Compagnie Financière Richemont S.A. Fundamental Analysis (SIX: CFR.SW)
Compagnie Financière Richemont S.A. Fundamental Analysis (SIX: CFR.SW)
Compagnie Financière Richemont S.A. (SIX: CFR.SW) shows weak financial fundamentals with a PE ratio of 33.70, profit margin of 15.54%, and ROE of 15.06%. The company generates $22.5B in annual revenue with N/A year-over-year growth of N/A.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 76.2/100 based on profitability, valuation, growth, and balance sheet metrics. The B grade reflects solid fundamentals with room for improvement in valuation or growth.
Fundamental Health Score
We analyze CFR.SW's fundamental strength across five key dimensions:
Efficiency Score
WeakCFR.SW struggles to generate sufficient returns from assets.
Valuation Score
ModerateCFR.SW shows balanced valuation metrics.
Growth Score
ModerateCFR.SW shows steady but slowing expansion.
Financial Health Score
ExcellentCFR.SW maintains a strong and stable balance sheet.
Profitability Score
ExcellentCFR.SW achieves industry-leading margins.
Key Financial Metrics
Is CFR.SW Expensive or Cheap?
P/E Ratio
CFR.SW trades at 33.70 times earnings. This suggests a premium valuation.
PEG Ratio
When adjusting for growth, CFR.SW's PEG of 0.79 indicates potential undervaluation.
Price to Book
The market values Compagnie Financière Richemont S.A. at 4.86 times its book value. This suggests the stock is fully valued or overvalued on an asset basis.
EV/EBITDA
Enterprise value stands at 17.91 times EBITDA. This signals the market has high growth expectations.
How Well Does CFR.SW Make Money?
Net Profit Margin
For every $100 in sales, Compagnie Financière Richemont S.A. keeps $15.54 as profit after all expenses.
Operating Margin
Core operations generate 20.76 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $15.06 in profit for every $100 of shareholder equity.
ROA
Compagnie Financière Richemont S.A. generates $8.16 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Compagnie Financière Richemont S.A. produces operating cash flow of $4.86B, showing steady but balanced cash generation.
Free Cash Flow
Compagnie Financière Richemont S.A. generates strong free cash flow of $3.86B, providing ample flexibility for dividends, buybacks, or growth.
FCF Per Share
Each share generates $6.57 in free cash annually.
FCF Yield
CFR.SW converts 3.29% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
33.70
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
0.79
vs 25 benchmark
P/B Ratio
Price to book value ratio
4.86
vs 25 benchmark
P/S Ratio
Price to sales ratio
5.23
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
0.56
vs 25 benchmark
Current Ratio
Current assets to current liabilities
3.10
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.15
vs 25 benchmark
ROA
Return on assets percentage
0.08
vs 25 benchmark
ROCE
Return on capital employed
0.14
vs 25 benchmark
How CFR.SW Stacks Against Its Sector Peers
| Metric | CFR.SW Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 33.70 | 25.50 | Worse (Expensive) |
| ROE | 15.06% | 964.00% | Weak |
| Net Margin | 15.54% | -4901.00% (disorted) | Strong |
| Debt/Equity | 0.56 | 0.60 | Neutral |
| Current Ratio | 3.10 | 2.34 | Strong Liquidity |
| ROA | 8.16% | 322.00% | Weak |
CFR.SW outperforms its industry in 2 out of 6 key metrics, particularly excelling in Net Margin, but lagging in P/E Ratio.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews Compagnie Financière Richemont S.A.'s 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
N/A
Industry Style: Cyclical, Growth, Discretionary
EPS CAGR
N/A
Industry Style: Cyclical, Growth, Discretionary
FCF CAGR
N/A
Industry Style: Cyclical, Growth, Discretionary