RHEINMETALL AG (RHM.DE) Stock Fundamental Analysis
Europe - FRA:RHM - DE0007030009 - Common Stock
1664 EUR
+68 (+4.26%)
Taking everything into account, RHM scores 6 out of 10 in our fundamental rating. RHM was compared to 44 industry peers in the Aerospace & Defense industry. RHM has an excellent profitability rating, but there are some minor concerns on its financial health. RHM shows excellent growth, but is valued quite expensive already.
1. Profitability
1.1 Basic Checks
RHM had positive earnings in the past year.
In the past year RHM had a positive cash flow from operations.
RHM had positive earnings in 4 of the past 5 years.
RHM had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
RHM has a better Return On Assets (5.36%) than 68.18% of its industry peers.
RHM's Return On Equity of 17.96% is fine compared to the rest of the industry. RHM outperforms 65.91% of its industry peers.
Looking at the Return On Invested Capital, with a value of 14.80%, RHM belongs to the top of the industry, outperforming 88.64% of the companies in the same industry.
RHM had an Average Return On Invested Capital over the past 3 years of 11.89%. This is above the industry average of 9.16%.
The 3 year average ROIC (11.89%) for RHM is below the current ROIC(14.80%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.36% | ||
| ROE | 17.96% | ||
| ROIC | 14.8% |
ROA(3y)5.14%
ROA(5y)3.76%
ROE(3y)16.88%
ROE(5y)12.25%
ROIC(3y)11.89%
ROIC(5y)10.79%
1.3 Margins
RHM has a Profit Margin of 7.63%. This is in the better half of the industry: RHM outperforms 68.18% of its industry peers.
In the last couple of years the Profit Margin of RHM has grown nicely.
RHM's Operating Margin of 13.41% is fine compared to the rest of the industry. RHM outperforms 79.55% of its industry peers.
In the last couple of years the Operating Margin of RHM has grown nicely.
Looking at the Gross Margin, with a value of 52.12%, RHM is in the better half of the industry, outperforming 75.00% of the companies in the same industry.
In the last couple of years the Gross Margin of RHM has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 13.41% | ||
| PM (TTM) | 7.63% | ||
| GM | 52.12% |
OM growth 3Y9.06%
OM growth 5Y12.72%
PM growth 3Y12.65%
PM growth 5Y6.54%
GM growth 3Y-1.05%
GM growth 5Y1.27%
2. Health
2.1 Basic Checks
RHM has a Return on Invested Capital (ROIC), which is well above the Cost of Capital (WACC), which means it is creating value.
The number of shares outstanding for RHM remains at a similar level compared to 1 year ago.
Compared to 5 years ago, RHM has more shares outstanding
The debt/assets ratio for RHM is higher compared to a year ago.
2.2 Solvency
RHM has an Altman-Z score of 5.52. This indicates that RHM is financially healthy and has little risk of bankruptcy at the moment.
RHM has a Altman-Z score of 5.52. This is amongst the best in the industry. RHM outperforms 90.91% of its industry peers.
The Debt to FCF ratio of RHM is 25.05, which is on the high side as it means it would take RHM, 25.05 years of fcf income to pay off all of its debts.
With a Debt to FCF ratio value of 25.05, RHM is not doing good in the industry: 72.73% of the companies in the same industry are doing better.
RHM has a Debt/Equity ratio of 0.26. This is a healthy value indicating a solid balance between debt and equity.
RHM has a Debt to Equity ratio of 0.26. This is in the better half of the industry: RHM outperforms 72.73% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.26 | ||
| Debt/FCF | 25.05 | ||
| Altman-Z | 5.52 |
ROIC/WACC2.05
WACC7.23%
2.3 Liquidity
A Current Ratio of 1.14 indicates that RHM should not have too much problems paying its short term obligations.
Looking at the Current ratio, with a value of 1.14, RHM is in line with its industry, outperforming 40.91% of the companies in the same industry.
A Quick Ratio of 0.49 indicates that RHM may have some problems paying its short term obligations.
Looking at the Quick ratio, with a value of 0.49, RHM is doing worse than 79.55% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.14 | ||
| Quick Ratio | 0.49 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an nice 19.10% over the past year.
Measured over the past years, RHM shows a quite strong growth in Earnings Per Share. The EPS has been growing by 15.30% on average per year.
RHM shows a strong growth in Revenue. In the last year, the Revenue has grown by 24.61%.
RHM shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 9.29% yearly.
EPS 1Y (TTM)19.1%
EPS 3Y33.06%
EPS 5Y15.3%
EPS Q2Q%-78.07%
Revenue 1Y (TTM)24.61%
Revenue growth 3Y19.89%
Revenue growth 5Y9.29%
Sales Q2Q%15.08%
3.2 Future
Based on estimates for the next years, RHM will show a very strong growth in Earnings Per Share. The EPS will grow by 47.50% on average per year.
The Revenue is expected to grow by 29.80% on average over the next years. This is a very strong growth
EPS Next Y84.45%
EPS Next 2Y66.76%
EPS Next 3Y59.98%
EPS Next 5Y47.5%
Revenue Next Year26.03%
Revenue Next 2Y31.12%
Revenue Next 3Y32.16%
Revenue Next 5Y29.8%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last 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 accelerating.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 100.36 indicates a quite expensive valuation of RHM.
Based on the Price/Earnings ratio, RHM is valued a bit more expensive than 68.18% of the companies in the same industry.
When comparing the Price/Earnings ratio of RHM to the average of the S&P500 Index (25.47), we can say RHM is valued expensively.
RHM is valuated quite expensively with a Price/Forward Earnings ratio of 37.80.
68.18% of the companies in the same industry are cheaper than RHM, based on the Price/Forward Earnings ratio.
When comparing the Price/Forward Earnings ratio of RHM to the average of the S&P500 Index (35.42), we can say RHM is valued inline with the index average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 100.36 | ||
| Fwd PE | 37.8 |
4.2 Price Multiples
RHM's Enterprise Value to EBITDA ratio is a bit more expensive when compared to the industry. RHM is more expensive than 77.27% of the companies in the same industry.
Based on the Price/Free Cash Flow ratio, RHM is valued a bit more expensive than the industry average as 72.73% of the companies are valued more cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 789.11 | ||
| EV/EBITDA | 38.49 |
4.3 Compensation for Growth
RHM's PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
RHM has an outstanding profitability rating, which may justify a higher PE ratio.
A more expensive valuation may be justified as RHM's earnings are expected to grow with 59.98% in the coming years.
PEG (NY)1.19
PEG (5Y)6.56
EPS Next 2Y66.76%
EPS Next 3Y59.98%
5. Dividend
5.1 Amount
RHM has a yearly dividend return of 0.46%, which is pretty low.
RHM's Dividend Yield is slightly below the industry average, which is at 1.19.
With a Dividend Yield of 0.46, RHM pays less dividend than the S&P500 average, which is at 2.44.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.46% |
5.2 History
On average, the dividend of RHM grows each year by 22.25%, which is quite nice.
Dividend Growth(5Y)22.25%
Div Incr Years1
Div Non Decr Years4
5.3 Sustainability
RHM pays out 43.98% of its income as dividend. This is a bit on the high side, but may be sustainable.
The dividend of RHM is growing, but earnings are growing more, so the dividend growth is sustainable.
DP43.98%
EPS Next 2Y66.76%
EPS Next 3Y59.98%
FRA:RHM (11/20/2025, 3:41:44 PM)
1664
+68 (+4.26%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryAerospace & Defense
Earnings (Last)
Earnings (Next)
Inst Owners45.01%
Inst Owner ChangeN/A
Ins OwnersN/A
Ins Owner ChangeN/A
Market Cap76.54B
Revenue(TTM)11.00B
Net Income(TTM)839.00M
Analysts82.5
Price Target2198.44 (32.12%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.46% |
Yearly Dividend5.71
Dividend Growth(5Y)22.25%
DP43.98%
Div Incr Years1
Div Non Decr Years4
Ex-DateN/A
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-43.8%
Min EPS beat(2)-84.5%
Max EPS beat(2)-3.11%
EPS beat(4)0
Avg EPS beat(4)-32.21%
Min EPS beat(4)-84.5%
Max EPS beat(4)-3.11%
EPS beat(8)0
Avg EPS beat(8)-31.89%
EPS beat(12)2
Avg EPS beat(12)-18.12%
EPS beat(16)4
Avg EPS beat(16)-15.83%
Revenue beat(2)0
Avg Revenue beat(2)-2.59%
Min Revenue beat(2)-3.95%
Max Revenue beat(2)-1.23%
Revenue beat(4)1
Avg Revenue beat(4)0.04%
Min Revenue beat(4)-6.12%
Max Revenue beat(4)11.46%
Revenue beat(8)3
Avg Revenue beat(8)-0.74%
Revenue beat(12)3
Avg Revenue beat(12)-0.94%
Revenue beat(16)4
Avg Revenue beat(16)-0.83%
PT rev (1m)1.06%
PT rev (3m)6.6%
EPS NQ rev (1m)0%
EPS NQ rev (3m)N/A
EPS NY rev (1m)-0.87%
EPS NY rev (3m)-2.53%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)-0.25%
Revenue NY rev (3m)-0.61%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 100.36 | ||
| Fwd PE | 37.8 | ||
| P/S | 6.96 | ||
| P/FCF | 789.11 | ||
| P/OCF | 75.71 | ||
| P/B | 16.38 | ||
| P/tB | 40.16 | ||
| EV/EBITDA | 38.49 |
EPS(TTM)16.58
EY1%
EPS(NY)44.02
Fwd EY2.65%
FCF(TTM)2.11
FCFY0.13%
OCF(TTM)21.98
OCFY1.32%
SpS239.09
BVpS101.57
TBVpS41.43
PEG (NY)1.19
PEG (5Y)6.56
Graham Number194.65
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.36% | ||
| ROE | 17.96% | ||
| ROCE | 19.7% | ||
| ROIC | 14.8% | ||
| ROICexc | 15.99% | ||
| ROICexgc | 26.61% | ||
| OM | 13.41% | ||
| PM (TTM) | 7.63% | ||
| GM | 52.12% | ||
| FCFM | 0.88% |
ROA(3y)5.14%
ROA(5y)3.76%
ROE(3y)16.88%
ROE(5y)12.25%
ROIC(3y)11.89%
ROIC(5y)10.79%
ROICexc(3y)13.93%
ROICexc(5y)13.29%
ROICexgc(3y)21.41%
ROICexgc(5y)19.25%
ROCE(3y)16.31%
ROCE(5y)14.66%
ROICexgc growth 3Y12.63%
ROICexgc growth 5Y8.12%
ROICexc growth 3Y2.66%
ROICexc growth 5Y3.61%
OM growth 3Y9.06%
OM growth 5Y12.72%
PM growth 3Y12.65%
PM growth 5Y6.54%
GM growth 3Y-1.05%
GM growth 5Y1.27%
F-Score5
Asset Turnover0.7
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.26 | ||
| Debt/FCF | 25.05 | ||
| Debt/EBITDA | 0.61 | ||
| Cap/Depr | 190.02% | ||
| Cap/Sales | 8.31% | ||
| Interest Coverage | 210.71 | ||
| Cash Conversion | 51.69% | ||
| Profit Quality | 11.56% | ||
| Current Ratio | 1.14 | ||
| Quick Ratio | 0.49 | ||
| Altman-Z | 5.52 |
F-Score5
WACC7.23%
ROIC/WACC2.05
Cap/Depr(3y)150.34%
Cap/Depr(5y)120.05%
Cap/Sales(3y)6.17%
Cap/Sales(5y)5.53%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)19.1%
EPS 3Y33.06%
EPS 5Y15.3%
EPS Q2Q%-78.07%
EPS Next Y84.45%
EPS Next 2Y66.76%
EPS Next 3Y59.98%
EPS Next 5Y47.5%
Revenue 1Y (TTM)24.61%
Revenue growth 3Y19.89%
Revenue growth 5Y9.29%
Sales Q2Q%15.08%
Revenue Next Year26.03%
Revenue Next 2Y31.12%
Revenue Next 3Y32.16%
Revenue Next 5Y29.8%
EBIT growth 1Y32.76%
EBIT growth 3Y30.76%
EBIT growth 5Y23.18%
EBIT Next Year76.69%
EBIT Next 3Y52.41%
EBIT Next 5Y42.88%
FCF growth 1Y44.78%
FCF growth 3Y33.1%
FCF growth 5Y25.85%
OCF growth 1Y120.26%
OCF growth 3Y35.59%
OCF growth 5Y23.4%
RHEINMETALL AG / RHM.DE FAQ
What is the fundamental rating for RHM stock?
ChartMill assigns a fundamental rating of 6 / 10 to RHM.DE.
What is the valuation status of RHEINMETALL AG (RHM.DE) stock?
ChartMill assigns a valuation rating of 2 / 10 to RHEINMETALL AG (RHM.DE). This can be considered as Overvalued.
Can you provide the profitability details for RHEINMETALL AG?
RHEINMETALL AG (RHM.DE) has a profitability rating of 8 / 10.
What is the financial health of RHEINMETALL AG (RHM.DE) stock?
The financial health rating of RHEINMETALL AG (RHM.DE) is 4 / 10.
Is the dividend of RHEINMETALL AG sustainable?
The dividend rating of RHEINMETALL AG (RHM.DE) is 3 / 10 and the dividend payout ratio is 43.98%.