0.62%
23.68%
57.86%
48.27%
129.99%
711.07%
672.33%
AI Spotlight on RHM
Company Description
Rheinmetall AG provides technologies to the mobility and security sectors worldwide.The company operates in five segments: Vehicle Systems, Weapon and Ammunition, Electronic Solutions, Sensors and Actuators, and Materials and Trade.The Vehicle Systems segment offers combat, support, logistics, and special vehicles, including armored tracked vehicles, CBRN protection systems, turret systems, and wheeled logistics and tactical vehicles.
The Weapon and Ammunition segment provides threat-appropriate, effective and accurate firepower, and protection solutions, such as large and medium-caliber weapons and ammunition, weapon stations, protection systems, and propellants and powders.The Electronic Solutions segment offers a chain of systems network, such as sensors, networking platforms, automated connected effectors for soldiers, and cyberspace protection solutions, and training and simulation solutions.Its products include air defense systems; soldier systems; command, control, and reconnaissance systems; fire control systems; sensors; and simulations for the army, air force, navy, and civil applications.
The Sensors and Actuators segment provides a portfolio of products comprising exhaust gas recirculation systems; throttle valves, control dampers, and exhaust flaps for electromotors; solenoid valves; actuators and valve train systems; oil, water, and vacuum pumps for passenger cars, commercial vehicles, and light and heavy-duty off-road applications; and industrial solutions.The Materials and Trade segment focuses on the development of system components for the basic motors, such as engine blocks, structural components, and cylinder heads; plain bearings, and bushes; and replacement parts.It also engages in the aftermarket activities.
The company was formerly known as Rheinmetall Berlin AG and changed its name to Rheinmetall AG in 1996.Rheinmetall AG was founded in 1889 and is headquartered in Düsseldorf, Germany.
Market Data
| Last Price | 747 |
| Change Percentage | 0.62% |
| Open | 744.2 |
| Previous Close | 742.4 |
| Market Cap ( Millions) | 32433 |
| Volume | 252335 |
| Year High | 758.4 |
| Year Low | 323 |
| M A 50 | 642.48 |
| M A 200 | 545.05 |
Financial Ratios
| FCF Yield | 2.72% |
| Dividend Yield | 0.76% |
| ROE | 17.11% |
| Debt / Equity | 0.00% |
| Net Debt / EBIDTA | -32.01% |
| Price To Book | 9.67 |
| Price Earnings Ratio | 57.09 |
| Price To FCF | 36.81 |
| Price To sales | 3.67 |
| EV / EBITDA | 21.58 |
News
- Jan -14 - EU’s Top Diplomat Aims to Use Economic Muscle Against Russia
- Nov -19 - Rheinmetall Targets $21.2 Billion in Sales by 2027 as Western Defense Budgets Rise
- Nov -19 - Rheinmetall aims for 20 billion euros in sales in 2027
- Nov -08 - Rheinmetall AG (RNMBF) Q3 2024 Earnings Call Highlights: Robust Sales Growth and Strategic ...
- Nov -07 - Rheinmetall Posts Jump in Sales, Reiterates Full-Year Guidance
- Nov -06 - Heard on the Street: Defense Stocks Are Gaining. That Might Be Premature.
- Nov -06 - Rheinmetall’s Armin Papperger to Stay as CEO Until 2030
- Oct -30 - Kremlin warns new German arms plant in Ukraine is a fair target
- Oct -28 - Is Weakness In Rheinmetall AG (ETR:RHM) Stock A Sign That The Market Could be Wrong Given Its Strong Financial Prospects?
- Oct -15 - Auto & Transport Roundup: Market Talk
- Oct -15 - Leonardo, Rheinmetall Enter Combat Vehicle Joint Venture
- Oct -09 - BluMetric Environmental Inc (BLMWF) Q3 2024 Earnings Call Highlights: Strong Revenue Growth and ...
- Oct -01 - Alleged Chinese Spy Was Tracking U.S. Arms Shipments to Israel
- Aug -19 - Defense Shares Fall as Report on Ukraine Aid Stokes Concern
- Aug -19 - Rheinmetall Shares Fall on Reports of German Military Aid Cut to Ukraine
- Aug -13 - Rheinmetall to buy military vehicle parts maker Loc Performance in $950 million deal
- Aug -13 - Rheinmetall buys Loc Performance as it looks to expand in US market
- Aug -10 - Rheinmetall Second Quarter 2024 Earnings: Revenues Beat Expectations, EPS Lags
- Aug -08 - Rheinmetall expects up to 25 billion eur in orders for JV with Leonardo
- Aug -08 - Rheinmetall reports record orders, booming profits, bright outlook
Business Breakdown
Expected Mid-Term Growth
Segment n°1 -> Vehicle Systems
Expected Growth : 4.83 %
What the company do ?
Rheinmetall AG's Vehicle Systems provide advanced military vehicles, turret systems, and ammunition, offering comprehensive solutions for armored vehicles, including main battle tanks, infantry fighting vehicles, and more.
Why we expect these perspectives ?
Rheinmetall AG's Vehicle Systems segment growth is driven by increasing global defense spending, rising demand for advanced military vehicles, and growing importance of autonomous and electrified systems. Additionally, the company's strategic acquisitions and partnerships, such as the joint venture with BAE Systems, have expanded its product portfolio and enhanced its market position.
Segment n°2 -> Weapon and Ammunition
Expected Growth : 4.6 %
What the company do ?
Rheinmetall AG's weapon and ammunition segment offers a range of defense products, including artillery, tank, and infantry systems, as well as small and medium-caliber ammunition.
Why we expect these perspectives ?
Rheinmetall AG's Weapon and Ammunition segment growth of 4.6% is driven by increasing global defense spending, modernization of military equipment, and rising demand for advanced ammunition systems. Additionally, the company's focus on innovation, strategic acquisitions, and expanding presence in emerging markets contribute to its growth momentum.
Segment n°3 -> Sensors and Actuators
Expected Growth : 7.77 %
What the company do ?
Rheinmetall AG's Sensors and Actuators segment develops and produces advanced sensors and actuators for military and automotive applications, enhancing safety and performance.
Why we expect these perspectives ?
Rheinmetall AG's Sensors and Actuators segment growth of 7.77% is driven by increasing demand for autonomous vehicles, electrification of transportation, and rising adoption of Industry 4.0 technologies. Additionally, growing investments in defense and security systems, as well as expanding applications in medical and industrial automation, contribute to the segment's growth.
Segment n°4 -> Electronic Solutions
Expected Growth : 4.83 %
What the company do ?
Rheinmetall AG's Electronic Solutions segment provides advanced electronic systems and components for military and civilian applications, including communication, navigation, and sensor systems.
Why we expect these perspectives ?
Rheinmetall AG's Electronic Solutions segment growth is driven by increasing demand for advanced defense electronics, autonomous systems, and cybersecurity solutions. The company's strong R&D investments, strategic acquisitions, and partnerships with key industry players have enabled it to capitalize on emerging trends in the defense and automotive sectors, resulting in a growth rate of 4.83%.
Segment n°5 -> Materials and Trade
Expected Growth : 4.65 %
What the company do ?
Rheinmetall AG's Materials and Trade segment provides materials and components for the automotive and industrial sectors, as well as trading and logistics services.
Why we expect these perspectives ?
Rheinmetall AG's Materials and Trade segment growth of 4.65% is driven by increasing demand for automotive components, particularly in the electric vehicle sector. Additionally, the company's strategic expansion into new markets, such as Asia, and its focus on innovative materials and technologies have contributed to this growth.
Segment n°6 -> Others/Consolidation
Expected Growth : 4.65 %
What the company do ?
Rheinmetall AG's Others/Consolidation segment includes holding companies, intra-group eliminations, and consolidation adjustments, ensuring accurate financial reporting.
Why we expect these perspectives ?
Rheinmetall AG's Others/Consolidation segment growth of 4.65% is driven by increasing demand for advanced defense technologies, strategic acquisitions, and expansion into new markets. Additionally, the company's focus on digitalization and electrification of military vehicles, as well as its strong order backlog, contribute to this growth.
Rheinmetall Ag Products
| Product Range | What is it ? |
|---|---|
| Tanks and Tracked Vehicles | Rheinmetall's defence division produces a range of tracked vehicles, including main battle tanks, infantry fighting vehicles, and armoured recovery vehicles. |
| Artillery and Mortar Systems | Rheinmetall's artillery and mortar systems provide accurate and reliable firepower for military forces. |
| Electronic Solutions | Rheinmetall's electronic solutions include command and control systems, communication systems, and electronic warfare systems. |
| Ammunition and Propellants | Rheinmetall's ammunition and propellants include small-calibre ammunition, medium-calibre ammunition, and propellant systems. |
| Simulation and Training | Rheinmetall's simulation and training solutions include live simulation, virtual simulation, and constructive simulation. |
| Public Security and Civil Protection | Rheinmetall's public security and civil protection solutions include command and control systems, communication systems, and surveillance systems. |
| Automotive Components | Rheinmetall's automotive components include piston systems, engine bearings, and valve train components. |
| Scrap and Recycling | Rheinmetall's scrap and recycling solutions include metal recycling, scrap processing, and waste management. |
Rheinmetall AG's Porter Forces
Threat Of Substitutes
Rheinmetall AG operates in the defense and automotive industries, where substitutes are limited. However, the company faces some threat from substitutes in the automotive sector, particularly from electric vehicles.
Bargaining Power Of Customers
Rheinmetall AG's customers are primarily governments and large corporations, which have limited bargaining power. The company's strong relationships with its customers also reduce the bargaining power of customers.
Bargaining Power Of Suppliers
Rheinmetall AG relies on a diverse supplier base, which reduces the bargaining power of individual suppliers. However, the company may face some pressure from suppliers in the automotive sector, particularly those providing specialized components.
Threat Of New Entrants
The defense and automotive industries have high barriers to entry, making it difficult for new entrants to compete with established players like Rheinmetall AG. The company's strong brand and established relationships with customers also deter new entrants.
Intensity Of Rivalry
The defense and automotive industries are highly competitive, with several established players competing for market share. Rheinmetall AG faces intense rivalry from companies like Lockheed Martin, BAE Systems, and Continental AG.
Capital Structure
| Value | |
|---|---|
| Debt Weight | 33.72% |
| Debt Cost | 7.58% |
| Equity Weight | 66.28% |
| Equity Cost | 7.58% |
| WACC | 7.58% |
| Leverage | 50.87% |
Rheinmetall AG : Quality Control
Rheinmetall AG passed 5 out of 9 key points:
Historical Valuation
Price/Earnings Ratio
Margin Valuation
Peers Valuation
Competitors
| Company | Rational |
|---|---|
| AIR.PA | Airbus SE engages in the designing, manufacturing, and delivering aerospace products, services, and solutions worldwide. It operates through three segments: Airbus, Airbus Helicopters, and Airbus Defence and Space. The Airbus … |
| RR.L | Rolls-Royce Holdings plc operates as an industrial technology company in the United Kingdom and internationally. The company operates in four segments: Civil Aerospace, Power Systems, Defence, and New Markets. The … |
| SAF.PA | Safran SA, together with its subsidiaries, engages in the aerospace and defense businesses worldwide. The company operates through three segments: Aerospace Propulsion; Aircraft Equipment, Defense and Aerosystems; and Aircraft Interiors. … |
| HO.PA | Thales S.A. provides various solutions for civilian and military customers in the aeronautics, space, defense, security, ground transportation, and digital security markets worldwide. It operates through Aerospace, Transport, Defence & … |
| BA.L | BAE Systems plc provides defense, aerospace, and security solutions worldwide. The company operates through five segments: Electronic Systems, Cyber & Intelligence, Platforms & Services (US), Air, and Maritime. The Electronic … |
Peers Metrics
DCF BETA
Expected Cash-Flows
Scoring Insights
Peers Group Analysis
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BAE Systems
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Safran
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Rolls-Royce
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Rheinmetall
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