Sto SE & Co. KGaA Fundamental Analysis
Sto SE & Co. KGaA (STO3.DE) shows weak financial fundamentals with a PE ratio of 13.69, profit margin of 2.46%, and ROE of 5.26%. The company generates $1.8B 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 63.3/100 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 STO3.DE's fundamental strength across five key dimensions:
Efficiency Score
WeakSTO3.DE struggles to generate sufficient returns from assets.
Valuation Score
ExcellentSTO3.DE trades at attractive valuation levels.
Growth Score
ModerateSTO3.DE shows steady but slowing expansion.
Financial Health Score
ExcellentSTO3.DE maintains a strong and stable balance sheet.
Profitability Score
WeakSTO3.DE struggles to sustain strong margins.
Key Financial Metrics
Is STO3.DE Expensive or Cheap?
P/E Ratio
STO3.DE trades at 13.69 times earnings. This suggests potential undervaluation.
PEG Ratio
When adjusting for growth, STO3.DE's PEG of -0.98 indicates potential undervaluation.
Price to Book
The market values Sto SE & Co. KGaA at 0.70 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at 4.32 times EBITDA. This is generally considered low.
How Well Does STO3.DE Make Money?
Net Profit Margin
For every $100 in sales, Sto SE & Co. KGaA keeps $2.46 as profit after all expenses.
Operating Margin
Core operations generate 15.85 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $5.26 in profit for every $100 of shareholder equity.
ROA
Sto SE & Co. KGaA generates $3.29 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Sto SE & Co. KGaA generates limited operating cash flow of $108.46M, signaling weaker underlying cash strength.
Free Cash Flow
Sto SE & Co. KGaA produces free cash flow of $66.63M, offering steady but limited capital for shareholder returns and expansion.
FCF Per Share
Each share generates $10.37 in free cash annually.
FCF Yield
STO3.DE converts 9.68% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
13.69
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
-0.98
vs 25 benchmark
P/B Ratio
Price to book value ratio
0.70
vs 25 benchmark
P/S Ratio
Price to sales ratio
0.38
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
0.15
vs 25 benchmark
Current Ratio
Current assets to current liabilities
2.85
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.05
vs 25 benchmark
ROA
Return on assets percentage
0.03
vs 25 benchmark
ROCE
Return on capital employed
0.26
vs 25 benchmark
How STO3.DE Stacks Against Its Sector Peers
| Metric | STO3.DE Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 13.69 | 31.13 | Better (Cheaper) |
| ROE | 5.26% | 1156.00% | Weak |
| Net Margin | 2.46% | -1203.00% (disorted) | Weak |
| Debt/Equity | 0.15 | 0.61 | Strong (Low Leverage) |
| Current Ratio | 2.85 | 3.45 | Strong Liquidity |
| ROA | 3.29% | 556.00% | Weak |
STO3.DE outperforms its industry in 3 out of 6 key metrics, but lagging in ROE.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews Sto SE & Co. KGaA'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, Commodity, Value
EPS CAGR
N/A
Industry Style: Cyclical, Commodity, Value
FCF CAGR
N/A
Industry Style: Cyclical, Commodity, Value