XTRA:DAI

Stock Analysis Report

Executive Summary

Daimler AG, together its subsidiaries, develops and manufactures passenger cars, trucks, vans, and buses in Germany and internationally.

Rewards

PE ratio (11.3x) is below the German market (20.7x)

Earnings are forecast to grow 24.88% per year

Risk Analysis

Debt is not well covered by operating cash flow

Unstable dividend track record

Highly volatile share price over past 3 months

Large one-off items impacting financial results

+ 1 more risk


Snowflake Analysis

Established dividend payer and fair value.


Similar Companies

Share Price & News

How has Daimler's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: DAI's share price has been volatile over the past 3 months.


Market Performance


7 Day Return

-2.8%

DAI

-1.7%

DE Auto

0.2%

DE Market


1 Year Return

-17.4%

DAI

0.9%

DE Auto

14.4%

DE Market

Return vs Industry: DAI underperformed the German Auto industry which returned 0.9% over the past year.

Return vs Market: DAI underperformed the German Market which returned 14.4% over the past year.


Shareholder returns

DAIIndustryMarket
7 Day-2.8%-1.7%0.2%
30 Day-8.2%-5.6%0.9%
90 Day-16.2%-6.6%4.6%
1 Year-11.7%-17.4%5.1%0.9%17.9%14.4%
3 Year-27.2%-38.4%3.8%-6.7%15.7%5.6%
5 Year-35.6%-49.7%-18.1%-29.8%23.4%6.5%

Price Volatility Vs. Market

How volatile is Daimler's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Daimler undervalued compared to its fair value and its price relative to the market?

11.31x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: DAI (€42.77) is trading above our estimate of fair value (€31.35)

Significantly Below Fair Value: DAI is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: DAI is poor value based on its PE Ratio (11.3x) compared to the Auto industry average (10.1x).

PE vs Market: DAI is good value based on its PE Ratio (11.3x) compared to the German market (20.7x).


Price to Earnings Growth Ratio

PEG Ratio: DAI is good value based on its PEG Ratio (0.5x)


Price to Book Ratio

PB vs Industry: DAI is good value based on its PB Ratio (0.7x) compared to the DE Auto industry average (0.8x).


Next Steps

Future Growth

How is Daimler forecast to perform in the next 1 to 3 years based on estimates from 20 analysts?

24.9%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: DAI's forecast earnings growth (24.9% per year) is above the savings rate (-0.4%).

Earnings vs Market: DAI's earnings (24.9% per year) are forecast to grow faster than the German market (13.3% per year).

High Growth Earnings: earnings are expected to grow significantly over the next 3 years.

Revenue vs Market: DAI's revenue (1.2% per year) is forecast to grow slower than the German market (5% per year).

High Growth Revenue: DAI's revenue (1.2% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: DAI's Return on Equity is forecast to be low in 3 years time (9.6%).


Next Steps

Past Performance

How has Daimler performed over the past 5 years?

-2.8%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: DAI has a large one-off gain of €1.0B impacting its September 30 2019 financial results.

Growing Profit Margin: DAI's current net profit margins (2.3%) are lower than last year (5.4%).


Past Earnings Growth Analysis

Earnings Trend: DAI's earnings have declined by -2.8% per year over the past 5 years.

Accelerating Growth: DAI's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: DAI had negative earnings growth (-54.1%) over the past year, making it difficult to compare to the Auto industry average (-29.5%).


Return on Equity

High ROE: DAI's Return on Equity (6.9%) is considered low.


Return on Assets


Return on Capital Employed


Next Steps

Financial Health

How is Daimler's financial position?


Financial Position Analysis

Short Term Liabilities: DAI's short term assets (€129.9B) exceed its short term liabilities (€106.8B).

Long Term Liabilities: DAI's short term assets (€129.9B) do not cover its long term liabilities (€135.8B).


Debt to Equity History and Analysis

Debt Level: DAI's debt to equity ratio (254.5%) is considered high.

Reducing Debt: DAI's debt to equity ratio has increased from 185.6% to 254.5% over the past 5 years.

Debt Coverage: DAI's debt is not well covered by operating cash flow (4.8%).

Interest Coverage: DAI's interest payments on its debt are well covered by EBIT (11.2x coverage).


Balance Sheet

Inventory Level: DAI has a high level of physical assets or inventory.

Debt Coverage by Assets: DAI's debt is not covered by short term assets (assets are 0.8x debt).


Next Steps

Dividend

What is Daimler's current dividend yield, its reliability and sustainability?

7.60%

Current Dividend Yield


Upcoming Dividend Payment

Purchase Daimler before the 'Buy Limit' to receive their next dividend payment.


Dividend Yield vs Market

company7.6%marketbottom25%1.3%markettop25%3.6%industryaverage4.6%forecastin3Years4.6%

Current dividend yield vs market & industry

Notable Dividend: DAI's dividend (7.6%) is higher than the bottom 25% of dividend payers in the German market (1.32%).

High Dividend: DAI's dividend (7.6%) is in the top 25% of dividend payers in the German market (3.63%)


Stability and Growth of Payments

Stable Dividend: DAI's dividend payments have been volatile in the past 10 years.

Growing Dividend: DAI's dividend payments have increased over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: At its current payout ratio (85.9%), DAI's payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: DAI's dividends in 3 years are forecast to be well covered by earnings (38.7% payout ratio).


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

3.1yrs

Average management tenure


CEO

Ola Källenius (50yo)

0.8yrs

Tenure

€3,127,000

Compensation

Mr. Ola Källenius has been Chairman of the Board of Management of Daimler AG since May 22, 2019. He has been Head of Sales & Marketing for Mercedes-Benz Cars at Mercedes-AMG GmbH since October 1, 2013. Mr. ...


CEO Compensation Analysis

Compensation vs Market: Ola's total compensation ($USD3.38M) is about average for companies of similar size in the German market ($USD4.31M).

Compensation vs Earnings: Ola's compensation has increased by more than 20% whilst company earnings have fallen more than 20% in the past year.


Leadership Team

NamePositionTenureCompensationOwnership
Ola Källenius
Chairman of the Management Board0.8yrs€3.13mno data
Wilfried Porth
Director of Human Resources & Labor Relations and Member of Management Board10.8yrs€3.14mno data
Renata Brüngger
Head of Integrity & Legal Affairs and Member of Management Board4.1yrs€3.05mno data
Hubertus Troska
Member of Management Board7.2yrs€3.45mno data
Britta Seeger
Head of Mercedes-Benz Cars Marketing & Sales and Member of Management Board3.1yrs€3.12mno data
Martin Daum
Head of the Daimler Trucks & Buses Divisions and Member of the Board of Management2.9yrs€3.07mno data
Harald Wilhelm
CFO & Member of the Management Board0.8yrsno datano data
Markus Schäfer
Head of Group Research & Mercedes-Benz Cars Development and Member of Management Board0.8yrsno datano data
Björn Scheib
Head of Investor Relations & VP0yrsno datano data
Thomas Laubert
Head of Legal Department3.9yrsno datano data

3.1yrs

Average Tenure

54yo

Average Age

Experienced Management: DAI's management team is considered experienced (3.1 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Clemens A. Börsig
Member of Supervisory Board12.8yrsno datano data
Jürgen Hambrecht
Member of Supervisory Board12yrsno datano data
Manfred Bischoff
Chairman of Supervisory Board13.1yrsno datano data
Sari Baldauf
Member of Supervisory Board12yrsno datano data
Paul M. Achleitner
Member of Supervisory Board9.8yrsno datano data
Petraea Heynike
Member of Supervisory Board8.8yrsno datano data
Frank Weber
Employee Representative Member of Supervisory Board6.8yrsno datano data
Michael Brecht
Deputy Chairman of Supervisory Board5.8yrsno datano data
Elke Tönjes-Werner
Employee Representative Member of Supervisory Board6.8yrsno datano data
Kai Bussmann
Member of Advisory Board0yrsno datano data

9.8yrs

Average Tenure

64yo

Average Age

Experienced Board: DAI's board of directors are considered experienced (9.8 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

Daimler AG's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Daimler AG
  • Ticker: DAI
  • Exchange: XTRA
  • Founded: 1886
  • Industry: Automobile Manufacturers
  • Sector: Automobiles
  • Market Cap: €45.757b
  • Shares outstanding: 1.07b
  • Website: https://www.daimler.com

Number of Employees


Location

  • Daimler AG
  • Mercedesstrasse 120
  • Stuttgart
  • Baden-Württemberg
  • 70372
  • Germany

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
DDAI.FOTCPK (Pink Sheets LLC)YesRegistered SharesUSUSDOct 1998
DAI NBMV (Bolsa Mexicana de Valores)YesRegistered SharesMXMXNOct 1998
DAIDB (Deutsche Boerse AG)YesRegistered SharesDEEUROct 1998
DAISWX (SIX Swiss Exchange)YesRegistered SharesCHCHFOct 1998
DAIWBAG (Wiener Boerse AG)YesRegistered SharesATEUROct 1998
0NXXLSE (London Stock Exchange)YesRegistered SharesGBEUROct 1998
DAIBIT (Borsa Italiana)YesRegistered SharesITEUROct 1998
DAIXTRA (XETRA Trading Platform)YesRegistered SharesDEEUROct 1998
DAIMLERBUSE (Budapest Stock Exchange)YesRegistered SharesHUHUFOct 1998
DAIDBATS-CHIXE (BATS 'Chi-X Europe')YesRegistered SharesGBEUROct 1998
DMLR.YOTCPK (Pink Sheets LLC)UNSPONSOR ADRUSUSDJan 2017

Biography

Daimler AG, together its subsidiaries, develops and manufactures passenger cars, trucks, vans, and buses in Germany and internationally. It operates through Mercedes-Benz Cars, Daimler Trucks, Mercedes-Benz Vans, Daimler Buses, and Daimler Financial Services divisions. The Mercedes-Benz Cars division offers premium vehicles of the Mercedes-Benz brand, including the Mercedes-AMG and Mercedes-Maybach brands; and small cars under the Mercedes me and smart brands, as well as electric mobility products under the EQ brand. The Daimler Trucks division distributes its trucks and special vehicles under the Mercedes-Benz, Freightliner, Western Star, FUSO, and BharatBenz brands; and buses under the Thomas Built Buses and FUSO brands. The Mercedes-Benz Vans division supplies vans and related services under the MercedesBenz and Freightliner brands. The Daimler Buses division sells completely built-up buses under the MercedesBenz and Setra brands, as well as produces and sells bus chassis. The Daimler Financial Services division offers tailored financing and leasing packages for end-customers and dealers; and automotive insurance brokerage, banking, and fleet management services, as well as mobility services primarily under the Athlon, moovel, mytaxi, and car2go brands. The company also sells vehicle related spare parts and accessories. Daimler AG was founded in 1886 and is headquartered in Stuttgart, Germany. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/02/19 21:21
End of Day Share Price2020/02/19 00:00
Earnings2019/09/30
Annual Earnings2018/12/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.