adesso SE Fundamental Analysis (XETRA: ADN1.DE)
adesso SE Fundamental Analysis (XETRA: ADN1.DE)
adesso SE (XETRA: ADN1.DE) shows moderate financial fundamentals with a PE ratio of 25.28, profit margin of 1.17%, and ROE of 9.65%. The company generates $1.6B in annual revenue with strong year-over-year growth of 13.01%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 44.7/100 based on profitability, valuation, growth, and balance sheet metrics. The D grade reflects weak fundamentals and significant financial concerns.
Fundamental Health Score
We analyze ADN1.DE's fundamental strength across five key dimensions:
Efficiency Score
WeakADN1.DE struggles to generate sufficient returns from assets.
Valuation Score
ModerateADN1.DE shows balanced valuation metrics.
Growth Score
ModerateADN1.DE shows steady but slowing expansion.
Financial Health Score
ModerateADN1.DE shows balanced financial health with some risks.
Profitability Score
WeakADN1.DE struggles to sustain strong margins.
Key Financial Metrics
Is ADN1.DE Expensive or Cheap?
P/E Ratio
ADN1.DE trades at 25.28 times earnings. This indicates a fair valuation.
PEG Ratio
When adjusting for growth, ADN1.DE's PEG of 0.50 indicates potential undervaluation.
Price to Book
The market values adesso SE at 2.54 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at 0.83 times EBITDA. This is generally considered low.
How Well Does ADN1.DE Make Money?
Net Profit Margin
For every $100 in sales, adesso SE keeps $1.17 as profit after all expenses.
Operating Margin
Core operations generate 3.58 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $9.65 in profit for every $100 of shareholder equity.
ROA
adesso SE generates $2.01 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
adesso SE generates limited operating cash flow of $90.34M, signaling weaker underlying cash strength.
Free Cash Flow
adesso SE produces free cash flow of $76.63M, offering steady but limited capital for shareholder returns and expansion.
FCF Per Share
Each share generates $11.96 in free cash annually.
FCF Yield
ADN1.DE converts 16.66% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
25.28
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
0.50
vs 25 benchmark
P/B Ratio
Price to book value ratio
2.54
vs 25 benchmark
P/S Ratio
Price to sales ratio
0.30
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
2.20
vs 25 benchmark
Current Ratio
Current assets to current liabilities
1.24
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.10
vs 25 benchmark
ROA
Return on assets percentage
0.02
vs 25 benchmark
ROCE
Return on capital employed
0.10
vs 25 benchmark
How ADN1.DE Stacks Against Its Sector Peers
| Metric | ADN1.DE Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 25.28 | 33.33 | Better (Cheaper) |
| ROE | 9.65% | 862.00% | Weak |
| Net Margin | 1.17% | -2063.00% (disorted) | Weak |
| Debt/Equity | 2.20 | 0.60 | Weak (High Leverage) |
| Current Ratio | 1.24 | 12.86 | Neutral |
| ROA | 2.01% | 14.00% | Weak |
ADN1.DE outperforms its industry in 1 out of 6 key metrics, but lagging in ROE.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews adesso SE's 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
170.29%
Industry Style: Growth, Innovation, High Beta
High GrowthEPS CAGR
-16.42%
Industry Style: Growth, Innovation, High Beta
DecliningFCF CAGR
11.13%
Industry Style: Growth, Innovation, High Beta
High Growth