DB:G1A

Stock Analysis Report

Executive Summary

GEA Group Aktiengesellschaft focuses on the development and production of process technology and components for the food processing industry worldwide.

Snowflake

Fundamentals

Flawless balance sheet second-rate dividend payer.


Similar Companies

Share Price & News

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


Latest Share Price and Events


Market Performance


7 Day Return

-0.3%

G1A

-1.8%

DE Machinery

-0.2%

DE Market


1 Year Return

-19.4%

G1A

-28.8%

DE Machinery

-5.0%

DE Market

G1A outperformed the Machinery industry which returned -28.8% over the past year.

G1A underperformed the Market in Germany which returned -5% over the past year.


Share holder returns

G1AIndustryMarket
7 Day-0.3%-1.8%-0.2%
30 Day10.2%6.4%4.9%
90 Day4.5%-8.4%1.4%
1 Year-16.6%-19.4%-26.4%-28.8%-2.0%-5.0%
3 Year-42.4%-46.8%-18.0%-23.9%17.1%7.0%
5 Year-13.6%-23.0%20.9%6.8%33.9%15.7%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

Is GEA Group undervalued based on future cash flows and its price relative to the stock market?

12%

Discount to future cash flow value


Intrinsic Value Based on Future Cash Flows

GEA Group's share price is below the future cash flow value, but not at a moderate discount (< 20%).

GEA Group's share price is below the future cash flow value, but not at a substantial discount (< 40%).


Price Based on Earnings

GEA Group is overvalued based on earnings compared to the DE Machinery industry average.

GEA Group is overvalued based on earnings compared to the Germany market.


Price Based on Expected Growth

GEA Group is poor value based on expected growth next year.


Price Based on Value of Assets

GEA Group is overvalued based on assets compared to the DE Machinery industry average.


Next Steps

Future Growth

How is GEA Group expected to perform in the next 1 to 3 years based on estimates from 23 analysts?

19.7%

Forecasted annual earnings growth


Earnings and Revenue Growth Estimates


Future Annual Growth Analysis

GEA Group's revenue is expected to grow by 2.4% yearly, however this is not considered high growth (20% yearly).

GEA Group's earnings are expected to grow by 19.7% yearly, however this is not considered high growth (20% yearly).

GEA Group's revenue growth is positive but not above the Germany market average.

GEA Group's earnings growth is expected to exceed the Germany market average.

GEA Group's earnings growth is expected to exceed the low risk savings rate of 0.2%.


Earnings per Share Growth Estimates


Future Return on Equity

GEA Group is not expected to efficiently use shareholders’ funds in the future (Return on Equity less than 20%).


Next Steps

Past Performance

How has GEA Group performed over the past 5 years?

-13.2%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

GEA Group's year on year earnings growth rate was negative over the past 5 years and the most recent earnings are below average.

GEA Group's 1-year earnings growth is negative, it can't be compared to the 5-year average.

GEA Group's 1-year earnings growth is negative, it can't be compared to the DE Machinery industry average.


Return on Equity

GEA Group has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).


Return on Assets

GEA Group used its assets less efficiently than the DE Machinery industry average last year based on Return on Assets.


Return on Capital Employed

GEA Group's use of capital deteriorated last year versus 3 years ago (Return on Capital Employed).


Next Steps

Financial Health

How is GEA Group's financial position?


Financial Position Analysis

GEA Group is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.

GEA Group's cash and other short term assets cover its long term commitments.


Debt to Equity History and Analysis

GEA Group's level of debt (0%) compared to net worth is satisfactory (less than 40%).

The level of debt compared to net worth has been reduced over the past 5 years (40.7% vs 0% today).

Debt is well covered by operating cash flow (1.2055291777541E+18%, greater than 20% of total debt).

GEA Group earns more interest than it pays, coverage of interest payments is not a concern.


Balance Sheet

High level of physical assets or inventory.

Debt is covered by short term assets, assets are 9.4274730609049E+16x debt.


Next Steps

Dividend

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

3.20%

Expected Dividend Yield


Dividend Yield and Payments Analysis

GEA Group's pays a higher dividend yield than the bottom 25% of dividend payers in Germany (1.39%).

GEA Group's dividend is below the markets top 25% of dividend payers in Germany (3.89%).

Dividends per share have been volatile in the past 10 years (annual drop of over 20%).

Dividends per share have increased over the past 10 years.


Current Payout to Shareholders

Dividends paid are not well covered by earnings (0.6x coverage).


Future Payout to Shareholders

Dividends after 3 years are expected to be covered by earnings (1.9x coverage).


Next Steps

Management

What is the CEO of GEA Group's salary, the management and board of directors tenure and is there insider trading?

2.6yrs

Average management tenure


CEO

Stefan Klebert (54yo)

0.6yrs

Tenure

€1,511,304

Compensation

Mr. Stefan Klebert, Dipl.-Ing., MBA, has been Chairman of the Executive Board and Chief Executive Officer at GEA Group Aktiengesellschaft since February 18, 2019 and serves as its Member of Executive Board ...


CEO Compensation Analysis

Stefan's remuneration is lower than average for companies of similar size in Germany.

Insufficient data for Stefan to compare compensation growth.


Management Age and Tenure

2.6yrs

Average Tenure

51yo

Average Age

The tenure for the GEA Group management team is about average.


Board Age and Tenure

6.6yrs

Average Tenure

61.5yo

Average Age

The tenure for the GEA Group board of directors is about average.


Insider Trading

No 3 month open market individual insider trading information.


Ownership Breakdown


Management Team

  • Stefan Klebert (54yo)

    Chairman of the Executive Board & CEO

    • Tenure: 0.6yrs
    • Compensation: €1.51m
  • Tom Eriksson (52yo)

    Country Managing Director for Sweden & Finland

    • Tenure: 3.8yrs
  • Marcus Ketter (51yo)

    CFO & Member of Executive Board

    • Tenure: 0.3yrs
  • Martine Snels (50yo)

    Member of Executive Board

    • Tenure: 1.9yrs
    • Compensation: €1.55m
  • Steffen Bersch (50yo)

    Member of Executive Board

    • Tenure: 3.7yrs
    • Compensation: €1.67m
  • Ansgar Hoffmann

    Head of DACH & Eastern Europe Region

    • Tenure: 2.6yrs
  • Ann Tonia Cuylaerts

    Regional Head of North & Central Europe

    • Tenure: 2.6yrs
  • Marc Pönitz

    Head of Corporate Media & Press

    • Tenure: 0yrs
  • Fabian Kirchmann

    Interim Head of Investor Relations

    • Tenure: 0yrs

Board Members

  • Helmut Perlet (72yo)

    Chairman of Supervisory Board

    • Tenure: 3.4yrs
    • Compensation: €251.00k
  • Rainer Gröbel (66yo)

    Member of Supervisory Board

    • Tenure: 0yrs
    • Compensation: €101.00k
  • Kurt-Jürgen Löw (61yo)

    Deputy Chairman of Supervisory Board

    • Tenure: 2.9yrs
    • Compensation: €126.00k
  • Jean Spence (62yo)

    Member of Supervisory Board

    • Tenure: 8.4yrs
    • Compensation: €58.00k
  • Ahmad Bastaki (61yo)

    Member of Supervisory Board

    • Tenure: 16yrs
    • Compensation: €97.00k
  • Hartmut Eberlein (67yo)

    Member of Supervisory Board

    • Tenure: 0yrs
    • Compensation: €134.00k
  • Michael Kämpfert (54yo)

    Member of Supervisory Board

    • Tenure: 13.6yrs
    • Compensation: €98.00k
  • Peifang Zhang (58yo)

    Member of Supervisory Board

    • Tenure: 3.4yrs
    • Compensation: €57.00k
  • Eva-Maria Kerkemeier (64yo)

    Member of Supervisory Board

    • Tenure: 8.4yrs
    • Compensation: €57.00k
  • Brigitte Krönchen (56yo)

    Member of Supervisory Board

    • Tenure: 4.8yrs
    • Compensation: €98.00k

Company Information

GEA Group Aktiengesellschaft's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: GEA Group Aktiengesellschaft
  • Ticker: G1A
  • Exchange: DB
  • Founded: 1881
  • Industry: Industrial Machinery
  • Sector: Capital Goods
  • Market Cap: €4.740b
  • Shares outstanding: 180.49m
  • Website: https://www.gea.com

Number of Employees


Location

  • GEA Group Aktiengesellschaft
  • Peter-Müller-Strasse 12
  • Düsseldorf
  • North Rhine-Westphalia
  • 40468
  • Germany

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
G1ADB (Deutsche Boerse AG)YesBearer SharesDEEURJan 1992
G1AXTRA (XETRA Trading Platform)YesBearer SharesDEEURJan 1992
0MPJLSE (London Stock Exchange)YesBearer SharesGBEURJan 1992
GEAG.FOTCPK (Pink Sheets LLC)YesBearer SharesUSUSDJan 1992
G1ADBATS-CHIXE (BATS 'Chi-X Europe')YesBearer SharesGBEURJan 1992
G1ASWX (SIX Swiss Exchange)YesBearer SharesCHCHFJan 1992
G1AWBAG (Wiener Boerse AG)YesBearer SharesATEURJan 1992
GEAG.YOTCPK (Pink Sheets LLC)ADRUSUSDJul 2008
G1AABST (Boerse-Stuttgart)ADRDEEURJul 2008

Biography

GEA Group Aktiengesellschaft focuses on the development and production of process technology and components for the food processing industry worldwide. It operates in two segments, Business Area Equipment  ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/09/21 20:43
End of Day Share Price2019/09/20 00:00
Earnings2019/06/30
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.