XTRA:FME

Stock Analysis Report

Fresenius Medical Care KGaA

Executive Summary

Fresenius Medical Care AG & Co. KGaA, a kidney dialysis company, provides dialysis care and related services, and other health care services in Germany, the United States, and internationally.

Snowflake

Fundamentals

Established dividend payer and good value.


Similar Companies

Share Price & News

How has Fresenius Medical Care KGaA's share price performed over time and what events caused price changes?


Latest Share Price and Events


Market Performance


7 Day Return

1.7%

FME

1.9%

DE Healthcare

2.4%

DE Market


1 Year Return

-29.1%

FME

-30.5%

DE Healthcare

2.3%

DE Market

Return vs Industry: FME matched the German Healthcare industry which returned -30.5% over the past year.

Return vs Market: FME underperformed the German Market which returned 2.3% over the past year.


Shareholder returns

FMEIndustryMarket
7 Day1.7%1.9%2.4%
30 Day-5.0%-5.6%-0.2%
90 Day-15.3%-11.2%0.6%
1 Year-28.0%-29.1%-29.2%-30.5%5.5%2.3%
3 Year-17.1%-20.4%-28.6%-31.2%18.9%8.6%
5 Year18.0%11.0%17.5%10.9%44.8%25.1%

Price Volatility Vs. Market

How volatile is Fresenius Medical Care KGaA's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Fresenius Medical Care KGaA undervalued compared to its fair value and its price relative to the market?

42.4%

Undervalued compared to fair value


Share Price vs. Fair Value

Undervalued: FME (€59.82) is trading below our estimate of fair value (€103.93)

Significantly Undervalued: FME is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: FME is good value based on its PE Ratio (14.8x) compared to the Healthcare industry average (26.2x).

PE vs Market: FME is good value based on its PE Ratio (14.8x) compared to the German market (19.5x).


Price to Earnings Growth Ratio

Low PEG Ratio: FME is poor value based on its PEG Ratio (1.2x)


Price to Book Ratio

PB vs Industry: FME is overvalued based on its PB Ratio (1.6x) compared to the DE Healthcare industry average (1.5x).


Next Steps

Future Growth

How is Fresenius Medical Care KGaA forecast to perform in the next 1 to 3 years based on estimates from 22 analysts?

12.3%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: FME's forecast earnings growth (12.3% per year) is above the savings rate (0.2%).

Earnings vs Market: FME's earnings (12.3% per year) are forecast to grow slower than the German market (12.6% per year).

High Growth Earnings: FME's earnings are forecast to grow, but not significantly.

Revenue vs Market: FME's revenue (6.1% per year) is forecast to grow faster than the German market (5% per year).

High Growth Revenue: FME's revenue (6.1% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

High Future ROE: FME's Return on Equity is forecast to be low in 3 years time (11.4%).


Next Steps

Past Performance

How has Fresenius Medical Care KGaA performed over the past 5 years?

17.4%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Earnings Trend: FME's earnings have grown by 17.4% per year over the past 5 years.

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

Earnings vs Industry: FME had negative earnings growth (-37.5%) over the past year, making it difficult to compare to the Healthcare industry average (19.5%).


Return on Equity

High ROE: FME's Return on Equity (11.6%) is considered low.


Return on Assets

ROA vs Industry: FME has a higher Return on Assets than the Healthcare industry average last year.


Return on Capital Employed

ROCE Improving: FME's Return on Capital Employed has declined over the past 3 years.


Next Steps

Financial Health

How is Fresenius Medical Care KGaA's financial position?


Financial Position Analysis

Short Term Liabilities: FME's short term assets (€7.2B) do not cover its short term liabilities (€7.2B)

Long Term Liabilities: FME's short term assets (7.2B) do not cover its long term liabilities (11.9B)


Debt to Equity History and Analysis

Debt Level: FME's debt to equity ratio (69.7%) is considered high

Reducing Debt: FME's debt to equity ratio has reduced from 88.6% to 69.7% over the past 5 years.

Debt Coverage: FME's debt is well covered by operating cash flow (26.7%).

Interest Coverage: FME's interest payments on its debt are well covered by EBIT (5.9x coverage).


Balance Sheet

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

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


Next Steps

Dividend

What is Fresenius Medical Care KGaA's current dividend yield, its reliability and sustainability?

1.96%

Current Dividend Yield


Dividend Yield vs Market

company2.0%marketbottom25%1.4%markettop25%3.9%industryaverage2.0%forecastin3Years2.1%

Current dividend yield vs market & industry


Stability and Growth of Payments

Notable Dividend: FME's dividend (1.96%) is higher than the bottom 25% of dividend payers in the German market (1.43%).

High Dividend: FME's dividend (1.96%) is low compared to the top 25% of dividend payers in the German market (3.86%).

Stable Dividend: FME's dividends per share have been stable in the past 10 years.

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


Current Payout to Shareholders

Dividend Coverage: With its reasonably low payout ratio (29%), FME's dividend payments are well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: FME's dividends in 3 years are forecast to be well covered by earnings (25% payout ratio).


Next Steps

Management

What is the CEO of Fresenius Medical Care KGaA's salary, the management and board of directors tenure and is there insider trading?

6.6yrs

Average management tenure


CEO

Rice Powell (64yo)

6.8yrs

Tenure

€6,625,000

Compensation

Mr. Robert Maurice Powell, Jr., also known as Rice, has been the Chief Executive Officer and Chairman of Management at Fresenius Medical Care Management AG, General Partner of Fresenius Medical Care AG & C ...


CEO Compensation Analysis

Compensation vs. Market: Rice's total compensation ($USD7.32M) is about average for companies of similar size in the German market ($USD4.48M).

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


Management Age and Tenure

6.6yrs

Average Tenure

58.5yo

Average Age

Experienced Management: FME's management team is seasoned and experienced (6.6 years average tenure).


Board Age and Tenure

1.4yrs

Average Tenure

70yo

Average Age

Experienced Board: FME's board of directors are not considered experienced ( 1.4 years average tenure), which suggests a new board.


Insider Trading

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


Ownership Breakdown


Management Team

  • Mike Brosnan (64yo)

    CFO & Member of the Management Board at Fresenius Medical Care Mgmt AG

    • Tenure: 9.8yrs
    • Compensation: €3.94m
  • Rice Powell (64yo)

    Chairman of the Management Board & CEO of Fresenius Medical Care Mgmt AG

    • Tenure: 6.8yrs
    • Compensation: €6.63m
  • Joachim Weith

    Senior Vice President of Corporate Communications & Governmental Affairs

    • Tenure: 0yrs
  • Kent Wanzek (60yo)

    CEO of Global Mfg

    • Tenure: 9.8yrs
    • Compensation: €3.04m
  • Borries Muller (58yo)

    Senior Vice President of Global Human Resources Employee Communications

    • Tenure: 0yrs
  • Harry de Wit (57yo)

    CEO of APAC & Member of Management Board - Fresenius Medical Care Mgmt AG

    • Tenure: 3.5yrs
    • Compensation: €2.66m
  • Olaf Schermeier (47yo)

    CEO of Global R&D and Member of the Management Board - Fresenius Medical Care Mgmt AG

    • Tenure: 6.6yrs
    • Compensation: €2.70m
  • Bill Valle (59yo)

    CEO of North America & Member of Management Board at Fresenius Medical Care Mgmt AG

    • Tenure: 2.8yrs
    • Compensation: €3.83m
  • Dominik Heger

    Executive VP and Head of Investor Relations

    • Tenure: 0yrs
  • Katarzyna Mazur-Hofsäß (56yo)

    CEO for EMEA & Member of Management Board - Fresenius Medical Care Mgmt AG

    • Tenure: 1.1yrs
    • Compensation: €2.79m

Board Members

  • Ben Lipps (79yo)

    Honorary Chairman of Supervisory Board

    • Tenure: 3.3yrs
  • Rolf Classon (74yo)

    Vice Chairman of Supervisory Board

    • Tenure: 0.9yrs
    • Compensation: €305.00k
  • Dieter Schenk (66yo)

    Chairman of Supervisory Board

    • Tenure: 1.4yrs
    • Compensation: €296.00k
  • William Johnston (74yo)

    Member of Supervisory Board

    • Tenure: 13.4yrs
    • Compensation: €300.00k
  • Gregor Zünd (59yo)

    Member of Supervisory Board

    • Tenure: 1yrs
    • Compensation: €25.00k
  • Pascale Witz (52yo)

    Member of Supervisory Board

    • Tenure: 3.4yrs
    • Compensation: €143.00k
  • Dorothea Wenzel

    Member of Supervisory Board

    • Tenure: 0.4yrs

Company Information

Fresenius Medical Care AG & Co. KGaA's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Fresenius Medical Care AG & Co. KGaA
  • Ticker: FME
  • Exchange: XTRA
  • Founded: 1996
  • Industry: Health Care Services
  • Sector: Healthcare
  • Market Cap: €18.211b
  • Shares outstanding: 304.42m
  • Website: https://www.freseniusmedicalcare.com

Number of Employees


Location

  • Fresenius Medical Care AG & Co. KGaA
  • Else-Kröner Strasse 1
  • Bad Homburg
  • Hessen
  • 61352
  • Germany

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
FMSNYSE (New York Stock Exchange)ADR-EACH REP 0.5 NPVUSUSDSep 1996
FMEADB (Deutsche Boerse AG)ADR-EACH REP 0.5 NPVDEEURSep 1996
FMEBIT (Borsa Italiana)YesOrdinary SharesITEUROct 1996
FMEDB (Deutsche Boerse AG)YesOrdinary SharesDEEUROct 1996
0H9XLSE (London Stock Exchange)YesOrdinary SharesGBEUROct 1996
FMCQ.FOTCPK (Pink Sheets LLC)YesOrdinary SharesUSUSDOct 1996
FMEDBATS-CHIXE (BATS 'Chi-X Europe')YesOrdinary SharesGBEUROct 1996
FMEWBAG (Wiener Boerse AG)YesOrdinary SharesATEUROct 1996
FME NBMV (Bolsa Mexicana de Valores)YesOrdinary SharesMXMXNOct 1996
FMESWX (SIX Swiss Exchange)YesOrdinary SharesCHCHFOct 1996
FMEXTRA (XETRA Trading Platform)YesOrdinary SharesDEEUROct 1996

Biography

Fresenius Medical Care AG & Co. KGaA, a kidney dialysis company, provides dialysis care and related services, and other health care services in Germany, the United States, and internationally. It offers di ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/10/14 20:55
End of Day Share Price2019/10/14 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.