adidas AG (Formerly Adidas-Salomon AG)

Germany Country flag Germany
Sector: Footwear
Ticker: ADS
ISIN: DE000A1EWWW0
Factsheet Factsheet

Ratios valuation of adidas AG ( ADS | DEU)

The EV/EBITDA NTM ratio (also called EBITDA multiple or enterprise multiple) is a well-known company valuation metric that compares a company's overall value to its operational earning power. The EV/EBITDA NTM ratio is very commonly used for business valuation as it indicates whether a company may be undervalued or overvalued compared to industry peers. The EV/EBITDA NTM ratio is a more precise measure than the P/E ratio because it takes into account both the company pure operational earning measure (EBITDA vs. Net Profit) and a company overall value indicator that also includes financial debt, cash position and minority interests which are key indicators when valuing a firm market value. (Enterprise Value vs. Market Capitalization)
The EV/EBITDA NTM ratio of adidas AG is significantly higher than the median of its peer group: around 10.00. According to these financial ratios adidas AG's valuation is way above the market valuation of its peer group.
The EV/EBITDA NTM ratio of adidas AG is significantly higher than the average of its sector (Footwear): 10.37. According to these financial ratios adidas AG's valuation is way above the market valuation of its sector.
The EV/EBITDA NTM ratio of adidas AG is significantly higher than its historical 5-year average: 10.9. The (current) company valuation of adidas AG is therefore way above its valuation average over the last five years.

Valuation
EV/EBITDA LastEV/EBITDA(e) 2017EV/EBITDA NTM
adidas AGFree trialFree trialFree trial
International PeersFree trialFree trialFree trial
Footwear9.5811.0510.37
DAX 309.608.888.57
Germany9.479.648.93
More...
Beta (Ref: DAX 30)
Levered betaUnlevered beta
1-Year0.690.69
2-Year0.730.73
3-Year0.680.68
More...
Stock Perf excl. Dividends (in EUR)
ADSDAX 30Rel. Perf.
Year-to-Date27.7%6.3%21.4%
1-Week0.2%1.6%-1.4%
1-Month5.3%-3.0%8.3%
1-Year22.8%15.8%7.0%
3-Year223.4%34.2%189.1%
5-Year205.4%73.3%132.1%
More...
International Peers - adidas AG
Company NameCtryMarket
Cap.
last (mUSD)
adidas AGDEU45 300
International Peers Median0.69
NIKE Inc.USA95 800
PUMA SEDEU6 245
Asics Corp.JPN3 099
Wolverine World Wide In...USA2 529
ANTA Sports Products Lt...CYM10 666
GPRV Analysis
adidas AG
Intl. Peers
U.S Patents No. 7,882,001 & 8,082,201
More...
Net Sales Chart
Loading...
More...
Quotes Chart

1-Year Rebased Stock Chart

  • adidas AG
  • DAX 30
Loading...
More...

Did you know ?

Banks, insurance and financial investment firms have specific ratios, which are different from those traditionally used to analyze industrial companies.
In particular, EV is not a suitable metric for financial institutions because interest is a critical component of both revenue and expenses. Likewise, EBIT or EBITDA are not calculated because separating operating and financing activities is impossible as interest, investment and debt are related to the company's core operations.

About Financials Ratios

Financial ratios are generally ratios of selected values on an enterprise's financial statements. There are many standard financial ratios used in order to evaluate a business or a company. Financial ratios can also be used by managers within a firm, by current and potential shareholders (owners) of a firm, and by a firm's creditors. Security analysts use financial ratios to compare the strengths and weaknesses of various companies. In Infinancials, financial ratios are categorized according to the financial aspect of the business that the ratio measures:
- Growth ratios measure the company's rate of growth and assess the potential for future growth. E.g. Net Sales Growth, EBITDA Growth, EBIT Growth.
- Profitability ratios measure the returns generated on sales and investment, hence the ability of the company to generate profits.
Profitability ratios include margin ratios (such as profit margin or operating margin) and return ratios (such as return on equity or return on assets).
- Capital structure and liquidity ratios measure the extent to which the company is relying upon debt to fund its operations, and its ability to pay back the debt.
Capital structure ratios include debt to equity and debt to asset ratios, and liquidity ratios include coverage ratios and solvency ratios.
- Asset utilization ratios, also called activity or efficiency ratios, measure how efficiently the company's day to day operations are managing inventory, selling and producing products, or using assets to generate revenue.
Financial ratios allow for comparisons between companies, between industries and also between a single company and its industry average or peer group average.