Is Siemens Aktiengesellschaft (ETR:SIE) Potentially Undervalued?
Jun 06
German (DAX) Market Analysis & Valuation
UpdatedJun 16, 2024
DataAggregated Company Financials
Companies730
- 7D-3.1%
- 3M-2.2%
- 1Y-0.5%
- YTD2.0%
Over the last 7 days, the market has dropped 3.1%, driven by pullbacks in the Industrials and Consumer Discretionary sectors of 4.8% and 5.2%, respectively. Although the market performance has been flat over the past year. Looking forward, earnings are forecast to grow by 19% annually.
Market Valuation and Performance
Has the German Market valuation changed over the past few years?
| Date | Market Cap | Revenue | Earnings | PE | Absolute PE | PS |
|---|---|---|---|---|---|---|
| Sun, 16 Jun 2024 | €2.2t | €2.7t | €110.8b | 17.6x | 19.6x | 0.8x |
| Tue, 14 May 2024 | €2.3t | €2.7t | €113.0b | 17.7x | 20.2x | 0.8x |
| Thu, 11 Apr 2024 | €2.3t | €2.8t | €119.5b | 17.1x | 19x | 0.8x |
| Sat, 09 Mar 2024 | €2.2t | €2.8t | €125.9b | 15.6x | 17.7x | 0.8x |
| Mon, 05 Feb 2024 | €2.2t | €2.9t | €148.0b | 16.2x | 14.6x | 0.8x |
| Wed, 03 Jan 2024 | €2.2t | €2.9t | €146.5b | 16.6x | 14.7x | 0.8x |
| Fri, 01 Dec 2023 | €2.1t | €2.9t | €147.6b | 15.9x | 14.3x | 0.7x |
| Sun, 29 Oct 2023 | €1.9t | €3.0t | €134.8b | 15.8x | 14.5x | 0.7x |
| Tue, 26 Sep 2023 | €2.1t | €3.0t | €131.2b | 16x | 15.9x | 0.7x |
| Thu, 24 Aug 2023 | €2.1t | €3.0t | €131.7b | 16.2x | 16.2x | 0.7x |
| Sat, 22 Jul 2023 | €2.2t | €3.0t | €138.6b | 16.8x | 15.8x | 0.7x |
| Mon, 19 Jun 2023 | €2.2t | €3.0t | €140.3b | 17.4x | 15.8x | 0.7x |
| Wed, 17 May 2023 | €2.2t | €3.0t | €137.3b | 17.3x | 15.8x | 0.7x |
| Fri, 14 Apr 2023 | €2.2t | €3.0t | €148.0b | 16.9x | 15x | 0.7x |
| Sun, 12 Mar 2023 | €2.2t | €2.9t | €154.3b | 16x | 14x | 0.7x |
| Tue, 07 Feb 2023 | €2.1t | €2.6t | €172.1b | 16.2x | 12.5x | 0.8x |
| Thu, 05 Jan 2023 | €2.0t | €2.6t | €173.5b | 16x | 11.5x | 0.8x |
| Sat, 03 Dec 2022 | €2.0t | €2.6t | €172.2b | 16.1x | 11.7x | 0.8x |
| Mon, 31 Oct 2022 | €1.9t | €2.5t | €170.8b | 14.8x | 10.9x | 0.7x |
| Wed, 28 Sep 2022 | €1.7t | €2.5t | €164.0b | 14.2x | 10.1x | 0.7x |
| Fri, 26 Aug 2022 | €1.9t | €2.5t | €163.5b | 15.7x | 11.4x | 0.7x |
| Sun, 24 Jul 2022 | €1.9t | €2.6t | €159.6b | 16.4x | 11.7x | 0.7x |
| Tue, 21 Jun 2022 | €1.9t | €2.6t | €159.5b | 16.5x | 11.8x | 0.7x |
| Thu, 19 May 2022 | €2.0t | €2.6t | €163.1b | 17.3x | 12.4x | 0.8x |
| Sat, 16 Apr 2022 | €2.1t | €2.5t | €143.6b | 18.9x | 14.6x | 0.8x |
| Mon, 14 Mar 2022 | €2.0t | €2.4t | €149.7b | 18.8x | 13.6x | 0.8x |
| Wed, 09 Feb 2022 | €2.3t | €2.4t | €144.0b | 20.2x | 15.8x | 1x |
| Fri, 07 Jan 2022 | €2.4t | €2.3t | €141.2b | 21.5x | 17x | 1x |
| Sun, 05 Dec 2021 | €2.3t | €2.3t | €141.2b | 20.3x | 16.2x | 1x |
| Tue, 02 Nov 2021 | €2.4t | €2.3t | €117.0b | 22.8x | 20.3x | 1x |
| Thu, 30 Sep 2021 | €2.3t | €2.3t | €114.1b | 23.1x | 20.4x | 1x |
| Sat, 28 Aug 2021 | €2.4t | €2.2t | €115.3b | 22.3x | 20.6x | 1.1x |
| Sun, 04 Jul 2021 | €2.3t | €2.2t | €115.3b | 21.6x | 20x | 1x |
Price to Earnings Ratio
20x
Current Market PE
- Investors are optimistic on the German market, and appear confident in strong long term growth rates.
- The market is trading at a PE ratio of 19.6x which is higher than its 3-year average PE of 15.3x.
Past Earnings Growth
- The earnings for German listed companies have remained mostly flat over the last three years.
- Meanwhile revenues have grown 6.5% per year.
- This means that although more sales are being generated, either the cost of doing business or the level of investment back into businesses has increased and as a result, profits have held steady.
Sector Trends
Which sectors have driven the changes within the German Market?
| DE Market | -3.08% | |
| Real Estate | 0.23% | |
| Utilities | -0.54% | |
| Telecom | -0.86% | |
| Consumer Staples | -0.96% | |
| Healthcare | -1.59% | |
| Tech | -2.22% | |
| Materials | -2.24% | |
| Energy | -2.61% | |
| Financials | -3.64% | |
| Industrials | -4.84% | |
| Consumer Discretionary | -5.17% | |
Sector PE
- Investors favour the Healthcare sector the most for future growth, which is trading close to its 3-year average PE ratio of 62.5x.
- The market's confidence is likely because analysts are expecting annual earnings growth of 20.0% which is higher than its past year's earnings decline of 2.2% per year.
Forecasted Growth
- Analysts are most optimistic on the Real Estate sector, expecting annual earnings growth of 97% over the next 5 years.
- This is better than its past earnings decline of 13% per year.
- In contrast, the Financials sector is expected to see its earnings grow by 6.7% per year over the next few years.
Top Stock Gainers and Losers
Which companies have driven the market over the last 7 days?
| Company | Last Price | 7D | 1Y | Valuation | Sector | |
|---|---|---|---|---|---|---|
| EBK EnBW Energie Baden-Württemberg | €68.80 | 3.9% +€704.2m | -19.4% | PE361.1x | Utilities | |
| 1COV Covestro | €50.24 | 3.8% +€347.3m | 20.3% | PS0.7x | Materials | |
| SY1 Symrise | €112.40 | 2.0% +€314.5m | 17.7% | PE46.1x | Materials | |
| BEI Beiersdorf | €146.45 | 1.0% +€313.3m | 21.5% | PE44.5x | Consumer Staples | |
| MRK Merck KGaA | €172.00 | 0.4% +€304.3m | 3.5% | PE27.5x | Healthcare |
