Fuchs Petrolub (FPE) AI Stock Analysis

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Fuchs Petrolub

(XETRA:FPE)

Rating:66Neutral

Price Target:

€33.00

▲(5.43% Upside)

Fuchs Petrolub's overall stock score reflects a stable financial performance with strong balance sheet metrics and healthy cash flows. However, the recent decline in revenue growth and bearish technical indicators weigh on the score. The valuation is attractive with a low P/E ratio and a solid dividend yield, but the cautious outlook from the earnings call suggests potential challenges ahead.

Fuchs Petrolub (FPE) vs. iShares MSCI Germany ETF (EWG)

Market Cap

€4.73B

Dividend Yield3.75%

Average Volume (3M)29.80K

Price to Earnings (P/E)14.1

Beta (1Y)0.79

Revenue Growth2.35%

EPS Growth-0.09%

CountryDE

Employees6,818

SectorBasic Materials

Sector Strength58

IndustryChemicals - Specialty

Share Statistics

EPS (TTM)0.51

Shares Outstanding65,500,000

10 Day Avg. Volume32,351

30 Day Avg. Volume29,804

Financial Highlights & Ratios

PEG Ratio1.90

Price to Book (P/B)2.89

Price to Sales (P/S)1.56

P/FCF Ratio17.85

Enterprise Value/Market CapN/A

Enterprise Value/RevenueN/A

Enterprise Value/Gross ProfitN/A

Enterprise Value/EbitdaN/A

Forecast

1Y Price Target

€40.50

Price Target Upside29.39% Upside

Rating ConsensusModerate Buy

Number of Analyst Covering2

Fuchs Petrolub Business Overview & Revenue Model

Company DescriptionFuchs Petrolub SE is a global leader in the production and distribution of lubricants and related specialty products. Founded in 1931 and headquartered in Mannheim, Germany, the company operates in various sectors including automotive, industrial, and metalworking. Fuchs offers a comprehensive range of high-performance lubricants, greases, and services tailored to meet the needs of diverse industries, ensuring optimal performance and protection for machinery and vehicles.

How the Company Makes MoneyFuchs Petrolub generates revenue primarily through the sale of its lubricants and specialty products across different industries. The company's revenue model is based on a combination of direct sales, contracts with large industrial clients, and distribution partnerships worldwide. Key revenue streams include automotive lubricants, industrial lubricants, and metalworking fluids, with a significant portion of sales derived from long-term contracts with major clients in sectors such as automotive manufacturing and heavy machinery. Additionally, Fuchs benefits from a global network of subsidiaries and distributors that enhance its market reach. Strategic partnerships with automotive manufacturers and industry leaders further contribute to its earnings by providing exclusive product lines and tailored solutions that meet specific industry requirements.

Fuchs Petrolub Earnings Call Summary

Earnings Call Date:Jul 31, 2025

(Q2-2025)

% Change Since: 0.48%|

Next Earnings Date:Oct 31, 2025

Earnings Call Sentiment Neutral

The earnings call presented a mixed picture. While there were positive aspects such as sales growth and strong performance in Asia-Pacific, significant challenges in North America and Europe, along with a revision in guidance, indicate difficulties. The sentiment leans towards a cautious outlook for the second half of the year.

Q2-2025 Updates

Positive Updates

Sales Growth Despite Market Conditions

FUCHS SE managed to grow sales by 2% year-over-year in the first half of the year, driven by both internal growth and recent acquisitions.

Strong Free Cash Flow

The company reported a strong free cash flow before acquisitions of EUR 81 million, exceeding the previous year's EUR 69 million.

Positive Performance in Asia-Pacific

Asia-Pacific, especially China and India, delivered a very strong performance, supported by local production and strategic investments.

Celebration of 40 Years on the Stock Exchange

FUCHS celebrated its 40th anniversary on the stock exchange, with a record of consistent profitability and dividend payments.

Negative Updates

Revised Full Year 2025 Guidance

The company revised its full-year 2025 guidance due to a weak market outlook, expecting no significant recovery and a 6% reduction in EBIT guidance.

Challenges in North America

North America faced significant challenges, with a decline in EBIT due to an unfavorable product mix and inflationary cost increases.

Weak Demand in Europe

Economic softness across Europe, particularly in the automotive sector in Germany, contributed to an organic sales decline in EMEA.

Net Liquidity Decrease

Despite strong operational cash flow, the company's net liquidity decreased to a negative EUR 59 million due to dividend payments and acquisition-related investments.

Company Guidance

In the 2025 half-year results analyst conference call, FUCHS SE provided updated guidance amid a challenging market environment. The company revised its full-year 2025 EBIT guidance down by 6%, citing weak demand, particularly in the Americas, and inflationary pressures impacting costs. Despite these challenges, FUCHS reported a 2% year-over-year increase in sales for the first half, driven by internal growth and recent acquisitions, including BOSS, IRMCO, LUBCON, and the STRUB Group. The company expects sales to remain flat year-over-year, with slightly higher volumes offset by negative currency effects. Free cash flow before acquisitions was strong at EUR 81 million, exceeding the previous year's EUR 69 million, and is projected to reach around EUR 260 million by year-end. FUCHS also highlighted strategic investments and market share gains in regions like Asia-Pacific and South America, while facing profitability challenges in the U.S. due to an unfavorable product mix and cost increases.

Fuchs Petrolub Financial Statement Overview

Summary

Fuchs Petrolub maintains strong revenue growth and stable profitability margins. Despite recent EBIT and free cash flow fluctuations, the balance sheet is robust with low leverage and substantial equity, providing financial stability.

Income Statement

Positive

Fuchs Petrolub has shown consistent revenue growth over the years, with a slight decrease in the most recent period. The company maintains a strong gross profit margin, though there was a notable drop in EBIT margin in the latest year due to zero EBIT, impacting profitability analysis. Net profit margin remains stable, reflecting effective cost management.

Balance Sheet

Very Positive

The company exhibits a strong equity position with a low debt-to-equity ratio, indicating low financial leverage and risk. The return on equity shows stability, supporting efficient use of resources. The equity ratio suggests a healthy balance sheet with substantial equity financing.

Cash Flow

Positive

Fuchs Petrolub displays fluctuating free cash flow, with a decrease in the latest year. However, operating cash flow remains strong, consistently exceeding net income, which is a positive indicator of cash generation ability. The free cash flow to net income ratio has decreased, suggesting areas for improvement in cash management.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	3.56B	3.52B	3.54B	3.41B	2.87B	2.38B
Gross Profit	1.23B	1.22B	1.15B	1.05B	965.00M	854.00M
EBITDA	533.00M	537.00M	514.00M	457.00M	438.00M	393.00M
Net Income	291.00M	302.00M	282.00M	259.00M	253.00M	220.00M
Balance Sheet
Total Assets	2.60B	2.61B	2.42B	2.52B	2.31B	2.12B
Cash, Cash Equivalents and Short-Term Investments	134.00M	153.00M	175.00M	119.00M	146.00M	209.00M
Total Debt	193.00M	112.00M	63.00M	179.00M	49.00M	30.00M
Total Liabilities	785.00M	710.00M	619.00M	682.00M	555.00M	540.00M
Stockholders Equity	1.81B	1.90B	1.80B	1.84B	1.75B	1.58B
Cash Flow
Free Cash Flow	351.00M	307.00M	460.00M	59.00M	89.00M	238.00M
Operating Cash Flow	406.00M	390.00M	543.00M	128.00M	169.00M	360.00M
Investing Cash Flow	-211.00M	-185.00M	-82.00M	-69.00M	-108.00M	-236.00M
Financing Cash Flow	-186.00M	-228.00M	-400.00M	-86.00M	-132.00M	-134.00M

Fuchs Petrolub Technical Analysis

Technical Analysis Sentiment

Negative

Last Price31.30

Price Trends

50DMA

34.17

Negative

100DMA

33.43

Negative

200DMA

32.86

Negative

Market Momentum

MACD

-0.97

Negative

RSI

36.41

Neutral

STOCH

44.82

Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For DE:FPE, the sentiment is Negative. The current price of 31.3 is below the 20-day moving average (MA) of 31.84, below the 50-day MA of 34.17, and below the 200-day MA of 32.86, indicating a bearish trend. The MACD of -0.97 indicates Negative momentum. The RSI at 36.41 is Neutral, neither overbought nor oversold. The STOCH value of 44.82 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for DE:FPE.

Fuchs Petrolub Peers Comparison

Overall Rating

UnderperformOutperform

Sector (44)

Financial Indicators

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
ACT	66 Neutral	€1.50B	25.83	29.12%	1.21%	1.03%	25.48%
FPE	66 Neutral	€4.73B	14.12	16.29%	3.75%	2.35%	-0.09%
BNR	65 Neutral	€7.96B	15.04	11.49%	3.75%	0.10%	-15.09%
EVK	64 Neutral	€7.96B	18.78	4.87%	6.96%	-2.62%	―
WCH	64 Neutral	$3.34B	13.84	5.37%	3.82%	-10.63%	-23.15%
LXS	56 Neutral	$2.22B	―	-3.00%	0.40%	-0.97%	-134.96%
Sector *	44 Neutral	C$915.00M	-8.74	-0.23%	2.71%	20.34%	-40.71%

* Basic Materials Sector Average

Performance Comparison

DE:FPE

Fuchs Petrolub

30.90

0.48

1.58%

DE:EVK

Evonik

16.82

-0.21

-1.22%

DE:WCH

Wacker Chemie AG

65.50

-15.37

-19.00%

DE:BNR

Brenntag AG

55.12

-6.44

-10.46%

DE:ACT

AlzChem Group AG

147.60

97.31

193.50%

DE:LXS

LANXESS

24.80

2.26

10.01%

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.Date of analysis: Aug 06, 2025