XTRA:DRI

Stock Analysis Report

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Executive Summary

1&1 Drillisch AG, together with its subsidiaries, operates as a telecommunications provider in Germany. More Details


Snowflake Analysis

Flawless balance sheet and undervalued.


Similar Companies

Share Price & News

How has 1&1 Drillisch's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: DRI's share price has been volatile over the past 3 months.


Market Performance


7 Day Return

-4.8%

DRI

0.6%

DE Wireless Telecom

-1.9%

DE Market


1 Year Return

-19.9%

DRI

-24.3%

DE Wireless Telecom

0.2%

DE Market

Return vs Industry: DRI exceeded the German Wireless Telecom industry which returned -24.3% over the past year.

Return vs Market: DRI underperformed the German Market which returned 0.2% over the past year.


Shareholder returns

DRIIndustryMarket
7 Day-4.8%0.6%-1.9%
30 Day1.1%3.6%1.5%
90 Day-14.9%-6.3%-0.5%
1 Year-19.7%-19.9%-20.6%-24.3%3.4%0.2%
3 Year-67.2%-68.2%-33.2%-42.3%-0.2%-9.0%
5 Yearn/a-19.5%-39.0%21.4%4.0%

Price Volatility Vs. Market

How volatile is 1&1 Drillisch's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is 1&1 Drillisch undervalued compared to its fair value and its price relative to the market?

>50%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: DRI (€19.15) is trading below our estimate of fair value (€39.68)

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


Price To Earnings Ratio

PE vs Industry: DRI is good value based on its PE Ratio (8.9x) compared to the XE Wireless Telecom industry average (20.2x).

PE vs Market: DRI is good value based on its PE Ratio (8.9x) compared to the German market (22.3x).


Price to Earnings Growth Ratio

PEG Ratio: DRI's earnings are forecast to decline next year, so we can't calculate its PEG ratio.


Price to Book Ratio

PB vs Industry: DRI is good value based on its PB Ratio (0.7x) compared to the XE Wireless Telecom industry average (1.6x).


Next Steps

Future Growth

How is 1&1 Drillisch forecast to perform in the next 1 to 3 years based on estimates from 16 analysts?

-4.3%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: DRI's earnings are forecast to decline over the next 3 years (-4.3% per year).

Earnings vs Market: DRI's earnings are forecast to decline over the next 3 years (-4.3% per year).

High Growth Earnings: DRI's earnings are forecast to decline over the next 3 years.

Revenue vs Market: DRI's revenue (2.5% per year) is forecast to grow slower than the German market (6% per year).

High Growth Revenue: DRI's revenue (2.5% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: DRI's Return on Equity is forecast to be low in 3 years time (5.9%).


Next Steps

Past Performance

How has 1&1 Drillisch performed over the past 5 years?

14.1%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: DRI has a large one-off loss of €287.3M impacting its June 30 2020 financial results.

Growing Profit Margin: DRI's current net profit margins (10.1%) are lower than last year (11.2%).


Past Earnings Growth Analysis

Earnings Trend: DRI's earnings have grown by 14.1% per year over the past 5 years.

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

Earnings vs Industry: DRI had negative earnings growth (-6.5%) over the past year, making it difficult to compare to the Wireless Telecom industry average (-5.2%).


Return on Equity

High ROE: DRI's Return on Equity (7.9%) is considered low.


Next Steps

Financial Health

How is 1&1 Drillisch's financial position?


Financial Position Analysis

Short Term Liabilities: DRI's short term assets (€1.6B) exceed its short term liabilities (€545.3M).

Long Term Liabilities: DRI's short term assets (€1.6B) exceed its long term liabilities (€1.3B).


Debt to Equity History and Analysis

Debt Level: DRI is debt free.

Reducing Debt: DRI had no debt 5 years ago.

Debt Coverage: DRI has no debt, therefore it does not need to be covered by operating cash flow.

Interest Coverage: DRI has no debt, therefore coverage of interest payments is not a concern.


Balance Sheet


Next Steps

Dividend

What is 1&1 Drillisch current dividend yield, its reliability and sustainability?

0.26%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: DRI's dividend (0.26%) isn’t notable compared to the bottom 25% of dividend payers in the German market (1.25%).

High Dividend: DRI's dividend (0.26%) is low compared to the top 25% of dividend payers in the German market (3.77%).


Stability and Growth of Payments

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

Growing Dividend: DRI 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: DRI is not paying a notable dividend for the German market.


Future Payout to Shareholders

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


Next Steps

Management

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

1.3yrs

Average management tenure


CEO

Ralph Dommermuth (57 yo)

2.75yrs

Tenure

Mr. Ralph Dommermuth is Chief Executive Officer and Chairman of the Management Board at 1&1 Drillisch AG since January 1, 2018. Mr. Dommermuth founded 1&1 Internet, Inc. in 1992 and serves as its Chief Mar ...


Leadership Team

NamePositionTenureCompensationOwnership
Ralph Dommermuth
CEO & Chairman of Management Board2.75yrsno datano data
Alessandro Nava
Member of the Management Board1.25yrs€513.00kno data
Markus Huhn
Member of Management Board1.25yrs€458.00kno data
Oliver Keil
Head of Investor Relationsno datano datano data

1.3yrs

Average Tenure

52yo

Average Age

Experienced Management: DRI's management team is not considered experienced ( 1.3 years average tenure), which suggests a new team.


Board Members

NamePositionTenureCompensationOwnership
Michael Scheeren
Chairman of Supervisory Board2.92yrs€62.00kno data
Kai-Uwe Ricke
Deputy Chairperson of Supervisory Board2.92yrs€52.00kno data
Kurt Dobitsch
Member of Supervisory Board3yrs€52.00kno data
Vlasios Choulidis
Member of Supervisory Board2.75yrs€52.00k0.12%
€ 4.0m
Norbert Lang
Independent Member of Supervisory Board4.92yrs€52.00kno data
Claudia Borgas-Herold
Independent Member of Supervisory Board2.75yrs€52.00kno data

2.9yrs

Average Tenure

62.5yo

Average Age

Experienced Board: DRI's board of directors are not considered experienced ( 2.9 years average tenure), which suggests a new board.


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.


Top Shareholders

Company Information

1&1 Drillisch AG's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: 1&1 Drillisch AG
  • Ticker: DRI
  • Exchange: XTRA
  • Founded: 1988
  • Industry: Wireless Telecommunication Services
  • Sector: Telecom
  • Market Cap: €3.375b
  • Shares outstanding: 176.26m
  • Website: https://www.1und1-drillisch.de

Number of Employees


Location

  • 1&1 Drillisch AG
  • Wilhelm-Roentgen-Strasse 1-5
  • Maintal
  • Hessen
  • 63477
  • Germany

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
DRIWBAG (Wiener Boerse AG)YesShare CapitalATEURSep 2017
DRIDB (Deutsche Boerse AG)YesShare CapitalDEEURSep 2017
DRIXTRA (XETRA Trading Platform)YesShare CapitalDEEURSep 2017
0E6YLSE (London Stock Exchange)YesShare CapitalGBEURSep 2017
DRIDBATS-CHIXE (BATS 'Chi-X Europe')YesShare CapitalGBEURSep 2017
DRISWX (SIX Swiss Exchange)YesShare CapitalCHCHFSep 2017

Biography

1&1 Drillisch AG, together with its subsidiaries, operates as a telecommunications provider in Germany. The company operates through Access, 5G, and Miscellaneous segments. It provides its customers with a ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/10/25 21:25
End of Day Share Price2020/10/23 00:00
Earnings2020/06/30
Annual Earnings2019/12/31


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.