RATIONAL AG (RAA.DE) Stock Fundamental Analysis
FRA:RAA - Deutsche Boerse Ag - DE0007010803 - Common Stock - Currency: EUR
We assign a fundamental rating of 6 out of 10 to RAA. RAA was compared to 110 industry peers in the Machinery industry. RAA scores excellent points on both the profitability and health parts. This is a solid base for a good stock. RAA 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 RAA was profitable.
In the past year RAA had a positive cash flow from operations.
In the past 5 years RAA has always been profitable.
In the past 5 years RAA always reported a positive cash flow from operatings.
1.2 Ratios
Looking at the Return On Assets, with a value of 22.46%, RAA belongs to the top of the industry, outperforming 99.09% of the companies in the same industry.
Looking at the Return On Equity, with a value of 27.49%, RAA belongs to the top of the industry, outperforming 92.73% of the companies in the same industry.
Looking at the Return On Invested Capital, with a value of 25.02%, RAA belongs to the top of the industry, outperforming 98.18% of the companies in the same industry.
The Average Return On Invested Capital over the past 3 years for RAA is significantly above the industry average of 8.45%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 22.46% | ||
| ROE | 27.49% | ||
| ROIC | 25.02% |
ROA(3y)21.65%
ROA(5y)18.53%
ROE(3y)28.28%
ROE(5y)24.06%
ROIC(3y)26.53%
ROIC(5y)22.8%
1.3 Margins
The Profit Margin of RAA (20.90%) is better than 98.18% of its industry peers.
In the last couple of years the Profit Margin of RAA has remained more or less at the same level.
The Operating Margin of RAA (26.21%) is better than 98.18% of its industry peers.
In the last couple of years the Operating Margin of RAA has remained more or less at the same level.
RAA's Gross Margin of 59.37% is amongst the best of the industry. RAA outperforms 81.82% of its industry peers.
In the last couple of years the Gross Margin of RAA has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 26.21% | ||
| PM (TTM) | 20.9% | ||
| GM | 59.37% |
OM growth 3Y10.14%
OM growth 5Y0.65%
PM growth 3Y9.79%
PM growth 5Y0.63%
GM growth 3Y2.45%
GM growth 5Y0.08%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is well above the Cost of Capital (WACC), so RAA is creating value.
RAA has about the same amout of shares outstanding than it did 1 year ago.
The number of shares outstanding for RAA remains at a similar level compared to 5 years ago.
RAA has a better debt/assets ratio than last year.
2.2 Solvency
An Altman-Z score of 27.75 indicates that RAA is not in any danger for bankruptcy at the moment.
RAA has a better Altman-Z score (27.75) than 100.00% of its industry peers.
The Debt to FCF ratio of RAA is 0.14, which is an excellent value as it means it would take RAA, only 0.14 years of fcf income to pay off all of its debts.
RAA has a Debt to FCF ratio of 0.14. This is amongst the best in the industry. RAA outperforms 98.18% of its industry peers.
RAA has a Debt/Equity ratio of 0.02. This is a healthy value indicating a solid balance between debt and equity.
RAA has a better Debt to Equity ratio (0.02) than 93.64% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.02 | ||
| Debt/FCF | 0.14 | ||
| Altman-Z | 27.75 |
ROIC/WACC3.5
WACC7.14%
2.3 Liquidity
RAA has a Current Ratio of 5.19. This indicates that RAA is financially healthy and has no problem in meeting its short term obligations.
RAA has a Current ratio of 5.19. This is amongst the best in the industry. RAA outperforms 95.45% of its industry peers.
RAA has a Quick Ratio of 4.48. This indicates that RAA is financially healthy and has no problem in meeting its short term obligations.
RAA has a better Quick ratio (4.48) than 97.27% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 5.19 | ||
| Quick Ratio | 4.48 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an nice 13.98% over the past year.
RAA shows a small growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 7.89% yearly.
RAA shows a small growth in Revenue. In the last year, the Revenue has grown by 6.42%.
The Revenue has been growing slightly by 7.19% on average over the past years.
EPS 1Y (TTM)13.98%
EPS 3Y26.47%
EPS 5Y7.89%
EPS Q2Q%1.21%
Revenue 1Y (TTM)6.42%
Revenue growth 3Y15.25%
Revenue growth 5Y7.19%
Sales Q2Q%3.1%
3.2 Future
Based on estimates for the next years, RAA will show a small growth in Earnings Per Share. The EPS will grow by 4.90% on average per year.
The Revenue is expected to grow by 7.81% on average over the next years.
EPS Next Y3.88%
EPS Next 2Y6.11%
EPS Next 3Y6.9%
EPS Next 5Y4.9%
Revenue Next Year6%
Revenue Next 2Y6.49%
Revenue Next 3Y6.97%
Revenue Next 5Y7.81%
3.3 Evolution
The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
The Revenue growth rate is stable: in the next years the growth will be about the same than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 32.75, which means the current valuation is very expensive for RAA.
Compared to the rest of the industry, the Price/Earnings ratio of RAA is on the same level as its industry peers.
When comparing the Price/Earnings ratio of RAA to the average of the S&P500 Index (26.25), we can say RAA is valued slightly more expensively.
The Price/Forward Earnings ratio is 29.17, which means the current valuation is very expensive for RAA.
Based on the Price/Forward Earnings ratio, RAA is valued a bit more expensive than 69.09% of the companies in the same industry.
RAA is valuated rather expensively when we compare the Price/Forward Earnings ratio to 22.15, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 32.75 | ||
| Fwd PE | 29.17 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, RAA is valued a bit more expensive than the industry average as 72.73% of the companies are valued more cheaply.
Based on the Price/Free Cash Flow ratio, RAA is valued a bit more expensive than the industry average as 62.73% of the companies are valued more cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 35.76 | ||
| EV/EBITDA | 20.77 |
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 excellent profitability rating of RAA may justify a higher PE ratio.
PEG (NY)8.45
PEG (5Y)4.15
EPS Next 2Y6.11%
EPS Next 3Y6.9%
5. Dividend
5.1 Amount
RAA has a Yearly Dividend Yield of 2.02%. Purely for dividend investing, there may be better candidates out there.
RAA's Dividend Yield is a higher than the industry average which is at 3.25.
RAA's Dividend Yield is comparable with the S&P500 average which is at 2.40.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.02% |
5.2 History
The dividend of RAA is nicely growing with an annual growth rate of 7.28%!
Dividend Growth(5Y)7.28%
Div Incr Years2
Div Non Decr Years3
5.3 Sustainability
RAA pays out 61.08% of its income as dividend. This is not a sustainable payout ratio.
The dividend of RAA is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP61.08%
EPS Next 2Y6.11%
EPS Next 3Y6.9%
FRA:RAA (5/30/2025, 5:36:15 PM)
723.5
+5 (+0.7%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryMachinery
Earnings (Last)
Earnings (Next)
Inst Owners28.55%
Inst Owner ChangeN/A
Ins Owners23.66%
Ins Owner ChangeN/A
Market Cap8.23B
Analysts56.92
Price Target831.5 (14.93%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.02% |
Yearly Dividend13.5
Dividend Growth(5Y)7.28%
DP61.08%
Div Incr Years2
Div Non Decr Years3
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)4.31%
Min EPS beat(2)-4.44%
Max EPS beat(2)13.06%
EPS beat(4)3
Avg EPS beat(4)4.99%
Min EPS beat(4)-4.44%
Max EPS beat(4)13.06%
EPS beat(8)6
Avg EPS beat(8)4.53%
EPS beat(12)10
Avg EPS beat(12)6.41%
EPS beat(16)13
Avg EPS beat(16)8.35%
Revenue beat(2)1
Avg Revenue beat(2)-1.17%
Min Revenue beat(2)-2.64%
Max Revenue beat(2)0.31%
Revenue beat(4)2
Avg Revenue beat(4)-0.97%
Min Revenue beat(4)-2.64%
Max Revenue beat(4)0.48%
Revenue beat(8)3
Avg Revenue beat(8)-0.49%
Revenue beat(12)7
Avg Revenue beat(12)0.1%
Revenue beat(16)10
Avg Revenue beat(16)1.06%
PT rev (1m)-1.84%
PT rev (3m)-2.53%
EPS NQ rev (1m)-3.06%
EPS NQ rev (3m)N/A
EPS NY rev (1m)0%
EPS NY rev (3m)-0.55%
Revenue NQ rev (1m)-0.65%
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)-1.01%
Revenue NY rev (3m)-1.7%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 32.75 | ||
| Fwd PE | 29.17 | ||
| P/S | 6.84 | ||
| P/FCF | 35.76 | ||
| P/OCF | 31.88 | ||
| P/B | 9 | ||
| P/tB | 9.18 | ||
| EV/EBITDA | 20.77 |
EPS(TTM)22.09
EY3.05%
EPS(NY)24.8
Fwd EY3.43%
FCF(TTM)20.23
FCFY2.8%
OCF(TTM)22.69
OCFY3.14%
SpS105.75
BVpS80.4
TBVpS78.84
PEG (NY)8.45
PEG (5Y)4.15
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 22.46% | ||
| ROE | 27.49% | ||
| ROCE | 32.88% | ||
| ROIC | 25.02% | ||
| ROICexc | 52.5% | ||
| ROICexgc | 54.61% | ||
| OM | 26.21% | ||
| PM (TTM) | 20.9% | ||
| GM | 59.37% | ||
| FCFM | 19.13% |
ROA(3y)21.65%
ROA(5y)18.53%
ROE(3y)28.28%
ROE(5y)24.06%
ROIC(3y)26.53%
ROIC(5y)22.8%
ROICexc(3y)53.5%
ROICexc(5y)45.48%
ROICexgc(3y)56.13%
ROICexgc(5y)47.4%
ROCE(3y)34.86%
ROCE(5y)29.96%
ROICexcg growth 3Y16.28%
ROICexcg growth 5Y0%
ROICexc growth 3Y15.5%
ROICexc growth 5Y-0.41%
OM growth 3Y10.14%
OM growth 5Y0.65%
PM growth 3Y9.79%
PM growth 5Y0.63%
GM growth 3Y2.45%
GM growth 5Y0.08%
F-Score7
Asset Turnover1.07
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.02 | ||
| Debt/FCF | 0.14 | ||
| Debt/EBITDA | 0.05 | ||
| Cap/Depr | 72.54% | ||
| Cap/Sales | 2.33% | ||
| Interest Coverage | 220.54 | ||
| Cash Conversion | 72.95% | ||
| Profit Quality | 91.55% | ||
| Current Ratio | 5.19 | ||
| Quick Ratio | 4.48 | ||
| Altman-Z | 27.75 |
F-Score7
WACC7.14%
ROIC/WACC3.5
Cap/Depr(3y)103.66%
Cap/Depr(5y)102.05%
Cap/Sales(3y)3.12%
Cap/Sales(5y)3.56%
Profit Quality(3y)90.46%
Profit Quality(5y)92.68%
High Growth Momentum
Growth
EPS 1Y (TTM)13.98%
EPS 3Y26.47%
EPS 5Y7.89%
EPS Q2Q%1.21%
EPS Next Y3.88%
EPS Next 2Y6.11%
EPS Next 3Y6.9%
EPS Next 5Y4.9%
Revenue 1Y (TTM)6.42%
Revenue growth 3Y15.25%
Revenue growth 5Y7.19%
Sales Q2Q%3.1%
Revenue Next Year6%
Revenue Next 2Y6.49%
Revenue Next 3Y6.97%
Revenue Next 5Y7.81%
EBIT growth 1Y11.88%
EBIT growth 3Y26.93%
EBIT growth 5Y7.88%
EBIT Next Year18.24%
EBIT Next 3Y11.18%
EBIT Next 5Y9.4%
FCF growth 1Y28.07%
FCF growth 3Y19.9%
FCF growth 5Y9.74%
OCF growth 1Y20.05%
OCF growth 3Y18.13%
OCF growth 5Y7.34%