Rheinmetall AG
Rheinmetall AG Fundamental Analysis
Rheinmetall AG (RNMBF) shows moderate financial fundamentals with a PE ratio of 70.54, profit margin of 7.01%, and ROE of 15.77%. The company generates $14.9B in annual revenue with strong year-over-year growth of 35.88%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 66.3/100 based on profitability, valuation, growth, and balance sheet metrics. The C+ grade reflects average fundamentals, with notable risks in certain areas.
Fundamental Health Score
We analyze RNMBF's fundamental strength across five key dimensions:
Efficiency Score
WeakRNMBF struggles to generate sufficient returns from assets.
Valuation Score
WeakRNMBF trades at a premium to fair value.
Growth Score
ExcellentRNMBF delivers strong and consistent growth momentum.
Financial Health Score
ExcellentRNMBF maintains a strong and stable balance sheet.
Profitability Score
ModerateRNMBF maintains healthy but balanced margins.
Key Financial Metrics
Is RNMBF Expensive or Cheap?
P/E Ratio
RNMBF trades at 70.54 times earnings. This suggests a premium valuation.
PEG Ratio
When adjusting for growth, RNMBF's PEG of 4.16 indicates potential overvaluation.
Price to Book
The market values Rheinmetall AG at 10.50 times its book value. This suggests the stock is fully valued or overvalued on an asset basis.
EV/EBITDA
Enterprise value stands at 39.03 times EBITDA. This signals the market has high growth expectations.
How Well Does RNMBF Make Money?
Net Profit Margin
For every $100 in sales, Rheinmetall AG keeps $7.01 as profit after all expenses.
Operating Margin
Core operations generate 18.53 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $15.77 in profit for every $100 of shareholder equity.
ROA
Rheinmetall AG generates $4.44 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Rheinmetall AG produces operating cash flow of $1.52B, showing steady but balanced cash generation.
Free Cash Flow
Rheinmetall AG generates weak or negative free cash flow of $147.18M, restricting financial flexibility.
FCF Per Share
Each share generates $3.20 in free cash annually.
FCF Yield
RNMBF converts 0.13% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
70.54
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
4.16
vs 25 benchmark
P/B Ratio
Price to book value ratio
10.50
vs 25 benchmark
P/S Ratio
Price to sales ratio
7.42
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
0.52
vs 25 benchmark
Current Ratio
Current assets to current liabilities
1.14
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.16
vs 25 benchmark
ROA
Return on assets percentage
0.04
vs 25 benchmark
ROCE
Return on capital employed
0.25
vs 25 benchmark
How RNMBF Stacks Against Its Sector Peers
| Metric | RNMBF Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 70.54 | 25.84 | Worse (Expensive) |
| ROE | 15.77% | 1279.00% | Weak |
| Net Margin | 7.01% | -43714.00% (disorted) | Weak |
| Debt/Equity | 0.52 | 0.80 | Strong (Low Leverage) |
| Current Ratio | 1.14 | 10.62 | Neutral |
| ROA | 4.44% | -1537441.00% (disorted) | Weak |
RNMBF outperforms its industry in 1 out of 6 key metrics, but lagging in P/E Ratio.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews Rheinmetall AG's 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
66.94%
Industry Style: Cyclical, Value, Infrastructure
High GrowthEPS CAGR
129.20%
Industry Style: Cyclical, Value, Infrastructure
High GrowthFCF CAGR
205.96%
Industry Style: Cyclical, Value, Infrastructure
High Growth