adidas AG (DE:ADS)
XETRA:ADS
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adidas AG
(XETRA:ADS)
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Rating:64Neutral
Price Target:
€187.00
▲(27.73% Upside)
Action:Reiterated
Date:05/02/26
The score is driven primarily by improving financial performance (clear earnings recovery and stabilized revenue) tempered by uneven cash-flow consistency and only moderate balance-sheet flexibility. Technicals are mixed, with short-term strength but a weaker long-term trend. Valuation is supportive, with a reasonable P/E and a modest dividend yield.
Positive Factors
Improving profitability margins
Adidas’s trailing‑twelve‑month margins have rebounded materially versus the loss year, reflecting better product mix and cost control. Sustained mid‑single-digit EBIT and healthy gross margins support reinvestment, R&D and marketing, making earnings recovery durable if execution continues.
Negative Factors
Moderate leverage reducing flexibility
Net debt roughly equal to equity means balance sheet flexibility is constrained versus pre‑pandemic norms. In a slower sales environment this raises refinancing and interest risks, and limits the ability to pursue sizable acquisitions or aggressive share buybacks without improving leverage.
Read all positive and negative factors
Positive Factors
Negative Factors
Improving profitability margins
Adidas’s trailing‑twelve‑month margins have rebounded materially versus the loss year, reflecting better product mix and cost control. Sustained mid‑single-digit EBIT and healthy gross margins support reinvestment, R&D and marketing, making earnings recovery durable if execution continues.
Read all positive factors
adidas AG (ADS) vs. iShares MSCI Germany ETF (EWG)
Market Cap
€31.23B
Dividend Yield1.22%
Average Volume (3M)481.99K
Price to Earnings (P/E)22.8
Beta (1Y)1.25
Revenue Growth3.58%
EPS Growth36.23%
CountryDE
Employees46,045
SectorGeneral
Sector StrengthN/A
IndustryApparel - Footwear & Accessories
Share Statistics
EPS (TTM)7.80
Shares Outstanding180,000,000
10 Day Avg. Volume411,656
30 Day Avg. Volume481,994
Financial Highlights & Ratios
PEG Ratio0.30
Price to Book (P/B)5.23
Price to Sales (P/S)1.22
P/FCF Ratio110.17
Enterprise Value/Market CapN/A
Enterprise Value/RevenueN/A
Enterprise Value/Gross ProfitN/A
Enterprise Value/EbitdaN/A
Forecast
1Y Price Target
€208.00Price Target Upside42.08% Upside
Rating ConsensusStrong Buy
Number of Analyst Covering13
EPS Forecast (FY)9.41
Revenue Forecast (FY)€26.52B
adidas AG Business Overview & Revenue Model
Company Description
Globally, adidas AG is involved in the creation, development, distribution, and marketing of athletic and sports-inspired lifestyle merchandise. Under the well-known adidas brand, the company's offerings include footwear, apparel, and a variety of...
How the Company Makes Money
adidas AG primarily makes money by selling branded sporting goods (footwear, apparel, and accessories) through two main routes: wholesale and direct-to-consumer (DTC). In wholesale, adidas sells inventory in bulk to third-party retailers (e.g., sp...
adidas AG Financial Statement Overview
Summary
Income Statement
74
Positive
Balance Sheet
63
Positive
Cash Flow
58
Neutral
| Breakdown | TTM | Dec 2025 | Dec 2024 | Dec 2023 | Dec 2022 | Dec 2021 |
|---|---|---|---|---|---|---|
Income Statement | ||||||
| Total Revenue | 25.25B | 24.81B | 23.68B | 21.43B | 22.51B | 21.23B |
| Gross Profit | 12.97B | 11.69B | 12.03B | 10.18B | 10.64B | 10.77B |
| EBITDA | 3.31B | 3.09B | 2.51B | 785.00M | 1.75B | 3.11B |
| Net Income | 1.39B | 1.34B | 764.00M | -75.00M | 254.00M | 1.49B |
Balance Sheet | ||||||
| Total Assets | 20.45B | 20.26B | 20.66B | 18.02B | 20.30B | 22.14B |
| Cash, Cash Equivalents and Short-Term Investments | 1.49B | 1.64B | 2.48B | 1.48B | 966.00M | 3.94B |
| Total Debt | 5.95B | 5.55B | 5.59B | 5.56B | 6.46B | 5.33B |
| Total Liabilities | 14.11B | 14.14B | 14.79B | 13.10B | 14.95B | 14.30B |
| Stockholders Equity | 5.99B | 5.78B | 5.48B | 4.58B | 4.99B | 7.52B |
Cash Flow | ||||||
| Free Cash Flow | 851.00M | 274.00M | 2.37B | 2.05B | -1.17B | 2.52B |
| Operating Cash Flow | 1.33B | 751.00M | 2.91B | 2.55B | -479.00M | 3.19B |
| Investing Cash Flow | -487.00M | -404.00M | -356.00M | -451.00M | 495.00M | -424.00M |
| Financing Cash Flow | -1.35B | -1.10B | -1.56B | -1.43B | -2.96B | -2.99B |
adidas AG Technical Analysis
Positive
146.40
Price Trends
152.53
Positive
147.64
Positive
157.17
Positive
Market Momentum
6.89
Negative
66.19
Neutral
73.58
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For DE:ADS, the sentiment is Positive. The current price of 146.4 is below the 20-day moving average (MA) of 168.00, below the 50-day MA of 152.53, and below the 200-day MA of 157.17, indicating a bullish trend. The MACD of 6.89 indicates Negative momentum. The RSI at 66.19 is Neutral, neither overbought nor oversold. The STOCH value of 73.58 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for DE:ADS.
adidas AG Peers Comparison
UnderperformOutperform
Sector (55)
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
69 Neutral | €15.54B | 23.99 | 7.77% | 1.08% | 0.02% | 4.88% | |
64 Neutral | €31.23B | 22.82 | 24.59% | 1.22% | 3.58% | 36.23% | |
61 Neutral | €35.60B | 5.30 | 7.21% | 4.72% | -6.32% | 6.34% | |
59 Neutral | €332.79M | -573.34 | -0.18% | 1.84% | -7.98% | -106.63% | |
55 Neutral | $6.65B | 3.83 | -15.92% | 6.20% | 10.91% | 7.18% | |
52 Neutral | €4.14B | -6.71 | -31.81% | 2.83% | -19.42% | -420.94% |
* General Sector Average
DE:ADS
adidas AG
174.90
-18.42
-9.53%
DE:PUM
PUMA SE NPV
28.23
7.17
34.05%
DE:BEI
Beiersdorf
71.60
-34.20
-32.33%
DE:BIJ
Bijou Brigitte Modische Accessoires
53.80
14.38
36.49%
DE:BMW3
Bayerische Motoren Werke
59.95
-4.18
-6.52%
DE:BVB
Borussia Dortmund GmbH & Co. KGaA
3.02
-0.75
-19.84%
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
Disclaimer
This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.