| Hella KGaA Hueck & Co (DE000A13SX22) | |||
86,20 EURStand (close): 01.07.25 |
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| Datum / Uhrzeit | Titel | Bewertung |
| 19.06.25 14:35:00 | HELLA Heads To Pikes Peak With Robb Holland, a Porsche 911 GT3 RS, Cayman GT4 RS, Race Sponsorship & Special Awards |  |
| PEACHTREE CITY, GA / ACCESS Newswire / June 19, 2025 / HELLA GmbH & Co. KGaA ("FORVIA HELLA"): HELLA sponsors 2025 Time Attack 1 Division Award at the 2025 Pikes Peak International Hill Climb HELLA to provide the HELLA Hype & HELLA Heritage Awards plus cash reward Pikes Peak veteran Robb Holland will drive a HELLA-sponsored 2022 Porsche 911 Porsche GT3 RS Cup car Veteran Clint Vahsholtz will drive a HELLA-sponsored 2023 Porsche 718 Cayman GT4 RS ClubsportRobb Holland will tackle the 2025 Pikes Peak International Hill Climb in this HELLA-sponsored 2022 Porsche 911 Porsche GT3 RS Cup car. Clint Vahsholtz will also drive a HELLA-sponsored 2023 Porsche 718 Cayman GT4 RS Clubsport Robb Holland will tackle the 2025 Pikes Peak International Hill Climb in this HELLA-sponsored 2022 Porsche 911 Porsche GT3 RS Cup car. Clint Vahsholtz will also drive a HELLA-sponsored 2023 Porsche 718 Cayman GT4 RS Clubsport HELLA GmbH & Co. KGaA ("FORVIA HELLA") is continuing its program to further increase its brand awareness in certain categories including brake systems. Building on its Original Equipment competency and rich history with high-performance vehicles, HELLA has turned its full attention to the 2025 Pikes Peak International Hill Climb (PPIHC). Not only will HELLA sponsor the 2025 PPIHC Time Attack 1 Division but will also hand out the 2025 HELLA Hype Award and the HELLA Heritage Award, both of which are designed to celebrate and recognize the teams and drivers that go the extra mile. Hoping for victory in The Race to the Clouds and getting his hands on the HELLA Time Attack 1 trophy will be HELLA-sponsored Robb Holland in his Rotek Racing-prepared 2022 992 Porsche 911 GT3 RS Cup car. Sporting a special HELLA livery to commemorate the partnership, the 911 has received minimal upgrades for the climb to the 14,115ft summit except for JRZ active dampers to cope with the bumpy conditions on the public street course. The team has also equipped the GT3 RS with a Starlink datalink to livestream his attempt in the 103rd running of the PPIHC on June 22. As such, Holland should be the first driver to transmit his attempt live for fans to watch. With a racing career dating back to 2011, Robb cut his teeth in touring car racing but turned his attention to Pikes Peak in 2016, setting a front-wheel drive record at his first attempt. Holland will be hoping his extensive experience and additional time spent on a racing simulator in preparation for the race will pay dividends this year as he aims to claim the HELLA Time Attack 1 class winner's trophy. The second Rotek-prepared car is the HELLA-sponsored 2023 Porsche 718 Cayman GT4 RS Clubsport, which will be driven by veteran Clint Vahsholtz. The car won both the 2025 Pirelli GT America and GT4 America road racing championships, so brings an impressive pedigree. With its HELLA livery, Vahsholtz will be hoping to claim the Pikes Peak GT4 Trophy by Yokohama. Story Continues Vahsholtz got his competitive start in Stock Cars and has been competing at Pikes Peak since 1992. Initially he rode motorcycles but switched to cars in 1996. With 24 class wins, predominantly in Super Stock and Open Wheel, Vahsholtz is one of the most successful racers on the Hill Climb and will be looking to add another trophy to the cabinet this year. "The entire team at HELLA is excited to partner with the legendary Pikes Peak International Hill Climb," said Robert Tinson, Vice President at HELLA. "As HELLA celebrates more than 125 years of engineering excellence, we're happy to share the same spirit of innovation, performance, and endurance exemplified by the 103rd running of The Race to the Clouds. In common with the organizers, drivers and teams, our company has pushed the limits of what's possible from lighting and electronics to braking and beyond." HELLA Sponsorship & Awards As a continuation of the brand's awareness campaign, HELLA is the title sponsor the 2025 PPIHC Time Attack 1 Division Award. Trophies will be provided to the podium finishers in a class that includes close-bodied modified and specialized production-based two- and four-wheel drive vehicles. Eligibility is restricted to original configuration for air/fuel delivery, number of cylinders, and number of drive wheels, among the requirements. As such, the class will see a variety of machines but is dominated by Porsche models ranging from Robb's GT3 RS Cup to the GT3 RS, GT2 RS Clubsport and 911 Turbo S. There will also be a Subaru Impreza WRX STI, BMW M2 CS Racing, Mitsubishi Lancer Evo and more. For its special honors, the HELLA Hype Award will allow Pikes Peak fans to nominate their favorite driver, with final online voting happening at Fan Fest on Friday June 20. The driver with the most public votes will receive the special award from HELLA Vice President, Rob Tinson as well as a $2000 reward. The HELLA Heritage Award plus $2000 cash reward will also be presented by Tinson to the driver on the 2025 PPIHC with the most finishes during their competitive career in the historic race. All trophies and awards will be handed out during the PPIHC trophy ceremony. EDITOR'S NOTE Additional images of Robb Holland's HELLA-sponsored 2022 Porsche 911 Porsche GT3 RS Cup car are available here: dropbox.com/scl/fo/lt3niu64c2dlo5331x6sp/AIpWqlaPUULftTjoT6k4k5U?rlkey=vpnwxx5y5tiy94hwfrd3hg6q2&dl=0 ABOUT FORVIA HELLA FORVIA HELLA is a listed international automotive supplier. As a company of the FORVIA Group, FORVIA HELLA stands for high-performance lighting technology and vehicle electronics and, with the Lifecycle Solutions Business Group, also covers a broad service and product portfolio for the spare parts and workshop business as well as for manufacturers of special vehicles. With currently around 36,500 employees at over 125 locations, the company is active worldwide and generated adjusted sales of 8.1 billion euros in the 2024 financial year. www.hella.de ABOUT FORVIA FORVIA, the seventh largest supplier of automotive technology in the world, combines the complementary technological and industrial strengths of Faurecia and HELLA. With around 260 industrial sites and 78 R&D centers, over 150,000 employees, including more than 15,000 R&D engineers, in over 40 countries, FORVIA offers a unique and comprehensive approach to the automotive challenges of today and tomorrow. FORVIA consists of six business groups and a strong portfolio of over 13,000 patents. FORVIA strives to become the preferred innovation and integration partner for automotive manufacturers worldwide. FORVIA sees itself as a pioneer of change that anticipates the transformation of mobility and makes it a reality. www.forvia.com Contact Details: HELLA Automotive Sales, Inc Robert L. Tinson +1 470-488-6172 robert.tinson@forvia.com HELLA GmbH & Co. KGaA Daniel MORFELD +49 2941 387566 daniel.morfeld@forvia.com The ID Agency Greg Emmerson greg@theidagency.com Company Website: http://www.hella.com/ SOURCE: HELLA View the original press release on ACCESS Newswire View Comments |
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| 07.04.25 06:33:21 | Declining Stock and Solid Fundamentals: Is The Market Wrong About HELLA GmbH & Co. KGaA (ETR:HLE)? | |
| It is hard to get excited after looking at HELLA GmbH KGaA's (ETR:HLE) recent performance, when its stock has declined 6.1% over the past month. However, stock prices are usually driven by a company’s financial performance over the long term, which in this case looks quite promising. In this article, we decided to focus on HELLA GmbH KGaA's ROE. Return on Equity or ROE is a test of how effectively a company is growing its value and managing investors’ money. Simply put, it is used to assess the profitability of a company in relation to its equity capital. This technology could replace computers: discover the 20 stocks are working to make quantum computing a reality. How To Calculate Return On Equity? Return on equity can be calculated by using the formula: Return on Equity = Net Profit (from continuing operations) ÷ Shareholders' Equity So, based on the above formula, the ROE for HELLA GmbH KGaA is: 11% = €371m ÷ €3.2b (Based on the trailing twelve months to December 2024). The 'return' is the profit over the last twelve months. Another way to think of that is that for every €1 worth of equity, the company was able to earn €0.11 in profit. Check out our latest analysis for HELLA GmbH KGaA What Is The Relationship Between ROE And Earnings Growth? We have already established that ROE serves as an efficient profit-generating gauge for a company's future earnings. Based on how much of its profits the company chooses to reinvest or "retain", we are then able to evaluate a company's future ability to generate profits. Generally speaking, other things being equal, firms with a high return on equity and profit retention, have a higher growth rate than firms that don’t share these attributes. HELLA GmbH KGaA's Earnings Growth And 11% ROE To start with, HELLA GmbH KGaA's ROE looks acceptable. Further, the company's ROE is similar to the industry average of 11%. This certainly adds some context to HELLA GmbH KGaA's exceptional 35% net income growth seen over the past five years. We reckon that there could also be other factors at play here. For instance, the company has a low payout ratio or is being managed efficiently. Next, on comparing HELLA GmbH KGaA's net income growth with the industry, we found that the company's reported growth is similar to the industry average growth rate of 35% over the last few years.XTRA:HLE Past Earnings Growth April 7th 2025 The basis for attaching value to a company is, to a great extent, tied to its earnings growth. What investors need to determine next is if the expected earnings growth, or the lack of it, is already built into the share price. This then helps them determine if the stock is placed for a bright or bleak future. Is HELLA GmbH KGaA fairly valued compared to other companies? These 3 valuation measures might help you decide. Story Continues Is HELLA GmbH KGaA Efficiently Re-investing Its Profits? The three-year median payout ratio for HELLA GmbH KGaA is 30%, which is moderately low. The company is retaining the remaining 70%. So it seems that HELLA GmbH KGaA is reinvesting efficiently in a way that it sees impressive growth in its earnings (discussed above) and pays a dividend that's well covered. Additionally, HELLA GmbH KGaA has paid dividends over a period of at least ten years which means that the company is pretty serious about sharing its profits with shareholders. Upon studying the latest analysts' consensus data, we found that the company is expected to keep paying out approximately 29% of its profits over the next three years. As a result, HELLA GmbH KGaA's ROE is not expected to change by much either, which we inferred from the analyst estimate of 12% for future ROE. Summary Overall, we are quite pleased with HELLA GmbH KGaA's performance. In particular, it's great to see that the company is investing heavily into its business and along with a high rate of return, that has resulted in a sizeable growth in its earnings. That being so, a study of the latest analyst forecasts show that the company is expected to see a slowdown in its future earnings growth. To know more about the company's future earnings growth forecasts take a look at this freereport on analyst forecasts for the company to find out more. Have feedback on this article? Concerned about the content?Get in touch with us directly. Alternatively, email editorial-team (at) simplywallst.com. This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned. View Comments |
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| 14.03.25 07:01:11 | HELLA GmbH & Co KGaA (HLKHF) Full Year 2024 Earnings Call Highlights: Record Revenue and ... |  |
| Revenue: Above EUR8 billion, a 1.3% increase at constant exchange rates. Net Income: EUR371 million, a 40% increase compared to 2023. Operating Income: 5.6% of sales. Net Cash Flow: EUR189 million, comparable to the previous year excluding factoring. Dividend Proposal: EUR106 million, EUR0.95 per share, representing 30% of net profit. Lighting Segment Sales Growth: 3.3% increase. Electronics Segment Sales: Decreased by 1.2%. Lifecycle Segment Sales: Decreased by 3.6%. Gross Margin: 23%, down from 23.7% last year. EBIT: 5.9%, slightly up from 5.8% last year. CapEx: EUR440 million, a 2% decrease from last year. Headcount Reduction: Reduced by around 2000 year-on-year. R&D Ratio: Reduced to 10% from 10.2% last year. Warning! GuruFocus has detected 7 Warning Signs with HLKHF. Release Date: March 13, 2025 For the complete transcript of the earnings call, please refer to the full earnings call transcript. Positive Points HELLA GmbH & Co KGaA (HLKHF) achieved sales above EUR8 billion for the first time, outperforming the market by 240 basis points. Net income increased by 40% compared to 2023, reaching EUR371 million. The company proposes a continuation of its established dividend policy, with a dividend of EUR0.95 per share. HELLA GmbH & Co KGaA improved its sustainability ratings, achieving an A rating with CDP and targeting significant CO2 reductions. The company has been successful in winning new business in Asia and the Americas, with 74% of new business outside of Europe. Negative Points The Electronics segment experienced a sales decline of 1.2%, affected by slow ramp-ups in the electrical market and negative product mix in China. Lifecycle Solutions showed a sales decline of 3.6%, impacted by low demand in Construction and Agricultural business. Operating income margin decreased slightly to 5.6% from 5.8% last year. The company faced higher R&D expenses in the Lighting segment due to new program launches. HELLA GmbH & Co KGaA's cash flow decreased to EUR189 million from EUR205 million, partially due to higher tax payments. Q & A Highlights Q: How has the Q1 trading been, considering the trends in Electronics and Lighting, and the workforce reduction? A: Bernard Schaferbarthold, CEO and CFO, stated that Electronics showed positive momentum, while Lighting experienced negative growth due to ramp-downs. Overall, Q1 sales were negative year-on-year, but operating income was within the guidance range, between the lower range and midpoint. Q: Are there any implications for HELLA regarding potential disposals announced by the parent company? A: Bernard Schaferbarthold clarified that HELLA is not working on substantial portfolio changes. The focus remains on key products and strategic areas without questioning sizable business groups. Story Continues Q: Can you provide insights on HELLA's position in China, particularly with local OEMs and product portfolio strengths? A: Bernard Schaferbarthold mentioned that 40% of sales are with Chinese OEMs, expected to increase. HELLA's Lighting and Electronics products, especially in HD and display technologies, are in high demand among Chinese OEMs. Q: Has the volatility in customer call-offs improved, and how is the CO2 regulation in Europe affecting customer behavior? A: Bernard Schaferbarthold noted that volatility remains high, with some delays in Europe. However, there is no significant change in customer behavior due to CO2 regulations as they are not yet law. Q: How is HELLA handling potential tariffs between Mexico and the US, and what is the exposure from Europe to the US? A: Bernard Schaferbarthold explained that HELLA is mostly USMCA compliant, minimizing tariff impacts. For Europe to the US, potential tariffs on materials like copper are not significant, and the impact on cars is uncertain. For the complete transcript of the earnings call, please refer to the full earnings call transcript. This article first appeared on GuruFocus. View Comments |
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| 10.03.25 13:46:45 | Investing in HELLA GmbH KGaA (ETR:HLE) five years ago would have delivered you a 299% gain | |
| The most you can lose on any stock (assuming you don't use leverage) is 100% of your money. But on the bright side, if you buy shares in a high quality company at the right price, you can gain well over 100%. Long term HELLA GmbH & Co. KGaA (ETR:HLE) shareholders would be well aware of this, since the stock is up 272% in five years. Let's take a look at the underlying fundamentals over the longer term, and see if they've been consistent with shareholders returns. View our latest analysis for HELLA GmbH KGaA There is no denying that markets are sometimes efficient, but prices do not always reflect underlying business performance. One flawed but reasonable way to assess how sentiment around a company has changed is to compare the earnings per share (EPS) with the share price. During five years of share price growth, HELLA GmbH KGaA actually saw its EPS drop 12% per year. This means it's unlikely the market is judging the company based on earnings growth. Since the change in EPS doesn't seem to correlate with the change in share price, it's worth taking a look at other metrics. The modest 0.8% dividend yield is unlikely to be propping up the share price. On the other hand, HELLA GmbH KGaA's revenue is growing nicely, at a compound rate of 5.9% over the last five years. In that case, the company may be sacrificing current earnings per share to drive growth. The image below shows how earnings and revenue have tracked over time (if you click on the image you can see greater detail).XTRA:HLE Earnings and Revenue Growth March 10th 2025 This free interactive report on HELLA GmbH KGaA's balance sheet strength is a great place to start, if you want to investigate the stock further. What About Dividends? As well as measuring the share price return, investors should also consider the total shareholder return (TSR). Whereas the share price return only reflects the change in the share price, the TSR includes the value of dividends (assuming they were reinvested) and the benefit of any discounted capital raising or spin-off. It's fair to say that the TSR gives a more complete picture for stocks that pay a dividend. In the case of HELLA GmbH KGaA, it has a TSR of 299% for the last 5 years. That exceeds its share price return that we previously mentioned. This is largely a result of its dividend payments! A Different Perspective HELLA GmbH KGaA shareholders are up 14% for the year (even including dividends). Unfortunately this falls short of the market return. It's probably a good sign that the company has an even better long term track record, having provided shareholders with an annual TSR of 32% over five years. It's quite possible the business continues to execute with prowess, even as the share price gains are slowing. Is HELLA GmbH KGaA cheap compared to other companies? These 3 valuation measures might help you decide. Story Continues But note: HELLA GmbH KGaA may not be the best stock to buy. So take a peek at this freelist of interesting companies with past earnings growth (and further growth forecast). Please note, the market returns quoted in this article reflect the market weighted average returns of stocks that currently trade on German exchanges. Have feedback on this article? Concerned about the content?Get in touch with us directly. Alternatively, email editorial-team (at) simplywallst.com. This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned. View Comments |
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| 18.02.25 06:44:46 | HELLA GmbH KGaA (ETR:HLE) Is Looking To Continue Growing Its Returns On Capital | |
| There are a few key trends to look for if we want to identify the next multi-bagger. One common approach is to try and find a company with returns on capital employed (ROCE) that are increasing, in conjunction with a growing amount of capital employed. This shows us that it's a compounding machine, able to continually reinvest its earnings back into the business and generate higher returns. With that in mind, we've noticed some promising trends at HELLA GmbH KGaA (ETR:HLE) so let's look a bit deeper. What Is Return On Capital Employed (ROCE)? For those that aren't sure what ROCE is, it measures the amount of pre-tax profits a company can generate from the capital employed in its business. The formula for this calculation on HELLA GmbH KGaA is: Return on Capital Employed = Earnings Before Interest and Tax (EBIT) ÷ (Total Assets - Current Liabilities) 0.12 = €552m ÷ (€7.3b - €2.6b) (Based on the trailing twelve months to September 2024). Thus, HELLA GmbH KGaA has an ROCE of 12%. On its own, that's a standard return, however it's much better than the 8.8% generated by the Auto Components industry. Check out our latest analysis for HELLA GmbH KGaA XTRA:HLE Return on Capital Employed February 18th 2025 Above you can see how the current ROCE for HELLA GmbH KGaA compares to its prior returns on capital, but there's only so much you can tell from the past. If you'd like to see what analysts are forecasting going forward, you should check out our free analyst report for HELLA GmbH KGaA . What The Trend Of ROCE Can Tell Us HELLA GmbH KGaA has not disappointed with their ROCE growth. More specifically, while the company has kept capital employed relatively flat over the last five years, the ROCE has climbed 23% in that same time. So it's likely that the business is now reaping the full benefits of its past investments, since the capital employed hasn't changed considerably. It's worth looking deeper into this though because while it's great that the business is more efficient, it might also mean that going forward the areas to invest internally for the organic growth are lacking. The Bottom Line In summary, we're delighted to see that HELLA GmbH KGaA has been able to increase efficiencies and earn higher rates of return on the same amount of capital. And a remarkable 145% total return over the last five years tells us that investors are expecting more good things to come in the future. So given the stock has proven it has promising trends, it's worth researching the company further to see if these trends are likely to persist. Story Continues While HELLA GmbH KGaA looks impressive, no company is worth an infinite price. The intrinsic value infographic for HLE helps visualize whether it is currently trading for a fair price. While HELLA GmbH KGaA isn't earning the highest return, check out this freelist of companies that are earning high returns on equity with solid balance sheets. Have feedback on this article? Concerned about the content?Get in touch with us directly. Alternatively, email editorial-team (at) simplywallst.com. This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned. View Comments |
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| 19.12.24 06:49:11 | Is HELLA GmbH & Co. KGaA (ETR:HLE) Potentially Undervalued? | |
| HELLA GmbH & Co. KGaA (ETR:HLE) saw its share price hover around a small range of €84.80 to €90.60 over the last few weeks. But is this actually reflective of the share value of the large-cap? Or is it currently undervalued, providing us with the opportunity to buy? Let’s take a look at HELLA GmbH KGaA’s outlook and value based on the most recent financial data to see if there are any catalysts for a price change. See our latest analysis for HELLA GmbH KGaA What Is HELLA GmbH KGaA Worth? HELLA GmbH KGaA is currently expensive based on our price multiple model, where we look at the company's price-to-earnings ratio in comparison to the industry average. We’ve used the price-to-earnings ratio in this instance because there’s not enough visibility to forecast its cash flows. The stock’s ratio of 29.05x is currently well-above the industry average of 8.63x, meaning that it is trading at a more expensive price relative to its peers. But, is there another opportunity to buy low in the future? Since HELLA GmbH KGaA’s share price is quite volatile, this could mean it can sink lower (or rise even further) in the future, giving us another chance to invest. This is based on its high beta, which is a good indicator for how much the stock moves relative to the rest of the market. Can we expect growth from HELLA GmbH KGaA?XTRA:HLE Earnings and Revenue Growth December 19th 2024 Investors looking for growth in their portfolio may want to consider the prospects of a company before buying its shares. Although value investors would argue that it’s the intrinsic value relative to the price that matter the most, a more compelling investment thesis would be high growth potential at a cheap price. With profit expected to grow by 35% over the next couple of years, the future seems bright for HELLA GmbH KGaA. It looks like higher cash flow is on the cards for the stock, which should feed into a higher share valuation. What This Means For You Are you a shareholder? HLE’s optimistic future growth appears to have been factored into the current share price, with shares trading above industry price multiples. At this current price, shareholders may be asking a different question – should I sell? If you believe HLE should trade below its current price, selling high and buying it back up again when its price falls towards the industry PE ratio can be profitable. But before you make this decision, take a look at whether its fundamentals have changed. Are you a potential investor? If you’ve been keeping tabs on HLE for some time, now may not be the best time to enter into the stock. The price has surpassed its industry peers, which means it is likely that there is no more upside from mispricing. However, the positive outlook is encouraging for HLE, which means it’s worth diving deeper into other factors in order to take advantage of the next price drop. Story Continues It can be quite valuable to consider what analysts expect for HELLA GmbH KGaA from their most recent forecasts. At Simply Wall St, we have the analysts estimates which you can view by clicking here. If you are no longer interested in HELLA GmbH KGaA, you can use our free platform to see our list of over 50 other stocks with a high growth potential. Have feedback on this article? Concerned about the content?Get in touch with us directly. Alternatively, email editorial-team (at) simplywallst.com. This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned. View Comments |
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| 01.10.24 11:56:44 | Pulling back 4.8% this week, HELLA GmbH KGaA's ETR:HLE) five-year decline in earnings may be coming into investors focus | |
| When you buy shares in a company, it's worth keeping in mind the possibility that it could fail, and you could lose your money. But on a lighter note, a good company can see its share price rise well over 100%. For example, the HELLA GmbH & Co. KGaA (ETR:HLE) share price has soared 112% in the last half decade. Most would be very happy with that. On the other hand, the stock price has retraced 4.8% in the last week. While this past week has detracted from the company's five-year return, let's look at the recent trends of the underlying business and see if the gains have been in alignment. See our latest analysis for HELLA GmbH KGaA To quote Buffett, 'Ships will sail around the world but the Flat Earth Society will flourish. There will continue to be wide discrepancies between price and value in the marketplace...' By comparing earnings per share (EPS) and share price changes over time, we can get a feel for how investor attitudes to a company have morphed over time. During five years of share price growth, HELLA GmbH KGaA actually saw its EPS drop 12% per year. This means it's unlikely the market is judging the company based on earnings growth. Because earnings per share don't seem to match up with the share price, we'll take a look at other metrics instead. The modest 0.8% dividend yield is unlikely to be propping up the share price. On the other hand, HELLA GmbH KGaA's revenue is growing nicely, at a compound rate of 4.8% over the last five years. It's quite possible that management are prioritizing revenue growth over EPS growth at the moment. The company's revenue and earnings (over time) are depicted in the image below (click to see the exact numbers). earnings-and-revenue-growth If you are thinking of buying or selling HELLA GmbH KGaA stock, you should check out this FREEdetailed report on its balance sheet. What About Dividends? When looking at investment returns, it is important to consider the difference between total shareholder return (TSR) and share price return. The TSR is a return calculation that accounts for the value of cash dividends (assuming that any dividend received was reinvested) and the calculated value of any discounted capital raisings and spin-offs. So for companies that pay a generous dividend, the TSR is often a lot higher than the share price return. As it happens, HELLA GmbH KGaA's TSR for the last 5 years was 127%, which exceeds the share price return mentioned earlier. And there's no prize for guessing that the dividend payments largely explain the divergence! Story continues A Different Perspective It's nice to see that HELLA GmbH KGaA shareholders have received a total shareholder return of 26% over the last year. Of course, that includes the dividend. Since the one-year TSR is better than the five-year TSR (the latter coming in at 18% per year), it would seem that the stock's performance has improved in recent times. Someone with an optimistic perspective could view the recent improvement in TSR as indicating that the business itself is getting better with time. Before forming an opinion on HELLA GmbH KGaA you might want to consider these 3 valuation metrics. We will like HELLA GmbH KGaA better if we see some big insider buys. While we wait, check out this freelist of undervalued stocks (mostly small caps) with considerable, recent, insider buying. Please note, the market returns quoted in this article reflect the market weighted average returns of stocks that currently trade on German exchanges. Have feedback on this article? Concerned about the content?Get in touch with us directly. Alternatively, email editorial-team (at) simplywallst.com. This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned. View comments |
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| 11.09.24 05:32:33 | The Returns At HELLA GmbH KGaA (ETR:HLE) Aren't Growing | |
| If we want to find a potential multi-bagger, often there are underlying trends that can provide clues. Firstly, we'd want to identify a growing return on capital employed (ROCE) and then alongside that, an ever-increasing base of capital employed. Ultimately, this demonstrates that it's a business that is reinvesting profits at increasing rates of return. Having said that, from a first glance at HELLA GmbH KGaA (ETR:HLE) we aren't jumping out of our chairs at how returns are trending, but let's have a deeper look. Understanding Return On Capital Employed (ROCE) For those who don't know, ROCE is a measure of a company's yearly pre-tax profit (its return), relative to the capital employed in the business. The formula for this calculation on HELLA GmbH KGaA is: Return on Capital Employed = Earnings Before Interest and Tax (EBIT) ÷ (Total Assets - Current Liabilities) 0.089 = €424m ÷ (€7.5b - €2.7b) (Based on the trailing twelve months to June 2024). So, HELLA GmbH KGaA has an ROCE of 8.9%. Even though it's in line with the industry average of 8.6%, it's still a low return by itself. Check out our latest analysis for HELLA GmbH KGaA roce In the above chart we have measured HELLA GmbH KGaA's prior ROCE against its prior performance, but the future is arguably more important. If you'd like, you can check out the forecasts from the analysts covering HELLA GmbH KGaA for free. What The Trend Of ROCE Can Tell Us There hasn't been much to report for HELLA GmbH KGaA's returns and its level of capital employed because both metrics have been steady for the past five years. It's not uncommon to see this when looking at a mature and stable business that isn't re-investing its earnings because it has likely passed that phase of the business cycle. So don't be surprised if HELLA GmbH KGaA doesn't end up being a multi-bagger in a few years time. The Key Takeaway In a nutshell, HELLA GmbH KGaA has been trudging along with the same returns from the same amount of capital over the last five years. Yet to long term shareholders the stock has gifted them an incredible 130% return in the last five years, so the market appears to be rosy about its future. Ultimately, if the underlying trends persist, we wouldn't hold our breath on it being a multi-bagger going forward. If you're still interested in HELLA GmbH KGaA it's worth checking out our FREE intrinsic value approximation for HLE to see if it's trading at an attractive price in other respects. While HELLA GmbH KGaA isn't earning the highest return, check out this freelist of companies that are earning high returns on equity with solid balance sheets. Have feedback on this article? Concerned about the content?Get in touch with us directly. Alternatively, email editorial-team (at) simplywallst.com. This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned. View comments |
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| 12.07.24 05:36:43 | At €86.50, Is It Time To Put HELLA GmbH & Co. KGaA (ETR:HLE) On Your Watch List? | |
| Let's talk about the popular HELLA GmbH & Co. KGaA (ETR:HLE). The company's shares had a relatively subdued couple of weeks in terms of changes in share price, which continued to float around the range of €81.40 to €86.50. However, is this the true valuation level of the large-cap? Or is it currently undervalued, providing us with the opportunity to buy? Let’s take a look at HELLA GmbH KGaA’s outlook and value based on the most recent financial data to see if there are any catalysts for a price change. See our latest analysis for HELLA GmbH KGaA Is HELLA GmbH KGaA Still Cheap? According to our valuation model, HELLA GmbH KGaA seems to be fairly priced at around 7.69% above our intrinsic value, which means if you buy HELLA GmbH KGaA today, you’d be paying a relatively reasonable price for it. And if you believe the company’s true value is €80.33, there’s only an insignificant downside when the price falls to its real value. Is there another opportunity to buy low in the future? Since HELLA GmbH KGaA’s share price is quite volatile, we could potentially see it sink lower (or rise higher) in the future, giving us another chance to buy. This is based on its high beta, which is a good indicator for how much the stock moves relative to the rest of the market. Can we expect growth from HELLA GmbH KGaA? earnings-and-revenue-growth Future outlook is an important aspect when you’re looking at buying a stock, especially if you are an investor looking for growth in your portfolio. Buying a great company with a robust outlook at a cheap price is always a good investment, so let’s also take a look at the company's future expectations. With profit expected to grow by 99% over the next couple of years, the future seems bright for HELLA GmbH KGaA. It looks like higher cash flow is on the cards for the stock, which should feed into a higher share valuation. What This Means For You Are you a shareholder? It seems like the market has already priced in HLE’s positive outlook, with shares trading around its fair value. However, there are also other important factors which we haven’t considered today, such as the financial strength of the company. Have these factors changed since the last time you looked at the stock? Will you have enough conviction to buy should the price fluctuates below the true value? Are you a potential investor? If you’ve been keeping tabs on HLE, now may not be the most advantageous time to buy, given it is trading around its fair value. However, the positive outlook is encouraging for the company, which means it’s worth diving deeper into other factors such as the strength of its balance sheet, in order to take advantage of the next price drop. Story continues With this in mind, we wouldn't consider investing in a stock unless we had a thorough understanding of the risks. Every company has risks, and we've spotted 1 warning sign for HELLA GmbH KGaA you should know about. If you are no longer interested in HELLA GmbH KGaA, you can use our free platform to see our list of over 50 other stocks with a high growth potential. Have feedback on this article? Concerned about the content?Get in touch with us directly. Alternatively, email editorial-team (at) simplywallst.com. This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned. Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team@simplywallst.com View comments |
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| 21.05.24 06:23:13 | Is HELLA GmbH & Co. KGaA's (ETR:HLE) Recent Performance Tethered To Its Attractive Financial Prospects? | |
| HELLA GmbH KGaA's (ETR:HLE) stock is up by 5.2% over the past three months. Given its impressive performance, we decided to study the company's key financial indicators as a company's long-term fundamentals usually dictate market outcomes. Specifically, we decided to study HELLA GmbH KGaA's ROE in this article. Return on equity or ROE is a key measure used to assess how efficiently a company's management is utilizing the company's capital. Simply put, it is used to assess the profitability of a company in relation to its equity capital. Check out our latest analysis for HELLA GmbH KGaA How Is ROE Calculated? ROE can be calculated by using the formula: Return on Equity = Net Profit (from continuing operations) ÷ Shareholders' Equity So, based on the above formula, the ROE for HELLA GmbH KGaA is: 8.7% = €261m ÷ €3.0b (Based on the trailing twelve months to March 2024). The 'return' is the profit over the last twelve months. One way to conceptualize this is that for each €1 of shareholders' capital it has, the company made €0.09 in profit. What Is The Relationship Between ROE And Earnings Growth? We have already established that ROE serves as an efficient profit-generating gauge for a company's future earnings. We now need to evaluate how much profit the company reinvests or "retains" for future growth which then gives us an idea about the growth potential of the company. Assuming all else is equal, companies that have both a higher return on equity and higher profit retention are usually the ones that have a higher growth rate when compared to companies that don't have the same features. HELLA GmbH KGaA's Earnings Growth And 8.7% ROE To start with, HELLA GmbH KGaA's ROE looks acceptable. And on comparing with the industry, we found that the the average industry ROE is similar at 10%. Consequently, this likely laid the ground for the decent growth of 7.3% seen over the past five years by HELLA GmbH KGaA. We then compared HELLA GmbH KGaA's net income growth with the industry and found that the company's growth figure is lower than the average industry growth rate of 23% in the same 5-year period, which is a bit concerning. past-earnings-growth The basis for attaching value to a company is, to a great extent, tied to its earnings growth. What investors need to determine next is if the expected earnings growth, or the lack of it, is already built into the share price. This then helps them determine if the stock is placed for a bright or bleak future. One good indicator of expected earnings growth is the P/E ratio which determines the price the market is willing to pay for a stock based on its earnings prospects. So, you may want to check if HELLA GmbH KGaA is trading on a high P/E or a low P/E, relative to its industry. Story continues Is HELLA GmbH KGaA Making Efficient Use Of Its Profits? HELLA GmbH KGaA has a three-year median payout ratio of 30%, which implies that it retains the remaining 70% of its profits. This suggests that its dividend is well covered, and given the decent growth seen by the company, it looks like management is reinvesting its earnings efficiently. Besides, HELLA GmbH KGaA has been paying dividends over a period of nine years. This shows that the company is committed to sharing profits with its shareholders. Based on the latest analysts' estimates, we found that the company's future payout ratio over the next three years is expected to hold steady at 30%. Regardless, the future ROE for HELLA GmbH KGaA is predicted to rise to 14% despite there being not much change expected in its payout ratio. Summary Overall, we are quite pleased with HELLA GmbH KGaA's performance. Particularly, we like that the company is reinvesting heavily into its business, and at a high rate of return. As a result, the decent growth in its earnings is not surprising. With that said, the latest industry analyst forecasts reveal that the company's earnings are expected to accelerate. To know more about the latest analysts predictions for the company, check out this visualization of analyst forecasts for the company. Have feedback on this article? Concerned about the content?Get in touch with us directly. Alternatively, email editorial-team (at) simplywallst.com. This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned. View comments |
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