Fresenius Medical Care (FMS) AI Stock Analysis

• Market Cap: $13.35B
• Dividend Yield: 3.29%
• Average Volume (3M): 643.17K
• Price to Earnings (P/E): 12.1
• Beta (1Y): 0.50
• Revenue Growth: 4.09%
• EPS Growth: 13.17%
• Country: US
• Employees: 112,035
• Sector: Healthcare
• Sector Strength: 45
• Industry: Medical - Care Facilities
• EPS (TTM): 0.85
• Shares Outstanding: 586,826,900
• 10 Day Avg. Volume: 626,624
• 30 Day Avg. Volume: 643,173
• PEG Ratio: 0.14
• Price to Book (P/B): 0.83
• Price to Sales (P/S): 0.60
• P/FCF Ratio: 6.96
• Enterprise Value/Market Cap: 1.55
• Enterprise Value/Revenue: 1.05
• Enterprise Value/Gross Profit: 4.10
• Enterprise Value/Ebitda: 6.26
• 1Y Price Target: $26.00
• Price Target Upside: 12.90% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 1
• EPS Forecast (FY): 2.35
• Revenue Forecast (FY): $23.00B

• Rating: 60 Neutral
• Price Target: $24.50 ▲(6.38% Upside)
• Action: Reiterated Date: 02/27/26
• Date: Action: Reiterated 02/27/26

The score reflects moderate fundamentals with improving profitability and a stable balance sheet but weakening growth/cash-flow trends, a cautious 2026 outlook with meaningful headwinds despite strong execution initiatives, and a supportive valuation (modest P/E and solid dividend) alongside neutral-to-soft technical momentum.

Positive Factors

Scale & Market Position

Fresenius Medical Care's vast clinic footprint and ~292k patient base create durable revenue visibility via recurring, reimbursement-backed treatments. Scale yields negotiating leverage, standardized clinical protocols, and cross-selling of devices/consumables, supporting stable long-term cash flows.

Operational Efficiency (FME25+)

The FME25+ program has delivered substantial, repeatable cost savings and is on track to reach €1.2bn by 2027. Sustainable efficiency gains structurally raise margins, fund reinvestment and shareholder returns, and reduce operating leverage to adverse demand cycles over the medium term.

Margin & Profitability Improvement

Material margin expansion across segments indicates structural improvement in mix, pricing and cost control. Higher recurring operating margins strengthen free cash flow generation capacity and resilience, enabling sustained investment in product rollouts and shareholder payouts over multiple years.

Negative Factors

Weakening Revenue & Cash-Flow Trends

A notable TTM revenue decline and sharply negative FCF growth signal weakening demand and lower cash resiliency. Even with positive absolute cash flow, deteriorating growth and reduced coverage ratios limit capacity to fund rollouts, absorb shocks, or accelerate deleveraging sustainably.

Regulatory & Reimbursement Headwinds

Phasing out TDAPA and one-off binder benefits removes material near-term revenue and creates difficult comparables. Reimbursement shifts represent structural risk: sustained payment changes can depress service and product revenues and pressure margins over multiple years.

China Tender & Procurement Exposure

Exposure to China's volume‑based procurement and stricter tenders creates persistent pricing and volume pressure in Care Enablement. Policy-driven tender cycles and delayed awards can produce recurring revenue volatility and constrain medium‑term growth in a key market.

Fresenius Medical Care Business Overview & Revenue Model

Company Description

Fresenius Medical Care AG & Co. KGaA provides dialysis care and related dialysis care services in Germany, North America, and internationally. It offers dialysis treatment and related laboratory and diagnostic services through a network of outpatient dialysis clinics; materials, training, and patient support services comprising clinical monitoring, follow-up assistance, and arranging for delivery of the supplies to the patient's residence; and dialysis services under contract to hospitals in the United States for the hospitalized end-stage renal disease (ESRD) patients and for patients suffering from acute kidney failure. The company also develops, manufactures, and distributes dialysis products, including polysulfone dialyzers, hemodialysis machines, peritoneal dialysis cyclers, peritoneal dialysis solutions, hemodialysis concentrates, solutions and granulates, bloodlines, renal pharmaceuticals, and systems for water treatment; and non-dialysis products, such as acute cardiopulmonary and apheresis products. In addition, it develops, acquires, and in-licenses renal pharmaceuticals; offers renal medications and supplies to patients at homes or to dialysis clinics; and provides vascular, cardiovascular, endovascular specialty, vascular care ambulatory surgery center, and physician nephrology and cardiology services. The company sells its products to dialysis clinics, hospitals, and specialized treatment clinics directly, as well as through local sales forces, independent distributors, dealers, and sales agents. As of February 23, 2022, it operated 4,171 outpatient dialysis clinics in approximately 150 countries. Fresenius Medical Care AG & Co. KGaA was incorporated in 1996 and is headquartered in Bad Homburg, Germany.

How the Company Makes Money

Fresenius Medical Care generates revenue primarily through two key segments: the production of dialysis products and the operation of dialysis clinics. In the products segment, the company sells dialysis machines, consumables, and other related medical devices to hospitals and clinics, which provides a steady revenue stream from both domestic and international markets. The services segment, which constitutes a significant portion of revenue, involves operating a global network of outpatient dialysis clinics, where patients receive treatments. The company is compensated for these services through reimbursement from public and private health insurance plans, which varies by region. Additionally, FMS benefits from strategic partnerships with healthcare providers and payers that enhance its service offerings and patient access, further contributing to its earnings. Continuous innovation in product development and a focus on improving patient outcomes also play crucial roles in maintaining competitive advantages and driving revenue growth.

Fresenius Medical Care Financial Statement Overview

Summary

Mixed fundamentals: modest TTM profitability improvement (about 5% net margin) and a stable balance sheet with manageable leverage, but TTM revenue declined (~7.6%) and cash-flow strength stepped down with sharply negative FCF growth and weaker coverage versus prior years.

Income Statement

TTM (Trailing-Twelve-Months) results show modest profitability with about a 5.0% net margin and ~17.0% EBITDA margin, but revenue declined ~7.6% versus the prior period. While profitability improved from 2024 (net margin ~2.8%) to TTM, margins remain well below 2020–2021 levels (when net margins were ~5.5%–6.5%), indicating a longer-term compression despite some recent recovery.

Balance Sheet

Leverage looks manageable with debt at ~0.76x equity in TTM, an improvement versus 2020–2022 (roughly ~0.94x–1.10x). Equity remains sizable relative to assets, and returns improved to ~7.1% in TTM from ~3.7% in 2024, though still below earlier peaks (around ~10.4% in 2020). Overall, the balance sheet appears stable, but returns are only mid-tier for the period shown.

Cash Flow

Cash generation is positive with TTM operating cash flow of ~$2.65B and free cash flow of ~$1.75B, and free cash flow equals ~71% of net income (reasonable conversion). However, free cash flow growth is sharply negative in TTM, and cash flow coverage is weaker versus prior years (coverage down from ~0.42–0.43 in 2023–2024 to ~0.27 in TTM), suggesting reduced cash resilience despite remaining free-cash-flow positive.

Breakdown	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	19.63B	19.34B	19.45B	19.40B	17.62B
Gross Profit	5.03B	4.76B	4.93B	4.89B	4.77B
EBITDA	2.96B	3.21B	3.21B	3.42B	3.55B
Net Income	978.00M	537.91M	499.00M	673.40M	969.31M
Balance Sheet
Total Assets	31.00B	33.57B	33.93B	35.75B	34.37B
Cash, Cash Equivalents and Short-Term Investments	1.60B	1.34B	1.56B	1.46B	1.64B
Total Debt	10.79B	11.00B	12.08B	13.21B	13.32B
Total Liabilities	16.72B	17.80B	19.10B	20.30B	20.39B
Stockholders Equity	14.28B	14.58B	13.62B	13.99B	12.70B
Cash Flow
Free Cash Flow	1.70B	1.69B	1.94B	1.44B	1.64B
Operating Cash Flow	2.58B	2.39B	2.63B	2.17B	2.49B
Investing Cash Flow	-666.18M	-84.94M	-544.23M	-734.73M	-1.20B
Financing Cash Flow	-1.38B	-2.57B	-1.86B	-1.62B	-1.02B

Fresenius Medical Care Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 23.03
• 50DMA: Negative
• 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 FMS, the sentiment is Negative. The current price of 23.03 is below the 20-day moving average (MA) of 23.84, below the 50-day MA of 23.28, and below the 200-day MA of 25.31, indicating a bearish trend. The MACD of <0.01 indicates Positive momentum. The RSI at 45.05 is Neutral, neither overbought nor oversold. The STOCH value of 39.48 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for FMS.

Fresenius Medical Care Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
ENSG	74 Outperform	$12.39B	29.02	16.91%	0.14%	18.61%	35.76%
UHS	74 Outperform	$12.51B	9.31	21.36%	0.35%	10.21%	39.58%
EHC	73 Outperform	$10.74B	18.84	25.11%	0.65%	11.13%	27.53%
THC	69 Neutral	$21.29B	12.83	33.54%	―	-0.56%	-53.50%
DVA	63 Neutral	$10.34B	10.44	―	―	5.14%	4.37%
FMS	60 Neutral	$13.35B	12.07	7.27%	3.29%	4.09%	13.17%
Sector *	51 Neutral	$7.86B	-0.30	-43.30%	2.27%	22.53%	-2.21%

Fresenius Medical Care Corporate Events

Fresenius Medical Care Files 2025 Form 20-F with U.S. SEC

Fresenius Medical Care, the world’s leading provider of dialysis products and services, operates 3,601 clinics treating roughly 292,000 renal patients and manufactures core dialysis equipment such as machines and dialyzers. The company is listed in Frankfurt and New York, giving it a strong international capital markets presence and cementing its role as a central player in global renal care.

On February 24, 2026, Fresenius Medical Care announced it had filed its Annual Report on Form 20-F for fiscal year 2025 with the U.S. Securities and Exchange Commission. The filing, which includes audited consolidated financial statements and is accessible via the company’s and the SEC’s websites, enhances transparency for investors and analysts and underscores the group’s compliance with U.S. reporting standards.

The most recent analyst rating on (FMS) stock is a Hold with a $22.50 price target. To see the full list of analyst forecasts on Fresenius Medical Care stock, see the FMS Stock Forecast page.

Fresenius Medical Care Posts Strong 2025 Profit Jump and Sets Next Phase of Transformation

On February 24, 2026, Fresenius Medical Care reported that 2025 was a “milestone year,” with organic revenue up 8% at constant currency, operating income rising 27% on an adjusted basis, and operating margin stepping up to 11.3%, at the upper end of its guidance. Reported operating income climbed 31%, net income rose 82%, EPS increased 44% aided by an accelerated share buyback, and the company plans to propose a 3% higher dividend of EUR 1.49 while forecasting 2026 operating income to remain broadly stable despite additional headwinds.

Management highlighted that all segments contributed to profitability gains supported by the FME25+ efficiency program, which delivered EUR 238 million in additional sustainable savings in 2025 and has generated EUR 804 million in total since 2021. Fresenius Medical Care is now targeting EUR 1.2 billion in cumulative FME25+ savings by 2027, is exiting non-core and dilutive assets despite associated revenue headwinds, and will scale up its FME Reignite strategy with a large U.S. rollout of the 5008X CAREsystem in 2026, training thousands of staff and transitioning tens of thousands of patients.

The most recent analyst rating on (FMS) stock is a Hold with a $22.50 price target. To see the full list of analyst forecasts on Fresenius Medical Care stock, see the FMS Stock Forecast page.

Fresenius Medical Care Accelerates Second Tranche of €1 Billion Share Buyback

On January 9, 2026, Fresenius Medical Care AG announced it will continue its EUR 1 billion share buyback program, originally unveiled in June 2025, by launching a second tranche after completing the first tranche ahead of schedule on December 29, 2025. Under the new tranche, the company plans to repurchase approximately EUR 415 million of its own shares on the stock exchange between January 12 and May 8, 2026, with the intention of predominantly redeeming the shares and using a smaller portion for incentive-based compensation, thereby accelerating completion of the overall buyback authorized by shareholders at the May 20, 2021 Annual General Meeting.

The most recent analyst rating on (FMS) stock is a Hold with a $28.00 price target. To see the full list of analyst forecasts on Fresenius Medical Care stock, see the FMS Stock Forecast page.

Fresenius Medical Care Appoints New Global Chief Medical Officer

Fresenius Medical Care announced the appointment of Charles Hugh-Jones as the new Global Chief Medical Officer, effective January 1, 2026, succeeding Franklin W. Maddux who will retire by the end of the year. This transition is part of a strategic move to strengthen the company’s leadership in renal care, with Hugh-Jones bringing extensive experience from his previous roles in major pharmaceutical companies. The appointment is expected to enhance Fresenius Medical Care’s position in the industry and support its ongoing efforts to innovate and improve patient care.

The most recent analyst rating on (FMS) stock is a Hold with a $28.00 price target. To see the full list of analyst forecasts on Fresenius Medical Care stock, see the FMS Stock Forecast page.