RHEINMETALL AG (RHM.DE) Stock Fundamental Analysis
Europe - FRA:RHM - DE0007030009 - Common Stock
1750.5 EUR
+5.5 (+0.32%)
Overall RHM gets a fundamental rating of 6 out of 10. We evaluated RHM against 46 industry peers in the Aerospace & Defense industry. While RHM belongs to the best of the industry regarding profitability, there are some minor concerns on its financial health. RHM is valued quite expensively, but it does show have an excellent growth rating. With these ratings, RHM could be worth investigating further for growth investing!.
1. Profitability
1.1 Basic Checks
In the past year RHM was profitable.
RHM had a positive operating cash flow in the past year.
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 Return On Assets of 5.63%. This is in the better half of the industry: RHM outperforms 69.57% of its industry peers.
RHM has a better Return On Equity (18.45%) than 65.22% of its industry peers.
The Return On Invested Capital of RHM (14.83%) is better than 86.96% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for RHM is above the industry average of 9.34%.
The last Return On Invested Capital (14.83%) for RHM is above the 3 year average (11.89%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.63% | ||
| ROE | 18.45% | ||
| ROIC | 14.83% |
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 7.70%. This is in the better half of the industry: RHM outperforms 69.57% of its industry peers.
In the last couple of years the Profit Margin of RHM has grown nicely.
RHM has a better Operating Margin (13.50%) than 76.09% 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 51.30%, RHM is in the better half of the industry, outperforming 78.26% 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 | 13.5% | ||
| PM (TTM) | 7.7% | ||
| GM | 51.3% |
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.
Compared to 1 year ago, RHM has about the same amount of shares outstanding.
Compared to 5 years ago, RHM has more shares outstanding
RHM has a worse debt/assets ratio than last year.
2.2 Solvency
RHM has an Altman-Z score of 6.32. This indicates that RHM is financially healthy and has little risk of bankruptcy at the moment.
RHM has a Altman-Z score of 6.32. This is amongst the best in the industry. RHM outperforms 91.30% of its industry peers.
RHM has a debt to FCF ratio of 5.20. This is a neutral value as RHM would need 5.20 years to pay back of all of its debts.
RHM has a Debt to FCF ratio of 5.20. This is comparable to the rest of the industry: RHM outperforms 50.00% of its industry peers.
A Debt/Equity ratio of 0.27 indicates that RHM is not too dependend on debt financing.
RHM's Debt to Equity ratio of 0.27 is fine compared to the rest of the industry. RHM outperforms 73.91% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.27 | ||
| Debt/FCF | 5.2 | ||
| Altman-Z | 6.32 |
ROIC/WACC2.05
WACC7.24%
2.3 Liquidity
A Current Ratio of 1.15 indicates that RHM should not have too much problems paying its short term obligations.
The Current ratio of RHM (1.15) is comparable to the rest of the industry.
RHM has a Quick Ratio of 1.15. This is a bad value and indicates that RHM is not financially healthy enough and could expect problems in meeting its short term obligations.
RHM has a Quick ratio of 0.47. This is in the lower half of the industry: RHM underperforms 78.26% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.15 | ||
| Quick Ratio | 0.47 |
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 35.88%.
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)35.88%
Revenue growth 3Y19.89%
Revenue growth 5Y9.29%
Sales Q2Q%15.08%
3.2 Future
RHM is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 47.50% yearly.
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.
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
A Price/Earnings ratio of 105.58 indicates a quite expensive valuation of RHM.
RHM's Price/Earnings ratio is a bit more expensive when compared to the industry. RHM is more expensive than 69.57% of the companies in the same industry.
The average S&P500 Price/Earnings ratio is at 25.91. RHM is valued rather expensively when compared to this.
With a Price/Forward Earnings ratio of 39.77, RHM can be considered very expensive at the moment.
Based on the Price/Forward Earnings ratio, RHM is valued a bit more expensive than the industry average as 67.39% of the companies are valued more cheaply.
RHM's Price/Forward Earnings ratio indicates a similar valuation than the S&P500 average which is at 34.57.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 105.58 | ||
| Fwd PE | 39.77 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, RHM is valued a bit more expensive than the industry average as 78.26% of the companies are valued more cheaply.
Based on the Price/Free Cash Flow ratio, RHM is valued a bit more expensive than 73.91% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 208.61 | ||
| EV/EBITDA | 43.07 |
4.3 Compensation for Growth
The 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)1.25
PEG (5Y)6.9
EPS Next 2Y66.76%
EPS Next 3Y59.98%
5. Dividend
5.1 Amount
RHM has a yearly dividend return of 0.47%, which is pretty low.
Compared to an average industry Dividend Yield of 1.14, RHM has a dividend in line with its industry peers.
Compared to an average S&P500 Dividend Yield of 2.36, RHM's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.47% |
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
44.89% of the earnings are spent on dividend by RHM. 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.
DP44.89%
EPS Next 2Y66.76%
EPS Next 3Y59.98%
FRA:RHM (11/13/2025, 5:36:15 PM)
1750.5
+5.5 (+0.32%)
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 Cap80.52B
Revenue(TTM)9.75B
Net Income(TTM)822.00M
Analysts82.5
Price Target2198.44 (25.59%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.47% |
Yearly Dividend5.71
Dividend Growth(5Y)22.25%
DP44.89%
Div Incr Years1
Div Non Decr Years4
Ex-DateN/A
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-10.47%
Min EPS beat(2)-17.83%
Max EPS beat(2)-3.11%
EPS beat(4)0
Avg EPS beat(4)-16.25%
Min EPS beat(4)-23.39%
Max EPS beat(4)-3.11%
EPS beat(8)1
Avg EPS beat(8)-20.21%
EPS beat(12)3
Avg EPS beat(12)-10.58%
EPS beat(16)5
Avg EPS beat(16)-8.89%
Revenue beat(2)1
Avg Revenue beat(2)3.75%
Min Revenue beat(2)-3.95%
Max Revenue beat(2)11.46%
Revenue beat(4)2
Avg Revenue beat(4)0.73%
Min Revenue beat(4)-6.12%
Max Revenue beat(4)11.46%
Revenue beat(8)3
Avg Revenue beat(8)-0.84%
Revenue beat(12)3
Avg Revenue beat(12)-0.94%
Revenue beat(16)4
Avg Revenue beat(16)-0.99%
PT rev (1m)1.06%
PT rev (3m)10.87%
EPS NQ rev (1m)23.51%
EPS NQ rev (3m)-31.43%
EPS NY rev (1m)-0.87%
EPS NY rev (3m)-2.53%
Revenue NQ rev (1m)-3.77%
Revenue NQ rev (3m)-5.89%
Revenue NY rev (1m)-0.25%
Revenue NY rev (3m)-0.61%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 105.58 | ||
| Fwd PE | 39.77 | ||
| P/S | 7.55 | ||
| P/FCF | 208.61 | ||
| P/OCF | 65.04 | ||
| P/B | 18.07 | ||
| P/tB | 46.36 | ||
| EV/EBITDA | 43.07 |
EPS(TTM)16.58
EY0.95%
EPS(NY)44.02
Fwd EY2.51%
FCF(TTM)8.39
FCFY0.48%
OCF(TTM)26.91
OCFY1.54%
SpS231.98
BVpS96.85
TBVpS37.76
PEG (NY)1.25
PEG (5Y)6.9
Graham Number190.08
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.63% | ||
| ROE | 18.45% | ||
| ROCE | 19.75% | ||
| ROIC | 14.83% | ||
| ROICexc | 15.58% | ||
| ROICexgc | 25.6% | ||
| OM | 13.5% | ||
| PM (TTM) | 7.7% | ||
| GM | 51.3% | ||
| FCFM | 3.62% |
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-Score6
Asset Turnover0.73
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.27 | ||
| Debt/FCF | 5.2 | ||
| Debt/EBITDA | 0.64 | ||
| Cap/Depr | 184.82% | ||
| Cap/Sales | 7.98% | ||
| Interest Coverage | 480.33 | ||
| Cash Conversion | 65.09% | ||
| Profit Quality | 46.96% | ||
| Current Ratio | 1.15 | ||
| Quick Ratio | 0.47 | ||
| Altman-Z | 6.32 |
F-Score6
WACC7.24%
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)35.88%
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 1Y45.12%
EBIT growth 3Y30.76%
EBIT growth 5Y23.18%
EBIT Next Year76.69%
EBIT Next 3Y52.41%
EBIT Next 5Y42.88%
FCF growth 1Y208.8%
FCF growth 3Y33.1%
FCF growth 5Y25.85%
OCF growth 1Y143.7%
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 5 / 10.
Is the dividend of RHEINMETALL AG sustainable?
The dividend rating of RHEINMETALL AG (RHM.DE) is 4 / 10 and the dividend payout ratio is 44.89%.