Deutsche EuroShop AG
Deutsche EuroShop AG Fundamental Analysis
Deutsche EuroShop AG (DEQ.DE) shows moderate financial fundamentals with a PE ratio of 11.10, profit margin of 49.66%, and ROE of 7.34%. The company generates $0.3B in annual revenue with weak year-over-year growth of -0.70%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 42.6/100 based on profitability, valuation, growth, and balance sheet metrics. The D grade reflects weak fundamentals and significant financial concerns.
Fundamental Health Score
We analyze DEQ.DE's fundamental strength across five key dimensions:
Efficiency Score
WeakDEQ.DE struggles to generate sufficient returns from assets.
Valuation Score
ModerateDEQ.DE shows balanced valuation metrics.
Growth Score
WeakDEQ.DE faces weak or negative growth trends.
Financial Health Score
ModerateDEQ.DE shows balanced financial health with some risks.
Profitability Score
ModerateDEQ.DE maintains healthy but balanced margins.
Key Financial Metrics
Is DEQ.DE Expensive or Cheap?
P/E Ratio
DEQ.DE trades at 11.10 times earnings. This suggests potential undervaluation.
PEG Ratio
When adjusting for growth, DEQ.DE's PEG of 19.53 indicates potential overvaluation.
Price to Book
The market values Deutsche EuroShop AG at 0.84 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at -1.16 times EBITDA. This is generally considered low.
How Well Does DEQ.DE Make Money?
Net Profit Margin
For every $100 in sales, Deutsche EuroShop AG keeps $49.66 as profit after all expenses.
Operating Margin
Core operations generate 78.32 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $7.34 in profit for every $100 of shareholder equity.
ROA
Deutsche EuroShop AG generates $2.96 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Deutsche EuroShop AG generates strong operating cash flow of $135.40M, reflecting robust business health.
Free Cash Flow
Deutsche EuroShop AG generates strong free cash flow of $135.33M, providing ample flexibility for dividends, buybacks, or growth.
FCF Per Share
Each share generates $1.80 in free cash annually.
FCF Yield
DEQ.DE converts 9.44% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
11.10
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
19.53
vs 25 benchmark
P/B Ratio
Price to book value ratio
0.84
vs 25 benchmark
P/S Ratio
Price to sales ratio
5.40
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
1.18
vs 25 benchmark
Current Ratio
Current assets to current liabilities
22.33
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.07
vs 25 benchmark
ROA
Return on assets percentage
0.03
vs 25 benchmark
ROCE
Return on capital employed
0.05
vs 25 benchmark
How DEQ.DE Stacks Against Its Sector Peers
| Metric | DEQ.DE Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 11.10 | 22.50 | Better (Cheaper) |
| ROE | 7.34% | 700.00% | Weak |
| Net Margin | 49.66% | -37372.00% (disorted) | Strong |
| Debt/Equity | 1.18 | -20.81 (disorted) | Distorted |
| Current Ratio | 22.33 | 1949.79 | Strong Liquidity |
| ROA | 2.96% | -1322.00% (disorted) | Weak |
DEQ.DE outperforms its industry in 3 out of 6 key metrics, particularly excelling in Net Margin, but lagging in ROE.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews Deutsche EuroShop AG's 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
-1.61%
Industry Style: Income, Inflation Hedge, REIT
DecliningEPS CAGR
-9.74%
Industry Style: Income, Inflation Hedge, REIT
DecliningFCF CAGR
-22.79%
Industry Style: Income, Inflation Hedge, REIT
Declining