HEIDELBERG MATERIALS AG (HEI.DE) Stock Fundamental Analysis
Europe • Frankfurt Stock Exchange • FRA:HEI • DE0006047004
231.3 EUR
+0.7 (+0.3%)
Last: Jan 30, 2026, 07:00 PM
Overall HEI gets a fundamental rating of 5 out of 10. We evaluated HEI against 17 industry peers in the Construction Materials industry. HEI has an excellent profitability rating, but there are some minor concerns on its financial health. HEI is valied quite expensively at the moment, while it does show a decent growth rate.
1. Profitability
1.1 Basic Checks
- In the past year HEI was profitable.
- HEI had a positive operating cash flow in the past year.
- Of the past 5 years HEI 4 years were profitable.
- In the past 5 years HEI always reported a positive cash flow from operatings.
1.2 Ratios
- HEI has a Return On Assets (5.14%) which is in line with its industry peers.
- HEI has a Return On Equity of 10.35%. This is in the better half of the industry: HEI outperforms 64.71% of its industry peers.
- With a decent Return On Invested Capital value of 7.73%, HEI is doing good in the industry, outperforming 64.71% of the companies in the same industry.
- Measured over the past 3 years, the Average Return On Invested Capital for HEI is in line with the industry average of 7.81%.
- The 3 year average ROIC (6.57%) for HEI is below the current ROIC(7.73%), indicating increased profibility in the last year.
| 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
- With a decent Profit Margin value of 8.42%, HEI is doing good in the industry, outperforming 64.71% of the companies in the same industry.
- In the last couple of years the Profit Margin of HEI has grown nicely.
- HEI's Operating Margin of 13.55% is in line compared to the rest of the industry. HEI outperforms 58.82% of its industry peers.
- In the last couple of years the Operating Margin of HEI has grown nicely.
- The Gross Margin of HEI (63.93%) is better than 82.35% of its industry peers.
- In the last couple of years the Gross Margin of HEI has remained more or less at the same level.
| 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
- The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so HEI is still creating some value.
- HEI has less shares outstanding than it did 1 year ago.
- Compared to 5 years ago, HEI has less shares outstanding
- The debt/assets ratio for HEI has been reduced compared to a year ago.
2.2 Solvency
- HEI has an Altman-Z score of 2.84. This is not the best score and indicates that HEI is in the grey zone with still only limited risk for bankruptcy at the moment.
- With a Altman-Z score value of 2.84, HEI perfoms like the industry average, outperforming 52.94% of the companies in the same industry.
- 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.
- HEI has a Debt to FCF ratio (4.57) which is in line with its industry peers.
- A Debt/Equity ratio of 0.38 indicates that HEI is not too dependend on debt financing.
- With a Debt to Equity ratio value of 0.38, HEI perfoms like the industry average, outperforming 52.94% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.38 | ||
| Debt/FCF | 4.57 | ||
| Altman-Z | 2.84 |
ROIC/WACC1.1
WACC7%
2.3 Liquidity
- A Current Ratio of 1.13 indicates that HEI should not have too much problems paying its short term obligations.
- HEI has a Current ratio of 1.13. This is amonst the worse of the industry: HEI underperforms 88.24% of its industry peers.
- 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.
- With a Quick ratio value of 0.73, HEI is not doing good in the industry: 76.47% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.13 | ||
| Quick Ratio | 0.73 |
3. Growth
3.1 Past
- HEI shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 25.67%, which is quite impressive.
- The Earnings Per Share has been growing by 11.04% on average over the past years. This is quite good.
- The Revenue has been growing slightly by 4.68% in the past year.
- The Revenue has been growing slightly by 5.34% on average over the past years.
EPS 1Y (TTM)25.67%
EPS 3Y12.66%
EPS 5Y11.04%
EPS Q2Q%N/A
Revenue 1Y (TTM)4.68%
Revenue growth 3Y10.31%
Revenue growth 5Y5.34%
Sales Q2Q%0.89%
3.2 Future
- Based on estimates for the next years, HEI will show a quite strong growth in Earnings Per Share. The EPS will grow by 12.58% on average per year.
- HEI is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 3.52% yearly.
EPS Next Y6.17%
EPS Next 2Y9.35%
EPS Next 3Y11.32%
EPS Next 5Y12.58%
Revenue Next Year6.26%
Revenue Next 2Y-1%
Revenue Next 3Y1.22%
Revenue Next 5Y3.52%
3.3 Evolution
- The EPS growth rate is stable: in the next years the growth will be about the same than in the last years.
- The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
- HEI is valuated quite expensively with a Price/Earnings ratio of 39.81.
- 64.71% of the companies in the same industry are cheaper than HEI, based on the Price/Earnings ratio.
- HEI is valuated rather expensively when we compare the Price/Earnings ratio to 28.30, which is the current average of the S&P500 Index.
- The Price/Forward Earnings ratio is 33.32, which means the current valuation is very expensive for HEI.
- Based on the Price/Forward Earnings ratio, HEI is valued a bit more expensive than the industry average as 76.47% of the companies are valued more cheaply.
- HEI is valuated rather expensively when we compare the Price/Forward Earnings ratio to 25.57, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 39.81 | ||
| Fwd PE | 33.32 |
4.2 Price Multiples
- 82.35% of the companies in the same industry are cheaper than HEI, based on the Enterprise Value to EBITDA ratio.
- Compared to the rest of the industry, the Price/Free Cash Flow ratio of HEI indicates a slightly more expensive valuation: HEI is more expensive than 70.59% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 21.8 | ||
| EV/EBITDA | 11.15 |
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)6.45
PEG (5Y)3.61
EPS Next 2Y9.35%
EPS Next 3Y11.32%
5. Dividend
5.1 Amount
- HEI has a Yearly Dividend Yield of 1.43%.
- HEI's Dividend Yield is slightly below the industry average, which is at 2.76.
- HEI's Dividend Yield is slightly below the S&P500 average, which is at 1.82.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.43% |
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
- 33.05% of the earnings are spent on dividend by HEI. This is a low number and sustainable payout ratio.
- HEI's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP33.05%
EPS Next 2Y9.35%
EPS Next 3Y11.32%
HEIDELBERG MATERIALS AG / HEI.DE FAQ
What is the ChartMill fundamental rating of HEIDELBERG MATERIALS AG (HEI.DE) stock?
ChartMill assigns a fundamental rating of 5 / 10 to HEI.DE.
Can you provide the valuation status for HEIDELBERG MATERIALS AG?
ChartMill assigns a valuation rating of 1 / 10 to HEIDELBERG MATERIALS AG (HEI.DE). This can be considered as Overvalued.
Can you provide the profitability details for HEIDELBERG MATERIALS AG?
HEIDELBERG MATERIALS AG (HEI.DE) has a profitability rating of 7 / 10.
Can you provide the financial health for HEI stock?
The financial health rating of HEIDELBERG MATERIALS AG (HEI.DE) is 4 / 10.
What is the earnings growth outlook for HEIDELBERG MATERIALS AG?
The Earnings per Share (EPS) of HEIDELBERG MATERIALS AG (HEI.DE) is expected to grow by 6.17% in the next year.