLJ would need 19.30 years to pay back of all of its debts.
The Debt to FCF ratio of GLJ (19.30) is worse than 62.75% of its industry peers.
GLJ has a Debt/Equity ratio of 2.52. This is a high value indicating a heavy dependency on external financing.
The Debt to Equity ratio of GLJ (2.52) is worse than 70.59% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.52 | ||
| Debt/FCF | 19.3 | ||
| Altman-Z | 0.36 |
ROIC/WACC0.61
WACC2.22%
2.3 Liquidity
GLJ has a Current Ratio of 1.03. This is a normal value and indicates that GLJ is financially healthy and should not expect problems in meeting its short term obligations.
GLJ has a worse Current ratio (1.03) than 60.78% of its industry peers.
GLJ has a Quick Ratio of 1.03. This is a normal value and indicates that GLJ is financially healthy and should not expect problems in meeting its short term obligations.
The Quick ratio of GLJ (1.03) is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.03 | ||
| Quick Ratio | 1.03 |
3. Growth
3.1 Past
The earnings per share for GLJ have decreased strongly by -34.21% in the last year.
GLJ shows a very negative growth in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -13.02% yearly.
The Revenue has grown by 22.48% in the past year. This is a very strong growth!
The Revenue has been growing slightly by 5.76% on average over the past years.
EPS 1Y (TTM)-34.21%
EPS 3Y-9.44%
EPS 5Y-13.02%
EPS Q2Q%-106.99%
Revenue 1Y (TTM)22.48%
Revenue growth 3Y10.98%
Revenue growth 5Y5.76%
Sales Q2Q%20.11%
3.2 Future
The Earnings Per Share is expected to grow by 23.61% on average over the next years. This is a very strong growth
GLJ is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 13.73% yearly.
EPS Next Y12.95%
EPS Next 2Y22.27%
EPS Next 3Y23.61%
EPS Next 5YN/A
Revenue Next Year18.33%
Revenue Next 2Y15.67%
Revenue Next 3Y13.73%
Revenue Next 5YN/A
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.
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
GLJ is valuated correctly with a Price/Earnings ratio of 14.53.
GLJ's Price/Earnings ratio is in line with the industry average.
The average S&P500 Price/Earnings ratio is at 27.30. GLJ is valued slightly cheaper when compared to this.
GLJ is valuated cheaply with a Price/Forward Earnings ratio of 7.78.
82.35% of the companies in the same industry are more expensive than GLJ, based on the Price/Forward Earnings ratio.
The average S&P500 Price/Forward Earnings ratio is at 21.76. GLJ is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 14.53 | ||
| Fwd PE | 7.78 |
4.2 Price Multiples
GLJ's Enterprise Value to EBITDA ratio is a bit more expensive when compared to the industry. GLJ is more expensive than 64.71% of the companies in the same industry.
96.08% of the companies in the same industry are more expensive than GLJ, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 2.38 | ||
| EV/EBITDA | 56.26 |
4.3 Compensation for Growth
The PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
GLJ's earnings are expected to grow with 23.61% in the coming years. This may justify a more expensive valuation.
PEG (NY)1.12
PEG (5Y)N/A
EPS Next 2Y22.27%
EPS Next 3Y23.61%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 2.40%, GLJ has a reasonable but not impressive dividend return.
Compared to an average industry Dividend Yield of 3.49, GLJ pays a bit more dividend than its industry peers.
Compared to an average S&P500 Dividend Yield of 2.35, GLJ has a dividend comparable with the average S&P500 company.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.4% |
5.2 History
The dividend of GLJ decreases each year by -9.82%.
Dividend Growth(5Y)-9.82%
Div Incr Years1
Div Non Decr Years1
5.3 Sustainability
GLJ pays out 39.81% of its income as dividend. This is a sustainable payout ratio.
DP39.81%
EPS Next 2Y22.27%
EPS Next 3Y23.61%
FRA:GLJ (7/11/2025, 7:00:00 PM)
17.44
-0.56 (-3.11%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupFinancial Services
GICS IndustryFinancial Services
Earnings (Last)
Earnings (Next)
Inst Owners20.4%
Inst Owner ChangeN/A
Ins Owners0.12%
Ins Owner ChangeN/A
Market Cap810.96M
Analysts76
Price Target20.3 (16.4%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.4% |
Yearly Dividend0.48
Dividend Growth(5Y)-9.82%
DP39.81%
Div Incr Years1
Div Non Decr Years1
Ex-DateN/A
Surprises & Revisions
EPS beat(2)N/A
Avg EPS beat(2)N/A
Min EPS beat(2)N/A
Max EPS beat(2)N/A
EPS beat(4)N/A
Avg EPS beat(4)N/A
Min EPS beat(4)N/A
Max EPS beat(4)N/A
EPS beat(8)N/A
Avg EPS beat(8)N/A
EPS beat(12)N/A
Avg EPS beat(12)N/A
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)N/A
Avg Revenue beat(2)N/A
Min Revenue beat(2)N/A
Max Revenue beat(2)N/A
Revenue beat(4)N/A
Avg Revenue beat(4)N/A
Min Revenue beat(4)N/A
Max Revenue beat(4)N/A
Revenue beat(8)N/A
Avg Revenue beat(8)N/A
Revenue beat(12)N/A
Avg Revenue beat(12)N/A
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)-3.32%
PT rev (3m)-6.21%
EPS NQ rev (1m)N/A
EPS NQ rev (3m)N/A
EPS NY rev (1m)0%
EPS NY rev (3m)-2.52%
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)0%
Revenue NY rev (3m)-0.05%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 14.53 | ||
| Fwd PE | 7.78 | ||
| P/S | 0.98 | ||
| P/FCF | 2.38 | ||
| P/OCF | 2.31 | ||
| P/B | 0.6 | ||
| P/tB | 0.62 | ||
| EV/EBITDA | 56.26 |
EPS(TTM)1.2
EY6.88%
EPS(NY)2.24
Fwd EY12.85%
FCF(TTM)7.33
FCFY42.01%
OCF(TTM)7.54
OCFY43.24%
SpS17.84
BVpS29.14
TBVpS28.28
PEG (NY)1.12
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.65% | ||
| ROE | 4.01% | ||
| ROCE | 1.72% | ||
| ROIC | 1.35% | ||
| ROICexc | 1.71% | ||
| ROICexgc | 1.73% | ||
| OM | 10.07% | ||
| PM (TTM) | 6.55% | ||
| GM | 72.09% | ||
| FCFM | 41.06% |
ROA(3y)1.08%
ROA(5y)1.15%
ROE(3y)5.64%
ROE(5y)6.19%
ROIC(3y)1.98%
ROIC(5y)2.03%
ROICexc(3y)2.33%
ROICexc(5y)2.58%
ROICexgc(3y)2.35%
ROICexgc(5y)2.62%
ROCE(3y)2.52%
ROCE(5y)2.59%
ROICexcg growth 3Y-6.98%
ROICexcg growth 5Y-8.43%
ROICexc growth 3Y-6.77%
ROICexc growth 5Y-8.32%
OM growth 3Y-13.99%
OM growth 5Y-15.56%
PM growth 3Y-19.02%
PM growth 5Y-18.08%
GM growth 3Y-6.92%
GM growth 5Y-4.32%
F-Score6
Asset Turnover0.1
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.52 | ||
| Debt/FCF | 19.3 | ||
| Debt/EBITDA | 30.34 | ||
| Cap/Depr | 34.27% | ||
| Cap/Sales | 1.2% | ||
| Interest Coverage | 1.65 | ||
| Cash Conversion | 311.52% | ||
| Profit Quality | 627.07% | ||
| Current Ratio | 1.03 | ||
| Quick Ratio | 1.03 | ||
| Altman-Z | 0.36 |
F-Score6
WACC2.22%
ROIC/WACC0.61
Cap/Depr(3y)26.84%
Cap/Depr(5y)32.6%
Cap/Sales(3y)1.19%
Cap/Sales(5y)1.51%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-34.21%
EPS 3Y-9.44%
EPS 5Y-13.02%
EPS Q2Q%-106.99%
EPS Next Y12.95%
EPS Next 2Y22.27%
EPS Next 3Y23.61%
EPS Next 5YN/A
Revenue 1Y (TTM)22.48%
Revenue growth 3Y10.98%
Revenue growth 5Y5.76%
Sales Q2Q%20.11%
Revenue Next Year18.33%
Revenue Next 2Y15.67%
Revenue Next 3Y13.73%
Revenue Next 5YN/A
EBIT growth 1Y-24.93%
EBIT growth 3Y-4.55%
EBIT growth 5Y-10.69%
EBIT Next Year28.04%
EBIT Next 3Y28.46%
EBIT Next 5YN/A
FCF growth 1Y140.53%
FCF growth 3YN/A
FCF growth 5Y32.88%
OCF growth 1Y133.7%
OCF growth 3YN/A
OCF growth 5Y27.82%