Infineon Technologies AG Fundamental Analysis
Infineon Technologies AG (IFX.DE) shows weak financial fundamentals with a PE ratio of 98.40, profit margin of 7.23%, and ROE of 6.49%. The company generates $15.1B 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 44.9/100 based on profitability, valuation, growth, and balance sheet metrics. The D grade reflects weak fundamentals and significant financial concerns.
Fundamental Health Score
We analyze IFX.DE's fundamental strength across five key dimensions:
Efficiency Score
WeakIFX.DE struggles to generate sufficient returns from assets.
Valuation Score
WeakIFX.DE trades at a premium to fair value.
Growth Score
ModerateIFX.DE shows steady but slowing expansion.
Financial Health Score
ExcellentIFX.DE maintains a strong and stable balance sheet.
Profitability Score
WeakIFX.DE struggles to sustain strong margins.
Key Financial Metrics
Is IFX.DE Expensive or Cheap?
P/E Ratio
IFX.DE trades at 98.40 times earnings. This suggests a premium valuation.
PEG Ratio
When adjusting for growth, IFX.DE's PEG of 2.42 indicates potential overvaluation.
Price to Book
The market values Infineon Technologies AG at 6.33 times its book value. This suggests the stock is fully valued or overvalued on an asset basis.
EV/EBITDA
Enterprise value stands at 26.81 times EBITDA. This signals the market has high growth expectations.
How Well Does IFX.DE Make Money?
Net Profit Margin
For every $100 in sales, Infineon Technologies AG keeps $7.23 as profit after all expenses.
Operating Margin
Core operations generate 13.21 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $6.49 in profit for every $100 of shareholder equity.
ROA
Infineon Technologies AG generates $3.45 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Infineon Technologies AG produces operating cash flow of $2.89B, showing steady but balanced cash generation.
Free Cash Flow
Infineon Technologies AG produces free cash flow of $1.15B, offering steady but limited capital for shareholder returns and expansion.
FCF Per Share
Each share generates $0.89 in free cash annually.
FCF Yield
IFX.DE converts 1.08% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
98.40
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
2.42
vs 25 benchmark
P/B Ratio
Price to book value ratio
6.33
vs 25 benchmark
P/S Ratio
Price to sales ratio
7.03
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
0.53
vs 25 benchmark
Current Ratio
Current assets to current liabilities
1.59
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.06
vs 25 benchmark
ROA
Return on assets percentage
0.03
vs 25 benchmark
ROCE
Return on capital employed
0.08
vs 25 benchmark
How IFX.DE Stacks Against Its Sector Peers
| Metric | IFX.DE Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 98.40 | 35.89 | Worse (Expensive) |
| ROE | 6.49% | 728.00% | Weak |
| Net Margin | 7.23% | 10495187603.00% | Weak |
| Debt/Equity | 0.53 | 0.46 | Neutral |
| Current Ratio | 1.59 | 3.35 | Neutral |
| ROA | 3.45% | 206.00% | Weak |
IFX.DE outperforms its industry in 0 out of 6 key metrics, but lagging in P/E Ratio.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews Infineon Technologies AG'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: Growth, Innovation, High Beta
EPS CAGR
N/A
Industry Style: Growth, Innovation, High Beta
FCF CAGR
N/A
Industry Style: Growth, Innovation, High Beta