Roche Holding AG
Roche Holding AG Fundamental Analysis
Roche Holding AG (ROP.SW) shows moderate financial fundamentals with a PE ratio of 19.65, profit margin of 20.94%, and ROE of 41.23%. The company generates $61.5B 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 84.4/100 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 ROP.SW's fundamental strength across five key dimensions:
Efficiency Score
ExcellentROP.SW demonstrates superior asset utilization.
Valuation Score
ExcellentROP.SW trades at attractive valuation levels.
Growth Score
ModerateROP.SW shows steady but slowing expansion.
Financial Health Score
ExcellentROP.SW maintains a strong and stable balance sheet.
Profitability Score
ExcellentROP.SW achieves industry-leading margins.
Key Financial Metrics
Is ROP.SW Expensive or Cheap?
P/E Ratio
ROP.SW trades at 19.65 times earnings. This indicates a fair valuation.
PEG Ratio
When adjusting for growth, ROP.SW's PEG of 0.54 indicates potential undervaluation.
Price to Book
The market values Roche Holding AG at 7.49 times its book value. This suggests the stock is fully valued or overvalued on an asset basis.
EV/EBITDA
Enterprise value stands at 10.02 times EBITDA. This signals the market has high growth expectations.
How Well Does ROP.SW Make Money?
Net Profit Margin
For every $100 in sales, Roche Holding AG keeps $20.94 as profit after all expenses.
Operating Margin
Core operations generate 31.32 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $41.23 in profit for every $100 of shareholder equity.
ROA
Roche Holding AG generates $12.79 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Roche Holding AG produces operating cash flow of $14.78B, showing steady but balanced cash generation.
Free Cash Flow
Roche Holding AG generates strong free cash flow of $11.87B, providing ample flexibility for dividends, buybacks, or growth.
FCF Per Share
Each share generates $14.91 in free cash annually.
FCF Yield
ROP.SW converts 4.69% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
19.65
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
0.54
vs 25 benchmark
P/B Ratio
Price to book value ratio
7.49
vs 25 benchmark
P/S Ratio
Price to sales ratio
4.11
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
0.94
vs 25 benchmark
Current Ratio
Current assets to current liabilities
1.38
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.41
vs 25 benchmark
ROA
Return on assets percentage
0.13
vs 25 benchmark
ROCE
Return on capital employed
0.26
vs 25 benchmark
How ROP.SW Stacks Against Its Sector Peers
| Metric | ROP.SW Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 19.65 | 28.45 | Better (Cheaper) |
| ROE | 41.23% | 763.00% | Weak |
| Net Margin | 20.94% | -45265.00% (disorted) | Strong |
| Debt/Equity | 0.94 | 0.34 | Weak (High Leverage) |
| Current Ratio | 1.38 | 2795.60 | Neutral |
| ROA | 12.79% | -16588.00% (disorted) | Strong |
ROP.SW 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 Roche Holding 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: Defensive, Growth, Innovation
EPS CAGR
N/A
Industry Style: Defensive, Growth, Innovation
FCF CAGR
N/A
Industry Style: Defensive, Growth, Innovation