MUENCHENER RUECKVER AG-REG (MUV2.DE) Stock Fundamental Analysis
Europe - Frankfurt Stock Exchange - FRA:MUV2 - DE0008430026 - Common Stock
507.6 EUR
-3.2 (-0.63%)
MUV2 gets a fundamental rating of 5 out of 10. The analysis compared the fundamentals against 48 industry peers in the Insurance industry. MUV2 has an average financial health and profitability rating. MUV2 has a correct valuation and a medium growth rate.
1. Profitability
1.1 Basic Checks
- In the past year MUV2 was profitable.
- MUV2 had a positive operating cash flow in the past year.
- In the past 5 years MUV2 has always been profitable.
- In the past 5 years MUV2 always reported a positive cash flow from operatings.
1.2 Ratios
- With a decent Return On Assets value of 2.06%, MUV2 is doing good in the industry, outperforming 70.83% of the companies in the same industry.
- With a decent Return On Equity value of 18.59%, MUV2 is doing good in the industry, outperforming 70.83% of the companies in the same industry.
- With a decent Return On Invested Capital value of 2.27%, MUV2 is doing good in the industry, outperforming 68.75% of the companies in the same industry.
- MUV2 had an Average Return On Invested Capital over the past 3 years of 1.93%. This is in line with the industry average of 2.70%.
- The last Return On Invested Capital (2.27%) for MUV2 is above the 3 year average (1.93%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.06% | ||
| ROE | 18.59% | ||
| ROIC | 2.27% |
ROA(3y)1.88%
ROA(5y)1.4%
ROE(3y)17.52%
ROE(5y)13.23%
ROIC(3y)1.93%
ROIC(5y)1.43%
1.3 Margins
- MUV2 has a Profit Margin (9.15%) which is in line with its industry peers.
- In the last couple of years the Profit Margin of MUV2 has grown nicely.
- MUV2's Operating Margin of 12.77% is fine compared to the rest of the industry. MUV2 outperforms 60.42% of its industry peers.
- MUV2's Operating Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 12.77% | ||
| PM (TTM) | 9.15% | ||
| GM | N/A |
OM growth 3Y37.9%
OM growth 5Y19.51%
PM growth 3Y29.8%
PM growth 5Y16.55%
GM growth 3YN/A
GM growth 5YN/A
2. Health
2.1 Basic Checks
- MUV2 has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
- Compared to 1 year ago, MUV2 has less shares outstanding
- The number of shares outstanding for MUV2 has been reduced compared to 5 years ago.
- Compared to 1 year ago, MUV2 has a worse debt to assets ratio.
2.2 Solvency
- The Debt to FCF ratio of MUV2 is 1.53, which is an excellent value as it means it would take MUV2, only 1.53 years of fcf income to pay off all of its debts.
- The Debt to FCF ratio of MUV2 (1.53) is better than 68.75% of its industry peers.
- MUV2 has a Debt/Equity ratio of 0.23. This is a healthy value indicating a solid balance between debt and equity.
- With an excellent Debt to Equity ratio value of 0.23, MUV2 belongs to the best of the industry, outperforming 91.67% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.23 | ||
| Debt/FCF | 1.53 | ||
| Altman-Z | N/A |
ROIC/WACC0.32
WACC7.06%
2.3 Liquidity
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | N/A | ||
| Quick Ratio | N/A |
3. Growth
3.1 Past
- The Earnings Per Share has grown by an nice 10.88% over the past year.
- MUV2 shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 17.67% yearly.
- MUV2 shows a small growth in Revenue. In the last year, the Revenue has grown by 5.38%.
- The Revenue has been decreasing by -0.60% on average over the past years.
EPS 1Y (TTM)10.88%
EPS 3Y26.82%
EPS 5Y17.67%
EPS Q2Q%120.51%
Revenue 1Y (TTM)5.38%
Revenue growth 3Y-3.95%
Revenue growth 5Y-0.6%
Sales Q2Q%-22.27%
3.2 Future
- MUV2 is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 4.73% yearly.
- Based on estimates for the next years, MUV2 will show a small growth in Revenue. The Revenue will grow by 5.72% on average per year.
EPS Next Y16.24%
EPS Next 2Y10.82%
EPS Next 3Y9.09%
EPS Next 5Y4.73%
Revenue Next Year-3.8%
Revenue Next 2Y-0.54%
Revenue Next 3Y1.1%
Revenue Next 5Y5.72%
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
- Based on the Price/Earnings ratio of 10.73, the valuation of MUV2 can be described as reasonable.
- 75.00% of the companies in the same industry are more expensive than MUV2, based on the Price/Earnings ratio.
- The average S&P500 Price/Earnings ratio is at 27.21. MUV2 is valued rather cheaply when compared to this.
- With a Price/Forward Earnings ratio of 9.68, the valuation of MUV2 can be described as very reasonable.
- Based on the Price/Forward Earnings ratio, MUV2 is valued a bit cheaper than 68.75% of the companies in the same industry.
- MUV2 is valuated cheaply when we compare the Price/Forward Earnings ratio to 24.26, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.73 | ||
| Fwd PE | 9.68 |
4.2 Price Multiples
- 77.08% of the companies in the same industry are more expensive than MUV2, based on the Enterprise Value to EBITDA ratio.
- The rest of the industry has a similar Price/Free Cash Flow ratio as MUV2.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 14.15 | ||
| EV/EBITDA | 8.35 |
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 decent profitability rating of MUV2 may justify a higher PE ratio.
PEG (NY)0.66
PEG (5Y)0.61
EPS Next 2Y10.82%
EPS Next 3Y9.09%
5. Dividend
5.1 Amount
- MUV2 has a Yearly Dividend Yield of 3.82%. Purely for dividend investing, there may be better candidates out there.
- Compared to an average industry Dividend Yield of 4.19, MUV2 is paying slightly less dividend.
- MUV2's Dividend Yield is rather good when compared to the S&P500 average which is at 1.82.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.82% |
5.2 History
- On average, the dividend of MUV2 grows each year by 10.15%, which is quite nice.
Dividend Growth(5Y)10.15%
Div Incr Years1
Div Non Decr Years6
5.3 Sustainability
- 45.96% of the earnings are spent on dividend by MUV2. This is a bit on the high side, but may be sustainable.
- The dividend of MUV2 is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP45.96%
EPS Next 2Y10.82%
EPS Next 3Y9.09%
MUENCHENER RUECKVER AG-REG / MUV2.DE FAQ
What is the fundamental rating for MUV2 stock?
ChartMill assigns a fundamental rating of 5 / 10 to MUV2.DE.
What is the valuation status of MUENCHENER RUECKVER AG-REG (MUV2.DE) stock?
ChartMill assigns a valuation rating of 6 / 10 to MUENCHENER RUECKVER AG-REG (MUV2.DE). This can be considered as Fairly Valued.
What is the profitability of MUV2 stock?
MUENCHENER RUECKVER AG-REG (MUV2.DE) has a profitability rating of 6 / 10.
What are the PE and PB ratios of MUENCHENER RUECKVER AG-REG (MUV2.DE) stock?
The Price/Earnings (PE) ratio for MUENCHENER RUECKVER AG-REG (MUV2.DE) is 10.73 and the Price/Book (PB) ratio is 2.17.
How financially healthy is MUENCHENER RUECKVER AG-REG?
The financial health rating of MUENCHENER RUECKVER AG-REG (MUV2.DE) is 4 / 10.