Covestro AG develops, produces, and markets polymer materials for various industries.
Price History & Performance
|Historical stock prices|
|Current Share Price||€56.34|
|52 Week High||€39.50|
|52 Week Low||€63.24|
|1 Month Change||0%|
|3 Month Change||2.51%|
|1 Year Change||31.76%|
|3 Year Change||1.19%|
|5 Year Change||4.33%|
|Change since IPO||112.60%|
Recent News & Updates
Is It Time To Consider Buying Covestro AG (ETR:1COV)?
Covestro AG ( ETR:1COV ) saw significant share price movement during recent months on the XTRA, rising to highs of...
Is Covestro (ETR:1COV) A Risky Investment?
Warren Buffett famously said, 'Volatility is far from synonymous with risk.' When we think about how risky a company...
An Intrinsic Calculation For Covestro AG (ETR:1COV) Suggests It's 32% Undervalued
Today we will run through one way of estimating the intrinsic value of Covestro AG ( ETR:1COV ) by taking the expected...
|1COV||DE Chemicals||DE Market|
Return vs Industry: 1COV exceeded the German Chemicals industry which returned 23.9% over the past year.
Return vs Market: 1COV exceeded the German Market which returned 29.1% over the past year.
Stable Share Price: 1COV is not significantly more volatile than the rest of German stocks over the past 3 months, typically moving +/- 3% a week.
Volatility Over Time: 1COV's weekly volatility (3%) has been stable over the past year.
About the Company
Covestro AG develops, produces, and markets polymer materials for various industries. The company operates in three segments: Polyurethanes; Polycarbonates; and Coatings, Adhesives, Specialties (CAS). The Polyurethanes segment develops, produces, and markets chemical precursors, such as diphenylmethane diisocyanate, toluene diisocyanate, and polyether polyol, which are used primarily in the furniture, construction, and automotive industries.
Covestro Fundamentals Summary
|1COV fundamental statistics|
Is 1COV overvalued?See Fair Value and valuation analysis
Earnings & Revenue
|1COV income statement (TTM)|
|Cost of Revenue||€9.23b|
Last Reported Earnings
Jun 30, 2021
Next Earnings Date
Nov 08, 2021
|Earnings per share (EPS)||6.90|
|Net Profit Margin||10.23%|
How did 1COV perform over the long term?See historical performance and comparison
2.3%Current Dividend Yield
Is Covestro undervalued compared to its fair value and its price relative to the market?
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: 1COV (€56.34) is trading below our estimate of fair value (€87.29)
Significantly Below Fair Value: 1COV is trading below fair value by more than 20%.
Price To Earnings Ratio
PE vs Industry: 1COV is good value based on its PE Ratio (8.2x) compared to the German Chemicals industry average (19.2x).
PE vs Market: 1COV is good value based on its PE Ratio (8.2x) compared to the German market (22.4x).
Price to Earnings Growth Ratio
PEG Ratio: 1COV's earnings are forecast to decline next year, so we can't calculate its PEG ratio.
Price to Book Ratio
PB vs Industry: 1COV is good value based on its PB Ratio (1.6x) compared to the DE Chemicals industry average (2.2x).
How is Covestro forecast to perform in the next 1 to 3 years based on estimates from 20 analysts?
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: 1COV's earnings are forecast to decline over the next 3 years (-12.6% per year).
Earnings vs Market: 1COV's earnings are forecast to decline over the next 3 years (-12.6% per year).
High Growth Earnings: 1COV's earnings are forecast to decline over the next 3 years.
Revenue vs Market: 1COV's revenue (3.1% per year) is forecast to grow slower than the German market (5.9% per year).
High Growth Revenue: 1COV's revenue (3.1% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: 1COV's Return on Equity is forecast to be low in 3 years time (14.1%).
How has Covestro performed over the past 5 years?
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: 1COV has high quality earnings.
Growing Profit Margin: 1COV's current net profit margins (10.2%) are higher than last year (1.4%).
Past Earnings Growth Analysis
Earnings Trend: 1COV's earnings have declined by 12% per year over the past 5 years.
Accelerating Growth: 1COV's earnings growth over the past year (777%) exceeds its 5-year average (-12% per year).
Earnings vs Industry: 1COV earnings growth over the past year (777%) exceeded the Chemicals industry 49.1%.
Return on Equity
High ROE: 1COV's Return on Equity (19.9%) is considered low.
How is Covestro's financial position?
Financial Position Analysis
Short Term Liabilities: 1COV's short term assets (€6.5B) exceed its short term liabilities (€3.4B).
Long Term Liabilities: 1COV's short term assets (€6.5B) exceed its long term liabilities (€4.6B).
Debt to Equity History and Analysis
Debt Level: 1COV's debt to equity ratio (33.1%) is considered satisfactory.
Reducing Debt: 1COV's debt to equity ratio has reduced from 55.3% to 33.1% over the past 5 years.
Debt Coverage: 1COV's debt is well covered by operating cash flow (97.2%).
Interest Coverage: 1COV's interest payments on its debt are well covered by EBIT (41x coverage).
What is Covestro current dividend yield, its reliability and sustainability?
Current Dividend Yield
Dividend Yield vs Market
Notable Dividend: 1COV's dividend (2.31%) is higher than the bottom 25% of dividend payers in the German market (1%).
High Dividend: 1COV's dividend (2.31%) is low compared to the top 25% of dividend payers in the German market (3.25%).
Stability and Growth of Payments
Stable Dividend: 1COV has been paying a dividend for less than 10 years and during this time payments have been volatile.
Growing Dividend: 1COV's dividend payments have increased, but the company has only paid a dividend for 6 years.
Current Payout to Shareholders
Dividend Coverage: With its low payout ratio (18.5%), 1COV's dividend payments are well covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: 1COV's dividends in 3 years are forecast to be covered by earnings (53.5% payout ratio).
How experienced are the management team and are they aligned to shareholders interests?
Average management tenure
Markus Steilemann (51 yo)
Dr. Markus Steilemann is Member of Management Board since August 20, 2015 of Covestro AG and serves its Chairman of Management Board. He serves as the Chief Executive Officer of Covestro AG since June 01,...
CEO Compensation Analysis
Compensation vs Market: Markus's total compensation ($USD5.13M) is about average for companies of similar size in the German market ($USD4.49M).
Compensation vs Earnings: Markus's compensation has been consistent with company performance over the past year.
Experienced Management: 1COV's management team is considered experienced (4.9 years average tenure).
Experienced Board: 1COV's board of directors are considered experienced (5.5 years average tenure).
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.
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
Covestro AG's employee growth, exchange listings and data sources
- Name: Covestro AG
- Ticker: 1COV
- Exchange: XTRA
- Founded: 1863
- Industry: Specialty Chemicals
- Sector: Materials
- Market Cap: €10.883b
- Shares outstanding: 193.16m
- Website: https://www.covestro.com
Number of Employees
- Covestro AG
- Kaiser-Wilhelm-Allee 60
- North Rhine-Westphalia
Company Analysis and Financial Data Status
|Data||Last Updated (UTC time)|
|Company Analysis||2021/10/26 21:18|
|End of Day Share Price||2021/10/26 00:00|
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.