Carl Zeiss Meditec (AFX) AI Stock Analysis

• Market Cap: €4.58B
• Dividend Yield: 1.19%
• Average Volume (3M): 149.85K
• Price to Earnings (P/E): 28.9
• Beta (1Y): 1.51
• Revenue Growth: 5.21%
• EPS Growth: -39.36%
• Country: DE
• Employees: 2,066
• Sector: Healthcare
• Sector Strength: 44
• Industry: Medical - Instruments & Supplies
• EPS (TTM): 0.52
• Shares Outstanding: 89,440,570
• 10 Day Avg. Volume: 161,276
• 30 Day Avg. Volume: 149,846
• PEG Ratio: -1.51
• Price to Book (P/B): 2.17
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 42.58
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: €62.55
• Price Target Upside: 22.77% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 11

• Rating: 62 Neutral
• Price Target: €62.00 ▲(21.69%Upside)

Carl Zeiss Meditec's overall stock score is driven primarily by its strong financial performance, which is slightly offset by mixed technical indicators and a high valuation. The lack of significant earnings call data or corporate events limits the score impact from these areas.

Positive Factors

Market Growth

Management mentions a clear upturn in refractive consumables in China, indicating a positive Chinese growth contribution.

Product Launch

Approval of Visumax 800 in China should drive better equipment revenue during H2.

Negative Factors

Profitability Concerns

There may be questions over DORC's profitability as operating expenses are mounting.

Tariff Impact

Tariffs notably affect manufacturing in Germany and Singapore, which could impact guidance adjustments.

Carl Zeiss Meditec Business Overview & Revenue Model

Company Description

Carl Zeiss Meditec AG operates as a medical technology company in Germany, rest of Europe, the United States, Asia, and internationally. It operates in two segments, Ophthalmic Devices and Microsurgery. The Ophthalmic Devices segment offers products and solutions for the diagnosis and treatment of eye diseases; and systems and consumables for cataract, retinal, and refractive surgeries. It serves practicing ophthalmologists and optometrists, as well as physicians and surgeons in hospitals and outpatient surgery centers. The Microsurgery segment offers visualization solutions for invasive surgical treatments; and solutions in the area of ear, nose and throat, plastic and reconstructive, dental and spinal surgeries. It serves physicians in various fields and hospitals. The company was founded in 1846 and is headquartered in Jena, Germany. Carl Zeiss Meditec AG is a subsidiary of Carl Zeiss AG.

How the Company Makes Money

Carl Zeiss Meditec generates revenue through the sale of advanced medical technology products and services. The company's key revenue streams include the sale of ophthalmic diagnostic devices, surgical ophthalmology equipment, and microsurgery visualization systems. Additionally, Carl Zeiss Meditec offers associated consumables, software solutions, and service contracts which contribute significantly to its earnings. The company benefits from strategic partnerships with healthcare providers and research institutions, enhancing its market reach and fostering innovation. This combination of product sales, service offerings, and strategic alliances underpins the company's financial success.

Carl Zeiss Meditec Financial Statement Overview

Summary

Carl Zeiss Meditec exhibits strong profitability and operational efficiency with a solid Gross Profit Margin and Net Income growth. The company has a low Debt-to-Equity Ratio, indicating strong solvency. However, there is a moderate risk from liabilities and plateauing growth.

Income Statement

Carl Zeiss Meditec shows a strong Gross Profit Margin and consistent Net Income growth, indicating solid profitability and operational efficiency. The Revenue Growth Rate is positive but has slowed down in recent years, suggesting a potential plateau in growth. Both EBIT and EBITDA margins are healthy, indicating good control over costs.

Balance Sheet

The company's Debt-to-Equity Ratio is low, showing strong solvency and low reliance on debt financing. ROE is robust, emphasizing effective use of equity to generate profits. However, the Equity Ratio is relatively low due to substantial liabilities, which could pose a risk if not managed carefully.

Cash Flow

The company has a stable Free Cash Flow, although growth has been modest. Operating Cash Flow to Net Income Ratio is strong, reflecting efficient cash generation from operations. However, Free Cash Flow to Net Income has fluctuated, indicating variability in cash availability for reinvestment and financing.

Breakdown	TTM	Sep 2024	Sep 2023	Sep 2022	Sep 2021	Sep 2020
Income Statement
Total Revenue	2.17B	2.07B	2.09B	1.90B	1.65B	1.34B
Gross Profit	1.14B	1.09B	1.21B	1.13B	967.21M	745.52M
EBITDA	248.79M	403.06M	502.77M	482.36M	409.21M	266.41M
Net Income	155.89M	178.73M	290.40M	293.91M	236.28M	122.39M
Balance Sheet
Total Assets	3.47B	3.39B	3.03B	2.82B	2.40B	2.01B
Cash, Cash Equivalents and Short-Term Investments	51.45M	20.29M	10.60M	7.73M	7.44M	5.20M
Total Debt	146.87M	151.35M	155.70M	127.90M	121.27M	68.61M
Total Liabilities	1.38B	1.34B	860.02M	792.73M	718.59M	562.73M
Stockholders Equity	2.08B	2.04B	2.16B	2.02B	1.66B	1.43B
Cash Flow
Free Cash Flow	106.19M	95.11M	137.00M	106.23M	296.56M	133.54M
Operating Cash Flow	166.49M	247.32M	250.86M	188.20M	362.66M	178.53M
Investing Cash Flow	-444.91M	-412.31M	-110.98M	-148.89M	-75.20M	-71.95M
Financing Cash Flow	703.01M	176.25M	-135.09M	-38.24M	-285.89M	-122.96M

Carl Zeiss Meditec Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 50.95
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For DE:AFX, the sentiment is Negative. The current price of 50.95 is below the 20-day moving average (MA) of 54.03, below the 50-day MA of 57.58, and below the 200-day MA of 56.90, indicating a bearish trend. The MACD of -1.98 indicates Positive momentum. The RSI at 32.91 is Neutral, neither overbought nor oversold. The STOCH value of 13.99 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for DE:AFX.

Carl Zeiss Meditec Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
AFX	62 Neutral	€4.58B	28.91	7.48%	1.19%	5.21%	-39.36%
Sector *	46 Neutral	C$197.02M	-3.33	-23.14%	2.65%	20.75%	-0.36%
0N6Z	―	€1.40B	61.76	-4.72%	0.10%	―	―
0K5E	―	€1.20B	10.54	8.06%	2.92%	―	―
0NZY	―	€1.42B	41.73	17.48%	1.48%	―	―
0H9X	―	€13.61B	22.11	4.37%	3.10%	―	―
0NIQ	―	€13.24B	125.71	3.55%	0.43%	―	―