VOLKSWAGEN AG-PREF (VOW3.DE) Stock Fundamental Analysis
Europe - FRA:VOW3 - DE0007664039
90.88 EUR
+0.94 (+1.05%)
Overall VOW3 gets a fundamental rating of 3 out of 10. We evaluated VOW3 against 29 industry peers in the Automobiles industry. There are concerns on the financial health of VOW3 while its profitability can be described as average. VOW3 has a valuation in line with the averages, but it does not seem to be growing. Finally VOW3 also has an excellent dividend rating.
1. Profitability
1.1 Basic Checks
In the past year VOW3 was profitable.
In the past year VOW3 had a positive cash flow from operations.
In the past 5 years VOW3 has always been profitable.
In the past 5 years VOW3 always reported a positive cash flow from operatings.
1.2 Ratios
VOW3 has a Return On Assets (1.31%) which is in line with its industry peers.
VOW3's Return On Equity of 4.57% is in line compared to the rest of the industry. VOW3 outperforms 48.28% of its industry peers.
With a Return On Invested Capital value of 3.29%, VOW3 perfoms like the industry average, outperforming 44.83% of the companies in the same industry.
VOW3 had an Average Return On Invested Capital over the past 3 years of 4.41%. This is below the industry average of 7.07%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.31% | ||
| ROE | 4.57% | ||
| ROIC | 3.29% |
ROA(3y)2.33%
ROA(5y)2.3%
ROE(3y)8%
ROE(5y)8.17%
ROIC(3y)4.41%
ROIC(5y)3.85%
1.3 Margins
With a Profit Margin value of 2.58%, VOW3 perfoms like the industry average, outperforming 51.72% of the companies in the same industry.
In the last couple of years the Profit Margin of VOW3 has declined.
With a Operating Margin value of 5.49%, VOW3 is not doing good in the industry: 65.52% of the companies in the same industry are doing better.
In the last couple of years the Operating Margin of VOW3 has grown nicely.
VOW3 has a Gross Margin of 18.09%. This is comparable to the rest of the industry: VOW3 outperforms 48.28% of its industry peers.
In the last couple of years the Gross Margin of VOW3 has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 5.49% | ||
| PM (TTM) | 2.58% | ||
| GM | 18.09% |
OM growth 3Y2.7%
OM growth 5Y1.7%
PM growth 3Y-17.74%
PM growth 5Y-8.97%
GM growth 3Y-0.53%
GM growth 5Y-0.91%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), VOW3 is destroying value.
The number of shares outstanding for VOW3 has been increased compared to 1 year ago.
The number of shares outstanding for VOW3 has been increased compared to 5 years ago.
The debt/assets ratio for VOW3 is higher compared to a year ago.
2.2 Solvency
Based on the Altman-Z score of 1.05, we must say that VOW3 is in the distress zone and has some risk of bankruptcy.
VOW3 has a Altman-Z score (1.05) which is comparable to the rest of the industry.
VOW3 has a Debt/Equity ratio of 0.71. This is a neutral value indicating VOW3 is somewhat dependend on debt financing.
VOW3's Debt to Equity ratio of 0.71 is in line compared to the rest of the industry. VOW3 outperforms 58.62% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.71 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 1.05 |
ROIC/WACC0.72
WACC4.55%
2.3 Liquidity
VOW3 has a Current Ratio of 1.09. This is a normal value and indicates that VOW3 is financially healthy and should not expect problems in meeting its short term obligations.
VOW3 has a Current ratio of 1.09. This is comparable to the rest of the industry: VOW3 outperforms 44.83% of its industry peers.
VOW3 has a Quick Ratio of 1.09. This is a bad value and indicates that VOW3 is not financially healthy enough and could expect problems in meeting its short term obligations.
VOW3 has a worse Quick ratio (0.82) than 62.07% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.09 | ||
| Quick Ratio | 0.82 |
3. Growth
3.1 Past
The earnings per share for VOW3 have decreased strongly by -44.11% in the last year.
Measured over the past years, VOW3 shows a decrease in Earnings Per Share. The EPS has been decreasing by -4.28% on average per year.
Looking at the last year, VOW3 shows a decrease in Revenue. The Revenue has decreased by -0.19% in the last year.
The Revenue has been growing slightly by 5.14% on average over the past years.
EPS 1Y (TTM)-44.11%
EPS 3Y-10.28%
EPS 5Y-4.28%
EPS Q2Q%-30.11%
Revenue 1Y (TTM)-0.19%
Revenue growth 3Y9.07%
Revenue growth 5Y5.14%
Sales Q2Q%-3.04%
3.2 Future
VOW3 is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 11.89% yearly.
The Revenue is expected to grow by 3.05% on average over the next years.
EPS Next Y-18.94%
EPS Next 2Y2.33%
EPS Next 3Y5.78%
EPS Next 5Y11.89%
Revenue Next Year0.16%
Revenue Next 2Y1.08%
Revenue Next 3Y1.62%
Revenue Next 5Y3.05%
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 accelerating.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 6.82 indicates a rather cheap valuation of VOW3.
VOW3's Price/Earnings ratio is rather cheap when compared to the industry. VOW3 is cheaper than 96.55% of the companies in the same industry.
Compared to an average S&P500 Price/Earnings ratio of 27.29, VOW3 is valued rather cheaply.
A Price/Forward Earnings ratio of 3.92 indicates a rather cheap valuation of VOW3.
100.00% of the companies in the same industry are more expensive than VOW3, based on the Price/Forward Earnings ratio.
When comparing the Price/Forward Earnings ratio of VOW3 to the average of the S&P500 Index (22.85), we can say VOW3 is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 6.82 | ||
| Fwd PE | 3.92 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of VOW3 indicates a somewhat cheap valuation: VOW3 is cheaper than 75.86% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 4.15 |
4.3 Compensation for Growth
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y2.33%
EPS Next 3Y5.78%
5. Dividend
5.1 Amount
VOW3 has a Yearly Dividend Yield of 6.80%, which is a nice return.
VOW3's Dividend Yield is rather good when compared to the industry average which is at 5.15. VOW3 pays more dividend than 86.21% of the companies in the same industry.
VOW3's Dividend Yield is rather good when compared to the S&P500 average which is at 2.38.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 6.8% |
5.2 History
The dividend of VOW3 is nicely growing with an annual growth rate of 8.12%!
Dividend Growth(5Y)8.12%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
VOW3 pays out 52.86% of its income as dividend. This is a bit on the high side, but may be sustainable.
VOW3's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP52.86%
EPS Next 2Y2.33%
EPS Next 3Y5.78%
FRA:VOW3 (10/17/2025, 1:08:11 PM)
90.88
+0.94 (+1.05%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupAutomobiles & Components
GICS IndustryAutomobiles
Earnings (Last)
Earnings (Next)
Inst Owners18.58%
Inst Owner ChangeN/A
Ins OwnersN/A
Ins Owner ChangeN/A
Market Cap45.56B
Analysts82.86
Price Target113.47 (24.86%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 6.8% |
Yearly Dividend14.51
Dividend Growth(5Y)8.12%
DP52.86%
Div Incr Years0
Div Non Decr Years0
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)N/A
Avg Revenue beat(2)N/A
Min Revenue beat(2)N/A
Max Revenue beat(2)N/A
Revenue beat(4)N/A
Avg Revenue beat(4)N/A
Min Revenue beat(4)N/A
Max Revenue beat(4)N/A
Revenue beat(8)N/A
Avg Revenue beat(8)N/A
Revenue beat(12)N/A
Avg Revenue beat(12)N/A
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)-1.15%
PT rev (3m)0.87%
EPS NQ rev (1m)0%
EPS NQ rev (3m)2.76%
EPS NY rev (1m)0%
EPS NY rev (3m)-20.86%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-3.95%
Revenue NY rev (1m)0.12%
Revenue NY rev (3m)0.16%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 6.82 | ||
| Fwd PE | 3.92 | ||
| P/S | 0.14 | ||
| P/FCF | N/A | ||
| P/OCF | 2.85 | ||
| P/B | 0.25 | ||
| P/tB | 0.51 | ||
| EV/EBITDA | 4.15 |
EPS(TTM)13.33
EY14.67%
EPS(NY)23.19
Fwd EY25.51%
FCF(TTM)-3.37
FCFYN/A
OCF(TTM)31.87
OCFY35.07%
SpS646.76
BVpS364.81
TBVpS177.23
PEG (NY)N/A
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.31% | ||
| ROE | 4.57% | ||
| ROCE | 4.36% | ||
| ROIC | 3.29% | ||
| ROICexc | 3.89% | ||
| ROICexgc | 5.34% | ||
| OM | 5.49% | ||
| PM (TTM) | 2.58% | ||
| GM | 18.09% | ||
| FCFM | N/A |
ROA(3y)2.33%
ROA(5y)2.3%
ROE(3y)8%
ROE(5y)8.17%
ROIC(3y)4.41%
ROIC(5y)3.85%
ROICexc(3y)5.54%
ROICexc(5y)4.84%
ROICexgc(3y)7.7%
ROICexgc(5y)6.68%
ROCE(3y)5.84%
ROCE(5y)5.1%
ROICexcg growth 3Y7.99%
ROICexcg growth 5Y3.32%
ROICexc growth 3Y7.26%
ROICexc growth 5Y2.38%
OM growth 3Y2.7%
OM growth 5Y1.7%
PM growth 3Y-17.74%
PM growth 5Y-8.97%
GM growth 3Y-0.53%
GM growth 5Y-0.91%
F-Score3
Asset Turnover0.51
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.71 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 2.56 | ||
| Cap/Depr | 53.79% | ||
| Cap/Sales | 5.45% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 31.54% | ||
| Profit Quality | N/A | ||
| Current Ratio | 1.09 | ||
| Quick Ratio | 0.82 | ||
| Altman-Z | 1.05 |
F-Score3
WACC4.55%
ROIC/WACC0.72
Cap/Depr(3y)51.16%
Cap/Depr(5y)46.96%
Cap/Sales(3y)4.83%
Cap/Sales(5y)4.76%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-44.11%
EPS 3Y-10.28%
EPS 5Y-4.28%
EPS Q2Q%-30.11%
EPS Next Y-18.94%
EPS Next 2Y2.33%
EPS Next 3Y5.78%
EPS Next 5Y11.89%
Revenue 1Y (TTM)-0.19%
Revenue growth 3Y9.07%
Revenue growth 5Y5.14%
Sales Q2Q%-3.04%
Revenue Next Year0.16%
Revenue Next 2Y1.08%
Revenue Next 3Y1.62%
Revenue Next 5Y3.05%
EBIT growth 1Y-21.5%
EBIT growth 3Y12.01%
EBIT growth 5Y6.93%
EBIT Next Year125.06%
EBIT Next 3Y37.04%
EBIT Next 5Y14.33%
FCF growth 1Y-140.82%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y-14.24%
OCF growth 3Y-23.71%
OCF growth 5Y-0.94%