ZALANDO SE (ZAL.DE) Stock Fundamental Analysis
Europe - FRA:ZAL - DE000ZAL1111 - Common Stock
26.64 EUR
+0.46 (+1.76%)
ZAL gets a fundamental rating of 6 out of 10. The analysis compared the fundamentals against 53 industry peers in the Specialty Retail industry. While ZAL has a great profitability rating, there are some minor concerns on its financial health. ZAL is not overvalued while it is showing excellent growth. This is an interesting combination. These ratings would make ZAL suitable for growth investing!
1. Profitability
1.1 Basic Checks
In the past year ZAL was profitable.
ZAL had a positive operating cash flow in the past year.
In the past 5 years ZAL has always been profitable.
Each year in the past 5 years ZAL had a positive operating cash flow.
1.2 Ratios
With a decent Return On Assets value of 3.33%, ZAL is doing good in the industry, outperforming 67.92% of the companies in the same industry.
With a decent Return On Equity value of 9.70%, ZAL is doing good in the industry, outperforming 67.92% of the companies in the same industry.
The Return On Invested Capital of ZAL (6.07%) is better than 64.15% of its industry peers.
The Average Return On Invested Capital over the past 3 years for ZAL is significantly below the industry average of 10.25%.
The 3 year average ROIC (3.34%) for ZAL is below the current ROIC(6.07%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.33% | ||
| ROE | 9.7% | ||
| ROIC | 6.07% |
ROA(3y)1.48%
ROA(5y)2.26%
ROE(3y)4.56%
ROE(5y)6.95%
ROIC(3y)3.34%
ROIC(5y)4.59%
1.3 Margins
ZAL's Profit Margin of 2.47% is fine compared to the rest of the industry. ZAL outperforms 66.04% of its industry peers.
ZAL's Profit Margin has improved in the last couple of years.
Looking at the Operating Margin, with a value of 3.68%, ZAL is in line with its industry, outperforming 54.72% of the companies in the same industry.
ZAL's Operating Margin has improved in the last couple of years.
The Gross Margin of ZAL (40.66%) is better than 60.38% of its industry peers.
ZAL's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 3.68% | ||
| PM (TTM) | 2.47% | ||
| GM | 40.66% |
OM growth 3Y-2.26%
OM growth 5Y7.72%
PM growth 3Y1.6%
PM growth 5Y9.08%
GM growth 3Y-0.88%
GM growth 5Y-0.89%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so ZAL is destroying value.
Compared to 1 year ago, ZAL has less shares outstanding
ZAL has more shares outstanding than it did 5 years ago.
ZAL has a better debt/assets ratio than last year.
2.2 Solvency
ZAL has an Altman-Z score of 2.95. This is not the best score and indicates that ZAL is in the grey zone with still only limited risk for bankruptcy at the moment.
ZAL's Altman-Z score of 2.95 is fine compared to the rest of the industry. ZAL outperforms 75.47% of its industry peers.
ZAL has a debt to FCF ratio of 7.83. This is a slightly negative value and a sign of low solvency as ZAL would need 7.83 years to pay back of all of its debts.
ZAL has a Debt to FCF ratio of 7.83. This is comparable to the rest of the industry: ZAL outperforms 56.60% of its industry peers.
ZAL has a Debt/Equity ratio of 0.40. This is a healthy value indicating a solid balance between debt and equity.
Looking at the Debt to Equity ratio, with a value of 0.40, ZAL is in the better half of the industry, outperforming 67.92% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.4 | ||
| Debt/FCF | 7.83 | ||
| Altman-Z | 2.95 |
ROIC/WACC0.96
WACC6.34%
2.3 Liquidity
ZAL has a Current Ratio of 1.38. This is a normal value and indicates that ZAL is financially healthy and should not expect problems in meeting its short term obligations.
The Current ratio of ZAL (1.38) is better than 64.15% of its industry peers.
ZAL has a Quick Ratio of 1.38. This is a bad value and indicates that ZAL is not financially healthy enough and could expect problems in meeting its short term obligations.
Looking at the Quick ratio, with a value of 0.98, ZAL is in the better half of the industry, outperforming 75.47% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.38 | ||
| Quick Ratio | 0.98 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 76.27% over the past year.
ZAL shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 23.33% yearly.
Looking at the last year, ZAL shows a small growth in Revenue. The Revenue has grown by 7.12% in the last year.
The Revenue has been growing by 10.28% on average over the past years. This is quite good.
EPS 1Y (TTM)76.27%
EPS 3Y2.91%
EPS 5Y23.33%
EPS Q2Q%0%
Revenue 1Y (TTM)7.12%
Revenue growth 3Y0.7%
Revenue growth 5Y10.28%
Sales Q2Q%7.26%
3.2 Future
The Earnings Per Share is expected to grow by 26.24% on average over the next years. This is a very strong growth
The Revenue is expected to grow by 10.15% on average over the next years. This is quite good.
EPS Next Y21.29%
EPS Next 2Y24.76%
EPS Next 3Y23.78%
EPS Next 5Y26.24%
Revenue Next Year14.18%
Revenue Next 2Y12.97%
Revenue Next 3Y10.37%
Revenue Next 5Y10.15%
3.3 Evolution
The EPS growth rate is stable: in the next years the growth will be about the same 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 stable.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 25.62, the valuation of ZAL can be described as expensive.
69.81% of the companies in the same industry are more expensive than ZAL, based on the Price/Earnings ratio.
When comparing the Price/Earnings ratio of ZAL to the average of the S&P500 Index (27.69), we can say ZAL is valued inline with the index average.
ZAL is valuated rather expensively with a Price/Forward Earnings ratio of 17.64.
62.26% of the companies in the same industry are more expensive than ZAL, based on the Price/Forward Earnings ratio.
Compared to an average S&P500 Price/Forward Earnings ratio of 23.18, ZAL is valued a bit cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 25.62 | ||
| Fwd PE | 17.64 |
4.2 Price Multiples
69.81% of the companies in the same industry are more expensive than ZAL, based on the Enterprise Value to EBITDA ratio.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of ZAL is on the same level as its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 32.72 | ||
| EV/EBITDA | 7.14 |
4.3 Compensation for Growth
ZAL's PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
ZAL has a very decent profitability rating, which may justify a higher PE ratio.
A more expensive valuation may be justified as ZAL's earnings are expected to grow with 23.78% in the coming years.
PEG (NY)1.2
PEG (5Y)1.1
EPS Next 2Y24.76%
EPS Next 3Y23.78%
5. Dividend
5.1 Amount
ZAL does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
FRA:ZAL (10/20/2025, 5:36:15 PM)
26.64
+0.46 (+1.76%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Discretionary Distribution & Retail
GICS IndustrySpecialty Retail
Earnings (Last)
Earnings (Next)
Inst Owners62.05%
Inst Owner ChangeN/A
Ins Owners10.09%
Ins Owner ChangeN/A
Market Cap7.04B
Analysts78.13
Price Target37.5 (40.77%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)444.88%
Min EPS beat(2)-2.31%
Max EPS beat(2)892.08%
EPS beat(4)3
Avg EPS beat(4)227.19%
Min EPS beat(4)-2.31%
Max EPS beat(4)892.08%
EPS beat(8)4
Avg EPS beat(8)70.96%
EPS beat(12)6
Avg EPS beat(12)0.99%
EPS beat(16)7
Avg EPS beat(16)-20.02%
Revenue beat(2)1
Avg Revenue beat(2)0.58%
Min Revenue beat(2)-0.03%
Max Revenue beat(2)1.19%
Revenue beat(4)2
Avg Revenue beat(4)0.23%
Min Revenue beat(4)-1.22%
Max Revenue beat(4)1.19%
Revenue beat(8)3
Avg Revenue beat(8)-0.45%
Revenue beat(12)4
Avg Revenue beat(12)-0.51%
Revenue beat(16)5
Avg Revenue beat(16)-0.81%
PT rev (1m)0.1%
PT rev (3m)-4.15%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-24.32%
EPS NY rev (1m)-7.69%
EPS NY rev (3m)-2.14%
Revenue NQ rev (1m)-2.56%
Revenue NQ rev (3m)16.29%
Revenue NY rev (1m)-0.29%
Revenue NY rev (3m)6.99%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 25.62 | ||
| Fwd PE | 17.64 | ||
| P/S | 0.64 | ||
| P/FCF | 32.72 | ||
| P/OCF | 16.95 | ||
| P/B | 2.52 | ||
| P/tB | 2.98 | ||
| EV/EBITDA | 7.14 |
EPS(TTM)1.04
EY3.9%
EPS(NY)1.51
Fwd EY5.67%
FCF(TTM)0.81
FCFY3.06%
OCF(TTM)1.57
OCFY5.9%
SpS41.42
BVpS10.57
TBVpS8.94
PEG (NY)1.2
PEG (5Y)1.1
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.33% | ||
| ROE | 9.7% | ||
| ROCE | 9.91% | ||
| ROIC | 6.07% | ||
| ROICexc | 17.63% | ||
| ROICexgc | 25.4% | ||
| OM | 3.68% | ||
| PM (TTM) | 2.47% | ||
| GM | 40.66% | ||
| FCFM | 1.97% |
ROA(3y)1.48%
ROA(5y)2.26%
ROE(3y)4.56%
ROE(5y)6.95%
ROIC(3y)3.34%
ROIC(5y)4.59%
ROICexc(3y)9.52%
ROICexc(5y)14.27%
ROICexgc(3y)13.4%
ROICexgc(5y)19.23%
ROCE(3y)5.45%
ROCE(5y)7.5%
ROICexcg growth 3Y8.96%
ROICexcg growth 5Y22.36%
ROICexc growth 3Y2.72%
ROICexc growth 5Y17.49%
OM growth 3Y-2.26%
OM growth 5Y7.72%
PM growth 3Y1.6%
PM growth 5Y9.08%
GM growth 3Y-0.88%
GM growth 5Y-0.89%
F-Score7
Asset Turnover1.35
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.4 | ||
| Debt/FCF | 7.83 | ||
| Debt/EBITDA | 1.48 | ||
| Cap/Depr | 55.44% | ||
| Cap/Sales | 1.83% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 54.37% | ||
| Profit Quality | 79.43% | ||
| Current Ratio | 1.38 | ||
| Quick Ratio | 0.98 | ||
| Altman-Z | 2.95 |
F-Score7
WACC6.34%
ROIC/WACC0.96
Cap/Depr(3y)86.74%
Cap/Depr(5y)104.05%
Cap/Sales(3y)2.65%
Cap/Sales(5y)2.86%
Profit Quality(3y)549.88%
Profit Quality(5y)378.62%
High Growth Momentum
Growth
EPS 1Y (TTM)76.27%
EPS 3Y2.91%
EPS 5Y23.33%
EPS Q2Q%0%
EPS Next Y21.29%
EPS Next 2Y24.76%
EPS Next 3Y23.78%
EPS Next 5Y26.24%
Revenue 1Y (TTM)7.12%
Revenue growth 3Y0.7%
Revenue growth 5Y10.28%
Sales Q2Q%7.26%
Revenue Next Year14.18%
Revenue Next 2Y12.97%
Revenue Next 3Y10.37%
Revenue Next 5Y10.15%
EBIT growth 1Y40.95%
EBIT growth 3Y-1.58%
EBIT growth 5Y18.79%
EBIT Next Year116.51%
EBIT Next 3Y41.81%
EBIT Next 5Y37.12%
FCF growth 1Y-69.35%
FCF growth 3Y16.44%
FCF growth 5Y84.9%
OCF growth 1Y-58.04%
OCF growth 3Y2.01%
OCF growth 5Y14.86%