HEIDELBERG MATERIALS AG (HEI.DE) Stock Fundamental Analysis
FRA:HEI - DE0006047004 - Common Stock
198.65 EUR
+6.75 (+3.52%)
Taking everything into account, HEI scores 4 out of 10 in our fundamental rating. HEI was compared to 13 industry peers in the Construction Materials industry. While HEI belongs to the best of the industry regarding profitability, there are some minor concerns on its financial health. HEI has a expensive valuation and it also scores bad on growth.
1. Profitability
1.1 Basic Checks
HEI had positive earnings in the past year.
HEI had a positive operating cash flow in the past year.
HEI had positive earnings in 4 of the past 5 years.
In the past 5 years HEI always reported a positive cash flow from operatings.
1.2 Ratios
The Return On Assets of HEI (5.14%) is better than 61.54% of its industry peers.
HEI has a Return On Equity of 10.35%. This is in the better half of the industry: HEI outperforms 69.23% of its industry peers.
HEI has a Return On Invested Capital of 7.73%. This is in the better half of the industry: HEI outperforms 61.54% of its industry peers.
The Average Return On Invested Capital over the past 3 years for HEI is in line with the industry average of 8.11%.
The last Return On Invested Capital (7.73%) for HEI is above the 3 year average (6.57%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.14% | ||
| ROE | 10.35% | ||
| ROIC | 7.73% |
ROA(3y)5.01%
ROA(5y)2.72%
ROE(3y)10.11%
ROE(5y)5.12%
ROIC(3y)6.57%
ROIC(5y)6.16%
1.3 Margins
The Profit Margin of HEI (8.42%) is better than 69.23% of its industry peers.
HEI's Profit Margin has improved in the last couple of years.
HEI has a better Operating Margin (13.55%) than 61.54% of its industry peers.
In the last couple of years the Operating Margin of HEI has grown nicely.
HEI has a Gross Margin of 63.93%. This is in the better half of the industry: HEI outperforms 69.23% of its industry peers.
HEI's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 13.55% | ||
| PM (TTM) | 8.42% | ||
| GM | 63.93% |
OM growth 3Y8.85%
OM growth 5Y7.42%
PM growth 3Y-3.58%
PM growth 5Y7.79%
GM growth 3Y1.33%
GM growth 5Y1.2%
2. Health
2.1 Basic Checks
HEI has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
The number of shares outstanding for HEI has been reduced compared to 1 year ago.
HEI has less shares outstanding than it did 5 years ago.
The debt/assets ratio for HEI has been reduced compared to a year ago.
2.2 Solvency
An Altman-Z score of 2.60 indicates that HEI is not a great score, but indicates only limited risk for bankruptcy at the moment.
The Altman-Z score of HEI (2.60) is better than 69.23% of its industry peers.
HEI has a debt to FCF ratio of 4.57. This is a neutral value as HEI would need 4.57 years to pay back of all of its debts.
With a Debt to FCF ratio value of 4.57, HEI perfoms like the industry average, outperforming 53.85% of the companies in the same industry.
A Debt/Equity ratio of 0.38 indicates that HEI is not too dependend on debt financing.
HEI has a Debt to Equity ratio of 0.38. This is comparable to the rest of the industry: HEI outperforms 53.85% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.38 | ||
| Debt/FCF | 4.57 | ||
| Altman-Z | 2.6 |
ROIC/WACC1.2
WACC6.46%
2.3 Liquidity
A Current Ratio of 1.13 indicates that HEI should not have too much problems paying its short term obligations.
Looking at the Current ratio, with a value of 1.13, HEI is doing worse than 84.62% of the companies in the same industry.
HEI has a Quick Ratio of 1.13. This is a bad value and indicates that HEI is not financially healthy enough and could expect problems in meeting its short term obligations.
HEI's Quick ratio of 0.73 is on the low side compared to the rest of the industry. HEI is outperformed by 76.92% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.13 | ||
| Quick Ratio | 0.73 |
3. Growth
3.1 Past
HEI shows a slight negative growth in Earnings Per Share. In the last year, the EPS has decreased by -5.37%.
Measured over the past years, HEI shows a quite strong growth in Earnings Per Share. The EPS has been growing by 12.42% on average per year.
The Revenue has decreased by -0.10% in the past year.
Measured over the past years, HEI shows a small growth in Revenue. The Revenue has been growing by 2.33% on average per year.
EPS 1Y (TTM)-5.37%
EPS 3Y3.43%
EPS 5Y12.42%
EPS Q2Q%21.9%
Revenue 1Y (TTM)-0.1%
Revenue growth 3Y4.16%
Revenue growth 5Y2.33%
Sales Q2Q%88.85%
3.2 Future
HEI is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 6.08% yearly.
Based on estimates for the next years, HEI will show a small growth in Revenue. The Revenue will grow by 5.01% on average per year.
EPS Next Y10.53%
EPS Next 2Y11.74%
EPS Next 3Y11.69%
EPS Next 5Y6.08%
Revenue Next Year3.73%
Revenue Next 2Y4.11%
Revenue Next 3Y4.48%
Revenue Next 5Y5.01%
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 decreasing.
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 20.15 indicates a rather expensive valuation of HEI.
Compared to the rest of the industry, the Price/Earnings ratio of HEI is on the same level as its industry peers.
HEI is valuated rather cheaply when we compare the Price/Earnings ratio to 26.84, which is the current average of the S&P500 Index.
A Price/Forward Earnings ratio of 14.04 indicates a correct valuation of HEI.
HEI's Price/Forward Earnings ratio is a bit more expensive when compared to the industry. HEI is more expensive than 61.54% of the companies in the same industry.
HEI's Price/Forward Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 22.48.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 20.15 | ||
| Fwd PE | 14.04 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, HEI is valued a bit more expensive than 76.92% of the companies in the same industry.
69.23% of the companies in the same industry are cheaper than HEI, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 18.72 | ||
| EV/EBITDA | 9.56 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
The decent profitability rating of HEI may justify a higher PE ratio.
PEG (NY)1.91
PEG (5Y)1.62
EPS Next 2Y11.74%
EPS Next 3Y11.69%
5. Dividend
5.1 Amount
HEI has a Yearly Dividend Yield of 1.63%. Purely for dividend investing, there may be better candidates out there.
Compared to an average industry Dividend Yield of 3.61, HEI is paying slightly less dividend.
Compared to the average S&P500 Dividend Yield of 2.32, HEI is paying slightly less dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.63% |
5.2 History
The dividend of HEI is nicely growing with an annual growth rate of 7.61%!
Dividend Growth(5Y)7.61%
Div Incr Years1
Div Non Decr Years4
5.3 Sustainability
HEI pays out 33.05% of its income as dividend. This is a sustainable payout ratio.
HEI's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP33.05%
EPS Next 2Y11.74%
EPS Next 3Y11.69%
FRA:HEI (9/4/2025, 5:35:30 PM)
198.65
+6.75 (+3.52%)
Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryConstruction Materials
Earnings (Last)
Earnings (Next)
Inst Owners37.1%
Inst Owner ChangeN/A
Ins Owners28.4%
Ins Owner ChangeN/A
Market Cap35.45B
Analysts72.8
Price Target200.48 (0.92%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.63% |
Yearly Dividend3.03
Dividend Growth(5Y)7.61%
DP33.05%
Div Incr Years1
Div Non Decr Years4
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)5.38%
PT rev (3m)17.02%
EPS NQ rev (1m)N/A
EPS NQ rev (3m)N/A
EPS NY rev (1m)-3.6%
EPS NY rev (3m)-3.6%
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)-0.18%
Revenue NY rev (3m)-0.88%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 20.15 | ||
| Fwd PE | 14.04 | ||
| P/S | 1.68 | ||
| P/FCF | 18.72 | ||
| P/OCF | 10.77 | ||
| P/B | 2.06 | ||
| P/tB | 4.44 | ||
| EV/EBITDA | 9.56 |
EPS(TTM)9.86
EY4.96%
EPS(NY)14.15
Fwd EY7.12%
FCF(TTM)10.61
FCFY5.34%
OCF(TTM)18.44
OCFY9.29%
SpS118.57
BVpS96.5
TBVpS44.7
PEG (NY)1.91
PEG (5Y)1.62
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.14% | ||
| ROE | 10.35% | ||
| ROCE | 10.33% | ||
| ROIC | 7.73% | ||
| ROICexc | 8.12% | ||
| ROICexgc | 12.48% | ||
| OM | 13.55% | ||
| PM (TTM) | 8.42% | ||
| GM | 63.93% | ||
| FCFM | 8.95% |
ROA(3y)5.01%
ROA(5y)2.72%
ROE(3y)10.11%
ROE(5y)5.12%
ROIC(3y)6.57%
ROIC(5y)6.16%
ROICexc(3y)7.24%
ROICexc(5y)6.85%
ROICexgc(3y)11.06%
ROICexgc(5y)10.59%
ROCE(3y)8.78%
ROCE(5y)8.23%
ROICexcg growth 3Y8.18%
ROICexcg growth 5Y7.28%
ROICexc growth 3Y8.47%
ROICexc growth 5Y10.51%
OM growth 3Y8.85%
OM growth 5Y7.42%
PM growth 3Y-3.58%
PM growth 5Y7.79%
GM growth 3Y1.33%
GM growth 5Y1.2%
F-Score7
Asset Turnover0.61
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.38 | ||
| Debt/FCF | 4.57 | ||
| Debt/EBITDA | 1.49 | ||
| Cap/Depr | 94.45% | ||
| Cap/Sales | 6.61% | ||
| Interest Coverage | 9.11 | ||
| Cash Conversion | 75.7% | ||
| Profit Quality | 106.26% | ||
| Current Ratio | 1.13 | ||
| Quick Ratio | 0.73 | ||
| Altman-Z | 2.6 |
F-Score7
WACC6.46%
ROIC/WACC1.2
Cap/Depr(3y)98.1%
Cap/Depr(5y)88.57%
Cap/Sales(3y)6.42%
Cap/Sales(5y)6.47%
Profit Quality(3y)89.14%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-5.37%
EPS 3Y3.43%
EPS 5Y12.42%
EPS Q2Q%21.9%
EPS Next Y10.53%
EPS Next 2Y11.74%
EPS Next 3Y11.69%
EPS Next 5Y6.08%
Revenue 1Y (TTM)-0.1%
Revenue growth 3Y4.16%
Revenue growth 5Y2.33%
Sales Q2Q%88.85%
Revenue Next Year3.73%
Revenue Next 2Y4.11%
Revenue Next 3Y4.48%
Revenue Next 5Y5.01%
EBIT growth 1Y8.81%
EBIT growth 3Y13.38%
EBIT growth 5Y9.93%
EBIT Next Year50.77%
EBIT Next 3Y19.61%
EBIT Next 5Y14.27%
FCF growth 1Y61.81%
FCF growth 3Y23.1%
FCF growth 5Y4.23%
OCF growth 1Y27.42%
OCF growth 3Y10.49%
OCF growth 5Y3.94%