IONOS GROUP SE (IOS.DE) Stock Fundamental Analysis
Europe - FRA:IOS - DE000A3E00M1 - Common Stock
38.75 EUR
-0.05 (-0.13%)
We assign a fundamental rating of 6 out of 10 to IOS. IOS was compared to 76 industry peers in the IT Services industry. IOS has an excellent profitability rating, but there are some minor concerns on its financial health. IOS is showing excellent growth while it is valued at reasonable prices. Keep and eye on this one! This makes IOS very considerable for growth investing!
1. Profitability
1.1 Basic Checks
IOS had positive earnings in the past year.
In the past year IOS had a positive cash flow from operations.
Each year in the past 5 years IOS has been profitable.
Each year in the past 5 years IOS had a positive operating cash flow.
1.2 Ratios
The Return On Assets of IOS (12.97%) is better than 94.74% of its industry peers.
With an excellent Return On Equity value of 98.49%, IOS belongs to the best of the industry, outperforming 100.00% of the companies in the same industry.
The Return On Invested Capital of IOS (22.06%) is better than 96.05% of its industry peers.
The Average Return On Invested Capital over the past 3 years for IOS is above the industry average of 11.02%.
The 3 year average ROIC (15.69%) for IOS is below the current ROIC(22.06%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 12.97% | ||
| ROE | 98.49% | ||
| ROIC | 22.06% |
ROA(3y)8.67%
ROA(5y)7.05%
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)15.69%
ROIC(5y)14.83%
1.3 Margins
IOS has a better Profit Margin (12.40%) than 94.74% of its industry peers.
IOS's Profit Margin has improved in the last couple of years.
IOS has a better Operating Margin (21.67%) than 97.37% of its industry peers.
In the last couple of years the Operating Margin of IOS has remained more or less at the same level.
IOS's Gross Margin of 47.75% is in line compared to the rest of the industry. IOS outperforms 40.79% of its industry peers.
In the last couple of years the Gross Margin of IOS has declined.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 21.67% | ||
| PM (TTM) | 12.4% | ||
| GM | 47.75% |
OM growth 3Y1.6%
OM growth 5Y-0.44%
PM growth 3Y25.34%
PM growth 5Y13.24%
GM growth 3Y-1.86%
GM growth 5Y-2.37%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) well above the Cost of Capital (WACC), IOS is creating value.
Compared to 1 year ago, IOS has less shares outstanding
Compared to 5 years ago, IOS has less shares outstanding
IOS has a better debt/assets ratio than last year.
2.2 Solvency
An Altman-Z score of 4.15 indicates that IOS is not in any danger for bankruptcy at the moment.
IOS has a Altman-Z score of 4.15. This is amongst the best in the industry. IOS outperforms 85.53% of its industry peers.
IOS has a debt to FCF ratio of 2.44. This is a good value and a sign of high solvency as IOS would need 2.44 years to pay back of all of its debts.
IOS has a better Debt to FCF ratio (2.44) than 69.74% of its industry peers.
A Debt/Equity ratio of 3.72 is on the high side and indicates that IOS has dependencies on debt financing.
The Debt to Equity ratio of IOS (3.72) is worse than 88.16% of its industry peers.
Although IOS does not score too well on debt/equity it has very limited outstanding debt, which is well covered by the FCF. We will not put too much weight on the debt/equity number as it may be because of low equity, which could be a consequence of a share buyback program for instance. This needs to be investigated.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 3.72 | ||
| Debt/FCF | 2.44 | ||
| Altman-Z | 4.15 |
ROIC/WACC3.24
WACC6.8%
2.3 Liquidity
IOS has a Current Ratio of 0.80. This is a bad value and indicates that IOS is not financially healthy enough and could expect problems in meeting its short term obligations.
IOS has a worse Current ratio (0.80) than 84.21% of its industry peers.
A Quick Ratio of 0.80 indicates that IOS may have some problems paying its short term obligations.
IOS has a Quick ratio of 0.80. This is amonst the worse of the industry: IOS underperforms 84.21% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.8 | ||
| Quick Ratio | 0.8 |
3. Growth
3.1 Past
IOS shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 30.88%, which is quite impressive.
The Earnings Per Share has been growing by 25.31% on average over the past years. This is a very strong growth
Looking at the last year, IOS shows a quite strong growth in Revenue. The Revenue has grown by 16.16% in the last year.
The Revenue has been growing by 11.05% on average over the past years. This is quite good.
EPS 1Y (TTM)30.88%
EPS 3Y39.86%
EPS 5Y25.31%
EPS Q2Q%64.47%
Revenue 1Y (TTM)16.16%
Revenue growth 3Y12.25%
Revenue growth 5Y11.05%
Sales Q2Q%18.51%
3.2 Future
Based on estimates for the next years, IOS will show a quite strong growth in Earnings Per Share. The EPS will grow by 18.67% on average per year.
The Revenue is expected to grow by 8.53% on average over the next years. This is quite good.
EPS Next Y31.28%
EPS Next 2Y26.7%
EPS Next 3Y22.98%
EPS Next 5Y18.67%
Revenue Next Year12.52%
Revenue Next 2Y10.27%
Revenue Next 3Y9.46%
Revenue Next 5Y8.53%
3.3 Evolution
Although the future EPS growth is still strong, it is not able to hold up the even more excellent growth rate of the past years.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 26.36, IOS can be considered very expensive at the moment.
The rest of the industry has a similar Price/Earnings ratio as IOS.
The average S&P500 Price/Earnings ratio is at 27.54. IOS is around the same levels.
A Price/Forward Earnings ratio of 18.39 indicates a rather expensive valuation of IOS.
IOS's Price/Forward Earnings is on the same level as the industry average.
The average S&P500 Price/Forward Earnings ratio is at 23.05. IOS is valued slightly cheaper when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 26.36 | ||
| Fwd PE | 18.39 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, IOS is valued a bit more expensive than 69.74% of the companies in the same industry.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of IOS is on the same level as its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 16.57 | ||
| EV/EBITDA | 12.81 |
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.
The excellent profitability rating of IOS may justify a higher PE ratio.
IOS's earnings are expected to grow with 22.98% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.84
PEG (5Y)1.04
EPS Next 2Y26.7%
EPS Next 3Y22.98%
5. Dividend
5.1 Amount
No dividends for IOS!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
FRA:IOS (9/29/2025, 4:51:53 PM)
38.75
-0.05 (-0.13%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSoftware & Services
GICS IndustryIT Services
Earnings (Last)
Earnings (Next)
Inst Owners19.73%
Inst Owner ChangeN/A
Ins Owners0.16%
Ins Owner ChangeN/A
Market Cap5.42B
Analysts75
Price Target43.15 (11.35%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-0.45%
Min EPS beat(2)-6.2%
Max EPS beat(2)5.31%
EPS beat(4)2
Avg EPS beat(4)-2.7%
Min EPS beat(4)-11.99%
Max EPS beat(4)5.31%
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)2
Avg Revenue beat(2)2.04%
Min Revenue beat(2)1.78%
Max Revenue beat(2)2.3%
Revenue beat(4)3
Avg Revenue beat(4)0.87%
Min Revenue beat(4)-1.08%
Max Revenue beat(4)2.3%
Revenue beat(8)3
Avg Revenue beat(8)-1%
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)0%
PT rev (3m)12.2%
EPS NQ rev (1m)0%
EPS NQ rev (3m)N/A
EPS NY rev (1m)-0.48%
EPS NY rev (3m)3.09%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)0.06%
Revenue NY rev (3m)3.89%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 26.36 | ||
| Fwd PE | 18.39 | ||
| P/S | 3.18 | ||
| P/FCF | 16.57 | ||
| P/OCF | 13.73 | ||
| P/B | 25.3 | ||
| P/tB | N/A | ||
| EV/EBITDA | 12.81 |
EPS(TTM)1.47
EY3.79%
EPS(NY)2.11
Fwd EY5.44%
FCF(TTM)2.34
FCFY6.03%
OCF(TTM)2.82
OCFY7.28%
SpS12.17
BVpS1.53
TBVpS-5.35
PEG (NY)0.84
PEG (5Y)1.04
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 12.97% | ||
| ROE | 98.49% | ||
| ROCE | 29.31% | ||
| ROIC | 22.06% | ||
| ROICexc | 22.87% | ||
| ROICexgc | 110.31% | ||
| OM | 21.67% | ||
| PM (TTM) | 12.4% | ||
| GM | 47.75% | ||
| FCFM | 19.21% |
ROA(3y)8.67%
ROA(5y)7.05%
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)15.69%
ROIC(5y)14.83%
ROICexc(3y)16.28%
ROICexc(5y)15.61%
ROICexgc(3y)82.78%
ROICexgc(5y)111.66%
ROCE(3y)20.85%
ROCE(5y)19.7%
ROICexcg growth 3Y-16.52%
ROICexcg growth 5Y1.28%
ROICexc growth 3Y10.63%
ROICexc growth 5Y10.64%
OM growth 3Y1.6%
OM growth 5Y-0.44%
PM growth 3Y25.34%
PM growth 5Y13.24%
GM growth 3Y-1.86%
GM growth 5Y-2.37%
F-Score8
Asset Turnover1.05
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 3.72 | ||
| Debt/FCF | 2.44 | ||
| Debt/EBITDA | 1.66 | ||
| Cap/Depr | 60.61% | ||
| Cap/Sales | 3.98% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 82.12% | ||
| Profit Quality | 154.96% | ||
| Current Ratio | 0.8 | ||
| Quick Ratio | 0.8 | ||
| Altman-Z | 4.15 |
F-Score8
WACC6.8%
ROIC/WACC3.24
Cap/Depr(3y)76.91%
Cap/Depr(5y)74.71%
Cap/Sales(3y)6.06%
Cap/Sales(5y)6.67%
Profit Quality(3y)146.67%
Profit Quality(5y)149.75%
High Growth Momentum
Growth
EPS 1Y (TTM)30.88%
EPS 3Y39.86%
EPS 5Y25.31%
EPS Q2Q%64.47%
EPS Next Y31.28%
EPS Next 2Y26.7%
EPS Next 3Y22.98%
EPS Next 5Y18.67%
Revenue 1Y (TTM)16.16%
Revenue growth 3Y12.25%
Revenue growth 5Y11.05%
Sales Q2Q%18.51%
Revenue Next Year12.52%
Revenue Next 2Y10.27%
Revenue Next 3Y9.46%
Revenue Next 5Y8.53%
EBIT growth 1Y31.92%
EBIT growth 3Y14.04%
EBIT growth 5Y10.56%
EBIT Next Year60.37%
EBIT Next 3Y26.17%
EBIT Next 5Y18.83%
FCF growth 1Y33.13%
FCF growth 3Y42.31%
FCF growth 5Y27.37%
OCF growth 1Y22.99%
OCF growth 3Y24.48%
OCF growth 5Y18.29%