paragon GmbH KGaA (XTRA:PGN) - Share price, News & Analysis

PGN fundamental analysis
Snowflake Score
Valuation	4/6
Future Growth	0/6
Past Performance	0/6
Financial Health	2/6
Dividends	0/6

PGN Stock Overview

Rewards

Trading at 89.1% below our estimate of its fair value

Risk Analysis

Earnings have declined by 30.1% per year over past 5 years

Volatile share price over the past 3 months

Does not have a meaningful market cap (€20M)

paragon GmbH KGaA Competitors

Price History & Performance

Summary of all time highs, changes and price drops for paragon GmbH KGaA
Historical stock prices
Current Share Price	€4.50
52 Week High	€11.60
52 Week Low	€3.40
Beta	1.83
1 Month Change	-8.35%
3 Month Change	-18.77%
1 Year Change	-58.14%
3 Year Change	-78.42%
5 Year Change	-93.18%
Change since IPO	-42.23%

Recent News & Updates

Mar 15

Is paragon GmbH KGaA (ETR:PGN) A Risky Investment?

Legendary fund manager Li Lu (who Charlie Munger backed) once said, 'The biggest investment risk is not the volatility...

Nov 24

Health Check: How Prudently Does paragon GmbH KGaA (ETR:PGN) Use Debt?

Some say volatility, rather than debt, is the best way to think about risk as an investor, but Warren Buffett famously...

Shareholder Returns

	PGN	DE Auto Components	DE Market
7D	-6.4%	-3.1%	-0.1%
1Y	-58.1%	-34.8%	-22.0%

Return vs Industry: PGN underperformed the German Auto Components industry which returned -34.2% over the past year.

Return vs Market: PGN underperformed the German Market which returned -23% over the past year.

Price Volatility

Is PGN's price volatile compared to industry and market?
PGN volatility
PGN Average Weekly Movement	8.0%
Auto Components Industry Average Movement	6.8%
Market Average Movement	5.6%
10% most volatile stocks in DE Market	10.0%
10% least volatile stocks in DE Market	2.8%

Stable Share Price: PGN is more volatile than 75% of German stocks over the past 3 months, typically moving +/- 8% a week.

Volatility Over Time: PGN's weekly volatility (8%) has been stable over the past year, but is still higher than 75% of German stocks.

About the Company

Founded	Employees	CEO	Website
1988	855	Klaus Frers	https://www.paragon.ag

paragon GmbH & Co. KGaA develops, produces, and distributes automotive electronics, body kinematics, and e-mobility solutions for the automotive industry in Germany, European Union, and internationally. It operates through two segments, Electronics and Mechanics. The Electronics segment develops and sells sensors, microphones, and instruments primarily for the automotive industry.

paragon GmbH KGaA Fundamentals Summary

How do paragon GmbH KGaA's earnings and revenue compare to its market cap?
PGN fundamental statistics
Market Cap	€20.37m
Earnings (TTM)	-€6.61m
Revenue (TTM)	€158.20m

0.1x

P/S Ratio

-3.1x

P/E Ratio

Is PGN overvalued?

See Fair Value and valuation analysis

Earnings & Revenue

Key profitability statistics from the latest earnings report
PGN income statement (TTM)
Revenue	€158.20m
Cost of Revenue	€75.99m
Gross Profit	€82.21m
Other Expenses	€88.81m
Earnings	-€6.61m

Last Reported Earnings

Mar 31, 2022

Next Earnings Date

Aug 22, 2022

Earnings per share (EPS)	-1.46
Gross Margin	51.96%
Net Profit Margin	-4.18%
Debt/Equity Ratio	3,600.0%

How did PGN perform over the long term?

See historical performance and comparison

We’ve recently updated our valuation analysis.

Valuation

Is PGN undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

4/6

Valuation Score 4/6

Price-To-Sales vs Peers
Price-To-Sales vs Industry
Price-To-Sales vs Fair Ratio
Below Fair Value
Significantly Below Fair Value
PEG Ratio

Key Valuation Metric

Which metric is best to use when looking at relative valuation for PGN?

Other financial metrics that can be useful for relative valuation.

The above table shows the n/a ratio for PGN. This is calculated by dividing PGN's market cap by their current preferred multiple.
What is PGN's n/a Ratio?
n/a Ratio	0x
n/a	n/a
Market Cap	€20.37m

PGN key valuation metrics and ratios. From Price to Earnings, Price to Sales and Price to Book to Price to Earnings Growth Ratio, Enterprise Value and EBITDA.
Key Statistics
Enterprise Value/Revenue	0.8x
Enterprise Value/EBITDA	56.4x
PEG Ratio	n/a

Price to Sales Ratio vs Peers

How does PGN's PS Ratio compare to its peers?

PGN PS Ratio vs Peers

The above table shows the PS ratio for PGN vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
Company	PS	Estimated Growth	Market Cap
Peer Average	0.4x

Forward PS

Price-To-Sales vs Peers: PGN is good value based on its Price-To-Sales Ratio (0.1x) compared to the peer average (0.4x).

Price to Earnings Ratio vs Industry

How does PGN's PE Ratio compare vs other companies in the Auto Components Industry?

Price-To-Sales vs Industry: PGN is good value based on its Price-To-Sales Ratio (0.1x) compared to the German Auto Components industry average (0.3x)

Price to Sales Ratio vs Fair Ratio

What is PGN's PS Ratio compared to its Fair PS Ratio? This is the expected PS Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

PGN PS Ratio vs Fair Ratio.
Fair Ratio
Current PS Ratio	0.1x
Fair PS Ratio	n/a

Price-To-Sales vs Fair Ratio: Insufficient data to calculate PGN's Price-To-Sales Fair Ratio for valuation analysis.

Share Price vs Fair Value

What is the Fair Price of PGN when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: PGN (€4.5) is trading below our estimate of fair value (€41.4)

Significantly Below Fair Value: PGN is trading below fair value by more than 20%.

Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate PGN's PEG Ratio to determine if it is good value.

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Future Growth

How is paragon GmbH KGaA forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?

Future Growth Score

0/6

Future Growth Score 0/6

Earnings vs Savings Rate
Earnings vs Market
High Growth Earnings
Revenue vs Market
High Growth Revenue
Future ROE

30.9%

Forecasted Automobiles industry annual growth in earnings

In this section we usually present revenue and earnings growth projections based on the consensus estimates of professional analysts to help investors understand the company’s ability to generate profit. But as paragon GmbH KGaA has not provided enough past data and has no analyst forecast, its future earnings cannot be reliably calculated by extrapolating past data or using analyst predictions.

This is quite a rare situation as 97% of companies covered by SimplyWall St do have past financial data.

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Examine whether paragon GmbH KGaA is trading at an attractive price based on how much it is expected to earn in the future, and relative to its industry peers and the wider market.
paragon GmbH KGaA competitive advantages and company strategy can generally be found in its financial reports archived here.

Past Performance

How has paragon GmbH KGaA performed over the past 5 years?

Past Performance Score

0/6

Past Performance Score 0/6

Quality Earnings
Growing Profit Margin
Earnings Trend
Accelerating Growth
Earnings vs Industry
High ROE

-30.1%

Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: PGN is currently unprofitable.

Growing Profit Margin: PGN is currently unprofitable.

Past Earnings Growth Analysis

Earnings Trend: PGN is unprofitable, and losses have increased over the past 5 years at a rate of 30.1% per year.

Accelerating Growth: Unable to compare PGN's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: PGN is unprofitable, making it difficult to compare its past year earnings growth to the Auto Components industry (38%).

Return on Equity

High ROE: PGN has a negative Return on Equity (-242.16%), as it is currently unprofitable.

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Financial Health

How is paragon GmbH KGaA's financial position?

Financial Health Score

2/6

Financial Health Score 2/6

Short Term Liabilities
Long Term Liabilities
Debt Level
Reducing Debt
Stable Cash Runway
Forecast Cash Runway

Financial Position Analysis

Short Term Liabilities: PGN's short term assets (€49.5M) do not cover its short term liabilities (€84.7M).

Long Term Liabilities: PGN's short term assets (€49.5M) do not cover its long term liabilities (€70.5M).

Debt to Equity History and Analysis

Debt Level: PGN's net debt to equity ratio (3487.6%) is considered high.

Reducing Debt: PGN's debt to equity ratio has increased from 137.9% to 3600% over the past 5 years.

Balance Sheet

Cash Runway Analysis

For companies that have on average been loss making in the past we assess whether they have at least 1 year of cash runway.

Stable Cash Runway: Whilst unprofitable PGN has sufficient cash runway for more than 3 years if it maintains its current positive free cash flow level.

Forecast Cash Runway: PGN is unprofitable but has sufficient cash runway for more than 3 years, due to free cash flow being positive and growing by 8.9% per year.

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Dividend

What is paragon GmbH KGaA current dividend yield, its reliability and sustainability?

Dividend Score

0/6

Dividend Score 0/6

Notable Dividend
High Dividend
Stable Dividend
Growing Dividend
Earnings Coverage
Future Dividend Coverage

Dividend Yield vs Market

Notable Dividend: Unable to evaluate PGN's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.

High Dividend: Unable to evaluate PGN's dividend yield against the top 25% of dividend payers, as the company has not reported any recent payouts.

Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if PGN's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if PGN's dividend payments have been increasing.

Earnings Payout to Shareholders

Earnings Coverage: PGN is not paying a notable dividend for the German market.

Cash Payout to Shareholders

Cash Flow Coverage: Unable to calculate sustainability of dividends as PGN has not reported any payouts.

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Management

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

11.7yrs

Average board tenure

CEO

Klaus Frers (68 yo)

34.17yrs

Tenure

€600,817

Compensation

Mr. Klaus Dieter Frers is the Founder and Chairman of the Management Board at paragon GmbH & Co. KGaA (formerly known as Paragon AG). He has been Chief Executive Officer of paragon GmbH & Co. KGaA since Ap...

CEO Compensation Analysis

Compensation vs Market: Klaus's total compensation ($USD633.77K) is above average for companies of similar size in the German market ($USD398.79K).

Compensation vs Earnings: Klaus's compensation has been consistent with company performance over the past year.

Board Members

Experienced Board: PGN's board of directors are seasoned and experienced ( 11.7 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.

Data	Last Updated (UTC time)
Company Analysis	2022/06/24 00:00
End of Day Share Price	2022/06/24 00:00
Earnings	2022/03/31
Annual Earnings	2021/12/31