DB:DRW3

Stock Analysis Report

Executive Summary

Drägerwerk AG & Co. KGaA develops equipment and solutions in the fields of medical and safety technology in Europe, the Americas, Africa, Asia, and Australia.

Snowflake

Fundamentals

Flawless balance sheet and good value.


Similar Companies

Share Price & News

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


Latest Share Price and Events


Market Performance


7 Day Return

18.4%

DRW3

1.1%

DE Medical Equipment

4.1%

DE Market


1 Year Return

11.5%

DRW3

13.0%

DE Medical Equipment

2.4%

DE Market

Return vs Industry: DRW3 underperformed the German Medical Equipment industry which returned 13% over the past year.

Return vs Market: DRW3 exceeded the German Market which returned 2.4% over the past year.


Shareholder returns

DRW3IndustryMarket
7 Day18.4%1.1%4.1%
30 Day21.2%1.3%1.7%
90 Day11.1%-1.1%3.7%
1 Year11.9%11.5%14.8%13.0%5.6%2.4%
3 Year-12.4%-13.5%103.6%98.3%19.2%8.9%
5 Year-20.9%-23.2%291.9%272.2%43.2%23.7%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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

39.1%

Undervalued compared to fair value


Share Price vs. Fair Value

Undervalued: DRW3 (€53.55) is trading below our estimate of fair value (€87.89)

Significantly Undervalued: DRW3 is trading below fair value, but not by a significant amount.


Price To Earnings Ratio

PE vs Industry: DRW3 is good value based on its PE Ratio (24.1x) compared to the Medical Equipment industry average (34.6x).

PE vs Market: DRW3 is poor value based on its PE Ratio (24.1x) compared to the German market (19.5x).


Price to Earnings Growth Ratio

Low PEG Ratio: DRW3 is good value based on its PEG Ratio (0.6x)


Price to Book Ratio

PB vs Industry: DRW3 is good value based on its PB Ratio (0.9x) compared to the DE Medical Equipment industry average (5.9x).


Next Steps

Future Growth

How is Drägerwerk KGaA forecast to perform in the next 1 to 3 years based on estimates from 6 analysts?

37.9%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: DRW3's forecast earnings growth (37.9% per year) is above the savings rate (0.2%).

Earnings vs Market: DRW3's earnings (37.9% per year) are forecast to grow faster than the German market (12.9% per year).

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

Revenue vs Market: DRW3's revenue (3.3% per year) is forecast to grow slower than the German market (5% per year).

High Growth Revenue: DRW3's revenue (3.3% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

High Future ROE: DRW3's Return on Equity is forecast to be low in 3 years time (5.5%).


Next Steps

Past Performance

How has Drägerwerk KGaA performed over the past 5 years?

-16.7%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Earnings Trend: DRW3's earnings have declined by -16.7% per year over the past 5 years.

Accelerating Growth: DRW3's earnings growth over the past year (6.4%) exceeds its 5-year average (-16.7% per year).

Earnings vs Industry: DRW3 earnings growth over the past year (6.4%) underperformed the Medical Equipment industry 6.4%.


Return on Equity

High ROE: DRW3's Return on Equity (4.8%) is considered low.


Return on Assets

ROA vs Industry: DRW3's Return on Assets is below or equal to the Medical Equipment industry average last year.


Return on Capital Employed

ROCE Improving: DRW3 has significantly improved its Return on Capital Employed over the past 3 years.


Next Steps

Financial Health

How is Drägerwerk KGaA's financial position?


Financial Position Analysis

Short Term Liabilities: DRW3's short term assets (€1.4B) exceeds its short term liabilities (€710.7M)

Long Term Liabilities: DRW3's short term assets (1.4B) exceeds its long term liabilities (723.5M)


Debt to Equity History and Analysis

Debt Level: DRW3's debt to equity ratio (22.1%) is considered satisfactory

Reducing Debt: DRW3's debt to equity ratio has reduced from 39% to 22.1% over the past 5 years.

Debt Coverage: DRW3's debt is well covered by operating cash flow (44.7%).

Interest Coverage: DRW3's interest payments on its debt are well covered by EBIT (10.8x coverage).


Balance Sheet

Inventory Level: DRW3 has a high level of physical assets or inventory.

Debt Coverage by Assets: DRW3's debt is covered by short term assets (assets are 6.225040x debt).


Next Steps

Dividend

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

0.36%

Current Dividend Yield


Dividend Yield vs Market

company0.4%marketbottom25%1.5%markettop25%3.8%industryaverage1.4%forecastin3Years0.6%

Current dividend yield vs market & industry


Stability and Growth of Payments

Notable Dividend: DRW3's dividend (0.36%) isn’t notable compared to the bottom 25% of dividend payers in the German market (1.45%).

High Dividend: DRW3's dividend (0.36%) is low compared to the top 25% of dividend payers in the German market (3.78%).

Stable Dividend: DRW3 is not paying a notable dividend for the German market, therefore no need to check if payments are stable.

Growing Dividend: DRW3 is not paying a notable dividend for the German market, therefore no need to check if payments are increasing.


Current Payout to Shareholders

Dividend Coverage: DRW3 is not paying a notable dividend for the German market.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of DRW3's dividend in 3 years as they are not forecast to pay a notable one for the German market.


Next Steps

Management

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

4.3yrs

Average management tenure


CEO

Stefan Dräger (56yo)

14.3yrs

Tenure

€1,526,289

Compensation

Mr. Stefan A. Dräger, Dipl.-Ing. (BA), has been the Chief Executive Officer and Chairman of the Executive Board at Drägerwerk Verwaltungs AG, a General Partner of Dragerwerk AG & Co. KGaA since July 1, 200 ...


CEO Compensation Analysis

Compensation vs. Market: Stefan's total compensation ($USD1.69M) is above average for companies of similar size in the German market ($USD1.17M).

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


Management Age and Tenure

4.3yrs

Average Tenure

51.5yo

Average Age

Experienced Management: DRW3's management team is considered experienced (4.3 years average tenure).


Board Age and Tenure

11.4yrs

Average Tenure

60yo

Average Age

Experienced Board: DRW3's board of directors are seasoned and experienced ( 11.4 years average tenure).


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

  • Welf Böttcher

    Head of Corporate Communications

    • Tenure: 0yrs
  • Stefan Dräger (56yo)

    Chairman of Executive Board & CEO - Drägerwerk Verwaltungs AG

    • Tenure: 14.3yrs
    • Compensation: €1.53m
  • Toni Schrofner (56yo)

    Executive Board Member & Chief Officer Innovation

    • Tenure: 4.5yrs
    • Compensation: €856.13k
  • Gert-Hartwig Lescow (52yo)

    Vice Chairman of Executive Board & CFO - Drägerwerk Verwaltungs AG

    • Tenure: 4.5yrs
    • Compensation: €1.05m
  • Rainer Klug (51yo)

    Executive Board Member of Purchasing

    • Tenure: 4.2yrs
    • Compensation: €828.24k
  • Reiner Piske (49yo)

    Executive Board Member of HR & Member of Executive Board - Drägerwerk Verwaltungs AG

    • Tenure: 3.9yrs
    • Compensation: €694.03k
  • Stephan Kruse (49yo)

    Head of Global Operations & Member of Supervisory Board

    • Tenure: 1.4yrs
    • Compensation: €13.33k

Board Members

  • Thorsten Grenz (61yo)

    Member of Supervisory Board

    • Tenure: 11.4yrs
    • Compensation: €40.00k
  • Stefan Lauer (64yo)

    Chairman

    • Tenure: 1.4yrs
    • Compensation: €50.83k
  • Uwe Lüders (67yo)

    Member of Supervisory Board

    • Tenure: 11.4yrs
    • Compensation: €26.67k
  • Reinhard Zinkann (60yo)

    Member of Supervisory Board

    • Tenure: 11.4yrs
    • Compensation: €20.00k
  • Thomas Rickers (59yo)

    Member of Supervisory Board

    • Tenure: 19.8yrs
    • Compensation: €20.00k
  • Siegfrid Kasang (62yo)

    Vice Chairman of Supervisory Board

    • Tenure: 14.8yrs
    • Compensation: €40.00k
  • Daniel Friedrich (44yo)

    Member of Supervisory Board

    • Tenure: 13.1yrs
    • Compensation: €30.00k
  • Nike Benten

    Member of Supervisory Board

    • Tenure: 3.7yrs
    • Compensation: €20.00k
  • Bettina van Almsick (60yo)

    Member of Supervisory Board

    • Tenure: 3.3yrs
    • Compensation: €20.00k
  • Stephan Kruse (49yo)

    Head of Global Operations & Member of Supervisory Board

    • Tenure: 1.4yrs
    • Compensation: €13.33k

Company Information

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


Key Information

  • Name: Drägerwerk AG & Co. KGaA
  • Ticker: DRW3
  • Exchange: DB
  • Founded: 1889
  • Industry: Health Care Equipment
  • Sector: Healthcare
  • Market Cap: €780.996m
  • Shares outstanding: 17.76m
  • Website: https://www.draeger.com

Number of Employees


Location

  • Drägerwerk AG & Co. KGaA
  • Moislinger Allee 53-55
  • Lübeck
  • 23558
  • Germany

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
DRWK.FOTCPK (Pink Sheets LLC)YesPreferred SharesUSUSDJan 1992
DRW3DB (Deutsche Boerse AG)YesPreferred SharesDEEURJan 1992
DRW5DB (Deutsche Boerse AG)GENUSSSCHEINE EUR25.56 (PERPETUAL) SER.ADEEURJan 1992
DRW3XTRA (XETRA Trading Platform)YesPreferred SharesDEEURJan 1992
0K5ELSE (London Stock Exchange)YesPreferred SharesGBEURJan 1992
DRW3SWX (SIX Swiss Exchange)YesPreferred SharesCHCHFJan 1992
DRW3DBATS-CHIXE (BATS 'Chi-X Europe')YesPreferred SharesGBEURJan 1992
DRW3WBAG (Wiener Boerse AG)YesPreferred SharesATEURJan 1992
DRW7DB (Deutsche Boerse AG)GENUSSSCHEINE EUR25.56 (PERPETUAL) SER.KDEEURNov 1993
DRW1DB (Deutsche Boerse AG)GENUSSSCHEINE EUR25.56 (PERPETUAL) SER.DDEEURSep 1998
DWRK.FOTCPK (Pink Sheets LLC)GENUSSSCHEINE EUR25.56 (PERPETUAL) SER.DUSUSDSep 1998
DGWP.FOTCPK (Pink Sheets LLC)Common SharesUSUSDJun 2010
DRW8DBATS-CHIXE (BATS 'Chi-X Europe')Common SharesGBEURJun 2010
0MT8LSE (London Stock Exchange)Common SharesGBEURJun 2010
DRW8XTRA (XETRA Trading Platform)Common SharesDEEURJun 2010
DRW8DB (Deutsche Boerse AG)Common SharesDEEURJun 2010

Biography

Drägerwerk AG & Co. KGaA develops equipment and solutions in the fields of medical and safety technology in Europe, the Americas, Africa, Asia, and Australia. The company develops, produces, and markets sy ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/10/16 20:34
End of Day Share Price2019/10/16 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.