NEMETSCHEK SE (NEM.DE) Stock Fundamental Analysis
Europe - FRA:NEM - DE0006452907 - Common Stock
90.9 EUR
-1.95 (-2.1%)
Overall NEM gets a fundamental rating of 6 out of 10. We evaluated NEM against 107 industry peers in the Software industry. NEM scores excellent on profitability, but there are some minor concerns on its financial health. NEM shows excellent growth, but is valued quite expensive already. These ratings would make NEM suitable for growth investing!
1. Profitability
1.1 Basic Checks
NEM had positive earnings in the past year.
In the past year NEM had a positive cash flow from operations.
In the past 5 years NEM has always been profitable.
In the past 5 years NEM always reported a positive cash flow from operatings.
1.2 Ratios
NEM has a Return On Assets of 10.02%. This is in the better half of the industry: NEM outperforms 77.48% of its industry peers.
Looking at the Return On Equity, with a value of 23.65%, NEM belongs to the top of the industry, outperforming 81.98% of the companies in the same industry.
Looking at the Return On Invested Capital, with a value of 15.37%, NEM belongs to the top of the industry, outperforming 86.49% of the companies in the same industry.
NEM had an Average Return On Invested Capital over the past 3 years of 16.57%. This is above the industry average of 13.52%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 10.02% | ||
| ROE | 23.65% | ||
| ROIC | 15.37% |
ROA(3y)11.46%
ROA(5y)11.57%
ROE(3y)21.91%
ROE(5y)23.07%
ROIC(3y)16.57%
ROIC(5y)17.18%
1.3 Margins
NEM has a better Profit Margin (17.65%) than 72.07% of its industry peers.
NEM's Profit Margin has declined in the last couple of years.
NEM has a better Operating Margin (24.54%) than 83.78% of its industry peers.
In the last couple of years the Operating Margin of NEM has remained more or less at the same level.
Looking at the Gross Margin, with a value of 96.22%, NEM belongs to the top of the industry, outperforming 95.50% of the companies in the same industry.
In the last couple of years the Gross Margin of NEM has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 24.54% | ||
| PM (TTM) | 17.65% | ||
| GM | 96.22% |
OM growth 3Y-2.37%
OM growth 5Y1.16%
PM growth 3Y-3.74%
PM growth 5Y-5.05%
GM growth 3Y-0.12%
GM growth 5Y-0.09%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is well above the Cost of Capital (WACC), so NEM is creating value.
NEM has about the same amout of shares outstanding than it did 1 year ago.
Compared to 5 years ago, NEM has about the same amount of shares outstanding.
The debt/assets ratio for NEM is higher compared to a year ago.
2.2 Solvency
NEM has an Altman-Z score of 6.92. This indicates that NEM is financially healthy and has little risk of bankruptcy at the moment.
NEM has a better Altman-Z score (6.92) than 79.28% of its industry peers.
NEM has a debt to FCF ratio of 1.30. This is a very positive value and a sign of high solvency as it would only need 1.30 years to pay back of all of its debts.
NEM's Debt to FCF ratio of 1.30 is fine compared to the rest of the industry. NEM outperforms 73.87% of its industry peers.
A Debt/Equity ratio of 0.56 indicates that NEM is somewhat dependend on debt financing.
NEM has a Debt to Equity ratio of 0.56. This is in the lower half of the industry: NEM underperforms 67.57% of its industry peers.
Although NEM 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 | 0.56 | ||
| Debt/FCF | 1.3 | ||
| Altman-Z | 6.92 |
ROIC/WACC2
WACC7.68%
2.3 Liquidity
NEM has a Current Ratio of 0.87. This is a bad value and indicates that NEM is not financially healthy enough and could expect problems in meeting its short term obligations.
NEM has a worse Current ratio (0.87) than 75.68% of its industry peers.
A Quick Ratio of 0.87 indicates that NEM may have some problems paying its short term obligations.
Looking at the Quick ratio, with a value of 0.87, NEM is doing worse than 75.68% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.87 | ||
| Quick Ratio | 0.87 |
3. Growth
3.1 Past
NEM shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 20.14%, which is quite impressive.
The Earnings Per Share has been growing by 14.73% on average over the past years. This is quite good.
The Revenue has grown by 25.17% in the past year. This is a very strong growth!
NEM shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 12.32% yearly.
EPS 1Y (TTM)20.14%
EPS 3Y12.59%
EPS 5Y14.73%
EPS Q2Q%40.69%
Revenue 1Y (TTM)25.17%
Revenue growth 3Y13.47%
Revenue growth 5Y12.32%
Sales Q2Q%15.86%
3.2 Future
The Earnings Per Share is expected to grow by 18.86% on average over the next years. This is quite good.
Based on estimates for the next years, NEM will show a quite strong growth in Revenue. The Revenue will grow by 15.39% on average per year.
EPS Next Y20.23%
EPS Next 2Y21.67%
EPS Next 3Y21.22%
EPS Next 5Y18.86%
Revenue Next Year20.19%
Revenue Next 2Y17.22%
Revenue Next 3Y16.25%
Revenue Next 5Y15.39%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
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
The Price/Earnings ratio is 54.43, which means the current valuation is very expensive for NEM.
NEM's Price/Earnings ratio is in line with the industry average.
NEM's Price/Earnings ratio indicates a rather expensive valuation when compared to the S&P500 average which is at 25.89.
Based on the Price/Forward Earnings ratio of 36.77, the valuation of NEM can be described as expensive.
NEM's Price/Forward Earnings is on the same level as the industry average.
Compared to an average S&P500 Price/Forward Earnings ratio of 34.59, NEM is valued at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 54.43 | ||
| Fwd PE | 36.77 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of NEM is on the same level as its industry peers.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of NEM indicates a somewhat cheap valuation: NEM is cheaper than 69.37% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 27.59 | ||
| EV/EBITDA | 29.73 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates NEM does not grow enough to justify the current Price/Earnings ratio.
The decent profitability rating of NEM may justify a higher PE ratio.
NEM's earnings are expected to grow with 21.22% in the coming years. This may justify a more expensive valuation.
PEG (NY)2.69
PEG (5Y)3.69
EPS Next 2Y21.67%
EPS Next 3Y21.22%
5. Dividend
5.1 Amount
With a yearly dividend of 0.59%, NEM is not a good candidate for dividend investing.
In the last 3 months the price of NEM has falen by -26.28%. A price decline artificially increases the dividend yield. It may be a sign investors do not expect the dividend to last.
NEM's Dividend Yield is a higher than the industry average which is at 2.22.
Compared to an average S&P500 Dividend Yield of 2.44, NEM's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.59% |
5.2 History
The dividend of NEM is nicely growing with an annual growth rate of 12.20%!
Dividend Growth(5Y)12.2%
Div Incr Years5
Div Non Decr Years6
5.3 Sustainability
NEM pays out 31.09% of its income as dividend. This is a sustainable payout ratio.
The dividend of NEM is growing, but earnings are growing more, so the dividend growth is sustainable.
DP31.09%
EPS Next 2Y21.67%
EPS Next 3Y21.22%
FRA:NEM (11/14/2025, 7:00:00 PM)
90.9
-1.95 (-2.1%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSoftware & Services
GICS IndustrySoftware
Earnings (Last)
Earnings (Next)
Inst Owners32.21%
Inst Owner ChangeN/A
Ins Owners50.8%
Ins Owner ChangeN/A
Market Cap10.50B
Revenue(TTM)1.16B
Net Income(TTM)204.22M
Analysts69.17
Price Target127.85 (40.65%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.59% |
Yearly Dividend0.48
Dividend Growth(5Y)12.2%
DP31.09%
Div Incr Years5
Div Non Decr Years6
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)1
Avg Revenue beat(2)0.73%
Min Revenue beat(2)-0.25%
Max Revenue beat(2)1.7%
Revenue beat(4)3
Avg Revenue beat(4)1.97%
Min Revenue beat(4)-0.25%
Max Revenue beat(4)5.49%
Revenue beat(8)4
Avg Revenue beat(8)0.84%
Revenue beat(12)5
Avg Revenue beat(12)0.53%
Revenue beat(16)9
Avg Revenue beat(16)0.76%
PT rev (1m)1.64%
PT rev (3m)4.84%
EPS NQ rev (1m)-2.23%
EPS NQ rev (3m)-2.62%
EPS NY rev (1m)-0.46%
EPS NY rev (3m)3.31%
Revenue NQ rev (1m)0.11%
Revenue NQ rev (3m)0.12%
Revenue NY rev (1m)0%
Revenue NY rev (3m)1.19%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 54.43 | ||
| Fwd PE | 36.77 | ||
| P/S | 9.08 | ||
| P/FCF | 27.59 | ||
| P/OCF | 26.61 | ||
| P/B | 12.16 | ||
| P/tB | N/A | ||
| EV/EBITDA | 29.73 |
EPS(TTM)1.67
EY1.84%
EPS(NY)2.47
Fwd EY2.72%
FCF(TTM)3.3
FCFY3.63%
OCF(TTM)3.42
OCFY3.76%
SpS10.02
BVpS7.48
TBVpS-4.29
PEG (NY)2.69
PEG (5Y)3.69
Graham Number16.76
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 10.02% | ||
| ROE | 23.65% | ||
| ROCE | 19.39% | ||
| ROIC | 15.37% | ||
| ROICexc | 19.47% | ||
| ROICexgc | N/A | ||
| OM | 24.54% | ||
| PM (TTM) | 17.65% | ||
| GM | 96.22% | ||
| FCFM | 32.9% |
ROA(3y)11.46%
ROA(5y)11.57%
ROE(3y)21.91%
ROE(5y)23.07%
ROIC(3y)16.57%
ROIC(5y)17.18%
ROICexc(3y)22.09%
ROICexc(5y)22.7%
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)20.91%
ROCE(5y)21.68%
ROICexgc growth 3YN/A
ROICexgc growth 5YN/A
ROICexc growth 3Y-19.71%
ROICexc growth 5Y-12.55%
OM growth 3Y-2.37%
OM growth 5Y1.16%
PM growth 3Y-3.74%
PM growth 5Y-5.05%
GM growth 3Y-0.12%
GM growth 5Y-0.09%
F-Score7
Asset Turnover0.57
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.56 | ||
| Debt/FCF | 1.3 | ||
| Debt/EBITDA | 1.34 | ||
| Cap/Depr | 18.49% | ||
| Cap/Sales | 1.21% | ||
| Interest Coverage | 13.96 | ||
| Cash Conversion | 109.78% | ||
| Profit Quality | 186.37% | ||
| Current Ratio | 0.87 | ||
| Quick Ratio | 0.87 | ||
| Altman-Z | 6.92 |
F-Score7
WACC7.68%
ROIC/WACC2
Cap/Depr(3y)24.89%
Cap/Depr(5y)22.56%
Cap/Sales(3y)1.75%
Cap/Sales(5y)1.64%
Profit Quality(3y)145.44%
Profit Quality(5y)148.25%
High Growth Momentum
Growth
EPS 1Y (TTM)20.14%
EPS 3Y12.59%
EPS 5Y14.73%
EPS Q2Q%40.69%
EPS Next Y20.23%
EPS Next 2Y21.67%
EPS Next 3Y21.22%
EPS Next 5Y18.86%
Revenue 1Y (TTM)25.17%
Revenue growth 3Y13.47%
Revenue growth 5Y12.32%
Sales Q2Q%15.86%
Revenue Next Year20.19%
Revenue Next 2Y17.22%
Revenue Next 3Y16.25%
Revenue Next 5Y15.39%
EBIT growth 1Y31.39%
EBIT growth 3Y10.78%
EBIT growth 5Y13.62%
EBIT Next Year50.3%
EBIT Next 3Y27.32%
EBIT Next 5Y23.3%
FCF growth 1Y81.03%
FCF growth 3Y12.76%
FCF growth 5Y15.74%
OCF growth 1Y73.99%
OCF growth 3Y12.7%
OCF growth 5Y13.85%
NEMETSCHEK SE / NEM.DE FAQ
Can you provide the ChartMill fundamental rating for NEMETSCHEK SE?
ChartMill assigns a fundamental rating of 6 / 10 to NEM.DE.
What is the valuation status for NEM stock?
ChartMill assigns a valuation rating of 3 / 10 to NEMETSCHEK SE (NEM.DE). This can be considered as Overvalued.
Can you provide the profitability details for NEMETSCHEK SE?
NEMETSCHEK SE (NEM.DE) has a profitability rating of 7 / 10.
Can you provide the expected EPS growth for NEM stock?
The Earnings per Share (EPS) of NEMETSCHEK SE (NEM.DE) is expected to grow by 20.23% in the next year.
Is the dividend of NEMETSCHEK SE sustainable?
The dividend rating of NEMETSCHEK SE (NEM.DE) is 5 / 10 and the dividend payout ratio is 31.09%.