Henkel AG & Co. KGaA (HEN3) AI Stock Analysis

• Market Cap: €27.75B
• Dividend Yield: 2.92%
• Average Volume (3M): 485.29K
• Price to Earnings (P/E): 14.6
• Beta (1Y): 0.47
• Revenue Growth: 0.33%
• EPS Growth: 52.39%
• Country: DE
• Employees: 47,150
• Sector: Consumer Defensive
• Sector Strength: 61
• Industry: Household & Personal Products
• EPS (TTM): 1.39
• Shares Outstanding: 178,162,870
• 10 Day Avg. Volume: 493,640
• 30 Day Avg. Volume: 485,289
• PEG Ratio: 0.50
• Price to Book (P/B): 1.46
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 10.81
• 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: €81.35
• Price Target Upside: 17.05% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 15

• Rating: 70 Outperform
• Price Target: €77.00 ▲(10.79%Upside)

Henkel AG & Co. KGaA maintains strong financial performance with robust profitability and cash flow management, which is the key driver of the stock score. The technical analysis indicates neutral momentum, balancing out the stock's fair valuation given the P/E ratio and dividend yield. The absence of significant earnings call insights or corporate events keeps the focus on financial health and market trends.

Positive Factors

Adhesives Business

Henkel has a leading adhesives business, being the only company with strong market positions across industries, regions and technologies, including 12 leading technology platforms that should support market share gains in strategic segments.

Valuation

A cheap valuation, cost savings for Consumer Brands and the commencement of its share buyback programme may be supportive.

Negative Factors

Sales Growth

Henkel recorded weaker-than-expected +1.1% organic sales growth in 4Q24 with both Adhesives and Consumer Brands coming in below expectations.

Volume Decline

The main surprise in Q1 was a weaker-than-feared volume decline for Consumer Brands due to subdued consumer sentiment, customer destocking and supply chain challenges.

Henkel AG & Co. KGaA Business Overview & Revenue Model

Company Description

Henkel AG & Co. KGaA is a global company headquartered in Düsseldorf, Germany, specializing in three core sectors: Adhesive Technologies, Beauty Care, and Laundry & Home Care. Established in 1876, Henkel is known for its leading brands and technologies in adhesives, sealants, and functional coatings. The company serves both industrial and consumer markets with a broad portfolio of consumer goods, including hair care, body care, skin care, and household cleaning products.

How the Company Makes Money

Henkel AG & Co. KGaA generates revenue through its diversified portfolio across three main business sectors. In the Adhesive Technologies sector, Henkel provides high-impact solutions for industrial applications, which include adhesives, sealants, and functional coatings for various industries such as automotive, electronics, and packaging. This sector is the largest contributor to Henkel's revenue. The Beauty Care segment focuses on consumer products like hair care, styling, and personal care items, with brands like Schwarzkopf and Syoss. Meanwhile, the Laundry & Home Care sector includes products for laundry detergents and household cleaners, with brands like Persil and Purex. Henkel's revenue model is supported by its strong brand portfolio, significant investments in innovation, and strategic acquisitions to expand market reach and enhance product offerings.

Henkel AG & Co. KGaA Financial Statement Overview

Summary

Income Statement

Balance Sheet

Cash Flow

Breakdown
TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement		Total Revenue
21.40B	21.59B	21.51B	22.40B	20.07B	19.25B
	Gross Profit
10.44B	10.82B	9.84B	9.47B	9.07B	8.99B
	EBIT
3.06B	2.83B	2.01B	2.15B	2.58B	2.24B
	EBITDA
3.70B	3.68B	2.80B	2.59B	2.95B	2.74B
	Net Income Common Stockholders
1.78B	2.01B	1.32B	1.26B	1.63B	1.41B
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
1.33B	3.53B	2.17B	1.33B	2.46B	2.18B
	Total Assets
29.56B	35.27B	31.73B	33.18B	32.67B	30.24B
	Total Debt
4.17B	4.29B	2.89B	3.59B	2.96B	3.20B
	Net Debt
3.11B	1.40B	936.00M	2.47B	842.00M	1.47B
	Total Liabilities
12.56B	13.45B	11.73B	13.02B	12.88B	12.37B
	Stockholders Equity
16.91B	21.73B	19.92B	20.08B	20.80B	19.59B
Cash Flow		Free Cash Flow
2.75B	2.49B	2.65B	598.00M	1.49B	2.37B
	Operating Cash Flow
3.35B	3.12B	3.25B	1.19B	2.14B	3.08B
	Investing Cash Flow
-2.37B	-2.33B	-684.00M	-323.00M	-479.00M	-1.26B
	Financing Cash Flow
-450.00M	171.00M	-1.65B	-1.73B	-1.29B	-1.48B

Henkel AG & Co. KGaA Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 69.50
• 50DMA: Positive
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For DE:HEN3, the sentiment is Negative. The current price of 69.5 is below the 20-day moving average (MA) of 70.26, above the 50-day MA of 68.86, and below the 200-day MA of 76.81, indicating a neutral trend. The MACD of 0.14 indicates Positive momentum. The RSI at 47.09 is Neutral, neither overbought nor oversold. The STOCH value of 22.81 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for DE:HEN3.

Henkel AG & Co. KGaA Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
BEI	73 Outperform	€26.37B	29.54	10.86%	0.83%	4.27%	24.74%
BOSS	71 Outperform	€2.74B	12.82	15.70%	3.56%	2.64%	-17.38%
HEN3	70 Outperform	€27.75B	14.61	9.64%	2.92%	0.33%	52.39%
Sector *	65 Neutral	$8.88B	15.05	4.75%	203.76%	3.54%	-2.50%
FPE3	64 Neutral	€5.56B	21.17	15.87%	2.40%	2.58%	8.02%
SDF	61 Neutral	€2.89B	91.49	0.00%	0.93%	-1.06%	―
LXS	57 Neutral	€2.22B	―	-3.92%	0.36%	-5.18%	-139.96%